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Collective Action News

Updates from agricultural research in Africa


June 2010
Issue No 20

Developing Africa’s Agricultural Markets Newsbytes


In May 2009, 150 of the world’s leading market experts
gathered in Nairobi, Kenya to consider how governments,
Come participate at FARA’s
donors and other stakeholders could improve Africa’s national
General Assembly with us
and regional agricultural markets. Their goal was to identify and
The forthcoming General
recommend priority actions for achieving more efficient and
Assembly of the Forum for
effective markets that would contribute to poverty reduction
Agricultural Research in Africa
and economic development throughout the continent.
(FARA) which starts July 19, has
presented us with an excellent
The Conference, organized by the Alliance for a Green
opportunity to showcase the
Revolution in Africa, (AGRA) and the International Livestock
Ongoing Research Map as one
Research Institute (ILRI), comprised a wide range of
of CGIAR’s innovations to the
representatives from the African agricultural value chain.
hundreds of participants from
Africa and beyond. If you’re
Participants considered interventions that have improved African
aiming to increase the visibility
markets as well as actions and policies that have undermined
of your research work, leave
them. Overall, the experts concurred that no single institution
digital footprints, while at
or group of special interest stakeholders could resolve the array
the same time contribute to
of problems afflicting Africa’s agricultural markets. Participants
information and knowledge
called for a range of efforts that would dramatically scale up
sharing in the CGIAR, add
proven interventions and test new ideas and approaches that
your projects to the list of 300
would unleash the capacity of African agriculture to improve
and more projects already
livelihoods and drive economic growth.
available. Please visit http://
ongoing-research.cgiar.org/ for
Among the many recommendations made for priority action was the need to encourage innovations that improve
more.
market efficiency and more fully integrate small-scale agro-entrepreneurs into marketing processes. Another
recommendation was to support the provision of financial services to small-scale agro-enterprises and smallholder
Farming Matters Magazine
farmers – especially women – and the channeling of “smart subsidies” for farmers and small agro-businesses through
Farming Matters (formerly
private sector input suppliers in order to create market demand.
LEISA Magazine) is always up
The assembled market experts also agreed that policy makers should subject their existing and planned investments to date with local experiences
to impartial and independent analyses of anticipated returns in order to reduce transaction costs for smallholder on small-scale farming around
producers and market intermediaries. the world, news, international
debates, opinions and
Interventions that help level the playing field and provide for more secure transactions for sellers and buyers were background information on
also considered a high priority, as was increased technical skills training in post-harvest value addition for the sustainable family farming. The
commodities for which African producers have a comparative advantage. latest issue, ‘Money Matters’,
The conference participants also noted growing evidence that informal market systems managed by small-scale includes articles on contract
players can be upgraded significantly through improvements in technical post-harvest and marketing skills and farming in Zambia, value-chain
assistance in establishing effective certification systems. finance, and “thinking beyond
credit”. Go to www.ileia.org
A general consensus was reached that the traditional heavy reliance on policy change as the main instrument for
improving markets should be reduced in favor of pursuing a more diverse strategy with a focus on investments. While
the policy environment remains critical, recent evidence suggests that market-oriented investments by a variety of
actors – small-market players, charities and donors, large-scale private sector organizations, and governments – can
stimulate changes in behavior and performance, and ultimately improve market opportunities in many settings. COLLECTIVE ACTION NEWS is a periodical e-publication
While some existing policies may continue to undermine market development, many conference participants felt of the CGIAR’s Regional Collective Action in Eastern and
Southern Africa, hosted at the International Livestock
that identifying examples of successful investment initiatives might be the best way to stimulate needed policy Research Institute and the World Agroforestry Centre,
changes. both of which are supported by the Consultative Group
on International Agricultural Research (CGIAR)

In closing the conference, AGRA President, Dr. Namanga Ngongi, stressed the importance of bringing together a Newsletter team:
similarly diverse group of experts to clarify what needs to be done next, when and by whom in order to develop Kate Longley, Evelyn Katingi, Yvonne Otieno and Steve
Staal
Africa’s local, national and regional markets. Concrete actions that will promote the ability of these markets to
absorb the fruits of smallholder productivity increases are essential, he noted. The right actions by key players across Questions, comments, feedback? Please email:
Y.Otieno@cgiar.org
the continent will reinforce the growing momentum for a uniquely African Green Revolution, he said, and in so
doing help increase food security and reduce poverty for millions. © 2010 Copyright and Fair Use.
ILRI and World Agroforestry Centre encourage fair use,
without alteration, of these materials for non-commercial
For further information, please contact Steve Staal: s.staal@cgiar.org purposes. Proper citation is required in all instances.
Information owned by other providers and requiring
permission is marked as such. Website links provided
The Regional Collective Action Flagship Program on Markets and Institutions played a central role in the development, by our sites will have their own policies that must be
implementation and reporting of this conference. Representatives from CIAT, CIMMYT, ICRAF, ICRISAT, IITA, IFPRI, ILRI not honoured. The information provided by ILRI and World
only presented papers at the conference, but contributed to development of the conference structure, chaired the parallel Agroforestry Centre is, to the best of our knowledge,
accurate although we do not guarantee the information
sessions, and acted as reviewers of the conference papers in preparation for the proceedings. The Regional Collective Action nor are we liable for any damages arising from its use.
Coordinator at that time, Ravi Prabhu, also facilitated key parts of the conference.
Visit our websites:
http://www.ilri.org ,
http://www.worldagroforestry.org and
This document has been produced with the financial assistance of the European Union and with the technical support of IFAD.
http://www.ilri.org/regionalplan/index.php
The views expressed herein can in no way be taken to reflect the official opinion of IFAD and the European Union