Truly Borderless E-Commerce? On its way… The Digital Economy: Change the Perceptions May 18, 2001 Ingrid Hagen, Partnerships Manager, IICD Edward Addo-Dankwa, Ministry of Food and Agriculture, Ghana

Local traders acting in global markets Extensive market information means more choice and “perfect” competition

“Perfect” competition? Still imperfect…  Behind the simple keystrokes of transactions, complicated processes make markets “imperfect”: Connectivity and access Connectivity and access Enabling framework including financial markets Enabling framework including financial markets Human capacity development Human capacity development Content Content As long as LDCs do not have the supporting processes in place, e-commerce will not be truly borderless.

Making e-commerce truly borderless  Responsibility of all: LDCs and developed countries as well as the private, public and non- profit sectors  IICD is active in working with LDC partners to help articulate e-commerce content and skills development 6 projects in LDCs using e-commerce to support strengthened economic development 6 projects in LDCs using e-commerce to support strengthened economic development

E-commerce on its way in LDCs… Reintermediation Manufacturer / producer Wholesaler / disributer E-retailer Portal/ aggregator Consumer Disintermediation Sources: Benchmark Capital; The Economist, February 24, 2000

The start of e-commerce activities BUY! 5 to 10% Price comparisons Sales locations... Quality comparisons Product availabilty Best service package 40 to 60%

Burkina Faso: A critical mass is on its way… Central access and data collection point in Ouagadougou Regional collection point Small-scale agricultural producers and exporters can access, retrieve, analyse and disseminate market information

crop prices crop prices inputs prices inputs prices market locales and demand market locales and demand distribution methods and costs distribution methods and costs cultivation techniques cultivation techniques disease and pest treatment disease and pest treatment advantages/disadvantages of cotton varieties advantages/disadvantages of cotton varieties Tanzania: A critical mass is on its way… Micro, small and medium- scale cotton enterprises Business Information Services (BIS) Cotton producers and value chain stakeholders can get accurate market information to help stabilise and improve income streams

 Basic presence – Information sharing  Interaction with clients and suppliers  Making transactions on-line and integrating business functions  Building business communities and networks on-line Making e-commerce in LDCs truly borderless and changing the perceptions for good! LDCs moving quickly along the path of e-commerce