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The Current State of Agribusiness Education and Training in Africa

By

Mabaya, Edward; Christy, Ralph D.; and Bandama, Maureen

Contributed Paper presented at the Joint 3rd African Association of Agricultural


Economists (AAAE) and 48th Agricultural Economists Association of South Africa
(AEASA) Conference, Cape Town, South Africa, September 19-23, 2010.
The Current State of Agribusiness Education and Training in Africa

Edward Mabaya
Stellenbosch University, Department of Agricultural Economics

Ralph D. Christy
Cornell University, Department of Applied Economics and Management

Maureen Bandama
Stellenbosch University, Department of Agricultural Economics

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The Current State of Agribusiness Education and Training in Africa

Abstract

To spur rural development and food security, agricultural education and training in Africa
has traditionally focused on increasing agricultural productivity on the farm. More recently,
development practitioners and policy makers have broadened their attention to include
agribusiness or agro-industries. However, the role of Agricultural Education and Training in
fostering agribusiness growth in developing countries is relatively underexplored. This paper
analyses the current state of agribusiness education and training in Sub-Saharan Africa. The
paper is organised around five objectives. First, the paper characterises the macroeconomic
environment—political, economic, social and technological—in which agribusiness
development is taking place in Africa. Against this background, the implications for
Agricultural Education and Training of a growing and evolving agribusiness sector are
explored. With a focus on agricultural economics departments, the paper assesses the
current status of agribusiness education and training offered in African academic
institutions. While significant progress has been made in integrating agribusiness
management into university curricula, the current offerings are far from comprehensive.
Using a case study approach, new models of executive training for agribusiness being offered
by non-governmental organisations, academic institutions and the private sector are
benchmarked. The paper concludes by recommending strategies for developing agribusiness
education and training initiatives so as to bridge the gap between current offering and
industry needs.

Keywords: Capacity Building, Agribusiness, Agro-industries, Executive Training and Education

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The Current State of Agribusiness Education and Training in Africa

1. Introduction

The central role of agriculture in economic growth and development in Africa has long been
widely recognised. To spur rural development and food security, agricultural education and
training (AET) in Africa has traditionally focused on increasing agricultural productivity on the
farm. More recently, development practitioners and policy makers have broadened their
attention to include agribusiness or agro-industries—the post-harvest activities involved in
the transformation, preservation and preparation of agricultural production for intermediary
or final consumption (Wilkinson & Rocha, 2008). Because agro-industries are uniquely
situated between raw and natural sources of supply and the dynamics of food and fibre
demand, promotion of agro-enterprise development can provide positive impacts on
employment in both rural and urban areas; offer market access to small-holder agriculture;
present business linkages to small and medium-sized enterprises (SMEs); and enhance food
security by reducing post-harvest losses and extending the shelf-life of food and fibres for
the rapidly increasing urban poor. The combined effects of employment gains and food
security through improved agro-industry competitiveness can be an important strategy for
reducing the overall poverty within developing countries.

Developing strong and viable agro-industries requires a different mix of skills, policies and
institutions from the traditional, mostly farmer focused ones. Agribusinesses have a different
objective function—maximizing profits—and often require an enabling environment to
thrive. To fill this gap, a multitude of new policies, initiatives and institutions have emerged
in developing countries in the last two decades. These interventions, mostly designed to
facilitate the participation of SMEs, include warehouse receipts, business clusters, micro-
finance institutions, technology parks, business development services, contract farming and
public investment in transport and infrastructure investments. Much has been written about
both the theoretical basis and the empirical evidence of these interventions. The role of AET
in fostering agribusiness growth in developing countries is, however, relatively
underexplored. In this paper we use the term ‘agribusiness education and training’ to
distinguish the specific focus on agribusiness as opposed to the more general AET that
includes but is not limited to agribusiness.

2. Scope and Objectives

While the status of AET in Africa has been under analysis within the past decade, focus on
agribusiness per se has been limited. It is undisputed that the market for students graduating
from agricultural science departments has changed significantly over the years from mainly
government sector to private agribusiness sector and non-profit organisations. Historically,
African countries based their agricultural education and training systems on meeting the
human resource requirements of public service or parastatals. Most graduates found
employment in the government civil service. Economic crises and structural adjustment
programmes in most countries have minimised recruitment of civil servants. The private

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sector and entrepreneurial skills have become increasingly important within globalised,
newly liberalised and increasingly technologically advanced economies. Demand for
agribusiness leadership and management has come from an industry characterised by
evolving structures and business models (De Lange & Van Rooyen, 2002). Academic
institutions and non-governmental organisations (NGOs) that provide education and training
are struggling to meet the new demand for skills for the emerging agribusiness sector in
terms of number of people trained, quality of training programmes and relevancy of skills
offered. Further complicating the matter, very little research has been done to understand
the current dynamics in academic as well as executive training for agribusiness in Africa.
Consequently, investors, NGOs, public-policy makers and leaders of academic institutions
often make key decisions on how to adapt to this changing agribusiness environment with
limited information and expertise on the subject.

The goal of this paper is to analyse the current state of agribusiness education and training in
Sub-Saharan Africa. The paper is organised around five objectives, which are presented
sequentially, as follows:
1. Characterise the macroeconomic environment in which agribusiness development is
taking place in Africa.
2. Explore the implications on AET of a growing and evolving agribusiness sector.
3. Access the current status of agribusiness education and training in African academic
institutions.
4. Benchmark new models of executive training being offered by NGOs, academic
institutions and the private sector.
5. Recommend strategies for developing agribusiness education and training initiatives
that bridge the gap between current offering and industry needs.

3. Context of Agribusiness in Africa’s Economic Development

Before we look at the supply and demand dynamics of agribusiness education and training, it
is important to understand the macroeconomic environment in which agribusiness
development is taking place in Africa. In addition to the general contributions of agribusiness
to economic development mentioned in the introduction, urgent efforts to improve agro-
industries in Africa are further justified by the potential negative impacts of the looming
global economic crisis on African economies. The global financial crisis of late 2008 has led to
a slowdown of world economic growth, reduction in trade and recession in many countries.
This economic crisis will have untold impacts on African agribusiness and the pace of agro-
industrialisation, but it is clear that the rising calls for de-globalisation, protectionism and
resurgence of economic nationalism in some countries may alter the policy mix or response
to this urgent need to act. While the prospects for improving Africa’s integration into the
global economy are likely to be enhanced as the world economy recovers, it is important at
this juncture that the implications of the global economic crisis be understood so that
African agro-industries are better positioned to become competitive players in national,
regional and international markets.

If agribusiness capacity building and training is to make meaningful contributions and remain
relevant, the major forces shaping development of this sector must be identified and
assessed. Examining the forces that influence agribusiness helps to provide insight into the
policies and innovative strategies needed to ensure that this sector better contributes to
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economic growth and poverty reduction goals. Further, these factors can be used in
designing curricula for agribusiness education and training. Table 1 provides an overview of
many of the key forces that influence the structure and performance of agribusiness and
agro-industries in Africa. As a basis for further discussion, a PEST—policy, economic, social,
technology—analytical format is used to identify the main opportunities and threats shaping
African agribusiness.

Table 1. Main Forces Influencing Agribusiness in Africa

Factor Opportunities Threats


Political Political stability in most countries Political conflicts in some countries
Legal Regional harmonisation of policies Corrupt government regimes
Preferential trade agreements, trade Limited enforcement of property rights
policy Poor business climate
Limited law enforcement
Economic Economic liberalisation well Global recession
underway Global financial crisis
High economic growth rates in Poor transport infrastructure
recent years Legal barriers to trade
Increasing foreign direct investments High interest rates
Central role of agriculture in most High inflation and unemployment
economies No macroeconomic stability
Social Growing population—increasing HIV/ AIDS
Cultural market Limited adoption of new technology
Human Rapid urbanisation Cultural preferences for specific
Demographic Improved access to education and staples
health
Gender—increasing role of men in
farming, women’s rights
Technological Improved access to information Diverse agro-ecologic conditions limit
(mobile phone and Internet) technology diffusion
Advances in biotechnology Weak national scientific and research
Technology leap-frogging institutions and universities
Investment in public research Limited enforcement of intellectual
(NAROs and CGIAR) property rights

Today’s agribusiness managers have to contend a broad range of socio-economic issues such
as gender, HIV and AIDS, conflict resolution, technological advancements, environmental
sustainability, natural disasters, global economic crisis and ever-changing socio-political
dynamics that are part of the agribusiness operating environment. It is the responsibility of
academic institutions and other capacity-building organisations to churn out the type and
number of graduates that are able to tackle not only today’s challenges, but future ones that
are yet unknown. This will require great vision, careful planning and perhaps institutional
innovation that departs from traditional paradigms.

4. Implications for Agricultural Education and Training

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Having recognised the forces shaping agribusiness development in Africa, we now explore
the implications on AET. Significant human capital development is required to fulfil the
growing need for skills and expertise to exploit the opportunities and mitigate the threats
mentioned in the proceeding section. We divide the implications of these changes for AET
into three fronts: service providers, target market and curriculum design.

Unlike other traditional fields of AET, the responsibility of building skills and expertise in
agribusiness does not lie exclusively in the public domain. Academic institutions are no
longer the “sole guardians of knowledge.” In addition to traditional institutions such as
universities, colleges, technical colleges, vocational schools and extension agencies, new
models are emerging out of entrepreneurship and executive training programmes by NGOs.
Both academic institutions and NGOs are presented with the opportunity to go beyond just
window-dressing existing programmes to design and implement more effective, successful
agribusiness programmes that are relevant not only today but will remain so in the future.
The envisaged effect is that institutions produce the kind of graduate that meets
agribusiness needs of today and is prepared to tackle challenges in the future. Figure 1
illustrates the stylised approaches to capacity building and training for agribusiness. On one
end we have the traditional agricultural training and education offered in African universities
and colleges. Some of these academic institutions have added agribusiness management
either as special elective courses under the traditional disciplines of the faculties of
agriculture (animal science, crop science, agricultural economics, soil science or agricultural
engineering courses) or as a separate field. On the other end are entrepreneurship
development initiatives, mostly offered by donor-supported NGOs or government initiatives.
Several of these initiatives have segmented their business development services by sectors
that are popular for SMEs, such as tourism, retailing, catering and agribusiness.

Figure 1. Approaches to Capacity Building and Training for Agribusiness

The target market, or beneficiaries, of agribusiness education and training is much more
diverse than that of traditional AET. The breadth and depth of this capacity building for

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agribusiness includes students, farmers, SMEs and agribusiness executives. The balance of
this paper focuses on the higher-end agribusiness skills that are mostly targeted at students
and executives from established agribusinesses.

Because of the wide range of service providers, coupled with a highly diverse target market,
there is a plethora of possible curricula that seem to satisfy unique niches. These vary in
length, format and level of rigor from short courses (often one day to weeklong), seminars,
conferences, full- and part-time diploma, certificate and degree programmes. Figure 2
benchmarks the current offering of agribusiness education and training in Africa. Along the
vertical axis lie the different targeted beneficiaries of such training. The horizontal axis
distinguishes between practical and academic orientation of a curriculum.

Academic Institutions
Students (BSc, MSc, PhD)

University distance
education programs
Agribusiness
Executives
NGOs offering business
development services
SMEs/
Entrepreneurs
Government SME
development programs

Farmers Agricultural extension


services

Practical Training Academic Education

Figure 2. Benchmark of Agribusiness Education and Training Programmes in Africa

5. Academic Programmes

The term “agribusiness” was coined at Harvard University in 1957. It would be decades later
before the area developed into a field for academic specialisation. “Traditionally, agricultural
economics departments offered this market an individual with a degree in agricultural
economics who had taken a management course or two during their graduate program”
(Akridge et al., 1994). Some pioneers in the graduate agribusiness education market include
Harvard University, Santa Clara University, and Iowa State University. As noted by Akridge et
al (1994), ‘these agribusiness programmes are orthodox business school programmes that
have agribusiness components’.

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As agriculture has become more industrialised, research needs within agricultural economics
have changed, with greater emphasis now being placed on agribusiness. In particular, there
is an ever-increasing need for research on the operations of the agribusiness sector as supply
chains become more tightly aligned; businesses become more consolidated with mergers,
acquisitions, joint ventures and strategic alliances; and a general industrialisation mentality
unfolds (Dooley & Fulton, 1999). Agricultural economics departments have increasingly
taken notice of these trends or new realities and have started responding to these demand
factors. Norman and Obwona (2001) noted how institutions had moved from an initial
response of only changing department names to reflect agribusiness to having programmes
that place more explicit emphasis on agribusiness. It was found that general agriculture
degrees, sometimes with an option in agricultural economics, are increasingly being
complemented or supplanted by agribusiness and agricultural economics bachelor level
degrees. For example, as of 2001, Egerton University was annually producing 60 graduates in
agricultural economics and 50 graduates in agribusiness (Norman & Obwona, 2001).

African universities ultimately will be responsible for replenishing the stock of human capital
in their research and extension services, and for providing them with the broader set of skills
necessary to grow agriculture in the 21st century (World Bank, 2007). Academic institutions
have a central role to play toward capacity building in agribusiness. Christy (2009) has
identified three roles that universities have in the development of agribusiness:
Analyse public policies and regulations that impact, both positively and negatively,
the competitiveness of agribusiness.
Design and evaluate alternative institutions that strengthen SME linkages and
smallholder access to national, regional, and global agro‐industry supply chains.
Offer innovative capacity-building programmes to enhance the economic
performance of agribusiness.

5.1 Current Offerings by African Universities and Colleges

Africa now houses roughly 300 universities. Three-quarters of African countries offer some
tertiary-level training in agricultural sciences. In short, extensive institutional infrastructure
for agricultural education and training has been put in place (World Bank, 2007). Table 2
shows some key institutions that offer degrees with an agribusiness focus (AET Africa).

How should academic programmes in agribusiness be structured to produce the type of


graduate than can be at the forefront of pushing the development agenda? A report by the
World Bank established that AET supply is often out of synch with labour market demand in
terms of knowledge and practical competencies, especially agribusiness, basic management
and problem solving (World Bank, 2007). In the United States, a number of studies on the
state of agribusiness education have been commissioned over time. Boland, Lehman, &
Stroade (2001) found 115 programmes at undergraduate level with degrees or majors in
agribusiness management within the United States. Programmes were found to be lacking
some essential elements such as human resources, agricultural or business law, strategy and
other integrative management courses as well as international and global dimensions of
agriculture. In 2004, the National Food and Agribusiness Management Education
Commission conducted a study with the objectives of describing the current state of food
and agribusiness management education at two- and four-year colleges and universities in

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the United States, identifying a set of key issues facing food and agribusiness management
programmes, developing a set of recommendations on these issues and then
communicating these recommendations broadly through a national conference, professional
meeting presentations, reports, and a web site. The study revealed that most agribusiness
curricula remain rooted in agricultural economics with business management courses being
the exception rather than the rule. The undergraduate curricula for agribusiness could best
be characterised as collections of courses rather than cohesive programmes (National Food
and Agribusiness Management Education Commission, 2006).

Table 2. Agribusiness Programmes

Program Institution Country


Agri-business Management Co-operative College Zambia
Bachelor of Agribusiness Management Makerere University Uganda
BCom (Agribusiness Management) University of Pretoria South Africa
BSc Agricultural Economics and Agribusiness University of Swaziland Swaziland
Management
BSc (Agric) (Agricultural Economics / University of Pretoria South Africa
Agribusiness Management)
BSc Agricultural Economics and Agribusiness University of Ghana Ghana
BSc in Agribusiness Management Egerton University Kenya
BSc in Agricultural Economics and Agribusiness Sokoine University of Agriculture Tanzania
BSc in Agribusiness Management University of Malawi Malawi
Cooperative Development and Agri-business Co-operative College Zambia
Dip. Agribusiness & Marketing Bukura Agricultural College Kenya
Master of Agribusiness Management Makerere University Uganda
Master of Science in Agribusiness Management University of Malawi Malawi
MSc in Collaborative Master Program in Egerton University Kenya
Agriculture & Applied Economics
PhD Agricultural Economics and Agribusiness University of Ghana Ghana
PhD in Agriculture & Applied Economics University of Malawi Malawi
Postgraduate Diploma in Agribusiness Busoga University Uganda
Management
BSc Agriculture and Natural Resources Africa University Zimbabwe
(Agribusiness)

According to World Bank (2007), AET systems currently in place suffer from five main
weaknesses: declining enrolments, professional isolation, narrow and outdated curricula,
inadequate staffing and insufficient pedagogical inputs. Surveys of agribusiness executives
(Boland et al., 2001; Breazeale et al., 2004; Wachenheim & Lesch, 2004) have found that the
most important skills for new graduates to possess were personal qualities and
characteristics such as the ability to communicate and work with others as well as

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administration and leadership qualities. The “new” agricultural professional must be market-
oriented, able to learn and adapt, able to innovate and solve problems and able to listen and
communicate (World Bank, 2007).

In a survey of agribusiness executives in the United States, Wachenheim and Lesch (2004)
found an ability to communicate and work with others to be the most important skills for
new graduates to possess. In Uganda, Makerere University used the Agribusiness
Management Aptitude and Skill Survey questionnaire and results were concurrent with
results worldwide. Personal qualities was rated the highest followed by administration and
leadership qualities. Communication skills were rated third, business and economic skills
fourth, followed by technical skills and computer, quantitative and management skills. The
least-important category covered previous employment and general experience (Breazeale
et al., 2004).

Agribusiness courses need to be reflective of industry interests. Graduates in this field find
employment in agribusiness firms, NGOs, governments, research and consulting firms as well
as academia. This can be done by cultivating linkages with agribusiness and recognising the
qualities that agribusiness requires in graduates. Linkages of academic programmes to actual
agribusiness firms are useful for

developing programmes that not only suit current needs of firms but equip and train
students for tasks that may not be present today;
providing practical training opportunities and industrial experience; and
developing soft skills in students that may be difficult or impossible to acquire in
classroom environments.

The International Food and Agribusiness Management Association conducted a survey on


subjects’ views concerning agribusiness education. The objective was to elicit preferences
for components of undergraduate agribusiness education from a diverse set of firms tied by
a common interest in international agribusiness (Wachenheim & Lesch, 2004). Among
suggestions for agribusiness program leaders, industry executives highlighted diversity and
exposure to diversity (thought, race, gender, and culture) as important. Agribusiness
education should aim at providing this.

Makerere University’s Faculty of Agriculture (MUFA) restructured its undergraduate and


graduate programmes to reflect the economic and political realities African universities face.
Without this measure, Makerere University risked becoming less relevant to the agribusiness
sector in Uganda. MUFA made a strategic decision to work with the private sector in
updating its curriculum to enable it to produce graduates with the skills and qualifications
desired by private-sector firms working in the agribusiness area with Uganda (Breazeale et
al., 2004). Consequently, Makerere has gone on to separate its master’s degrees into two
distinct degrees, namely agricultural economics and agribusiness (Norman & Obwona, 2001).
In terms of the agribusiness degree, the university is planning to offer it on a part-time basis
as well as full-time basis through holding evening classes. It is anticipated that a part-time
agribusiness master’s degree will attract private sponsorship both on the part of those
employed full-time and, in some cases, employee institutions. In connection with the
agribusiness master’s degree, Makerere set up an advisory board consisting of
representation from the private sector. Such efforts at Makerere University in Uganda

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reflect the level of progress that can be achieved when academic institutions work together
with agribusiness in shaping curricula.

The African Agricultural Economics Education Network launched the Collaborative Master
Program in Agricultural and Applied Economics in Eastern, Central and Southern Africa in
2005 following the realisation that demand for high-quality agricultural economists
exceeded supply. Its underlying premise is that highly trained local professionals must
address the challenges posed by far-reaching changes in global and local economies,
technology and marketing by adapting their advanced knowledge and methods to the
particular institutional, political and economic circumstances of Eastern, Central and
Southern Africa. It follows the recognition of the need to boost the human capital at
postgraduate level as part of efforts in capacity building for African agriculture. The program
has drawn participants from institutions in Botswana, Ethiopia, Kenya, Malawi, Mozambique,
Rwanda, South Africa, Swaziland, Tanzania, Uganda, Zambia and Zimbabwe. The program
offer Agribusiness Management as a field of specialization. The program is designed to
attract an expanded range of applicants including women by providing information on
prerequisite courses and cost-effective means to obtain these. Participants are drawn from a
range of applicants and the opportunity to take “make-up” courses is available. This, it is
hoped, makes the program more appealing even to women (African Agricultural Economics
Education Network, 2004).

Of note elsewhere in Sub-Saharan Africa are the following efforts of collaborations with
agribusiness. At the University of Pretoria in South Africa the ABSA Chair in Agribusiness
Management was introduced in 1999 to become part of the portfolio of courses presented
by the Department of Agricultural Economics and Rural Development at the University of
Pretoria. The ABSA Chair in Agribusiness Management aims to supplement the capability of
agribusiness to face the challenges of a sector in flux, through innovative training
programmes, research and outreach. Agribusiness Management is offered by the
Department of Agricultural Economics at the University of Pretoria as one of three areas of
specialization in Agricultural Economics. Programmes on offer include BCom (Agribusiness
Management) and BSc Agriculture (Agribusiness Management/Agricultural Economics).

5.2 Quality of Current Academic Training in Agribusiness


As evidenced above, several African universities have responded to market demand by
including agribusiness specialisation in their Agricultural Economics departments. What
remains questionable is the quality of the graduates emerging from these programmes. To
explore this issue we devise a litmus test for agribusiness graduates: Are holders of
agribusiness qualifications able to effectively replace those with business administration
backgrounds? In other words, in applying for a job at an agribusiness company, how well do
students with a master’s degree in agribusiness compete against students with a traditional
master’s degree in business administration? While there is no hard data to allow rigorous
analysis of this question, anecdotal evidence shows a higher preference and salary for MBAs
relative to their MA counterparts. The unfortunate outcome of the current effort may be the
production of graduates who cannot compete in the market because they do not possess
enough technical training to work in other sectors of agriculture and yet do not possess
enough management training to be a choice manager over an MBA candidate. Under this
scenario, an agribusiness student may be viewed by employers as a jack of all trades and

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master of none. “More than minor tinkering would be required to convert the master's
degree in agricultural economics, with its economics underpinning, into a close substitute for
an MBA degree” Akridge, et al, 1994).

It is not all doom and gloom for academic programmes in agribusiness management. There
are several success stories to report. Sokoine University’s agribusiness program is not only
generously funded by the government of Tanzania, but also receiving funding from donors
such as Norwegian Agency for Development Cooperation (NORAD). Since inception of its
agribusiness program, the department has experienced capacity problems because demand
for the agribusiness program has been very high (De Lange & Van Rooyen, 2002). The
University of Zambia invites current agribusiness managers and leaders as guest lecturers in
order to provide students with insight on how to run a successful business (De Lange & Van
Rooyen, 2002). Following consultations with industry and academia, De Lange and Van
Rooyen’s study found some of the following to be critical for successful agribusiness
programmes:

Utilise a case-study approach that focuses on real-world application.


Provide more practical training and exposure for students.
Develop computer literacy.
Establish strong foundations of economics and finance among agribusiness students.
Improve negotiation skills and ensure better understanding of global trade issues,
procurement and other supply chain–related issues.
Make conscious effort to enrol female students, train female farmers in agribusiness
(De Lange & Van Rooyen, 2002).

It is important to note that despite their best intentions, the hosting departments of
agribusiness programmes in African universities are still plagued by a host of problems, some
of which transcend the university and others that seem unique to the faculties of agriculture.
In a comprehensive study entitled “Agricultural Education in Africa: Managing Change”
Charles J. Maguire of the Rural Development Department at the World Bank identified the
following problems as specific to agricultural education among African universities:

Isolation of the agricultural university from other parts of the university system
Lack of communication with employers of university graduates, the market
Poor practical skills
Decreased funding as urban focus gathers strength
Weak connection with other parts of the agricultural education system such as
colleges, vocational schools, farmer training networks
High unemployment of university graduates, often due to lack of relevance of
curriculum
Failure to attract best quality students from secondary schools
Inbreeding—teaching and research staff are frequently graduates of the same
university or college, thereby excluding the entry of new ideas from the wider world
of academia and research (Maguire, 2000).

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5.3 Distance Education
Among the issues plaguing current agribusiness education and training efforts within Sub-
Saharan Africa is that departments are often understaffed and most faculty lack PhDs. There
have been difficulties in retaining staff that go overseas to further their education. Visits by
Chris Barrett of Cornell University and Suresh Babu of the International Food Policy Research
Institute to a number of agricultural economics departments in African universities
established that the level of interest in these institutions was quite high (Wyeth, 2002).

Several constraints to the effective implementation of distance education programmes exist


in Sub-Saharan Africa. Some institutions have “technological constraints” that make distance
learning challenging. For distance education to work more effectively, the issues of
information and communication technologies need to be addressed within academic
institutions and centres of learning. If a program is delivered only over the Internet, some
countries are unable to take full advantage of it immediately. The Internet is in most cases
inadequate and expensive or both (Wyeth, 2002).Therefore, all forms of media will have to
be utilized to make delivery more effective.

6. Executive Training in Agribusiness


The preceding section focused on agribusiness education offered by African academic
institutions—mainly departments of agricultural economics in universities and colleges—but
the market for professional agribusiness education is highly fragmented. Potential clients for
such programmes range from major food companies to small, rural, owner-managed farm
input firms. Even within firms, needs that might be met by professional agribusiness
education programmes are diverse, ranging from professional development for the CEO, to
sales training for field sales personnel, to an outlook seminar for the corporate planning
department (Akridge et al., 1994). Continuing management education for practicing
agribusiness managers in mid-size and larger firms also forms an important part of the
demand for executive agribusiness education and training. Agribusiness managers need
regular updates on new technological developments and the managerial implications of such
developments. This section explores executive training for agribusiness professionals that is
currently offered by governments, NGOs, academic institutions and the private sector.

6.1 Government in Executive Agribusiness Training


A host of business development and support services are currently being offered by most
governments either directly or through contracted agencies. Most of these initiatives are
generic entrepreneurship development courses, but a few of them have divisions that are
specially focused on agribusiness. Below we feature a few examples.

In South Africa, Red Door (Real Enterprise Development) is an initiative by the Department
of Economic Development and Tourism, Provincial Government of the Western Cape.
Although it is not specifically aimed at agribusiness, farmers benefit from the support to new
and existing entrepreneurs in starting and growing their businesses (www.reddoor.gov.za).

At national level, the South African government’s initiative Small Enterprise Development
Agency (Seda) provides business development and support services for small enterprises
through its national network in partnership with other role players in small enterprise
support. Seda also implements programmes aimed at business development in areas

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prioritised by the government. Products and services to which entrepreneurs have access
include, among others, information and advice, training and mentoring, business planning
and registration, incubation and technology transfer as well as sector-specific training and
development programmes (www.seda.org.za). While the program is stratified according to
level of growth of the enterprise, there is no specialisation for agribusiness.

In Botswana, Local Enterprise Authority (LEA) promotes and facilitates entrepreneurship and
enterprise development through targeted interventions within manufacturing, tourism and
agriculture, as well as any services that support the three business sectors. In particular, LEA
targets women, youth and the unemployed. It provides development and support services to
the local industry needs of small, medium and micro enterprises, encompassing training,
mentoring, business plan finalization, market access facilitation, and facilitation of
technology adaptation and adoption. LEA does not provide finance to entrepreneurs, but it
facilitates access to finance as well as provides support services to small, medium and micro
enterprises, before and after funding (www.lea.co.bw). The intervention is also stratified
according to level of enterprise development—from pre-start-up to business growth—and
further specialised by type of industry.

6.2 Executive Training by Academic Institutions


A few universities have developed special part-time programmes for executives to boost
revenue streams. While this model is common in most business schools, it is relatively
underexplored in agriculture departments. Even rarer are universities that have customised
agribusiness management programmes aimed at industry executives. In this regard, a
handful of South African universities are pioneering.

The Department of Agricultural Economics at the University of Free State runs an


Agribusiness Unit which holds market workshops every term, with a vision of “innovating
strategy and management for the future success of Agribusiness”. Market workshops, held
in an informal setting, are usually attended by about a 100 farmers, bankers or agribusiness
people. Guest speakers who are experts in their field take part. The emphasis is on group
discussions to anticipate future market trends and the appropriate business strategy.
Scenarios and strategy sessions are also presented on request to agribusinesses and farmer
or industry groups. Every semester a short course titled “Introduction to grain marketing in
SA” is also presented. The Agribusiness Unit also provides a one-day course to assist in using
SAFEX as a marketing tool consisting of Understanding the SAFEX environment, Using
Futures for hedging, and Using Options for hedging (University of Free State).

The school of Agricultural Sciences at North-West University hosts the Centre for
Agribusiness and Entrepreneurial Training. The centre is servicing mainly small farmers with
short courses, the training of extension officers and any other contract business such as land
assessment and feasibility studies for resettlement (North-West University).

Standard Bank, in partnership with Stellenbosch University, has established a Standard Bank
Centre for Agribusiness Leadership and Mentorship Development. Based on the premise
that successful agricultural transformation and land reform require skills and capacity
development to enable proactive agribusiness leadership; effective business linkages and
support systems; and pre- and post-settlement support, effective coaching and mentorship,
the project consists of two separate interactive sets of program activities. Stellenbosch

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University will initiate and coordinate a multidisciplinary postgraduate-level education
consisting of PhD and master’s degree programmes for knowledge development and
research. Secondly, a mentorship program will establish a “learning-by-doing” experience
through various accredited short courses and the development of a data base of projects
and mentors that participants of the scheme can draw from. PriceWaterhouseCoopers will
be one of the strategic partners involved in the development and presentation of the short
courses. The Centre’s major client groups consist of agribusiness executives responsible for
development initiatives and agri-mentors and coaches. The Centre will position Stellenbosch
University to engage with the agribusiness environment to develop the required human
capacity and knowledge systems to play a leadership role in a competitive, equitable and
environmentally sustainable agricultural sector.

6.3 NGOs in Agribusiness Education and Training


Several NGOs have stepped into the realm of agribusiness training by offering adapted
training courses. Most of such programmes are donor supported and many target a small,
specialised client base. Length, cost and structure of such programmes vary widely by
country, funding source and macroeconomic context. Below are a few examples of such
initiatives.

African Organic Farming Foundation has developed an agribusiness model for Southern
Africa in the field of organic agriculture. The foundation’s Marketing and Agro-Business
Development Program is a market-led, trade capacity–building partnership that facilitates
the inclusion of the resource-poor in organic production and trade by linking small farmers
with markets to improve nutrition, food security, incomes and community decision making
(African Organic Farming Foundation).

The Swedish Cooperative Centre is another NGO working directly with farmers and
contributing to capacity building in agribusiness education and training within Sub-Saharan
Africa. Its initiatives include the Farmer Empowerment Through Agribusiness Development
(FETAD) project in Uganda as well as the Swedish Co-operative Centre and Vi Agroforestry
project in Rwanda. The project has been working within the field of agroforestry and
agribusiness development to address environmental problems and poverty alleviation as its
contribution to improved livelihood among targeted communities. The project promotes
agribusiness development through the concept of farming as a business. It involves training
farmers in how to convert from subsistence farming to a commercialised form of agricultural
production, which entails aspects of enterprise selection, proper record keeping, utilisation
of projected income statements and marketing. This approach to farming is seen as a means
of increasing household incomes for improved farmers’ livelihoods. The project also focuses
on organising farmers into democratic, member-based organisations in a bid to consolidate
quantity and quality of farmers’ produce to meet market standards and help farmers realize
substantial profits as a result of improved bargaining power (Swedish Cooperative Centre).

In Ghana, the Trade and Investment Programme for Competitive Export Economy is a CARE
project that targets smallholder farmers that have already begun to integrate into
commercial marketing chains. The project recognises the importance of strengthening the
role of women as owners of SMEs, as smallholder farmers and as productive workers in
processing and marketing activities considering that about 60 percent of Ghanaian farmers
are women. The challenge however lies in finding commercially oriented women farmers

15
and including them in the target groups. A critical aspect of activities within the project is
aligning large and medium-sized agricultural enterprises to overseas markets and linking
smallholders to modern supply chains for agro-processing and export (CARE). Through this
project, various short courses are offered for free to farmers and agribusinesses based on
identified need.

Market Matters Inc. has offers all-encompassing agribusiness management training


workshops covering the topics of agribusiness marketing, strategy, financial analysis, supply-
chain management and human resource management. The goal of its “Making Markets
Matter” workshop series is to help African agribusiness entrepreneurs recognize market
demand and meet their customers’ needs, in the process offering employment and
promoting economic opportunities in their communities. Besides providing executive
management training, the “Making Markets Matter” program is a platform for building
business-to-business relationships. The program includes several special luncheons and
evening programmes that feature speakers from large agribusinesses, multinational
corporations, and financial institutions with an active agribusiness program.

7. Recommendations for improving Africa’s Agribusiness Education and Training


The paper set out to analyse the current state of capacity building in agribusiness education
and training for Sub-Saharan Africa. Much of this analysis has been presented in the
preceding section. In this concluding section, we synthesise the above findings into key
recommendations for improving AET for Africa’s Agribusiness.

7.1 Paradigm shift from agriculture to agribusiness


Perhaps the hardest aspect to change about training and education for agribusiness is the
overall paradigm that governs our approach to the subject. Traditional AET has existed and
has been institutionalised over many decades. It is mostly these same institutions that are
now taking on the challenge of building capacity for the agribusiness sector. This makes
sense from an efficiency point of view as it maximises economies of scope and integrates
agribusinesses to traditional fields of AET. However, this approach forces the subject matter
of agribusiness to fit into the rather static infrastructure and ideologies which were
developed for traditional agricultural fields – mostly farming. In so doing, we miss the
opportunity to challenge existing paradigms for AET that have not kept pace with recent
dynamics in the macro-environment. Figure 4 illustrates some key areas for which a new
paradigm is need in shifting from traditional AET to an Agribusiness centred education and
training. First, the approach needs to shift from producing disciplinarians with a narrow but
in-depth knowledge base to producing well rounded professionals with requisite skills to get
the job done. Secondly, graduates of AET need to be more competitive and employable not
just in government departments but within the general market that now includes private
agribusiness. Likewise, the production orientation that seems to govern traditional
orientation needs to be replaced by a market oriented approach that prioritises meeting
consumers’ needs. Unfortunately, most institutions are designed to defend the status quo
and hence change might take very long to develop and implement. An interim strategy
might be to give some degree of autonomy or flexibility to agribusiness education and
training programs.

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Figure 4 Paradigm shift from Agriculture to Agribusiness Education and Training

7.2 Learn from other developed countries and adapt for Africa
When it comes to developing programs and institutions for capacity building in agribusiness
education and training, there is no need to re-invent the wheel. As has already been
highlighted, the contribution of agribusiness to gross domestic product increases as a
country develops. This is in contrast to the contribution of agriculture or farming which
declines with a country’s growth. Consequently, agribusiness now plays a larger role in
developed countries than traditional agriculture and this has been the case for several
decades. Over the years, agribusiness education and training has evolved to meet the needs
of the industries in developed countries. African countries can learn a lot from industrialised
nations especially in Europe and North America on best practises for designing and
implementing successful agribusiness capacity building initiatives in both public and private
spheres. That said, it is important to note that Africa faces unique challenges and
opportunities such as those discussed in section 3. Hence, the best practises from the West
need to be adapted for the local context both at the continent and national levels.

7.3 Gender inclusivity


A key problem that seems to bedevil overall AET is gender inclusivity. There are simply not
enough women included in the different layers of agribusiness education and training. In
Africa, this poses a special challenge because women play a larger role in agriculture than
men especially as smallholder level. If the agribusiness sector is to integrate well with the
smallholder farming community, it needs to include more women and be cognisant of
gender issues. Currently, agribusiness management is not an attractive option for female
students enrolling at academic institutions. There is a significantly smaller proportion of
women in agribusiness and agricultural economics departments compared to other fields
and disciplines. Conscious efforts need to be taken in both academic and executive training
to recruit and retain female students and instructors.

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7.4 Balance quantity with quality
The first wave of response by academic institutions and NGOs to the growing need for skills
and expertise in agribusiness management in Africa has been to produce as many graduates
as possible. While this push for numbers is to be commended, it now needs to be balanced
or complimented by a push for quality. Quality control measures need to be put in place to
ensure the highest standards of graduates given available resources. Academic institutions
will need to move beyond changing department names and/or adding a couple of
agribusiness management courses to developing comprehensive programs that meet and
keep up with industry needs. Similarly, NGOs and private companies that offer executive
training for agribusiness need to move towards accreditation to ensure sufficient rigour and
enforceable quality standards. Funding institutions that are investing in agribusiness training
will need to signal measures of quality in evaluating outcomes and impacts.

7.5 Engage private sector


The private sector needs to be engaged in agribusiness education and training. First,
capacity building institutions should continuously consult with private agribusiness to assess
their skills requirement both in number and areas of expertise. Industry representative
should be consulted in the curriculum design process to ensure that their needs are met.
Furthermore, the private sector should be engage in the education and training process
itself. This can be achieved through the contribution of case studies, guest presentations,
student internships and even financial support in AET.

7.6 Use and develop local case studies


Appreciation of case studies as a teaching and research tool has grown remarkably in recent
years because of its applicability to real-life, contemporary, human situations and its public
accessibility through written reports. Given the highly dynamic nature of agribusiness in
Africa, case studies can ensure that education and training is delivered within a
contemporary context. Yet there are very few documented case studies of African
agribusinesses. Some investments will have to be made in researching and documenting
agribusiness case studies that highlight contemporary management issues. Further
investments might be needed to training instructors on the use of case studies as a teaching
tool.

7.7 Adapt to changing environment


Last and perhaps most importantly, the macro and micro environments facing agribusinesses
in Africa will continue to change. The above recommendations, while relevant today, might
not be applicable to tomorrow’s challenges of agribusiness education and training. New
issues such as the global financial crisis, the rise of genetically modified goods,
environmental challenges, technological advancements and rapid urbanisation are likely to
present new challenges that are impossible to anticipate. The implication for AET is that
institutions need to continuously re-invent themselves to stay at pace with contemporary
challenges and perhaps anticipate future ones. Better yet, AET needs to produce graduates
who are able to meet future challenges without the need to further training – the adaptive
graduate.

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