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SWAC/OECD, N°2, April - June 2009 > www.westafricaclub.org
Impact of the crisis: •a mixed pictureThe free movement of •persons, 30 years later Challenges for food security •and the cotton sectorThe army - a key political player, •The Constitution under pressure
West Africa Observer
West Africa Observer - SWAC/OECD, N°2 – April - june 2009
2
The Sahel and West Africa Club
The OECD has considerably deepened its relationship with Africa. The
OECD’s policy dialogue is also developing at a regional level, in particular
through the work of the Sahel and West Africa Club (SWAC) which plays
a bridging role as an interface between West African actors and OECD
member countries. Administratively attached to the OECD, the SWAC is
led by a Secretariat based in Paris, which is supported by a network of
partners and experts from West Africa and OECD countries.
Its specificity lies in its approach, which combines direct field-involvement
with analyses of West African realities. Together with regional institutions,
governments, business and civil society organisations, the SWAC
promotes the regional dimension of development, supports the formulation
and implementation of joint or intergovernmental policies and thereby
contributes to mobilising and strengthening West African capacities.
Summary
Impact of the crisis: a mixed picture
Economic outlook 5•
Regional policy reponses 6•
International policy reponses 6•
The free movement of persons, 30 years later
The 1979 Protocol and its application 8•
Obstacles and administrative harassment 9•
Regional infrastructure projects 10•
Challenges for food security and the cotton sector
High food prices 11•
A Charter for food crises prevention and management 12•
No relief for the West African cotton sector 13 •
The army - a key political player ; the Constitution under pressure
Speedy election in Mauritania 14 •
Political violence and elections in Guinea-Bissau 14 •
A difficult transition in Guinea 15•
Niger’s Constitution under pressure 15•
Contents
West Africa Observer - SWAC/OECD, N°2 – April - june 2009
45
11
14
3
8
4
Summary
Despite the crisis, the economic outlook for West Africa is better
than expected. Not surprisingly, the oil exporting countries are the
hardest hit. The Economic Community of West African States (ECOWAS)
presents a highly contrasted assessment as to West Africa’s capacity to
co-ordinate its monetary policies and the Central Banks actions while the
private West African banking system is rapidly integrating. However, the
West African Economic and Monetary Union (UEMOA) was able to react
relatively successfully within its zone. The G20 pledged more resources
to the main financial institutions such as the African Development Bank
(AfDB), the International Monetary Fund (IMF), and the World Bank Group.
The Gleneagles commitments were also reconfirmed. An interim Economic
Partnership Agreement (EPA) between West Africa and the European
Union will likely be signed in October 2009. Only addressing areas of
consensus, it will focus on trade in goods and equitable development in
order to compensate for the imbalances linked to the opening up of the
market.
As it is the 30th anniversary of the freedom of movement within the
ECOWAS zone, the West Africa Observer is focusing on the application
of this founding principle. All ECOWAS member states have eliminated
visas and entry permits for community citizens, and many of the countries
now provide a travel certificate or a community passport. Yet there is still
much to be done to reduce administrative harassment, and the number of
control posts along cross-border corridors.
The food situation is still worrying throughout the region. Despite record
production (17% increase compared with 2007/2008 for the entire region;
30% in Sahel countries), food prices remain high. Price pressures are
exacerbated by poor rainfall previsions; national public security stocks
are not at optimal level. With regard to cotton, the global economic crisis
combined with another fall in the dollar versus the euro (thus the CFA F)
raises the bar. Some countries are taking short-term measures to save
their “white gold” (subsidising inputs, State settlement of debts, sale price
guarantees) and plan to undertake structural reforms over the long-term.
Finally, the political and social scene continues to be instable. The
political transition processes in Mauritania, Guinea-Bissau and Guinea
progressed at a different pace. Political dialogue and mediation
accelerated preparations for elections in Mauritania at lightning speed.
Guinea-Bissau was finally able to hold elections without incident, after
a series of political assassinations. In Guinea, as electoral preparations
seem to be off track, tensions are rising between the military junta and the
“Forces vives”. The army in these three countries is a key political player.
In Niger, despite the Constitutional Court’s decision, President Mamadou
Tandja will hold a referendum on 4 August 2009 which could pave the
way to a third presidential term. ECOWAS played an important role by
dispatching a mission of five Army Chiefs-of-Staff to Guinea-Bissau and
a high-level delegation to Niger, led by the former Nigerian President
Abusalami Abubakar.
The West Africa Observer
This quarterly review analyses West African news on major
political, economic and social trends from a regional point
of view. It summarizes and puts into perspective important
events and developments. Topics are chosen according
to the concerns of those with whom the SWAC team works:
leaders of West African regional or government organisations,
development partners, NGOs, local actors and researchers,
civil society, etc. Our work draws on many existing information
sources. We believe: “The more information is available, the
more it needs to be synthesised”. The West Africa Observer is
intended to become a tool that provides easy and quick access
to key information on the region.
Please send your comments to: [email protected]
About the West Africa Observer
Normand Lauzon, SWAC Director
Impact of the crisis: a mixed picture
Economic outlook
The African Development Bank (AfDB) Annual meetings, held in Dakar
on 13 and 14 May 2009, released new growth prospects for the
African continent. According to the “African Economic Outlook (2009)”,
economic growth in Sub-Saharan Africa is expected to be 2.4% in 2009
and 4.7% in 2010. In West Africa, real GDP growth is expected to slow to
4.2% in 2009, from 5.4% in 2008, before partially rebounding to 4.6% in
2010. However, it is a mixed picture with some countries maintaining, or
even increasing their growth rate.
Among the hardest hit African economies are oil exporting countries
which have felt the effects of the crisis quicker and more acutely. In 2009,
Nigeria is set to lose two growth points and its Federal State budget as
well as its current account balance will be in deficit. Foreign exchange
reserves dropped from US$ 53 to 43 billion between December 2008 and
July 2009. The Central Bank of Nigeria declared a relaxing of its monetary
policy (again cutting its federal funds rate from 8% to 6%) to provide
increased liquidity while securing stability of the exchange rate. Volatile
oil prices hinder the planning and implementation of economic policies
over the medium-term.
Ghana is faring well due to the good performance of the cocoa sector
and, more generally, increases in agricultural production. In 2009, private
consumption should support growth which will be able to rely on first
oil exports as of 2010. After good performances in 2007 and 2008, the
economy of Cape Verde is expected to significantly slow in 2009 as a
result of a potential decrease in remittances and a drop in tourism. Post-
conflict recovery in Liberia and Sierra Leone is likely to continue.
The situation also varies in UEMOA countries. Burkina Faso and Mali are
benefitting from good harvests, and Mali from the high price of gold in
particular, while Niger is profiting from the high price of uranium. Senegal
has suffered a poor agricultural campaign and a fall in phosphate
and fertilizer production. The suspension of the Falémé mine project
(ArcelorMittal of US$ 2.2 billion) is casting a shadow over Senegal’s
medium- and long-term growth prospects. The improved political situation
in Côte d’Ivoire, the biggest economy in UEMOA, has helped maintain
growth prospects of 3.8% in 2009. This contributes also to the economic
performance of other UEMOA member countries, tightly linked to the Côte
d’Ivoire.
Learn more
African Economic Outlook (2009): • http://www.africaneconomicoutlook.org
Measuring the Pulse of Africa in Times of Crisis, OECD Policy Brief, •May 2009Regional Economic Outlook: Sub-Saharan Africa, IMF, April 2009, •http://www.imf.org
5
6
At the same time, the 9th Summit of the Heads of State of the West African
Monetary Zone (WAMZ) announced the postponement of the creation of
the common West African Central Bank from January 2010 to June 2014.
According to Nigerian President Umaru Musa Yar’Adua who chaired the
session, “the global economic and financial crisis has put constraints on
member states’ ability to meet the convergence criteria individually and
collectively.” A new Action Plan was adopted in order to assist preparation
in the countries concerned (the Gambia, Ghana, Guinea, Nigeria and
Sierra Leone) to agree on common convergence criteria and establish
the legal instruments of the WAMZ.
Impact of the crisis: a mixed picture
Regional policy responses
During a regional seminar held in Cotonou on 11 and
12 June 2009, the ECOWAS Commission and its Consultative
Committee presented a highly contrasted assessment of the regional
responses to the crisis: no co-ordinated response by central banks
and a lack of co-ordination regarding monetary policies, while
the private West African banking system is rapidly integrating. A
regional strategic monitoring committee will be responsible for
analysing the sectoral implications of the financial crisis and report
to the next Conference of ECOWAS Heads of State. However, it
was underscored during the seminar that UEMOA was able to react
relatively successfully within its zone.
In the first quarter, the situation of the UEMOA banking system was deemed
relatively good as the region’s foreign exchange reserves were sufficient
(West Africa Observer, No. 1, January – March 2009). The 21 March 2009
assessment by the Central Bank of West African States (BCEAO) confirms
this analysis and notes the mitigation of inflationary pressure. However,
the UEMOA Council of Ministers meeting on 26 June 2009 called for
vigilance with regard to potential price increases of energy products as
well as uncertainties related to climate conditions during the 2009/2010
agricultural campaign. Ministers also approved the creation of national
committees responsible for implementing the recommendations of the
UEMOA’s financial sector assessment programme. A series of directives
were adopted with a view to harmonising the management of public
finances to facilitate multilateral monitoring.
Financing the real economy is also still a major concern. On 11 June 2009,
the BCEAO announced another cut to its federal funds rate (from 4.75%
to 4.25%) and the coefficient of obligatory reserves applicable to banks.
The aim is to increase the volume of loans and reduce their costs. The
BCEAO’s governor, Mr. Philippe-Henri Dacoury-Tabley, stressed the
need for banks within the region to reflect the Central Bank’s action to its
clients, notably with regard to interest rates. Investments in agriculture,
energy and infrastructure continue to be UEMOA priorities.
The 36th Conference of ECOWAS Heads of State and Government,
held in Abuja on 22 June 2009 underscored “the need to deepen the
regional integration process” in order to counter the impacts of “crises”
and provide increased opportunities for regional growth. In fact, the
ECOWAS Commission believes it is essential to address the financial, fuel
and food crisis (“three F’s”) simultaneously. Heads of State encouraged
the ECOWAS Commission “to continue with its efforts to establish a
regional strategy and pursue the reforms that have been undertaken to
put in place macroeconomic convergence instruments and speed up the
establishment of a single monetary zone within the ECOWAS area”.
Learn more
Press Release of the Ordinary Meeting of the Union Council of •Ministers, UEMOA, 26 June 2009Final Communiqué of the Authority of ECOWAS Heads of State •and Government, 22 June 2009Strategy for addressing the financial crisis in ECOWAS, by •the ECOWAS Commission and the Consultative Committee, June 2009
International policy responses
L At the G20 Summit, it was agreed to allocate more financing
to the main financial institutions [the African Development
Bank Group (AfDB), the International Monetary Fund (IMF) and the
World Bank Group]. The G8 leaders also reaffirmed the Gleneagles
commitments to increase Official Development Aid (ODA) to Africa
from US$ 42 billion in 2008 to US$ 66 billion in 2010.
Participants at the annual AfDB meetings endorsed a joint Action Plan to
support Africa’s financial systems and lending to the private sector (US$
15 billion over the next 2 or 3 years). An Emergency Liquidity Facility
(ELF) of US$ 1.5 billion is being set up. It will provide financial support
to eligible states and to non sovereign activities (businesses). The AfDB
is also launching a Trade Finance Initiative. The first phase, approved in
March 2009, introduces a US$ 500 million trade line of credit to support
trade financing by African Banks and US$ 500 million for the Global Trade
Liquidity Programme (GTLP) in the second phase.
The G20 and the International Monetary and Financial Committee decided
to triple the IMF’s concessional loans to low-income countries over
the next three years. Africa’s share based on current IMF quotas is
estimated at US$ 15.6 billion. Africa could also receive US$ 3 billion
of the US$ 6 billion additional concessional lending. IMF financing
should become more flexible, in particular with regard to the
concessional lending facilities.
Impact of the crisis: a mixed picture
7
Learn more
The Crisis and Africa: Monitoring the Global Policy Response, •prepared by the Africa Partnership Forum (APF) Support Unit, OECD, 10 June 2009
http://www.africapartnershipforum.org African Development Bank Group Response to the Economic •Impact of the Financial Crisis, March 2009, http://www.afdb.org Update on the EPA negotiations, by Melissa Julian •
http://ictsd.net/news/eclairageInformation-sharing Gateway on ACP-EU trade •
http://www.acp-eu-trade.org
An interim Economic Partnership Agreement (EPA) by October 2009
Following meetings in June in Cotonou and in Brussels, the
European Union and West Africa (ECOWAS plus Mauritania)
decided to sign a less ambitious EPA in October 2009. This
would be an interim agreement on areas of consensus, mainly
trade in goods (including the 5th tariff band of 35% to better
protect the regional market) and the “EPA Development
Programme” (EPADP or its French acronym PAPED). Among
others, the PAPED (about US$ 9.5 billion over 5 years) shall
help countries of the region compensate for imbalances linked
to the opening up of the market instituted by the EPA, notably
its net fiscal impact. The October agreement should also set
out the road map for negotiating a more comprehensive EPA.
These negotiations, due to begin in January 2010, will have no
deadline as was the case in the past. They will focus on services
as West Africa is wary to open up calls for tender to European
businesses (see also the SWAC interview with Mr. Mamadou
Cissokho, ROPPA).
Photo: Stopover on the Lake Volta (Ghana)
The International Bank for Reconstruction and Development (IBRD)
will triple its loans to provide US$ 100 billion over the next three
years frontloading International Development Association (IDA 15)
disbursements (US$ 42 billion over 3 years of which US$ 21 billion will
be allocated to Sub-Saharan Africa). The World Bank also recommends
developed countries pledge the equivalent of 0.7% of their stimulus
packages to a global vulnerability fund to help development countries
which cannot afford bailouts and deficits.
The free movement of persons, 30 years later
Intra-regional trade is greatly tied to human mobility
According to the general perception set out in the 2009 Report
of the United Nations Conference on Trade and Development
(UNCTAD), there is relatively little trade between African countries
(approximately 9.5% in West Africa). But the report also emphasises
the rarely highlighted fact that taken individually, intra-continental
trade accounts for more than 25% of many countries’ exports. Trade
within the ECOWAS zone accounts for 57% of Togo’s exports, 37%
of Senegal’s exports, 31% of Burkina Faso, 25% of Cape Verde,
24% of Côte d’Ivoire and the Gambia, etc. The tremendous volume
of oil exports relegates Nigeria’s exports within West Africa to 5%.
However, West Africa’s demographic and economic giant also trades
massive volumes (although difficult to quantify) of manufactured
and agricultural products within the ECOWAS region. Official trade
statistics do not necessarily reflect real trade volumes as 90% of the
West African population is living off the informal sector (family farms
and the urban economy).
8
Freedom of movement is one of the founding principles of the 1975
treaty establishing ECOWAS. The 1979 Protocol on Free Movement
of Persons, the Right of Residence and Establishment sets out its
implementation. Over time, several supplementary protocols, an ECOWAS
Code of Citizenship (1982), the creation of an ECOWAS travel certificate
(1985), a residence card (1990) and a community passport (2000) help
implement this founding principle. What progress has been made?
All ECOWAS member states have eliminated visas and entry permits
for community citizens. Only a national identity card or a passport is
needed to move about within the ECOWAS area. Six member countries
have already introduced the community passport and seven countries
use the travel certificate. This much less expensive certificate is easier
to obtain and thus more frequently used than a passport. West African
nationals simply need an identity card when crossing the border. “The
ECOWAS Protocol […] has implicitly conferred a particular status on West
African nationals […]. This “adjusted” application of legal provisions is a
response to the nature of migratory exchanges that are behind the history
of the region.”1 There is certainly a high level of intra-regional mobility.
Approximately 3% of West Africans live in a country in which they do not
have nationality. Within the EU, it is about 0.5%.
1 Nelly Robin: ECOWAS, an Area of Free Movement and First Border Post for the Schengen Area, “Regional Challenges of West African Migration: African and European Perspectives”, West African Studies, OECD/SWAC, 2009
West Africa is making notable progress with regard to free movement,
in comparison with other African regions, as was confirmed in the
Follow-up Report on the Implementation of Recommendations from the
3rd Conferences of African Ministers in charge of Integration, published in
May by the African Union Commission. The Report’s conclusions indicate
that the member countries of the East African Community and ECOWAS
are much further ahead (with the community passport) than the Common
Market for East and Southern Africa (COMESA) and the Economic
Community of Central African States (ECCAS) in which the free movement
protocols are only at the ratification stage; and even more so than the
Community of the Sahel-Saharan States (CEN-SAD), the Southern African
Development Community (SADC) and the InterGovernmental Authority on
Development (IGAD) in East Africa who are still seeking consensus on
this issue.
Learn more
Protocol on Free Movement of Persons, the Right of Residence •and Establishment, adopted by ECOWAS on 28 May 1979 in DakarFollow-up Report on the Implementation from the •3rd Conferences of African Ministers in charge of Integration (COMAI III), African Union Commission, May 2009Economic Development in Africa: Strengthening Regional •Economic Integration for Africa’s Development, UNCTAD, 2009
The 1979 Protocol and its application
The free movement of persons, 30 years later
9
Obstacles and administrative harassment
Nevertheless, the Observatory of Abnormal Practices – an initiative
of the West Africa Trade Hub and UEMOA, supported by USAID –
asserts that numerous control posts, administrative harassment and the
extortion of funds continue to hinder free movement within the ECOWAS
zone. Each quarter, the Observatory publishes a report on the three
corridors of Tema-Ouagadougou, Bamako-Ouagadougou and Lomé-
Ouagadougou. The 2009 first quarter assessment showed that the rate
of “harassment” had not decreased considerably. Illegal payments vary
from 1 667 CFA F in Togo to 7 784 CFA F in Mali over 100 km. The amount
of time lost can be 5 minutes for 100 km in Togo to 30 minutes in Mali.
Resolving this problem is not easy, as it involves security issues (banditry
is recurrent in some sections of these corridors), social issues (purchasing
power and working conditions of ECOWAS member countries’ security
forces vary greatly) and economic issues (the least costly and quickest
transport routes are preferred by truck drivers).
Results for 1 January – 31 March 2009
Learn more
7th Report of the Observatory of Abnormal Practices on Inter-•state Corridors, Results for 1 January - 31 March 2009, West Africa Trade Hub, UEMOA and USAID
The Conference of ECOWAS Heads of State and government meeting
on 22 June again, “called on Member States to ensure the effective
application of the ECOWAS Protocols on the Free Movement of Persons
and Right of Residence and to put an end to all forms of harassment
along corridors and borders.” The ECOWAS Commission also relies on
the press to stimulate debate to raise awareness among civil society.
During a workshop bringing together some 100 journalists (Abidjan,
24 and 25 June), the Commission suggested creating a media network
to encourage integration and lower the barriers hindering free movement
within ECOWAS borders. The Director of the ECOWAS Commission’s
Free Movement of Persons Department, Mr. NFaly Sanoh, stressed the
lack of awareness of community laws. The first step to applying a law is
to inform the beneficiaries. Photo: Trucks at the Paga border check point (Burkina Faso-Ghana)
The free movement of persons, 30 years later
10
Regional infrastructure projects
At their summit, ECOWAS Heads of State and government announced
the creation of a fund for the development and financing of the
transport and energy sectors. This fund (modalities are currently being
explored) shall be financed through revenue generated by the region’s
main export products.
A transport corridor between West and Central Africa
The US$ 455 million project focuses on the Lagos-Enugu-Abakiliki
(Nigeria) - Mamfé-Mutengene-Bamenda (Cameroon) corridor covering
450km. This project will entail the paving and maintenance of the road, the
building of two bridges and investment in socio-economic infrastructure.
Two-thirds of the financing will come from the AfDB as well as the World
Bank in Nigeria and the Japanese International Co-operation Agency
(JICA) in Cameroon. ECOWAS, the Economic and Monetary Community
of Central African States (CEMAC) and the two states concerned will also
provide assistance. This project was finalised at the beginning of April,
just after the official settlement of the border between the two countries
on the Bakassi peninsula.
The dry port of Dosso in Niger awaiting the Parakou railway
On 21 May 2009, Niger’s President Mamadou Tandja, alongside
his Beninois counterpart, Thomas Boni Yayi, broke ground on the
Dosso dry port with a view to extending the Cotonou-Parakou railway
(Benin-Niger Joint Railway and Transport Organisation - OCBN) up to
the Nigerien town. This long-planned project still lacks the technical and
financial means even though both countries are committed to contribute
regularly into a fund. Areva’s participation is still in discussion.
The Senegal River with 900 navigable kilometres
The Senegal River Basin Organisation (Organisation de mise en valeur
du fleuve Sénégal - OMVS) announced plans to begin sea-marking
a channel in August/September 2009 so as to facilitate navigation
for medium-sized boats along the 900km that separates Saint-Louis
(Senegal) and Amdibédi (close to Kayes, Mali). Ports will be built in both
towns as well as nine stopover ports along the route.
11
Challenges for food security and the cotton sector
High food prices
Global food commodity prices have dropped sharply since the
beginning of 2008 after having reached an all-time high in 2007. Yet,
they are still far superior to price levels prior to the 2007 crisis (Figure 1).
Plunging prices have stabilised over the last few months. Record rice
production (666 million tonnes, an increase of 2.3%) has led to a 30%
drop in prices although still not at the 2007 price level. Cereals are all
following a similar trend (Figure 2).
West Africa is following the global trend. Continued high food
prices were confirmed at the meeting of the Regional Monitoring
Mechanism on Food and Nutritional Security held in Dakar in June,
despite record production (17% increase compared with 2007/2008 in
West Africa; 30% in Sahel countries).
The FEWS NET monthly newsletter asserts that between April and June,
the price of imported rice remained higher than the 2004/2008 average of
all the markets surveyed. The same goes for corn, which is a basic food
product in coastal countries and a substitution for millet and sorghum in
Sahel countries where it is also used in animal feed. The prices of sorghum
and millet, mainly consumed in the Sahelian and Sudano-Sahelian zones,
are also above average. In June 2009, the price of millet in Mali (Mopti),
Niger (Niamey) and Burkina Faso (Djibo) were respectively 11%, 14%
and 21% higher than in June 2008. On the other hand, the price of yams,
also a basic food product on the coast and a substitution in the Sahel, fell
below the 2004/2008 average (except on the Lagos market). Although
current market supply is relatively good, producer’s as well as national
public security stocks are not at optimum level.
Worrying rainfall forecasts are exacerbating price pressures. Rainfall
is expected to be insufficient in some Sahelian zones (the Gambia,
southwest and central Mali, southwest of Mauritania, Senegal) leading
to an early start of transhumance in pastoral zones. There could even be
a lack of rain in high-rainfall areas such as Benin, north of Côte d’Ivoire,
Ghana, north and west Guinea, Guinea-Bissau, Nigeria and Togo. Floods
could also occur in the southern part of the Gulf of Guinea countries.
Against this background, several West African countries are maintaining
their agricultural production support programmes.
Figure 1: Food product price index
(index 100 = 2002 – 2004 average)
Figure 2: Cereal price index
source: FAO
source: FAO
Challenges for food security and the cotton sector
12
Learn more
Food Aid Charter (1990) •Draft revised Charter for Food Crises Prevention and Management •(June 2009), http://www.oecd.org/swac/ruralNew Contexts and Food Security Issues in the Sahel and West •Africa (French), SWAC/D(2008)3, February 2008West Africa, monthly bulletin of cereal prices, June 2009, •FEWS NET, USAID
A Charter for Food Crises Prevention and Management
In the 1980s, the “Club du Sahel” (renamed in 2001 the Sahel and
West Africa Club - SWAC) and the Permanent Inter-state Committee
for Drought Control in the Sahel (CILSS) carried out an analysis and
consultation process which led to the establishment of the “Food Aid
Charter” (1990), adopted by CILSS member countries and the main
food aid donors. This code of good conduct aims to co-ordinate donors’
actions by delivering aid in a timely and an appropriate manner to the
“real” beneficiaries in Sahelian countries while avoiding the adverse
effects it may cause on local production and the market. As a precursor
to the Paris Declaration on Aid Effectiveness (2005), it also inspired the
Food Aid Convention (London, 1999).
Today, food crises are more intricate taking on more diverse forms than
in the past. The regional population has doubled since the beginning of
the 1980s becoming increasingly urbanised (from 25% to almost 50%).
Trade has created great interdependencies on the regional market. While
in the past, food security mainly relied on the ability to produce one’s
own food, access to food today is mostly determined by income. The
global market has a strong impact on local prices which can remain high
even if local production is plentiful. The institutional framework has also
changed. Decentralisation paved the way for local actors to make their
voices heard. Farmers are actively taking part in food aid programmes
and international negotiations, supported by their associations and
much more powerful NGOs. Regional organisations (CILSS, ECOWAS,
UEMOA, etc.) are major players. New actors (Brazil, China, India, etc.),
non-signatories of the Charter, are also joining this new food security
landscape.
The Food Aid Charter therefore needs to be revised. Since 2007, the
CILSS and the SWAC are leading another consultation process involving
all concerned food security actors to respond to this new situation. A
draft version of the revised Charter was produced and validated by an
international Steering Committee (June 2009). It goes beyond the original
text evolving from co-ordinated food aid management to a food crisis
prevention and management tool (mutual responsibility). It also opens
up to regional organisations and non-state actors, and expands its
geographic coverage from the Sahel to all of West Africa.
Challenges for food security and the cotton sector
13
Learn more
The World Cotton Market: Main Challenges (• French), International Cotton Advisory Committee, July 2009 http://www.icac.org
Cotton, Market information in the commodity area• http://www.unctad.org/infocomm/anglais/cotton/market.htm
Cotton news: between the financial crisis and protectionism, •what hope for the cotton sector ? Information note n° 82, IDEAS Centre Geneva, 12 March 2009 (French)
No relief for the West African cotton sector
Since the mid-1990s, structural problems have affected the West
African cotton industry with a drop in international prices punctuated
by a few soaring speculative hikes, an increase in the cost of inputs and
fluctuations in the CFA F/US$ exchange rate. The global economic crisis
(provoking a sharp decrease in demand) combined with another fall in
the dollar versus the euro (thus the CFA F) raises the bar. Burkina Faso
surpassed Mali as the first cotton-producing country of the region. On
6 May, the Burkinabe’s Council of Ministers announced a support plan for
the cotton sector. Seven billion CFA F (10.6 million euros) will be provided
to subsidise inputs and to support producers’ purchasing price. Four
billion CFA F (6.1 million euros) will help balance out producer groups’
debts. In the long term, the cotton sector as well as the Burkinabe textile
fibre company SOFITEX will undergo significant reforms. SOFITEX has
opted to reduce cotton grain production costs and increase yields by
introducing genetically modified organisms (GMOs).
Firmly opposed to the cultivation of GMOs, the Swiss NGO, Helvetas,
in partnership with local associations, is implementing an agreement
between Brittany (France) and cotton growers in Burkina Faso and Mali.
This agreement provides, with UEMOA support, 740 000 euros over
three years (2008-2010) to launch organic cotton production. Currently
accounting for 0.2% of global production, organic cotton is sold at
350 CFA F, more than twice as much as regular cotton (160 CFA F).
On 11 April 2009, Brazil announced that it would provide US$ 7 billion in
non-reimbursable aid to the cotton sectors in Benin, Burkina Faso, Chad
and Mali. In 2003, these four countries launched the C4 initiative to defend
the interests of African cotton producers in WTO negotiations.
West African cotton basins
Cotton production in West and Central Africa
14
the army - a key political player ; the Constitution under pressure
Speedy election in Mauritania
Following lengthy negotiations, the Dakar agreement, facilitated by
the Senegalese government and the International Contact Group on
the situation in Mauritania (African Union, Arab League, European Union,
International Organisation of the Francophonie and the United Nations) was
signed on 4 June 2009 in Nouakchott. It sets the date of the presidential
election to 18 July (initially scheduled for 6 June), re-opens candidate
registration (officially closed in April), establishes an interim government
and transforms the High Council of State (HCS - the junta in power since
the military coup on 6 August 2008) into a Security and Defence Council
under the National Union transitional government’s authority. It also
foresees the symbolic resignation of the deposed president.
Implementing this agreement immediately encountered difficulties. In
particular, there was disagreement on the composition of the National
Union’s transitional government which was finally appointed on
27 June; the unseated President Sidi Ould Cheikh Abdallahi refused to
officially step down prior to the dissolution of the HCS. On 24 June, the
Constitutional Court nullified a HCS order precipitating the closing of
candidate registration. The Independent National Electoral Commission
(INEC) was only established on 1 July making it impossible to mobilise all
the international observers on such short notice.
On 18 July, General Mohamed Ould Abdelaziz was elected in the first
round with 52.47% of the votes. His election was confirmed a few days
later by the Constitutional Court before which the opposition had submitted
a petition to nullify elections.
Amnesty for rebels in the Niger Delta
On 24 June 2009, Nigeria’s President Umaru Musa Yar’ Adua
offered amnesty to all Niger Delta rebel organisations
and militants who lay down their arms by 6 October 2009.
Immediately responding to this announcement, the Movement
for the Emancipation of the Niger Delta (MEND) attacked an oil
pipeline. Nevertheless, there is progress towards peace. Some
rebel groups seem to seek firmer guarantees as compensation
for laying down arms.
Political violence and elections in Guinea-Bissau
Following the assassinations of President Nino Vieira and the Army
Chief-of-Staff Tagme Na Waie last March, violence again erupted
on the political scene. On the night from 4 to 5 June, the military was
accused of its involvement in the assassinations of Baciro Dabo, Minister
of Territorial Administration and a presidential candidate, as well as
Hélder Proença, a deputy in the African Party for the Independence of
Guinea and Cape Verde (PAIGC) and former Minister of Defence. The
government accused these two political figures, close allies of Nino Vieira,
of attempting a coup d’état. The ECOWAS Commission and the African
Union are setting-up an International Commission of Inquiry to investigate
these assassinations.
Furthermore, in order to prevent resurging tensions, ECOWAS paid the army
three months of back salary and contributed to the budget and logistical
arrangements of the 28 June elections (see box below). Other measures
should be undertaken soon. The donor round table on the restructuring
and modernisation of the security and defence sector, organised in Praia
on 20 April, was a first step. Following elections, ECOWAS intends to
organise an international donor conference on Guinea-Bissau. The United
Nations Peacebuilding Support Office in Guinea-Bissau (UNOGBIS)
will be replaced as of 1 January 2010 by the United Nations Integrated
Peacebuilding Office in Guinea-Bissau (Resolution 1876/2009). This office
will provide support to the Peacebuilding Commission (PBC), in particular
in capacity-building of national institutions (police, justice, etc.), as well as
in reconciliation and mediation activities.
According to the last United Nations report on the political developments
in Guinea-Bissau, “there was a high risk of a constitutional crisis”. The
constitution provides for a 60-day term of office of an interim President
before elections are held. As President Vieira was assassinated at the
beginning of March, elections should have been held at the beginning
of May at the latest. In order to prevent a constitutional crisis, interim
President Raimundo Pereira achieved consensus with parliamentarians,
political parties and members of civil society to set the length of his
mandate. UNOGBIS sees this as an encouraging sign to build a new
national consensus based on political dialogue which is needed to resolve
the critical challenges facing the country.
A peaceful first round of presidential elections
On 28 June, none of the eleven candidates on the list
obtained majority. Leading candidates were Malam
Bacai Sanha of the PAIGC (39.6% of the votes) and Kumba
Yala of the Party for Social Renovation (29.4%). The second
round of voting on 26 July should decide between the two.
Learn more
Report of the Secretary-General on developments in Guinea-•Bissau and on the activities of the United Nations Peacebuilding Support Office in that country, 10 June 2009
15
A difficult transition in Guinea
During the second quarter, relations between Captain Moussa Dadis
Camara’s National Council for Democracy and Development (CNDD)
and the “Forces Vives” began to chill around the scheduled timetable
of the presidential election. While the head of the ruling junta stressed
the need to pursue his fight against corruption and drug-trafficking, the
spokesperson of the “Forces Vives”, Mr. Jean-Marie Doré, expressed his
concerns over the delay in electoral preparations and the lack of financing
to set up an Independent National Electoral Commission.
ECOWAS Heads of State and government were concerned by the lack of
progress in the implementation of the agreed chronogram for the restoration
of constitutional order (see ECOWAS Press Release No. 066/2009). With
the junta banning several political meetings, ECOWAS requested the
CNDD to respect its commitments, authorise all political party activity and
organise legislative and presidential elections in 2009. The International
Contact Group on Guinea (OCG) will open in Conakry in July to facilitate
dialogue between the CNDD and other stakeholders to assure elections
at the end of 2009.
The social climate is still tense. Guinean Unions are protesting against the
30% rise in fuel prices and are calling for salary increases, notably for civil
servants in the national education system. In mid-June, violence erupted
in Conakry and in several large towns between protesting youth and
military/policy forces, following a well-supported general strike. Following
these clashes baccalaureate exams were cancelled by the junta.
Niger’s constitution under pressure On 5 May, Niger’s President Mamadou Tandja announced his intention to
submit a referendum modifying the constitution to abolish the presidential
term limitation. The President thus intends to try to serve a third term in
order to “finish the large-scale projects underway”. On 8 May, twenty-
three deputies referred the matter to the Constitutional Court which then
ruled against it on 25 May. The next day, President Tandja dissolved the
National Assembly. One month later, on 25 June, the Constitutional Court
rendered a negative decision for the second time and one of the major
presidential parties (the Democratic and Social Convention) withdrew
its eight government ministers from the presidential administration. On
29 June, the President dismissed the seven judges of the Constitutional
Court and suspended the Court’s powers of arbitration concerning politics
and elections. The same day, he enforced Article 53 of the Constitution,
authorising the president to exert special powers and govern by decree.
The final Press Release of the Conference of ECOWAS Heads of State and
government of 22 June stressed their concerns and noted the Nigerien
Prime Minister’s reassurances that “all political stakeholders will continue
to operate with the ambit of respect for the constitutional legality”. The
ECOWAS Supplementary Protocol on Democracy and Good Governance,
ratified by Niger, prohibits any non-consensual change to the constitution
within six months prior to elections.
Niger is expected to hold three elections in 2009 under very tense political
circumstances that include the constitutional referendum of 4 August,
legislative elections set for 20 August and presidential elections to be
held by the end of December. President Tandja’s term officially ends at
the end of this year.
A drop in drug trafficking
According to the United Nations Office on Drugs and Crime
(UNODC) Report on “Transnational Trafficking and the Rule
of Law in West Africa: a Threat Assessment”, drug-trafficking , in
particular cocaine, is decreasing for the first time in five years. In
addition to Europe’s decline in demand, Mr. Antonio Mazzitelli,
UNODC’s West Africa Director, explains this drop by the
changes in political regimes (along with different strategies to
combat drug-trafficking) in Guinea and Guinea-Bissau as well
as measures undertaken by Ghana.
Learn more
“Transnational Trafficking and the Rule of Law in West Africa: •A Threat Assessment”, UNODC, 7 July 2009
A constitutional reform to establish the vice presidency in Senegal
On Senegal’s 49th anniversary of independence
(4 April 2009), President Abdoulaye Wade announced his
intention to establish the post of vice-president. Unlike Niger,
the Supreme Court declared itself incompetent to decide on the
opposition’s appeal. Following a majority vote by the National
Assembly, the Senate approved the constitutional change on
19 May. The vice president is named by the president for a term
not exceeding the president’s mandate in consultations with the
president of the Senate and the National Assembly.
the army - a key political player ; the Constitution under pressure
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