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Brussels Briefing n. 57: Mamadou Goita "Supporting territorial markets and smallholder capacity to meet urban food demand"


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The Brussels Development Briefing n. 57 on “Investing in smallholder agriculture for food security and nutrition” organised by CTA, the European Commission/EuropeAid and the ACP Secretariat was held on Wednesday 11th September 2019, 9h00-13h00 at the ACP Secretariat, Avenue Georges Henri 451, 1200 Brussels, Room C. The Briefing discussed smallholder agriculture and its key role in delivering food security/nutrition, and sustainable food systems, as recognised in SDG 2.

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Brussels Briefing n. 57: Mamadou Goita "Supporting territorial markets and smallholder capacity to meet urban food demand"

  2. 2. WHAT ARE WE TALKING ABOUT? ◦ Markets linked to local, national or regional food systems, or ‘territorial markets’, defined as “highly diverse markets in which most of the food consumed in the world transits, [which] can range from local to transboundary to regional and may be located in rural, peri-urban or urban contexts or span these contexts, and are directly linked to local, national, and/or regional food systems. This means that the food concerned is produced, processed, and traded within these systems.” CFS, Policy Recommendations ‘Connecting Smallholders to Markets’, 2015, p.2.
  3. 3. CHARACTERISTICS OF TERRITORIAL MARKETS They are more deeply embedded in the territory than other types of markets (the great majority of goods, the vast majority of producers, most consumers and most traders are from the territory concerned); They are more characterised than other markets by the many horizontal (i.e. non-hierarchical) relationships between independent producers, processors, traders and consumers); They are inclusive and diversified in terms of the actors and products involved; They have multiple economic, social, cultural and ecological functions on their territory and are not limited to food supply alone; They are the most profitable for family producers, who have greater bargaining power over prices; They contribute to structuring the territorial economy by allowing the creation of wealth and its redistribution within the territory; They are described as ‘formal’ or ‘informal’ or are somewhere between the two; They can be located at different levels of the territory (local, national, and transboundary).
  4. 4. PRELIMINARY CONSIDERATIONS ◦ It is important to define the PURPOSE of Agriculture in West Africa. This is not the case in many African countries at present. This exercise in defining the purpose or purposes of agricultural, livestock (including pastoral), fisheries and forestry activities is an essential starting point for tackling the other important aspects of a country’s vision. ◦ Consequence 1: Very few countries in the region have agricultural policies, even though the region has ECOWAP as a regional common agricultural policy.
  5. 5. PRELIMINARY CONSIDERATIONS  In carrying out this scoping exercise, we also need to answer some important related questions: ◦ What type(s) of market(s) to create or promote? ◦ With which partners (upstream and downstream)? ◦ With which support for the promotion of products? (Economic and/or financial partnerships) ◦ Therefore: Which objectives and how to reach them?
  6. 6. THE BASIC PRINCIPLES OF FAMILY FARMING AND THE BASIS FOR FAVOURABLE POLICIES  The primary purpose of agriculture as promoted by Family Farming (FF) is to feed people; the creation of wealth only coming afterwards (it is not ruled out).  It works with the environment in order to respect the principles of sustainable production based on agro-ecological means of production.  It is a provider of sustainable employment for both farm members and others.  It systematically promotes the diversification of production by initially minimising risks rather than maximising profits (fights environmentally destructive monoculture systems).
  7. 7. BASIC PRINCIPLES (continued)  Contributes to organise local food markets according to a scale approach that goes from the household to an international level, via the village or hamlet, the commune (where it exists), the region, the country, the sub-region, the region etc. It contributes to a Social and Solidarity Economy with a better redistribution of generated resources.  Promotes participatory research in the production sector and ensures continuous professional training that is adapted to the way of life.  The means of production are controlled by the members of the farm.  It aims towards the achievement of food sovereignty, with respect, dignity and the principles of human security.
  8. 8. Example: Cereal production in West Africa after the food crisis Total cereal production in West Africa including Chad (2010-2011 season): Total production: 59,991,000 tonnes, of which: - Rice: 12,614,000 tonnes (+11%)/(2009-2010) - Maize: 17,727,000 tonnes (+10%)/(2009-2010) - Millet: 12,656,000 tonnes (+23%)/(2009-2010) - Sorghum: 16,575,000 tonnes (+18%) Other cereals: 419,000 tonnes Production of other food crops: - Yam: 55,582,700 tonnes (+5%) - Cassava: 66,970,700 tonnes (-10%) - CILSS cereal production: 22,271,000 tonnes 39.3% increase (2009-2010), 45% increase (5-year average) Increases in almost all CILSS countries (between 14% and 116%.) Chad and Niger up 116% and 50% respectively (both countries were hit hard in 2009). Burkina Faso, Gambia, Mauritania and Guinea Bissau: increases of 26%, 17%, 23% and 14% respectively. Cape Verde and Senegal: 5% decrease Cereal production increases are less significant in coastal areas Cereal production in coastal countries: 37,700,000 tonnes - 5% increase (2009-2010), - 9% increase (5-year average) All coastal countries (except Togo and Sierra Leone) have seen an increase in cereal production. Côte d'Ivoire (8.7%), Guinea (6.6%), Nigeria (5.3%), Ghana (11.5%), Benin (1.3%), Liberia (1.1%). Production is down in Sierra Leone (-20.4%) and Togo (-1.5%) (these countries had record production in 2009-2010.) Cereal production in the ECOWAS region: 56,337,000 tonnes, up 12% (2009-2010)
  9. 9. Illustration: Example of cereal production in West Africa
  10. 10. AGRICULTURAL FINANCING: WHAT IS IT? ◦ Capital formation (non-speculative) ◦ Acquisition and/or creation of wealth to invest in Agriculture (upstream and downstream)  Production, harvest and storage  Product development, including processing and consumption  Marketing Investment: should contribute to improving production and well-being of the population
  11. 11. INTERCONNECTED RISKS FACED BY FF IN WEST AFRICA Economic risks Social and political risks (internal) FF Sustainable livelihoods Natural and technical hazards
  12. 12. AGRICULTURAL FINANCE STAKEHOLDERS ◦States ◦FF ◦Bilateral and multinational cooperation ◦NGOs ◦Private sector (national and international)
  14. 14. OBJECTIVES FOR AGRICULTURAL POLICY ◦ Economic objectives ◦ Social and cultural objectives ◦ Objectives relating to the environment, the environment of the production system and land-use planning
  15. 15. CONDITIONS OF SUCCESS ◦ Levels of intervention and analysis ◦ Conditions of success and coherence: - Relevance and internal coherence of agricultural policy - Ownership of the policy among stakeholders - Means of financing - Coherence across political levels of intervention - Consistency with other policies
  16. 16. WHAT NEEDS TO BE DONE? (knowledge of needs) Different levels of stratification Ability to influence the design of agricultural, or other, policies Greater power in agricultural product markets Improving core resources Livelihood of producers Strengthening human and social capital
  17. 17. WHAT NEEDS TO BE DONE? ◦ Areas of investment Access to finance Finanicial and banking system Access to markets Differentiation of market levels Access to markets and other related resources Ability to control the links between different product levels Agri-food industries Access to social, economic, and political rights Access to public services
  18. 18. WHAT NEEDS TO BE DONE? Overall strategy Political and social recognition Regulation of markets Strengthening rights and access to resources,water, seeds and institutional resources Access to public services including basic social services Public policies to strengthen support for family farming
  19. 19. PILOT PROJECT FOR MAPPING OF TERRITORIAL MARKETS IN RESPONSE TO THE ISSUES RELATED TO THESE MARKETS ◦ An ongoing process, initiated and supported by the FAO, Via Campesina, ROPPA, Terra Nova, IRPAD and other stakeholders to give greater visibility to territorial markets; ◦ Ongoing trial in Africa implemented by ROPPA, ◦ Methodology to be tested and validated in South America from November 2019, promoted by Via Campesina ◦ A methodological framework based on the following approaches: ◦ -Undertake participatory initiatives to collect scientific data in multi-stakeholder partnerships (FOs, researchers, others), led by FOs and other civil society organisations so that the results contribute to improving the effects and impacts of actions carried out around territorial markets. ◦ -Establish methodological procedures that effectively promote the participation, and above all, the accountability of FOs and their members as regards data collection and co-processing with other actors such as researchers, governments, United Nations agencies, etc.). ◦ -Systematically and realistically link the mapping with the specific issues faced by FOs so that it feeds into thematic work on territorial markets and advocacy actions. ◦ -Ensure an appropriate balance between territorial market mapping and other types of existing mega data.
  20. 20.  MAPPING OBJECTIVES General objective: ◦ “To influence policies, to bring decision-makers to take decisions aimed at strengthening territorial markets” (First meeting of the coordination group, 2018) ◦ Specific objectives ◦ To increase the visibility of territorial markets in order to influence public policies in their favour; ◦ To set up permanent mechanisms for data collection and processing on territorial markets; ◦ To create alliances between different stakeholders in order to strengthen the links between markets and production systems.
  21. 21. WHICH DIRECTIONS FOR PUBLIC POLICIES?  Support family farming so that it can be more efficient and more contributory, and geared towards sustainability. In West Africa, it is family farming that feeds the population and thus ensures food and nutritional security.  Support the building up of stocks to ensure food sovereignty, with priority given to using local, national and regional production as a supply source.  Establish mechanisms to support West African agriculture (in the form of production and consumption subsidies), in order to tackle issues of investment, sustainable water management and other major constraints. It is imperative to develop agro-ecological alternatives against the model of industrial agriculture, which not only destroys jobs in this region (the case of Côte d'Ivoire and its environmental challenges), but also deprives FFs of the proper redistribution of created wealth.  Ensure a better organisation of territorial markets (local, sub-regional and regional) for local products through, among others, cereal exchanges that link producers and consumers, and that are not speculative exchanges (e.g. members of the Green Africa Network).  Provide producers with gainful income to ensure investment on farms but also to enable them to meet the needs of basic social services.
  22. 22. WHICH DIRECTIONS FOR PUBLIC POLICIES? – cont’d  Promote social security for producers and set up disaster funds, crop insurance funds and agricultural insurance funds as ways of to manage climate change and its consequences.  Set up funds for the processing and valorisation of local products, and to ensure their promotion.  Create participatory research programmes and integrate them into the national research system. The sovereignty of research must be affirmed.  Ensure the training and development of young farmers, fishermen and pastoralists/livestock keepers with an aim to create jobs and wealth, and renew farm managers.  Resolve land or agrarian issues taking into account the realities of each country. It is important to avoid the “securitisation” of land, which will ultimately lead to the privatisation of national land assets. The sale of land assets should not lead to conflicts that are difficult to manage. Alternative means of securitisation must be promoted in new land laws.
  23. 23. WHICH DIRECTIONS FOR PUBLIC POLICIES? – cont’d  Establish agri-food industries geared primarily to national and regional needs (as much as possible) as strategic tools for agricultural development in the broadest sense. The issue of industrialisation will be crucial for the future of African agriculture in terms of national added value, job promotion and especially the redistribution of wealth.  Develop and implement agricultural policies based on food sovereignty that establish food, production and other related topic as issues of human rights, but also a means of creating wealth and sustainably redistributing it.
  24. 24. KEY MESSAGES (1/2)  The current financing tools for agriculture are ill-adapted to family farms and the way they work;  Priority public financing with appropriate governance is the best channel to ensure sovereign financing of agriculture;  The financing of agriculture cannot be separated from the system of production, product development and the most favoured types of markets.
  25. 25. KEY MESSAGES (2/2) ◦ The Public-Private Partnership (PPP) approach that excludes producers is a major problem in agricultural financing; ◦ It is important to change the paradigm in order to promote a better integration of agricultural financing systems.
  26. 26. THAT’S ALL FOR NOW!