J.1 Stratégie Consultatif Présidentiel EN.pdf

GROW CONGOLESE AGRICULTURE

A Pragmatic Strategy for the Transformation of Agriculture in the Democratic Republic of Congo

A Pragmatic Strategy for the Transformation of Agriculture in the Democratic Republic of

Congo

Grow Congolese Agriculture

PRESIDENTIAL ADVISORY COUNCIL OF

THE NATIONAL PACT FOR AGRICULTURE

AND FOOD (CCP-PNAA)

A Pragmatic Strategy for the Transformation of

Agriculture in the Democratic Republic of Congo

The Presidential Advisory Council of the National Pact for Agriculture and Food (CCP-PNAA)

Grow Congolese Agriculture

The Presidential Advisory Council of the National Pact for Agriculture and Food (CCP-PNAA) was created as part of the Feed Africa strategy adopted by the African Development Bank (AfDB).

The CCP-PNAA is an international consultative structure whose mission is to coordinate the for-mulation of strategic orientations and monitor the commitments made by all stakeholders to the National Pact for Agriculture and Food. The aim is to guarantee food and nutritional security at local, national and international levels in African countries. The operationalization of this struc-ture stems not only from the realization of the President’s vision to take up the challenge of «the revenge of the soil on the sub-soil», but also from the desire to meet the international commit-ments made with the AfDB and confirmed at the Dakar 2 Summit on Food Sovereignty in Africa.

H.E.M. Félix Antoine Tshisekedi, President of the Democratic Republic of Congo(DRC) announced its institutionalization in the country, on April 14, 2023 during the Government Council.

Correct citation:

Conseil Consultatif Présidentiel du Pacte National pour l’Alimentation et l’Agriculture (CCP-PNAA).

2023. A pragmatic strategy for the transformation of agriculture in the Democratic Republic of Congo. Kalambo, DRC. 38 pp.

Photo credits by IITA, AALI and the Presidency in the Democratic Republic of Congo GROW CONGOLESE AGRICULTURE

Table of Contents

Preambule 6

Summary 7

General Introduction 8

Vision of Succes 10

Agriculture as an engine of inclusive growth in the DRC 11

Backgroung 11

Ingredients needed for agricultural processing 13

Priorities for the Growth of Agriculture in the DRC 16

Development of value chains in the DRC 16

Implementation 32

Expected results and impact 34

Budget 36

Resource mobilization 37

Financial resources 37

Resources humaines 37

Institutional arrangements and program management 39

Monitoring and evaluation 39

Institutional arrangement 39

Call to action and conclusion 42 in the Democratic Republic of Congo

Figures and tables

Figures

DRC production systems 17

Soil map 18

Prioritization of territories in 4 groups 33

Market accessibility map 34

Organizational structure of the CCP - PNAA 41

Tableaux

Profile of the cassava processing program 19

Maize & soybean processing program profile in the DRC 21

Profile of the rice processing program in the DRC 23

Profile of the aquaculture processing program in the DRC 25

Aggregated Key Performance Indicators for Selected Cultures 35

Key Performance Indicators for Channels of Selected Values 35

Preambule

H.E. Félix Antoine TSHISEKEDI TSHILOMBO, President of DR Congo

Dr Emmanuel SANGINGA NTERANYA, AALI President and CCP-PNAA Coordinator

This agricultural growth strategy is the result of several events over the past four years, na-mely:

i. the inauguration of the President O. Oba-sanjo International Research Campus, IITA Kalambo, South Kivu of the DRC, by H.E President Felix Antoine Tshisekedi Tshi-lombo on October 8, 2019;

ii. the visit of the Special Envoy of the Pre-sident of the Republic, Mr. Pacifique Kahasha, to IITA Ibadan Nigeria , Head-quarters in January 2022;

iii. the development and implementation of the pragmatic strategy of the Agenda for Agricultural Transformation in the DRC (ATA_DRC) between 2022-2023; and,

iv. finally, the appointment of the former Di-rector General of IITA and currently the President of the African Agricultural Lea-dership Institute (AALI), Dr.Nteranya San-ginga as Special Advisor to H.E the Pre-sident of the Republic, as Coordinator of the Presidential Advisory Council of the Natio-nal Compact for Food and Agriculture (CCP

PNAA).

The operationalization of this structure stems not only from the presidential vision to mod-ernize Congolese agriculture ( but also from the desire to meet international commitments made with the African Develop-ment Bank (AfDB ) and; other investors con-firmed at the Summit of Dakar 2 on Food Sov-ereignty of Africa, in which H.E the President of the Republic took part in January 2023. By ac-cepting this appointment, Dr Sanginga decided to develop an agricultural growth strategy that describes the general approach for a national compact for food and agriculture in the DRC.

This document presents a pragmatic strate-gy to increase agriculture in the DRC over five years, from 2023-2028 in the Democratic Republic of Congo

Summary

The DRC government has embarked on an Agricultural Transformation Agenda (ATA- DRC) program aimed at repositioning agricul-ture to become the engine of growth for the Congolese economy, building on the vision of H.E Félix Antoine Tshisekedi Tshilombo, ‘It is time for the soil to take its revenge on the sb-soil ‘.

The DRC’s national economic transformatio-naffect food security program aims to diversify the economy by making it less dependent on the mining sector, promote food security and create jobs, especially for young people. ATA- DRC represents the largest government effort to develop agriculture in the country’s history.

The objectives are to industrialize the sector to make it more productive, efficient and compe-titive through agricultural transformation sup-ported by the government, but led by the pri-vate sector.

The ATA creates an enabling environment for private sector investment that will modernize and industrialize agriculture in the DRC. One of the main objectives of the plan is to treat agriculture as a business and not as a deve-lopment project, with the government playing a facilitating role instead of being directly invol-ved in the execution left to the private sector.

In particular, this involves: (i)reducing depen-dence on food imports by adding 6.6 million tons to supply food per year; (ii) develop value added to local agricultural production and (iii) create 2.5 million jobs along agricultural value chains during the Compact period.

The CPP-PNAA thus proposes a bold and transformative program to mitigate the country’s exposure to external factors that af-fect food security. The objective of the Com-pact is to increase the production of priority value chains. This is achievable by investing in production systems, mechanization, pro-cessing and access to markets. Increasing production requires improving seed systems, building capacity and facilitating access to input and commodity markets.

Thus, the Compact supports the production per year of 2.64 million tons of cassava, 1.32 million tons of maize and rice, 0.66 million tons of beans (or other legumes), 0.33 million tons of soy and 1.65 million tons of fish. Increased soybean production serves the feed needs of broader animal enterprise (e.g. poultry, beef, mutton and pork) and aquaculture, as well as the needs of local industries for the produc-tion of oil and textured vegetable proteins.

Nitrogen fixation by soybean also contributes to climate smart soil fertility by reducing the chemical fertilizer requirements of cereal crops such as maize.

General Introduction

President Sanginga Nteranya with AALI patrons in the Kalambo cassava propagation greenhouse.

of 40 million head of cattle, and;

vi. an estimated annual potential of 850,000 tons of fish (for lakes, and rivers) and 150,000 tons for fish farming, divided among 750 indigenous species.

The agricultural sector remains underper-forming. Currently, it contributes about 20% of Gross Domestic Product (GDP) while employ-ing some 70–75% of the economically active population. Congolese agriculture occupies nearly 16,030,758 households exploiting aver-age areas estimated at 1.5 ha per household, generally allocated to food production. Indus-trial crop plantations and processing facilities are too often abandoned because of the iso-lation of the hinterland; the failure of govern-ment-led structures responsible for extension;

and the withdrawal of foreign investors.

The Congolese territory offers innumerable potentialities for efficient and competitive agriculture, in particular :

i. 80 million hectares of arable land, of which barely 10% is exploited each year;

ii. 4 million hectares of potentially irrigated land, of which only 0.14% is exploited;

iii. climatic diversity and position straddling the equator allowing year-round production;

iv. an availability of 7 to 8% of exploitable fresh water in the world, primarily through the Congo River Basin and the Wester Great Rift Valley lakes;

v. pastures covering an area of about 125 million hectares with a carrying capacity in the Democratic Republic of Congo

In 2020, the agricultural sector contributed 20.3% to the formation of the DRC’s Gross Do-mestic Product. In this contribution, the con-tribution of subsistence agriculture represents 98.5% against only 1.5% for cash crop agricul-ture. However, the creation of decent jobs in this sector remains low compared to the yet unrealized potential that will empower qual-ified national workforce capable of improving business productivity, promoting the private sector and encourage foreign direct invest-ment. In terms of volume, almost 79.34% of Congolese food production is made up of cas-sava tubers, currently offering 45.8 million tons per year. Only the production of tubers, mainly cassava, shows a production surplus estimat-ed at 38,424,691 tons in 2019. Pulses and ce-reals show respective deficits estimated at 7% and 60% of national needs (Minagri, 2019).

The weak performance of the Congolese ag-ricultural sector is primarily dependent on the low average productivity of the main crops, namely:

i. 0.8 T/ha for maize;

ii. 0.86 T/ha for rice;

iii. 0.70 T/ha for groundnut;

iv. 0.78 T/ha for beans and 10.3 T/ha for cassava.

In general, agricultural assets are not very pro-ductive and yields are still low for most crops and livestock (Minagri, 2019). Many agro-in-dustrial facilities are today abandoned across the Republic because of the isolation resulting from declining rural infrastructure, the failure of the State to rehabilitate these structures, and the withdrawal of foreign investors in sec-tors other than mining.

Despite its agricultural potential, the DRC re-mains a net importer of food products.

Generally, imports of food products and cere-als are more than 50%. As a result, the govern-ment’s objective is to improve the productivity of the agricultural sector and increase produc-tion in order to reduce by 60% the import bill estimated at nearly 6.5 billion US dollars per year in the next five years. As a net food im-porter, the DRC remains vulnerable to fluctua-tions in food prices and the disruption of global supply chains for essential commodities. Given the needs of the population, its growth and the inefficiency of production systems, total food imports increased six times between 2000 and 2019. The import bill, which represented USD

125.4 million in 1961 now amounts to more than USD 2.5 billion in 2019, an increase of 1,894 percent (FAO, 2021). Food imports con-sume a large share of foreign currency in an economic context marked by permanent im-balances in returns.

Within the context of current challenges, to achieve self-sufficiency, the DRC will have to promote the production of 6.6 million tons of staple crops per year, for about 26.4 million people (26% of the population) who lack of food due to recurring shortfalls in agricultural production. The situation in the DRC is partic-ularly serious.

To increase agricultural production and pro-ductivity, it is necessary to improve seed sys-tems, facilitate access to markets for inputs and basic products and build capacities along the value chains of priority crops.

Vision of success

From left to right: H.E.M. Félix Antoine TSHISEKEDI , President of the DRC; H.E.M. O. OBASANJO, Former President of Nigeria and Dr Emmanuel SANGINGA, President of AALI at the IITA Kalambo Station naming ceremony.

There is strong political will and commitment to agricultural growth in the DRC, as illustrated by the vision of success promoted by H.E Félix Antoine Tshisekedi Tshilombo: ‘It is time for the Soil to take Revenge on the Basement ‘.

This vision is based on the following six pil-lars:

• Concentration on agricultural value chains where the DRC has a comparative advantage;

• Agriculture as a business not a develop-ment program;

• Development of strategic partnerships to stimulate market-oriented investments in-volving the revision of the agricultural code;

• Ensuring food security and creation of wealth and jobs with emphasis on youth and women;

• Invest more in education and agricultural re-search;

• Creation of brigades of young agricultural inspectors and instructors to carry out mo-nitoring and evaluation, and the widespread popularization of ATA-DRC activities.

in the Democratic Republic of Congo

Agriculture as an engine of inclusive growth3 Background There are several reasons to justify the choice of the agricultural sector as the pillar of the eco-nomic awakening of the DRC. First, despite the sustained growth achieved by the Congolese economy with an 8.2% increase in GDP in2022, the impact on the reduction of poverty and food insecurity is barely perceptible. In large part, this is explained by the fact that the cur-rent growth comes essentially from Mining, Construction and Consumer Services (Banks, Telecommunications, etc.) which employ a rather small proportion of the Congolese popu-lation. The second reason is the pressing need to transform the Congolese economy along the successful examples established by other countries. Indeed, agriculture is practically the most important sector, since it employs more than 70% of the economically active population

The structural transformation in this case must be centered on agriculture.Indeed, accelerated growth in agricultural productivity is capable of boosting the industrialization of the whole eco-nomy, as it not only facilitates the transfer of re-sources to other sectors, but also promotes the acceleration of growth in other sectors, through its vertical and horizontal integration. For exa-mple, better-fed miners are more healthy and productive industrial workers.

In the DRC, the choice of the agricultural sector as the standard bearer of economic awakening

Maïs produits dans la Plaine de la RUZIZI, au Sud Kivu, dans le cadre d’ATA-RDC also comes from the need to respond to the food insecurity that has become chronic in the DRC. About two-thirds of the population live on less than $1 a day, at least 70% face food inse-curity in one form or another, while 27 million people suffer from chronic malnutrition. Crop yields represent only a tiny fraction of their po-tential and the country imports about a quarter of its cereal consumption.

Structurally, food insecurity in the DRC is the result of the low productivity of the agricultu-ral sector. It is therefore necessary to radically change the agricultural development strategy in order to reverse the downward trend in agri-cultural productivity.

The DRC has the potential. The country is blessed with abundant natural resources 2.5 times the land area of Nigeria with less than half the people to feed. If the DRC were todouble its average food crop yield from one to two tons per hectare, it would yield an additional 6.6 mil-lion tons of food per year. This alone would be enough to move the DRC from a food deficit to a large food surplus country. But to do so, we must act quickly. As Dr.Norman Borlaug once said and often reinforcedby Dr. A.A. Adesina, the President of the AfDB: “We cannot eat po-tential ”. For the DRC to solve its food problems, it needs six things: technologies, policies, mar-kets, political will, financing and infrastructure.

The DRC’s agricultural transformation solution has its roots in the experience that was carried out in Nigeria between 2011-2015, an area that many economists call a «basket case.» But, Ni-geria with the Minister of Agriculture A.A. Ade-sina with great support from the President of the Republic Goodluck Jonathan has proven to the world that it is possible to rapidly increase agricultural productivity. They invested heavily in irrigation and increased their investment in extension and research and development. They did more. They knew that if farmers produced and could not sell their products, they would lose all incentive to adopt new technologies.

They therefore set up price support systems with guaranteed minimum prices. Farmers had access to credit. The results have been spec-tacular. Between and 2014, domestic food pro-duction increased by 21 million tons of food and led to a sharp reduction in food imports.

Nigeria’s food import had grown from a record high of 3.19 trillion naira ($8.4 billion) in 2011 to 635 billion naira ($1.7 billion) in 2013; a re-duction of 40.3%. Direct agricultural jobs in-creased by 3.56 million during the period 2012- 2014 due to the interventions of the ATA of this country. Agriculture had become an exciting sector in Nigeria.

Based on this experience in Nigeria, it is safe to say that the current state of agriculture in the DRC is not acceptable. The DRC, which was the main agricultural actor in the world, has lost its place in the world community.

Before the 1960s, the country was famous.

This glory was visible to all: the DRC repre-sented 60% of the world’s supply of palm oil and 15% of cocoa. The best varieties of these crops have favored the industrial development of cocoa in Côte d’Ivoire and oil palm in Malay-sia. Congolese farmers generated wealth. Qua-lity of life was good; the children were going to school. The country was self-sufficient in food.

Its farmers fed the whole population and the country stood up to the community of nations.

Today, that glory has been lost.

The DRC is now one of the largest food impor-ters in Africa as described above. It is not fi-nancially, economically or politically viable. The DRC eats beyond its means. While consumers (especially in urban areas) smile as they eat rice every day, Congolese rice farmers cry as imports grow and substitute for domestic pro-duction. Farmers sow in hope, but reap in tears, as often subsidized and cheap food imports to their home countries dash their hopes for bet-ter prices and better income.

As the DRC imports food from the world mar-ket, it only imports inflation. On the other hand, the low productivity of national production sys-tems increases the price of non-marketable food crops.

Together, these factors lead to higher food price inflation. Poor urban and rural households spending 70% to 80% of their income on food;

life is unbearable for many. The DRC can no longer continue to depend on expensive food imports and volatile world markets to meet its food needs. As the events of the food crisis unfolded, traditional food exporting countries in the Democratic Republic of Congo banned food exports. Thus, even if importing countries have the resources to finance food imports, the food may no longer be available to purchase.

Ingredients needed for agricultural processing For this agricultural growth to occur, the DRC needs a revolution in ideas, mentalities, ap-proaches, and institutions. The country should change the way of working at all levels. We must believe once again that it is possible for the DRC to be great, once again, in food pro-duction and competitiveness on world mar-kets. The country is at the start of a journey of transformation, a journey of re-engineering Congolese agriculture for high impact and success. The country must rebuild the broken walls of Congolese agriculture. The resolution through this pragmatic strategy document is clear: “Growing Congolese Agriculture”. If we grow Congolese agriculture and rebuild the broken walls of this agriculture, we will see a remarkable reduction in poverty, just as China and other Asian countries have done.

Today, 70% of Congolese live on less than $1 a day. There is an ocean of poverty around an island of wealth. This must change. China has solved the problem of its agriculture and ex-perienced a dramatic drop in the number of people living in poverty, which fell from 80% to 10% in just ten years (1995-2005). This means that 440 million people have come out of po-verty. The DRC can do the same. If the DRC only obtained a 10% increase in agricultural produc-tivity, it would lift 27 million people out of po-verty, or almost 30% of the population. The DRC should not be a museum of poverty.

To grow Congolese agriculture and reduce po-verty, more investment in agricultural research is needed. There is evidence that it pays to in-vest in agriculture.

For example, IITA’s development of improved maize varieties in the 1980s led to the transfor-mation of maize production in the savannah of northern Nigeria and southern Sahelian coun-tries in West Africa. This work on the develop-ment of improved soybean varieties has helped make Nigeria the largest soybean producer in

Africa.

The IITA biological control program has saved the ECOWAS region approximately $94 million per year over the past 18 years. In Benin, Ghana and the DRC, the economic benefits are expec-ted to reach more than 2 billion dollars over the next fifteen years. IITA’s research on the control of the cassava mealybug generated profits worth between $15.6 billion and $27.8 billion in 2004. Other examples include wheat in Ethiopia and orange-leshed sweet potato produced by other CGIAR centers such as ICARDA and CIP, respectively.

A country like Ethiopia started exporting wheat to neighboring countries, moving from an im-porting country that was perpetually in deficit to an exporting country thanks to ICARDA’s new heat-tolerant wheat varieties. Similarly, CIP’s fortified organic sweet potato varieties help improve the nutritional situation of child-ren in several African countries.

IITA is currently deploying a technology called AflaSafe™ that reduces aflatoxin contamination in maize by 90% in the provinces of ex-Katanga and Kasai. This, as part of a broad multi-sec-toral effort aiming to fight against the invisible consequences on the health of the population (in particular cancers) and the delayed growth of children due to aflatoxins in the country.

This deployment marks the start of large-scale efficacy testing of the aflatoxin biocontrol pro-duct in the DRC, in close collaboration with re-search institutions Congolese agriculture, pro-vincial governments, farmers and the private sector.

Through the DRC National Compact for Food and Agriculture, significant advances will be made in these areas; thanks to transformative policies. What is needed now is to turn them into concrete business investment plans that national and provincial governments must sup-port, in collaboration with the private sector, to reach millions of farmers, especially women farmers who form the majority of the agricul-tural population.

Reaching these millions of farmers requires organizing farmers into aggregates, groups ca-pable of producing and bringing together the volumes required by processors with their products meeting the industry standards of these processors.

To do this, through the CCP-PNAA, we must put an end to the current lack of institutions supporting farmers in the DRC. It is proposed to set up marketing companies for all value chains in the DRC. To be clearer, it will not be the old state marketing cooperatives that went bankrupt in the DRC and in several Afri-can countries.

The new marketing companies will not be run by the government, but by pri-vate sector actors in agricultural value chains. They (marketing companies) will allow Congolese agriculture to be coordinated and managed for higher productivity and impacts. As an exa-mple, the CCP-PNAA can choose cas-sava as one of the products to support to begin with because of its immea-surable potential and induced effects on the rest of the economy. The same approach will be applied to other value chains such as corn or rice. Therefore, for cassava, ATA-RDC under the CCP- PNAA will establish a market deve-lopment company and of the cassa-va trade which will be responsible for coordinating the cassava value chains, just as Thailand and Brazil have done.

To further boost cassava marketing, farmers and agro-processors will be able to access several million under the facility that the African Develop-ment Bank or Equity Bank will grant to the DRC.

To be a major player in food markets, the DRC must rapidly increase financing for the agricul-tural sector. The DRC budget for the agricultu-ral sector, as a percentage of the public budget, has been extremely low and well below interna-tional standards.

Between 1977 and 2019, the DRC devoted less than 1% to 1.3% of its national budget to agri-culture. Today, the DRC devotes less than 3% of its budget to agriculture, a sector that re-presents more than 70% of the population and 20% of the GDP. Today, the country invests in agriculture half of the budget that was spent 28 years ago, when the population has increased considerably. The DRC must meet the agreed CAADP target of investing at least 10% of the national budget in agriculture.

There should also be a more demand-driven research and development system in place that will drive the agricultural transformation agenda. One can learn from Brazil, which has transformed itself into a world power in food production, by using EMPRAPA, a national transformation agency, to stimulate agricul-tural growth. There is a need to harness the strengths of research institutions and stren-gthen partnerships with farmers and the pri-vate sector, to ensure that research products meet stakeholder needs.

The DRC must quickly create jobs, especial-in the Democratic Republic of Congo ly for young people. It is estimated that 60% of all unemployed people are between 15 and 21 years old. HE President Tshisekedi called for the transformation agenda to focus on em-ployment, especially for the youth, noting that unemployment among our youth is one of our greatest challenges. The time has come to create jobs and lay new foundations for the DRC’s economic growth». There is no faster way to develop jobs for young people than to make agriculture an attractive business for them. To achieve this, the CCP- PNAA plans to launch a youth agribusiness investment program, which will partner with provincial governments to re-cruit young entrepreneurs in all areas of agri-business.

One of the critical activities of the CCP-PNAA will be the technical capacity building of Young Congolese through the Brigades of Agricultu-ral Monitors and Inspectors whose knowledge is first upgraded and then admitted to a conti-nuous training program.

The objective is to deploy 10 monitors and 10 agricultural inspectors in each Territory, i.e. a body of 1,500 monitors and 1,500 agricultu-ral inspectors. This process can take several years and will be facilitated by specialized ins-titutions such as the African Agricultural Lea-dership Institute (AALI), because it is only when this process is engaged that young Congolese can have hope for the future.

Young people from the Youth Brigade of Kinshasa, Kasaii Oriental and South Kivu, selected by AALI

Agriculture Growth Priorities

In vitro cassava propagation using SAH technology

The ATA-DRC will be structured around two components or key investment areas, namely: Component 1: Producti-vity, Production, Processing and Com-petitiveness of the Value Chains of the selected products.

We envisage two priority phases: the first phase concerns the rice, cassa-va, maize-soya and aquaculture value chains which have a direct effect on food security and import substitution. The second phase concerns perennial crops (cocoa, coffee, oil palm,) and other pro-ducts such as horticulture, poultry, pigs and cattle) which will generate imme-diate profits. IITA and its national and in-ternational partners will participate with the ultimate goal of improving producti-vity, increasing rural household income and ensuring food security. Component 2: Acts to establish an enabling environ-ment for the transformation of agricultu-re in the DRC. AALI will participate in this component to strengthen local develop-ment management capacities, but also in collaboration with the Presidency’s Strategic Monitoring Council to develop a geo-referenced monitoring informa-tion system capable of providing infor-mation on the progress of the program.

This component mainly aims to put in place an effective mechanism for moni-toring and evaluating the progress of the agicultural transformation programme

ACTION 1

Development of value chains in the DRC Component 1: Productivity, Production, Processing and Competitiveness

The DRC must learn from Nigeria during the period 2011-2015. The approach is to harness all the resources of farmers across the country and deliver a green revolution that will make the DRC self-sufficient in food production. The DRC must be transformed into a food basket, a central power for food production. Doing so requires a fundamental paradigm shift: the days of viewing agriculture as a development project are over. It must be structured, developed, resourced and financed as a business.

This strategy is developed in order to trans-form the agricultural sector into a business that works for small, medium and large-scale farmers, which will unlock wealth and enable the DRC to meet its dietary needs, while beco-ming a major player in food markets in Africa and globally, and to help diversify income for the country.

As written above, four value chains that have a comparative advantage in curbing the food crisis in the DRC are initially selected in phase

1. Other value chains will follow in a second phase.

in the Democratic Republic of Congo

PHASE 1

Cassava, Maize-Soybean, Rice and Aquaculture A. Cassava Value Chain plan

Fig. 1 : Production systems in DRC

Cassava production in the DRC with 43 million tons (t) of fresh roots harvested per year (esti-mated in 2021), ranks the DRC as the second largest producer behind Nigeria

(60 million t). Despite this large production, there is very little value added locally and the DRC continues to import products such as starch, flour and sweeteners that can be made from the cassava produced in the country. This paradox is due to the way cassava is produced, marketed, and consumed in the DRC, in a largely subsistence economy. In such a subsistence economy where cassava root is mainly consu-med as a final product with little added value, it may appear that the country is self-sufficient in cassava production, whereas it would not be if its actual industrial potential is maximized, as is the case of Thailand. To fully exploit the immense potential of cassava and diversify its uses, especially as a substitute for imported raw materials and as an export product, there is a need to change the way cassava is grown, processed and marketed in the country using the value chain approach to development.

Congolese industrial products made from cassava represent no fraction of exports, while the potential for growth is enormous.

Cassava processing that builds on current efforts is an undertaking born out of strong political will and commitment to agricultural growth in the DRC. Cassava processing aims to create a new generation of cassava pro-

Fig. 2 : Soil map ducers, oriented towards commercial farming as an economic enterprise, and linking them to reliable demand, either from other actors in the value chain such as processors or demand from a minimum price system guaranteed by the government.

The overall cassava processing strategy is to make the cassava sub-sector in the DRC a ma-jor player in the local and international indus-tries of starch, sweeteners, ethanol, High Qua-lity Cassava Flour (HQCF) and dried chips by adopting improved production and processing technologies and organizing producers and processors into efficient value chain teams.

The implementation of value chain activities will be driven by the private sector with sup-port from the public sector. A Cassava Market and Trade Development Company (CMTDC) should be established as the main vehicle for implementing the processing value chain. The main activities of the CMTDC are market deve-lopment for tubers and leaves, including advo-cacy with potential users of cassava products and policymakers, to ensure reliable demand.

From the public sector, national, provincial and territorial governments, and NGOs will orga-nize and train farmers in modern production methods, and disseminate to them improved varieties and the inputs needed to grow them.

The experience of Nigeria, Thailand and Brazil on cassava has shown that the campaigns ai-med at increasing productivity, require a close partnership with research and the develop-ment of appropriate technologies. The trans-formation plan will invest significantly in the development of improved production methods, new varieties resistant to diseases and pests in the Democratic Republic of Congo and resilient to climate change, and the deve-lopment of new cassava products. The trans-formation plan will support the production of high-starch varieties – ready after only 8-10 month of cultivation and nutrition- enhanced varieties with vitamin A to improve the health of consumers, especially children.The expec-ted impact includes the creation of one million jobs, half coming from expanded production and the other half from cassava processing.

Our ambition is an increase of US $450 in inco-me per year for each agricultural household for the benefit of 1.8 million cassava producers;

thanks to an increase in the current average productivity of only 7 or 8 t/ha to 20 t/ha and more, and creating strong supply chains of raw materials to cassava-based industries.

Table 1. Profile of the cassava processing program

Title

Overall objective

Increase the income of each producer by at least US $450 per year among 1.8 million farming fami-lies and create one million jobs in the cassava sub-sector in the DRC by tripling production, processing and commercialization across the cassava cultivation belt of the

DRC

over a period of five years.

Specific objectives

Linking demand for cassava products in the industrial, export and traditional sectors to reliable supply through the introduction of a package of improved production, supply chain management, enabling policies and advocacy to end users.

Increase productivity through the demons-tration and adoption of improved production technologies by groups of farmers and the creation of a network of agro-dealers to provide necessary inputs Including fertilizers, cuttings of improved varieties and herbicides .

Build market institutions around agricultural groups for the long-term sustainable develop-ment of the cassava sector through the creation of a Cassava Market and Trade Development Company (CMTDC).

Implement government policies that encourage the use of cassava to substitute for imports and create input markets by working in close collaboration with the Ministries of Agriculture, Finance, Commerce and the National Assembly.

Continuously monitor and evaluate progress to identify the most promising interventions for continuous improvement strategies to achieve the overall goal.

Expected results/Impact

High quality value chains of starch, HQCF, swee-teners, dried chips, high quality Fu-fu.

A tripling of average cas-sava productivity from 7-8 to 20t/ha by 2028.

Generation of 1 million jobs in rural areas of the DRC during the next five years of the program.

Increased income for

1.8 million participating farming households by US $450 per family each year.

Strong market institutions put in place for the long term sustainability of the cassava sub-sector.

Action plan for cassava processing in RDC

Approximate budget

Timeline

742 million US dollars

5 years (2023-2028)

Corine Bisomerine, young Brigade involved in the local production of Soy

Inoculant in the DRC

B. Maize-Soya Value Chain plan

In 2021, maize imports for the DRC were US $14 million. Maize imports have fluctuated consi-derably in recent years; it was sometimes low during the period 1972-2021, but the situation worsened during the year 2023. In 2020, maize production for the DRC had increased from 306,000 tons in 1971 to 2 million tons in 2020, with an average annual rate of 4.47%, but with low average yields per hectare of around 0.77 tons.

The shortage of maize harms local people, who are now buying maize flour at more than three times the price of two months ago. In early March 2023, a 25 kg bag of maize was sold for 25,000 Congolese francs ($11.21). In May, the same bag costs 92,000 Congolese francs ($40.37). The deputy prime minister for the economy said the shortage was the result of Zambia halting exports to deal with its own local shortages. «The causes of this situation are linked in particular to the shortfall in local production in the face of demand, restrictions on Zambian exports and the high cost of im-ports, as well as the deterioration of climatic conditions, which affects agricultural produc-tion in the sub-region”. Earlier in April, Zambia imposed maize export restrictions, a move that affected DRC’s Haut Katanga province, which borders Zambia and is heavily dependent on imports from Lusaka. The shortage, however, is ironic.

The DRC has the largest arable land in Africa and is considered “the right lung of the world”, given its high forest cover and abundant and re-liable rainfall. However, some of its productive provinces have been in constant conflict, inclu-ding armed groups roaming the eastern regions with its rich in volcanic soils and underutilized cropland sands.

Trials conducted by IITA in the farming commu-nities of Nkuadi in Kasai and Lubudi in Lualaba indicate an increase in yields of up to 1.7 t/ha in 2023 (against 0.77 t/ha). With this yield, the po-tential increased maize production is 4,415,584 tons. By using improved seeds of good qua-lity, fertilizers and other inputs, we can maxi-mize the potential yield gains recorded in DRC fields up to 3 t/ha and produce an average of 7,792,207 tons of maize and thus fill this deficit.

For well-established agronomic and economic reasons, maize is best grown in rotation with soybeans. In addition to the positive effects on soil fertility that provides residual nutrients to maize following soybeans, products made from soybeans (flour, oil, and soybean milk for human consumption and soybean cake for animal feed, etc.) have a very high nutritional and economic value. For this reason, the CCP- PNAA recommends focus upon this value chain despite the crop not being widely grown.

This note proposes a pragmatic strategy to achieve this result.

in the Democratic Republic of Congo

Table 2. Profile of the maize and soybean processing program in the DRC

Title

Overall objective

Increase the produc-tivity of maize and soybeans by using improved seeds of good quality, ferti-lizers and other inputs. Maximize the potential yield gains recorded in DRC fields up to 3t/ ha and produce an average of 7,792,207 tons of maize and thus fill the gap increase the productivity of maize and soybeans by using impro-ved seeds of good quality, fertilizers and other inputs.

Specific objectives

This maize green revolution will pursue short, medium and long-term strategies in collaboration with local research and development partners, the private sector, farming communities, as well as policy makers. Conduct in-depth demonstrations of new maize hybrids and soybean varieties as well as optimal application of fertilizers and other crop management practices.

Accelerate the dissemination and commercia-lization of new hybrids and varieties identified with the active participation of seed companies, the national variety dissemination committee (SENASEM) and national agricultural research systems (INERA).

Promote the production and commercialization of hybrids and productive varieties recently tested under the ATA-DRC program through the private sector.

Provide support to private seed companies e.g.

SAGRICIM to produce and market good quality hybrid corn and soybean seeds.

Support the establishment of private service providers to overcome labor shortages at the time of planting, weeding and harvesting to create jobs for urban and rural youth.

Develop business linkages with food and feed industries and other market channels to pro-mote the maize-soya value chain.

Use strategic grain reserve policies and the establishment of warehouses in major maize producing areas to minimize the risk associated with the high level of maize price fluctuations due to the excess grain produced resulting from the adoption of performance- enhancing tech-nologies.

Initiate feasibility studies to produce fertilizers and lime amendments.

Support the development of new uses for maize and its by-products and in particular, explore the possibility of engaging processors involved in the production of vegetable oil from corn intended for local consumption and export.

Consolidate the establishment of private service providers of mechanized operations to overco-me labor constraints for maize farmers.

Encourage the use of established warehouses to store grain surpluses by farmer groups for bulk trade and export to neighboring countries at reasonable prices.

Expected results/Impact

More than 500,000 far-mers will be supported and will have produced

4.5 million tons of maize grains using improved varieties and cultivation techniques to have a yield of 3t/ha for maize and 2t/ ha for Soybeans.

A minimum of six seed companies are strengthe-ned to produce and supply the required quantity of seeds of hybrids and improved and marketed maize varieties

At least 1 million corn and soybean farmers are receiving support and producing an additional

7.7 million tons of maize grains, bringing national corn production to around 10 million tons, and mil-lion tons for soybeans

At least 1 million corn and soybean farmers are receiving support and producing an additional

7.7 million tons of maize grains, bringing national corn production to around 10 million tons, and mil-lion tons for soybeans

Action plan for the transformation of maize and soybeans in the DRC

Approximate budget

Timeline

US$473 million for maize;

US$513 million for soybeans

5 years (2023-2028)

C. Rice Value Chain Transformation Plan

The DRC has great rice-growing potential that remains under-exploited. In addition to the well-known large producing areas, all the provinces of the country are capable of producing rice. Industries use it as a raw material; brewers also use it to make beer.

From this point of view, it can be said that rice grows well in the six geopolitical zones of the DRC. To date, only about 1,228,810 ha are exploited for rice cultivation, while the availability of cultivable land is estimated at around 80 million hectares. Irrigated rice represents only 4% of rice-growing areas, or about 50,000 ha out of 4 million that are irrigable in the country.

The most recent estimates available in 2019 estimate rice production in the DRC at 1,562,978 tons of white rice against national demand estimated at 3,422,921 tons. Not only are the quantities produced insufficient to cover national demand, the quality of the rice produced in the DRC does not correspond to the food preferences of the urban population in search of polished, long grain white rice.

This increases the dependence of the DRC on the importation of rice from countries such as India, Pakistan and Thailand) to cover more than 50% of internal needs. The already very high cost of importing rice has increased in 2023 compared to the last 5 years. Given this high cost of imports in recent years, the government has implemented a strategy of substituting imported rice in favor of local production. Unfortunately, locally produced rice is not competitive in the market because its value chain is fragmented and does not meet quality standards. For example, locally produced rice contains foreign materials such as stones and debris. In addition, the production cost is considerable due to the fact that all the processes are manual.

Earlier attempts at self-sufficiency were partly hampered by large foreign factories that took advantage of policy loopholes to focus on importing rice rather than promoting the cultivation of paddy produced by local farmers. Another disadvantage of rice is that few brewers are willing to rely upon rice as an energy source.

This was the case of UNIBRA in the years 1986/1992 where Bumba rice was purchased for the Kinshasa and Kisangani breweries, and Isiro rice for the Isiro brewery. But, the current production of rice is insufficient or too expensive to be used as raw material in the brewing industry.

The vision of the national rice processing program is self-sufficiency in rice production and its complete substitution of imported rice by 2028. The rice processing program plans to adopt the value chain approach known as Nucleus estate which consists of forming a network of a multitude of small agricultural producers around a central core with existing rice mills.

Rice production and processing centers will be identified and small farmers will be organized around them so that they can easily access inputs such as improved seeds, fertilizers, agrochemicals and modern production methods from extension services. Each group will use improved seeds of recommended varieties and provide paddy to the mill. The same nuclei (= existing or new rice mills) will offer a guaranteed market to small producers, machining, processing and possibly storage services and advice on marketing the finished product. Thanks to improved and modern production methods and an efficient marketing and marketing system, the paddy yield per hectare should more than double by 2028 and the production of milled rice should reach 3.5 million tons per year.

in the Democratic Republic of Congo

Table 3. Profile of the rice processing program in the DRC

Title

Overall objective

Self-sufficiency in rice production and full substitution of imported rice by

Specific objectives

Develop a vibrant rice value chain that will attract investment for locally produced rice.

Increase the level of rice production from the current 1.65 million tons to 3.5 million tons per year to eliminate the gap between demand and production in 2028.

Raising the quality of locally produced rice to international standards.

Build a network of paddy producers around the rice mills to ensure a steady supply of paddy.

Expected results/Impact

A viable rice value chain capable of meeting the country’s demand for rice.

Conservation of foreign exchange earnings resulting from the elimination of rice imports.

Food security resulting from the doubling of rice pro-duction and a quality that meets consumer needs and international standards.

Revenue growth and poverty alleviation for rice farmers.

Creation of 500,000 additio-nal jobs in rural areas.

Action plan for the transformation of the rice value chain in the DRC

Select existing and efficient rice mills and organize farmers into groups around these rice mills in order to access improved production technologies, seeds and other processing (milling and silos for input storage) as well as markets. This aggregation of producers is a step towards reducing production and transaction costs.

Increase the average yield of paddy from 0.88 to 5 t/ha. Link farmers to sources of financing and benefits of activities in the purchase of agricultural equipment and machinery.

Calendar

169 million US dollars

November 2023 – December 2028

Appromaximate budgetStrategyJustification

The DRC is one of the largest rice importers in Africa, spending around US$500 million tons of imported rice.

Rice grows everywhere in the DRC; therefore, self- sufficiency is very possible.

D. Aquaculture Value Chain Action Plan

Fishing and aquaculture are two major sectors in the DRC. They contribute 12% to agricultural GDP, constitute 40% of animal protein intake, and constitute a source of direct income for about 437,000 people. With nearly 52% of the African continent’s waters and favorable conditions for fishing and aquaculture, there are an estimated 1,782 species of aquatic invertebrates and about 1,000 fish in the DRC. These figures sufficiently demonstrate the annual catch potential estimated at 707,000 tons. Also, with an almost balanced geo-distribution of water resources over the national territory from west to east, the DRC should satisfy its internal demand for fish and serve as the fish market of the African continent. However, the annual per capita fish consumption (estimated at 5.7 kg) in the DRC is still very low compared to the continental average estimated at 9 kg per capita. In 2019, total inland fisheries catches were estimated at around 230,000 tonnes and marine catches at around 8,000 tonnes against imports of nearly 104 million tonnes of fish in the same year.

The domestic market is dominated by products imported mainly from Namibia, Tanzania and, more recently China. In value, these imports represented nearly 154 million dollars in 2018. Tilapias occupy a prominent place and represented nearly 3,185 tons in volume in 2018.This paradox marked, on the one hand, by abundant resources and favorable conditions for fishing and aquaculture, and by excessive dependence, on the other hand, is the result of several factors. Firstly, aquaculture is struggling to develop, particularly because of the difficult access in quantity and quality to fingerlings and fish feed. Fingerlings and fish feed are not locally available in quantity and quality, and importing them comes at a higher cost, which reduces the price competitiveness of local products.