In this section, you may find new materials that have been published on the topic of ‘ Realising the Promise of Agriculture for Africa’s Transformation’, since the date of the event. We continually select major new publications and articles that add up to the policy points discussed in this briefing.
Winning in Africa’s agricultural market
Agriculture in Africa has a massive social and economic footprint. More than 60 percent of the population of sub-Saharan Africa is smallholder farmers, and about 23 percent of sub-Saharan Africa’s GDP comes from agriculture. Yet, Africa’s full agricultural potential remains untapped. In a recent analysis, we determined that Africa could produce two to three times more cereals and grains (Exhibit 1), which would add 20 percent more cereals and grains to the current worldwide 2.6 billion tons of output. Similar increases could be seen in the production of horticulture crops and livestock.Building on three years of analysis and on-the-ground experience with agriculture in sub-Saharan Africa (see sidebar, “Methodology”), this article offers insights in two areas. First, we address findings from our analysis on where the opportunity for growth lies in African agriculture, looking closely at growth in different countries, land expansion, cost competitiveness, and farmer productivity. Second, we describe practical recommendations on the supply and demand sides for companies—both local and multinational—looking to grow in this high-potential but challenging market. Governments, investors, and development partners can also follow this guidance to support the private sector.
Agricultural opportunities in Africa: Crop farming in Ethiopia, Nigeria and Tanzania
Deloitte, October 2017
Our report explores crop production opportunities and finds that three crops in three countries – namely, wheat in Ethiopia, cassava in Nigeria and maize in Tanzania – have considerable investment potential. The risks and challenges involved in production of the identified crops in the respective territories are assessed. Gaps that can be filled through private investment in each crop value chain, as well as issues that need to be addressed to enable greater foreign investment, are also identified. Given the continent’s rising income levels and its large and rapidly growing population, food demand is expected to soar in the medium term, creating new growth opportunities for producers in the sector. By 2030, 20% of the world’s population is expected to be in Africa. As the continent’s population rises, the
pressure on Africa’s food supply will require substantial investment, in order to guarantee food security. Most of this will have to be private.