South African Workshop Presentations

 

Two Visibility Workshops have been held on the 28 – 30 January 2010 and 2-4 March 2011 and a Partner & Training Workshop on the 15 – 22 March 2013.

 

2.2 Abstracts of South African Workshop (March 2011)

 

2.2.9 IFC Investment Guidelines & Agribusiness Activities in Africa

 

Presenter: 

Vengai Chigudu
Internatianal Finance Corporation World Bank Group

 

 

IFC has made agribusiness a priority because of its potential for broad development impact and especially stng role in poverty reduction. We combine investments and advisory services to help the private sector address higher demand and escalating food prices in an environmentally sustainable and socially inclusive way. We also support global initiatives for sustainable production of agricultural commodities.
The food price crisis puts pressure on the global supply chain and threatens progress in poverty reduction. To help clients pre-finance inventories, seeds, fertilizers, chemicals, and fuel for farmers, IFC offers working capital facilities. IFC is scaling up financing for agribusiness and address critical constraints along the agribusiness value chain. The aim is to bring land into sustainable production, improve productivity by transferring technologies and practices, and make the best use of water and other resources. We pursue investments, with both private and public sectors, in physical infrastructure (ports, warehouses, cold storage, telecommunications) that can facilitate trade and lower cost. To reach small farmers and rural enterprises, particularly in low-income countries, IFC works with trading companies and financial intermediaries, helping channel financing and advisory services effectively.


Agribusiness companies increasingly recognize that the sector needs to make sustainable use of land, water, and other key natural resources, while increasing supply to meet market demand. The sector also faces social challenges, including the need to raise labor standards. IFC seeks commercially viable solutions and helps companies set benchmarks for responsible production in line with industry best practices. In areas such as sequestering carbon, managing watersheds, preserving biodiversity, and producing renewable energy resources, IFC’s efforts can also help generate new income through environmental services. IFC is also working with clients to strengthen their supply chains by helping small farmers increase productivity and apply appropriate environmental, social, and quality standards.