PARTNERSHIPS IN SUPPORT OF CAADP

OVERVIEW: ALLIANCE FORCOMMODITY TRADE

IN EASTERN ANDSOUTHERN AFRICA (ACTESA), MAY 2009

WORK PLANNING MEETING

PARTNERSHIPS IN SUPPORT OF CAADP

OBJECTIVES OF PRESENTATION

• WHAT IS ACTESA?

• WHY DO WE NEED ACTESA?

• WHAT ARE THE OBJECTIVES OF ACTESA?

• WHAT ARE THE SUGGESTED PRIORITIES OF ACTESA – OVER THE NEXT YEAR?

• WHAT IS ACTESA’S PRESENT CAPACITY? WHAT IS ACTESA’S LEGAL STATUS?

PARTNERSHIPS IN SUPPORT OF CAADP

WHAT IS ACTESA ?

• ACTESA is an INITIATIVE DESIGNED and LAUNCHED BY COMESA, under the CAADP agenda to:

“BRING TOGETHER EXISTING and NEW ACTIVITIES (mainly of Pillar 2 – Markets- and Pillar 3 – Food/Nutrition Security) in AN INSTITUTIONAL FRAMEWORK”

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ACTESA’s GOAL

“INCREASED INTEGRATION AND

IMPROVED REGIONAL

COMPETITIVENESS OF STAPLE

FOOD MARKETS ACROSS

COMESA LEADING TO BROAD

BASED GROWTH AND

DECREASED FOOD INSECURITY”

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WHY ACTESA?• 90 % of all Staple Crop Producers are

smallholders • Only about 10% produce for the market ;

90% produce for household consumption• 50-60% (of the 10% who produce for

the market) sell at harvest (only to buy later)

Seeks to Tackle the Poor organization

of smallholders and the lack of

Predictable selling mechanisms

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WHY ACTESA ?

The COMESA Region receives

Substantial Quantities of Food Aid –

ACTESA seeks to help Member

States to ensure that,

(i) food aid assistance in the region is

development oriented, and

(ii) is promoting sustainability of food security among target beneficiaries.

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WHY ACTESA?

• USD19 billion is spent by COMESA Member States on food imports

• USD 3 billion Intra COMESA trade in all agricultural products

Region has Great opportunity to

expand trade in food staples –

Has well known food surplus

areas

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COMESA AGRICULTURAL SECTOR CHALLENGES – CAIRO 2005

TECHNOLOGICAL CONSTRAINTS

MARKET RELATED CONSTRAINTS

(ACTESA)

POLICY RELATED CONSTRAINTS

(ACTESA)

Low Productivity

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NET RESULT OF STATUS QUO: FAO HUNGER MAP

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ACTESA OBJECTIVES

• (i) Improved Competitiveness: Policy Dialogue

• (ii) Improved Services / Facilities

• (iii) Increased Integration/Commercialization: Capacity for Engagement

• (iv) Over-arching goal : To increase farmer productivity and incomes

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11

2003, Crop Yields (MT/ha) – COMESA vs. Global

Crop COMESA GLOBAL

Maize 1.39 4.47

Rice 1.12 3.84

Wheat 1.38 2.66

Sorghum 0.67 1.30

Millet 0.47 0.82

Potatoes 7.46 16.45

Sweet Potatoes 4.29 13.49

Cassava 8.18 10.76

Beans 0.60 0.70

Groundnuts 0.62 1.35

Sugar Cane 4.11 65.29

Bananas 4.69 15.25

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OBJECTIVE 1: COMPETITIVENESS

ENHANCED POLICY DIALOGUE:

IMPORT/EXPORT BANS,

SPS,

STANDARDS,

SIMPLIFIED TRADE REGIMES

IMPLEMENTATION RCA; Analysis

Methodology; Advocacy in COMESA

Policy Meetings

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OBJECTIVE 2: MARKET SERVICES/FACILITIES

• financial services,

• emerging warehousing receipt programs, market information systems,

• transport and infrastructure,

• upscale simplified custom systems, emerging commodity exchanges, bulking centers among others

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OBJECTIVE 3: INCREASED COMMERCIALIZATION

• Association development (e.g. cassava, bananas, etc)

• Contract Compliance Training• Full COMESA Trade Regimes

Training Support and appeal measures.

• Lessons learnt from our RATES programme

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FOCUS COMMODITIES• maize,

• sorghum,

• rice,

• Beans,

• pulses,

• cassava, and bananas.

• Additionally, livestock and livestock products, as well as selected food products produced in marginal agro-ecological zones, will be included.

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REGIONAL LINKAGES• Market Linkages Program of AGRA• P4P of WFP• GISAMA, REFORM in COMESA• AAMP in COMESA/EAC/SADC• ESASA, ASARECA/FANRPAN PPs• COMPETE• EAGC PROGRAMS• SACAU PROGRAMS• EAFF; PACT II

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ALLIANCE/IMPLEMENTATION

PARTNERS• Agribusinesses

• Banks, Microfinance Institutions

• Trade Associations (EAGC)

• Farmer Organizations(SACAU, EAFF), Research Entities

• Foundations (AGRA), Development Partners(USAID, WFP,SIDA, DfiD, etc)

• ESASA

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UPDATE ON PROGRESS PARTIAL YEAR 1 WORK

PLAN• Secretariat – Within the CAADP Office at

COMESA

• Staff Recruitment - Ongoing

• Work Plan Meeting : MAY 2009 (RRT Kick Off): Discuss Governance Structure; Define Concrete activities: Malawi, Other Areas of the Region, Commodity Exchanges; Update on Funds Mobilization Status: USAID, EC, AGRA, P4P, SIDA, DfID, etc

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UPDATE on PROGRESSReport to COMESA Organ May/June

2009 Meetings:

“The Inter Governmental Committee is

Invited to recommend that ACTESA

be formally RECOGNIZED as a

SPECIALIZED AGENCY of COMESA as

PROVIDED for under ARTICLE 182 of

the TREATY”

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CAPACITY STATUS• Coordinator will be recruited 2009

• Trade/Markets Advisor will be recruited 2009 (Objective 2 person)

• Production/Market Development Advisor later (Objective 3 person)

• Senior Policy Advisor Later (Objective 1 person)

• Communications/Advocacy specialist Later

• M/E specialist later

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SUGGESTED PRIORITY AREAS

• Process Side: Steering Committee

• Objective 2: Market Information – Support COMESA’s Comprehensive Market Information System (FAMIS)

• Support Selected Commodity Exchanges to Effectively Link with WFP P4P

• Strategy/Operational Plan

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LOCATION OF ACTESA

• Over the Next 2 years: LUSAKA

• After 2 years: LUSAKA, NAIROBI, ENTEBBE or elsewhere.

PARTNERSHIPS IN SUPPORT OF CAADP

THANK YOU

www.comesa.int