Value Chain Approach – Economic

Opportunities to youth in West Africa

Karin Wied Thomsen, Oct 2014

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Agenda

1.About BØRNEfonden

2.Value Chain interventions

- Creating economic opportunities for youth in

rural West Africa

3.Challenges to youth entrepreneurship in

agriculture

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Karin Wied Thomsen

• Advisor to BØRNEfonden’s ‘Income Generation’ programme

• M.Sc. in Social Anthropology + Agricultural Development

• Work record

• Danish development assistance

• NGO’s , both Asia and Africa.

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About BØRNEfonden

• Danish development NGO

• Member of Child Fund Alliance

• Annual turnover of 200 million DKK

(34 million US $)

• West Africa: 5 programme countries

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Our work

• Four intervention areas –

holistic approach

• Children – families –

communities

• 15-20 years community

presence

Health

Education

Income Generating Activities

Children and Development

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Youth entrepreneurship in agriculture

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• It’s about making money - From production focus to market focus

• The NGO as facilitator : ‘Exit before you enter’

• Focus on women and youth

• Examples from Benin and Mali

BØRNEfonden Value Chain interventions

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Benin: ‘Women Micro Entrepreneurship’

(2010-2014) Project title: ‘Développement du Micro-Entreprenariat des Femmes’ (DMEF)

• 450 women with own micro-enterprises (<5-10 employees)

• Processing of: groundnuts, palm nuts, palm sap, cassava

• Film: http://www.youtube.com/watch?v=W1ff6ibrkdI

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DMEF Project approach

• Facilitation of links between value chain actors: • Stakeholder workshops

• Negotiations, contracts

• Training • Technical issues: quality assurance, standards

• Entrepreneurship and business management

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DMEF Project approach – cont.

• Individual post-training follow-up: mentoring, coaching

• Formalisation: • Personal identity papers

• Formal registration of businesses

• Product Certification

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Linking value chain actors

Private actors:

• Input suppliers

• Microfinance

Institutions, banks

• Producer

associations

• Buyers: Middlemen,

Supermarkets etc.

Public actors:

• Chamber of Commerce

• Local authorities

(Communes / Mayor's

Office)

• Agricultural advisory

services (Min. of Agric.)

• Research Institutions

• Certification Authorities

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DMEF project results - highlights

Increased income:

80% have increased their

revenue by more than 15%

(from 2010 to 2012)

Access to (larger) loans

New, improved

technologies

Improved business

management

Improved market access

(domestic + export)

Joint purchase and sales= higher

prices

Standardised higher quality

products

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Mali: Addressing all steps in the value chain

both men and women

• Agricultural products: Maize, sorghum, ground nuts, vegetables

• Processed into eg. flour, peeled grains, biscuits, juice etc.

• Honey

• Processed into: honey for consumption, lotion, soap

• Milk

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Mali example

Production + storage/conservation

– A man’s world!

• Men organised in producers’ groups

• Training: technical + business

management skills

• Access to funding, credits

investments (equipment, inputs)

• Links/agreements with input suppliers,

research inst., ext. services

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Mali example

Processing, packaging, marketing, selling

– The women’s domain!

• Women form ‘Econ. Interest Group’ (EIG)

• Training

• processing techniques

• business + org. Management

• marketing/market analysis etc.

• literacy

• Supported for processing equipment +

access to funding, credits

• Selling at market fairs, road shop

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Benin: Strengthening young rabbit

producers

• Zou + Ouémé départements: High

demand for rabbit meat

• Different types of support to young

producers:

1. Facilitation of links to value chain actors

2. Organisation and support to formal

registration of producers’ association

3. Manual + training in technical topics,

individual follow-up

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Key components of our value chain

interventions

• Facilitation of links to other Value chain actors

• Training – both technical and entrepreneurship-business skills

• Access to funding

• Encourage organisation/networking

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Challenges to youth entrepreneurship in

agriculture

• Agriculture perceived as old-fashioned,

non-profitable

• Access to funding difficult

• High degree of mobility, little patience

• Limited practical experience

• Traditional perception of youth

23 Want to know more?

Karin Wied Thomsen: kwt@bornefonden.dk

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Challenges to youth in rural West Africa

• Traditional hierarchies: Youth w. low status, no influence on decision making

frustration, out-migration

• Early pregnancies, STI’s, unsafe working conditions

poor employment/income generation possibilities (particularly for young women)

• Limited access to relevant education (technical-vocational training)

lack of skills to obtain (self) employment, end up in low-skilled, poorly paid

employment

• Lack of economic opportunities, agriculture conceived as non-profitable and old-fashion

demotivation, out-migration

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Children and

Development Health Education

Income

Generation

ENTREPRENEURSHIP-

BUSINESS TRAINING,

ACCESS TO FUNDING

SRH TRAINING, PEER

EDUCATION

LIFESKILLS TRAINING,

SELF-ORG.ANISATION

CITIZENSHIP

VOCATIONAL

TRAINING CENTRES +

SHORT TERM

BØRNEfonden’s Youth strategy

- A response to youth challenges