Africa Agribusiness Academy. Investing in knowledge for entrepreneurship

Transcription

1 Africa Agribusiness Academy Investing in knowledge for entrepreneurship

2 Our mission: An entrepreneurs platform, that fosters innovation and growth of agribusiness SME s in Africa, with the ultimate aim to contribute to economic growth,rural income and food security in Africa

3 Mission The AA Academy is an entrepreneur platform, seeking to foster innovation and growth of small and medium scale agribusiness firms in Africa, with the ultimate aim to contribute to economic growth and improvement of rural income and food security in Africa

4 Food security billion people hungry both urban and rural 2015 UN ambition to be reduced to half Smallholder farmers major food producers Productivity increase smallholder farmers Improvement access to market Many constraints for farmers Limited entrepreneural skills in agrifood sector Access to finance limited due to high risk

5 agribusiness africa Most food produced by smallholder farmers processing and trade mostly by SME retail mostly open market and small shops supermarkets are setting new standards middle class sets new requirements

6 constraints for Farmers and Food SME's limited entrepreneurial knowledge sourcing from smallholders farmers is complex and requires trust value chain underdeveloped market is changing to branded and packaged products access to finance is very limited access to knowledge is limited infrastructure,public services not adequate innovation not in the mindset no ownership of land

7 Smallholder farmers

8 Starting points AAA Focus on entrepreneurship in Africa SMEs as pull factor and leverage for small farmer development and linking to market Enhanced SME activity leads to higher food security Build on best practices/business cases Business community takes the lead Partnering,networking and coaching Resource center for sharing knowledge, education and training

9 AA Academy - basic principles Entrepreneurship is key to development and food security Learning from own experience building a knowledge base sharing Netherlands African cooperation Private sector in the lead Trust in power of African entrepreneurs Impact on smallholders

10 Definition of a typical AAA member. Four target groups distinguish AAA membership. Exlcusive Membership; a selected group of SMEs with a proven record of successful entrepreneurship based on fair business practices. Inclusive outreach; SME agrifood community having an interest in the paid services of agrifood sector Young entrepreneurs; group of young entrepreneurs and start ups not yet having a track record Small holder farmers; impact on rural incomes and food security: the small holder producers that benefit from the market linkage provided by the SMEs.

11 Our activities: An action and learning network of entrepreneurs: Creating business and funding opportunities Communities of practice / knowledge groups business clubs / business visits Education & training to enhance business skills: Coaching trajectories Tailor-made training, Internships Business trips A Resource Centre supporting the network: Newsletter, Q&A services Web-based info sharing

12 Activities of the Business Clubs Sharing experiences on how to grow businesses, enhance profits and make a contribution to country s development; Promote learning through mentorship and coaching of other SMEs and use of guest speakers; Using AAA and other networks to arrange business deals within country and at the regional and international markets; Organize training and support for members businesses Recruitment of new SMEs; etc

13 Benefit of being AAA member Creation of market information. Access to up-to-date information. Receive active support, mentoring and coaching on bankable business plans. Acquiring insight into successful entrepreneurship. Acquiring skills through mentorship and coaching based on practical experiences

14 Impact of AAA Activities Partnerships formed between members Bankable Business Plan for access to finance Business turnover growth of members due increased sales Increased productivity and profitability of smallholder farmers; impact on food security Access to information on business growth and quality of operations. Empowerment of entrepreneurs through coaching and mentoring

15 Community of Practice A CoP is a group of entrepreneurs ( SMEs) who share a common concern, a set of problems, or interest in a topic and who come together to fulfill both individual and group goals. The mission of a particular CoPdepends on the issues, process, or practice area around which it is organized and upon which it is focused. In general, however the mission includes the following purposes : stimulate interaction foster learning create new knowledge identify and share best practices

16 Why BC and CoP? Provide a forum for SMEs to share information and experiences in a way that builds understanding and insight. Enable dialogue between SMEs who come together to explore new possibilities, solve challenging problems, and create new, mutually beneficial opportunities. Stimulate learning by serving as a vehicle for communication, mentoring, coaching, and self-reflection. Capture and diffuse existing knowledge to help SMEs improve their practice by providing a forum to identify solutions to common problems and a process to collect and evaluate best practices. Introduces collaborative processes to SMEs to encourage the free flow of ideas and exchange of information.

17 Communities of Practice (CoP) Thematic and Sector CoPs are organised on a cross-country basis. Thematic CoPs : CoP Finance includes investment planning, investment plan peering, investor dialogue and financial management. CoP Entrepreneurship includes business intelligence, member business profiling, networking and skills training. CoP Partnerships for Productivity links innovators to members, strengthens sourcing for members, promote innovation funding, cross-border trade.

18 Communities of Practice contd Sector CoPs focus on specific SME sectors in the agrifood domain. These include Dairy Honey Seed Poultry Members within the same sector discuss issues pertaining their enterprises e.g sourcing of inputs,technology and access to markets.

19 Partnerships in Agribusiness Agribusiness enterprises in Africa range from micro village-based operations to large nationally recognized companies. Small- and medium-scale agribusiness and marketing enterprises in the informal and formal sectors employ an estimated 1.5 million people. The lack of a suitable and functional institutional framework has been one of the major impediments for both domestic and foreign investment. In agriculture and agribusiness sector, a limited number of PPPs exist.

20 Role of partnerships in Agribusiness Agrifood SMEs to focus on their core capabilities, giving them the opportunity to do what they re great at. It adds value to business in the skills and services that SMEs have to offer. In a small business it is often hard to see alternative ways to take business forward. Collaboration, conversation and engagement with others lead to a fresh perspective and a new direction for your business. Partnerships allow entrepreneurs to expand their network and industry knowledge.

21 What AAA Offers Facilitate: Partnerships between members Access to finance loans from banks, and enterprise funds; Access to market; Increased productivity and profitability of smallholder farmers Access to information on business growth and quality of operations. Empowerment of entrepreneurs through coaching and mentoring;

22 Impact on society Entrepreneural spirit as driving force for african development No aid but trade SME s as business leaders and role models Market access through improved agribusiness linkages Enhanced income farmers, food security and less hunger

23 1. Who are the AAA members? All the AAA members are a mix of different types of companies Importer / agent, Distributor, Contract farming / producer, Processor / Manufacturer, Exporter, Service provider / consultancy. The majority is producer, processor (and distributor ). Members are active in international networks, national sector associations.

24 1.Who are the AAA members? End 2014: 200 AAA members UG:60; KE:50; TZ: 45; ET: 25; RW:20 Women - men = 25 75% Agribusiness companies turnover : several million USD; The average number of employees varies between 2 and 150 Companies source from small (50%) and medium (60%) / large farmers. Half of the companies trade also with brokers / traders The members work with over 400 farmers. Some even with thousands

25 Africa Agribusiness Academy A vibrant action and learning network of entrepreneurs Creating opportunities Community of practice Business clubs Coaching trajectories Tailor-made training Internships Business trips Education & Training to enhance business skills Resource Centre supportingthe network Documenting practice Newsletter, Q&A services Web based info sharing

26 Small plots not well structured

27 Our members: SME s: Staff Turnover Euro 50k- 3m Agribusinesses and related chain actors Leverage for smallholder farmers Coaching and mentoring Open mind for sharing Balanced gender, sector and country distribution

28 Uganda members

29 beekeeping

30 Vegetable seeds and veterinary drugs

31 Fermented milk,yoghurt

32 fruitjuices

33 Food and vegetable crop seeds

34 Dryland seeds

35 Dairy products

36 Poultry,eggs,mushrooms,vegetables

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39 Egg incubator

40 Sesame and oil

41 fruitprocessing

42 mushrooms

43 honey

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45 Business visit

46 tradefair

47 Knowledge exchange

48 Our organization: AAA is an initiative of the Wageningen Ambassadors: Alumni of Wageningen University AAA works in partnership with Wageningen University in the Netherlands and Sokoine University in Tanzania Founding members are East African SME entrepreneurs in agribusiness, linking farmers with the market Country chapters in Tanzania, Kenya, Uganda, Ethiopia and Rwanda Coordinating offices Kampala,Uganda and Arusha, Tanzania

49 Smallholder farmers only african?

50 Africa Agribusiness Academy Investing in knowledge for entrepreneurship Thank you for your attention (