European agribusiness in Africa: opportunities and challenges

Transcription

1 European agribusiness in Africa: opportunities and challenges Brussels, 10 April 2013 Philippe Scholtès, Director, Agribusiness Development Branch

2 PURPOSE APPROACH GOVERNANCE & CAPACITY set by AUC on behalf of 44 countries participating in the High-Level Conference on the Development of Agribusiness and Agroindustries in Africa, Abuja, March 2010; (i) AUC, UNECA, FAO, IFAD and UNIDO to work together to expand agribusiness value chains with emphasis on food security and poverty reduction; (ii) AfDB to support the process with agribusiness finance through both public and private windows. on the TA part: (i) value chain approach; (ii) cooperation with AUC, ECA, FAO, IFAD, AfDB; (iii) embeds technical assistance in broader flows of resources that also include public and private investment; (iv) oriented to partnerships with corporate entities, investment funds, service providers etc. governance: within participating UN agencies and their member states; regular reports to apex level of AUC, CAMI etc assets: technical expertise of participating agencies; outreach to policy-makers

3 Comoros horticulture (for women and youth) DR Congo cassava, palm oil, wood Ghana cotton Liberia rice, fruits and vegetables Madagascar biodiversity, sugar, milk Nigeria cassava, rice, leather, cotton Rwanda livestock and rural SMEs Sierra Leone ginger, cashew nuts Sudan leather South Sudan cereals Tanzania red meat, cashew nuts

4 4 partnerships to leverage ODA UNIDO team public resources FAO team IFAD/AfDB team joint field missions to target countries private resources ODA input: FAO-IFAD- UNIDO teams value chain analysis output: value chain/value added expansion plan

5 5 value chain approach expected return on investment expected return on investment varies at each step of the value chain some may yield very high returns while others are unprofitable yet all are necessary for the expansion of the value chain technical assistance addresses coordination failures; it creates better linkages among value chain actors and as a result, can increase expected financial returns for all

6 6 multi-disciplinary ODA public support: policies, institutions, infrastructures pre-production: the resource agricultural production post-harvest processing post manufacturing the market resource efficient, clean technology packaging eco-design skills local markets fertilizers, pesticides finance supplementation machinery rural energy quality control and food safety marketing international markets water management organization: clusters, consortia pollution containment business development services

7 synergies with other ODA towards CAADP+ meeting called by AUC/CAADP at Arusha (26 September 2012) to foster synergies amongst: 3ADI (AfDB, UNIDO, FAO, IFAD) Grow Africa (the World Economic Forum) Making Finance Work for Africa (supported by several donors) African Facility for Inclusive Markets (UNDP) New Alliance for Food Security and Nutrition - Agriculture Fast Track Facility Global Agriculture and Food Security Programme managed by the World Bank the aim was to identify possible overlaps, highlight complementary and opportunities for synergies the outcome of the meeting was introduced by AUC in the agenda of the Conference of African Ministers of Agriculture and Trade, Addis Ababa, end

8 leveraging TA assets for impact and sustainability augments resources, increases impact north-south partnerships generate returns for both partners unlike CSR, engages private partners on core competencies improves the sustainability of the TA intervention examples at various points of the value chain: market access: Metro in Egypt, Aeon in southeast Asia, the Global Food Safety Initiative mechanized inputs: Scania, Volvo, Komatsu processing technology, market access: Pran and TetraLaval finance: AAF, AgVance Africa, bilateral ODA/DFIs ODA partner brings neutrality; expertise in capacity-building programmes; networks (resource efficient and cleaner production centres, investment promotion offices and agencies);focus on public services marked by high externalities; local knowledge; access to policy-makers in the field; normative services 8

9 linking TA to investment finance 9

10 linking TA to investment finance AAF 10

11 linking TA to investment finance No AgVance information set for private investment deal pipeline Funds (AgVance, AAF etc.), banks, FDIs and regional investors Yes private investment public investment requests project pipeline DFIs (AfDB etc.), governments and other donors Yes public investment No 11

12 linking TA to investment finance No AgVance information set for private investment deal pipeline Funds (AgVance, AAF etc.), banks, FDIs and regional investors Yes private investment TA assets 3ADI TA projects Technical Assistance Facility 3ADI TAF Yes, if Technical Assistance Facility 3 categories of agents: UNIDO FAO TA projects Outreach Networks Partnerships research, value chain analysis etc; contribution to pipeline of investment projects improved business environment technical assistance towards improving business environment: training, capacity building, clusters, policy advice private sector government ODA Yes, if public investment requests project pipeline DFIs (AfDB etc.), governments and other donors Yes public investment No 12

13 linking TA to investment finance AgVance national governments and DFIs donors DFIs and private investors public investment technical assistance facility fund manager for private investment infrastructure, utilities institutions, policies and regulations private investee companies in agribusiness value chains 13

14 linking TA to investment finance AgVance 14

15 15