Africa is the world’s most endowed continent in agricultural potential, yet it remains a marginal player in global agribusiness. This paradox lies at the heart of Africa’s development challenge.
Africa’s land accounts for nearly half of the global total. Most of it can be used for growing crops. It is also largely unprotected, and not forested, with low population density. The continent’s climate supports the growth of 80% of the foods consumed globally. Economic theory would predict that these conditions would lead to strong export performance. Yet Africa’s share of global agricultural exports is the lowest worldwide. It fell from about 8% in 1960 to 4% in the early 2020s, according to World Bank data.
Policymakers have largely neglected agribusiness export performance, with a few exceptions, such as Kenya and Ghana. Agribusiness refers to the entire range of activities in producing, processing, distributing and marketing agricultural products.
