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DHL sees booming agribusiness in Africa

DHL sees booming agribusiness in Africa

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The one particular sector which has seen significant growth in Africa is agribusiness, says Charles Brewer, managing director of DHL Express Sub-Saharan Africa. This entails the full value chain from agricultural production/farming through secondary processing, distribution and retailing to the end user/consumer in Africa and export markets like Europe and the US (farm to fork concept).

,,There is a greater availability of good quality agricultural produce and processed food products than ever before,” says Brewer. He points to the recent report by the World Bank – Growing Africa: Unlocking the Potential of Agribusiness – which revealed that Africa’s farmers and agribusinesses could create a trillion-dollar food market by 2030. This means a three-fold increase from the current size of the market which is estimated to be worth $313 billion.

According to Hennie van der Merwe, CEO of the Agribusiness Development Corporation (ADC), based in South Africa, Africa is well-endowed with resources, but often lacks much of the necessary expertise to unlock the commercial potential of all its agriculture resources.

,,One of the major limitations on agribusiness development in Africa is a human capacity and human skills constraint”, says Van der Merwe. ,,The ability and experience to develop and manage commercial farming and agribusiness ventures are largely lacking in Africa. Major technology transfer and capacity building would be necessary in this regard.

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