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Presentation waapp as a model hrm
1. A model for sustainableA model for sustainable
investment ininvestment in
agricultural researchagricultural research
for developmentfor development
The Case of the West Africa AgriculturalThe Case of the West Africa Agricultural
Productivity Program (WAAPP)Productivity Program (WAAPP)
Harold Roy-Macauley
16 July, 2013 – Accra, Ghana
2. Presentation Plan
• Potential of agriculture in development
• Investment in agricultural research for
development
• WAAPP as a model for sustained
investment in agricultural research for
development
• Conclusion
3. Potential of agriculture in development
Agriculture is the engine for economic
growth and development in Africa
• Employs 70% of the population
• Accounts for 32% of the Gross Domestic
Product (GDP)
• Agriculture Market Value Chain (AMVC)
presents huge potentials for delivering
development outputs, outcomes, and
impacts
4. Potential of agriculture in development
Suppliers
Agricultural research for
development
Finance
Producers
Retailers/wholesalers
Consumers
Manufactures/Processors
THE AMVC
I
N
P
U
T
S
I
N
V
E
S
T
M
E
N
T
S
Food
jobs
knowledge
and skills
Reduced
poverty
Added
value to
costumers
resilienceresilience
diversified
economy
diversified
economy
Public – Private Sector Partnerships
5. Potential of agriculture in development
Unlock the potential of agriculture & fulfill vision
of African Heads of States - 6% annual agricultural
growth rate by 2015
• Costly process of structural reforms and
policy changes
• Countries are on the recovery path
• Long term challenge facing agriculture :
bridging the growth & productivity gap to
accelerate poverty reduction
6. Actual Poverty
Rate in 1990
EVEN IF ALL AFRICAN
COUNTRIES MEET THE
MDG POVERTY TARGET,
POVERTY LEVELS WILL
STILL BE RELATIVELY
HIGH AT AVERAGE RATE
OF 30%
SUSTAINING AN
AGRICULTURAL GROWTH
RATE OF 6% WILL NOT BE
ENOUGH FOR MANY
COUNTRIES TO ACHIEVE
THAT OUTCOME
MANY AFRICAN COUNTRIES WILL BE UNDER GROWING
PRESSURE TO MEET THE SHORT TERM SOCIAL NEEDS OF
LARGE POOLS OF POOR PEOPLE
Potential of agriculture in development
7. Potential of agriculture in development
• Governments and development partners
are recognizing the importance of investing
in agriculture
• Foreign Direct Investment (FDI) flows to
developing countries doubled in 2006–08,
but the share going to the agrifood sector is
small – less than 5 percent of total
• Long term challenge facing agriculture
would be bridging the expenditure gap to
accelerate growth
8. LONG TERM CHALLENGE FACING AGRICULTURE #2:
BRIDGING THE EXPENDITURE GAP TO ACCELERATE GROWTH
Actual Poverty Rate
in 1990
Source: Dollar a Day Poverty Rates from World Bank, PovCal Net, 2008 [poverty line $1.25];
Projected CAADP Poverty Rates from various IFPRI country CAADP Growth
Simulation Studies
THE FUNDING
REQUIREMENTS TO
ACHIEVE A 6% GROWTH
IN THE AGRICULTURAL
SECTOR WOULD IMPLY
DOUBLE DIGIT BUDGET
GROWTH RATES
AFRICAN COUNTRIES
WILL THEREFORE FIND
THEMSELVES IN SEVERE
BUDGETARY TRADE
OFFS:
1.HAVING TO FINANCE THE GROWING
SHORT TERM SOCIAL NEEDS OF LARGE
POOLS OF POOR PEOPLE
2.WHILE INVESTING MORE IN LONG
TERM GROWTH
9. Investment in Agricultural R & D
Increase
Financial
Resources
Boost AMVC
Economic
growth
Agricultural
transformation
Institutional
resources
Human
resources
Human
resources
10. Investment in Agricultural R & D
Brazil 4%
High Income Countries 51%
Source : ASTI 2012; Eurostat 2012; OECD 2012 & country level secondary resources
11. Investment in agricultural R & D
Africa South of the Sahara 5%
Salary
Increases
Rehabilitation
of
infrastructure
Equipment
Source : Bientema and Stads, 2011
VERY LITTLE GOES ACTUALLY TO RESEARCH
12. Investment in agricultural R & D
Growth in agricultural spending
In Africa South of the Sahara
Between 2000 & 2008
1/3 driven by Ghana,
Tanzania, and Uganda
½ driven by Nigeria
Source : Bientema and Stads, 2011
13. Investment in agricultural R & D
Generally low investment
and capacity in R & D in
Africa South of the Sahara
Impact of agricultural R&D on rural
development and poverty reduction
is questionable
Source : Bientema and Stads, 2011
14. Investment in agricultural R & D
Erratic fluctuation in spending levels
from one year to another (volatility)
higher in Africa South of the Sahara
than in other developing regions
Short term
project-
oriented
nature of
donor and
development
bank funding
Source : Stads, 2011
Main
driver of
volatility
15. Investment in agricultural R & D
Absence of sustained level
of government funding
Source : Stads, 2011
Reduction of
research
projects and
lay-off of staff
Crises of ag.
R & D agencies
occur at the
completion of
large donor
funded projects
Elimination of
hard won
progress
16. Investment in agricultural R & D
Promoting sustainable investments by
governments in agricultural research over time
and attracting requisite funding to accelerate
economic growth require the establishment of a
robust model that identifies priority areas for
investment that have potential impact in the
agricultural sector and the economy of the region
as a whole
17. WAAPP as a Model
WAAPP
•A large scale project with strong regional integration
connotation in West Africa & strong potential for driving
transformational change
•Government funded with WB facilitation
•Implemented at country level under coordination of
CORAF/WECARD with strong control mechanisms
•Addresses perceived challenges to agricultural
productivity under reduced transactional costs
• Attracts private sector investments and international
donors
18. WAAPP as a Model
Presented as a Conceptual Model to
start off
•Enhance understanding of the process of
increasing and sustaining investment in
agricultural R & D
•knowledge used by stakeholders used to
boost sustained investment in agricultural
research for development.
19. WAAPP as a Model
Large scale-project
Government funding
Regional Coordination Unit
National Coordination Unit
Political
environment for
facilitating
dissemination &
adoption of
technologies
Agricultural
research
Capacity
strengthening
(Training and
Infrastructure)
Funds for
dissemination
and adoption of
technologies &
innovations
Administrative,
Fiduciary,
Communication
& M&E systems
for facilitating
program delivery
result delivery
Agricultural Market Value ChainAgricultural Market Value Chain
Nat. Steering Comm.Nat. Steering Comm.
Reg.Steering Comm.Reg.Steering Comm.Sub Reg. OrganisationsSub Reg. Organisations
Min. of AgricultureMin. of Agriculture
20. WAAPP Financing
Funding Levels of WAAPP (US$ million)
Series Countries IDA GFRP Japan PHRD Total
WAAPP-1A
Ghana 15 - - 15
Mali 15 - - 15
Senegal 15 - - 15
WAAPP-1B
Burkina Faso 15 6 - 21
Côte d’Ivoire 30 6 8 44
Nigeria 45 6 - 51
WAAPP-1C
Benin 16.8 - - 16.8
The Gambia 7 5 - 12
Guinea - - 9 9
Liberia 6 - 8 14
Niger 30 - - 30
Sierra Leone 12 - 10 22
Togo 12 - - 12
WAAPP2A
Ghana 60 - - 60
Mali 60 - - 60
Senegal 60 - - 60
Total 398.8 23 35 456.8
21. WAAPP as model
Some deliverables
•So far the Project has reached 575 000 beneficiaries
•65 yield enhancing technologies developed /improved and
made available to participating countries
•230 000 ha covered with improved technologies
•Regional cooperation in terms of knowledge and technological
exchange continues to improve: promotion of technological
marketplace allows buying and selling of technologies relevant
to value chain systems
•Countries are implementing technology dissemination and
adoption plans: greater use of e-extension, innovation
platforms, increased use of quality seeds
22. Conclusions & Recommendations
• A Conceptual Model for sustainable
investment in agricultural R & D
• Encourage extensive testing in all sub-
regions of Africa
• Encourage further analysis and scaling
up to an economic model to give it
more value