COMITE PERMANENT INTER-ETATS DE LUTTE CONTRE LA SECHERESSE DANS LE SAHEL PERMANENT INTERSTATE COMMITTEE FOR DROUGHT CONTROL IN THE SAHEL SÉCRÉTARIAT EXECUTIF January 2017 Cross-border trade flows of agricultural and livestock products in the Sahel and West Africa Programme Régional d Appui Accès aux Marchés Regional Support Program of Market Access ===================================== Moussa CISSE, Markets Programme Coordinator moussa.cisse@insah.org ; mcisse1990@gmail.com Bio Goura SOULE, Food Accross Border Programme Coordinator souleb@hubrural.org ; soule_goura@yahoo.fr Brahima CISSE, Expert Markets Analyst brahima.cisse@cilss.int ; cissebra@hotmail.com ; cissebra@yahoo.com Ngaye TORDINA, Expert Markets Analyst ngaye.tordina@cilss.int ; ngaye_tordina@yahoo.fr Dieudonne KAM, Markets Analyst - Assistant dieudonne.kam@cilss.int; kamdd2005@gmail.com With the technical support of: And financial support from
Table of contents I. Introduction... 2 II. Importance of trade during the month of January 2017... 3 III. Cross-border trade flows of agricultural products... 4 3.1 and value of cross-border flows of agricultural products... 4 3.1.1: and value of cross-border flows of Maize... 4 3.1.2: and value of cross-border flows of Millet... 5 3.1.3: and value of cross-border flows of Sorghum... 6 3.1.4: and value of cross-border flows of Rice... 6 3.1.5: and value of cross-border flows of Cowpea... 6 3.1.6: and value of cross-border flows of Cola and Tomatoes... 7 3.2 Number and value of cross-border trade flows of Livestock... 9 3.2.1. Cattle trade flows (volume and value)... 9 3.2.2. Export of sheep... 9 3.2.3 Export of goats... 10 3.2.4 Export of donkeys... 11 General conclusion... 12 Page 1/13
I. Introduction Regional trade in agricultural and food products plays a key role in regional integration and the fight against food insecurity in the Sahel and West Africa. Regional trade is considered the first regional line of defence in case of severe food crises. It covers a wide range of agro-pastoral and fishery products of which a limited number (livestock, maize, millet, sorghum, parboiled rice and cowpea) is monitored by CILSS. Data on the volumes and values are is collected with the logistical support of professional organisations in a number of countries within the Community area. Collection activities are supported by grant agreements between CILSS and these organisations. The collection takes place at the exit points and in the strategic markets of different countries of the region. The data are collected daily in each country and transmitted to CILSS each month. Since September 2016, following reference studies on new corridors (Bamako-Abidjan, Dakar- Nouacktchott, Abidjan-Lomé-Cotonou-Lagos) financed by USAID and the MAECD through PROFAB, other agricultural and fishery products have been identified as subject to cross-border trade. This report takes stock of the flows of all traded products, with a particular focus on the major products. Figure 1: Synoptic map of cross-border trade flows Page 2/13
II. Importance of trade during the month of January 2017 January 2017 is characterised by the integrtion of trade flow data from new collection points on both agricultural products and livestock (new collection points in Mali and Côte d'ivoire). The total volume traded was 30, 648 metric tonnes (MT), including traditional products (26, 976 MT): cereals (maize, sorghum, millet and rice) 24, 464 MT and Cowpeas (2, 512 MT), but also new products such as Cola (2, 079 MT) and tomatoes (996 MT) the importance of which is particularly worthy of attention on the ALCO corridor. In addition to these two products,many other products were registered during the month of January 2017, but their volume remains low except for spices (chilli, ginger, etc.) totalling 338 MT and, to a lesser extent, groundnuts (13 MT), palm oil (7 MT) and sweet potato (6 MT), amongst others. The total value of trade in agricultural products, which is estimated at FCFA 6, 237, 339,069 or $ 10,506,640 is allocated, as shown in the following Figure, up to 78%, of the products traditonally monitored, namely: maize (3.9%), millet (11.50%) sorghum, (11.5%) cowpea (11.69%) and rice 5% and new products including Cola (15%); spices (chilli, ginger, pepper) 3.69%, fish (3,12%), tomato (2.11%) and about twenty other commodities which, together, account for 0.36% of the total value. 4 000 000 Values $ Autres produits 3 605 559 Maize 3 500 000 3 000 000 Fishs 2 500 000 2 000 000 Sorghum 1 154 676 1 500 000 1 000 000 35 147 313 120 500 000 364 057 Pepper - 1 173 427 461 726 211 822 Cowpea Rice 1 559 575 1 163 013 Colanut Tomatoes Milet Figure2 : Value, in $, of major agricultural commodities traded during the month of January The number of livestock being traded is 115, 822 head in January 2017. The traffic is dominated by sheep (54.67%), followed by cattle (37.7%), goats (6%) and donkeys (1.7%). This number represents a 5% decrease compared to the previous month (December 2016), but a 13% increase compared to its January 2016 level. In value, it remains up by 2% and 9% respectively compared to the previous month and its level in the same period of the previous year (see Table I). TABLE I : LIVESTOCK NUMBER AND VALUE CHANGES Page 3/13
Dec.-16 Jan-16 Jan-17 from Dec 16 from Jan 2016 121 980 100 921 115 822-5 13 Value ($) 28 180 642 26 008 578 28 680 340 1.1 9.32 In total, the value of agro-pastoral products registered by the monitroing system during this month of January 2017 is US $ 38, 627, 464, nearly FCFA 24 billion. III. Cross-border trade flows of agricultural products 3.1 and value of cross-border flows of agricultural products 3.1.1: and value of cross-border trade flows of Maize With a value of US$ 3,605,559, the volume of maize trade flows increased in the region by 34.34% compared to December 2016, to reach 18, 078 metric tonnes in January 2017. Similarly, the volume and value increased by 35.03% and 33.75% respectively compared to their level of January 2016. Côte d Ivoire remains the leading exporter with 11.391 metric tonnes or 63%. Côte d Ivoire is followed respectively by Burkina Faso with 19.14%, Ghana with 7.84%, Nigeria (6.4%) and, to a lesser extent, Benin (2.8%) and Togo (0.7%) (See Table II). This volume is also up by 37.68% compared to its level of January 2016 which was 11,745 metric tonnes. Exports increases are observed in all exporting countries except in Togo (-72%). In Burkina Faso, the observed flow is stable between December 2016 and January 2017. The value of the observed flow is up by 45.12% compared to December 2016. It is supported not only by the increase in volume but also benefits from a price increase of 16% compared to its December level ($ 167/MT). This value is also up by 33.75% compared to the value of the trade flow in January 2016 which was US $ 2,388,334. Dec 2016 (Tonnes) TABLE II : CHANGES IN MAIZE FLOWS Jan 2017 (Tonnes) from (Jan- Dec)/Jan% Value Dec 16 Value Jan 17 (%) Benin 500 520 3,85 88 464 92092 3,94 Burkina Faso 3 473 3461-0,35 659 861 681672 3,20 Côte d'ivoire 7 099 11 391 37,68 1 087 787 1703780 36,15 Ghana 575 1 418 59,45 104 424 257474 59,44 Nigeria 1 158 100,00 849702 Togo 223 130-71,54 38 038 20840-82,53 Total 11 870 18 078 34,34 1 978 574 3 605 559 45,12 Some countries appear to be transit countries, such as Burkina Faso, Mali and Benin; others are exclusive importers, such as Côte d Ivoire, Ghana, Nigeria and Togo and finally inclusive importing countries such as Senegal, Mauritania, Niger and Guinea. Burkina Faso remains at the top of the importing countries with 30,45% of traded volume. It is followed by Senegal (27%) which takes the position held by Niger, 2 nd in December 2016, Niger 26,71%, Mali 14,28% and, to a lesser extent, Guinea (2,23%), Benin and Mauritania (0,6%). Page 4/13
TABLE III: MAIZE FLOW DISTRIBUTION, PER COUNTRY Exporters Benin Burkina Faso Côte d'ivoire Ghana Nigeria Togo s 520 3461 11391 1418 1158 130 Values 92092 681672 1 703 780 257474 849 702 20 840 Importers Burkina Faso (100%) Benin (4.5%) Niger (95.5%) Burkina Faso (32%) Guinea (0.3%), Mali 22%), Mauritania (1%), Niger (0,8%) Senegal (43%) Burkina Faso (84%) Niger (16%) Niger 100% Burkina Faso 100% 3.1.2: and value of cross-border flows of Millet The volume of millet flows declined by 52% compared to January 2016 (3, 104 MT), but increased by 72.62% compared to the quantities traded in the previous month (December 2016) because the flows were not observed in December 2016 in Nigeria. This increase is also supported by a 54% significant price increase, representing an average regional price of $ 569/MT as opposed to its level of December 2016, when it was $ 261/MT.. Only two countries provided the bulk of the volume, namely Nigeria, which supplied Niger mainly, at 83.12% of the total volume and Burkina Faso which, for its part, has supplied Benin (12.9%) and Ghana (4.14%). The value of transactions is estimated at ($ 1,163,013), up by 22% compared to January 2016 when the value was $ 925,138 for a volume of 3,104 MT. TABLE IV: VOLUME AND VALUE OF MILLET FLOWS Dec 2016 (Tonne) Jan 2017 (Tonnes) 1 % (Jan- Dec)/Jan% Vaue Dec 16 Value Jan 17 (%) Burkina Faso 560 585 4.27 114 317 157179 27.27 Nigeria 1 460 1 005 834 Total 560 2 045 72.62 114 317 1 163 013 90.17 Importing countries (% volume) Benin 12.9%, Ghana 4.14% Niger 83.12% Page 5/13
3.1.3: and value of cross-border trade flows of Sorghum Like millet, the exporting countries are Burkina Faso and Nigeria. They delivered 3, 475 MT in January 2017, an 18% increase in terms of volume compared to January 2016 and 21.94% compared to the previous month. This increase in volume resulted in a value increase of more than 73.25%, or $ 1,154,676 supported by a price increase of 40% in January 2017, i.e., $ 332/MT. Burkina Faso s exports of 60.6% are shared between Benin (6.18% of the total traded volume), Ghana (25.92%) and Togo (6.61%); while those of Nigeria, 39.4% of the total volume are intended to Niger, which imports 61.26% of the total volume. TABLE V: CHANGES IN SORGHUM TRADE FLOWS Dec 2016 (Tonne) Jan 2017 (Tonnes) from Dec 16 Value Dec 16 Value Jan 17 from Dec 16 Burkina Faso 1 644 2 106 21.94 308 821 445 035 30.61 Nigeria 1 369 709 641 Total 1 644 3 475 52.69 308 821 1 154 676 73.25 Importing countries Benin 6.18%, Ghana 25.92% Niger 61.26% and Togo 6.61% 3.1.4: and value of cross-border flows of Rice Unlike other cereals, parboiled rice transactions were 10% down from the previous month. This decline is attributable to the 16% drop in Benin s flows which alone account for 69% of the total volume traded, on the one hand and the 0.35% decrease in average regional price, from $ 560/MT to $ 558/MT, on the other hand. The result is a decline in total value of transactions by 11%, which amounted to $ 485 602 for January 2017. However, the volume and value traded remain 30% above in volume and 34% in value compared to their January 2016 level. Importing countries were respectively Nigeria with 56% of the total volume, Mali 27 % and Togo with 17%. TABLE VI: CHANGES IN RICE FLOWS Dec 2016 (Tonne) Jan 2017 (Tonnes) from Dec 16 Value Dec 16 Value Jan 17 from Dec 16 Benin 693 599-16 414 206 366 333-13 Burkina Faso 266 270 1 122 958 119 269-3 Total 959 869-10 537 164 485 602-11 Importing countries (% volume) Nigeria 56%; Mali 27%; Togo 17% 3.1.5: and value of cross-border flows of Cowpea Burkina Faso is the main cowpea exporter. For the month of January 2017, it exported 2, 512 MT of cowpea corresponding to a 29.7% increase compared to the previous month (December 2016) and 11% compared to January 2016. This volume is exported respectively to Ghana (71% of the volume traded), Benin (19%) and Togo (10%). The trade flow value of $ 1, 173, 427 has remained proportional to the volume traded due to a stable price (+5.9% increase). It should be noted that cowpea flows between Niger, the second regional cowpea producer, and Nigeria, the leading regional producer and consumer, are not yet tracked. Transaction volumes are high in this area. Page 6/13
TABLE VII: CHANGES IN COWPEA FLOWS Dec. 2016 (Tonne) Jan 2017 (Tonnes) from Dec 16 Value Dec. 16 Value Jan 17 from Dec 16 Burkina Faso 1 765 2 512 29.7 775 832 1 173 427 33.9 Importing countries (% volume) Benin 19%; Ghana 71%; Togo 10% 3.1.6 : and value of cross-border flows of Cola and Tomatoes Cola is a strategic economic, cultural and cultic product in West Africa. There are no great events such as wedding, name-giving ceremonies or funerals without colas. This nut helped to shape powerful trading networks controlled by the Dioula (in Côte-d Ivoire), the Haussa and the Yoruba (in Nigeria). The flows circulate between the coastal countries, but also between the latter and countries of the Sahel. Cola volume traded during this month of January image: http://leblogdelamairiedanyama.ivoire-blog.com 2017 is estimated at 2, 079 MT originating almost exclusively from Côte d Ivoire (48%) and Guinea (47%), for an overall value estimated at $ 1, 479, 603 (Table VIII). The main destination is Nigeria, with 95% of imports (Table IX). TABLE VIII: VOLUME AND VALUE OF COLA FLOWS Dec. 2016 (Tonne) Jan 2017 (Tonnes) Value Dec. 16 Value Jan 17 (%) Côte d'ivoire 1 000 692 298 Ghana 75 59 505 Guinea 975 706 385 Togo 29 21 415 Total 2 079 1 479 603 Page 7/13
TABLE: DISTRIBUTION OF COLA FLOWS BETWEEN COUNTRIES Exporters Côte d'ivoire Ghana Guinea Togo Total s 1 000 75 975 29 2 079 Values 692 298 59 505 706 385 21 415 1 479 603 Importers Nigeria Benin 26% Togo 74% Nigeria Benin Nigeria 95% Togo 3% et Benin 2% The tomato market is gaining momentum in West Africa. Several countries, notably Nigeria and Burkina Faso are positioning themselves as net exporters, in circuits that sometimes go beyond the local markets. Thus, at certain times of the year, tomatoes from central and southern Burkina Faso can be found in the market of Lagos (Nigeria), via the markets of Lomé (Togo) and Cotonou (Benin). These tomatoes are then mixed with tomatoes grown in the peri-urban gardening areas of the Lomé and Cotonou conurbations and the Kano and Gigawa basins, in Nigeria. The strong urbanisation of the West African coastal strip represents a very important outlet for this product the upgrading process of which is still weak. Duiring this month of January 2017, the volume of tomatoes traded along the ALCO corridor is estimated at 995.71 MT for a value of $ 182, 962 (Table X). The main exporting country is Nigeria, with 98% while Benin is the main importer, to the tune of 99% (Table XI). TABLE: VOLUME AND VALUE OF TOMATO FLOWS Dec. 2016 (Tonne) Jan 2017 (Tonnes) 1 % (Jan-Dec)/Jan% Value Dec. 16 Value Jan 17 (%) Côte d'ivoire 3.75 1 380 Ghana 7.13 3 436 Nigeria 983.43 176 810 Togo 1.40 1 336 Total 995.71 182 962 TABLE XI: DISTRIBUTION OF TOMATO FLOWS, PER COUNTRY Exporters Côte d'ivoire Ghana Nigeria Togo Total s 3.75 7.13 983.43 1.40 995.71 Value 1 380 3 436 176 810 1 336 182 962 Importers Ghana Côte d'ivoire Benin Benin Benin 99% Many other commodities are expected to be tracked over the coming months, including fish products, palm oil and onion. Page 8/13
3.2 Number and value of cross-border trade flows of Livestock 3.2.1. Cattle flows (volume and value) The number of cattle exported during the month of January 2017 is 41, 441, 19% up from the previous month level and 3% compared to January 2016. This increase was 36.5% in Burkina Faso which, like Mali, provides 44% of cattle traded. They are followed by Niger with 7% and Benin, 4% of cattle head. The estimated value, at purchase, increased by 19.8%, driven by the value of Burkina Faso cattle, which rose by 44% and Niger 32%. Despite a 6% increase in exported cattle, the value of Malian cattle exported declined by 13% compared to the previous month. Overall, January s value is down by 11% from its January 2016 level. This decline in value is related to the decline in the average price by 14%, from $ 550 in January 2016 to $ 482 in January 2017. TABLE XII: NUMBERS AND VALUES OF CATTLE HEAD EXPORTED, PER COUNTRY Dec. 2016 (Tonne) Nbr. of Cattle Jan 2017 1 % (Jan-Dec)/Jan% Value Dec 16 Value Jan 17 (%) Benin 2 427 1 949-25 825049 631 744-30.6 Burkina Faso 12 140 19 125 36,5 6200346 11 099 346 44.1 Mali 18 058 19 209 6 8795844 7 766 902-13.2 Niger 2 616 3 158 17 982230 1 443 043 31.9 Total 35 241 43 441 19 16 803 469 20 941 035 19.8 In the case of importing countries, Côte d Ivoire ranks first with 48.61% of the total numbers of marketed cattle. It is followed by by Ghana (25.52%), Nigeria (15.16%), Senegal (5.18%), Guinea (4.27%), Togo (1.18%), as shown in Table IX. Burkina also imported 35 oxen from Niger during this month of January; a diversion of the traffic which is partly explained by the sluggish Nigerian market, crippled by the Naira s.downfall. TABLE XIII: DISTRIBUTION OF CATTLE IMPORTS, PER COUNTRY Exporters Benin Burkina Faso Mali Niger Total s 1 949 19 125 19 209 3 158 43 441 Values 631 744 11 099 346 7 766 902 1 443 043 20 941 035 Importers Nigeria 100% RCI 31% Ghana 58% Nigeria 8% Togo 3% RCI 79% Guinea 10% Senegal 12% Burkina Faso 1.1% Nigeria 98.9% BF 0.03%, RCI 48.61%, Ghana 25.52%, Guinea 4,27%; Nigeria 15.16%, Senegal 5.18%; Togo 1.18% 3.2.2. Export of sheep Unlike cattle, sheep exports fell by 21.9% due to a 51.5% drop in Burkinabè exports and an average regional price increase of 15%, which was $ 114/head over this month of January. However, this number of exported sheep is up by 34% from its last year s level in the same period (January 2016). Burkina Faso with 64% of exports is followed by Mali 35% and Niger1%. The drop in value in Page 9/13
Burkina (-42.7%) affected the overall value, which fell by 21.4%. Despite this decline, the January 2017 value remains 44% higher than January 2016, which was only $ 4, 042, 066. TABLE X IV: NUMBERS AND VALUES OF SHEEP INTENDED FOR EXPORT, PER COUNTRY Nbrs ; Dec 2016 Nbrs. Jan 2017 1 % (Jan- Dec)/Jan% Burkina Faso 49714 32 812-51.5 Mali 27214 29 750 8.5 Niger 280 764 63.4 Total 77 208 63 326-21.9 Value Jan 16 2183980 1449800 408285 4042066 Value Dec 16 Value Jan 17 (%) from Dec 2016 5431681 3 805 216-42.7 3334526 3 381 829 1.4 14561 44 019 66.9 8 780 768 7 231 064-21.4 The breakdown of sheep imports (See Table XI) shows that, during this month, Côte d ivoire accounted for 70% of the regional sheep market. Côte d Ivoire is followed by Senegal with 21% of total numbers of imported sheep and, to a lesser extent, Guinea (4.5%) and Togo (3%). TABLE: XIV: BREAKDOWN OF SHEEP IMPORTS, PER COUNTRY Exporters Burkina Faso Mali Niger Total Nbrs. 32 812 29 750 764 63 326 Values 3 805 216 3 381 829 44 019 7 231 064 Importers RCI 93.5%, Togo 6% and Ghana 0.5% RCI 45.5% Guinea 9.5% Senegal 44.51% Togo 4%, BF 0.34% Benin 55% Nigeria 45% Benin 0.61%, BF 0.23%, RCI 69.89%, Ghana 0.28%, Guinea 4.5%, Nigeria 0.48, Senegal 20.91% Togo 3.04% 3.2.3 Export of goats The trade flow of goats declined by 36.5% compared to December 2016, resulting from the fall in Burkinabè and Malian exports to respectively (61.8%) and (10.5%). Niger exports increased by 45%, which did not significantly affect the trade trends. Niger accounts for only 15% of traffic, against 66% for Burkina Faso and 19% for Mali. Exported goat values were $ 341, 550, i.e., a decrease of 24% compared to December 2016. This trend is also observed compared to the January 2016 period when 16, 748 goats were traded, thus showing a significant decline of 140% in the numbers and 146% in the value. The average regional price rose by 9% between January and December, but remains stable (-2%) compared to its level of last year in the same period (January 2016). Page 10/13
TABLE VI: NUMBER OF HEADS AND VALUES OF GOAT EXPORTS, PER COUNTRY Dec. 2016 (Tonne) Nbrs. Jan 2017 1 % (Jan- Dec.)/Jan% Value Dec 16 Value Jan 17 (%) Burkina Faso 7410 4 581-61.8 330392 226 719-45.7 Mali 1497 1 355-10.5 68164 67 990-0.3 Niger 622 1 044 40.4 25785 46 841 45.0 Total 9 529 6 980-36.5 424 341 341 550-24.2 The distribution of imports of goats per destination, places Togo in the lead position with 2, 660 goats bought by this country, i.e., 38%. As shown in Table XIII, Togo is followed by Benin, Côte d Ivoire, Guinea and Nigeria. Burkina Faso imported 160 goats from Niger and 49 from Mali, representing 3% of total numbers. TABLE: XVII: BREAKDOWN OF THE GOAT IMPORTS, PER COUNTRY Exporters Burkina Faso Mali Niger Total Nbr. of heads 4 581 1 355 1 044 6 980 Values 226 719 67 990 46 841 341 550 Importers Benin 25% RCI 17% Togo 58 BF 4% RCI 17% Guinea 79% Benin 15% BF 15% Nigeria 69% Benin 19% RCI 14% Togo 38% BF 3% Guinea 15% Nigeria 10% 3.2.4 Export of donkeys The market for donkeys is still subject to restrictions in Burkina Faso and Mali, where the strong Chinese demand for the skin of this animal has led the authorities of these countries to take precautionary measures that limit trafficking and slaughtering. As a result, flows could only be oberved between Niger (the exporting country) and Nigeria (importing country). The number of heads traded was 2, 075 for a value of US $ 166, 691. TABLE XVIII : VOLUME AND VALUE OF THE TRADE FLOWS OF DONKEYS Dec 2016 (Tonne) Nbr. of Heads Jan 2017 1 % (Jan- Dec)/Jan% Value Dec 16 Value Jan 17 (%) Niger 2 075 99.9-166 691 100.0 Importer Nigeria 100% Page 11/13
General conclusion The volume of agricultural commodities traded during the month of January 2017 was up by 25% and 38% respectively compared to January 2016 and December 2016. This increase is marked by the collection of darta on new products such as cola, tomatoes, spices including chillies and other products which increased the volume of traded products by 11.9%. Unlike agricultural commodities, the number of livestock traded during this month decreased by 5% from the previous month, but up by 11% from its level in the same month of the previous year. The value of trade observed in January 2017 on the main corridors amounted to $ 386,272,464 divided between $ 28,680,399 for livestock, i.e., 74.25% and $ 9,946,524 for agricultural products, i.e., 25.75%. The latter value is enhanced by the value of the new agricultural products, which account for 6.12% of the value of agro-pastoral trade total. It increased by 12% compared to the January 2016 value and 23% compared to December 2016. or numbers Product groups Janv-17 Dec-16 Jan-17 from Jan 2016 from Dec 2017 Cereals and Cowpea (MT) 20 259 16 798 26 979 25 38 New Products (MT) - - 3 671 Livestock (Nbr of heads) 102 996 121 978 115 822 11-5 Value ($) Cereals and Cowpea 5 486 305 3 714 708 7 582 277 28 51 New Products - - 2 364 247 Livestock 28 351 278 26 008 578 28 680 940 1 9 Total 33 837 583 29 723 286 38 627 464 12 23 Page 12/13