Amath Pathé Sene: Innovate, Accelerate and Scale

Inkonversation s03 Ep05

Join the conversation, as Amath Pathe Sene, Managing Director of Africa Food Systems Forum shares about the need for youth and women in Agriculture to deliver food systems transformation in a digital and climate era.

Transcript

Henok 

Thank you so much. We are here today with Mr. Amath Pathé Sene, managing director for Africa Food Systems Forum. And it's a huge privilege to have you, Mr. Amath on our podcast. My name is Henock, Henoch Laike. I'm a Business Growth services Director for the Ethiopia region. So I would directly jump in to quick introduction. So maybe let me give you a quick moment maybe to introduce yourself. 

Amath 

Thank you very much for inviting me. My name is Amath Pathé Sene. I'm the managing director of the Africa Food System Forum, the world largest platform on food system and agriculture on the continent. We are based in Kigali, Rwanda, where the headquarter is, but serving the entire continent. And thanks again for this invitation. 

Henok 

You have an in-depth wealth of diverse experience. Could you tell us about yourself and a bit of your journey towards where you are today? 

Amath 

So thank you so much and it's always not easy to talk about yourself, but I'm originally from Senegal, which is a Sahelian country. And having also parents who were originally from the groundnut basin, from an early age I've been going several times and being there and looking at also how. Such kind of area that provide economic growth to the country still struggling when it comes to agriculture because of climate change, but also the degradation of land. So that childhood observing has pushed me to become an agricultural engineer. So an agricultural engineer looking at solutions on how we can transform rural societies and the fire that grow in you when you are a child want to solve goes beyond a job. It became a mission. So that's how I end up in development. 

And starting in post conflict countries in Afghanistan where I work few years in rebuilding agricultural economies in post conflict countries also to see what's going on in other continent, in Central Asia before coming back on our continent later with the UN organization UNDP as a junior professional Officer. I started in Mauritania. Later I was in Kenya before going out again in South America, in Brazil, with the Global Policy Center. So through that journey I started on the ground as a technician, but as an engineer and later as a manager there. So from the ground going up, you accumulate that experience where obviously from technical you became also someone specialist on policy design because when you do something on the ground, you need also policies that guide at the macro level at the country level, at the regional level. 

And before now you know joining IFAD which is part of the UN family, but a financial institute. So it was good also to jump into an organization that look at it from an investment for small holder farmers. So you can see throughout my career it has been always agriculture, climate change solution for rural communities. But I quickly realized that there is a moment where. You know that ecosystem to transform food system, Agri business, young people, it's not only institution, it's not only farmers. It's not only policymaker, but it's a group. It's an ecosystem. And taking this role at the after Food System Forum has provided me the opportunity to continue bringing that ecosystem together. And that ecosystem food cannot come to your table without the farmer, without the processor, without the boda boda who is transporting it, without the energy supplier to process it. So each sub chain of the value chain has a meaning, has a role. And if one is not working, then the entire chain is affected or the production is reduced or the service is reduced. So the Africa Food System Forum is an excellent platform that bring all this ecosystem together. So this is the platform we are running, and annually we meet to see also what's the status and progress on the continent. 

Henok 

So as you know. Continents you know, most affected by changing climate, and where, the susceptibility of our continent to the effects of global warming is very high. 

So, what factors do you think make the continent uniquely or more vulnerable to this climate change? 

Amath 

I think it's pretty much obvious because when we talk about agriculture and Agri food system, number one is the natural capital. So you cannot produce without land. You cannot produce without water even if you have to do a vertical production, you still need acreage to produce. So land, natural capital is currently, threatened because of the way we do agriculture. All of them has degraded the land over the last past years. Desertification. So there are all a lot of ecosystems also where you have deforestations, mining,... So many of those one combined have affected the quality of soil health, soil productivity and therefore production. That's number one. 

Number two is climate change. Even if you have the right natural capital, which you can use to produce enough, the big problem Is rainfall, temperature, … which those are the two that define climate variability. So the issue of this current climate variability and change so has not been well integrated as a big risk for farmers, for businesses, for all those actors, for the simple reason that we don't have yet data. We have not yet compiled it. We do not have also the capacity to respond when there is a big disaster. And as compared to other regions where you have hurricane or those big storms in the US the next day, there is a whole chunk of money that is put on the table. But you also have like different entity of the federal government addressing. So when we have this one on the continent and we are hit, unfortunately, the only thing is to migrate. Abandon your assets, your land and move. It brings another problem which is, people coming to cities and then suburbs, slums and security and other development and challenges. 

The third one is our agricultural system. They're still very subsistence. So subsistence for the simple reason they are small. Most of those farmers live on less than a hectare. Obviously those one if they are not well organized, they don't have the capacity to deal with the middleman or even major or big, big, actors. So question of organization is there. The question also of mechanization as compared to Asia and other continents. The African continent is under mechanized. Second is also irrigation. We irrigate less than 5% when in the other region there are more than 50% of their land irrigated. Therefore, you are not adapting to climate change because you are not mobilizing the water after the rainy season to be able, to irrigate and have a production on six, 7-8 months. So this becomes a problem in area where the rainfall is only for two months or three months.

And lastly, I will end with issues of technology. So agriculture, as of today is for young people. I think it's a bit complicated to change the older generation, but it's a good opportunity with young people to have a job. They can also produce enough on a small plot with different techniques. It's really important that we look at also technology and new solutions that can help us leapfrog, but not just where we were. Those one combined with governance, reforms, policy that cut across different sectors will help us address all these challenges and also transform our food systems. 

Henok 

Let's also look at the AFS strategic objectives. So you have currently 6 strategic objectives where one is around investment facilitation in finance where you anticipate to build in advancing with the pipeline of investment opportunities throughout Africa to support private sector at different levels, small, medium, and large. At Inkomoko we also have an investment support package for our clients. And we provide direct capital for our clients, to nurture enterprises we support. 

So maybe my question, how are you doing this investment facilitation, for the private sector as well as what kind of stakeholders are best positioned to contribute to this objective?

Amath 

Yeah, I think private sector is crucial to, transform this sector and at the end of the day, the government has to be just an enabler. So private sector will not come to agriculture when it is risky. And that has been the narrative for many years because you have climate change. It's raining, not raining. We don't have data. We don't know the climate, so that has been always a big challenge from private sector attracting. However, when you derisk the sector, when you provide the right information to private actors, particularly data on even climate change and variability. They are more comfortable to integrate it as part of their risk management metrics, but that information should be there. 

The second part of derisking is also public and private sector partnership. So when government comes, and be a cushion for those who are vulnerable and risky, but you are still supporting them because they are the backbone of your economy. Then it also creates a big change in a country and also how you transform your sector.

When now we come to private sector, we have several actors there. You have insurance companies, you have equity fund, you have private investors, impact fund, etcetera. So most of them are looking at also creating an ecosystem where you have many working together. So obviously insurance company, when you are hit hard by a drought or or or floods so they can come in and pay you back. So the bank that provide you the resources is not necessarily affected, but those one need to be integrated as part of the financial model. And the financial model with the return on investment is key. Also, interest rates sometimes are high because it's risky. But when you put that ecosystem together, then the interest rate could be lower than what it is right now for commercial bank which prevents any of those who are in the sector to go and borrow resources. 

So how are we bringing now these guys is just to see like a puzzle. When you work with a young MSME who would like to get some resources and grow its business, he's just looking at 50 thousand U.S. dollars. So we create what we call the deal room. The deal room is a vehicle within the Forum where we do a call for proposal. And then all those MSMEs can apply their project. You are sitting somewhere in Ethiopia or in Malawi or Mali, you can apply. Based on criteria your project is selected. So we won't let them just pitch, but we also bring development partners that can still support them when they are pitching in case the market is asking for some derisking mechanisms, the development partners can bring it. So by connecting the dots between the one who is looking for resources, the one providing the resources from the supply side, the other that can come and support the ecosystem to make it simple. So there is trust between them. But there is also the derisking. So that platform is something which we have within the AFS that help leverage capitals from the capital market by using also some incentives. And by doing that kind of mechanism, we facilitate access to resources for those who are looking for private sector resources. 

Henok 

Thank you, in the Rockefeller Foundation perspective article, which is  “fixed steps to meet Africa’s high costs of fighting climate change”, you are quoted saying the young need to be at the center of the discussion. 

Why is this key and are there any practical examples of an outcome which are, powered by our youth contribution? 

Amath 

Yeah. So I think Rockefeller Foundation has been one of the main support of the AFS Forum from the beginning from the work they do across the continent. So foundation play a key role in unlocking capital market, but also the private sector and on top of that by having target group that are young people and women, you are addressing the right issue. (00:20:03) The right issue for the simple reason that the continent is composed today mainly by young people, 70% of them have less than 35 years old. So obviously they're looking for job opportunities and if you are not addressing that one, then unfortunately you are missing the point. So it's important for those institutions that are leading the way, targeting those different actors to be at the forefront, but also to build a coalition with others who are also looking at finding solution to African problems. And those solutions start with young people. I think that leadership is part of what's coming to our forum when we are shaping the program to have also the focus on youth. And in September, I think Rockefeller is part of those one who are mobilizing young people to be part of this forum. So we hear their voice, but also we hear solution as part of the way we would like to transform the food system on the continent. 

Henok 

Exactly. As a follow-up in different perspective. At last year’s the summit of the Africa Food Systems Forum. In your closing remarks, you shared the intention to go beyond agriculture. “Bigger”. (00:21:45)This upcoming forum in Rwanda’s theme is delivering food systems transformation in a digital and climate era. 

What are some of the ways, the upcoming convening is going to explore beyond agriculture in a bigger way? 

Amath 

Yes. So I think this is a unique opportunity to continue to shape the continent's narrative on how we would like to transfer. Number one is, we have a continental free trade agreement which provide the possibility of some countries that are much more in a position to produce because of the ecosystem they have comparative advantage water landscape... If they are producing commodity like rice, and they have a surplus, they can also provide the others, or they can even expand their production to feed the rest of the continent because of the nature of that country. And an African country won't need to go outside to import. Because it's being produced locally by young people, so this is what the forum is bringing from a trade perspective. 

So the second element is also we look at nutrition, what it brings. Also this forum is… Food system is not only production agriculture, it's also nutrition. When we talk about nutrition, it's the outcome, stunting, sometime also obesity, health and how do we also feed ourselves to be able to be also healthy communities. And which food is coming on our table? What's the nutritional status? And those elements are key, but also the safety. So on top when you are exporting? You're also competitive from other markets because you are meeting the standards. And I think these are also element which we need to have on our radar. 

We are talking about climate change as a vulnerable continent, we can address it also from a financing landscape. We look at the financial architecture of our continent, from central banks to the banks of development, microfinance institution, how do we create also financing product that will help adapt, mitigate the effect of climate change(00:24:59) and also the different solutions that we look for. Something new which you want to do for this year, which make also this summit quite innovative, is digital and climate. We are looking at it from a perspective of accountability. A platform where when we come, we can talk about what has happened between last year and this year, which is not just about shaking hands, taking pictures. But countries are coming and showing policies others can copy and paste, scale up and deliver. So we are also talking about youth and women. How do we incentivize them to come and incentivizing them is also to competition awards, recognizing them. On top of the gala dinner, which is also a moment where we celebrate African excellence. It's, with the Africa food prize where we are providing those incentives for those who have been dedicating their life to transform food system through their research, through innovation and etc. So it's a moment also where private sector, philanthropies are there, and discuss how can we work together to push this agenda? The leadership, ministerial meetings with decisions, heads of state with decision, but all focusing on youth and women. So I think this is something which we bring. 

So it's good that we address those issues from start before we go to other one, and we can do it as a continent which has the capacity natural resource. 

Henok 

I'm sure this year’s gathering is going to be amazing. So Inkomoko’s vision is an Africa with, thriving communities. Where young people and especially refugees are engaged, communities have access to relevant innovations for self self-determination. Where African based solutions are unleashed to solve our own problems. Food system transformation and climate change is a very huge, sector to be addressed. 

What can the many young people in communities that we serve to, to contribute, to build healthier and more inclusive, sustainable, resilient and equitable food systems? And How can we leverage the technology to make current systems more resilient, responsive and efficient? 

Amath 

I think for the young people, African young people, it's pretty much simple. It's very my key message is. let's also as young communities work together, so handhold. Now the world is one. Africa is one. Maybe your solution you are looking at is already done somewhere else nearby, so we as a platform help you to see that solution. You don't need to spend too much time trying to create it when someone is already doing it. We need always to leverage from others experience. The market is huge. The competition, whether you are doing. Cocoa, or paltry? There is no competition because we are still not meeting the demand, so we need to have many champions and always cultivate the spirit of being a champion and also serving and being useful to your Community. And I think these are messages which we need to do, and we also have that solidarity, let's elevate, champions those who are supporting the sector they're trying. Let's let's give them hands. Let's push. Make sure that it's working now. To speed up the process, technology is a good way of doing it. The tools, whether you are doing e-commerce, and you don't want to have a shop, but it's easy for us to buy from your platform online. Whether you are doing payment system to reach some communities far away in villages because it's the easiest way than to have a bank or a microfinance. Decision whether they are producing drones to help us more monitor, forest coverage as opposed to land crop production or you are doing fertilizer distribution. So most of these technologies right now coming. This application, through the innovation and the brand of the young people, this one we can also build them, create them on the continent rather than just copy paste or importing. So we need also to liberate that creativity and energy of young people by providing incentive and supporting all of them. There is no bad idea. Just go crazy. Ideas always lead to innovation. And innovation change communities. 

Henok 

Yes, thank you so much. I have one last question, it's around making agriculture appealing, to the younger generation. What initiatives basically can be undertaken to cultivate the next generation of leaders, entrepreneurs and innovators to drive agricultural transformation? And the other one would be again, What's your advice for them to engage in this opportunistic sector as well as what are some of the support packages or programs available out there? 

Amath 

Agriculture food system has been for so long… when you look at the continent, a negative narrative. So that negative narrative is poverty, misery. You are a villager, peasant… And so all those words that comes to mind. You work hard with your hands. Those did not encourage people to look at agriculture as a business. It's more like as a subsistence activity, and after you don't have nothing to do, and you stay in your village. And you are really like coping one year after another one. So for so long, that narrative has been there. And I think what is needed to be done is what we are also trying to do within our forum is to change that narrative. 

To change that narrative will start with media towards those platforms, which we feed with content and start also giving a positive narrative. We will have some session on that. And we are also looking at producing some content magazines that talk about the good things that can come with agriculture. The good things are opportunities for young. Opportunities. It's a business. It's a business that can give you money like any other business can give it to you, your pocket and some time faster than any other sector. And you are also useful. You're feeding people. So to make it attractive for young generation that are not necessarily in rural areas, but attracted by the lights of the city. 

You need also to understand as an initiative #2 is how those young people think. What do they need? If today you have to do agriculture in a suburb or very urban area, or even in a rural area that is one hour or 30 minute drive, there is a prerequisite that is needed. You know some basic things which will keep you alive there. You  are fine, and you may find it funny, but in some of my previous experience working on development and touring some African village, there was some I visited. I found them there asking them why are you staying into this very complicated and harsh area, but the only response was look at the facilities we have. So we have social housing, we have, you know, even a TV place where they can watch games after the jobs they finish. So they have a life. So if you don't have those basics, you cannot expect those people to stay in very hard condition. They have the same rights, they have the same aspirations, like all of us and those element has to be there to make it cool. 

There are also a third initiative, which can be the incentive. We need to work together between Sector Ministries, Ministry of Youth, Ministry of Finance, Finance, Ministry of Art, Ministry of Trade. They come together and then Minister of gender. To see what can be done when you put those young people and you want to make this business attractive to young people. I will end by saying. We want to make it also attractive. We need to get into the brand of those young guys. We put them at the forefront from a decision-making from a contribution. So they will tell us what they want. 

Henok 

Thank you so much. Thank you. So. Much, Mr. Amath. Your insight, knowledge and experience have been really amazing and we really thank you for making a time to be here with us today, thank you so much, Mr Amath. 

Amath 

Thank you so much. Thanks for having me