Home East Africa CEHA: Boost horticulture trade to USD25 million in EAC by 2031

CEHA: Boost horticulture trade to USD25 million in EAC by 2031

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The Common Market for Eastern and Southern Africa (COMESA) and the East African Community (EAC) have joined forces to boost horticulture trade to USD 25 million by 2031.

Under the COMESA-EAC Horticulture Accelerator (CEHA) public and private sector partnerships, the trading blocs have marshalled plans to fast-track the growth of the industry, beginning with avocado, onion, and Irish potato value chains. The primary objectives of CEHA are multifaceted, with an overarching goal of achieving a trade value of USD 25 million for fruits and vegetables within the Comesa-EAC region by 2031.

Avocado, onion, and Irish potato can generate a combined 230 million US dollars per year for approximately 450,000 smallholder farmers of a minimum farm size of 0.4 hectare with 60 avocado trees, or 1 hectare for onion farmers, stated Apollo Owuor, CEHA Coordinator. Furthermore, the initiative aims to catapult global exports from USD 416 million to USD 950 million by the same year.

The project covers five countries in the Common Market for Eastern and Southern Africa – COMESA and the East African Community – EAC. These are Ethiopia, Kenya, Rwanda, Tanzania, and Uganda. The implementation of the project has begun and is expected to enhance policy coordination, value chain development, financing, and research and development in the horticulture industry.

The idea is to harmonise Comesa-EAC fragmented regulatory and standard policies, coordinate the production chain, address poor storage and transportation snags for perishable crops, and ensure the availability of quality and sufficient seeds. For instance, some ports within the EAC that serve the rest of land linked countries lack what we call green lanes to fast-track clearance of perishable goods to the overseas markets, so CEHA seeks to tackle such a challenge,” said Owuor.

The projected scenario anticipates a doubling of the volume of preserved or processed fruits and vegetables from 8 per cent in 2021 to 16 per cent by 2031. During this period, the duration from farm to market is predicted to decrease by 50 per cent, while farm gate prices are expected to decrease by 25 per cent. Presently valued at 4 billion US dollars, high-value fruits and vegetables consistently outperform cereals and other conventional staple crops in terms of profitability. Moreover, the demand for these products continues to surge in both domestic and export markets.

Under the auspices of CEHA, farmers, and processors will have access to sufficient and affordable financing, and five trade-related barriers will be eliminated. This initiative aims to elevate the value of fresh and processed horticultural products to 500 million US dollars, consequently generating an additional 100,000 jobs across the value chains.

Simultaneously, efforts to reduce post-harvest losses are underway, targeting a reduction from the current 40 percent to half that figure. Forecasts indicate a 4 per cent and 3 per cent increase in yields for fruits and vegetables, respectively, while labour productivity is projected to improve by 25 per cent.

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To sustain profitability, farmers are expected to embrace climate-smart practices, such as cultivating crops resilient to anticipated shifts in local weather patterns. The aim is not only to boost trade but also to uplift the livelihoods of smallholder farmers across the Comesa-EAC region, said Owuor. These developments are being spearheaded by officials at CEHA’s headquarters in Lusaka, Zambia.