We prioritize coffee to reduce poverty and increase intra-African trade: Josefa Sacko

Africa, a continent blessed with abundant agricultural resources, paradoxically remains a poor and backward continent that is not ensured food self-sufficiency. Despite there being a few agricultural products that bring in foreign currency, the pace of raw agricultural product production is far from adequate to meet the growing demands of exporters.

Though about half of the African countries produce coffee, due to various barriers, the income gained from coffee is low. In order to address the challenges faced by coffee-producing countries and enhance productivity, the African Union has established the Inter-Africa Coffee Organization (IACO) and recently endorsed the Kampala Declaration, making Coffee a strategic commodity.

Today’s guest is Ambassador Josefa Leonel Correia Sacko, an Angolan agronomist, economist, and diplomat. She currently serves as the Commissioner for Agriculture, Rural Development, Blue Economy, and Sustainable Environment of the African Union Commission.

Before being elected as AU Commissioner, Mrs. Sacko was the special adviser to the Minister of Agriculture, tasked with advising on issues related to international cooperation, both bilateral and multilateral. She was also elected as the Secretary-General of the Inter-African Coffee Organization, with a special mandate to represent the economic interests of the 25 African Coffee producers, manage the Secretariat, and present recommendations.

At one point, she acted as the Chairperson of the African Union Commission when the Chairperson in charge was not present. The Ethiopian Herald had a brief interview with Mrs. Sacko, allowing her to elaborate more on the efforts of the commission to make coffee-producing African countries more beneficial by searching for mechanisms to craft procedures that integrate them, share practices, and enhance productivity to earn more income from coffee. Enjoy the read!

Thank you very much for your time and willingness to provide this interview for our esteemed readers.

Could you tell us about the Kampala Declaration and what it entails?

In the Kampala Declaration, the most important connection with the African Union is the request for the African Union to consider coffee as a strategic commodity for the continent.

This is one of the commitments that our head of state asks the African Union to make, as 25 out of the 55 member states of the African Union are coffee producers who rely on this commodity for their livelihoods. Therefore, it is truly a strategic commodity for us. Additionally, coffee is the second most traded commodity globally after oil.

Taking advantage of our ability to produce coffee is crucial, especially since there are regions that want to produce coffee but struggle to find markets to sell it. This is our advantage, so we must reinforce this commodity. The International Coffee Organization (ICO) is an intergovernmental organization that was established even before the African Union. In 1960, 13 countries came together, already independent, to create the ICO. As more countries gained independence, they joined the ICO because coffee was a major export commodity.

In the past, coffee was so profitable that farmers could afford to send their children to school. However, today, falling prices and lack of investment in the coffee industry have discouraged farmers. Therefore, it is proposed that the existing organization be integrated as a specialized agency of the African Union.

When considering Agenda 2063, which emphasizes regional integration on the continent, it makes sense to bring all these organizations together to strengthen the coffee industry. The ICO would become a specialized agency of the African Union, operating autonomously with its own governance structure but linked to the African Union to work towards the economic transformation of the continent. This integration would have social advantages, capacity-building opportunities, and improved financing for the coffee sector.

Ultimately, by monitoring, evaluating, and investing in the production of coffee, we can strengthen this commodity in line with the goals of Agenda 2063.

You mentioned that coffee is a strategic commodity, especially for Africa. What makes it strategic?

Coffee is strategic because Africa has abundant natural resources, including coffee. Since the 1960s, many countries in Africa, such as Ethiopia, Tanzania, Kenya, Cote d’Ivoire, and Ghana, relied on coffee for their economies. Countries like Liberia and Sierra Leone also heavily relied on coffee exports. Europe does not have the advantage of growing coffee like Africa does, making it a valuable commodity for African countries.

Coffee has the potential to reduce poverty in rural areas by providing income for farmers to support their families, access education, and healthcare. However, current low prices threaten the livelihoods of coffee producers. Collaboration is needed to prevent the disappearance of coffee farmers in some member countries that were once major coffee producers.

Countries like Angola, which was a significant Robusta producer, faced challenges like war that led to farmers abandoning coffee cultivation. Despite these challenges, there is a desire to revive coffee production in Africa due to its transformative impact on rural communities.

Coffee holds international value and is in high demand, particularly in Europe. Investing in research is crucial to address climate change, pest, and disease issues that affect coffee plantations. By working together and focusing on sustainable production methods, African countries can capitalize on the global market for coffee.

How can science and technology create new varieties that are resilient to the impact of climate change?

All of this discussion stems from the Kampala Declaration, which was concluded at the African Union Summit held in February of this year, during the 30th Ordinary Summit of the African Union. The Kampala Declaration was accepted and approved during the summit. Today, we are here to discuss the importance of coffee and I would like to commend Ethiopia for being the leading producer of coffee in Africa.

As a strategic commodity, what emphasis has the African Union placed on coffee-producing countries like Ethiopia?

Within the African Union, I lead the Department of Agriculture. Coffee is an agricultural product. To reduce poverty and increase intra-African trade, we prioritize coffee. Just like in Ethiopia, we should prioritize coffee and allocate funds for research activities to benefit from this commodity. Ethiopia is a founding member of the African Union and plays a crucial role in revamping and enhancing the economy of the continent.

The Department of Economic Affairs in the African Union should also consider coffee when working on the African Free Trade Area (AFCTA). Integration is crucial as we speak with one voice and one position.

When we negotiate at the International Coffee Organization in London, the African Union is represented. In the past, the African Union was not represented, but now countries like Ethiopia can speak on behalf of the African Union as they are members. This integration is important as only 25 out of the 55 African Union member countries are coffee producers.

Non-producing African countries have agreed to consider coffee as a strategic crop to help reduce poverty. Countries in the northern part of Africa, like Algeria, Morocco, Egypt, Tunisia, and Mauritania, consume a lot of coffee but do not have the ecosystem to produce it.

Coffee grows in sub-Saharan Africa, giving those countries a comparative advantage. Non-producing countries can join the International African Coffee Organization (IACU) and become consumers, allowing for trade within the free trade area established for the continent’s integration.

When it comes to producing quality coffee products and exporting them to European or other countries, Africa is not focusing much on coffee quality. So, what is the African Union doing about this issue?

The African Union, in terms of its structure, used to be an independent body. Now, we have made the decision to revisit this issue. We have our own technical specialized offices that are dedicated to improving quality. During my time as Secretary General in IACU, I established four centers of excellence focused on improving quality.

The center for West Africa is in Cote d’Ivoire, for Central Africa it is in Cameroon, for Eastern Africa it is in Zambia, and for Southern Africa it is in Zimbabwe, specifically in Lusaka.

In addition, there is a center in Uganda for this purpose. These centers are dedicated to training individuals to improve quality. The challenge now is to enhance the capacity of these regional centers for coffee. The infrastructure is already in place. As part of the African Union, we will collaborate with my department to address the issue of improving coffee quality on the continent.

How effective is the African Union in implementing the Africa Free Trade Agreement?

The secretariat for the Africa Free Trade Agreement operates independently, similar to a specialized agency for coffee. It is based in Accra and was established around two years ago. We need time to address standards and quality issues. I have assigned a staff member to work on phytosanitary standards at the AfCFTA in Accra to harmonize standards across regions and crops. This capacity building is essential for promoting intra-African trade.

Infrastructure availability is still a problem. Do we have the infrastructure necessary for inter-African trade?

We are actively addressing this issue by identifying programs that can facilitate trade. A pilot project has been implemented to promote trans-boundary trade between countries. This project focuses on the Cocoa commodity trade between Ghana and Cote d’Ivoire.

The goal is to establish a corridor for the exchange of products and value-added goods. This initiative aims to move away from exporting raw materials, which yield low profits. For example, a gram of coffee can sell for $15 in a supermarket, while a ton of coffee beans sells for less than $1. It is essential for us to transform our approach to business and rethink how we can improve our practices moving forward.

The issue of climate change falls under your mandate as you represent the African Union. How do you perceive the new EUDR regulation and its potential impact on African coffee-producing and trading countries?

If you are referring to the EU’s new decision that requires geographic location to determine deforestation in coffee-growing areas, it may not apply to Ethiopia. Ethiopia cultivates its coffee in the canopy without destroying trees, as they are essential for Arabica growth.

I believe this new EU regulation is aimed at addressing deforestation concerns. However, implementing geographic location requirements without proper infrastructure poses challenges. Farmers need support to comply with these regulations, such as mapping each cooperative and coffee-growing area.

It is crucial to prepare people and provide necessary infrastructure before enforcing new rules. Without proper mechanisms in place, it is unfair to expect African countries to meet these regulations.

What do you think about the environmental contribution of the Green Legacy Initiative of Ethiopia?

I commend the ongoing Green legacy Initiative of Ethiopia as a model for other African countries. I appreciated the initiative as it is a decisive measure to mitigate the impacts of climate change.

The initiative, a self-reliant program that Ethiopia is implementing without any financial support from outside, demonstrates the government’s commitment to fighting climate change. It is also instrumental in tackling drought and other natural disasters such as landslides and flooding, and is in line with AU’s Great Green Wall Program.

Thank you for your insights.

It is my pleasure.

BY GIRMACHEW GASHAW

THE ETHIOPIAN HERALD SATURDAY 21 SEPTEMBER 2024

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