Regional Integration and Food Security in Africa
Sustained economic development, including efforts to reap and secure gains in food security, in Africa hinges on regional integration. The impetus for the rapid pace at which regional integration projects were deepened across the continent, in the last decade, underscores this. In particular, African states acknowledged the political and economic benefits of regional integration, as per the general objectives of the Cotonou Partnership Agreement in 2000, the launch of the New Partnership for Africa’s Development (NEPAD) in 2001, and the emergence of the African Union in 2002.
Nonetheless, the African integration processes have a far way to go. Although people move relatively freely across borders in ECOWAS and other sub-regions, much more ought to be done to create a critical mass of people who believe in the vision. The fact that regional integration can result in tangible benefits for the average African, by putting food on their plates cheaper and more efficiently, should be a strong selling point. But inefficiencies within the existing regional frameworks impede these significant gains.
According to the FAO, intra-regional trade account for a mere 13% of Sub-Saharan Africa’s US$6 billion food import bill. As Vanessa Adams, Director, USAID West Africa Trade Hub, noted at a recent panel discussion, “whether food is sourced nationally, regionally or internationally, the need for faster and cheaper transport of food is urgent. It also offers promising business opportunities…” This observation is critical as upwards of a third of all foods grown in Africa never gets to market in edible fashion; it’s wasted…and that’s not because it reached anyone’s plate. To a great extent, this is due to poor transportation, but, in a broader sense, it is much more a matter of poor value chain management and practices.
My main assertion is that an inverse relationship exists between transport infrastructure and trade—and ultimately economic development. The World Bank corroborates this view in its declaration that a 10% decrease in transport costs results in a 20% increase in trade. But the extent to which logistics technologies have been leveraged and effectively deployed to warehouse and transport farm produce on the continent is limited. Some might add that the roadways across Africa, particularly West Africa, are far better today than they were a decade ago, and to that I would say, yes, but transport in a regionally integrated context depends on much more than improved roadways, though important. These inefficiencies underline my emphasis on the link between regional integration and food security.
In other words, inefficient regional trade breeds food insecurity. So, until the cross border impediments to the free flow of goods are removed, this transportation challenge will remain and food insecurity will persist!
Below are a few anecdotes from business owners faced with transportation challenges in West Africa’s ECOWAS area. The notes were shared by Vanessa Adams during the panel discussion.
- If we could cross borders faster, we could make 12 trips to Accra instead of current 3, reducing costs. (Furniture)
- We’ve been ETLS registered for 6 years. But countries still impose high duties, raising our delivered prices by 30%. We can’t compete against imports! (Juice producer)
- ECOWAS misplaced our application for ETLS Registration. When will application process be “on-line”? (Agriculture trader)
- We sized our plant for an ECOWAS-wide market. That didn’t happen and we’re now operating at 20% capacity. (Paint)
- We intend to invest $5 million and hire 120 staff – IF we can be assured of access to a larger market. (Furniture)