Women and Trade in Africa: Realizing the Potential the Africa: in Realizing Trade and Women Women and Trade in Africa: Realizing the Potential Public Disclosure Authorized Public Disclosure Authorized Edited by: Brenton, Gamberoni, Sear Paul Brenton Public Disclosure Authorized Elisa Gamberoni Catherine Sear Public Disclosure Authorized Women and Trade in Africa: Realizing the Potential Edited by: Paul Brenton Elisa Gamberoni Catherine Sear Foreword Women feature significantly in trade in Africa: they carry goods across borders, produce products, especially food, that can be exported, and own and manage trade-oriented firms. But these producers and traders often face specific constraints that undermine their economic activities. Women traders working in the informal sector are often subject to harassment and extortion at the border. Women are more readily denied access to key trader networks than men. Time-consuming trade procedures and documentary require- ments impinge more heavily on women, given the time they need for their household duties. And women working to produce exportable goods and services are typically less able than men to get the inputs and materials that would raise their productivity and allow them to compete better in overseas markets. This matters not just because of the adverse impact on the families and firms affected but because facilitating the role of women in trade will be essential if Africa is to achieve the enormous potential it has to trade more within its own borders and with the wider world. Achieving this trade poten- tial will contribute to better food security, vital job creation, and poverty reduction. This volume contains chapters that look at how women participate in trade in Africa, the constraints they face, and the consequence of those restrictions. It contributes to the rather small number of analytical work devoted to this issue and seeks to encourage researchers in Africa to explore the specific challenges faced by women in trade. The analysis leads to a set of key recommendations to help policy makers facilitate the participation of women in trade and in so doing assist Africa in achieving its trade potential. In particular, governments need to do more to: • recognize the role that women play in trade and ensure that officials at all levels understand the importance of that role. • ensure that rules and regulations governing trade are clear, predictable, and widely available at the border, which is critical for women traders working with very limited margins in the informal sector. • prioritize the simplification of trade documents and egulatoryr requirements, since this will benefit women in trade given the time and mobility constraints that arise from household responsibilities. • design interventions to develop trade in ways that ensure that women benefit. For example, programs that support improved access to information will miss women traders and entrepreneurs if the support is channeled through existing male-dominated trader networks. • help women address the risks that they face in their trade-related activities, given that they are typically more risk averse than men and respond to risk in different ways. Through its Gender and Trade Practices, the Africa region of the World Bank is seeking to improve the understanding of the barriers women trad- ers face and how those barriers can be effectively removed. By increasing analysis of these issues together with positive interventions—such as those described in chapter 2, which have supported traders’ associations and provided training to officials in the eastern part of the Democratic Republic of Congo—we can bring about the behavioral changes at all levels in society that will underpin inclusive trade in Africa. Marcelo M. Giugale Director Department of Economic Policy and Poverty Reduction Programs Africa THE WORLD BANK Acknowledgements We are grateful for the comments and suggestions of the peer reviewers: Ian Gillson (Senior Trade Economist, PRMTR) and Gozde Isik (Trade Economist, AFTPM). This work has been financed by the Multi-Donor Trust Fund for Trade and Development 2 supported by contributions from the governments of Sweden, the United Kingdom, the Netherlands and Switzerland. vii Contents Chapter 1 Introduction .................................................... 1 Paul Brenton and Elisa Gamberoni Chapter 2 Barriers, Risks, and Productive Potential for Small-Scale Traders in the Great Lakes Region ..................................... 27 María Elena García Mora and Sabrina Roshan Chapter 3 Unshackling Women Traders: Cross-Border Trade of Eru from Cameroon to Nigeria ..................................... 43 Louis Njie Ndumbe Chapter 4 Women Cross-Border Traders, Challenges, and Behavior Change Communications ............................. 59 Susan D. Ityavyar Chapter 5 The Gender Dimension of Uganda’s Cotton Sector .............. 77 John Baffes and Laura Maratou-Kolias Chapter 6 Services Trade and Gender .................................... 97 Antoine Coste and Nora Dihel Chapter 7 Gender in the Tourism Industry: The Case of Kenya .............115 Michelle Christian, Elisa Gamberoni, and José Guilherme Reis Chapter 8 Shape Up and Ship Out? Gender Constraints to Growth and Exporting in South Africa ..................................... 129 Thomas Bossuroy, Francisco Campos, Aidan Coville, Markus Goldstein, Gareth Roberts, and Sandra Sequeira Chapter 9 Trade and Gender in Tanzania: What Matters— Participation or Outcomes? ................................... 167 Josaphat Kweka and Mahjabeen Haji Figures Figure 2.1 Reported Cases of Corruption by Officials in DRC and Rwanda, by Type of Authority ........................................... 35 Figure 2.2 Number of Incidences of SGBV Reported by Traders in DRC and Rwanda .................................................. 36 Figure 3.1 Key Border Crossings in the Southwest Region of Cameroon and the Mamfe-Ekok-Ikom Trade Corridor ....................... 47 Figure 4.1 Charter for Small-Scale Traders: Outreach Process ............... 72 Figure 5.1 Cotton Yields of Female Farmers as a Percentage of Yields of Male Farmers in Uganda by Region, 2009 and 2010 .............. 83 Figure 5.2 Average Number of Pesticide Sprays by Men and Women Cotton Producers in Uganda by Region, 2009 and 2010 .......... 87 Figure 6.1 Evolution of the Structure of Female Employment in Sub-Saharan Africa, 1992–2012 ................................ 98 Figure 6.2 Evolution of the Share of the Tertiary Sector in Female Employment in Selected World Regions, 1119, 2002, and 2012 .... 98 Figure 6.3 Female Employment, Ownership, and Leadership in Manufacturing and Services in Six World Regions ...............101 Figure 6.4 Female Employment, Ownership, and leadership in Sub-Saharan Africa and All Countries by Services Subsector .... 103 Figure 6.5 Average Number of Employees in Manufacturing and Services Firms with Male and Female Top Managers in Sub-Saharan Africa and Elsewhere ............................ 104 Figure 6.6 Proportion of Full-Time Female Employees in Manufacturing and Services Firms with Male and Female Top Managers in Sub-Saharan Africa and Elsewhere ............................ 105 Figure 6.7 Proportion of Manufacturing and Services Firms Engaged in Exports with Male or Female Top Managers in Sub-Saharan Africa and Elsewhere ............................ 106 Figure 6.8 Percentage of Firms Identifying Access to Finance as the Main Constraint, with Male or Female Top Managers in Sub-Saharan Africa and Elsewhere ......................................... 107 Figure 6.9 Proportion of Women in Top Positions of Professional Services Firms in Eastern and Southern Africa .......................... 108 Figure 6.10 Gender of Management and Export Status of Professional Services Firms in Eastern and Southern Africa .................. 108 Figure 6.11 Proportion of Women in Management of Professional Services Firms in Eastern and Southern Africa .................. 109 Figure 6.12 Proportion of Women in Top Positions of Professional Services Firms in Eastern ansd Southern Africa, by Sector ........110 Figure 6.13 Proportion of Female Fellows of the Chartered Institute of Management Accountants in Selected Economies ...............110 Figure A6.1 Regression 1 (Female Ownership) ..............................112 Figure A6.2 Regression 2 (Female Top Managers) ...........................112 Figure A6.3 Regression 3 (Female Workers) .................................113 Figure 9.1 Exports of Goods and Services in Countries of the East African Community, 2000–2011 ....................................... 169 Figure 9.2 Exports of Tanzania, 2006–09 ................................. 170 Figure 9.3 Historical Trend of World Exports by Destination, 1990–2009 .... 170 Figure 9.4 Active Exporters per Million Inhabitants in Rwanda, Tanzania, and Uganda, 2003–11 ................................171 ix Figure 9.5 Contribution to Growth of Tanzania’s Manufacturing Exports, 2004–09 ..................................................... 172 Figure 9.6 Proportion of Female Ownership in Various Sectors of the Tanzania Economy, 2008 ...................................... 175 Figure 9.7 Distribution of Profit of Firms by Gender Ownership in Tanzania, 2008 ............................................ 176 Figure 9.8 Share of Domestic and Export Sales by Share of Female Ownership in Tanzania, 2008. ................................. 178 Tables Table 2.1 Household Indicators: Comparison of Traders’ Families in the Sample with Families