Political Economy Analysis of regional grain trade in East Africa

Political economy analysis of regional grain
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Situation

Our client, a significant funder and implementer of agricultural development programs in Africa, had a core objective of supporting governments and partner institutions to enhance regional trade in staple agricultural commodities (maize, beans, rice, sorghum, soybeans, and groundnuts).

As part of its planning for two major projects targeting improved regional food trade among COMESA and EAC countries, the client sought a political economy report on each project to assess the factors that may impact the success of their implementation and to inform the program's design.

Industries
Public Policy
Program Design & Business Development
Agribusiness & Food Systems
Economic Growth & Trade
Engagement

The projects that the client was planning were: (i) Mutual Recognition Agreements (MRAs) on Sanitary and Phytosanitary (SPS) standards to reduce barriers to intraregional food trade, and (ii) Regional Food Balance Sheet (RFBS) to strengthen agricultural data systems in order to improve the quality and predictability of food trade policy in the COMESA region. 

Delivering the engagement called for vital insight and intelligence beyond what is readily available in the public record. In addition, it was important that the insights provided should represent information and informed analysis gleaned from our expert team’s personal experience, personal contacts, and discreet interviews and enquiries with highly relevant sources.

ORI helped the client by:

  • Mapping key stakeholders in government, private sector, civil society, academia, and reputable journalists in Rwanda and Uganda.
  • Framing questions for each category of decision-makers, allowing for context adjustments.
  • Conducting interviews and obtaining insights from tens of relevant source enquiries per country.
  • Meeting or holding conversations with public sector decision-makers and private sector stakeholders on the objectives of the projects.
  • Identifying stakeholders who might support/champion or “spoil” the projects, and exploring strategies for addressing any hesitancy to support the work.
  • Assessing the effectiveness of the local, national, and regional grain councils in supporting increased trade in staple food crops.
  • Evaluating existing initiatives such as the One-Stop Border Posts and electronic Single Window System that aim to improve trade efficiency and remove regional trade barriers.
  • Examining the degree of buy-in, alignment, awareness, and commitment of key stakeholders in each country and across them.
  • Analyzing extensive data and writing a report of findings with insights and recommendations—including on potential governance of the projects, e.g., via high-powered locally recruited advisory boards, the power structure within the sectors, and how to navigate complexities in project delivery.
Outcomes
  • Our detailed report was instrumental in enhancing the design of the two programs. This included aspects of the political economy's sensitivity to reforms and how to navigate the challenges successfully.
  • The champions that the study identified have been pivotal in helping tackle challenges that emerge in the course of implementation of the projects—including by ensuring that “spoilers” are effectively managed.
  • There is evidence of increased regional trade for agricultural products, better food security, enhanced sustainable production, improved cooperation in SPS standards, data and information on food availability, and innovation and technology.
  • Nationalistic tendencies inhibiting trade in other agricultural commodities are gradually being reduced or completely removed based on the increased cooperation brought about by these projects.