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Yara’s Africa Program. Dato: 2008-05-15 - Side: 2 Yara’s African Green Revolution program (2005 –2011) Be a catalyst in the development of a new approach.

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Presentation on theme: "Yara’s Africa Program. Dato: 2008-05-15 - Side: 2 Yara’s African Green Revolution program (2005 –2011) Be a catalyst in the development of a new approach."— Presentation transcript:

1 Yara’s Africa Program

2 Dato: Side: 2 Yara’s African Green Revolution program (2005 –2011) Be a catalyst in the development of a new approach to PPP’s in African agriculture based on a holistic value chain approach An advocacy role. Bringing agriculture to the forefront of the development agenda in Africa and be an honest broker supporting Public Private Partnerships Value chain partnerships (Tanzania, Ghana and Malawi). AGR Conference Yara Prize, AGR web site. Strengthen our own commercial platform and wholesale position through investments in port facilities, warehouses, and potentially production capacity in Africa Leveraging off port investments to drive agricultural growth corridors

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4 Dato: Side: 4 Example African country – fertilizer shipment from east African coast USD per ton, 2006 Logistics and distribution bottleneck increasing dramatically fertilizer cost % Insurance & others 25 Total costs 113 Sea Shipping 63 Inland transportation % Fertilizer Can be lowered through use of rail, if/when available Well above developed country prices; unaffordable to most

5 Dato: Side: 5 Congo, Rep. Sudan Nigeria Angola Zambia Mozambique Tanzania Central African Rep. Cameroon Chad

6 Dato: Side: 6 Beira corridor: the next Cerrado? Beira Corridor is the gateway to South East Africa. Also a large area with huge agricultural potential Fascinating similarities between the Beira Corridor and the Cerrado region of Brazil in the 1970s A combination of public (research, infrastructure) and private (agribusiness) investments led to rapid agricultural growth

7 Dato: Side: 7 Current status of agriculture in BAGC There is currently very little commercial agriculture in the Beira Corridor Of the 1.5m ha under production, >98% is farmed by smallholders

8 Dato: Side: 8 Smallholder & Local Community Links It is essential that the smallholder farmers in the corridor benefit from the growth of commercial agriculture Hub and outgrower scheme Serviced farm blocksExtension support programmes “The Green Revolution in Mozambique has the principal objective of inducing an increase in production and productivity of small producers by encouraging food production in a competitive and sustainable way.”

9 Dato: Side: 9 Agricultural potential by <20,000 ha irrigated commercial agriculture Smallholders almost exclusively subsistence production High production and marketing costs >210,000 ha irrigated commercial agriculture Smallholders have access to irrigation infrastructure and markets Economies of scale

10 Dato: Side: 10 Investment Blueprint Investment frame of $ 250 million in patient capital, levearging a total investment of $ 1,8 billion over a 20 year period Giving up to smallholder farmers access to affordable irrigation and supporting a further small scale farmers through outreach Ultimately lifting 1 million people out of extreme poverty

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12 Dato: Side: 12 For more information


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