Global Project Agricultural Policy Advisory Fund

Project description

Title: Global Project Agricultural Policy Advisory Fund
Commissioned by: Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Benin, Namibia, Germany, more in the pipeline
Overall term: 2018 to 2023

Context

Agriculture, along with all processing operations, is a significant industry for many African countries. The close connection between agriculture and its upstream and downstream sectors means the industry is a driving force behind economic and social development. Regional trade can counteract seasonal and local food shortages and increase food security. This industry creates jobs and reduces poverty in rural areas.

However, at the moment, less than 20 per cent of trade takes place between African countries. The low levels of regional trade lead to increasing dependence on the global market for food, declining agricultural production and insufficient use of existing income and employment potential – above all, for women and young people, and in rural areas.

The low level of regional agricultural trade is a result of uncoordinated agricultural and trade policies. There is a lack of cross-departmental agricultural trade policy strategies and analytical groundwork to identify reforms that are needed. Models and policy impact assessments are often not available to decision-makers, so it is difficult for them to make sound decisions and formulate coordinated strategies.

In addition, the will to reform and the process expertise required to enter into dialogue with other ministries and integrate decisions into one’s own area of responsibility are often lacking. Conflicts of interest and competition between ministries present further challenges.

Objective

The process of developing coordinated agricultural and trade policy measures has improved in selected countries.

Approach

The project supports the partners in all stages of the policy reform process. It helps to find relevant actors for consultation processes, lay analytical groundwork and plan and implement technical process consulting.

The project improves the decision-making basis for coordinated policy measures with the involvement of the scientific and academic community and interest groups. The relevant information is analysed on a case-specific basis. The project supports participating ministries in drawing up economic policy analyses, models, policy impact assessments and studies. Through coaching, training and dialogue with experts, the project strengthens the partners’ strategic skills.

The project promotes more intensive exchange between the partners. Continuous expert advice ensures that any questions which come up in the ongoing consultation processes are answered adequately and that the analyses remain relevant. On this basis, strategic options and policy recommendations that promote the development of important value chains and corresponding employment and income opportunities for rural areas are drawn up. In addition, the activities focus on reviewing major milestones in the reform process. The partners on the ground are the driving force behind the reform processes.