FERTAO - Fertilizer Cost Build up studies and process maps in West Africa (9 countries)

Start
February 2019
End
April 2019
Project cost
100 000 €
Role in the project
Agriculture & Market Expertise

Countries

Benin Burkina Faso Côte d’Ivoire Ghana Mali Niger Nigeria Senegal Togo

Fields

Agriculture Market

Sectors

Cotton Fertilizer

Main goals

The objective of this consultancy to undertake a series of cost build-up studies and fertilizer process maps along four main corridors that connect with the main high-fertilizer consuming hubs/destinations in West Africa (e.g., cotton areas in Sahel), which will identify key bottlenecks and processes that can be optimized to reduce domestic costs and reduce farm gate prices

Specific objectives

  • Understand the cost implication of the various components of the fertilizer value chain to the final fertilizer prices paid by the farmer
  • Be able to compare costs to move product through different ports in a given region, and understand the variation in costs and processes
  • Provide fertilizer stakeholders offline and online tools to estimate scenarios and cost of doing business through various corridors for various products (straight, compound, blends)

Results

R1. The study will analyze 4 main corridors

  • Port of Dakar, serving Senegal, Mali, and Burkina Faso
  • Port of Abidjan, serving Cote d’Ivoire, Mali, and Burkina Faso
  • Port of Tema, serving Ghana and Burkina Faso
  • Port of Lomé, serving Togo and Burkina Faso
    R2. Cost build up analysis for each corridor
  • From FOB to port warehouses (bulk / bagged / containerized, including storage)
  • From port warehouses to main distribution centers
  • For imported feedstocks (e.g urea, SoA, DAP, TSP, MOP, kieserite …) and main compounds imported in the countries served by the corridors
  • For blends produced in coastal countries before export to the hinterland
  • Where applicable, include railway costs in addition to trucking costs
  • Provide recommendations to optimize costs of procuring and distributing fertilizers
    R3. Detailed process map for each corridor
  • Standard procedures to import, blend, and distribute fertilizers
  • Description of ports, roads and railways, warehouse operations and capacity
  • Review of existing delays and issues encountered by stakeholders at the various stages, and their impacts on their business operations (cost, time)
  • Provide recommendations to optimize processes of procuring and distributing fertilizers

Activities

A1. Conduct a desk review to assess

  • Incoterms used for importing fertilizers at the respective ports (e.g. CFR, CIF, FOB)
  • International freight charges (from manufacturers port to respective country’s sea port)
  • Country Port Tariff manual (by Port managers e.g. either government and/or private agents)
  • Taxes and levies imposed on fertilizers
    A2. Conduct field and remote interviews with
  • Sea and dry ports, shipping agencies, forwarders, transporters, railway operators
  • Fertilizer producers, importers, blenders, distributors
  • Fertilizer supplier services: bagging, warehouses, quality control labs
  • Customs: ports, hinterland borders, joint border posts
  • Regional and national infrastructure and trade facilitation programs
    A3. Hold consultative and validation meetings with key stakeholders
  • one per corridor
  • one regional (during the next West Africa Fertilizer Forum, April 2019)

Related people

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Project Officer / Agriculture & Market / Mali

Ousmane N'Diaye

Holder of a Master II in "Economic intelligence and competitive strategies" from the University of Saint Serges in Angers, he brings his expertise in market analysis (Mali), supporting producers' organisations and organic farming development

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Chargé de mission

Sansan Hien

Graduate of a Master in Project Management from the Higher Institute of Professional Departments of Bobo-Dioulasso and a Master in Agricultural Economics and Environment-University Norbert Zongo, he brings his expertise in integrated management of agricultural enterprises and agribusiness, monitoring and evaluation system, analysis of agricultural markets and strengthening actors in agricultural value chains

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Project Officer

Pierre Ricau

Holder of a Master Degree in "Agricultural Development and Economic Policies" from the Institute of Development Studies (IEDES), Paris 1 Panthéon Sorbonne University and AgroParisTech. He brings his expertise in agricultural market analysis (especially cashew, sesame, shea, cocoa, hevea, corn, rice and onion), development of agro-food sectors, training engineering and consultancy on public agricultural/agro-industrial policies

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Project Officer

Benjamin Garnier

Agricultural Engineer, specialised in "quality of the environment and resources management", from the French National School of Agricultural Science and Engineering of Toulouse (INP ENSAT). He brings his expertise in feasibility studies for investment funds, agricultural markets studies and analysis of value chains

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Co-Director NITIDÆ

Cédric Rabany

Holder of a Master of Science, "Agricultural Engineer and territories development" from the Institut Supérieur d’Agriculture (ISARA Lyon), he brings his expertise in agro-food/agricultural sectors' analysis and development, strengthening of supplychain actors (producers, private/public actors, agro-food industries...), socio-economic analysis of agricultural chains and his great knowledge of companies in these markets

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Associate Expert

Soungari Sekongo

Engineer in Tropical Agronomy from the CIED, option "plant production", he brings his expertise in agricultural markets analysis, advising-supporting actors, vegetable production and supporting professional agricultural organizations (management, capacity building)

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Project Officer / Agriculture & Market / Senegal

Cheikh Ousmane Loum

Holder of a Master II in "Territories planning - Decentralisation and local development" at the Faculty of Geography of the Cheikh Anta Diop University, Dakar. He is an expert in agricultural market analysis, training and in supporting producer organisations

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Project Manager / Agriculture and Market / Benin

Albéric Soglagbe

As an agronomist, he has more than 9 years of experience in specialized services in various fields, including analysis of information systems on agricultural markets, identification of training needs of a group, analysis economic value chains, social science studies and research, and strategic planning.