Can Innovations Save African Farms from a Changing Climate?
A Looming Crisis
As the impacts of climate change intensify across the globe, African agriculture faces a daunting challenge. Projections indicate a potential 18% drop in agricultural production by 2050, a period when the continent’s population is expected to triple. This creates an urgent need to bolster food security and ensure farmers can adapt to the increasingly unpredictable climate.
“African agriculture receives less than 5% of international public aid, even though it is the magic wand to achieve virtually all sustainable development goals,” laments Augustin Grandgeorge, who heads the Atlas initiative, a permanent laboratory focused on African agricultural transitions. He believes that a collaborative effort involving governments, donors, the private sector, and researchers is crucial to reverse this trend. “The question is how we mobilize all these investments, what priorities we finance, how we all pull in the same direction. So, it requires both advocacy and political dialogue.”
Empowering Local Banks
A key enabler in this process is strengthening African public agricultural banks. Their role is critical in attracting private investment and facilitating access to financing for smallholder farmers, who form the backbone of Africa’s agricultural sector.
Matthieu Le Grix, from the French Development Agency, explains that they are actively working to support these institutions. “This is what we try to work on as a public development agency in our public policy dialogue with African states and in all the work we do with the continent’s agricultural banks. In particular, we have undertaken a lot of work with Fida [Fonds international de développement agricole] around a coalition of public agricultural banks to exchange experiences, methods, the definition of suitable financial products, and for more advanced agricultural banks, such as Crédit Agricole du Maroc, to share their experience with banks which have less human and financial resources to innovate.”
This collaborative approach aims to build capacity and knowledge sharing within these critical financial institutions.
Bridging the Confidence Gap
Another significant challenge is convincing commercial banks to invest in agriculture, a sector often perceived as high-risk. InnovX, a subsidiary of the Moroccan nitrogen fertilizer giant OCP, is working to address this by providing support to small West African farmers. This de-risking mechanism plays a pivotal role in attracting commercial financing.
Youne Addou, vice-president of InnovX, explains their approach: “Our role is to come and show them that this farmer, this is how we ‘de-risk’ him. By putting in place different solutions such as access to a market for its production, access to infrastructure so that its production does not rot, access to suitable inputs, able to improve the quality of its soil and therefore production yields and its resilience.”
To further incentivize lenders, InnovX also offers producers yield insurance which compensates up to 70% of crop losses. These innovative financial instruments help build confidence among commercial banks, paving the way for greater investment in smallholder agriculture.
Building a Resilient Future
The need for action is clear. Combining innovative solutions, financial support, and targeted policies is critical to ensure the viability of African agriculture in a changing climate. Only through shared effort and a commitment to sustainable development can food security be assured for the continent’s growing population.
What role can specific innovations, such as strengthened agricultural banks, play in ensuring food security for Africa’s growing population?
## Will Innovation Save African Farms?
**Host:** Today’s topic is a pressing one: climate change and its impact on African agriculture. We’re joined by Augustine Grandgeorge, head of the Atlas Initiative, a group focused on navigating the future of African farming. Welcome, Augustine.
**Augustine Grandgeorge:** Thank you for having me.
**Host:** Recent reports paint a concerning picture – a potential 18% drop in agricultural production by 2050 [[1](https://www.nature.com/articles/d44148-022-00109-5)]. This coupled with Africa’s rapidly growing population presents a daunting challenge for food security. What’s your take?
**Augustine Grandgeorge:** It is indeed a serious challenge. As you highlighted, agricultural production is projected to decline just as the demand for food is going to surge. It’s a ticking time bomb.
**Host:** And you’ve advocated for increased investment in African agriculture. Why is that so crucial?
**Augustine Grandgeorge:** Currently, African agriculture shly receives less than 5% of international aid. Yet, it’s essential for achieving sustainable development goals in the continent. We need a multi-faceted approach: governments, donors, the private sector, and researchers working together. It’s about mobilizing investments, prioritizing key areas, and ensuring everyone is pulling in the same direction. This requires strong advocacy and political dialog.
**Host:** What are some specific solutions being explored? Are there innovations that give you hope?
**Augustine Grandgeorge:** Absolutely. Strengthening African agricultural banks is crucial. These institutions can attract private investment and provide farmers with the resources they need. Organizations like the French Development Agency are actively supporting these banks.
**Host:** Thank you, Augustine, for sharing your expertise. It’s clear that innovation and collaboration are key to ensuring a food-secure future for Africa in the face of a changing climate.