The Union of the Comoros: Jumpstarting Agricultural Transformation Agriculture Sector Review Public Disclosure Authorized

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The Union of the Comoros: Jumpstarting Agricultural Transformation Agriculture Sector Review Public Disclosure Authorized THE WORLD BANK GROUP Public Disclosure Authorized The Union of the Comoros: Jumpstarting Agricultural Transformation Agriculture Sector Review Public Disclosure Authorized Public Disclosure Authorized Report No: P164195 Comoros Agriculture Sector Review (P164195) Public Disclosure Authorized 1 Standard Disclaimer: This volume is a product of the staff of the International Bank for Reconstruction and Development, The World Bank. The findings, interpretations, and conclusions expressed in this paper do not necessarily reflect the views of the Executive Directors of The World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Copyright Statement: The material in this publication is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law. The International Bank for Reconstruction and Development/ The World Bank encourages dissemination of its work and will normally grant permission to reproduce portions of the work promptly. For permission to photocopy or reprint any part of this work, please send a request with complete information to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, USA, telephone 978-750-8400, fax 978-750-4470, http://www.copyright.com/. All other queries on rights and licenses, including subsidiary rights, should be addressed to the Office of the Publisher, The World Bank, 1818 H Street NW, Washington, DC 20433, USA, fax 202-522- 2422, e-mail [email protected]. 2 Contents Acknowledgements ......................................................................................................................... 8 Acronyms and Abbreviations ......................................................................................................... 9 1 Executive Summary .............................................................................................................. 10 1.1 Pillar 1: Public Actions to Boost Agricultural Transformation...................................... 15 1.2 Pillar 2: Boosting Food Production and Smallholder Access to Markets ...................... 18 1.3 Pillar 3: Export Promotion of Established and New Products ....................................... 21 2 Introduction ........................................................................................................................... 23 2.1 Country Context ............................................................................................................. 25 2.1.1 Geography and Demography .................................................................................. 25 2.1.2 Structural Features of the State and Economy ........................................................ 26 2.2 Sector Context ................................................................................................................ 30 3 Enabling Environment for Agriculture ................................................................................. 33 3.1 Complementary Infrastructure ....................................................................................... 34 3.1.1 Road Network ......................................................................................................... 34 3.1.2 Inter-island Maritime and Air Transport................................................................. 35 3.1.3 Market Infrastructures ............................................................................................. 36 3.2 Investment Climate and Trade ....................................................................................... 36 3.2.1 Access to Finance ................................................................................................... 37 3.2.2 Access to Energy..................................................................................................... 39 3.2.3 Access to Land ........................................................................................................ 41 3.2.4 Trade Policies and Business Environment for Agriculture..................................... 41 4 Sources of Demand ............................................................................................................... 44 4.1 Size of the Food and Beverage Market .......................................................................... 44 4.2 Export Market Trends .................................................................................................... 47 4.3 Demand from Hospitality Sector.................................................................................... 49 5 Sources of Supply – I: Subsistence Production Systems ...................................................... 51 5.1 Typology of Production ................................................................................................. 51 5.2 Production Performance – Snapshot and Trends ........................................................... 53 5.2.1 Cereals..................................................................................................................... 55 5.2.2 Other food crops ..................................................................................................... 58 5.2.3 Fisheries .................................................................................................................. 59 5.3 Priority Actions for Subsistence Production Systems .................................................... 61 6 Sources of Supply – II: Agricultural Value Chains .............................................................. 63 3 6.1 Introduction .................................................................................................................... 63 6.2 Established Value Chains ............................................................................................... 65 6.2.1 Cloves ..................................................................................................................... 65 6.2.2 Vanilla ..................................................................................................................... 67 6.2.3 Ylang-ylang............................................................................................................. 70 6.3 Growing Value Chains ................................................................................................... 72 6.3.1 Poultry ..................................................................................................................... 73 6.3.2 Dairy ....................................................................................................................... 77 6.4 High Potential Value Chains .......................................................................................... 82 6.4.1 Horticulture ............................................................................................................. 82 6.5 Priority Actions for Value Chains .................................................................................. 86 7 Institutional Environment for Agriculture ............................................................................ 88 7.1 Strategic Framework ...................................................................................................... 89 7.2 Institutional Structure at the National Level .................................................................. 92 7.3 Governorates .................................................................................................................. 93 7.4 Agriculture Institutions .................................................................................................. 93 7.5 Non-Governmental Organizations ................................................................................. 95 8 Summary of Recommended Actions and Expected Outcomes ............................................ 95 References ................................................................................................................................... 102 Annex A: Supplementary Figures ............................................................................................... 105 Annex B: Supplementary Tables ................................................................................................ 114 Endnotes ...................................................................................................................................... 124 List of Tables Table 1-1: Public Actions to Boost Agricultural Transformation ................................................ 16 Table 1-2: Boosting Food Production and Access to Markets for Smallholders .......................... 19 Table 1-3: Export Promotion of Established Value Chains and New Products ........................... 22 Table 2-1: Top 5 Agricultural Import Commodities, 2015 ........................................................... 29 Table 2-2: Top 3 Agricultural Export Commodities, 2015 ........................................................... 29 Table 2-3: Benchmarking the Size of the Agriculture Sector, 2014 ............................................. 31 Table 4-1: Size of the Market for Food and Beverages in South-West Indian Ocean .................. 44 Table 4-2: Budget Shares, by Food Segment...............................................................................
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