by HAPPY MULOLANI
To catalyse economic development and enhance trade in Africa, requires actualising appropriate strategies and policies. This notion led to the conception of the Common Agro Industrial Park (CAIP) as part of the continental Common Africa Agro Parks (CAAPs) ratified by the African Union. The CAAP aspires to promote regional integration and trade among countries in Africa.
Zambia and Zimbabwe embarked on establishing the first-ever Common Agro Industrial Park (CAIP) in 2021 in Africa. The initiative focuses on maize and dairy value chains, as both countries offer their distinct comparative advantages, which are expected to enhance intra-trade and regional trade. Historically, the two countries have been producers of maize and dairy producing hubs. Despite being major producers, their trade patterns for these value chains have predominantly been raw materials with low product value addition and diversification, thereby resulting in value chain stagnation and curbing efforts to be food secure locally and on the global market.
To successfully implement CAIPs and achieve the desired results, Zambia and Zimbabwe undertook studies aimed at strengthening the maize and dairy chains in two phases. The first phase was held in Harare in 2022 and the second phase was held in Lusaka recently. The objective of the meeting was for government and stakeholders to provide an expert review and provide feedback on two reports to adequately inform and strengthen the value chain development between the two countries agreed value chains.
Speaking in Lusaka, Agriculture Minister Reuben Mtolo reiterated that the two studies undertaken under Phase 2 of the project is to strengthen member states’ capacities to develop regional agricultural value chains will enhance diversification and intra-African trade being piloted under the joint industrialisation cooperation between Zambia and Zimbabwe.
“Phase 1 of the project focused on regional value chain selection and assessment which culminated in a report that was validated in Harare in August, 2022,” Mr Mtolo said.
H.E Reuben Mtolo Minister for Agriculture Zimbabwe
Mr Mtolo explained that the CAIP was set-up under the joint industrialisation cooperation programme between the two countries. The Common Market for Eastern and Southern Africa (COMESA) is pioneering the initiative in partnership with Economic Nations Economic Commission for Africa (UNECA) and UNIDO anchored on article 99 of the COMESA treaty. This encourages member states to cooperate in industrial development to achieve broad objective of self-sustained and balanced growth and transformation.
He reaffirmed that this programme will make use of “complementaries of national resources, value addition skills, technology and marketing capabilities to produce [world class] goods and services that will be competitive on the regional and global arena.”
Mr Mtolo stated that drastic strides have been made towards the establishment of the CAIP, which the Ministry of Commerce, Trade and Industry has been coordinating.
“Maize and dairy value chains were initially the selected commodities to anchor the development of the CAIP and the Ministry of Lands, Agriculture, Water, Fisheries and Rural Development is leading the initiatives to further develop these value chains to become more competitive and diversified as well as provide a smooth launchpad for CAIP,”Mr Mtolo said.
Consultant Andrew Mulenga stressed the importance of strengthening the policy implementation framework by providing adequate human and financial resources.
Dr Mulenga also emphasized the need for policy consistence to attract investors and also incentivise key players. “Investors are attracted when policies in place are consistent; we need to follow-up on consistency and also ensure regular review to avoid duplication and conflict. When policies keep changing, it doesn’t inspire investors,” Dr Mulenga said.
Dr Andrew Mulenga, Zambian Consultant
He pointed out the need to enhance stakeholder consultation and policy transparency. This entails making decisions with a consultative approach and maximise on attracting key players.
Dr Mulenga also called for the streamlining of agriculture budgets to support the drivers of productivity and value addition.
A Consultant from Zimbabwe Kingstone Mujeyi also emphasised the need for the two value chains to be produced for the regional market, and beyond the two countries’ capacity.
“The CAIPs are coming in as pilot projects among countries in Africa. The Zimbabwe and Zambia agreement has to succeed; and also develop further into regional agriculture value chains,” Dr Mujeyi said.
Dr Kingstone Mujeyi – Zimbabwean Consultant
Ministry of Commerce, Trade and Industry Director Musokotwane Sichizuwe explained the need to enhance competitiveness of the maize and dairy industries in both countries through upgrading all infrastructure, access to finance and promote public-private partnerships.
“We also need to sensitise the private sector on the CAIPs ad its relevance coupled with the inherent tangible,” Mr Sichizuwe.
H.E. Situmbeko Musokotwane, Zambia Minister of Commerce, Trade and Industry
Mr Sichizuwe underscored the importance of the CAIP as it is a pilot project recognised by the African Union (AU) aimed at promoting economic integration and also enhance opportunities for trade.
Mr Sichizuwe also paid gratitude to UNECA, COMESA and consultants for the extensive work conducted so far which is meant to implement the CAIP effectively.
It is gratifying to see the extensive work conducted in ensuring the success of this value chain development. It is also key to involve all key stakeholders in this validation process in order to implement a comprehensive CAIP strategy.
The success of CAIP initiative hinges on the realisation of the high performing high value chain. The identified value chains need to provide diverse and innovative products which can compete effectively on the regional and global export market.-
–National Agricultural Information Service
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