Innovations Session N°17

The potential of African regional markets: Successes from SMEs and Smallholders

One of the key drivers of food systems transformation in Africa lies in the potential of African regional markets, where Small and Medium-sized Enterprises (SMEs) and smallholders can play an important role.

While there have been notable successes, challenges persist in unlocking the full potential of African regional markets. A greater emphasis on deeper intraregional trade, cross-border investments in infrastructure and fostering “made in Africa” trade and industrialisation policies is key to the continent’s future prosperity and resilience to global financial, food-related, climatic and pandemic-related shocks.

Infrastructure deficits, regulatory complexities, and access to finance remain significant obstacles for SMEs and smallholders. Addressing these challenges requires a collaborative effort from governments, international organisations, and the private sector. Transformation can be achieved through improvements in farm-level productivity, inputs, mechanisation and post-harvest management driven by investment, innovation and technology within a coordinated and effectively executed policy framework.