ADDIS ABABA – The adoption of the Kampala Declaration and the inclusion of the Inter-African Coffee Organization (IACO) as a specialized agency of the African Union (AU) mark a historic milestone for Africa’s coffee sector, announced Agriculture Minister Girma Amente (PhD).
This announcement was made following the 37thOrdinary Session of the Assembly of Heads of State and Government of the AU held last February.
Minister Girma emphasized that recognizing coffee as a strategic commodity in Agenda 2063 and incorporating IACO as a specialized agency of the AU acknowledges the critical role coffee plays in the continent’s socioeconomic transformation.
He also noted that despite Africa being the birthplace of both Coffee Arabica and Robusta, the sector struggles with low productivity, inequality in the value chain, and minimal economic benefits from low domestic consumption.
“Africa captures only one percent of the global coffee sector’s annual revenue of 495 billion USD and exports 99% of its coffee without adding value,” the minister stated. He further highlighted that the new decision would enable research in coffee value addition, drive innovation, and attract investments in the sector. This would promote domestic coffee consumption and enhance access to finance through the AU/AfCFTA framework.
The decision also provides political leverage for transforming the coffee sector and supports regional integration and economic cooperation among member states. The G25 Heads of State initiative aims to address infrastructure, taxation, and financial issues, providing an amplified global voice and a unified African stance on global issues. This initiative is expected to enhance regional market access through the AfCFTA, improve logistics, and strengthen infrastructure.
As Chairperson of IACO, Girma expressed his delight at the designation of IACO as an AU Specialized Agency and pledged to diligently execute the vision of transforming the African coffee sector through value addition.
He emphasized that the coordinated effort with all AU organs would be crucial in advocating support for the transformation of the coffee sector.
The elevation of IACO and the adoption of the Kampala Declaration represent significant steps toward realizing the potential of Africa’s coffee sector, ensuring its growth and sustainability for the future, the minister remarked.
BY BETELHEM BEDLU
THE ETHIOPIAN HERALD FRIDAY 2 AUGUST 2024
