Transforming African Agri-food systems for inclusive growth and a shared prosperity

 29TH FAO REGIONAL CONFERENCE FOR 

AFRICA

Public Private Partnerships for Inclusive Agricultural Growth

Abidjan, Côte d’Ivoire, 4-8 April 2016 

Transforming African Agri-food systems for inclusive growth and a shared prosperity

Public Private PartnershipsWhy the hype?? PPP buzzword?

Transforming African Agri-food systems for inclusive growth and a shared prosperity

Why partner? 1. Scale of investment means public sector cannot do it aloneRationale for agri-PPPs 2. High risk of doing business in

agriculture can deter privatesector participation

3. Partnerships can drive innovation, market access

andinclusion of smallholders

PPPs help to resolve: market and/or policy failure

to deliver public good

Transforming African Agri-food systems for inclusive growth and a shared prosperity

PPPs are a tool towards achievement of the Malabo Declaration Goals 2025 and CAADP, specifically:

Com 2: Enhance public and private investment in agricultureCom 4: Halve poverty through inclusive agricultural growth and transformation

CAADP results framework 2015-2025 aims to measure the number of agricultural PPPs successfully undertaken and the cumulative value of investments in PPPs

Transforming African Agri-food systems for inclusive growth and a shared prosperity

FAO Agri-PPP definition

Formalized partnerships between public institutions and private partners designed to address sustainable agricultural development

objectives…… where the public benefits anticipated

from the partnership are clearly defined investment contributions and risk are

shared active roles exist for all partners

throughout the PPP project lifecycle

Transforming African Agri-food systems for inclusive growth and a shared prosperity

What is the public benefit?

•Food security Broad-based industry development

•Import substitution Inclusion of smallholders and SMEs

•Food safety Strengthen rural institutions

•Environmental management Increase productivity and competitiveness of domestic

actors•Poverty reduction

•Rural employment creation

Transforming African Agri-food systems for inclusive growth and a shared prosperity

Entry points for PPPs in the agricultural sector

•Agricultural value chain development•Agricultural research, innovation and technology transfer•Building and upgrading market infrastructure•Business development services

Transforming African Agri-food systems for inclusive growth and a shared prosperity

Who are the Partners?

Private•Global and domestic food companies•Input supply and agro-processing companies•Financial institutions •SMEs and producer associations•Civil society (NGOs)

Public•Central and decentralized government•State banks and rural finance corporations •State-owned enterprises•Research institutions and universities•Donors

Transforming African Agri-food systems for inclusive growth and a shared prosperity

Issues and challenges: not a panacea!

Transforming African Agri-food systems for inclusive growth and a shared prosperity

Matters for attention of the Regional Conference