Communal Approach to the Agricultural Market in Benin - Approche Communale pour le Marche Agricole au Benin
Abstract
This document discusses the challenges faced by Benin in achieving economic growth despite its agricultural development potential. It highlights the country's high poverty rates, food insecurity, and limited access to income-earning opportunities. The agricultural sector, which forms the backbone of Benin's economy, has the potential to benefit from the growing demand for agricultural products in neighboring Nigeria. However, economic actors in Benin face various challenges in accessing the Nigerian market, including regulatory barriers, lack of information, and inadequate infrastructure. The document introduces the Communal Approach to the Agricultural Market (ACMA) program as a mechanism to strengthen the role of local actors, such as economic actors, communal authorities, and socio-professional organizations, in cross-border trade between Benin and Nigeria. The program aims to address the institutional environment affecting cross-border trade through multi-stakeholder consultations and capacity-building initiatives. It facilitates coordination between agricultural actors, provides market knowledge, and improves access to funding. The ACMA program has achieved significant results, including forming Agribusiness Clusters (ABCs) that coordinate the development of competitive agricultural products for the Nigerian market. The program has facilitated business relationships and sales contracts between the ABCs and Nigerian buyers. Additionally, it has supported the construction of commercial infrastructure, such as storage facilities and marketplaces, to enhance the marketing of agricultural products. The program has also contributed to increased agricultural income for producers and processors. The document concludes with lessons learned from the ACMA program, emphasizing the importance of market orientation, value-added actions throughout the agricultural value chain, networking of actors, and credit warrant financing. These insights highlight the potential for improving agricultural trade and economic growth in Benin by addressing the challenges economic actors face in accessing regional markets.
Description
Keywords
Agribusiness, Capacity building, Agricultural sector