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Entries in July 2013 (5)

Tuesday
Jun302015

African Infrastructure Dreams Back on Agenda

 

Africa’s patchy infrastructure is not keeping pace with the continent’s economic growth.

Satellite photos of Africa at night show a place where light is concentrated overwhelmingly in the South – primarily South Africa – and in the North, with a sprinkling of lights on the west and east coasts (http://geology.com/articles/satellite-photo-earth-at-night.shtml).

This is just one visually arresting way to view the much larger problem of the continent lacking 21st-century infrastructure – from roads to airports to sewage and water services to harbors and rail connections. All are in desperate need of an upgrade.

The World Bank says only one in four people has access to electricity in sub-Saharan Africa. According to the International Energy Agency (IEA), the region will require more than US $300 billion in investment to achieve universal electricity access by 2030.

This lack of modern infrastructure is clashing with Africa’s impressive economic growth in recent years. The continent will be home to seven of the 10 fastest growing economies in the world by 2015, according to the IMF. Yet still too much of this is a reflection of a booming resource economy, which sounds impressive in numbers, but still leaves much of the continent’s population living in a day-to-day world of underdevelopment and poverty.

Africa desperately needs further investment in infrastructure. The good news is that a mix of positive developments is coming together to breathe life into efforts to upgrade the continent.

One is a new campaign to mobilize Africa’s wealthiest to stump up the necessary funds to conduct feasibility studies to lay the groundwork for a big boost to infrastructure spending in the coming years. Another is a flurry of new pledges from the United States to spend more in Africa to increase access to energy – a necessary precondition to improvements to living standards. China, too, is to continue to grow its already substantial investments in Africa.

For innovators, better infrastructure across Africa will make it easier to export products, connect with markets and customers and gain access to new technologies and products available to others around the world.

The Made in Africa Foundation (madeinafricafoundation.co.uk) hopes to turn to Africa’s wealthy global community to help with funding the feasibility studies required to unleash a new wave of infrastructure spending and building across the continent.

Africa takes up 30 million square kilometers (UNEP), is home to approximately 15 per cent of the world’s population and has 60 per cent of the world’s potential agricultural land. Yet, just 34 per cent of Africa can be reached by road and only 30 per cent has access to electricity. One estimate has placed the cost of meeting Africa’s power and transport needs at US $28 trillion by 2050.

That is a vast amount of money, and nobody will commit those sums unless they know that work has gone into planning for this infrastructure and that people are thinking long-term. This is where the Made in Africa Foundation wants to make a difference: it is hoping to get Africa’s wealthy to contribute US $400 million to fund feasibility studies which in turn will kick-off a US $68 billion first phase in investment into roads, railways, ports and energy.

“In 2009, there was (US) $150bn (billion) available to spend, but no bankable infrastructure projects in Africa,” that these funds could be directed towards, said the Foundation’s George Brennan. “These figures should make us angry – the problem is not the availability of funding but the fact that projects are not in a condition to be funded.”

Just as a global diaspora of Indians and Chinese have been instrumental in economic growth and development in India and China in the past two decades, so it is hoped the same formula can be applied to the equally substantial, successful and wealthy African diaspora.

“African Americans spend (US) $1 trillion every year in their economy, but what do they spend on Africa? About 0.01 percent,” said Chris Cleverly, Director of the Made in Africa Foundation. “They have the wherewithal to make profound differences – personally, and by lobbying their pension funds, investment advisers and government to invest in Africa on the basis that it provides good returns.

“It was China and India’s diasporas that developed them – it is the same with Africa’s now.”

Ozwald Boateng (http://ozwaldboateng.co.uk), the dynamic Ghanaian-descended London tailor who built his reputation on a quirky and modern take on traditional British bespoke suits, took the lead along with the Ugandan Prince Hassan Kimbugwe (http://www.cdrex.com/prince-hassan-kimbugwe/1251509.html) and former British barrister Chris Cleverly.

Boateng’s reputation and fame rose along side the buzzing British capital throughout the 2000s. But now he is reaching back to Africa to lead a campaign to substantially raise the level of investment in the continent’s creaking, antiquated or non-existent infrastructure.

He is trying to rally Africa’s wealthiest business leaders to contribute to creating a 21st-century African infrastructure of roads, railways, ports and power supplies. Made in Africa is tackling the fact many big global investors are willing to invest in Africa but find it difficult to do so. Much has to be done before an investor can come along and start, for example, building a new road network or airport. Local governments need to do the initial site survey and environmental impact studies and develop a larger vision for where they would like their country to go and how its cities are to develop.

The campaign got underway with a star-studded gala event earlier this year in Marrakech, Morocco, at the African Banker Awards (http://www.ic-events.net/awards/african_banker_awards_2013/). It also comes with a film, Our Future, Made in Africa, to help explain the campaign and the company.

Some of the people who attended included Nigerian philanthropist Tony Elumelu, Angola’s richest woman Isabel dos Santos and Sudanese telecoms mogul Mo Ibrahim.

“This is the start of fully understanding what Africa can do for itself,” said Boateng. “The Chinese managed to build a railway across China; the Japanese have the bullet train – we need to get past thinking about why it’s difficult to create the roads and railways that Africa needs and just get on with it.”

The Foundation is being supported by the African Development Bank (http://www.afdb.org/en/), a long-time supporter of African infrastructure investment through loans and technical assistance.

An additional boost to African development comes from a recent U.S. government pledge to spend US $7 billion over the next five years in Africa to improve access to energy. Energy is the needed fuel for any significant improvements to human development over the long-term.

U.S. President Barack Obama announced “Power Africa” (http://www.whitehouse.gov/the-press-office/2013/06/30/fact-sheet-power-africa) while he was in Cape Town, South Africa on his recent African tour. At the heart of Power Africa is the pledge to double access to power in Africa. According to medical journal The Lancet, 3.5 million Africans die every year due to indoor air pollution – a figure larger than those who die every year from malaria and HIV/AIDS combined. The pollution results from the fumes caused by burning fuel for cooking, warmth and light.

President Obama promised the funding to help governments in Ethiopia, Ghana, Kenya, Liberia, Nigeria and Tanzania. The funds will be used to boost access to electricity for 20 million households. Funds will also be used to help Angola and Mozambique modernize their energy export sectors.

Power Africa will act as a go-between to encourage links and deals between American energy companies and African partners.

On top of this, Power Africa is being supplemented by an additional US $10 billion in private sector contributions, including a commitment from the General Electric Company to bring 5,000 megawatts of affordable energy to Tanzania and Ghana.

In total, the US estimates it will take US $300 billion in additional funds to bring full power to sub-Saharan Africa.

For the past decade, the biggest change in Africa’s infrastructure story has come from the growing role played by China. China has become Africa’s largest single trading partner, with bilateral trade reaching US $166 billion in 2011 – a jump of 33 per cent from 2010. The total volume was valued at $198.5 billion in 2012 and is expected to surpass $380 billion by 2015.

And much, much more has been promised to come: China’s President Xi Jinping (http://en.wikipedia.org/wiki/Xi_Jinping) renewed a pledge to offer US $20 billion in loans to Africa in March 2013 (Reuters). Much of this is going to electricity-generation projects.

By David South, Development Challenges, South-South Solutions

Published: July 2013

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Google Books: https://books.google.co.uk/books?id=rvVcAwAAQBAJ&dq=development+challenges+july+2013&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challenges-july-2013-issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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This work is licensed under a
Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.

Tuesday
Jun302015

Mobile Phone Microscopes to Revolutionize Health Diagnostics

 

 

Mobile phone usage has increased hugely across the global South in the past five years. In Africa, the number of mobile phone subscribers reached 545 million in 2013, while there are 3.5 billion mobile phone users in Asia and the Pacific (ITU). Some 93 million people in Africa and 895 million in Asia and the Pacific have mobile phone Internet access (ITU).

“Every day we are moving closer to having almost as many mobile-cellular subscriptions as people on earth,” Brahima Sanou, Director of the ITU Telecommunication Development Bureau, wrote in its latest report on their growth.

The number of mobile phone subscriptions in the developing world has surpassed 5 billion and the number in the world as a whole reached 6.8 billion in 2013 (ITU), out of a world population of more than 7.1 billion. This compares to considerably lower numbers of people with access to the Internet: 2.7 billion in the world (ITU).

While many people in poorer countries have basic versions of mobile phones, the next generation of smartphones has been growing in number as prices come down (http://en.wikipedia.org/wiki/Smartphone). Examples of these smart phones include the BlackBerry, Apple’s iPhone, the Samsung Galaxy, and the Nokia Lumia. Smartphones tend to have enormous computing power and an ability to run complex ‘apps’ or applications – including public transport options, maps, restaurant and store locators, banking services and market information and resources. They can also access the Internet through Wi-Fi, and have camera and video capability.

What people can do with these feature-packed phones is limited by little other than human imagination. With the ability to store large amounts of data and images, using apps that perform a limitless range of services and tasks, smartphones can be deployed as powerful tools to tackle problems.

Science fiction sagas have long fantasized about people being able to walk around with small electronic devices that can do immensely powerful tasks, including being a medical diagnostic tool. But this science fiction dream is rapidly becoming reality in the global South.

Various initiatives and innovators are using mobile phones and smartphones to conduct medical diagnosis and gather data for medical studies in real time.

Some innovations are even turning smartphones into mobile microscopes.

Developed by the University of California, Berkeley in the lab of Professor Daniel Fletcher (http://cellscope.berkeley.edu/), the CellScope (cellscope.com) is capable of turning the camera on a cell (mobile) phone into a diagnostic microscope with a magnification of 5x to 60x. Fletcher’s lab has also pioneered work on needle-free injection technology.

The CellScope can be used for ocular imaging (technologies for visualizing and assessing a range of diseases of the eye) and for detecting tuberculosis, blood-borne diseases and parasitic worms.

Fletcher is a bioengineer and was impressed with how much mobile phone technology has proliferated across the global South.

“You don’t have to put in these copper wires (for phone lines) anymore; you have the (cell) towers. It’s big business,” Fletcher told The Scientist Magazine.

“It’s leaping over the need for infrastructure.”

Fletcher and his colleagues experimented by attaching extra lenses to smartphones. They then used the phone to image cells that had been stained with fluorescent dyes to make them easier to see. The quality of the image was so good, they were able to diagnose malaria from blood samples and tuberculosis from sputum (spit) samples.

With the addition of image analyzing software, the phone was able to automatically count the number of Mycobacterium tuberculosis bacilli. They were trying to prove you did not need conventional microscopes to do this sort of diagnostic work.

Fletcher and his colleagues are currently trialling the technology in Vietnam, India, Cameroon and Thailand.

“Technology alone doesn’t create effective health care,” Fletcher emphasizes. “It’s got to be part of a context in which the information is captured and validated and is analyzed in the right way, and treatments are then available in response to information.”

Another group from Toronto General Hospital in Canada (http://www.uhn.ca/corporate/AboutUHN/OurHospitals/Pages/TGH.aspx) has ‘hacked’ an iPhone smartphone by placing a 1 millimeter ball lens on the phone’s camera. Isaac Bogoch, an infectious disease specialist, had been investigating parasitic worm infections in children on Pemba Island off the coast of Tanzania. Along with Jason Andrews of Massachusetts General Hospital, they had been inspired by a report about how a team of researchers from the University of California, Davis had created a simple microscope out of an iPhone with a 1 millimeter lens. This makeshift microscope was used to take pictures of blood smears at a 350 times magnification and giving a 1.5 micron resolution.

“We thought that was a great idea,” Bogoch told The Scientist Magazine. Bogoch regularly works as part of an international team around the world, often in remote locations.

“We thought … we could take it to the field and see if it accurately works in a more real-world setting.”

Inspired, Bogoch got together with his colleagues and created a similar microscope with a 3 millimeter ball lens and then got to work using it to identify soil-transmitted helminth eggs in stool samples in Tanzania. When examining the stool samples of 199 children in a clinical trial using the makeshift microscope, they were able to accurately identify helminth infections in 70 per cent of the cases. They also found the iPhone microscope did very well at spotting eggs of particular parasites, such as 80 per cent of Ascaris lumbricoides infections (http://en.wikipedia.org/wiki/Ascaris_lumbricoides). The success rate dropped significantly, however, when trying to detect whipworm parasites (just over half) and hookworm infections (14 per cent).

But this is early days and an experiment: “Obviously the results aren’t perfect and there’s definitely room for improvement,” Bogoch admits.

What stands out is the potential to completely revolutionize health care by continuing to develop the capability of smartphones. With their portability and low cost, they also have the advantage of not needing a trained physician to operate them, according to David Walker, president of the American Society of Tropical Medicine and Hygiene, in The Scientist Magazine.

One of the many advantages of combining a microscope with a digital smartphone is the ability to take a picture and send it straight away to someone to make a diagnosis.

Even more exciting, Sebastian Wachsmann-Hogiu at the University of California, Davis (http://cbst.ucdavis.edu/people/sebastian/) is adapting mobile phones to undertake spectroscopy (http://en.wikipedia.org/wiki/Spectroscopy), using diagnostic test software to analyze samples on the spot. This, when successful, would be akin to the capabilities first mooted in the science fiction television and film series Star Trek (startrek.com). In Star Trek, the doctor is able to use a small handheld digital device to quickly diagnose what ails somebody.

The potential for this technology in the global South is significant. Aydogan Ozcan at the University of California, Los Angeles, who is also working on mobile phone microscopes, believes this is as significant as the dawn of the personal computer: “If you look at the early computers, they were bulky, they were extremely expensive,” he says.

But now computers “are portable … and almost anyone can afford them. The same thing is going on today (with microscopy). We are miniaturizing our micro- and nano-analysis tools. We’re making them more affordable; we’re making them more powerful.”

It looks like this science fiction dream will soon become today’s reality.

By David South, Development Challenges, South-South Solutions

Published: July 2013

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Google Books: https://books.google.co.uk/books?id=rvVcAwAAQBAJ&dq=development+challenges+july+2013&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challenges-july-2013-issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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This work is licensed under a
Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.

Tuesday
Jun302015

Small Fish Farming Opportunity Can Wipe Out Malnutrition

Pioneering work to boost diets across the global South is turning to the smallest of fish. While small in size, tiny fish are packed with nutrition when eaten whole, as they are in many cultures. Often these fish come packed with vitamin A, iron, zinc, calcium, protein and essential fats – all necessary elements to eradicate malnutrition and hidden hunger, especially among women and children.

It is estimated that 684,000 child deaths worldwide could be prevented by increasing access to vitamin A and zinc (WFP).

Iron deficiency is the most prevalent form of malnutrition worldwide, affecting an estimated 2 billion people. Iron deficiency is impairing the mental development of 40 to 60 per cent of children in developing countries (UNICEF). The World Health Organization says that eradicating iron deficiency can improve national productivity levels by as much as 20 percent.

Vitamin A deficiency affects approximately 25 per cent of the developing world’s pre-schoolers. It is associated with blindness, susceptibility to disease and higher mortality rates, and leads to the death of approximately 1 to 3 million children each year (UN).

This devastating evidence shows the need to find effective food solutions to eradicate these nutrient deficiencies. Access to affordable nutrient-rich food is also key to social and political stability. Already, there is serious unrest in many countries around the world because of food-price inflation.

Finding ways to boost nutritional health that are sustainable, low-cost and do not require substantial use of resources will have the best success in the poorest areas.

A number of studies suggest one solution may be eating more small fish. In many countries, these species are eaten as part of the diet, but often not in large enough quantities to address hunger and malnutrition. Small fish species are a remarkable food source because they are usually eaten whole, bringing greater nutritional benefits.

Small fish have a long history in human diets. Anchovies (http://en.wikipedia.org/wiki/Anchovy) are used  in many cuisines, for example.

A study conducted between 2010 and 2013 in Bangladesh and Cambodia by Dr. Shakuntala Haraksingh Thilsted, Senior Nutrition Adviser to WorldFish (worldfishcenter.org), found that the eating of small fish in both countries gave a significant boost to daily diets and massively improved nutrition and health. The project, called Linking Fisheries and Nutrition: Promoting Innovative Fish Production Technologies in Ponds and Wetlands with Nutrient-dense Small Fish Species, was supported by the International Fund for Agricultural Development.

People in both countries still currently suffer from undernutrition and micronutrient deficiencies.

In rural areas of Bangladesh and Cambodia it found 50 to 80 per cent of total fish consumed were small fish. The quantities consumed during each meal were small but they occurred in diets frequently. Typically, they were eaten whole, with the head, viscera (internal organs) and bones consumed. This meant consuming small fish packed a punch, giving the eater a dose of calcium, vitamin A, iron and zinc.

More specifically, the study found the iron-rich Mekong flying barb (Esomus longimanus) (http://www.iucnredlist.org/details/169546/0) – eaten as part of a meal of rice and sour soup with its head intact in Cambodia – could provide 45 per cent of the daily iron requirement for a woman.

Malnutrition is also a serious problem in Bangladesh. Half the population lives below the poverty line and diets are poor in delivering necessary vitamins and minerals. This is damaging to peoples’ physical and mental health.

The study found existing fish aquaculture methods in Bangladesh were inefficient. But new technologies provide an opportunity to increase the quantity of fish harvested and increase household incomes. By using highly efficient low-risk polyculture systems – basically combining small, nutrient-dense fish with high-value fish such as carp or freshwater prawn – it is possible to significantly increase the quantity of fish produced.

Another one of the new techniques includes increasing pond depth, which conserves broodfish (http://en.wikipedia.org/wiki/Broodstock). Broodfish are the mature fish used for the production of eggs or sperm and are also called spawners.

The study estimated a production of 10 kilograms per pond per year of fish spread across the 4 million small ponds in Bangladesh has the potential to meet the recommended dietary intake for 6 million children in the country.

The work in Bangladesh to boost the production of small fish has inspired similar initiatives in Sunderbans, West Bengal, India and in Terai, Nepal. Initiatives in Cambodia and Kenya have also developed meals for young children by combining powdered rice or maize with small fish.

And in Africa, some are calling for more use of aquaculture as an alternative to dwindling fish sources. For sub-Saharan Africans, fish can make up 22 per cent of the protein in their diet.

As populations on the continent quickly rise, marine fisheries are beginning to be over-exploited. The Food and Agriculture Organization of the United Nations and WorldFish are calling for an aquaculture revolution on the continent to move away from the old approach of just using ponds located on farms. To make a real impact, both organizations argue, there needs to be a partnership between smallholder farmers and others to build a commercial fish farming sector.

“Per capita fish supplies in Africa are dwindling,” Malcolm Beveridge, director for aquaculture at WorldFish, one of the 15 CGIAR research centers (Consultative Group on International Agricultural Research) (http://www.cgiar.org/cgiar-consortium/research-centers/), that generate and disseminate knowledge, technologies, and policies for agricultural development. “In Malawi, they fell from 10 kilograms to 6 kilograms per person between 1986 and 2006. Aquaculture has the potential to increase supplies of this affordable nutritious food for poor and vulnerable consumers,” he told The Guardian.

By David South, Development Challenges, South-South Solutions

Published: July 2013

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Google Books: https://books.google.co.uk/books?id=rvVcAwAAQBAJ&dq=development+challenges+july+2013&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challenges-july-2013-issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

Creative Commons License
This work is licensed under a
Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.

 

Tuesday
Jun302015

Burgeoning African E-commerce Industry Full of Opportunity

Africa has seen huge change since 2000 in the way people access information and do business electronically. The most championed accomplishment has been the widespread take-up of mobile phones. This has given birth to countless entrepreneurs and innovators who are using  phones to help people, do business and sell goods and services.

Not as quick to spread, mostly because of high cost and poor infrastructure, is access to the Internet. While Web access is taken for granted in many wealthy countries and is increasingly commonplace in many developing nations, Africa as a whole still suffers from poor infrastructure for access to the Internet. But this is changing by the month as  more undersea cables connect countries and bandwidth is increased (http://www.submarinecablemap.com/).

Africa’s population can be expected to at least double from 1.1 billion to about 2.3 billion by 2050 – and most will live in urban areas (Population Reference Bureau).

And incomes are rising. Africa is richer than India on the basis of gross national income (GNI) per capita, and a dozen African countries have a higher GNI per capita than China (Africa Rising).

According to the McKinsey Global Institute, “The incomes of these new consuming classes are rising even faster than the number of individuals in the consuming classes. This means that many products and services are hitting take-off points at which their consumption rises swiftly and steeply. By 2025 urban consumers are likely to inject around (US) $20 trillion a year in additional spending into the world economy.”

Research firm Jana (jana.com) – which specializes in emerging markets – studied the consumer preferences of people in Nigeria, Kenya and South Africa. They surveyed 600 consumers in each country, seeking to unearth what their preferences were when it came to using e-commerce services (https://en.wikipedia.org/wiki/E-commerce). E-commerce is the buying and selling of products and services over electronic systems such as the Internet and other computer-enabled systems. This is still a young industry in Africa and one ripe with opportunity for hardworking and innovative players. Many are starting to realize they had better move fast because this is a market that still has much up for grabs and is not – yet – dominated by mature players such as eBay or Amazon.

The survey uncovered five trends driving e-commerce in Africa. These trends address the unique conditions present in Africa and what challenges need to be met.

The first trend the firm identified is cash on delivery. This has become the main way people do e-commerce in Africa because of the lack of trust in the security of online payments. Cash is still king in the region. The second trend is having a proprietary logistics network. This comes in response to the poor infrastructure present in much of Africa. This has meant e-commerce companies need to take charge of the whole process of getting a good to the customer’s home. This is, of course, costly and places a big restraint on any new company in the e-commerce market.

The third big trend is one that reflects the reality of how people communicate electronically in Africa. Mobile phones are king, and this means e-commerce needs to be mobile phone-friendly or lose out on reaching many customers. The fourth trend is related to the fact Africa is still off the logistics route for much world trade. This means e-commerce companies need to set aside space for large warehouses to store the goods so that they are on hand when the customer wants them.

And, finally, the fifth trend is the importance of good customer service as the clincher for success in the marketplace. Word of mouth gets around if a company is not able to deliver on what is promised so it is important to have high-quality customer service to build trust, keep engaged with consumers and let them know problems are being resolved.

South Africa has emerged as the continent’s powerhouse when it comes to e-commerce, according to Jana. Successful players in that country include Zando (http://www.zando.co.za/) an online fashion store by Rocket Internet, MIH Internet Africa’s Kalahari online store (http://www.kalahari.com/) and entertainment and consumer electronics online store Takealot.com supported by Tiger Global. Research firm World Wide Worx (http://www.worldwideworx.com/) calculated that online retail in South Africa is growing by 30 per cent a year.

But South Africa cannot rest on its laurels: the survey found Nigeria is fast overtaking South Africa as its large population takes to the Internet. Impressively, Nigeria’s Government has pledged to expand broadband Internet access to 80 per cent of the country over the next five years.

In East Africa, Kenya’s Rocket Internet’s service Jumia (http://www.jumia.co.ke/) is now one of the top 100 online destinations in the country.

Jana also found there were various key areas for improvement for the e-commerce industry in Africa. One, was the importance of explaining to African consumers the basics of online shopping. Many respondents to the survey seemed confused about making purchases on the Internet and through e-commerce. They also showed low levels of understanding about payment methods and available financial products. And finally, one of the big obstacles to expanding the industry is improving delivery reliability.

But all these problems and challenges spell opportunity for innovators who can solve them and make some money too!

By David South, Development Challenges, South-South Solutions

Published: July 2013

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Google Books: https://books.google.co.uk/books?id=rvVcAwAAQBAJ&dq=development+challenges+july+2013&source=gbs_navlinks_s

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Tuesday
Jun302015

Staple Foods Are Becoming More Secure in the South

 

Finding ways to ensure food security in countries experiencing profound economic and social change and stress is critical to achievement of development goals.

Food security is crucial to ensuring economic development is sustainable, and it is vital to long-term human health. Just one bout of famine can damage a generation of youth, stunting brain development and leaving bodies smaller and weaker than they should be.

Thankfully, many innovators are working on this problem and are making significant progress. A report from the Asian Development Bank, The Quiet Revolution in Staple Food Value Chains (http://www.adb.org/publications/quiet-revolution-staple-food-value-chains), found improvements to security of rice and potatoes – common staple foods in many countries. It said the so-called value chains – the various activities a company does to deliver a product or service to the marketplace (http://en.wikipedia.org/wiki/Value_chain) – for potatoes and rice have seen significant improvements in Bangladesh, China and India.

This is important because improvements in access to staple foods will mean better food security and less threat of extreme hunger events. This matters because it just takes one extreme hunger event and a generation is scarred for life.

The human brain is a heavy user of energy: it uses between 20 and 30 per cent of a person’s energy intake. Failure to consume enough calories means brain functioning begins to  be altered (brain-guide.org).

Hunger and starvation slow a person’s mental responsiveness. Low energy intake from minimal diets leads to apathy, sadness and depression. Fetuses and infants are especially sensitive to brain damage caused by malnutrition. A malnourished child can suffer life-long low intelligence and cognitive defects.

More than 70 per cent of the world’s 146 million underweight children aged five and under live in just 10 countries, with more than 50 per cent located in South Asia alone (UNICEF). A quarter of all children – roughly 146 million – in developing countries are underweight, and it is estimated that 684,000 child deaths worldwide could be prevented by increasing access to vitamin A and zinc (WFP).

Undernutrition contributes to 53 per cent of the 9.7 million deaths of children under five each year in developing countries (UNICEF).

Food insecurity also shows on the faces of people who experience it. This extreme stress scars people and harms their prospects in the labour market and their ability to improve their incomes.

Why is access to staple foods improving? It seems, according to the report, to result from innovations such as rapid modernization, with the increasing roll out of supermarkets, the use of cold storage facilities and large rice mills. It also cites the impact of small farmers taking on modern technologies, such as mechanized farming, and making the most of soil by using fertilizers and efficient techniques.

Supermarkets by their nature encourage highly sophisticated supply lines to ensure a steady stream of fresh produce coming in from farms to urban areas. Because of the variety and vast range of produce on offer, they require finely-tuned organizing models and information technologies. In short, they radically alter the way people buy their food, and what people will expect from food providers.

By negotiating deals with farmers, supermarkets create stability, as well as low and competitive prices. They allow for better traceability for food and give consumers more confidence in what they are purchasing. They use cold storage, which means food lasts longer and there is less waste than if food is left to spoil in a marketplace without refrigeration – a revolutionary change in hot countries.

The downside with supermarkets, as has been the case in some countries, is they can quickly dominate the marketplace and push out all other competitors with their economies of scale. When this happens, farmers can also find themselves with little bargaining power again and be hostage to the price the supermarket tells them to sell their product at.

Another critical improvement is the rapid spread of mobile phones. Armed with a mobile phone, small-scale farmers are able to access critical knowledge and information. This means they can make better decisions and quickly adjust what they are doing when mistakes are made.

The survey found that India is a country where the food-supply game has changed dramatically. In the past, traders would advance cash to farmers in the form of loans. But since the use of mobile phones has increased, the balance of power has shifted: farmers now have many other options to finance their operations than turning to middlemen and traders. This means they are no longer as easily manipulated by the traders and can negotiate better prices. Also, better roads, combined with greater competition to provide services to farmers, are improving farming of staple foods in general.

Among potato farmers in rural areas, 73 to 97 per cent have mobile phones and use them to organize deals with traders or receive market information. The take-up of mobile phones was also a recent development for the farmers: most had acquired a mobile phone in the last four years.

It is clear this quiet revolution in food security for staples is a result of greater use of innovative technology and taking on of new techniques.

By David South, Development Challenges, South-South Solutions

Published: July 2013

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

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