World Food Policy Volume 2, Number 1, Spring 2015 | Page 10

Africa’s Structural Transformation Challenge and the Role of Agriculture create—depending on the country—tens of thousands of jobs whereas hundreds of thousands of jobs or millions are required annually. It means that the possible new comparative cost advantages—which will arise very progressively—are not enough: heavy investments are needed in infrastructure, training, and support to businesses; and it will be impossible to create millions of industrial jobs each year in the near future to meet the demand for jobs.8 This situation consolidates the remaining role of agriculture and the rural sector in the development of the continent. In Africa, over the last five decades, food production has essentially kept pace with population and urban growth thanks to the expansion of cultivated areas, but also to higher yields. However, the gradual decline in food production per capita,9 which is offset by imports, raises the question of the capacity to respond to population increase while the cultivated area per worker is getting smaller due to a growing rural population (Dorin 2013). Growing imports have firstly answered the urban demand. Nevertheless, if African cities are heavily dependent on international markets, their dependence is mainly a concern for the supply of cereals. Surveys in West Africa capital cities in 2008 have demonstrated that food expenditure is roughly divided into three equal categories: cereals and starchy foods (roots, tubers, and plantains); animal products (meat, fish, dairy, and eggs); and products for sauce (vegetables, pulses, oils, fruits, sugar, and condiments). For the latter two categories and also for starchy foods, local products are predominant (Bricas 2013). Based on these results and going back to the demographic prospects, the characteristics of the African population growth will give huge opportunities for the agriculture of the continent, for African farmers, and African food chains. Between 2015 and 2050, the continent will gain 1.2 billion new consumers and the progressive urbanization—even if relatively slower than in other regions of the world—will change the urban/ rural population ratio (U/R) which is a proxy for the market potential for African farmers. While U/R is 0.6 today, the ratio will double and reac h 1.2 in 2050: this is a dramatic pull factor for agriculture and a huge incentive for developing farming activities and agro-processing. These existing trends raise however the strategic question of identifying the most appropriate development model for agriculture in Africa. New investments by new players promoting large-scale farming (Anseeuw et al. 2012) have reopened the old “small versus large scale” debate about the relative merits of different sizes and types of farms. This risky discussion—which could result in adopting inappropriate modernization pathways—tends to obscure a central issue: the need to increase production, while creating employment in agriculture, 8 In the case of China, the “township and villages enterprises” policy, which was the backbone of rural industrialization, is an interesting yardstick: between the 1960s, when the policy was initiated, and the 1990s a maximum of 135 million jobs were created (Vendryes 2012). 9 Plant-based food production per capita declined by almost 0.1% per year between 1970 and 2007. 9