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China, Brazil and
    agricultural development in Africa.
           Trends and contrasts.
                               Frédéric Goulet &
Jean-Jacques Gabas, Clara Arnaud, Jimena Duran, Eric Sabourin


International Seminar “Role of SSC in Agricultural Development in Africa”
                                                                                           2
  Panel 3 : Brazil and China in Africa: similarities and differences in South-South Exchange
Objectives
 Explore and compare briefly forms of SSC
  in agriculture developed by China and
  Brazil
 Focus on relations between public and
  private initiatives
 Underline the emergence of new players
  (Argentina)


                                             3
Overview on public cooperation



                                 4
Public Cooperation
                China                                Brazil
FOCAC (2000) as a platform and       Dialogo Brazil-Africa (2010)
action plan                           similar
     strong diplomatic initiative

Mostly financial coop., through      Very few financial coop, or indirectly
preferential loans (Eximbank)        through support to Br. Companies (in
                                     process BNDES-ADB)

Scientific and Educational coop.     Scientific and Educational coop.
 CATTF                              Innovation Market Place, Unilab,
                                     etc.
Technical coop., through             Mostly technical cooperation, through
demonstration centres and experts    execution agencies (Embrapa)
missions

                                                                       5
Chinese practices of technical
cooperation
 60’s to 80’s : gifts, large farms, irrigation
  infrastructure, training in China, experts
  missions
 2000 : 20 Centres of demonstration
  promised (14), experts mission
       Difficult to inventory
   Case of Senegal (post Taiwan)
       2 centres, for rice and market gardening
       3 years missions of 5-6 Chinese technicians
        (Hubei province). Annual meeting in Dakar

                                                      6
Brazilian practices of technical
cooperation
   Since 2005, institutional reform and
    permanent representation of Embrapa
       Office in Accra, and expatriate staff (Sen., Mz)
 Expatriate staff based in local institutions
 Discovering difficulties of cooperation “in
  practice”:
       Interculturality and categories
       Development brokers, partners’ opportunism
       Discovering the position of the “developed”
                                                           7
Triangular cooperation
 Very few initiatives with China, or through
  partnership with international institutions
  (FAO, experts)
 Structural for Brazil
       In Mz, only triangular projects (ProAlimentar
        USAID, Prosavana JICA)
       Based on previous experiences (from Cerrado to
        Prosavana)
       Two levels of coordination, seen as complicated
       Starting triang. Coop. With FAO and Bill Gates
        Foundation
                                                      8
Overview on private investment &
cooperation



                               9
“Para-public” Chinese investment
   80’s : joint-ventures in agro-industry
       China-Africa Development Fund
   Since end 90’s, incitation to public or
    private companies
       Sometimes in the continuity of public aid
        projects
   Fuzzy frontier between ODA and private
    investment



                                                    10
Role of Chinese private sector
   Main way of action since 90’s
   National & provincial comp. encouraged to invest
       Ex public-agencies, with long experience in Africa
   Large companies, big projects with contrasted
    impacts
   Many small entrepreneurs : individual migrations
    and networks
       Hard to identify, but without « colonial » intention from
        Chinese gov.
       Communities (Hubai in Mz, Fujian or Henan in Sen.)
       Less than 10 employees
       Chicken, vegetables, farm inputs, for local markets

                                                                    11
Role of Brazilian private sector
   Less important than China, for large and small companies
       Some investments in biofuel industry, through joint-ventures
        (Angola, Sudan, Nigeria, Uganda)
       In process (BNDES conference 3rd may)
   Tight relation between Public Cooperation projects and private
    investment
       Small farm equipment industry in « Mais Alimentos Africa »
       ProSavana and incitation for Brazilian farmers and funds to invest
        in soybean
            Rumours against Mato Grosso investors
            Global Brazilian investment in Nacala Corridor
       Regional favourable context for soybean production
            Land, location, political conditions

                                                                       12
13
Brazil & Argentina :
South-American soybean champions
    Brazil and Arg. experts in soybean technical
     package
        biotechnology, no-tillage, agricultural
         machinery, know-how
  Southern African countries demand
  Public-private coordination to export
   products and know-how



                                                   14
15
16
Brazil & Argentina :
South-American soybean champions
   Brazil and Arg. experts in soybean technical
    package
       biotechnology, no-tillage, agricultural machinery,
        know-how
 Southern African demand
 Public-private coordination to export
  products and know-how
 Exporting agricultural duality ?
       ProSavana (Br)
       Soja + Pro-Huerta (Arg)
                                                       17
Conclusion (1)
   Perception from industrialized in triangular coop
        Br. appreciated for linguistic facility and competences in
         tropical agriculture
        Not equal to ambitions (Br)
        Problem of multiple missions vs long term
        Problem of double level coordination
   From African partners :
        Chinese villages, lack of formation promised, production
         sold to Chinese merchants
        Rumours of neo-colonialism
        Projects thought by politicians, difficult to adapt in situation
        In triangular coop., industrialized countries seen as leaders


                                                                    18
Conclusion (2)
   Contrasted importance of technical cooperation
   Shared vision of technology transfer
   Braz. claim of horizontality, selfless, “pure” coop.,
    while China consider « true » coop. through
    investment
   Fuzzy frontiers between public aid and private
    investment
   Reproducing success stories and duality (Br, Arg)




                                                       19

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China, Brazil and agricultural development in Africa. Trends and contrasts

  • 1.
  • 2. China, Brazil and agricultural development in Africa. Trends and contrasts. Frédéric Goulet & Jean-Jacques Gabas, Clara Arnaud, Jimena Duran, Eric Sabourin International Seminar “Role of SSC in Agricultural Development in Africa” 2 Panel 3 : Brazil and China in Africa: similarities and differences in South-South Exchange
  • 3. Objectives  Explore and compare briefly forms of SSC in agriculture developed by China and Brazil  Focus on relations between public and private initiatives  Underline the emergence of new players (Argentina) 3
  • 4. Overview on public cooperation 4
  • 5. Public Cooperation China Brazil FOCAC (2000) as a platform and Dialogo Brazil-Africa (2010) action plan  similar  strong diplomatic initiative Mostly financial coop., through Very few financial coop, or indirectly preferential loans (Eximbank) through support to Br. Companies (in process BNDES-ADB) Scientific and Educational coop. Scientific and Educational coop.  CATTF Innovation Market Place, Unilab, etc. Technical coop., through Mostly technical cooperation, through demonstration centres and experts execution agencies (Embrapa) missions 5
  • 6. Chinese practices of technical cooperation  60’s to 80’s : gifts, large farms, irrigation infrastructure, training in China, experts missions  2000 : 20 Centres of demonstration promised (14), experts mission  Difficult to inventory  Case of Senegal (post Taiwan)  2 centres, for rice and market gardening  3 years missions of 5-6 Chinese technicians (Hubei province). Annual meeting in Dakar 6
  • 7. Brazilian practices of technical cooperation  Since 2005, institutional reform and permanent representation of Embrapa  Office in Accra, and expatriate staff (Sen., Mz)  Expatriate staff based in local institutions  Discovering difficulties of cooperation “in practice”:  Interculturality and categories  Development brokers, partners’ opportunism  Discovering the position of the “developed” 7
  • 8. Triangular cooperation  Very few initiatives with China, or through partnership with international institutions (FAO, experts)  Structural for Brazil  In Mz, only triangular projects (ProAlimentar USAID, Prosavana JICA)  Based on previous experiences (from Cerrado to Prosavana)  Two levels of coordination, seen as complicated  Starting triang. Coop. With FAO and Bill Gates Foundation 8
  • 9. Overview on private investment & cooperation 9
  • 10. “Para-public” Chinese investment  80’s : joint-ventures in agro-industry  China-Africa Development Fund  Since end 90’s, incitation to public or private companies  Sometimes in the continuity of public aid projects  Fuzzy frontier between ODA and private investment 10
  • 11. Role of Chinese private sector  Main way of action since 90’s  National & provincial comp. encouraged to invest  Ex public-agencies, with long experience in Africa  Large companies, big projects with contrasted impacts  Many small entrepreneurs : individual migrations and networks  Hard to identify, but without « colonial » intention from Chinese gov.  Communities (Hubai in Mz, Fujian or Henan in Sen.)  Less than 10 employees  Chicken, vegetables, farm inputs, for local markets 11
  • 12. Role of Brazilian private sector  Less important than China, for large and small companies  Some investments in biofuel industry, through joint-ventures (Angola, Sudan, Nigeria, Uganda)  In process (BNDES conference 3rd may)  Tight relation between Public Cooperation projects and private investment  Small farm equipment industry in « Mais Alimentos Africa »  ProSavana and incitation for Brazilian farmers and funds to invest in soybean  Rumours against Mato Grosso investors  Global Brazilian investment in Nacala Corridor  Regional favourable context for soybean production  Land, location, political conditions 12
  • 13. 13
  • 14. Brazil & Argentina : South-American soybean champions  Brazil and Arg. experts in soybean technical package  biotechnology, no-tillage, agricultural machinery, know-how  Southern African countries demand  Public-private coordination to export products and know-how 14
  • 15. 15
  • 16. 16
  • 17. Brazil & Argentina : South-American soybean champions  Brazil and Arg. experts in soybean technical package  biotechnology, no-tillage, agricultural machinery, know-how  Southern African demand  Public-private coordination to export products and know-how  Exporting agricultural duality ?  ProSavana (Br)  Soja + Pro-Huerta (Arg) 17
  • 18. Conclusion (1)  Perception from industrialized in triangular coop  Br. appreciated for linguistic facility and competences in tropical agriculture  Not equal to ambitions (Br)  Problem of multiple missions vs long term  Problem of double level coordination  From African partners :  Chinese villages, lack of formation promised, production sold to Chinese merchants  Rumours of neo-colonialism  Projects thought by politicians, difficult to adapt in situation  In triangular coop., industrialized countries seen as leaders 18
  • 19. Conclusion (2)  Contrasted importance of technical cooperation  Shared vision of technology transfer  Braz. claim of horizontality, selfless, “pure” coop., while China consider « true » coop. through investment  Fuzzy frontiers between public aid and private investment  Reproducing success stories and duality (Br, Arg) 19

Editor's Notes

  1. Pacote tecnologico
  2. Legendaria modestia