Edited by Antoine Bouët and Sunday Pierre Odjo
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Edited by Antoine Bouët and Sunday Pierre Odjo Editors Antoine Bouët, Senior Research Fellow at the International Food Policy Research Institute (IFPRI). Sunday Pierre Odjo, Senior Research Coordinator at the International Food Policy Research Institute (IFPRI). The Regional Strategic Analysis and Knowledge Support System (ReSAKSS) Established in 2006 under the Comprehensive Africa Agriculture Development Programme (CAADP), the Regional Strategic Analysis and Knowledge Support System (ReSAKSS) supports efforts to promote evidence- and outcome-based policy planning and implementation. In particular, ReSAKSS provides data and related analytical and knowledge pro- ducts to facilitate CAADP benchmarking, review, and mutual learning processes. The International Food Policy Research Institute (IFPRI) facilitates the work of ReSAKSS in partnership with the African Union Commission (AUC), the NEPAD Planning and Coordinating Agency (NPCA), leading regional economic communities, and Africa-based CGIAR centers. The African Growth and Development Policy Modeling Consortium (AGRODEP) The African Growth and Development Policy Modeling Consortium (AGRODEP) aims to position African experts as leaders in the study of strategic development issues in Africa and the broader agricultural growth and policy debate. AGRODEP facilitates use of economic modeling tools, promotes access to data sources, provides training and research grants, and supports collaboration between African and international researchers. The Technical Centre for Agricultural and Rural Cooperation (CTA) CTA is a joint ACP-EU institution active in agricultural and rural development in ACP countries. Its mission is to advance food and nutritional security, increase prosperity and encourage sound natural resource management. It does this by providing access to information and knowledge, facilitating policy dialogue and strengthening the capacity of agricultural and rural development institutions and communities in ACP countries. This publication has been peer reviewed. Any opinions stated herein are those of the author(s) and do not necessarily reflect the policies or opinions of IFPRI or ReSAKSS. The boundaries, names, and designations used in this publication do not imply official endorsement or acceptance by the authors, ReSAKSS, the International Food Policy Research Institute (IFPRI), or their partners and donors. DOI : https://doi.org/10.2499/9780896296909 ISBN : 978-0-89629-690-9 Recommended Citation : Bouët, Antoine, and Odjo, Sunday, (Eds). 2019. Africa Agriculture Trade Monitor Report 2019. Washington, DC: International Food Policy Research Institute (IFPRI). Copyright : © 2019 International Food Policy Research Institute (IFPRI). cid:[email protected] This publication is licensed for use under a Creative Commons Attribution 4.0 International License (CC BY 4.0). To view this license, visit https://creativecommons.org/licenses/by/4.0 Contributors Albert Makochekanwa, Chairperson of the Department of Economics at the University of Zimbabwe. | Antoine Bouët, Senior Research Fellow International Food Policy Research Institute (IFPRI) | Betina Dimaranan, Senior Research Coordinator, IFPRI | Chahir Zaki is an Associate Professor of Economics at the Faculty of Economics and Political Science, Cairo University | Cheickh Sadibou Fall, Economist at Institut Sénégalais de Recherches Agricoles Bureau d’Analyses Macro-économiques / Report 2019 / Report (ISRA/BAME) | David Laborde Debucquet Senior Research Fellow at the International Food Policy Research Institute (IFPRI) | Fousseini Traore, Research Fellow at the International Food Policy Research Institute (IFPRI) | Greenwell Matchaya, Coordinator for the Regional Strategic Analysis and Knowledge Support systems for Southern Africa (ReSAKSS-SA). | Lionel Cosnard, PhD student at University of Bordeaux, works on international trade and irreversibility in agricultural value chains | Sènakpon Fidèle Ange Dedehouanou is currently researcher and lecturer at the Faculty of Business and Economics at University of Abomey Calavi in Benin. | Sunday Pierre Odjo is a Senior Research Coordinator in the Africa Division of the Africa Agriculture Trade Monitor Africa Trade Agriculture International Food Policy Research Institute (IFPRI). iii iv / Report 2019 / Report Africa Agriculture Trade Monitor Africa Trade Agriculture Contents LIST OF APPENDICES LIST OF TABLES LIST OF FIGURES ACRONYMS COUNTRY ABBREVIATIONS ACKNOWLEDGMENTS ....................................................................................1 FOREWORD .....................................................................................................2 EXECUTIVE SUMMARY ....................................................................................4 CHAPTER 1 OVERVIEW .......................................................................................................9 CHAPTER 2 AFRICA IN GLOBAL AGRICULTURAL TRADE ...............................................17 INTRODUCTION ..........................................................................................................................................18 THE LONG-TERM PARTICIPATION OF AFRICA IN WORLD AGRICULTURAL TRADE .....................................................20 THE LEVEL OF AFRICAN INTRAREGIONAL AGRICULTURAL TRADE ............................................................................23 WHERE IN AGRICULTURE ARE AFRICA’S COMPARATIVE ADVANTAGES? .................................................................25 TRADING COSTS IN AGRICULTURE .........................................................................................................................28 A LACK OF PRODUCT DIVERSIFICATION .................................................................................................................34 CONCLUSIONS .....................................................................................................................................................38 REFERENCES ......................................................................................................................................................... 39 CHAPTER 3 INTRA-AFRICAN TRADE INTEGRATION .......................................................43 INTRODUCTION ..........................................................................................................................................44 REGIONAL INTEGRATION INITIATIVES IN AFRICA: WHERE DO WE STAND? ......................................................44 THE TRIPARTITE FREE TRADE AREA (TFTA) .........................................................................................................45 ECOWAS AND NORTH AFRICA ..........................................................................................................................45 THE CONTINENTAL FREE TRADE AREA .............................................................................................................46 / Report 2019 / Report MEASURING REGIONAL INTEGRATION .........................................................................................................47 TRADE COSTS INDICATORS ..............................................................................................................................47 LOW LEVELS OF TARIFFS ..................................................................................................................................48 DEFICIENT INFRASTRUCTURE ..........................................................................................................................49 COSTLY NON-TARIFF MEASURES (NTMS) ..........................................................................................................50 BORDER-RELATED MEASURES .........................................................................................................................52 Monitor Africa Trade Agriculture v Contents suite TRADE FLOWS INDICATORS .........................................................................................................................54 MEASURING TRADE INTEGRATION: CHALLENGES AND PITFALLS ......................................................................54 A NEW WAY OF MEASURING REGIONAL INTEGRATION WITH CONSISTENT INDICATORS ..................................56 STRUCTURE OF INTRA-AFRICA AGRICULTURAL TRADE ..................................................................................58 TRADE DIVERSIFICATION ................................................................................................................................58 GEOGRAPHICAL DIVERSIFICATION ............................................................................................................58 SECTORAL DIVERSIFICATION ...........................................................................................................................60 INTRA-INDUSTRY TRADE FLOWS .................................................................................................................61 INTRA-INDUSTRY TRADE BETWEEN AFRICA AND THE REST OF THE WORLD .......................................................62 INTRA-INDUSTRY TRADE IN AFRICA’S AGRICULTURAL MARKETS .......................................................................63 CONCLUSIONS ...........................................................................................................................................65 REFERENCES ..............................................................................................................................................66