Way forward to a common blue-print for agribusiness investments in partnership with farmers' organisations in ACP Countries part 1

Transcription

1 10h30-11h45 Way forward to a common blue-print for agribusiness investments in partnership with farmers' organisations in ACP Countries part 1 Good morning Ladies and Gentlemen. My name is Michael Hailu, I am Director of CTA and I will be moderating this morning s high-level session. Welcome to the High Level Seminar on the Way forward to a common blueprint for agribusiness investments in partnership with farmers' organisations in ACP Countries. This is the second day of our conference, co-hosted by the African Union, The European Commission and the ACP Secretariat. We will have two high-level panels this morning--one before coffee and the other after coffee. Language regime: English and French. Strongly urge everyone to use the language they are most comfortable with: the interpreters will thank you! The sessions will be watched from the overflow room at the Pacific Pavilion as well as via web stream. Introduction Transformation of the agricultural sector in ACP countries will be critical in achieving many of the SDGs to tackle poverty (SDG1), hunger and malnutrition (SDG2), to create decent employment (SDG8), to combat climate change (SDG13), and to protect ecosystems (SDG15). Studies have shown that growth in the agricultural sector is four times more effective in reducing poverty than growth in other sectors. Agriculture and agribusiness in ACP countries face many challenges--low productivity, high post-harvest losses, an aging population, low value addition and massive under-investment in infrastructure, inputs and technology On the positive side, the prospects for agriculture are very promising.

2 For example, the demand from fast-growing African cities not only for staples but for processed foods, meat and vegetables is increasing rapidly. According to the World Bank, Africa s food and beverages markets is projected to grow 4-fold to $1 trillion by Much of this demand could be met through increased production, value addition and intra-regional trade; at the moment import of agricultural products is close to $40 billion in Africa and around $4 billion each in the Caribbean and Pacific. Through enabling policies, increased investments from both public and private sources as well as strong public-private partnerships, ACP agriculture could turn the corner to become a real engine for economic growth Agricultural growth will bring good prospects for upstream businesses in input supply, machinery, advisory services and so on. It is also known that more and more value gets created downstream from agriculture--in logistics services, processing, branding, distribution and the like--again creating large opportunities for agri-businesses. This offers enormous scope for cooperation between EU businesses, which can bring in capital and expertise, and ACP farmers organizations and SMEs. Farmers organizations working together with agribusiness (both local and global), governments, policy organs such as the AUC and development partners, such as the EU, could overcome many of the barriers to transforming agriculture in ACP countries. In the last few years, we have seen strong interest and commitment to agricultural transformation from governments, development partners and the private sector. With the Malabo Declaration on Agricultural Growth and Transformation, African Heads of State have made a significant commitment and set out concrete targets to be met by 2025, including:

3 - to triple intra-african trade in agricultural commodities and services; - to establish and/or strengthen inclusive public-private partnerships for at least five (5) priority agricultural commodity value chains with strong linkage to smallholder agriculture; - to create job opportunities for at least 30% of the youth in agricultural value chains; and - to support and facilitate preferential entry and participation for women and youth in gainful and attractive agri-business opportunities. - One of the key objectives of the discussions yesterday and the high-level seminar today is to learn from some of the good practices and forge transformative partnerships between farmers organisations, agribusiness, financial institutions, and technical organizations in the context of ACP-EU cooperation. As Commissioner Phil Hogan said yesterday at the dinner, ACP and EU coming together could be a formidable force. Ladies and gentlemen, Our first speaker this morning is Professor Jo SWINNEN. Jo has followed yesterday s workshops and it is his role ot make the llink between the excellent «brianstorming» yesterday and today s high-level dicussion. Johan Swinnen is Professor of Economics and Director of the LICOS-Centre for Institutions and Economic Performance at the University of Leuven, Belgium; Senior Research Fellow at the Centre for European Policy Studies; a Visiting Scholar at the Centre for Food Security and the Environment at Stanford University. Our next speaker is... H.E. Rhoda Peace TUMUSIIME, the Commissioner for Rural Economy and Agriculture at the African Union. Her portfolio as AU Commissioner covers multiple agricultural and climate change issues. Since joining the African Union Commission, she has effectively steered the Agriculture and Rural Development portfolio and elevated the prioritisation of Agriculture in Africa. Question The Malabo Declaration African Leaders made a Commitment to Enhancing Investment Finance, both public and private, to agriculture, and creates and enhances necessary appropriate policy and institutional conditions and support systems for facilitation of private investment in

4 agriculture, agri-business and agro-industries, by giving priority to local investors. The EU remains a main market for Africa while at the same time there are untapped opportunities in the intra-regional trade. How do you see the Malabo Declaration supporting PPPs and investments at local and Africa EU levels? Mr. Ishmael Sunga is the Chief Executive Officer of the Southern African Confederation of Agricultural Unions (SACAU), South Africa. Mr Sunga joined SACAU as its CEO in Through his leadership, SACAU has become the main voice of farmers in southern Africa and is recognized as the main policy dialogue partner for many regional bodies the SADC region. Question How do you see the role of FOs in facilitating the linkages of small-scale farmers with the agribusiness and promoting PPPs? Provide any example you find useful. Mr Alan JAGOE, President of the European Council of Young Farmers, CEJA. He is a 32 year-old dairy and arable young farmer from Carrigaline, County Cork in Ireland and farms with his father and brother, milking 200 cows and supplying the milk to their local co-operative. Mr. Jagoe has conducted studies into Land Mobility and has been involved in significant work on the CAP reform in Ireland. Questions: If you could give only one advice to young ACP farmers, what would it be? Mr. Phil Hogan, European Commissioner for Agriculture and Rural Development also Co-Hosting this event EU to remain most open market importing Euro 860 billion annually from developing countries His responsibilities include: Ensuring that EU agricultural and rural development policies promote growth, investment and new jobs.

5 Identifying how European agriculture can be more energy efficient and can lower its carbon dioxide emissions. Questions There is an increased interest from the EU agribusiness to invest in Africa. How is the EC/DG AGRI facilitating inclusive PPPs and investment in the agricultural sector in ACP countries? 11h45-12h00 Coffee break 12:00-12:45 Welcome back to the 2 nd part of our panel discussion: Mr. Pim van Ballekom is Vice President of the European Investment Bank, responsible for finance, a position he has held since January The European Investment Bank has over 50 years experience supporting EU development policies in ACP with over EUR 18bn invested in more than projects. Its roadmap aims at promoting job creation and stimulates entrepreneurship by improving business environments, engaging in PPPs and encouraging regional integration. Questions What have been your achievements and challenges in mobilizing private sector financing for agribusiness investments? Please share some examples to help illustrate this. Does the EIB encourage specific partnerships that help link smallholders to profitable value chains? What are the most difficult constraints that the private sector faces to increase financing in agriculture where the public sector could help? Marike de Peña is Director and co-founder of Banelino, a banana cooperative of nearly 400 small farmers in the North-western Dominican Republic. The cooperative works to defend the interests of farmers in the market and promotes strong farmer alliances and organization. She also is Chair of the Latin American and Caribbean Network of Small Producer Organizations (CLAC). Marike was born in Holland, but has lived and worked in the Dominican Republic for 25 years. Marike is also coordinator of a network of banana farmers, and president of the Dominican national platform for small Fairtrade farmers. Questions, What are the prospects for linking small holders to fair trade markets, including in the ACP regions? Any success story to share?

6 Mr Philippe SCHOLTÈS, Managing Director of Programme Development and Technical Cooperation Division, UNIDO. He also led the Agribusiness Development Branch at UNIDO. He drove the partnerships with FAO, IFAD, AUC and the AfDB around the African Agri-business and Agro-Industries Development Initiative (3ADI). One of the key aspects of the Initiative is the alignment of development assistance with larger resource flows in order to raise overall impact on food security and wealth creation. Questions From the experience of your interventions to promote agribusiness in developing countries, what innovative instruments UNIDO promotes to improve outreach to local smallholders and agribusinesses? Do you have success stories to share? Mr Stephen MINTAH, Chairman of COLEACP since June He has also been director general of Sea-Freight Pineapple Exporters of Ghana (SPEG), an association of pineapple producers. COLEACP is inter-professional association of exporters, importers and other stakeholders of the EU - ACP horticultural trade. Provides multiple services, including market access, R&D, training, technical assistance and advocacy, Question As a private sector representative, what three things according to you are missing to accelerate agribusiness development in Africa? Mr Neven MIMICA, European Commissioner for International Development and Cooperation responsible for EU s Development Policy - The EU and its member states the world s largest provider of ODA with Euro 58.2 billion in Over the last decade, support by the Commission for private sector development has averaged 350 million per year - The EU will leverage more development funding through blending by investing up to 8 billion to help mobilize over 100 billion by Questions, if time. - The EC (DG DEVCO) gives priority to the private sector development. How does it contribute to the policy environment and to improve the business climate in ACP countries?

7 12h45-13h00 Concluding remarks John Clarke is Deputy Director General (Acting) in DG Agriculture and rural development. He is in charge of the international directorates. Mr John CLARKE, Deputy Director General (ff), Directorate General for Agriculture and Rural Development, European Commission Questions, if time. Chair s conclusions and observations. Thanks to our co-hosts AU Commisison, EU Commisison and ACP Secretariat. [Check: Also thanks to Pacific Group for lending their Pavilion as an overspill room.] Thanks especially to co-organisers COLEACP, EIB and UNIDO and CTA who provided and managed the workshops yesterday. Special thanks to the AGRI EXPO team who managed logistics and travel and accommodation. Thanks to interpreters. Lunch follows. 13h00-14h00 Lunch