Mark Kofi Fynn, Agribusiness Advisor, AUC Perspectives on new approaches and ideas for agriculture and agro-industries development in Africa Mark Kofi Fynn, Agribusiness Advisor, AUC Global Expert Meeting on Agriculture and Agro-industries Development towards Sustainable and Resilient Food Systems 24 – 26 April 2017, Elephant Hills Hotel, Victoria Falls Zimbabwe

Outline AU’s Agenda 2063 The Malabo Declaration Key focus areas and specific interventions for agriculture and agro-industries development Recommendations

African Union Vision “An integrated, prosperous and peaceful Africa,  driven by its own citizens and representing a dynamic force in the international arena”

African Union’s Agenda 2063 A strategic framework for socio-economic transformation of the continent over the next 50 years Builds on, and seeks to accelerate implementation of past and existing continental initiatives for growth and sustainable development

Agenda 2063 (+ first 10-year implementation plan) The Malabo Declaration: …ensuring alignment and consistency with AU Agenda 2063 Agenda 2063 (+ first 10-year implementation plan) CAADP Malabo Declaration Country Implementation Principles & Values of CAADP Ending Hunger Eradicating poverty through Inc. Ag Growth Boosting Intra-Africa Trade Mutual Accountability for Results Resilience to Climate Change Investment finance in Agriculture (P & P)

CAADP Results Framework Outcome Output Input

Why the need for new approaches? Background Why the need for new approaches? Experiences from 10 years of CAADP implementation Africa’s (agricultural) commodity wealth has not as yet yielded inclusive and sustainable growth, due in part to the Volatility of commodity prices Limited ability of African countries to establish linkages from basic commodities to higher value added products Limited smallholder, women and youth access and linkages to markets However, recent experience shows that good agro-industrial policy, can help establish the necessary linkages to yield inclusive and sustainable development The vision therefore is for commodity-led agro-industrialization: to use agricultural commodities as a key driver for achieving the structural social and economic transformation of Africa and realize Agenda 2063.

Focus on 4 Strategic Action Areas Background Focus on 4 Strategic Action Areas Enhancing the support to smallholders towards sustainable intensification to facilitate their transition into modern family farms Strengthening the position of farmers, women and youth in the value chains and promote preference for regional markets Increasing resilience of livelihoods and systems, including promoting risk and shock reduction measures, particularly improving the functioning of markets Improving the management of natural resources

Interventions Specific interventions for agriculture and agro-industrial development (1) Adopting and enacting coherent and integrated policy and regulatory frameworks for agro-industry and agribusiness development, within the framework of CAADP at country level attention to agribusiness and agro-industries strengthening the capacity and linkages among public agencies responsible for agriculture, agribusiness and agro-industries, and by reinforcing mechanisms for multi-stakeholder consultation and coordination Developing innovative institutions and services in support of agro-industry and agribusiness expansion innovations in the realm of institutions and support services capable of dealing with the needs of agribusinesses and agro-industries (e.g. contract farming and outgrower schemes, agribusiness incubators, business hubs and business clusters) Countries tend to suffer from an overload of policies, plans and programmes; with the major problem being implementation; NAIPs are one of the implementation frameworks in the agricultural sector, but their role differs and can broadly be divided into (i) a planning framework, (ii) a programme of activities and (iii) a budget or investment plan; For example: Planning Framework: TAFSIP, Tanzania, PNIA Burundi, PNIASA Togo Programme of Activities: ASWAP, Malawi and PNIA Cameroon Budget or Investment framework ASIP, Rwanda (and METASIP Ghana but Ghana was not a case study country) There is no blueprint for the role of a NAIP; it depends on the existing architecture in the sector. But whatever form the NAIP takes, be it a strategy, a plan, a budget or a programme….…it must be part of a bigger cycle that translates planning into budget, budget into activities

Interventions Specific interventions for agriculture and agro-industrial development (2) 3. Developing innovative financing and risk-mitigation mechanisms for agro-industries and agribusiness PPPs, Loan guarantees, Investment funds, including some social and environmental funds, Value chain finance mechanisms, Risk mitigation products specifically targeted at the needs of farmers, small and medium agro-enterprises and agro-industries, and including innovations like revenue and index-insurance, warehouse receipts systems and forward contracting 4. Enhancing structured trade facilitation Including ICT-supported commodity exchanges, warehouse receipt systems and market information systems Countries tend to suffer from an overload of policies, plans and programmes; with the major problem being implementation; NAIPs are one of the implementation frameworks in the agricultural sector, but their role differs and can broadly be divided into (i) a planning framework, (ii) a programme of activities and (iii) a budget or investment plan; For example: Planning Framework: TAFSIP, Tanzania, PNIA Burundi, PNIASA Togo Programme of Activities: ASWAP, Malawi and PNIA Cameroon Budget or Investment framework ASIP, Rwanda (and METASIP Ghana but Ghana was not a case study country) There is no blueprint for the role of a NAIP; it depends on the existing architecture in the sector. But whatever form the NAIP takes, be it a strategy, a plan, a budget or a programme….…it must be part of a bigger cycle that translates planning into budget, budget into activities

Interventions Specific interventions for agriculture and agro-industries development (3) 5. Strengthening coordinated supply management for major export agrifood commodities Stronger cooperation and collective front among major African producing countries , built around public-private partnership between the States and functional commodity associations African common positions on international/global trade agreements and partnerships 6. Building the capacities of farmer organizations, SMEs and commodity and industry associations availing farmers and other smaller scale value chain actors the capacity, skills and technologies needed to understand and meet the timing, quality and safety requirements of processors, transporters, exporters, and retailers Countries tend to suffer from an overload of policies, plans and programmes; with the major problem being implementation; NAIPs are one of the implementation frameworks in the agricultural sector, but their role differs and can broadly be divided into (i) a planning framework, (ii) a programme of activities and (iii) a budget or investment plan; For example: Planning Framework: TAFSIP, Tanzania, PNIA Burundi, PNIASA Togo Programme of Activities: ASWAP, Malawi and PNIA Cameroon Budget or Investment framework ASIP, Rwanda (and METASIP Ghana but Ghana was not a case study country) There is no blueprint for the role of a NAIP; it depends on the existing architecture in the sector. But whatever form the NAIP takes, be it a strategy, a plan, a budget or a programme….…it must be part of a bigger cycle that translates planning into budget, budget into activities

Support Recommendations Align with AU CAADP Malabo priorities and processes e.g. AU CAADP Malabo Business Plan Provide multi-level support – national, regional and continental Engage AUC/NEPAD Agency on way forward Note here that ASSEMBLING countries are those that DO HAVE most pieces in place. They do have policies (often too many), they do have strategies, plans, also an MTEF and an M&E system. In fact they foten have all of it, but scattered and not properly joined. Like the pieces of an engine that lie about and noting moves until they are properly assembled. Emerging countries even lack the basic pieces. With respect to our case study countries: Rwanda was clearly on track Assembling was Malawi, Tanzania, possibly Togo Emerging was Burundi and Cameroon.

Thank you