Southern Africa

Financing Agriculture in Southern Africa

25-26 October 2010, Lilongwe, Malawi

The CTA, the European Commission, DG Development and EuropeAid, the ACP Secretariat, Concord and various media houses in collaboration with SACAU and regional organizations of Southern Africa organized a briefing on Financing Agriculture in Southern Africa, on 25-26 October 2010, in Lilongwe, MalawiThe Briefing aimed at raising awareness about existing and emerging key challenges on financing agriculture in Southern Africa; promoting exchange of information and experiences from other regions; and ultimately at contributing to shape the debate and policies on financing mechanisms.

Monday 25th October

Opening remarks: Alexander Baum, Head of the EU Delegation in Malawi, Isolina Boto, Head of CTA Brussels Office , Ishmael Sunga, CEO, Southern African Confederation of Agricultural Unions [Presentation]

Objectives and Programme: Isolina Boto, Head of CTA Brussels Office

Panel 1 – Key challenges for financing the agricultural sector in Southern Africa

This session provided contextual background within which agriculture financing takes place in the region, highlighting those issues and matters that have a critical bearing on financing the sector. It also discussed the major assistance mechanisms at global and EU level in support of the agricultural sector in Southern Africa. It reviewed as well the commitments from governments in the region.

Panellists:

- Setting the scene: regional key priorities and issues in agriculture in Southern Africa, Ishmael Sunga, Chief Executive Officer, SACAU

- Opportunities offered by the Tripartite Free Trade Area (SADC, EAC and COMESA) to agriculture Taku Fundira, Researcher, Trade Law Centre for Southern Africa (Tralac) [Executive summary], [Presentation]

- Key challenges affecting agriculture in the region: perspective from the farmers groups Dybom Chibonga, CEO, National Smallholder Farmers’ Association of Malawi (Nasfam) [Presentation],  David Maree, Economist, Agri-SA [Presentation]

Panel 2: Public and Development financing in the region

The panel explored the current public and development support to agriculture in the region and strategic priorities.

Panelists:

EC support to the agricultural and rural development sector in the region, Horst Pilger, Head of Operations, Delegation of the European Commission in Malawi

- Investments in the agricultural sector : key issues, David Phiri, Head of Field Policy Division, FAO [Executive summary]

- Taxation and Financing for Development, Alvin Mosioma, Tax Justice Network, Coordinator, Kenya (unable to attend) [Executive summary]

- Public sector investments in the southern African agricutural sector, Ousmane Djibo, Advisor for Agriculture, NEPAD

- Public/private innovative partnerships: the case of Agricultural Growth Corridors, Sean de Cleene, Vice President, Global Business Development & Public Affairs, YARA [Presentation]

Panel 3: The key role of the private sector and agribusiness firms

The panel discussed the key role of the private sector in agriculture (commodities and agribusiness) and the new challenges.

Panelists:

- Increasing private sector financing in the agricultural sector : challenges and opportunities, Hans Balyamujura, General Manager ABSA – AgriBusiness/Africa

- Different forms of private financing of agriculture presently developed in Southern Africa, Dr Ward Anseeuw, Researcher, CIRAD / University of Pretoria [Executive summary]

- Investment funds in East Africa and Southern Africa, Patrick Oketa, African Agricultural Capital, South Africa [Executive summary] [Presentation]

- Private equity funds and agriculture: challenges and opportunities in Africa, Bothwell Hlahla, Investment analyst, Agricultural Investment Company, Emvest [Executive summary] [Presentation]

- Risk management and insurance, David Rohrbach, Senior Agricultural Economist, World Bank Malawi Country Office [Presentation]

- Rural Development through Agricultural Commodity Exchanges and Warehouse Receipts, Kristian Schach Moller, Agricultural Commodity Exchange for Africa (ACE) [Executive summary][Presentation]

Panel 4: The challenges ahead

The panel wrapped-up the Briefing by underlining the coming challenges and proposed actions for the mains areas discussed by sharing the views from the private sector, the donor’s community and the financing bodies.

Conclusions

Press conference

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