African economic importance in the World is declining year after year, the 2008 World Trade Report published annually by WTO shows that African share in the world trade is well below 1% if South Africa and Egypt are not included. Number of factors can explained this state of affairs, the most compelling reasons among others is that for the past 15 years most African countries neglected investment in agricultural sector while implementing policies introduced by the IMF and WB. Since most of its export are agricultural products, the none investment into the sector meant declining exports performance and poor earnings to Africans, leading to increased poverty in the continent.
The other factors relates to agricultural policies being pursued by developed countries which tend to suppress prices of agricultural products and deny market access. The policies relating to domestic support to farmers in the west and non tariff barriers (NTB) in terms of SPS, TBT and other standards and regulations directly and indirectly deny market access to products originating to developing countries especially African countries where producers are not linked to western countries cartels( Chain of Supermarkets in Europe and American selling agricultural produces).
Of course the lack of investment in the agricultural productivity and infrastructure led to a decline in productive capacity and innovations in many African countries. It is now time for African countries to revamp the situation by investing in agricultural research and development in order to catch up. The investment in agriculture should not be left to private sectors if we want really to get immediate impacts and results. Because of its complexities, agriculture encompases many risks which private investors would like to avoid!
The other factors relates to agricultural policies being pursued by developed countries which tend to suppress prices of agricultural products and deny market access. The policies relating to domestic support to farmers in the west and non tariff barriers (NTB) in terms of SPS, TBT and other standards and regulations directly and indirectly deny market access to products originating to developing countries especially African countries where producers are not linked to western countries cartels( Chain of Supermarkets in Europe and American selling agricultural produces).
Of course the lack of investment in the agricultural productivity and infrastructure led to a decline in productive capacity and innovations in many African countries. It is now time for African countries to revamp the situation by investing in agricultural research and development in order to catch up. The investment in agriculture should not be left to private sectors if we want really to get immediate impacts and results. Because of its complexities, agriculture encompases many risks which private investors would like to avoid!
What should be the right policy interventions to revamp agriculture in Africa? What is your views?
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