Mechanized farming is unpopular in Africa’s food production scene. [Over 70%](https://documents1.worldbank.org/curated/en/731741593616746051/pdf/Sudan-Agriculture-Value-Chain-Analysis.pdf) of the agricultural workforce in Sub-Saharan Africa relies on manual tools, with hoes and cutlasses as [symbols of food production](https://documents1.worldbank.org/curated/en/731741593616746051/pdf/Sudan-Agriculture-Value-Chain-Analysis.pdf). The effect; despite possessing [approximately 50%](https://www.fao.org/3/ca7304en/CA7304EN.pdf) of the world's arable land, [Africa is still the only region in the world where agricultural productivity is largely stagnant](https://www.fao.org/3/k2584e/k2584e.pdf). Food insecurity in Africa is a constant challenge, indicating that the available land space is under cultivated. 

[Research](https://tinyurl.com/2ky3jfwh) has shown that mechanized farms see significantly higher outputs compared to those relying solely on manual labor. The [FAO defines](https://www.fao.org/sustainable-agricultural-mechanization/overview/what-is-sustainable-mechanization/en/) sustainable mechanization as a means to an end. This shows that mechanization holds the potential to transform agriculture and increase food production. 

The FAO [estimates](https://www.fao.org/3/i6583e/) that Sub-Saharan Africa will need to more than double its food production by 2050 to meet growing demand. The current, crude farming system struggles to meet the needs of the present population. This highlights the urgent need for a significant production boost. Mechanized farming offers a potential solution to increase production and cultivated land area, while also enabling diversification of agricultural output.

Can mechanization save Africa? 

#### **The challenge of Implementing Mechanized Farming**

While mechanized farming holds the potential to transform Africa's agricultural sector, the road to adoption, is not a smooth drive. [Instances of failed and partially successfully attempts at implementation](https://ebrary.ifpri.org/utils/getfile/collection/p15738coll2/id/130311/filename/130522.pdf) can be found throughout Africa’s history, several well-intentioned mechanization projects have faltered due to a combination of factors. T[he FAO suggests that a fragmented approach](https://www.google.com/url?client=internal-element-cse&cx=018170620143701104933:qq82jsfba7w&q=https://www.fao.org/3/k2584e/k2584e.pdf&sa=U&ved=2ahUKEwi4jv3omLWFAxVsSUEAHWcSDiEQFnoECAEQAQ&usg=AOvVaw3RMHq5TUyFx3-tupZV6Nfn) might be responsible for these fails. Government agencies compete with the private sector rather than collaborating with them, creating confusion. 

A study by the African Development Bank found that [knowledge gaps and a lack of training opportunities are significant barriers to mechanization adoption](https://www.afdb.org/fileadmin/uploads/afdb/Documents/Policy-Documents/Feed_Africa-Strategy-En.pdf) for smallholder farmers in Africa. Access to spare parts and qualified repair services is often limited in rural areas. This discourages farmers from investing in machinery due to concerns about downtime and cost of maintenance. 

![Storyboard 61.jpg](/uploads/Storyboard_61_82e28e9f6e.jpg)

#### **Journey to Farming Mechanization in Africa**

In 2016, Nigeria embarked on a pilot project to provide tractors and fertilizer to farmers to boost agricultural production. The then Deputy Director for Engineering and Mechanization in the Federal Ministry of Agriculture and Rural Development, Abdullahi Abubakar recounted that his department partnered with Agricultural Equipment Hiring Enterprises (AEHEs), through 110 centers to provide services to smallholder farmers. According to him, Mechanization makes the farmer more efficient, displacing unskilled labor and allowing the farmer to till a large parcel of land over a short time.” 

In 2018, the International Maize and Wheat Improvement Center (CIMMYT) and the UN Food and Agriculture Organization (FAO) officially launched a training manual set to provide practical guidance for agricultural mechanization entrepreneurs in rural areas.

A [recent study](https://www.tandfonline.com/doi/pdf/10.1080/03066150.2021.1918115) conducted in 2022 reveals that there has been a growing interest in Agricultural mechanization in Africa. Private Investors are increasingly drawn to mechanized agro-processing and African governments have become directly involved in the international procurement of farming machinery; mainly tractors, and in setting-up tractors services for smallholder farmers who cannot afford to buy their own. 


#### **Potential Impact of Agricultural Mechanization**

According to the FAO, [Investment in mechanized agriculture has transformed the agricultural sector in Asia and Latin America regions](https://www.fao.org/3/k2584e/k2584e.pdf) in recent years into a progressive commercial industry. Research carried out in China, examined how the rate of crop cultivation in China increased [from 32.3% in 2000 to 68% in 2020](https://www.mdpi.com/2071-1050/14/13/7964). It was discovered that there was a wide spread adoption of mechanization even among small holder farmers during this time period. In 2018, Akinwumi Adesina, President of the African Development Bank Group, [urged swift action on technology transfer in Africa's agriculture sector](https://www.afdb.org/en/news-and-events/press-releases/). He believes Africa can achieve agricultural transformation by combining innovative technologies with strong government support, mirroring China's model. 

A study conducted in 2020 explored the positive and negative impacts of agricultural mechanization in four African countries using Focus Group Discussions. While participants acknowledged the benefits of mechanization, such as increased yields, higher incomes, and more land cultivated, they also raised concerns about its environmental and social impact. [These concerns included soil erosion, deforestation, increased herbicide](https://www.researchgate.net/publication/342159517_Impacts_of_Agricultural_Mechanization_Evidence_From_Four_African_Countries) use, conflicts arising from land disputes, and mismanaged funds. The research concluded that many of the changes related to mechanization will be positive. However, some can be negative in the absence of complementary research efforts and policy measures.

![9L0A1817 (1).jpg](/uploads/9_L0_A1817_1_a2e3967682.jpg)
While mechanized farming across the board isn't a magic bullet for Africa's green revolution, it's a crucial stepping stone to success. Despite past failures, renewed efforts with strong government support, private sector investment, and farmer training can make mechanized farming a success in Africa. While challenges like affordability and infrastructure remain, mechanization offers a path to increased productivity, improved food security, and a more attractive agricultural sector for a younger generation.


tractor-sprays-pesticides-corn-fields-sunset.jpg

Can Mechanized Farming save Africa's Dwindling Food Production?

AFEX, a leading Pan-African commodities player, has released its second impact report covering its activities over the past five years. The company which launched operations in 2014 has worked with over 500,000 farmers and executed over 1,000,000 MT in trades since inception. Following the publication of its first impact report in 2021, AFEX has doubled down on driving impact through its work in Africa's commodities markets, positively contributing to SDGs 1,2,5,8, 12 and 13. 

The new report features an updated version of the AFEX theory of change, which was released for the first time in 2021, when the first report was published. The company’s work in Climate Action, SDG 13, has also been captured and included within the context of the ToC and the fuller report. 
Climate change effects have become increasingly relevant in Africa, with farmers facing record impacts on their activities. Floods, increased droughts, and fewer rainfalls have threatened farmer productivity, resulting in food insecurity. AFEX is contributing to enabling sustainable climate resilient agriculture for farmers in Africa, which helps increase Africa’s food security while achieving self- sufficiency for the continent. 

According to the report, “Rural poverty in Nigeria is more widespread in 2023 compared to baseline measurement in 2020”. Over 80% of Nigerian farmers still existed around and below the poverty line compared to 43% of Kenyan farmers existing around and below the poverty line. AFEX, which has operations across these two countries highlighted its efforts to secure livelihoods including providing farmers with certified seeds, quality fertilizer as well as extension and storage services through strategically distributed warehouses. 

According to Ayodeji Balogun, Group CEO, AFEX “Our impact goals are essential as we grow our business and expand, as it ensures that we are able to build a commodities market that is as inclusive as it is efficient. We look to create a positive difference in the places that we operate, empowering farming communities, fostering economic opportunity and helping Africa sustainably provide for itself.” 

Akinyinka Akintunde, President, AFEX Nigeria also indicated that “This report marks a significant milestone for AFEX. It serves as a roadmap that guides us towards a more sustainable and responsible future building an efficient marketplace for commodities in Africa. We will continue to build a food system for the future and create shared prosperity, ensuring that no one is left behind in the journey to transform the agricultural ecosystem.”  
Comprehensive efforts are required to create sustainable value in the commodities market particularly as challenges are being compounded by climate change effects. AFEX continues to drive change in this tough environment as its operations focus on contributing to improved livelihoods, quality food and well-functioning markets. 

The report is now available for download [here](https://afex.africa/reports/special/afex-impact-report-2020-2024). 




AFEX Launches Impact Report, Indicates Increased Focus on Climate Interventions for Africa's Food Security 

Food scarcity in Nigeria has year-on-year been a double-digit issue. [About one in every 10 Nigerians experiences severe hunger](https://www.fao.org/3/cd0160en/cd0160en.pdf). Between June and August 2024, according to this [report](https://www.ipcinfo.org/ch) by Cadre Harmonize about 31.5 million Nigerians will face severe food shortages and scarcity. [The case is so dire that it resulted in the presidency declaring a state of emergency to tackle food insecurity in the country](https://www.bbc.com/news/world-africa-66199237). 

To defuse this time bomb, we need to address the core factors influencing the rise of food scarcity in Nigeria. Conflicts like armed banditry and kidnapping in key producing areas, poverty, climate change, inflation, and rising food prices are key drivers of this alarming trend.

[Research by the FAO](https://www.fao.org/3/cd0160en/cd0160en.pdf) shows there has been a 45% decrease in the main source of income for nearly half of the households in Nigeria. Food availability is vulnerable to climate change and successively hit by environmental disasters and an economy in which  [40.1% of its population lives below the poverty line](https://nigerianstat.gov.ng/news/78#:~:text=In%20Nigeria%2C%2040.1%25%20of%20people,to%20the%20National%20MPI%202022), this shows that 4 in 10 Nigerians are acutely poor.  Across the Nigerian food value chain, approximately 15 million metric tons of food are lost to post-harvest handling, market disruptions, and storage to distribution and consumption. In the first half of 2022, armed groups killed more [than 128 farmers and kidnapped 37 others](https://reports.unocha.org/en/country/nigeria) across Nigeria between January and June 2023, according to the [Nigerian Security Tracker](https://reports.unocha.org/en/country/nigeria). 


### Evaluating Food Scarcity in Nigeria

Before the late 50s, food shortages and food scarcity in Nigeria were nonexistent. The food system operated sufficiently to feed citizens and also export the gluts of cash crops.  The West was known for its abundance of cocoa farms, the North with its towering groundnut pyramid, the Mid-west region focused on rubber while the East had the oil palm plantation. When crude oil was discovered and exportation began, interest in agriculture waned and this made way for a decline in the system and a rise in food costs in the food system. 

![129A6978.jpg](/uploads/129_A6978_55f718a9dd.jpg)
In 2022, Nigeria's food import bill rose 5% to N1.9 trillion. This follows an upward trend, with[ imports steadily increasing since 2017 (N857.6 billion)](https://businessday.ng/agriculture/article/nigerias-food-importation-gulps-n1-9trn-in-2022/#:~:text=9trn%20in%202022,-Josephine%20Okojie&text=Despite%20the%20continuous%20government%20push,trillion%20importing%20food%20in%202022) according to BusinessDay. The following year the Central Bank of Nigeria (CBN) reported that Nigeria’s food import bill jumped by 45 percent to $2.71 billion (N1.12tn) in a year. All these imports are to supplement the food scarcity problem caused by production being unable to match the demand of over 226.2 million people as of December 2023. Additionally, the Nigerian government has received support from various international organizations like the World Bank, the Food and Agricultural Organization (FAO), the United States Agency for International Development (USAID), and the International Fund for Agricultural Development (IFAD) to enhance its agricultural sector and ensure food security for the nation. FAO alone has around 20 programs and projects dedicated to agriculture in Nigeria.

Although there has been a production increase in crop production in Nigeria. Nigeria’s food production has been said to grow by 39.6 percent in recent years. In this report by [Statista](https://www.statista.com/statistics/1193510/agricultural-sector-growth-in-nigeria), in the second quarter of 2023, Nigeria's agricultural sector grew by 1.5 percent in real terms compared to the same period of 2022. However, production is still insufficient to meet demand. Currently, Nigerians are growing restless over the privation of essential and non-essential commodities driven by the skyrocketing costs of necessities in the country. Poverty is the linking connection of the twin problems of malnutrition and hunger in Nigeria. 


### Road out of food scarcity in Nigeria

Necessary actions are essential to aid those facing acute problems such as subsidized food distribution, cash transfers, and nutritional support to alleviate economic hardships. Nigeria's food crisis demands a comprehensive solution, not just tinkering with agricultural policies that have a wide gap between intent and actual practices. A proactive approach is essential to revitalize the food system. [This involves promoting synergy between research institutions that develop advanced seed varieties](https://afex.africa/reports/special/afex-wet-season-crop-production-report-2023) and agricultural extension agents responsible for educating smallholder farmers about these innovations. There is a need to encourage public-private partnerships to drive agricultural innovation, attract investments, and facilitate the transfer of technological advancements, with the goal of ushering in a new era of agricultural progress in Nigeria.

![IMG_4376.jpg](/uploads/IMG_4376_20372a38fe.jpg)

Empowering Nigeria's smallholder farmers is crucial. [Estimated at around 38 million and representing roughly 20% of the population](https://babbangona.com/uncommon-facts-about-smallholder-farmers-in-nigeria), smallholders form the backbone of the country's agricultural sector. Equipping them with modern tools, improved seeds, and fertilizers can significantly improve local food production. Currently, [President Bola Tinubu has committed to ensuring ongoing food availability, security,](https://www.thecable.ng/kick-starting-the-tinubu-administrations-food-security-agenda) and affordability by bolstering a plan to cultivate 500,000 hectares of farmland across the nation. This initiative seeks to grow essential crops like maize, rice, wheat, millet, and others, thereby enhancing food security and fostering economic stability. According to the Minister of Agriculture, the government is raising the target to 123,000 hectares in Jigawa state under the National Wheat Development Programme. The expectation is that the farmers will get to double their yield in terms of the output from this particular effort because of the high-yielding seedling varieties.

![IMG_0170.JPG](/uploads/IMG_0170_dca2855a67.JPG)

A  price intelligence database ensures the gathering, analysis, and interpretation of market data to inform trading decisions. Price control keeps the market in check, and addresses issues like corruption and middlemen who inflate food prices, ensuring a fairer system for both producers and consumers.

Ultimately, solving the lingering issue of food scarcity in Nigeria requires an understanding of the ways the twin problems of hunger and poverty affects the nation’s food basket. Producers with little to no access to finances have their abilities limited to what they have at hand. Conflicts are upturning key producing areas and farmed commodities cannot be harvested because of the same issues. Combating food insecurity in Nigeria demands a multi-pronged strategy that addresses these various threats to food security.



Getting out of food scarcity in Nigeria

Millions across Africa face a heartbreaking reality: hunger. [The FAO reports a staggering 30.8% of children under five in Sub-Saharan Africa ](https://link.springer.com/content/pdf/10.1186/s12889-023-15244-3.pdf) suffer stunted growth due to malnutrition. Lack of access to nutritious food and food shortages continuously rob them of their growth and future. Over the years food security in Africa has bagged more challenges, in 2022,[ a fifth of people in Africa suffered from chronic hunger](https://www.weforum.org/agenda/2022/08/hunger-in-africa-serious-millions/). This signifies that about 278 million people in Africa could not afford a basic meal. 

### **Current Factors Contributing to Food Insecurity in Africa**

The Food and Agriculture Organization defines “Food insecurity as not just about insufficient food production, availability, and intake, it is also about the poor quality or nutritional value of the food.” Currently disrupted food supply chains owing to issues like the Ukraine-Russian war, Indian Ocean Dipole and El Niño phenomena, exportation bans on countries like India, and global shocks have exposed the fragilities of Africa’s food systems and thrown light to the ailing food security in Africa.

In 2022, over [20 million people faced severe food shortages ](https://www.unicef.org/press-releases/least-10-million-children-face-severe-drought-horn-africa-unicef)in Africa due to crop failure and consecutive dry seasons.  The bulk of produced food is lost between harvest and sale.  [The FAO](https://www.fao.org/platform-food-loss-waste/flw-events/international-day-food-loss-and-waste/en), also reports about $4 billion worth of food is wasted annually, plunging the already dilapidated system into further chaos, and widening the gap between production, availability, and accessibility of food. Also, poor road networks/infrastructure between food-producing areas and consuming regions have contributed to this challenge of food security in Africa.

Additionally, poverty fuels food insecurity in Africa. Millions pushed deeper into poverty, struggle to afford basic meals. This, combined with limited access for women and rural populations, creates a major hunger crisis. [The Nigeria Development Update report for June 2023](https://thedocs.worldbank.org/en/doc/caacf9757c30c98d6145df40b64d378b-0360012023/original/Nigeria-Development-Update-2023-Presentation.pdf), revealed that an estimated 4 million Nigerians were pushed into poverty in just five months (January 2023 and May 2023), rendering them unable to afford basic meals.  Low or non-existent income means that the purchasing power of people is greatly limited. This includes their ability to purchase food, thus leading to malnutrition. With about 2.4 billion people moderately or severely food-insecure in 2022, 391 million more than in 2019, with more women and people in rural areas denied access to safe, nutritious, and sufficient food year-round due to low purchasing power.

Climate change also cripples food security in Africa. Events that disrupt food production, transport, and supply have intensified the food security in Africa’s challenge. [The current drought In East Africa has been reported to be 100 times ](https://www.fao.org/documents/card/en/c/cb9997en/)more likely by climate change, disposing of close to 20 million people and leaving the Horn of Africa facing acute food. The New York Times reports 43,000 deaths in Somalia alone, half of children under 5.

### **How a Food-Secure Africa would Look**

Dietary supply adequacy, food stability, and consumption status are positively associated with food security. 
A food-secure Africa would mean a continent transformed. A continent where people can afford and obtain that food, use it effectively for nutrition, and have this stability consistently. Imagine bustling formal and informal markets, empowered farmers using technology, and thriving communities with better nutrition. Sustainable practices would ensure long-term food security, while innovation would empower farmers and connect them to efficient markets.

### **Past approaches to Food Security in Africa**

Across Africa, vulnerability has surged on the heels of the increasing frequency of agroclimatic shocks, rising food insecurity, and [declining and more volatile per capita food production](https://www.fao.org/documents/card/en/c/cb9997en/). Africa can no longer sustain itself on back-to-back emergencies, there needs to be an overhaul of old practices. 

A well-functioning food system prioritizes how food is produced, traded, and consumed. There has been a lot of conversations in the past on how to transform Africa’s food system. Instances such as the 2006 Abuja Declaration of African agriculture ministers called for an increase in Africa’s average fertilizer application rates from 20 kg/ha to 50 kg/ha to boost production. However, Africa’s average application rates are still at 2006 levels, while the global average is slightly over 130 kg/ha. Similarly, the Kano River Irrigation Project established by the Federal government of Nigeria in 1970 aimed at increasing food production and productivity, providing employment opportunities, and ultimately reducing food.  There are ways we could change the face of food security in Africa today. 


![JCP-628.jpg](/uploads/JCP_628_529c781ba0.jpg)
##### **Financing Small and Medium Scale Farmers**

A key strategy for Africa to achieve greater food security lies in boosting agricultural productivity through the adoption of improved farm management techniques. Special attention should be given to small-scale farms, as they comprise the vast majority of Africa's agricultural sector and are vital for feeding the continent's most at-risk populations. In countries like Nigeria and Ghana where the sector employs about 70% of the workforce yet houses the poorest farmers emphasizing the need to engage and invest in this sector. Currently, small farmers struggle to connect to modern markets due to low production volume, lack of market knowledge, and difficulty meeting quality standards.  [Scaling up investments in infrastructure and technology](https://afex.africa/blog/curbing-post-harvest-loss-for-food-security-4-lessons-from-the-field-1) is crucial, particularly those that cater to post-production needs. The use of technology, fertilizer, and improved farm management practices could revolutionize Africa’s food sector.

Small-medium scale farmers require investments to become thriving, sustainable agribusinesses. Financing these chains (storage, water, energy, and roads) not only strengthens local production capacity, reduces food wastage, and bolsters food security in Africa but also creates employment opportunities throughout the entire food value chain. When rural economies flourish, they provide a pathway to decent work, this, in turn, lays the groundwork for improved livelihoods, increased resilience, and a hopeful future for the continent.

![corn-field-blue-sky-background.jpg](/uploads/corn_field_blue_sky_background_b6e13796bb.jpg)

#### 
**Access to Affordable Nutritious Food**

Strengthening Africa's food systems hinges on building resilience and guaranteeing access to healthy, affordable food for everyone. Fortunately, proven systemic models have demonstrated the potential for continent-wide transformation, addressing both the needs of farmers and consumers. 

In Africa’s food system, affordability is a major barrier to accessing nutritious food. According to the FAO, [the food system in Africa does not provide food at a cost that makes nutritious food affordable](https://www.fao.org/policy-support/tools-and-publications/resources-details/en/c/1416787/#) to a majority of the population, and this is reflected in the high disease burden.

In North America for example, food has been used as a tool for community development. With projects such as farmers’ markets, local food production and promotion, youth agricultural programs, and many other types of programs, to help curb the issues of limited access to nutritious and affordable food. Market developments and rural infrastructure that bridge the gap between smallholder farmers and markets are crucial for enhancing household food security and dietary diversity across Africa. Increased market access offers a multifaceted solution such as decreased transaction costs, improved food consumption, and reduced poverty and household food insecurity. 

Conclusively, access and availability are the two factors that frame the outlook of Africa’s food system and solving them will impact and strengthen our food systems. With Africa's projected population reaching 2.5 billion by 2050, coupled with the existing challenge of over 250 million malnourished Africans the question of how to achieve food sufficiency is extremely pertinent. 


hay-making-animals-tractor-harvesting-green-grass-fodder.jpg

What does food security in Africa mean for the world?

This edition tells the story of the participants.  We listened to some people from the first and second cohorts of the ATS program speak about their journey, and expectations in tech through the program. 

![2ND COMP.00_04_47_14.Still005.png](/uploads/2_ND_COMP_00_04_47_14_Still005_1e17d78651.png)


**ADEDOLA ABARU-  Mobile App Development**

Adedola credits his opportunity to join the ATS program to social media. “I used to have a routine of sweeping through certain companies that I admired and looking for internships. I loved the thrill. It was daily, I churned out loads of emails to these companies as well, so I barely remembered the ones I applied to. On a Tuesday afternoon, I got an email with the title AFEX Tech Stars” and a test link, I took the test and that was it.”

“After the induction, came my curiosity laced with an adequate amount of confusion. I had to learn from not just our teachers but also my fellow tech stars and you find out that everyone is trying to figure it out, no one came there with all the knowledge in the world, and that somehow reassured me that I would make it, so long as I put in the necessary hours and a bit more. 
We were graded individually but for some of our assessments and tests, we were grouped. If you fail to do your part, the team suffers. The bit that kept me going was seeing my work being deployed, I was not writing dummy codes.”  


**OLUWATOSIN OLABANJI – Product Management**

“Learning Product Management felt like doing everything I wanted to do. I was a tech sis but I didn’t have to write codes. It was easy to apply for the role, but being faced with the actual learning and working process was an entirely different ballgame. I had finished the mandatory NYSC, emails and Jobberman were my most visited sites. 
“I knew about tech as the boring long hours of sitting on a chair in a slightly dark room, using 2 or more screens to check multicolored lines of alphabets, numbers, and some punctuation marks, but I didn’t know about it as a field that was super diverse and encompassed a lot of roles until I started here. Excelling in product management means you take up the role of a general overseer, find possible flaws, you’re in charge of making sure that things work, and they work well.”

For Oluwatosin, her growth can be seen not just as making the most out of her career path, but also as stepping out of a previously shelled life. “For the third exercise for the 6-month-long internship, my group had to build a management system for the next cohort, a platform where they would be assessed, and their grades tracked. I voiced an opinion on certain features we could also add, and my team listened. I found myself falling in love with speaking out more and looking forward to meetings.”


**ALALADE DAMILOLA, Frontend Development**

Three years before joining the ATS program, Damilola had his first “entering tech” conversation with friends. “Most of my friends in the university were already moving into tech, but I somehow convinced myself that it was not for me. I did not understand why coding had to look that tedious and why their days ran late into early mornings. No one who codes sleeps well. So, for you to build beautiful things while functioning on little sleep, you have to be a genius.”

A year later, he applied to an ALX internship because his friends had convinced him to give coding a trial and that set the pace for his tech story.

“I was in ALX for the briefest, then I applied to Zuri, but I left them both to focus on school, graduate, and move on to my NYSC. The thing with starting in tech is that you never stop looking out for opportunities and I found out about the ATS program through 2 of my friends working with AFEX. During my first months, my mentor’s and older colleagues' work stack became my school. I spent a lot of time trying to break down what felt like complex codes, hanging on the mercy of 4-5 hours of sleep daily.”

“The beauty of what I do is that the more I go through a process or build a functioning code, the more I see all tasks as achievable. The beginning was slow, but I was learning. I was getting better. After the second test, I had a mini panic attack. I felt like I was forcing myself into a shoe that didn’t fit and grew worried that I was running out of time. However a chat with Ridwan and consistently showing up showed that anything I set out to do, I could achieve. I mean I built one of the budget management systems AFEX uses.” 


![2ND COMP.00_03_58_18.Still007.png](/uploads/2_ND_COMP_00_03_58_18_Still007_7778c3e7ec.png)


**OYEYEMI AJIBOYE Mobile App Development**

For Oyeyemi, joining the program gave her the chance to explore the tech ecosystem. Coming from a Javascript background, she felt web development was the only path. “I applied for backend development without having my hopes high."

“Seeing myself in mobile app development was challenging but worth it and having people who gave me room to fail forward helped.  I hadn’t done some of these things before, so I had to learn on the job. I enjoy the mental exercise of building applications that solve problems and meet clients' needs, however, more than that, we learned to work better in teams and it helped my relationships.” 

“If I am asked to speak about my growth here, I would say it has been a learning curve. I believe I'm reshaping the story; currently, I am setting a new standard for more women/ girls to embrace mobile app development.”
 


The AFEX Tech Stars Diary: The Participants Journey so far


 **“_I want this story told; we are making great things happen here_”** – Ridwan, Senior Software Engineer and AFEX Tech Stars mentor.
 
The AFEX Tech Stars program impacted not just the lives of the participants but also the mentors. In this episode, we spoke to three of the mentors - Yusuf Oguntola, Chief Technology officer; Yusuf Raheem, VP, Technology & Innovation; and Ridwan Olarenwaju, Senior Software Engineer to view the program through their lens and better understand the ATS program through their unique stories. 

**The Genesis: Days of Ideation**

According to Raheem, conversations started mid-year 2021, precisely June and it was 2 weeks after speaking to Yusuf about this idea to train/mentor newbie techies in-house by mirroring the famous Silicon Valley style and easing them early on into the AFEX way.  

![2ND COMP.00_03_22_24.Still008.png](/uploads/2_ND_COMP_00_03_22_24_Still008_b845a4e5f3.png)

“_We needed more engineers on deck, we had launched products that required more hands to steer and 3 backend developers were leaving the country. This fueled the need for a hiring season. This was a period when being a tech bro was in vogue, and almost everyone around you wanted to do tech, both technical and otherwise. So, we had loads of applications, but many lacked what we needed_.” Raheem.

“_Between January and June 2021, more than 50 interviews were conducted, and we got two backend developers, one of them eventually left in December. We needed hands and we needed them immediately and we also wanted people who had a bit of background with the type of tech stack we operated._” -Ridwan.

Considering this need, they revisited the previous conversation of developing in-house talents, who can learn the broader specs of technology while learning about the company’s values, existing business model and how to build technological innovations to help Africa’s food system. 
The mentors had to then spend the next few months making presentations, developing concept notes, and running ideas over and over. They also invited the opinions of other teams across the organization to design and launch the program.

 “_We had a broad target “Tech enthusiasts” but how do we slim it into achievable bands, almost everyone is enthusiastic, so what forms the yardstick to measure enthusiasm fairly?  We thought to scale up the career scale of recent graduates interested in IT, product management, front-end development, backend development, and mobile app development. We arrived at some simple inclusion criteria for the 1st iteration - recent graduates with less than 2 years of career experience, who were less than 30 years old_." – Raheem.

**The Journey: Iterations**

_“The first days were electric, meeting passionate, young people who were excited about the journey.”_ - Raheem 

For the mentors, it was surreal, unreal even. The reactions were quite unexpected, Ridwan tells us they were both amazed by the impact they were about to make on the lives of these people. It was their first Eureka moment and the participants' accelerator to the tech space.

“_Over 1000 submissions were received, and after the screening, we admitted the first-ever batch of the AFEX Tech Stars, a total of 30 participants- 19 males and 11 females.  There was a comprehensive syllabus at hand for the 4 program tracks we planned to take on, but we had to revise it because most had just basic computer skills. We introduced a bit of background in tech and its innovation, so this meant teaching foundational courses. This was to be wrapped into a 6-month schedule bearing in mind that our mentors were in-house and still had their business objectives to meet. We also did not want to overload the tech stars since this was new territory for most of them, what they all had however was a burning passion to excel in tech. We needed quality and warp speed wasn’t the end goal. 
ATS 1.0 laid the groundwork, and ATS 2.0 refined it. The first cohort presented some of the challenges we needed to tackle going forward. By ATS 2.0, we knew we needed to close the gender gap, a defined elaborate timeframe, and a grading system to check the performance of participants monthly. This Cohort welcomed 21 participants at induction and as of the last day, 11 females and 9 males were awarded merits for successful completion of the **AFEX TECH STARS 2.0 program**._”- Raheem 

**The Extra: Soft Skills and Culture**

Execution, excellence, and empathy are the Xpert’s value system and we needed the tech stars to also embody them at the end of the day. 
In addition to providing immediate training in technical and practical IT skills for the AFEX workforce, there was also the recognition of the importance of preparing them (participants) for the broader world with soft skills like critical thinking, creativity enhancement, and problem-solving abilities. Beyond just tech proficiency, we sought individuals who are not only savvy in technology but also capable of excelling in various career paths.
Here, we value helping people grow and succeed, so we also measured success by looking at skills like being proactive, thinking critically, communicating well, paying close attention to details, and solving problems effectively. The payoff for this investment is making a positive impact and shaping their personal and professional growth.  


 The AFEX Tech Stars Diary: How the Mentors tell the story of building a Techhub that works in Ibadan.  

Sometime in mid-2021, a conversation would birth a suggestion. This suggestion would go on to change the lives of over 80 young vibrant graduates through an internship program called AFEX Tech Stars. The goal, at the start, was to impact several new graduates with technology skills, kicking off in 2022. 

Near the end of the second cohort, the team set out to interview some mentors and participants to understand how the AFEX internship program works and where it is now.  One of the first people we spoke to was AFEX’s Vice President, Technology and Innovation, Raheem Yusuf, who took us back to the beginning:

“I had a lineup of Interviews for mid-level front-end and back-end developer positions for our trading platform. These interviews were the third in 5 months and we were exhausted from searching for new talents, but also it was taking a lot of time that could have translated to valuable execution for the projects at hand. So, I casually mentioned to the Chief Technology Officer, 'Instead of doing this every three months, we could train people.”

On the back of that comment and several ideations, the [**AFEX TECH STARS**](https://www.youtube.com/watch?v=wc7zUFfBaGg&t=362s) known as the ATS program came to life. This program was designed to provide participants with an early leap into real-world experience in the tech industry through an internship with a duration of 6-12 months. The ATS program also fits in well with AFEX's belief in the grit and innovation of young talents and their ability to solve Africa’s problems.

**Growth takes place where things happen. It is a verb- Yusuf Oguntola, Chief Technology Officer, AFEX.**

Every member of the technology and innovation trybe at AFEX was incredibly excited to see this program come to life, and they became a necessary part of its success. We spoke to Ridwan, one of the mentors for the program on how it was structured and the chances for its sustenance, he had this to say, “_Plans are good when structured, but best when worked on. For the ATS program, we introduced a tutelage system, which facilitated the pairing of experienced tutors/mentors with the participants to provide guidance, support, and knowledge transfer._” 

The mentors were responsible for overseeing the growth of the participants in the five areas of product management, frontend development, backend development, mobile app development, and UI/UX design. The ATS 1.0 cohort saw 30 participants enrolled, and upon completion, 14 of the tech stars who demonstrated exceptional performance were seamlessly integrated into AFEX as Xperts. ATS 2.0 welcomed 21 participants during its induction phase and is nearing completion. 

![2ND COMP.00_06_13_07.Still002.png](/uploads/2_ND_COMP_00_06_13_07_Still002_2e00f9d8a1.png)

The Ibadan-based ATS program is building an ecosystem of tech innovators who will not only thrive now but transform the future. Alongside the core technology skills, the tech stars are also integrated into the AFEX mission of working to help Africa feed itself. According to the tech stars, gaining real-time experience brought them, and the culture sustains them.

This short series tells the simple yet intricate stories of how the ATS program is transforming the tech sector one young innovator at a time. For the next couple of weeks, we’ll introduce you to our tech star interns and learn about their experience growing their technical and professional development skills while pursuing a fulfilling career in the tech ecosystem.


The Tech Stars Diary: How the AFEX internship program is building fulfilling careers in Tech

AFEX, Nigeria’s leading commodities market player, announces the signing of a Memorandum of Understanding with the Kano State Investment and Properties Limited (KSIP). The MoU signing, which took place on the 21st of February at the AFEX Abuja office, is aimed at fostering cooperation and partnership for the development and growth of the commodity sector within Kano State.

This MoU signing reflects AFEX and the KSIP’s commitment to driving growth for the commodities sector, and largely agriculture in Nigeria. Under this partnership, AFEX will deploy its capacity to revitalize the commodities ecosystem in Kano State, identifying idle and untapped commodity assets, deploying infrastructure development, market expansion, and a feasible market for commodity trading and commerce. In addition, the partnership will also see AFEX and Kano State work to explore debt capital raise opportunities on the Exchange, focusing on funding projects and operations related to the commodity sector. 

Speaking on the partnership, Auwalu Muktari, Managing Director, Kano State Investment and Properties Limited said, “A core focus for us for KSIP has always been securing wealth for the people of Kano State. This partnership with AFEX sets a precedence to revive the agriculture sector, leveraging adequate human and capital resources to enhance economic productivity and generate value for the state.” 

Kano is a key producer of staple consumption commodities like Maize, Paddy Rice, Sorghum, Soybean and Sesame, and export commodities like groundnut, however, challenges across droughts, minimal storage, low fertilizer application and lack of quality seeds limit production and export capacities. The KSIP was set up to promote industrial and commercial activities in the state through facilitation of direct equity investment and assistance to entrepreneurs engaged in industry, commerce, agriculture, and through this partnership, the KSIP is set to drive financing to the agriculture sector to boost productivity. 

Present at the MoU signing, Ayodeji Balogun, GCEO, AFEX , expressed, “we are delighted at the opportunity to collaborate with the Kano State Investment and Properties Limited to increase efficiency and innovation across the commodity value chain in Nigeria. Our exchange model, which we will be deploying during this project, provides a centralized platform for farmers, aggregators, and processors, to engage in transparent and efficient trading and improve fair pricing across the value chain, while providing a path to unlocking the significant capital required for such a project.”

AFEX's commitment to leveraging technology aligns with the broader goal of enhancing productivity for farmers and strengthening the agricultural sector in Nigeria. By facilitating efficient input access, AFEX empowers farmers to increase their yields and improve their livelihoods. This partnership sets the foundation for an inclusive commodities ecosystem for Kano, utilizing home grown models and expertise to deliver a more efficient and inclusive value chain that works for all players and enriches Nigeria.



AFEX Signs MoU with Kano State Investment and Properties Limited to Revive Commodities Sector in Kano State

AFEX, leading commodities player in Africa, unveils its 2024 commodities outlook in a hybrid event hosted at their Lagos office on the 24th of January 2024. The Annual commodities outlook is a key literature that analyzes critical socio-economic factors shaping the demand and supply dynamics of commodities, with a view to highlight challenges and opportunities inherent in the market while providing an accurate forecast that potentially steers price and volumes for the 2024.

Globally, the commodities market was marked by turbulence, owing to global shocks across energy scarcity, geopolitical tensions, financial crises and more, however, despite these challenges, the global market witnessed a 24% decline from their peaks in 2022. The Nigerian commodities market on the other hand faced trickle down effects of inflation, and economic reforms, which pegged the growth in the first three quarters of 2023 at 0.63%, a sharp decline from 1.90% in the same period of 2022. Agriculture commodities witnessed price surges with the greatest factor responsible being supply shortage due to low production and increased international demand. 

Of all tracked commodities, Maize exhibited the highest volatility at 24%, resulting in a peak price of N550,000/mt by the end of Q3, and closing the year at N480,000/mt. This increase is a consequence of decreased input usage, a still-felt effect of the Russia-Ukraine crisis impacting fertilizer prices. 

Predictions for 2024 global commodity prices suggests a downward trend due to factors such as improved supplies and the expiration of certain trade policies, however, the direction of this trend can be significantly influenced by numerous factors, each capable of either posing a downside or upside risk to commodity prices. Energy prices are expected to drop by 5% in 2024 and then further decrease by 0.7% in 2025, while agriculture commodities are projected to decrease by 2% in 2024 and 3% in 2025, provided that the Middle East conflict de-escalates. 

On the flip side, the report forecasts that domestic commodity prices are expected to rise consistently throughout 2024. Key export commodities like Cocoa and Sorghum are projected to rise by 50% and 20% respectively, underpinned by declined production, while key consumption commodities like Maize and Paddy Rice are projected to rise by 25% and 40% respectively, despite a 4% increase projection on production of Paddy Rice.

Speaking at the event, Oluwafunto Olasemo, Vice President, Financial Markets, noted that “The outlook is an indispensable component of the commodities market, dictating trading flows and movement across the physical market and secondary market players. This year, the commodities market will see a complex balance amidst geopolitical, economic, and environmental factors, which will on one hand demand continual monitoring and strategic adaptation, and on the other spur vigilance on the part of market stakeholders and policy makers. In managing the complexity of these factors, there is a pressing need to enhance domestic agricultural production, streamline trade policies, and establish strategic reserves to cushion against market volatility and ensure food security. Similarly, there perhaps isn’t a better time to look to alternative investments as a hedge against potential windfalls than now.”

A key recommendation of the report for boosting agriculture productivity is pivoting from traditional food production systems and adopting sustainable farming practices such as diversified crop rotation, which serves to optimize soil capacity and increase productivity, which in turn has been seen to boost farming income by 21%. 

The report is now available for download [here](https://afex.africa/reports/special/afex-2024-annual-commodities-review-and-outlook).


AFEX unveils Annual Commodities Outlook, Forcasts Elevated Price levels in 2024  

This year was a big year for AFEX – for our entities, our products, and services, our Xperts, and our clients. We started the year strong with more regional expansion, and that was only the beginning. As we roundup this December, we have reached a broad network of 494,972 farmers, across 3 African countries and facilitated 1.5M MT volumes of trade leveraging our storage footprint of 399 warehouses with a storage capacity of over 380, 000 MT.

Over the past 12 months, we have focused on building the needed infrastructure to deliver our next five-year strategy and drive inclusive trade and economic prosperity for Africans. We made significant investments while evolving our platforms. We launched innovative products and impact-driven projects. We deepened our partnerships, and we won a few awards along the way. 

It was a year of growth for us. With 2024 underway, we’re ready to level up even harder! but It’s quite fun to look back and review some of the significant ways we transformed in 2023:


**African Expansion to Uganda**

The vision from day one was food security in Africa, and to do that our solution has to go beyond borders, so at the start of the year, we expanded into our second East African country, Uganda. This extended our solutions in aggregation, storage, and financial inclusion to Ugandan farmers and processors. We aim for a continent where farmers have more market access, better livelihoods, and ultimately, promote food security.  11 months in and we remain bullish as ever, reaching over 2,000 Ugandan farmers.


**First Private-owned company to receive WRS License in Kenya**

Earlier in the year, we became the first private-owned company to receive the Warehouse Certificate license in Kenya.  With 17 warehouses spread across two counties in Kenya, AFEX has registered over 11,000 farmers and traded over 11,000 MT of Maize. We firmly believe that storage can reduce food losses, stabilize supply, and improve farmer livelihoods.


**FT Ranking as #1 Africa’s fastest-growing company** 

We made history this year. We were humbled by the recognition that our approach works. 

In May, we ranked first on the Financial Times’ list of the Fastest Growing Companies in Africa. When we set out with a mission to champion efficient trade across Africa through the commodities market, we were determined to become the solution our clients could trust, and with all that we accomplished since 2014, we are proud of how far we've come.

**Listing of AFEX 100 billion Naira 3-year Asset-Backed Commercial Paper (ABCP) Programme**.

In Q3 2023, we announced the listing of AFEX Investment Limited SPV 100 billion Naira 3-year Asset-Backed Commercial Paper (ABCP) Programme on the Exchange, to provide affordable financing solutions to agro-processors in Nigeria. The ABCP happens to be the first-ever commodities-backed ABCP listed on an Exchange in Nigeria. Through this product, we are prioritizing impact-focused investment that allows agri-businesses to unlock working capital for their needs.


**British International Investment (BII) $26.5 Million Investment**

A particularly memorable event for us this year was this strategic partnership with the British International Investment (BII), UK’s Development Finance Institution (DFI), and Impact Investor. We successfully raised $26.5 million in funding from BII. This investment will be used to build 20 modern warehouses in strategic locations in Nigeria, Kenya, and Uganda, as well as scale warehouse technology, and next-generation software that captures post-harvest pricing.

**Launch of AFEX Bar Raiser Academy**

Throughout 2023, we worked closely with young, brilliant, and passionate graduates across Africa to develop their skills and talents in the commodities ecosystem and help them land as softly as possible in today’s competitive job market. We welcomed the third 3rd cohort of the AFEX Bar Raiser Program and AFEX Tech stars and further launched a training academy, where bar raisers go through an intensive 3-month training before being accepted into the graduate trainee program. 

With over 40 recruits, the aim for us is to essentially increase the talent pipeline, not in terms of quantity but the quality of the people who join the organization every year. Through this, we are driving greater levels of collaboration, productivity, and innovation among African youths.


**AFEX One Million Cocoa Trees Planting Initiative**

At AFEX, sustainability is always front and center. Last year, we launched the One Million Cocoa Tree Planting Initiative across cocoa-planting regions in Nigeria. We’re happy to announce the completion of the first and second phases of the Initiative, distributing 700,000 high-quality cocoa seedlings to farmers and helping them achieve remarkable results on their farms. 

Click [here](https://www.youtube.com/watch?v=2OmxBchEsh8) to watch the documentary, learn more about the techniques that made this ambitious project possible, and see how it transformed the livelihoods of farmers and rural communities. 

**First Pan-African Ag-Hackathon for Code Cash Crop** 

And then there was #CodeCashCrop 4.0.

We started Code Cash Crop in 2018 to spearhead conversations at the intersection of technology, finance, and agriculture. For the fourth edition themed “scaling market-led solutions”, we introduced a Pan-African ag-hackathon and invited applications from Nigeria and Kenya to solve problems related to Data, Logistics, and Extension in the ag sector and we were impressed at the quality of the solutions presented at the event.

We will continue to inspire more innovation and collaboration among African youths in the ag sector and contribute to its growth and development through this platform.


**Our platforms had a makeover**

We’re constantly collecting insight into ways to strengthen our platform. In October, we doubled down on our commitment to building the digital infrastructure needed to facilitate trade across Africa and allow more investors to participate in the market. We moved our corporate website to afex. africa and our trading platform, ComX, to africaexchange.com.

We took an even fresher look at the new trading platform, Africa Exchange, to make it more interactive and dynamic for users. Now users can enjoy new features, a better experience, and more insights on the commodities market in Africa.


**CEO Breakfast Launch**

As an Exchange, we are championing a new economic renaissance through our investments aimed to drive innovation and propel the growth of the Nigerian economy and we are glad the inaugural CEO breakfast was a grand success. We are excited to interact and collaborate more in the future and create positive change for Nigeria’s economy and society.

As we wrap up the year, we want to say a big thank you for joining us on our incredible journey in 2023. While we are proud of our progress so far, we recognize there’s more to do to ensure we keep building a sustainable, inclusive, and efficient market system for commodities. 

We look forward to another incredible year – for our company, our products, and services, our Xperts, and for you.









 2023 Roundup: Our top moments and milestones of the year

_When farmers thank the rains for water, the thought behind it is usually for the bountiful harvest that accompanies arable land with sufficient water, and maize farmers are not left out. This short piece highlights the lifespan of the grain star- Maize, its benefits, some interesting facts, and how you can tap from its wealth._


Maize, Zea mays L, the golden kernels that dominate the cereal world. The most utilized multifunctional grain crop globally, serving both human and animal consumption purposes, is being cultivated for grain and forage. Globally, approximately 65% of the demand for maize is in the livestock feed production sector, with developing countries accounting for about 56% of this demand, with the United States, China, and Brazil as the top three maize-producing countries on the continents. 

Nigeria is Africa's second-largest producer of maize, trailing South Africa, with an annual output of around 11 million metric tons (MMT). The top ten maize-producing states in Nigeria – Borno, Niger, Plateau, Katsina, Gombe, Bauchi, Kogi, Kaduna, Oyo, and Taraba – [account for nearly two-thirds (64%) of the country's total maize production](https://afex.africa/reports/special/afex-wet-season-crop-production-report-2023).

It is a major staple food grain not only in Africa but in many parts of the world like Latin America and Asia and is also used as a major feed in developed countries. The maize grain has numerous products ranging from edible grains to syrups and oils. Some of its products are used for corn ethanol and animal feed. Notably, there has been a significant upward trend in maize grain prices, with the domestic Nigeria market hitting a historic high of N600,000 per metric ton during 2022/2023. This price surge has led farmers to transition from crops such as sugarcane and millet to maize.
 
**Economic Benefits**

The increasing need for maize from both the human consumption and industrial segments has resulted in a notable upswing in commodity prices. Prices have significantly surged by over 60% in the 2022/2023 season. This surge has, in turn, negatively affected the growth of the poultry sector and indirectly contributed to the inflation of food prices, including eggs.

It's a basic food for many people and a key ingredient in animal feed. Industries use maize to make various products like corn oil and starch, supporting jobs and manufacturing. Maize also plays a role in biofuel production, contributing to renewable energy efforts. Its global trade helps countries exchange resources and boosts foreign exchange.

Issues such as low access to finance, low access to inputs, and excess rainfall affected the production volume of maize during this 2023 season. Although it noticed a slight increase of 6.9% to approximately 11.6 million metric tons in 2023 compared to 2022 production, it is forecasted [here](https://afex.africa/reports/special/afex-wet-season-crop-production-report-2023) not to match the consumption needs.

To read more about this commodity, access our Crop Production Report [here](https://afex.africa/reports/special/afex-wet-season-crop-production-report-2023).


 Harvest Spotlight: Maize – The Golden Grains

In a historic move, 16 leading Commodities Exchanges across Africa have come together to establish the AfCFTA Association of Commodities Exchanges (A-ACX) signing a Memorandum of Understanding (MOU) at the Intra-Africa Trade Fair in Cairo to promote intra-African trade in commodities, foster collaboration and collectively address challenges and opportunities in the commodities exchange industry. 

Six (6) African Commodities EXCHANGES, represented by their CEOs, were present in Cairo for the signing ceremony; Mr. Ayodeji Balogun, AFEX Commodities Exchange – Nigeria, Mr. Kristian Moller, Agricultural Commodities Exchange for Africa – Malawi, Mrs. Tucci Ivowi, Ghana Commodity Exchange – Ghana, Mr. Akin Akeredolu-Ale, Lagos Commodities and Futures Exchange – Nigeria, Prof. Justin N’Goran Koffi, Regulatory Authority of the Warehouse Receipt System – Cote D’Ivoire and Mr. Collen Tapfumaneyi, Zimbabwe Mercantile Exchange – Zimbabwe.


![403042116_3606095616311581_7749947148597150952_n.jpeg.jpg](/uploads/403042116_3606095616311581_7749947148597150952_n_jpeg_5edf00b2d5.jpg)

Also present were Mr. Mohamed Ali, Director of Trade in Goods of the African Continental Free Trade Area, Dr. Hermogene Nsengimana, Secretary General of the African Regional Standards Organisation (ARSO) and Mr. Collins Wafula, Regional Coordinator Africa and Arab States International Standards Organisation (ISO). 

The 16 African Exchanges involved, recognize the pivotal role of collaboration in promoting the development of Commodities Exchanges.


The Association aims to:

- Promote intra-African trade in commodities and related services through, among others, market creation and liquidity, price discovery and transparency, efficient physical and financial settlement, and facilitation of inclusive financing.
- Contribute to the UN Sustainable Development Goals through, among others, enhancing enabling economic growth, food security, sustainable livelihoods, climate action and support sustainability and ethical practices in responsible commodity production and trade.
- Advocate jointly for policy initiatives and investments to strengthen Commodity Exchanges, regulatory authorities and market actors and facilitate intra African and Global Trade. 
- Foster collaboration, knowledge sharing, capacity building and adoption of best practices among member exchanges.
- Enhance visibility of African commodity exchanges on the global stage.


Speaking on the signing, Ayodeji Balogun, GCEO, AFEX, expressed “Africa has a couple of puzzles to solve regarding the free flow of commodities across the continent, and this association forms a key piece of this puzzle. As core soft infrastructure for establishing and driving market systems, commodities exchanges can work together on strategic initiatives to derisk transactions, drive price discovery and liquidity across markets, unlock financing, and make physical and financial settlements more seamless for Intra-trade.”


The Association begins with 16 founding members, with additional Commodities Exchanges and related institutions invited to join by unanimous agreement. Membership includes Ordinary members (Registered Commodities Exchanges and Warehouse Receipt Operators) and Affiliates (related institutions interested in well-functioning commodities markets).

Founding Members
1.	AFEX Commodities Exchange - Nigeria
2.	Agricultural Commodities Exchange for Africa - Malawi
3.	Bourse Regionale des Valeurs Mobilieres - Cote D’Ivoire
4.	East Africa Exchange - Rwanda
5.	Ethiopia Commodities Exchange - Ethiopia
6.	Ghana Commodity Exchange - Ghana
7.	Johannesburg Stock Exchange – South Africa
8.	Kenya National Multi-Commodities Exchange - Kenya
9.	Lagos Commodities and Futures Exchange - Nigeria
10.	Nigeria Commodities Exchange - Nigeria
11.	Regulatory Authority of the Warehouse Receipt System – Cote D’Ivoire
12.	Tanzania Mercantile Exchange - Tanzania
13.	Uganda National Commodities Exchange - Uganda
14.	Uganda Warehouse Receipt System Authority - Uganda
15.	Zambian Commodities Exchange - Zambia
16.	Zimbabwe Mercantile Exchange - Zimbabwe

This groundbreaking initiative marks a significant step towards a more integrated and collaborative African commodities exchange landscape, poised to influence regional and global trade positively.


403720936_3042939639173763_4879897169709280452_n.jpeg.jpg

AFEX, other African Exchanges, Sign AfCFTA Association of Commodities Exchanges (A-ACX) to Advance Intra-African Commodities Trading.

_When farmers thank the rains for water, the thought behind it is usually for the bountiful harvest that accompanies arable land with sufficient water. This short piece highlights the lifespan of the budded star- Soybean, its benefits, some interesting facts, and how you can tap from its wealth_.

Popularly known for its famous product, soymilk, in Nigeria and other countries in Africa, this commodity has placed itself as one of the leading crops, placing it in the top 10 in the grain commodities industry not just on the continent but on the global map. Nigeria exported Soybean to the tune of N38.63 billion in Q1 2023, accounting for 13.8 percent of the country’s total agricultural exports within the period.

It contains more than 36% protein, 30% carbohydrates, and generous amounts of dietary fiber, vitamins, and minerals. Additionally, it comprises 20% oil, making it the primary crop for edible oil production.  While many leguminous plants offer some protein, soybeans are special. They provide affordable and high-quality protein, similar to what you find in meat, poultry, and eggs.

Depending on the variety, soybeans can be harvested between 100 and 160 days after planting. In Nigeria, soybean cultivation usually starts in May or June, and harvest spans from September, stretching to October and sometimes November. Nigeria is sub-Saharan Africa's second-largest soybean producer, closely behind South Africa. Despite its diverse nutrients and demand, it is most times not the primary crop of production. It is mainly cultivated by small-scale farmers and planted as a non-staple crop among sorghum, maize, or cassava.

**Economic Benefits**

Soybean production in 2023 was affected by the erratic rainfall patterns in some of the prominent soybean-producing areas, which led to a shortfall in annual moisture requirements essential for optimal soybean growth. Nigeria's soybean production will likely be 1,150 thousand metric tons in 2023/2024. This is a small decrease from the 2022/2023 estimate of 1,250 thousand metric tons.

Due to this challenge, our projections indicate a modest 1% reduction in soybean production volume for the year 2023. This decrease is expected to result in an estimated total production of approximately 1.26 million metric tonnes of soybeans. At this production capacity and factors such as high demand for soybean oil, Biodiesel/ industrial uses, and increasing public awareness about the health benefits of soybean consumption, the price of soybean will spike and surpass 2022’s price of NGN 436,000/mt.

Given the current season and high demand for this commodity, investors and traders are encouraged to buy into it on the [Exchange](https://africaexchange.com/) and truly experience a fresh start at trade this harvest season. In less than 5 minutes, you can finish your commodity trading on the [platform](https://africaexchange.com/sign-up). 


HARVEST SPOTLIGHT: Soybean- Pods to Market

In our food system, ensuring food security is a complex puzzle with many pieces. One critical aspect that often slips through the cracks is post-harvest loss—the diminishing quantity and quality of crops/commodities after they leave the fields. How can we tackle this issue and learn to secure our food supply more effectively? 

We looked into practical insights gained directly from most of these farmers we have worked with and have seen what works best. Real lessons from real places. 

**Accessible Technologies: Simple Solutions for Big Problems**

Basically, practical solutions for significant challenges; while edge-cutting cutting-edge have their place, small-scale farmers often lack the means to adopt complex systems. Simple, affordable technologies, such as low-cost smart storage solutions, silos, and basic post-harvest handling equipment, can make a significant difference in the health of grains. These practical tools empower farmers to preserve the quality of their grains and reduce post-harvest losses. The most successful technique has always been “Simple Technologies, Big Impact.”

**Sensitization and Training Programs: Education as a Catalyst for Change**

Knowledge is power, and ignorance kills faster than the farm pests strike. Educational programs focusing on proper harvesting techniques and storage practices can make a tangible difference. A key determinant of a good harvest also extends to understanding the right time to harvest. Sensitized farmers are better equipped to make informed decisions at every stage of the post-harvest process, ultimately contributing to reduced losses and enhanced food security. For instance, we noticed a 60% increase in grain commodities' shelf life and decreasing damages after the sensitization on proper handling practices in 2022. 

**Connecting Farmers to Opportunities**

Market linkages are as important as the storage facilities provided; for what use is the harvest if it doesn’t get to the consumers at the right time? Small-scale farmers often face challenges in accessing markets directly, leading to increased post-harvest losses. Strengthening market connections through cooperative initiatives, farmer groups, and inclusive supply chain partnerships can improve farmers' market access. Beyond providing access to a good market, the system is bringing the marketplace closer to them, thereby eliminating/ reducing the huge burden of logistics.

**Support Research and Development Course**

Data is as essential to a secure food system as the cell is to live. Data-driven insights enable us to tailor solutions to specific needs, ensuring a more sustainable and effective response to the ever-evolving landscape of our food system. Farming difficulties are peculiar to regions, and the differences range from small to large. Monitoring and properly evaluating land types of farmers' personal data- past deals, and his production and harvest track records from previous seasons will better explain. 

In essence, championing simple, informed, and collaborative approaches works for a resilient and abundant food future.


Curbing Post-harvest Loss for Food Security: 4 Lessons from the Field.

Africa’s leading commodities player, AFEX, unveiled its 2023 Crop Production report in a hybrid event hosted at its Abuja office on the 16th of November 2023. The crop production report, which delivers insights on six key commodities (Maize, Paddy rice, Soybean, Sorghum, Cocoa, and Sesame) leverages farmer surveys and measurement of transaction-level data to track vital information across crop production, price performance, and market dynamics. The report will aid the understanding of the current food system while providing stakeholders' in the commodities market with intel to make data-driven trading decisions in the coming season.

The report highlights a critical improvement in access to farmland for cultivation in crucial areas, we also witnessed an increase in the usage of improved inputs, such as high-yielding seeds and fertilizers, compared to last season, which contributed to Maize and Paddy rice being forecasted to have a significantly higher production this season. However, input lending remains a major challenge today, with agriculture making only 6.16% of bank lending in 2022.

On pricing, the report forecasts an increase in prices for all commodities on the basis of a general decline in production coupled with increasing demand for across processing and exports. Paddy Rice which faced the most notable upswing in 2022/2023, partly due to increased flooding and the India rice ban that contributed to an increase of 34% and a baseline pricing of NGN353,000/mt, which is expected to rise to NGN400,000/mt and projected to stabilize at NGN480,000 to NGN500,000/mt by Q3 2023.

The report highlights food insecurity and food inflation as a major challenge for Nigeria, with a 5.7 million metric ton shortage across human consumption and agro processing, and a historic high food inflation rate of 30.64%. Currently, Nigeria's Global Hunger Index score remains alarmingly high, ranking 109th out of 125 countries, indicating a severe food security crisis. The report notes that as food prices continue to surge, as witnessed in the 2023 season, food security challenges will continue to persist, further reducing the continent’s capacity to achieve Zero hunger by 2030.

Speaking at the launch event, President/CEO of AFEX Nigeria, Akinyinka Akintunde, stated, “This year, we nearly doubled our sample size from 20,677 to 39,091 to get an accurate reflection of the current state of Agriculture production, and we found that we must take extra care to prioritize improvement in agricultural productivity for these farmers, and this is hinged on investing in the sector, and solving for infrastructure, logistics, and technology gaps. This transformation will substantially enhance food self-sufficiency and increase our ability to meet the nutritional and food security needs of a growing population while also bolstering the economy through foreign exchange earnings.”

A recurring limitation for agriculture on the continent is a shortage of reliable data, which affects the availability of transparent pricing and limits, on one hand, participation from the side of capital market operators and largely financial market players and on the other hand, farmers' ability to negotiate equitable contracts for themselves. This report attempts to build that gap by building a reliable data bank to promote market education and facilitate accurate trading decisions. 

The report is now available for download on [afex.africa](https://afex.africa/reports/special/afex-wet-season-crop-production-report-2023).



AFEX Releases 2023 Crop Production Report, Forecasts Higher Prices for Commodities in the 2023/2024 Season


In 2021, we [launched a first-of-its-kind](https://ventureburn.com/2022/02/afex-nigeria-agriculture/) product for the Nigerian market. It was a moment when we truly started to embody our winning model as a commodities exchange while still holding true to our core fundamentals of impact and inclusion. Our Asset-Backed Commercial Paper (ABCP) was the first commodity-backed commercial paper launched on a commodities exchange in Nigeria. It was unique both on a structure and on an access level. 

Put concisely, we structured a financial product that utilizes commodities as collateral to underlie a debt instrument, through AFEX-issued warehouse receipts. More importantly, the financing vehicle could then provide low-cost financing to agriculture commodity processors (agro-processors) who are unable to raise funding directly from conventional commercial paper markets; providing an incredibly important lifeline of funding to our food systems in the country.

**The Importance of the AFEX ABCP**

Food is important to us at AFEX. Specifically, food security and the steady, consistent work required to achieve it on the continent is a puzzle that we are committed to solving. Several key puzzle pieces can be found in the poultry, animal feed, and food and beverage segments of the food value chain in Nigeria. The ABCP was created for these players, and the ripple effects of their ability to access working capital financing are felt far and wide. 

With the ABCP, pre-qualified agro-processors get working capital support that allows them to purchase their commodity requirements at an agreed price. For an agro-processor, this could mean the superpower of managing price volatility in their business, but for you and I who are final consumers, it can translate to more price stability on the goods we love, so that costs are not here today and up tomorrow.

The product also delivers social impact by indirectly creating a market for farmers to sell to, while also dropping post-harvest loss numbers as commodities are safely stored in AFEX warehouses with top-of-the-line collateral management services.

![image.jpeg](/uploads/image_dc549a81cd.jpeg)

**Developing the market system**

A product like the ABCP is vitally important for Nigeria’s food security future, but it was years in the making. As Nigeria’s first private sector licensed commodities exchange, AFEX spent the better part of our first five years developing and deploying the infrastructure to connect the financial market to the commodities market. This infrastructure is two-pronged. 

First, there was the physical infrastructure set up in the form of warehouses operating close to farmers, ensuring that we were able to build up over time a mechanism to guarantee the quantity and quality of commodities and a significant supply chain capacity. Then came the technology infrastructure layered on this initial infrastructure to strengthen transparency and transaction efficiency. Two of our key technology platforms are relevant here: our value chain management platform and our trading platform.

![1697011438276.jpg](/uploads/1697011438276_9a50e404d2.jpg)


**The ABCP comes to life**

We announced a three-year ABCP program, 7 years after entering the market in Nigeria. The program takes advantage of our warehouse receipt system and collateral management infrastructure; enabling a smooth transition from commodities to financial assets and back again.

AFEX lists the ABCP on its Exchange, then engages capital market operators for subscriptions for a period of time called the “listing period”. Funds raised are accessed by pre-qualified agro-processors as working capital support to enable them to purchase commodities required for their production processes at an agreed price. All of these activities involve arrangers, custodians, and other parties.

Basically, following the fundraise for the program series, borrowers are able to access funds to buy grains, after which they obtain warehouse receipts. The warehouse receipts are transferred from commodities to financial asset, which is then listed under the borrowers’ portfolio on our trading platform. The commodities are also linked through the warehouse receipt system to financiers allowing them to value and mark the price of the commodities to market on a real-time basis.

AFEX’s ABCP has completed two successful series, driving needed financing to manage the high cost of procurement incurred by domestic agro-processors, while providing a hedge against supply shortfalls and price volatility. Now in the final year of the program, it continues to solve an important challenge with an innovative structure. At the onset, the goal of the product was to bridge the funding gap between lenders and borrowers in the Nigerian agriculture sector. The ABCP has done this with the required regulatory oversight, an investment grade rating for its successive issuances, and an eye on the prize of the overall benefit of food security in Nigeria.





Product Innovation at AFEX: Developing the ABCP and a Core Market System to Finance the Commodities Market in Africa

Africa’s leading commodities player, AFEX, announced significant milestones for the commodities market in Nigeria today as the Marble Capital Halal Commodities Fund was listed on AFEX Commodities Exchange and an MoU was signed with the Pension Fund Operators Association of Nigeria (PenOp).

The Marble Halal Commodities Fund, which was initially launched on the 10th of May 2023, is the first Commodities Fund approved by the Securities and Exchange Commission (SEC). The ₦3billion open-ended mutual fund serves to provide investors with income diversification and fair market returns through investment in halal compliant instruments, while also contributing to the economic growth of the country as it contributes to the realization of the 2015–2025 Nigerian Capital Market Master Plan of the Securities and Exchange Commission.

![Pen Op 2.jpg](/uploads/Pen_Op_2_de8a0d11dc.jpg)

The MD Marble Capital, Akeem Oyewale, expressed enthusiasm for the Halal Fund listing. “This collaboration between Marble Capital Limited and AFEX signifies a potent force in the commodities space, showcasing the significant growth of the commodities market in the country. This move stretches the investment market, providing investors with more diverse and ethical options while promoting economic growth and food security in Nigeria.”

At the Bell ringing ceremony for the listing, President/CEO AFEX Nigeria, Akinyinka Akintunde, spoke on the prospects of the listing for the commodities market in Nigeria “We have built a viable exchange model over the past decade, and are now ready to offer up our market infrastructure to other players looking to take advantage of opportunities in the commodities market. Marble Capital has been a forward-thinking capital market operator, and the Marble Halal Commodities Fund is an ethical investment instrument that we are excited to admit on the Exchange.”  

The challenges in Nigeria’s commodity markets are exacerbated by a shortage of financial market players which limits capital availability, liquidity, and price discovery, making the ecosystem prone to price volatility and inefficiencies. Addressing these challenges requires the mobilization capital and participation from financial market players, which ultimately enhances the resilience of Nigeria's commodity market. The signing of the MoU with PenOp, expands the players in the commodity market and sets the foundation for the potential entry of the Pension industry into the commodities ecosystem.

![MOU Pen op.jpg](/uploads/MOU_Pen_op_d896d067be.jpg)


Speaking on the MoU signing, Chief Executive Officer, PenOp, Oguche Agudah mentioned, “We are delighted on the signing of this agreement, as it is an important step towards consolidating AFEX and PenOp‘s efforts towards increasing the participation of PFAs in the commodities ecosystem. This partnership marks a crucial milestone in expanding the investment horizon of the pension industry.”

The partnerships between Marble Capital and PenOp will stimulate liquidity and participation in Nigeria’s commodities market, creating an ecosystem where smallholder farmers, traders, and institutional investors can thrive.

Nigerian Commodities Market Registers Significant Progress as AFEX Formalizes Partnership with PenOp and Lists Halal Commodities Fund.

- Partnership will enhance agricultural productivity and improve food security.

- Multiplies storage capacity, develops processing capacity and creates jobs.

- 20 new AFEX warehouses will improve access to markets, facilitate trade and contribute to a potential increase of over 200 per cent in farmer income.


British International Investment (BII), the UK’s development finance institution (DFI) and impact investor, today announced a US$26.5 million commitment to AFEX, Africa’s leading commodities platform, which currently operates over 200 warehouses in Nigeria, Kenya, and Uganda and serves over 450,000 farmers. The investment will support structural improvements in Africa’s agricultural industry, which will significantly benefit smallholder farmers and lead to improvements in food security. 


The signing of BII and AFEX’s new partnership took place today. It was attended by British Deputy High Commissioner in Lagos Jonny Baxter, BII Chief Executive Officer Nick O’Donohoe, and AFEX Group CEO Ayodeji Balogun.

![_1-3.jpg](/uploads/1_3_3612522706.jpg)


BII’s investment will be used to build 20 modern warehouses in strategic locations in Nigeria, Kenya, and Uganda. Its capital will also scale warehouse technology and next-generation software that captures post-harvest pricing. Smart storage solutions have the potential to preserve the lifespan of harvested crops, and so increasing the volume of food available.

The additional warehouses will provide 230,000 MT of storage capacity, enabling up to 200,000 more farmers to access low-cost storage and maximise sales from crop harvests, potentially helping increase farmer incomes by more than 200 per cent. Supporting smallholder farmers to achieve a fair wage is vital to ensure they remain in operation, producing more and higher quality crops for local consumption. 

Agriculture in Nigeria, Kenya, and Uganda accounts for a quarter of GDP and employs 70 per cent of their populations – 80 percent of whom are smallholder and subsistence farmers. Currently, farmers face a difficult financial outlook due to macroeconomic uncertainty, limited market access, and poor reliability of sales from crop harvests. Yields have fallen, and farmers’ incomes are increasingly affected by price hikes of agricultural inputs and extreme weather events. 
 
BII’s capital will also be used to develop a soybean processing plant in Ibadan, the third-largest city by population in Nigeria, and a drying facility in Uganda. The construction of the storage facilities and soy processing facilities will generate over 700 temporary jobs and more than 80 permanent roles. 


Commenting on the transaction, **BII Chief Executive Officer, Nick O’Donohoe** said, “_The World Bank estimates that Africa’s food import bill has reached c.US$30 billion in recent decades . This is why we need to back technology-driven companies like AFEX because they help reduce that import cost by supporting smallholder farmers to increase local food production, while also boosting their incomes._” 

Speaking about the raise, **AFEX Group CEO, Ayodeji Balogun** said, “_This investment from British International Investment is a landmark moment in our mission to revolutionise agriculture and elevate food security across Africa. By directing fresh capital towards the development of technologically advanced warehouses and critical facilities, we are significantly enhancing market access and income potential for smallholder farmers. In alignment with UN SDGs, our mission is to enable Africa to feed itself efficiently and sustainably. Today's investment doesn't just propel AFEX's growth, it forges a more secure and prosperous future for an entire continent_.” 

**British Deputy High Commissioner in Lagos, Jonny Baxter** said: "_I am proud of British International Investment's support which will enhance agricultural productivity and bolster food security in Nigeria. The agricultural sector stands as a vital pillar of Nigeria's economy, playing a significant role in job creation and investment potential.  The UK provided early-stage funding to AFEX, and I am delighted to see the company grow with such success. We look forward to continuing to support Nigeria’s agriculture sector and the opportunities this provides for its economic growth_.”

This investment will contribute to the United Nations' sustainable development goal on Zero Hunger (SDG2), Decent Work and Economic Growth (SDG8), and Responsible Consumption and Production (SDG12). 


British International Investment Commits $26.5m to AFEX to Address Food Security in Nigeria, Kenya and Uganda

Nigeria’s leading commodities player AFEX, announces the listing of its 100 billion Naira 3-year Asset-Backed Commercial Paper (ABCP) Programme on its Exchange, to provide affordable financing solutions to agro-processors, bridging the current financing gap. The paper listing, which was celebrated at a bell-ringing ceremony in Lagos, had in attendance representatives from AVA Capital, FSDH Holdings and Marble Capital.

The ABCP, which serves as a debt financing instrument, allows the issuer to provide short-term working capital for agri-service companies. This vital infusion of funds empowers companies to meet their immediate business needs, ensuring they can effectively manage short-term obligations, thereby enhancing productivity and overall output.

The AFEX Investment Limited SPV ABCP, valued at $130 million (₦100 billion), was the first commodity-backed ABCP announced in Nigeria and was initially launched in 2021 as a three-year commercial paper programme, with the previous 2 series successfully raising ₦51 billion. The listing of the ABCP presents an opportunity to diversify the investor pool to retail and institutional investors, facilitate efficient price methodology and transparency for accurate portfolio valuation and most importantly, contribute to securing funding to stabilize Nigeria’s agriculture sector and close the funding gap which sits at $183 billion today.

Speaking at the bell-ringing ceremony, the MD AFEX Investment Limited, Samirah Ade-Adebiyi spoke on the importance of the paper as instrumental to diversifying agriculture financing. “Through the ABCP we are prioritizing impact-focused investments, as this allows agri-businesses to unlock essential capital for their working capital needs, contributing to the growth of the sector. This is also a historic moment for us because the ABCP happens to be the first-ever commodities-backed ABCP listed on a commodities exchange in Nigeria” she expressed.

Under this listing, AFEX Investment Limited SPV serves as the issuers of the paper, with FSDH, Marble Capital and AVA Capital Partners appointed as joint dealers and arrangers of the Notes. 

Present at the bell-ringing ceremony was the MD of AVA Capital, Mubarak Abdulhameed, who expressed enthusiasm for the prospects of the ABCP for the industry. He said, “For potential investors and the public, the ABCP Programme offers a fresh and alternative avenue for investment. It allows diversification of portfolios from traditional stocks and fixed income to commodity-backed investments, providing benefits such as risk management and superior financial returns.” 

The asset-backed nature of the ABCP qualifies it as a senior secured debt instrument, bolstering investor confidence. Competitive pricing under the ABCP Programme translates into cost savings of up to 5% compared to traditional capital access methods. Additionally, issuers enjoy an additional cushion of approximately 25-30% from price volatility inherent in commodity prices each season.



AFEX Lists Record 100 Billion Naira 3-Year ABCP Programme on the Exchange

If you had cereal this morning, you should thank a farmer. There's a significant possibility that the maize and soybeans you enjoyed in your meal were grown by smallholder farmers. Did you know they make up 80% of food production in Africa? on the back of this is the immense value a functional market network and rural development has to offer us in food systems in Africa. 

In recent times, challenges posed by the COVID pandemic, the disruptions in the Black Sea region, and the fluctuations in shipping costs due to trade imbalances, the vulnerabilities inherent in overreliance on international trade, have been brought to the forefront.

In 2017, Africa expended $64.5 billion on [food imports alone](https://fairtrade.substack.com/p/is-importing-pizza-yesterdays-news?r=rcszn&utm_campaign=post&utm_medium=email). Environmental factors such as droughts, flooding, and high population growth majorly influenced the increased rate of importation. Amidst this are the skyrocketing prices of essential food items, exacerbated by factors like supply chain disruptions 
and inflation, which have made it increasingly difficult for vulnerable populations to access nutritious meals. Africa's participation in the global food market opens up opportunities for economic growth. Still, it also makes the continent susceptible to external challenges like trade disruptions and pandemics, as demonstrated by the impact of COVID-19 disruptions in the Black Sea region and the fluctuations in shipping costs due to trade imbalances. 

The fragility of our food system is deeply intertwined with the lack of a robust market structure and inadequate rural development. Given the imbalance between supply and demand, Africa's food system faces a looming crisis. Fluctuating food prices in Africa have been linked to unstable market structures, causing hardship for both farmers and consumers.

![IMG_4345.jpg](/uploads/IMG_4345_e562addb50.jpg)


**Why Market Structures Matter.**

Market structures ensure that food reaches consumers promptly and at reasonable prices. Inefficient structures can lead to food waste and increased prices, burdening vulnerable populations. With a list of benefits like access to market, market stability, and efficiency in the distribution of food, correcting the imbalance between supply and demand of food in our societies. 

Stable market structures contribute to price stability, ensuring that both producers and consumers have a predictable environment in which to operate, helping dismantle the frequent fluctuations of food prices in Africa, which have been linked to unstable market structures, causing hardship for both producers and consumers.

To achieve an efficient market structure in Africa, we would need to revamp our fragmented supply value chain and reduce costs for producers in our food system, resulting in a resilient market that can absorb shocks and ensure that food is available even in challenging times. To quote a 20x speech by Rhoda Peace Tumusiime, Global Panel Member and former Commissioner for Rural Economy and Agriculture, African Union Commission. “Food systems in fragile contexts need to become much more resilient to shocks. Therefore, infrastructure development – roads, energy, markets, water – must be a high priority, especially for those whose livelihoods are dependent on agriculture.” 

Today, [3.83 billion livelihoods](https://www.fao.org/newsroom/detail/almost-half-the-world-s-population-lives-in-households-linked-to-agrifood-systems/) are dependent on agriculture. We need to deploy worthy interventions in logistics and marketing and the means to get integrated value chains functioning more effectively in Africa. According to the World Bank, [Africa’s farmers and agribusinesses could create a trillion-dollar food market by 2030](https://www.worldbank.org/en/news/press-release/2013/03/04/africas-food-markets-could-create-one-trillion-dollar-opportunity-2030) if they can expand their access to more capital, electricity, better technology, and irrigated land to grow high-value nutritious foods and if indigenous governments can work more closely with agribusinesses to feed the region’s fast-growing urban population and curb the excessive dependence on imports.

When a transparent and fair market system determines the value of a commodity – which is the role of any commodities exchange –[ it promotes investment, aids transparency around prices and helps produce an equitable distribution of value across the system](https://nextbillion.net/warehouse-solution-smart-storage-africa-food-security/). 

![web infographh.jpg](/uploads/web_infographh_f6c7bf39e0.jpg)


**Role of Rural Development in our Food system.**

The weak market structure exacerbates rural poverty as farmers struggle to access profitable markets. This, in turn, discourages investments in rural development, creating a vicious cycle of food insecurity. The vitality of Africa's food system is intrinsically linked to rural development, and the lack of rural development in Africa has significantly contributed to a weak food system in several ways, prevailing by poor Infrastructure, limited access to resources, rural poverty, food insecurity, lack of diversification, and policy and governance issues. 

Improving the productivity of smallholder farms in Sub-Saharan Africa offers the best and shortest path to meet rising food needs. rural development entails enhancing the overall well-being of rural areas, encompassing agricultural and non-agricultural facets. This enhancement encompasses investing in healthcare, education, and rural infrastructure, fostering effective markets and value chains. Improved rural infrastructure, including roads and storage facilities, reduces post-harvest losses and enhances the efficiency of food distribution, thereby providing healthy, decent, and profitable livelihoods for the dwellers. 

We need strong markets, rural development, and investment in infrastructure and education to build a resilient and equitable food system. This will empower farmers and improve food distribution, fostering a prosperous future. Let's work as both private and public sectors together to transform challenges into opportunities and ensure food security and economic growth for Africa. 

_Written by Kamaldeen Raji, Managing Director, AFEX Fair Trade Nigeria_.

Can stronger rural economies help end hunger?

At the beginning of the year, ‘CodeCashCrop is coming’ became a recurring phrase within our (Brand and Corporate Communications) conversations. It predominantly gave me mixed feelings; excitement at what could go right, trepidation at what could go wrong, and giddiness at the sheer notion of upscaling from the previous edition. 

Everyone had a general idea of how we wanted the next edition of CodeCashCrop to evolve, the trajectory we envisioned, and the Pan-Africanism it was supposed to embrace. Personally, I had a level of visual identity in mind that I wanted CCC4.0 to embody. As the Art Director the task of achieving this lay on my shoulders. After months of planning and laying down the wireframe for the kind of event and experience we wanted to create, at the cusp of pre-publicity, it was time to define what the CodeCashCrop 4.0 brand was going to look like.

![129A8130.jpg](/uploads/129_A8130_28cf3903a3.jpg)

![129A8134.jpg](/uploads/129_A8134_2115d3fe8b.jpg)

To create the visual brand for CCC 4.0, I conducted a one-day design sprint with the team. Following a [design thinking process](https://www.interaction-design.org/literature/topics/design-thinking#:~:text=Design%20thinking%20is%20a%20methodology,ways%2C%20create%20numerous%20ideas%20in), we started by empathizing and then defining our expected target audience. We narrowed the target audience down to two age-based categories. Subsequently, we identified key attributes associated with both groups. Each attribute was represented by either a word or a phrase of not more than three words. We then began identifying and merging attributes that cut across both age groups and were desirable for our brand association. 

One intriguing attribute merger for me was the fusion of two seemingly distinct qualities: 'Deep on vibes,' associated with one demographic group, and 'Deep on facts,' representing another. 'Deep on vibes' encapsulated cultural richness and a thirst for entertainment, while 'Deep on facts' signified a commitment to knowledge, research, and data-driven insights. The fusion of these two resulted in the singular attribute 'Deep.' In the end, we selected five defining attributes for the brand voice: Techy, Wealthy, Future-focused, Vibrant yet Minimal, and Deep.

![129A8148 (1).jpg](/uploads/129_A8148_1_3fea9e8aa3.jpg)

The next step, which I as a designer eagerly anticipated, was defining the visual identity. For those unfamiliar with the term, this involves choosing a set of design and visual elements that collectively represent and distinguish the brand. Following the guidance of our already-established tone, we began ideating. Naturally, the board filled up pretty fast with numerous element suggestions, ranging from images to even accessories. An interesting suggestion was '[Adinkra](https://en.wikipedia.org/wiki/Adinkra_symbols),' an authentic African design that blends tradition with history and a little spice of spiritism. Although we ultimately didn't adopt it, it served as the foundation for our themed pattern of connecting lines. Additionally, we selected a color palette that reflected Africanism while resonating with our target audience. The design sprint, in general, was an engaging and colorful experience. Straw hats even found their way onto the visual elements board, perhaps because we wanted the designs in one piece 😉.

![_xx6eukw.jpeg](/uploads/xx6eukw_f5901aebdd.jpeg)

The design sprint was concluded with the documentation of our visual brand identity. With the principles laid out, I proceeded to start creating the logo and distinct background patterns. Every designer understands the challenges that come with projects like this, but after countless iterations, we had a logo and a set of patterns ready. Creative design is mentally intensive; creative design with strict design guidelines is even more demanding. However, the collective output of having a visual guide is always worth the effort.

One of the most rewarding moments for a designer is seeing their creations displayed. The highlight for me was reveling in the creative beauty of the event. The euphoria stemmed from remembering all the atoms that merged to form molecules that birthed organisms and created a beautiful visual experience. At the start, I had mixed feelings, but by the end, only elation and satisfaction prevailed.


CCC 4.0 Blog: The story behind designing Code Cash Crop's visual blueprint

There’s a great chance that someone out there is currently building a solution that is mostly related to the use of technology. Innovation is a key driver of many sectors and the reason why billions of dollars are spent every year on Research and Development to create products and services that transform our lives and businesses. However, what happens when these innovations fall short and maybe fail?

Innovation happens when Invention meets adoption, which implies that a “novel” idea has to be invented, and customers need to adopt it before it can be regarded as a “successful” innovation. For an invention to be praiseworthy, it would come from an idea that is usable, adopting a feasible solution, and its economics must be viable, meaning the benefit must exceed its cost.

![Picture1.jpg](/uploads/Picture1_b5f3903a5a.jpg)

The market fit of the innovation depends on its adoption. Who are the customers, and how do they respond to the product? If you innovate, but your product does not attract your customers, or the benefit they get from the product is less than the cost they pay for it, then the innovation may not survive.

Today, with the wave of technology and everyone looking to key into this rapid buzz with various inventions catering to different sectorial issues, every leader understands that you either innovate or fade out to irrelevance. According to this [report](https://seedgroup.com/2022/10/embracing-innovation-top-companies-that-have-used-digital-transformation-technologies-to-transform-their-businesses/) by Seedgroup, companies like Netflix, Paypal, IkEA, Starbucks, etc., have transitioned from the analog to the digital world and have embraced technological innovations and their by-products in a praiseworthy manner because these models have survived. However, this does not negate that other promising innovations may have to fall apart.

The big game in innovation is that 2+2 may not equal 4 in the long run. There are, however, certain idiosyncrasies that come into play despite imperatives that make businesses fail. Let’s dive into understanding some of the reasons why innovation fails.

**It was never an innovation.**

Creating solutions for problems you know nothing about. Abstract solutions may be the order of the day, but it is also a fast route to failure. [The CEO of Documentum, Jeff Miller](https://theorg.com/org/servicenow/org-chart/jeffrey-a-miller), was quoted to have said: “I may be wrong, but I’m not confused.” Most innovators today are confused and wrong; “thoughts” and “guts feeling” are now being misrepresented as Innovation. For an innovator, the first thing to do is to look at whatever the thought is through the lenses of usable ideas, feasible solutions, and viable economics.

It’s a different story if your product is just one of many in the market. Invention alone is not enough. You need to get people and organizations to adopt your invention to make it an innovation. Steaming innovations are those that create products or services without knowing the needs of your target audience. They try to solve problems that no one has. To understand the market is to know what kind of key you need to open the lock.
A quick formula that has influenced my idea of what a successful innovation may come across is the Invention+ adoption = Innovation.

**A Misplaced Value Model.**

To succeed, you need to create and capture value. Value is created when you offer something cheaper than what customers pay. Usually, you capture only part of the possible value, and the challenge is to increase both. What you capture matters for your business. If you create much but capture little, you and your business will fail.

Creating an innovative culture is essential for businesses to compete and interest customers. It requires time and effort, but it works. Ideas need to change with the culture and the times. With the fast growth of digital innovations, companies, and start-ups have adopted innovation strategies, technologies, and processes. Create a vision and goals as a start for change.

**Market Size**

The total addressable market (TAM) is the maximum revenue you could make if everyone bought your product or service. The serviceable addressable market (SAM) is the revenue you could make from the customers you can realistically reach. 

The TAM and SAM help you to plan your business strategy by showing you: 

- Your target customers. 
- Your potential market size. 
- Your market share and profit potential. 
- Your market segments and how to reach them.



**Indigestion rather than starvation is stifling your product.**

Ideas are easy, implementation is hard, and innovations are the hardest. Start-ups fail more from doing too much than too little. They have many ideas, opinions, and thoughts that clutter their creation. Start-ups may fail from overambition rather than lack of resources. Emily Liggett said many start-ups die of indigestion rather than starvation. They have too many tempting opportunities and ideas that seem innovative. They try everything at once and keep failing. 

You need to know when to stick or switch. The problem may not be the innovation, but the market strategy. You may get frustrated when the adoption rate is low and try something else or chase another opportunity that looks promising. Doing many things at the same time is a sure way to kill your innovation.

**No focus on marketing. Where is your customer?** 

When did you get customer feedback in your innovation process? Users may not know what they want, but they know what they don’t want. Your idea may seem great to you, but not to the market. You need to plan and design with customers in mind. You should start by validating your idea with them, even before you write anything down. You should also build prototypes, cheap MVPs, and alternatives, and let the users test them.

There are many reasons why innovations fail. By understanding these pitfalls, businesses can increase their chances of success. Innovation is not just about creating new things. It is also about solving problems and meeting your customers' needs and creating a culture of innovation is essential for businesses that want to stay ahead of the competition.

_Written by Yusuf Oguntola, Chief Technology Officer, AFEX._ 









WhatsApp Image 2023-09-20 at 10.13.17 AM.jpeg

Why Innovations Fail: Cracking the Code on the Pitfalls of Innovation.

**The Genesis**

The 3rd of April remains etched in my mind stone; my first day on the job, and my first official strategy brainstorming with the team on the strategic direction for the 4th installment of Code Cash Crop. Three hours and a headache later, I came out with a renewed sense of purpose and direction for this year’s theme, ‘Scaling Market Led Solutions’. This theme was our attempt at expanding the conversation on pathways to transform the agriculture sector, by amplifying solutions and businesses driven by market demand. For us, the focus was on a thorough understanding of the ag market's needs and preferences, reflected through the Ag-hackathon and the panel session topics.

In our experience as an agribusiness platform, we understood deeply the pain points of our partners and clients, particularly the gaps in existing models, and our goal was to create models that could solve fundamental problems while being sustainable. 

Speaking on sustainability, there is the usual tendency to water down the scope of “sustainability”, particularly in today’s ecosystem, where it could mean several things, but for us, it was incredibly important to contextualize our scope of sustainability with terms such as profitability, scalability, and viability. Going by these pillars, we set out, alongside our partners, to highlight challenges for the Ag-hackathon component of the event, where we eventually settled on a Data, Logistics, and Extension challenge, and opened applications across Nigeria and Kenya.

![AUG_3207.jpg](/uploads/AUG_3207_ffc1a41278.jpg)

**The Panel Sessions**

At this point, we knew the kinds of conversations we wanted to have. The problem was apparent, the solution was a work in progress, but a question constantly echoing at the ideating stage was framing for a 3-hour session. We asked ourselves, “How do we take a problem that has existed for decades and address it in less than a day”?

Leveraging, once again, the highlighted pillars, we ended up with three topics: Fundamentals and Scale: Key Principles of Scaling Innovation, Sustainability, and Impact: Aligning Profit with People and Planet and Why Innovations Fail: Cracking the Code on the Pitfalls of Innovation.

The selection of these topics followed a top-down approach where we addressed businesses and models at multiple stages of growth; early stage businesses learning the fundamentals of building successful models, mid-stage platforms understanding the elements required to scale their models while preserving the core of their business and growth stage platforms learning the importance of balancing sustainable practices with profits and people, and finally, all stakeholders could understand the principles innovation and failure in a businesses’ life cycle.


**Our Panelists**

Beyond the selection of topics, another important factor was the speakers who would eventually spearhead the conversations, and this selection was just as integral to the conversation. Certain factors that guided who we chose were experience, knowledge, and of course, gender, because as we had experienced during the boot camp, we needed to take gender representation more seriously. 

Our eventual lineup featured industry experts across finance, tech, and agriculture who effortlessly bounced off each other, offering perspectives integral to ag-innovation, market development, startup funding, and more.

As I conclude, here are two things I picked up coordinating with our panelists. 

To begin, a conversation I had with Ife Adebayo, Digital Innovation Specialist iDICE, and our keynote speaker, comes to mind. On the ride from the airport where I picked him up, we spoke a bit about the country and the prospects for agriculture in Nigeria. He mentioned something extremely poignant that I still think about today on how much agriculture could generate if we abandoned the myth of ‘blue-collar success’, otherwise, why else would someone leave a hectare of family land behind in Akure in search of meager paying jobs in Lagos? 

Similarly, I had the opportunity to chat a bit with Professor Yinka David-West, Associate Dean, Lagos Business School, after her invigorating session, where she hammered in on the place of sustainability in growing agriculture investments. She tapped me and said, “Listen, we cannot keep having roundabout discussions about innovation and not crystallize the intersection of sustainability”. It was particularly interesting because soon after, the hackathon finalists began to codify sustainability points into their pitches on the spot.  

It’s been a month since Code Cash Crop, and with the dust settled, ideation for next year has begun, and we look forward to scaling the conversations for 5.0.

_Written by Anwulika Onwudinjo, Analyst, Public Relations._







CCC 4.0 Blog: How we turned ideas into impactful discussions for Code Cash Crop

It's 7:00 am in the morning, as at the time of this writing and I haven’t closed my eyes for a minute since the last two days. I hope my words make sense, but the excitement of planning a big agritech event and having your representatives from Kenya win is hard to contain. It was such a rewarding and enriching experience that I want to share some of the key lessons I learned with you. But first, let me tell you how it all began.

 **Agritech in Kenya**

For decades, Kenya has been touted as the ‘land for tech’ because of its remarkable reputation for embracing technology and innovation in Africa. The country attracts a lot of tech investments from both local and international sources and the people are curious and eager to explore the potential of tech solutions for various challenges and opportunities. This is why Kenya is considered one of the leading tech hubs in the continent.

Hence, the Code Cash Crop 4.0 Ag-Hackathon was a unique opportunity for young innovators in the country to showcase their solutions for the agricultural sector. 

It all began when my colleague, Adanna, gave me a call one day and said, “Start preparing, we plan to have Code Cash Crop 4.0 in Kenya.” I have never done this before but it’s amazing to see the work we put in, cramming in weeks of learning, and collaborating with incredibly talented Xperts in Nigeria to bring the vision to life. For the first time, Kenya joined Nigeria in this exciting challenge, bringing more diversity and creativity to the table. Out of the 22 submissions from Kenya, four finalists were selected to present their ideas to a panel of experts on 7th and 8th July at Moringa School, a leading coding academy in Nairobi.


The event was not without its difficulties, as political protests disrupted the city on the first day of the hackathon. However, this did not deter the enthusiasm and passion of the participants and guests, who came to learn more about AFEX, a leading commodity exchange platform in Nigeria, and the problems they were trying to solve. The four finalists pitched impressive solutions that addressed various issues such as post-harvest losses, market access, quality control, and traceability. The judges were impressed by the quality and feasibility of the proposals, and after a tough deliberation, they announced the winners: Eliud Rugut, Silo Africa, and Michael Munavu, MCHE.

**The road to CCC 4.0 grand finale**

The road to Code Cash Crop 4.0 was more like a game, a sport that infused excitement and enthusiasm in the participants, including Michael and Eliud. Their victory at the boot camp meant that I got to travel with them to Nigeria for the first time ever. At the same time, it meant we had to step out of our routine tasks and use our inherent skills to develop new ideas. 

Eliud’s solution, Silo Africa is a platform that connects smallholder farmers with storage facilities and buyers, reducing post-harvest losses and increasing income. While Michael’s solution, MCHE is a mobile app that uses artificial intelligence to detect crop diseases and pests and provide recommendations for treatment and prevention. 

We began the process of ensuring that Eliud and Michael were prepared to present at the CCC finale. Being my first CCC, I felt both the participants and I were experiencing the same jitters and excitement ahead of the finale. I became the liaison between my colleagues in Nigeria and the finalists making sure they got the AFEX experience of traveling while at the same time getting ready to pitch to an audience in a foreign country. 

The finale was a thrilling experience for the Kenyan team who got to network with other innovators, mentors, and investors from the Nigerian ecosystem. They also got to pitch their solutions to a larger audience and receive feedback from renowned experts in the field. The competition was fierce, but the Kenyan team did not disappoint. They emerged as the second and first runner-up respectively, taking home two out of the three cash prizes. This was a remarkable achievement for Kenya, as it was their first time participating in the Code Cash Crop.

The Kenyan team was ecstatic about their performance and expressed their gratitude to AFEX and Moringa School for organizing the hackathon and supporting their journey. 

 **Learnings from the Ag-Hackathon**

At an individual level, I felt that the hackathon offered tons of learning and every participant came out acquiring a new ability. It might have been a new skill or a fresh idea or approach to implementing a concept. At the end of the event, each techie had something to add to their existing skill sets.

It also provided valuable lessons for the team, as we plan to improve our outreach and engagement strategies for next year. We aim to involve more universities and colleges in Kenya, as well as encourage more female-led solutions. The only female finalist in this year’s hackathon was Mary Wanjiku, who pitched Farm Trace, a blockchain-based platform that enables traceability and transparency in the food supply chain.

The CCC 4.0 Ag-Hackathon was a successful event that showcased the talent and innovation of young Africans in the agricultural sector. It also fostered collaboration and learning among different stakeholders in the ecosystem. We hope that this event will inspire more people to join us next year for CCC 5.0, where more Kenyan participants aim to take all top three spots and cash prizes (humble brag).

Written by: _Natasha Njoroge, Analyst Corporate Services_




CCC 4.0 Blog: What I learned from my first experience of organizing a Pan-African ag-hackathon

AFEX, Nigeria’s leading commodities player, announced the signing of a Memorandum of Understanding with Ghana Commodities Exchange (GCX), to strengthen the commodity trading ecosystem across Nigeria and Ghana. The MoU signing, which took place at AFEX’s office in Abuja on the 24th of August, had the Chief Executive Officer, GCX, Mrs. Tucci Ivowi, and the President/CEO, AFEX Nigeria, Akinyinka Akintunde, in attendance alongside other representatives.

The MoU signing underscores AFEX and the GCX’s commitment to leverage collaboration to effectively transform the agricultural sector and is aimed at fostering cooperation to enhance market integration and promote best practices. Under this partnership, AFEX and GCX will collaborate on areas related to commodities trading, warehousing, quality standards, and market infrastructure development. In addition, both organizations will collaborate on capacity-building initiatives, with both exchanges deploying their resources to facilitate cross-border trading of warehouse receipts and increase market liquidity of commodities.


Speaking at the signing, the CEO Ghana Commodities Exchange, Mrs. Tucci Ivowi, said “Since 2017, the GCX has been committed to improving the livelihood of smallholder farmers, and this partnership with AFEX is an extension of our commitment to drive transformative change in the agriculture sector. This is a significant step towards realizing our shared vision of seamless market integration in Africa’s commodity trading space, and together, we will not only enhance commodities trading and market infrastructure but also empower farmers and traders through capacity building.”


For Ghana Commodity Exchange, a core goal is to link Ghanaian smallholder farmers to markets and opportunities that help secure their incomes, while delivering economic prosperity and establishing Ghana as a regional and global trading hub for all commodities.

Expressing optimism about the partnership, the President/CEO, AFEX Nigeria, Akinyinka Akintunde, emphasized “We at AFEX are elated to announce this momentous MoU signing, which reflects our resolute commitment to revolutionize the agricultural landscape. Through this strategic partnership, we will set new benchmarks in quality standards, and fortify market infrastructure. Our joint efforts will not only amplify market liquidity but also empower stakeholders and unlock value for Nigeria and Ghana’s value chain.” 

Since expanding into Kenya and Uganda in 2021 and 2022, AFEX has been bullish in the pursuit of their strategic Pan African expansion goal to penetrate 8 African countries before 2023, promoting the efficient trade of commodities in Africa while supporting the AFCFTA’s objectives to boost regional trade integration on the continent. This signing is a major step towards establishing consistent standards between the two countries and sets the foundation for a replicable model across Africa. 


AFEX Signs MoU with Ghana Commodities Exchange to Foster Cross Border Collaboration on Commodities Trading 

Code Cash Crop 4.0 was an agritech event like no other, which brought together a constellation of young innovators, entrepreneurs, investors, policymakers, and industry experts across Africa to ignite pressing conversations on innovation and turn ideas that can scale market-led solutions into reality.

This year’s iteration, themed ‘Scaling market-led solutions, geared at guiding various stakeholders to take a market-led approach that addresses the needs of producers and the market. This involves innovating in finance, storage, and the market to enhance efficiency and competitiveness.

But it wasn't a one-day affair. The event, which lasted for three months, began with a call for innovative solutions to address three key challenges in agriculture: Data, logistics, and extension. Twenty-five participants from Ibadan, Kaduna, and Nairobi presented their ideas at boot camps held in these locations. The event culminated in a grand finale that featured exciting pitch competitions, insightful panel discussions, networking opportunities, and a celebration of the winners. 

Here's a recap of everything that happened at Code Cash Crop 4.0:

![DSC_7034.jpg](/uploads/DSC_7034_2ef7323c6a.jpg)


**Bootcamps: A two-day tech-fest for young agri-preneurs**

The Code Cash Crop 4.0 bootcamp was a two-day intensive program in July and included workshops, mentorship, and pitching of proposals. It took place simultaneously across Nairobi, Ibadan, and Kaduna and brought together a young pool of talents, entrepreneurs, tech enthusiasts, and innovators from all over Africa. Participants learned from leading experts in the Agri-Fin-Tech space, collaborated with other talented innovators, and developed their ideas into viable solutions. On the second day, 6 finalists emerged and proceeded to the grand finale.  

![129A9090.jpg](/uploads/129_A9090_4a37d5966b.jpg)


**Notes from FireSide Chat and Panel Sessions**

Kicking off the grand finale event was the keynote speech by Ife Adebayo, a Digital Innovation Specialist at iDICE, who urged the adoption of youth-led innovations. He said that young people have the potential to create exponential change with their creativity, passion, and fresh perspectives. He added that innovation isn’t for experts alone but for anyone with a spark of inspiration.

Highlights from the panel sessions and speeches were the emphases for originality, innovation, technology, excellence, and collaboration in the coming years, which are significant keys to success. “In building products, be more passionate about the problem than the solution, it is in seeking answers to known issues that innovation is borne. It is also important to note that it isn’t innovation if it doesn’t communicate value.” Sikemi highlighted. 

Other notable experts present were Adedeji Olowe, Founder Lendsqr; Babatunde Obadero, Co-founder/CEO Zitra Investments; Yusuf Oguntola, Chief Technology Officer, AFEX; Jude Dike CEO and Co-founder, GetEquity, Yinka David West, Associate Dean, Lagos Business School; Olusola Adeyemo, Deputy Director, One Acre Fund, etc.

**Finalists journey to $10,000**

Six finalists from Kaduna, Ibadan, and Nairobi pitched their innovative solutions at the event. They wereKULIMA- Abdulbasit Olalekan; FARM CENTRAL INTELLIGENCE (FARMCI)- Temitope Yakubu; AGRICBOOX - Kenneth Ode, MCHE - Michael Munavu; FARM RIDERS Marvellous Solomon and SILO AFRICA- Eliud Rugut . 
The winner Temitope, FARMCI,  pitched a platform that provides farmers with a comprehensive database of agricultural information through a mobile app, WhatsApp chatbot, or USSD platform. Followed closely were MCHE - Michael Munavu and SILO AFRICA- Eliud Rugut clenching the first runner-up and second runner prizes of $5000 and $3000, respectively.

![Ccc cocktail .jpg](/uploads/Ccc_cocktail_f90311b6e6.jpg)

**Sip and Dance- Cocktail session**

As the evening unfolded, guests were treated to a multisensory experience with personalized cocktails, each expertly crafted to complement the eclectic mix of beats and rhythms, delicious meals, a networking immersion, and a chance to wear their dancing shoes.

![Akinyinka CCC.jpg](/uploads/Akinyinka_CCC_4382120499.jpg)

**Closing Remark by President, AFEX Nigeria**

Akinyinka Akintunde, President, AFEX Nigeria, concluded the event by reiterating that Code Cash Crop was a platform for young talents to create tailor-made solutions for the agricultural market. He said that AFEX would continue to support and mentor young innovators in Agriculture and help them transform Africa’s food systems with technology. 

"This year, we have had the pleasure of reviewing thoughtful applications and engaging with extraordinarily bright minds. We are therefore proud to present our incredible mix of Nigerian and Kenyan winners as judged by our stellar panel.” 

Stay tuned to Code Cash Crop 5.0 as we push boundaries, creating experiences bridging the gap between innovation and the pursuit of resilient food systems. Together, we celebrate the extraordinary talents that shape our world, one harmonious solution at a time. 





4 cities, 6 finalists, 1 weekend! Here’s how it went down at Code Cash Crop 4.0.

AFEX, Africa’s leading commodities market player, hosted its fourth annual ag-hackathon, Code Cash Crop 4.0, aimed at harnessing the intersection of technology, finance, and agriculture to create a platform for young tech enthusiasts to create viable solutions. This year’s edition drew participation from Kenya, for the first time, following AFEX’s operational expansion into the East African country last year. The grand finale, which was held in Lagos, Nigeria, over the weekend, produced three winners.

After a 2-day intensive boot camp, six finalists hailing from Kenya and Nigeria pitched their solutions at the grand finale to judges comprising of Jude Dike, Co-Founder of GetEquity; Hakeem Onasanya, Head of Startups at The Lagos State Employment Trust Fund; Nixon Gecheo, Senior Program Officer of AGRA and Funto Olasemo, VP Financial Markets at AFEX. Entrepreneur, Mr Yakubu, emerged as the overall winner, receiving the $10,000 grand prize for his solution, Farm Central Intelligence, which seeks to develop an extensive database of agricultural information that can be accessed via a mobile app, WhatsApp chatbot, or a USSD platform. Designed to be user-friendly and accessible to farmers with low-end mobile phones, the platform seeks to use USSD to provide farmers with access to information about agricultural products and buyers, offering a variety of features, including multilingual support, personalised capacity building, real-time agronomy support, and collaboration with input sellers and students.


![WhatsApp Image 2023-08-17 at 14.51.24.jpg](/uploads/Whats_App_Image_2023_08_17_at_14_51_24_2471ee99e8.jpg)

In second and third place were Kenyan MCHE and Silo Africa, who received $5,000 and $3,000, respectively. 

Themed ‘Scaling Market-led Solutions,’ this year’s Ag-hackathon, which received over 100 applications over a 3-month period, pulled together the most daring and innovative solutions that addressed gaps across data, logistics, and extension services for Africa’s agriculture value chain. These were narrowed down to the 25 best, for which boot camps were held across three African cities to select the finalists, who later converged in Lagos for the final boot camp and live-pitch sessions with judges. The criteria for selecting winners throughout the challenge were four main parameters: viability, profitability, scalability and feasibility of each solution.

![OMOOOO.jpg](/uploads/OMOOOO_17431d63c8.jpg)

In his Keynote address, Ife Adebayo, Digital Innovation Specialist at iDICE, spoke on youth-led innovations as an important part of the conversation of Scaling Market-Led Solutions. He said, “The essence of youth-led innovation lies in its ability to disrupt complacency. It thrives on pushing boundaries, dismantling the walls of convention, and carving new pathways where none existed before. It reminds us that innovation is not solely for established experts; it is a playground where anyone with a spark of inspiration can make their mark. And through their unwavering spirit, youth-led innovation has the power to bridge gaps, connect communities, and uplift societies.”

In between pitches, the event featured panel sessions with industry professionals such as Associate Dean of Lagos Business School, Professor Yinka David-West, Co-Founder of GetEquity, Jude Dike and more, sharing insights on meaningful conversations cutting across Agriculture, Technology and Finance. 

President of AFEX Nigeria, Akinyinka Akintunde, speaking at this year’s finals, stated, “With Code Cash Crop, we remain dogged in our mission to provide a platform for young talents to create custom-fit models for the everyday and emerging Agricultural market realities. AFEX will continue to organise Code Cash Crop to empower more young people to think innovatively about Agriculture and deploy financial and mentorship resources to encourage them to transform Africa’s food systems through technological innovations. This year, we have had the pleasure of reviewing thoughtful applications and engaging with extraordinarily bright minds. We are therefore proud to present our incredible mix of Nigerian and Kenyan winners as judged by our stellar panel.” 


Star of the night, Mr Yakubu, commented, “Winning CCC 4.0 is a life-changing opportunity for me as an entrepreneur, and I would like to say ‘thank you’ to AFEX and its partners for the initiative. I am also grateful for the constructive feedback I received during the boot camp to improve my solution. I look forward to using this competition's prize money and networking opportunities to scale up my business and actualise my dreams.”


Code Cash Crop is an exciting industry event that harnesses innovation across the agriculture, finance and technology sectors to solve problems related to Africa’s food systems. Through the annual challenge, AFEX empowers young tech talents and entrepreneurs in Nigeria and Kenya with the necessary resources to build profitable Agric business models, thereby fulfilling its commitment to investing in the future of Africa. 

Farm Central Intelligence Emerges Winner at AFEX Code Cash Crop 4.0 Ag-hackathon.

On the 18th of April 2023, we opened submissions for the Ag-hackathon segment of Code Cash Crop 4.0. With the Pan-African twist to this year's edition, we looked forward to diverse, balanced, and robust solutions from young innovators across Nigeria and Kenya for the three defined challenges in Data, Logistics, and Extension. 

Our team of Xperts designed a targeted outreach to this effect, putting out calls for proposals across our social media platforms, but also getting some awesome media partners to amplify the call for us. We also integrated a hub and school tour, visiting tech hubs and universities in Lagos, Ibadan, Kaduna, Abuja, and Kenya. These significant efforts helped us to build a truly inspiring community for CCC 4.0 with a very clear message on the power of youth participation and engagement in spearheading innovation in our food systems.

An exciting mix of solutions started to come in from the moment that we launched the call for proposals. The steady stream of submissions and the excited response across our communication channels led to one deadline extension, leading us to finally wrap up the process by June 14th, 2023. Summarily, we had a close to three-month challenge asking for the most daring and innovative ideas that answered identified gaps in data, logistics, and extension for our food systems in Africa.

_The infographic below presents the data on submissions and our eventual shortlist._

![CCC 4.0 Ag-Hackathon Infograph.jpg](/uploads/CCC_4_0_Ag_Hackathon_Infograph_b77de2999e.jpg)

One of the key insights that leaped out in considering this data was the limited number of applications submitted by women or women-led groups. Of 146 submissions, only 7.53% of the solution proposals belonged to women, totaling just 11 solutions.

![IMG_6951.jpg](/uploads/IMG_6951_345a80db06.jpg)

**The AFEX Lens** 

One of the core Sustainable Development Goals that form a part of our Theory of Change at AFEX is SDG 5 - Gender Equality. Our commitment to “Achieving gender equality and empowering all women and girls” is incredibly important to us at AFEX leading to some necessary reflection on the process and outlook to incentivizing further female participation in future Code Cash Crop editions. 

Below I reflect on some of the core learnings that will form our basis for attacking this issue in CCC 5.0 and onwards.

**Outreach to communities that prioritize female participation:** We found very valuable this year, our partnerships with hub and university communities in driving qualitative applications that truly made our solution pool rich. Going forward, these partnerships will continue to be highly valuable, but we also look forward, in the next iteration, to partnering with communities with a heavy focus on female participation. 

**Target a subset of our messaging directly at women:** Our messaging and design system for Code Cash Crop 4.0 embraced a pan-African and youthful direction. As we look ahead to CCC 5.0 with an open mind, we already have made an early commitment to focusing some of our messaging directly on women to encourage them to participate.

**Launch a spotlight series for women in agriculture and technology**: Finally, we continue to believe in the power of role models and of people being inspired by seeing those who look like them thriving in different scenarios. Ahead of the next Code Cash Crop edition, we aim to spotlight many brilliant women working in AgriTech today and enabling our food systems to thrive, with the hope that they will encourage a lot more brilliant women to join the charge for food system transformation in Africa. 

![IMG_7069.jpg](/uploads/IMG_7069_e3a6c609ef.jpg)


CCC 4.0 Blog: Lessons on Increasing Female Participation in AgriTech in Africa

The fourth edition of the AFEX Code Cash Crop grand finale is set to hold on August 12th, 2023, at the Landmark event center in Victoria Island, Lagos. This Pan-African event which will mark the trailing edge of this year’s Code Cash Crop Iteration is designed to bring together innovators, market players, and ag-enthusiasts in the fields of technology, finance, and agriculture across Africa to discuss industry issues, growth opportunities, and trends that will scale market-led solutions.

As with the last three editions, code Cash Crop is serving as a well-functioning platform model that initiates dialogues and discussions about promoting sustainable food systems in Africa. This year's theme, “Scaling Market-Led Solutions”, prioritizes a market-driven approach that meets the needs of the various players in the value chain, from increasing the reach and impact of market-based approaches to improving food security and nutrition to reducing the environmental impact of food production and improve the health of people and ecosystems.

The event has a carefully selected agenda of interactives, panel discussions, networking sessions, pitch storms, exhibitions, cocktail arena, and other fun-filled activities that will avail you the opportunity to: 

⦁	Engage in conversations that will help you learn new innovations and skills.

⦁	Witness 6 finalists pitch solutions for an opportunity to win $10,000 among other incentives.

⦁	Meet prospective investors and industry top experts.

⦁	Network with innovators across Africa and more.


The Grand Finale will also feature a series of conversations on topics touching on principles of innovation, sustainability, and impact, with thought leaders such as Bolaji Balogun, CEO of Chapel Hill Denham, Nneka Eze, MD Vested World; Idris Bello, Founding Partner, LoftyInc Capital Management; Jude Dike, CEO & Co-founder, Get Equity; Sikemi Tayo, Founder, KIT for Professionals; Kolade Dada, Managing Director, AgriSeedCo; Funto Olasemo, Vice President, Financial Markets, AFEX; Abike Sawyerr, Policy Analyst, African Development Bank; Joel Ogunsola. 

If you are in the mood for a weekend filled with opportunities for networking, learning, and fun and exciting conversations about food, mark your calendars for the Code Cash Crop grand finale. We’ve got all the details on one of the best Saturdays you won’t want to miss!  Register [here](https://www.eventbrite.com/e/code-cash-crop-40-tickets-664740154697). Attendance is free. 


Register Now: Code Cash Crop 4.0 Grand Finale is now Open.

AFEX, the leading private commodities exchange in Nigeria, hosted the first edition of its CEO Breakfast on the 13th of July 2023. The AFEX CEO breakfast, which was themed “Mapping the Future: Unlocking Value in the Commodities Market” was created to engage industry leaders to explore alternative investment instruments as a means of portfolio diversification, with a goal of increasing participation in the commodities market.

AFEX’s CEO breakfast comes on the heels of the new administration’s move to drive agricultural growth and inclusivity through the implementation of commodity exchanges. With this strategy, the administration is looking to guarantee minimal pricing for crop commodities and enhance storage capacity across the country.

An essential part of this focus on commodity exchanges lies in boosting investment and participation of market players. This development forms the imperative of the CEO breakfast as a platform for key stakeholders to share valuable insights, explore partnerships, and create opportunities to unlock the potential of Nigeria’s Agriculture sector and deliver shared value for all.

Doyin Salami, CEO, Kainos Edge Consulting Limited, while giving his presentation mentioned “While we often speak about finance, it [finance] is not going to come until we have a rethink around structure, and that is why all of you [in this room] are stakeholders…AFEX has succeeded in putting up infrastructure to tackle challenges, but it is by no means near enough…this is why the exchange, and these conversations are important.”

In attendance at the event were industry leaders within the financial market across Capital Market Operators, Pension Fund Administrators as well as Insurance companies. The event featured high-level discussions on the current state of the commodities market, challenges within the sector, and strategies to increase innovative investment for the agriculture sector.

"The CEO breakfast session marks an important milestone in our AFEX journey. We are extremely proud to have created this platform to foster collaboration and discourse among industry leaders," said Akinyinka Akintunde, President/CEO AFEX Nigeria. "As Nigeria's leading private commodity exchange, we are committed to unlocking the immense value of the commodities market and enabling diverse investment opportunities. This event underscores our dedication to fostering partnerships, driving innovation, and propelling the growth of the Nigerian economy." 

The AFEX CEO breakfast builds on years of developmental initiatives spearheaded by AFEX and other key players in the commodities market to engender growth in the country’s commodity sector. A seamless interaction between the financial market and commodities market in the country creates endless potential for wealth creation and economic growth.






WhatsApp Image 2023-07-31 at 10.32.49 AM.jpeg

AFEX Hosts Premiere CEO Breakfast to Drive New Strategy for Formalized Commodity Markets

Last week, from July 3rd to 5th, we hosted a richly packed CCC 4.0 Clinic Masterclass. This virtual event on ZOOM was a great opportunity to draw from the deep-seated knowledge of experts and best speakers in various fields to impact a wide range of audiences from tech enthusiasts, young talents, entrepreneurs, business savvy developers and more, and the conversations were centered around the basics of creating and presenting a winning business proposal anytime.

As the name implies, the CCC Clinic Masterclass aimed to rejuvenate, finetune, hone, and sharpen the skills of young talents across Africa and boost youth participation in the continent’s economy. This was a preparatory event for the CCC4.0 boot camp participants, who learned how to build and present their proposals. The sessions covered Product 101, Business Model Canvas, Corporate Branding, Investment Pitch Deck, and Presentation.

With the dust now settled on the engaging masterclass, here’s a look back at three key takeaways from the event on how to up your business game:

**Product 101 - Mustapha Akanni, Product Manager, AFEX**

The product should meet the basic needs of your client, not what you assume is important. To achieve that, you must conduct a user research. This means putting yourself in the users’ shoes and focusing on the problems they want to solve. Listen without suggesting solutions. You don’t want to influence them to say what you expect. 

User personas are fictional characters that represent your ideal users. They help you to understand the needs and motivations of your users. Prepare specific questions to ask. Don’t ask leading questions because they only give you yes/no answers. You want to discover what people want and keep it concise and comprehensive.


**Business model canvas - Nathaniel Etim, Co-Founder, and Chief Executive Officer SP FORA**  

The strategy is not independent; it depends on industry analysis, customer/marketplace trends, environmental forecast, competitor analysis, and internal strengths, weaknesses, and resources assessment. 

Also, note that PESTEL (Political, Economic, Social, Technological, Legal, and Environment) is an analysis that evaluates (macro) external factors affecting a business situation and emphasizes the important Cs in a business: Customer Relationships, Channels, and Customer Segments. Another crucial part of business modeling is identifying your key partners and key activities for your product/service. It determines how everything you need for your business will be arranged.


**Brand Strategy 101 - Dozie Anyaegbunam, Senior Content and SEO Manager UserGems**

Before launching your business, you need to address some essential questions to build a corporate brand. These include: What’s the business idea & plan? What’s the business purpose, vision, mission, values, audience, proposition, and positioning? How will you design your logo, tone of voice, color palette, photography, and typography?

You can access the PowerPoint presentations specially prepared by these experts by clicking [here](https://drive.google.com/drive/folders/1DdVY6D4FsimbRWNWeJ-ZfMNPo2P1hSd-).

Code Cash Crop is a fun space to learn and create solutions for business growth challenges in agriculture. We invite you to join us again at the CCC 4.0 grand finale on the 12th of August 2023 at the Landmark Event Center, Victoria Island, Lagos. Click [here](https://www.eventbrite.com/e/code-cash-crop-40-tickets-664740154697).









WhatsApp Image 2023-07-14 at 8.31.25 AM.jpeg

3 Takeaways from the Code Cash Crop 4.0 Clinic Masterclass

We are excited to announce that the Code Cash Crop’s first Pan African Bootcamp is happening from the 7th to the 8th of July 2023 in Nairobi, Kaduna, and Ibadan to nurture young and brilliant agritech talents who can come up with ideas that help scale market-led solutions. If you are in the mood for a weekend to collaborate, network, and learn from industry experts and like-minded individuals on the same career journey as you, then mark your calendars for this transformative experience.

The Ag-hackathon Bootcamp aims to provide a comprehensive platform for young talents to learn the essentials of building successful AgTech models that will revolutionize the agricultural landscape in Africa. This year, the bootcamp is a two-day event for participants to learn from thought leaders, get feedback on their ideas, and improve their product and presentation skills. It is also a unique opportunity to network with peers and potential investors in the Ag-tech ecosystem. 

Now, these are the five things you should look forward to on that day:

**An interactive learning experience:**

The Code Cash Crop 4.0 boot camp will offer young business professionals an educational and entertaining day of great conversations. agriculture. You’ll get to engage in discussions on how tech, finance, and agriculture can create positive change in the world. Expect to be surrounded by like-minded individuals who share your passion for innovation and agricultural transformation.


**Pitch storms:**

This is the tasking round of presentations where participants from the fields of technology, finance, and agriculture will be immersed in pitch culture, hard selling their proposals to the judges.  A physical showcase of the next generation of Agribusinesses. 

**Networking, and mentorship access:**

The event will bring together the most promising, talented, recognized developers, entrepreneurs, tech enthusiasts, agric specialists, economists, and more. We understand that the best avenue to network is through interactive group activities.

**Design thinking sessions:**

Design thinking sessions are where the magic happens. Participants get to work with other creative minds and thought leaders to learn how to solve problems like a pro. The boot camp will serve as practical workshops for the participants. 

**Games:**

This gathering of the coolest people in space will feature fun and effective ways to de-stress and build camaraderie.

If you are in the mood for a weekend to collaborate, network, and learn from industry experts and like-minded individuals on the same career journey as you, then mark your calendars for these experiences.




5 things to expect from the Code Cash Crop 4.0 Bootcamp

Every human needs food to survive daily. It is essential to provide a healthy and nutritious lifestyle for all. However, the current global food system is failing to meet humanity’s diverse and growing needs, especially in Africa, where millions of people suffer from hunger, malnutrition, and poverty. 

According to the [World Food Programme](https://www.wfp.org/news/global-report-food-crises-number-people-facing-acute-food-insecurity-rose-258-million-58 ), around 258 million people in 58 countries faced acute food insecurity in 2022. This is the highest number in the seven-year history of the report. These numbers will likely increase as climate change, conflicts, and market disruptions threaten food system sustainability and resilience.  These challenges require urgent and collective action to transform the food system into one that is more inclusive, equitable, healthy, and environmentally friendly. To achieve this goal, it is important to emphasize the role of traceability and sustainable agricultural practices in transforming Africa’s food landscape.

Traceability speaks to the ability to track agricultural commodities' origin, history, and quality throughout the supply chain, from farm to fork. Sustainability, however, is concerned with ensuring that we produce food to minimize environmental impact and enhance social benefit. Traceability allows us to paint a picture of a proper and full journey of a product or material from origin to destination. This is most important for consumers who need to know how the food they consume is produced, and for businesses who want to ensure the safety and sustainability of their supply chains.

In Africa, traceability can be challenging because of the absence of the resources or infrastructure to keep accurate records. In situations where this infrastructure exists, it is inaccessible to the people who actually need it. The question that traceability begs on the continent is not only that of presence but also access. It encourages a system that both the producers and consumers can clock into, to get any data required in the value chain. This is crucial in agriculture for several reasons; It can help ensure food safety, quality control, market access, and regulatory compliance.

Building transparency and visibility into the value chain facilitates trust within and among the various players involved. A customer is most likely to be a reoccurring client if he is able to trace the movement of the products from the farm to the market, including information about the inputs used in production, transportation, and how the food was stored. This information provides a layer of assurance to clients that their consumption is safe and responsible. In today’s market, this has become an important consideration. On the other hand, traceability is a valuable tool for producers that helps them provide a level of transparency, which enables them to unlock investments and also find a market for their commodities.


**Building Traceability Systems**

Technology has thrown up possibilities for innovating around traceability. We have examples of GPS automation that enable tracking and documentation from production to the final stages of distribution. At AFEX, we have directly built a traceability system for our export value chain interventions, using our value chain management platform, WorkBench, and a barcode tag that is assigned to every bag of the commodity in AFEX warehouses.
 
WorkBench is a value chain management platform that houses quality data for every farmer AFEX currently works with, alongside transaction data and logistics information. On the back of this platform, AFEX is able to generate unique QR codes that are tagged to each bag of grain, allowing anyone to see the precise location where the commodity was originally produced and all activities up until the distribution stage. This level of transparency is essential for ensuring the quality and sustainability of commodities, helping to elevate a trust economy between all players in this chain.

At the heart of a drive for traceability systems that shore up food security on the continent is a drive for data and last-mile infrastructure. Where available, the willingness to develop processes and systems that enable the dispersion of data and information on the journey of a plate of food strengthens value chain operations and opens up possibilities for various players. The benefits that accrue from this investment are a strong prerogative to invite joint efforts and collaboration between public and private-led actors to work towards innovations that improve our traceability systems in Africa.  



 

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The Role of Traceability in Ensuring Africa’s Food Security 

Commodity exchanges are cornerstones of trade and finance. When the model is deployed effectively, they contribute to economic growth and development. Through trading activities, commodity exchanges are able to promote fair prices, open markets, and equitable distribution of wealth across commodity value chains. In agriculture specifically, they can offer significant benefits to smallholder farmers who are typically excluded from high-value agriculture market chains, even as they also hold a lot of benefits for processors and other stakeholders.

Due to the vital nature of commodity trade in national and regional economies, several strategies or models are often explored to drive up efficiency and incentivize players. Players in commodity markets run the gamut from regulators and market operators to brokers and investors, however, we will be focusing on two key models that have been explored to contribute to sustainable growth and success of the commodities market in Africa: commodity boards and commodity exchanges.

**Commodity Boards: Promoting Commodity Development**

Commodity boards are institutions set up by the government to maintain and control the efficient organization of commodities. They work in oversight and regulatory capacities across the agriculture value chain, leveraging research and experience to ensure fair, organized prices of farmer crops, improve the quality of commodities, stabilize producer prices, and overall contribute to the growth of commodities export. Commodity boards oversee specific commodities, and they are responsible for regulating production, pricing, and marketing activities related to the specific commodity. 

Within the commodity ecosystem, challenges across price fluctuations, poor crop quality, lack of research and innovation, poor policy coordination, and limited farmer support hinder the growth of resilient, stable markets. Commodity boards exist to bridge that gap. In their regulatory capacity, they set production quotas, quality standards, and price controls, and in turn, this contributes to price stability and predictability which is essential for farmers, processors, suppliers, and even consumers to thrive.  

Commodity boards are not new concepts. Across the world, governments set up boards to oversee specific commodities with goals defined by the specific needs of the markets they represent. These needs could cut across guiding production, export, and minimum stable pricing of different commodities. 

In Nigeria, commodity boards date back to 1977, with the establishment of the Commodity Boards Act that witnessed the creation of 6 boards catering to Cocoa, Groundnut, Cotton, Palm, Rubber, and Grains. The purpose of these boards was to drive production to meet domestic requirements, and then oversee exports; conform with stipulated grades and quality standards; as well as promote research and development to drive the growth of these commodities. They were scrapped in the late 1980s as part of the Structural Adjustment Programme (SAP) that aimed to liberalize the economy and reduce government intervention. However, there have been calls for their revival in recent years to address some of the challenges facing the agricultural sector.

![Kwali Ops 4.jpg](/uploads/Kwali_Ops_4_06a3c77408.jpg)

**Commodity Exchanges: Fostering Efficiency and Price Discovery**

As we mentioned earlier, commodity exchanges are an essential aspect of trade and have existed for thousands of years. Fundamentally, they are marketplaces that facilitate the trade of standardized commodities. Exchanges are Licensed by regulatory bodies like the Securities and Exchange Commission. Commodity exchanges provide a centralized environment for buying and selling commodities and operate an open and transparent platform that allows for efficient price discovery, fair trade, and risk management. 

Commodity exchanges are crucial aspects of the commodity value chain, particularly within the African context, as they help smallholder farming communities in disconnected rural areas unlock finance to boost productivity and ultimately trade more; they foster healthy market competition as well as price discovery based on supply and demand dynamics. Also, they can provide access to data and analysis, allowing market participants to make informed investment and consumption choices.

![Kwali Ops 29 (1).jpg](/uploads/Kwali_Ops_29_1_4227790160.jpg)

**A Balanced Approach for Sustainable Commodities Market Growth.**

As commodity markets grow and evolve, the imperative for sustainability in terms of practices and access to resources becomes clearer. In the quest for sustainable market growth, commodities exchanges that promote market-led competition, fairness, transparency, and liquidity are the obvious path to strengthening trade. Commodity exchanges put transactions in Africa on par with what is happening across the world, establishing a functional, organized trade regime both for intra-Africa trade, with the AfCFTA, and for world trade.

By leveraging the strengths of commodity exchanges, policymakers, market participants, and regulatory authorities can create a dynamic ecosystem that promotes fairness, stability, and innovation, which is key to ensuring the resilience of commodity markets.



Commodity Boards vs Commodity Exchanges: Driving Sustainable Market Growth 

_Africa is a continent of immense potential and opportunities. With a population of 1.3 billion people and a combined GDP of $2.6 trillion, it is the world’s second-largest and second-most-populous continent. However, Africa’s trade performance is far from its full potential_. 

_Currently, Intra-Africa trade accounts for 14.4 percent of total African export, but forecasts show the AfCFTA could boost this by about 33 percent, a report by [UNCTAD says](https://www.un.org/africarenewal/magazine/january-2023/africa%E2%80%99s-free-trade-track-more-efforts-needed)._

_We sat down with our Group Chief Executive Officer, Ayodeji Balogun to get his expert perspective on how to foster cross-border trade, the transformative power of AfCFTA in boosting regional trade, and catch a glimpse of the future of trade in Africa._

_Let’s dive in!_


**How do you envision the African Continental Free Trade Area (AfCFTA) transforming agricultural trade within Africa, and what opportunities and challenges will arise for smallholder farmers and agribusinesses?**

Firstly, The AfCFTA agreement creates a strategy for how Africa wants to trade within itself and with the rest of the world. It helps to standardize policy and harmonize tariff and non-tariff-related issues across African countries, facilitating seamless business trade and exchange of goods and services. It focuses on Africa's primary interest areas, particularly agricultural commodities, which are a valuable asset class on the continent.

Africa possesses competitive and comparative advantages in agricultural commodities and the AfCFTA agreement ushers in a new era for trading these commodities over the next 15 to 50 years.

However, Africa faces infrastructure challenges due to its vast landmass with low infrastructure terrain. Transporting goods across long distances, such as from Ethiopia to Nigeria or Senegal to Morocco, poses difficulties across different terrains and climates. Innovative solutions are needed to address this problem.

The construction of belt roads presents opportunities for trade growth in Africa. Leaders should invest in this infrastructure and leverage private capital to enhance its viability. It is crucial to shift our mindset from mere ownership and construction to finding efficient ways of operation and maintenance in a sustainable manner.

**Intra-Africa trade in agricultural commodities has great untapped potential. What measures should African countries take to boost trade among themselves?** 

We first have to own the AfCFTA agreement as a continent. Our leaders have to see it as a vision, see it as a gift that they will give to the next generation of Africans. In my view, the first leaders of Africa in the 50s and the 60s gave us independence. The next gift we would give to the continent is to create an economic bloc that is strong and inclusive, fosters job creation and drives wealth creation across the continent in an inclusive manner. 

There is a lot of information available on the agreement and its implications, such as the rules of origin, the tariff and non-tariff barriers to trade, and the best practices to follow. However, what is not well communicated is the shared benefit for all of us as a continent. We cannot have a double standard where we sign up for this agreement but also protect our local industries. We have to take a long-term perspective and see how we can all gain from this economic bloc. We have to commit to it and reap the rewards together.

**Technology and innovation have the potential to revolutionize agriculture in Africa. In what ways do you see technological advancements transforming the agricultural trade landscape on the continent?**

To build a sustainable food system and agro-industrial growth strategy, Africa must prioritize genetics, and allow investment to flow towards Research and Development. Currently, the West dominates agricultural agenda-setting, limiting Africa to food self-sufficiency at best. To optimize Africa's vast untapped arable land and become a global leader in feeding the world, we must leverage our genetic diversity and drive innovation through science and technology in agriculture.

Improving productivity is essential, as Africa's current agricultural output is only one-third of the global average. Simply intensifying fertilizer use is not enough; we need comprehensive solutions. This involves reforming seeds, transforming agricultural funding, reviewing land tenure systems, and creating an environment conducive to attracting capital for commodity production.

Market systems also play a vital role, and the AfCFTA agreement emphasizes trade. Establishing inclusive, transformative, and efficient Commodities Exchanges across Africa can facilitate the transition from production to trade, processing, and value addition. These exchanges will support the AfCFTA agreement and enhance agricultural commodity trading.

**What agricultural commodities do you believe hold the greatest potential for export from regional markets to global markets in the coming years? How can African countries capitalize on these opportunities?**

To begin with, we should acknowledge and appreciate the progress and transformation that countries like Ethiopia and Cote d'Ivoire have made in their commodities sectors, enhancing value chains, attracting investment, and increasing production and processing capacities. Cote d'Ivoire has doubled cocoa output and processing in the past decade, while Tanzania has excelled in cashew production and trade. 

One of the commodities that has great potential for value and growth in our continent is horticulture given the increasing global demand for environmentally conscious and natural products. Africa can lead this market alongside others like East African avocados and Rwanda’s specialty coffee. The grain sector also has the potential for cross-border trade. Food security in Africa needs to balance surplus and deficit across regions. Commodities Exchanges help with this by providing information and market adjustments. 

**Smallholder farmers form a significant portion of Africa’s agricultural sector. How can they be empowered to participate more effectively in regional and global agricultural trade?**

We need to link smallholder farmers better. They need an identity as economic actors. For example, in Nigeria, many farmers lack identity and finance. They cannot get paid remotely or save money. They cannot improve. We need this soft infrastructure across Africa to give everyone a fair chance at prosperity.

We also need to rethink production and make it more efficient and profitable for farmers. The current system makes them poorer and does not help food security or competitiveness. We need a new system that creates wealth from producers and adds value, processing, and quality to our food.

**When you think of the future of trade in Africa, how do you picture it?**

When I think of the future of trade, I love to stand on a ship looking at the continent and think through how many lives have been touched, how much sweat has gone into producing the commodities, and how much wealth it has also created. 

I like to think of the power of the plate of food and the transformative effect it has from the farmer producing the rice to the maize and soybean getting to the chicken to the milk that goes into the drink, to the leaves of tea and the grain farms and how all of that just comes together and how many lives it impacts. 

As consumers, as Africans, we do have power, we are major stakeholders in Africa’s food systems and our choices will reflect in whether our food system will be inclusive or whether our food system will drive us to prosperity, or whether it will be impactful.





The Future of Trade in Africa – Ayodeji Balogun

_Samuel Akame is an entrepreneurial sustainability professional who has made a name for himself championing upcycling and regenerative agriculture in the ecosystem. He was the second runner in the third edition of the Code Cash Crop ag-hackathon, where he built a solution, Credence, an end-to-end supply chain and financing network platform that connects and finances farmers and buyers and ensures fair prices and transparency in the agricultural market._

_We caught up with Samuel to learn more about his platform after the ag-hackathon and his experience participating in Code Cash Crop_.

**So, let’s talk about why you decided to hop on board the CCC platform. What made you say, ‘Hey, this sounds like something I need to be a part of!”?**

I saw an opportunity, and I leveraged it. AFEX has been one of the drivers for the commodities market in Africa and provides a platform for other innovative companies combating food insecurity. This was a good thing for me, I believed the Code Cash Crop will provide a platform for my work to gain exposure and recognition and potential investment or partnership opportunities. It was a good one.

**All right let’s dig into the nitty-gritty of your solution at the CCC 3.0 ag-hackathon. What problem is that solution, Credence, tackling head-on?**

My platform (Credence) is solving the problem of trust and transparency in the Nigerian agricultural commodities market. Buyers and sellers don't trust each other, which has been a significant impediment to the Nigerian agricultural commodities market. Digital solutions are not keeping up with the fast-paced industry. This lack of trust hinders the market's growth and increases the risk of fraud. Our company intends to address these issues by implementing a transparent system that uses smart escrow to protect commodity traders' interests.

**I believe it’s always fascinating to learn how a platform like CCC can really shake things up and make a difference in our food systems. With your participation in the last edition, what impact did CCC have on my work?**

Yes, it is a great platform. It became a window of opportunity to engage other relevant stakeholders in the industry and beyond. Networking opportunities, learned from informed individuals, and provisioned for opportunities beyond the CCC.

**Following up on Last year’s event, how has your company innovated around tech and finance?**

Over time, we have made significant progress by iteratively improving our model based on feedback from user testing with our focus group. We have also developed a functional web application allowing seamless transactions for farmers, commodity traders, and food companies. We have also engaged with relevant stakeholders in the agriculture industry to validate our transactions. We are unifying the essence of fintech in agribusiness. Additionally, we have partnered with some agro-commodity companies as their trusted payment gateway. While more work is still needed, we have progressed since the CCC 3.0 event. 


**Well, I am curious– have you hit any remarkable milestones with your business?**

We have been able to validate some transactions and have also developed a functional web application that allows for seamless transactions. We have partnered with a financial institution to collect payments and obtain the necessary licenses. and engage with relevant stakeholders in the agriculture industry. Partnership discussions are underway with food companies, agricultural commodity companies, farmers’ networks, and co-operatives to facilitate more seamless transactions between their suppliers and them. provisioning them with opportunities to work closely with them and make successful trades. As well as working closely with stakeholders and markets in Northern Nigeria for trade facilitation. 

**What are the key challenges Nigerians face in accessing life-enhancing infrastructure development within the Agric - Sector?**

One impending problem that is a bottleneck for the agricultural sector is poor transportation. I believe that a bigger reason there is price volatility in reference to some commodities is the poor road network, as this can lead to damaged commodities, theft, and other hazards that can affect supply and demand. In cases like this, supply is low, and demand, on the other hand, is high (in peak season). which in turn skyrockets the price. Many farmers and agribusinesses in Nigeria struggle to access financing for infrastructure, equipment, and other necessary inputs, which limits the growth and value optimization of value chains in the agricultural sector. 

The policies that currently exist are not effective in addressing these challenges. Bottom-up and top-down approaches have failed to meet farmers’ needs, and unrealistic payment terms for loan programs further exacerbate the problem. Effective policies are needed to promote investment in infrastructure development, such as tax incentives for private sector investment or directing public funds towards building critical infrastructure like roads, storage facilities, inputs, trades, and irrigation systems. This can help address the limited access to finance and promote the growth and development of the agricultural sector in Nigeria. 

**Are there any initiatives your business is taking to enhance market-led solutions?**

Credence works closely with farmer networks and agro cooperatives to provide them access to markets and transparent trading opportunities. This approach will encourage more financial engagement amongst stakeholders and re-working around making the unbanked farmers and agribusiness practitioners access a wider market and, most importantly, reducing the risk of transactions for them. 

**Where do you see your business in the next 3–5 years?**

Looking forward to 2027, we are hopeful to change the narrative of commodities transactions in Africa’s commodities market by working closely with big commodities players like AFEX, SME commodity companies, traders, and farmers to provide Africa with a more efficient agribusiness environment.

**What are your thoughts on the CCC, and would you recommend attending?**

CCC is like a cool club where you can be an enthusiast and have your voice heard. It's not just a platform; it’s a window of opportunity for your business. And for recommendations, my LinkedIn networks should leverage this, and a couple of my buddies who are still studying at agribusiness masterclasses are like walking encyclopedias’ of agro knowledge. Don't be a wallflower, join the party and let's get down to business!







My vision is to transform the narrative of commodities transactions in Africa’s market – Samuel Akame

As applications continue to roll in for the [Code Cash Crop 4.0 hackathon](https://africaexchange.com/ccc4#ag-hackathon), we bring you another insightful blog post on CCC’s contribution to providing access to finance for start-ups. The registration is now open to Innovators from Kenya and Nigeria, and the theme for this year is ‘Scaling Market-Led Solutions’.

One of the critical determinants to ensure the scalability of startups is access to finance. A significant highlight of CCC is the cash prize of a whopping 10,000 dollars given to the winning agribusiness ventures to invest in their innovations, helping to bridge the gap between start-ups and the financing they need to succeed. For instance, Prince Achoja, the winner of CCC 3.0, received 2.5 million Naira, which he invested into Ma’aji, an agro-fintech platform providing farmers in Kano with access to modern farming processes, and financial solutions and connecting them to agro-experts and extension workers to improve upon their farming practices.

According to Folasewa Abdulsalam, CEO of PalmFarms and recipient of 1.5 million Naira, the lack of access to finance was the major impediment to kicking off her startup. Since emerging as first runner-up at the last CCC, Folasewa has built a B2C farm management platform that enables customers in Ife to shop for fresh vegetables directly from the farmer. She admitted that the prize money was her primary motivation for participating in the hackathon because the funds would speed up her rollout of making supplies (fresh farm produce) available to households while providing farmers with analytics on their sales and income.

This challenge of access to finance is a common one affecting [70% of Africa's population](https://www.climateaction.org/news/new-technology-is-transforming-africas-agricultural-industry) that depend directly on agriculture for their livelihood. Agriculture and technology are two sectors that are critical to the growth and development of Africa's economy because of the potential to drive sustainable economic growth, create jobs, and reduce poverty. Lack of access to finance has hindered the growth of many promising start-ups needing to either scale their operations or bring their innovative solutions to market. A recent World Bank-IFC [report](https://www.ifc.org/wps/wcm/connect/Industry_EXT_Content/IFC_External_Corporate_Site/Financial+Institutions/Priorities/agriculture-finance/) revealed that the demand for food is expected to increase by 60% by 2050, and the only way to increase food production is to invest in sustainable technologies and climate-smart agriculture to ease the current demand pressure on the agricultural system, particularly in the Global South. 

Code Cash Crop 4.0 ag-hackathon provides a collaborative environment for African youth to generate innovative ideas and prototype new solutions that merge agriculture, finance, and technology to advance market-led approaches in the food system. Another key benefit of CCC is that it gives start-ups access to a network of stakeholders who can help support their growth and development. This includes access to mentorship, coaching programs, and connections to key industry players and potential customers.

If you are passionate about developing viable, sustainable, scalable solutions in the agriculture, finance, and technology sectors, then apply to be one of the 30 participants selected to pitch their ideas at designated boot camps across Nigeria and Kenya. At the end of the hackathon, winners receive not only the cash prize but access to a training school and mentorship classes to help bring their ideas to fruition. [Apply Now](https://africaexchange.com/ccc4#ag-hackathon)! Applications are open till 30th May.






Scaling Market-Led Solutions: AFEX’s CCC 4.0 to Give Away $10,000 to Winners

_With her amazing pitch and personality, she secured the second spot in the Code Cash Crop 3.0 Ag- Hackathon. This is Folasewa Abdulsalam, a 5th-year student of computer science and maths student at Obafemi Awolowo University, Ile-Ife, who also doubles as a research and Innovation intern at Data Scientist Network. In this article, she walks us through her Code Cash Crop journey and life after the ag-hackathon and offers candid advice on how to follow your aspirations and make them come true._

**Last year, you emerged as the first runner-up and the only woman to make it to the final stage at the Code Cash Crop ag- hackathon. Congratulations on that feat. But let’s rewind a bit; what motivated you to join Code Cash Crop last year?**

Thank you very much. It was such an honor. 

Honestly, I was motivated to sign up for the ag-hackathon because I saw it as an avenue to make money and let people know about what I am building. It was more like killing two birds with one stone. I came across CCC on Twitter, and even though I was initially skeptical to register because I wasn’t sure if it was legit, I am still glad I took the shot. 

**As the old saying advises, you should always grab an opportunity when you see one. And that’s exactly what you did, which is admirable. However, what pain point drove you to find a solution in the ag-hackathon?**

I observed a problem with the end-to-end delivery of perishable vegetables for farmers and end-consumers. My solution, PalmFarms, is a B to C farm management platform that connects customers and farmers directly. It allows customers to buy fresh vegetables from the source and helps farmers with their sales analytics. I pitched this idea at the Code Cash Crop 3.0 hackathon to make it easier for people like you and me to access fresh food without any hassle.

![129A575464.jpg](/uploads/129_A575464_8a8d54072b.jpg)

**In what ways did CCC 3.0 make a significant impact on your work and life? what did you find most useful in the program, and how has it helped you improve your solution?**

It's no doubt my finances, to some extent, improved. However, I was enlightened about what is happening in the market. During the ag-hackathon, I learned that it's a different ballgame in the business world. The fact that your product is good on paper does not mean it will be acceptable or useful in the market. 

**Following up on last year’s event, how has your company/personal brand innovated around tech & finance?**

During the panel session, we were advised on some things we had to improve. And it's not a tech thing; it was about administration. The brand paused on enhancing product features; rather, we have been focusing more on permeating the farmer-brand relationship.

**We are super proud of your journey so far. How have you or your business grown since the ag-hackathon?**

It’s progressing nicely, although combining the brand with schooling has not been easy. The rope is still long enough for improvement to be made. 

**What are Nigerians’ key /unique challenges in accessing life-enhancing infrastructural development within the agricultural sector?**


The first would be access to information. Even with social media, Nigerians still face this a lot. Nigerians generally have this facade that you can get anything on social media. However, the people at the grassroots of agriculture don't have access to social media, so how will they access the so-called knowledge hub on social media to enable them to access life-enhancing infrastructural development? 

Flexibility is also something I noticed; when I converse with specific sets of people (e.g., farmers), I notice they just don't want to bend to technology; they don't want to leverage technology to drive their occupation. They are not ready to embrace it, and if they are not, how will they have access to life-enhancing infrastructural development? 

Networking is also a key problem. Some Nigerians surround themselves with people who absolutely have zero impact on them. Their networks cannot even open ways to another network, and they keep circling around in an endless loop with no hope of a breakthrough. 

![129A2345764.jpg](/uploads/129_A2345764_551d94786a.jpg)

**Are there any initiatives/steps your business is taking to enhance market-led solutions in Africa?**

Yes. After I finish school, the brand hopes to go down to the grassroots, develop a relationship of trust, introduce the system to them, get feedback, and improve together. It's a collaborative effort. 

**Where do you see your business in the next 3 to 5 years?**

By then, I hope someone like you, and I are just a click away from farm-fresh vegetables. 

**What are your thoughts on Code Cash Crop, and whom would you recommend attending?**

It is a brilliant program, a wonderful opportunity to network, put yourself out there, and see the world as your stage. I recommend the program any time, any day. 






Code Cash Crop was a platform to show the world my solution for fresh food delivery and sustainability  – Folasewa Abdulsalam

_The third edition of the AFEX Code Cash Crop Ag-Hackathon was a remarkable event that showcased the talent and creativity of young ag-tech entrepreneurs in Africa. In 2022, we challenged participants to come up with innovative solutions that can disrupt the agriculture trade infrastructure and improve the food system._

_But what happened to the participants after the hackathon? How did they progress with their ideas and businesses? What challenges and opportunities did they encounter along the way? And what advice do they have for aspiring ag-tech innovators in CCC 4.0 ag-hackathon?_

_To find out, we interviewed some of our top finalists of the third edition of the ag-hackathon and asked them about their journeys and achievements so far. First, we sat down with the winner of Code Cash Crop 3.0, Prince Achoja, to talk about his CCC experience and journey since winning the ag-hackathon._

**Hi Prince, nice to chat with you again. So, I am curious, what inspired you to sign up for Code Cash Crop?** 

As a young person passionate about technology, I had always wanted opportunities where I can contribute towards creating a sustainable world. I have a sole interest in financial technology especially when it has to do mostly with financial Inclusion. The theme of Code Cash Crop last year gave me a keen interest. I had always wanted to create solutions that will help farmers in accessing financial services. 

**You did an amazing job at the last edition of the Code Cash Crop ag-hackathon. Can you walk me through the problem you are solving with your project?** 

Thank you very much.

So, I discovered that with several financial solutions in Nigeria, access to financial services remains a main challenge, especially for farmers. This is usually caused by a lack of trust, network challenges, and issues around proximity, especially those farmers in most remote communities. Farmers in Nigeria are usually financially excluded and lack access to modern-day methodologies and procedures this has continually hindered scaling most times for farmers. 

My solution provides farmers with access to modern farming processes, connecting them to agro-experts and extension workers and at the same time delivering them an easily accessible financial solution.


**What significant impact/benefit did CCC 3.0 have on you and your work? Tell us what part of the program was the most beneficial for you and if it has been a game changer in any way.**

There are some events that have a life-long effect on someone’s life. CCC 3.0 is one for me, as participants in the hackathon the event started 2-days earlier for us with connections to mentors. We had the opportunity to work at the AFEX office in Lagos. This gave me the exposure and work environment ethics I needed. I had an opportunity to meet coaches who opened up to new ways and possibilities for our solutions.

The pre-hackathon preparation was a game-changer for me as some of the things I was able to pick I applied almost immediately in my product, and I started to see the positive impact almost immediately.

The panel discussion was also a main highlight for me as I learned firsthand from industry experts, hearing them share their stories, and answering some questions that continue to linger in our minds as young entrepreneurs.

Lastly, the network opportunities during the event were just amazing, I was able to meet and connect with major key players and stakeholders in the ecosystem. I have since received countless more opportunities as a result of this network.

**Following up on last year’s event, how has your company/personal brand innovated around tech & finance?**

After the event, I remember getting constructive feedback from the judges, this feedback has so far helped me innovate my solution. I have rebranded from Maaji to Kudinka, and further developed the product to become more adaptive and inclusive for farmers of all educational backgrounds and know-how. As a result of CCC, I am now a better Entrepreneur and I understand better what it means to deliver a tailored solution for farmers.

![Prince (2).jpeg](/uploads/Prince_2_5cdd1ad777.jpeg)

**We’d love to hear from you, what are some of the milestones you or your business have achieved since joining the programme?**

Yes, we had, we were selected as the 5th top innovative solution driving financial inclusion by the CBN/AFF in August shortly after the CCC 3.0, this has given us more access to connections, and access to the CBN Developer Sandbox to further help us build our product. Currently, we are in the concluding phase of our CBN accelerator program, and our product will become more accessible shortly after.

**What are Nigerians’ key /unique challenges in accessing life-enhancing infrastructural development within the agricultural sector?**

In northern Nigeria where I am from, the core challenges will almost remain:

1.	Accesss to updated farming processes, tools, and resources.
2.	Access to financial services such as thrifts, loans, and savings tailored in a more user-centric pattern, delivering them this solution in their most localized way.
3.	Access to Markets, logistics, and storage facilities.

I believe the challenges around Agriculture are peculiar to a particular region, so the above challenges are peculiar to northern Nigeria. 

**Are there any initiatives/steps your business is taking to enhance market-led solutions in Africa?**

Yes, as we see more interactions with these farmers and these companies. I think most companies now understand that the fastest way to scale their product journey is to carry the farmers in the development process of every step they are taking. We can see that with the incredible work AFEX Xperts are doing with the farmers.

**Where do you see your business in the next 3 to 5 years?**

We are coming gradually, but in the next 3-5 years I see our products as a giant in the financial space, especially because of the uniqueness of the product. This of course is more than a dream for us as we have a proper roadmap that takes us as a company to this destination. We believe we can solve Africa’s biggest challenge in Ag-Fintech and we will stop until we get it done.

**What are your thoughts on Code Cash Crop and whom would you recommend attending?**

CCC 4.0 is another level, I cannot wait to participate. I am a product of CCC and would recommend it any day anytime. I am doing a massive clarion call to everyone to register for this event, participate and enjoy the life-long impact of CCC.









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How Code Cash Crop 3.0 unlocked a world of possibilities in agritech for me– Prince Achoja

Applications are now open for the [Code Cash Crop 4.0](https://africaexchange.typeform.com/to/lVwGqbxM?typeform-source=ps1z71js212.typeform.com) ag-hackathon, and this year AFEX is calling on ag-hackers from Kenya and Nigeria under the theme ‘Scaling Market-Led Solutions.’.

To provide an insight into what Code Cash Crop (CCC) is about, we’ll start a short series to share impact stories from previous finalists and winners who have experienced tremendous success in their agribusiness ventures after participating in the CCC ag-hackathon.

As a smallholder farmer himself, Abubakar recognized the challenges facing farmers in his community, including the lack of access to affordable storage options and the difficulty in optimizing supply chains. To address these problems, Abubakar started his business, focused on providing affordable and accessible storage options for smallholder farmers and optimizing supply chains to reduce waste and improve efficiency. 

Since participating in CCC 3.0, Abubakar has accomplished his goal of signing up one thousand farmers and acquiring additional arable land for operations; Abubakar has significantly impacted the agricultural landscape of his community in Kaduna State, where his business is based. This is a crucial milestone for Abubakar, demonstrating the potential impact CCC can have on individuals and communities in the agricultural sector. According to Abubakar, the hackathon helped him redefine his ideas, giving him the much-needed clarity to expand his business. Through his participation, Abubakar was also able to connect with other stakeholders in the industry and learn about innovative solutions to address the challenges facing his company. 

Another notable success is the story of Prince Achoja, CEO of Ma’aji-Noma, [who won the grand prize of 2.5 million Naira ](https://africaexchange.com/blog/how-ma-aji-can-solve-farmers-challenges-prince-achoja-winner-of-code-cash-crop-3-0)at CCC 3.0. In addition to the cash prize, Prince also won a 6-month mentorship at AFEX and a free training program with [Arravo](https://arravo.co/), a leading global systems integrator and managed services provider that designs, operates, and optimizes technology environments for businesses. Prince’s agro fintech platform is working to integrate financial services built for farmers in poor and remote communities to help them access offline and online financial services, such as payments, savings, thrifts, and loans. This is a game-changer for many small-scale farmers with limited access to financial services because it eliminates the need for a third party like the banks.

Prince started Ma’aji-Noma in February 2021 with the sole focus on fintech, intending to create a platform to serve as a forum for financial innovations. However, as part of developing the problem statement for his CCC 3.0 hackathon, he engaged with farmers in his community and realized that one of the most significant challenges they face is access to information in their native language, compelling Prince to position his start-up to address this pressing need.

Code Cash Crop is more than just a platform for showcasing innovative ideas. It creates a community of individuals passionate about driving change and making a difference in the agricultural sector. The platform also provides a unique opportunity to connect with like-minded individuals and learn from industry experts. 

If you are passionate about solving problems and enhancing livelihoods in the agricultural sector by converging technology, finance, and agriculture services to solve problems, drive economic growth, improve food security, and uplift livelihoods in Africa's agricultural industry, then Code Cash Crop 4.0 is for you. These are the challenge areas: 

- The data challenge: Develop a price data mining database that can be accessed through the web or mobile devices, serving as Nigeria's go-to source for pricing information.

- The extension challenge: Create a USSD application and supporting infrastructure that provides personalized capacity building and real-time agronomy support while also addressing language barriers for an immersive experience.

- The logistics challenge: Develop a warehousing solution that allows farmers, off-takers, and processors to quickly request storage and logistics services in real time and have their produce dispatched with engaging experiences. The solution should prioritize accessibility and communication, particularly for farmers in rural areas.

Apply today and be part of a community that is driving change and making a difference. Who knows, you could be like Abubakar and Prince, making a significant impact in the agricultural sector and beyond. [Apply Now](https://africaexchange.typeform.com/to/W9FZCSOZ)!






Code Cash Crop stories: Meet Abubakar and Prince

_Some people follow a straight path in their careers, while others take unexpected turns. Such is the case of Obianuju Okafor, of Brand and Corporate Communications, AFEX. Obianuju studied Home Science, Nutrition, and Dietetics at the University of Nigeria, Nsukka, however, fate had other plans for her. Today, she is the creative force behind AFEX’s communications strategy, crafting stories that showcase the impact and value of the organization._

_Obianuju has a passion for writing and editing and uses her skills to empower and educate her audiences. She joined AFEX without prior knowledge of agriculture and commodities, but she quickly learned the ropes and became the go-to person for any questions about AFEX. She is an example of how one can leverage their skills and interests to succeed in any field. We had a chat with her to find out more about her journey and how AFEX has evolved since she became an Xpert._



**Tell me about your first impressions of working at AFEX. How did you end up joining the team?**

I didn’t join AFEX at the very beginning; my first insight into the business was through the website at the time, which I looked through for interview prep, and three key solutions were front and center: storage, aggregation, and financial inclusion. One of the first things I wrote for the brand was two articles about financial inclusion.

The early days were actually quite hectic. I remember Deji (GCEO) asking me to do 50 things on my first day after walking up to my seat, introducing himself, and then asking me why I was not taking notes when he was on the third point. In my first week, we had to go for a documentary shoot in Kaduna, which was my first time there, and right in the car to the location, I had to write up the concept for a new weekly report template with a deadline for right there and then. The pace was crazy, everything was new, and everyone was incredibly helpful.

I joined AFEX after one interview with Yinka and Nancy, where I essentially asked them to hire me because I knew nothing about commodities exchanges, and so I would be the best person to learn and create content for the swathes of Nigerians who were definitely like me. At the end of the interview, Deji also asked me to write a poem about ag or farming, then exclaimed, “She’s got the job now,” and walked right back out after reading whatever I wrote.

**Hire on the spot?  Show us your ways!**

LMAO

**Looking back at the past decade, how do you feel about your journey here? Was it as easy as getting hired? Share some of the memorable moments that shaped your experience.**

It’s like climbing a hill; every day, you wake up and see that yesterday was a milestone that was reached. The hard part of this question is breaking down the journey; I’ll put it into three very generic signposts from my perspective:

Ancillary infrastructure was one of the new concepts I encountered in AFEX in the early days. I think about it as putting in place the necessary infra to achieve a goal. We like to highlight that the first five years were about putting in place that infrastructure (one great example being our warehouse infrastructure and outreach structure) that continues to be instrumental to our growth today. 

We have also built an impressive data bank, and I will always love the work that the Market Data and Research team does on reports and analysis of that data, which makes the knowledge available and accessible to a greater number of people.

Finally, shout out to ComX, which I believe gave many more people who loved the brand or were curious about our offerings a way to come in and interact with the Exchange. 

**What was your job back then and now?**

My letter read Content and Communication Officer on entry, and now I am the Head of Brand and Corporate Communications.

**What makes you happy to work at AFEX?**

I think working at AFEX is in and of itself exciting. You get to do new things or at least do old things in a new way, and you are constantly juggling quite a lot of things, and it is always nice when you are able to catch all the stuff you have up in the air and lay them in the place where they fit.

**What’s the biggest change you have experienced at AFEX so far?**

I would say the number of Xperts. Food no dey go round again.

**You love food and work for Food Security; it makes so much sense now. What would you consider your best memory with the Xperts at AFEX?**

Ah. Again there’s a lot. One that pretty much is always at the back of my mind is preparing for the International Conference on the Nigerian Commodities Market (ICNCM) in 2019. We had gone to set up the day before and found out after getting there that “nothing was on the ground”. So myself, Sam, Adanna, and Khadijah basically called home to cancel our returns, spent the entire night setting up, and then went home, got changed, and came back to join the conference to run our exhibitions. It’s a good memory despite the stress because of how everyone essentially banded together to get what we needed to be done.

**What is the most important lesson your work at AFEX taught you?**

It has to be how to work with people. This was not particularly necessary in my former heavily content writing roles. Now, working in an organization with so many moving parts, I was forced to learn how to collaborate and cross-collaborate. 

**How would you like to see AFEX in the near future?**

All the plans we have laid out in Project Black Panther are done and dusted, and everyone who contributed to it is reaping the benefits.

**What do you know now that you wish you had known at the beginning of your time in AFEX?**

Someone told me at lunch on my second day, “You have to learn and move fast” It’s good advice that I’m thankful I internalized since the very start. I think that I would add my renewed understanding that there is such immeasurable value in the relationships that you cultivate and keep with your peers. 








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Telling the AFEX Story for 4 Years and Counting

AFEX, Africa’s leading commodities market player, is proud to announce it has secured first place in the Financial Times (FT) ranking of [Africa’s Fastest-Growing Companies in 2023](https://www.ft.com/content/2e45727c-0c2a-4636-95d0-4889969cfca8). Since it first appeared on the inaugural list last year, AFEX has doubled in revenue and expanded operations into East Africa, having financed over 450,000 farmers and traded 526,850 metric tonnes of commodities in Nigeria, Kenya and Uganda.  Last year, AFEX ranked third on the overall FT Africa list while emerging as the fastest-growing in Nigeria and first in Africa’s Agriculture & Commodities category.

The FT’s Africa Fastest Growing Companies list comprises innovative, modern, and fast-growing companies that are the driving force of the international economy in the 21st century. The FT collaborates with [Statista](https://www.statista.com/), a data research company, to produce similar rankings for companies in Europe, Asia, and America. The inclusion of AFEX on this prestigious list is a testament to its success and exceptional performance. Like the ranking for other markets, the Africa list ranks African companies by their compound annual growth rate (CAGR) in revenue between 2018 and 2021. AFEX has grown by 505.3% over the past 3 years, making it Africa's fastest-growing company in 2023.

Currently operating over 200 warehouses in Nigeria, Kenya, and Uganda and serving over 450,000 farmers, AFEX plans to expand to 9 African countries within the next 10 years to create regional markets that balance demand and supply through intra-Africa trade. Markets considered for expansion include Benin, Togo, Ghana, Côte d'Ivoire, Tanzania, Ethiopia, and Zambia. Through its strategic expansions, AFEX aims to address the low regional trade level, which currently stands at [14.4%](https://www.un.org/africarenewal/magazine/january-2023/africa%E2%80%99s-free-trade-track-more-efforts-needed) compared to [59%, 69% and 30.4%](https://hbs.unctad.org/trade-structure-by-partner/) in Asia, Europe and North America, respectively. By facilitating cross-border trade in Africa, AFEX looks to increase regional trade volume, improving capacity to meet the demand of Africa’s growing population. AFEX will continue leveraging its model of deploying infrastructure alongside access to capital and markets for the commodities sector in Africa to help accelerate the continent’s food security.

The MD AFEX Fair Trade Limited Kenya, Tabitha Njuguna, said, “Being recognised as the fastest growing African company soon after our expansion into Kenya and Uganda is a fantastic boost as we continue to solidify our team and impact farmers in the East African market. AFEX Fair Trade Limited aims to impact 100,000 farmers in Kenya and 20,000 farmers in Uganda, whilst driving over 200,000 metric tonnes of commodities traded by 2025 to support East Africa’s food security and promote a fair exchange of value among players in the agricultural value chain.”

Since its launch in Kenya in 2022, AFEX Fair Trade Limited has committed to leveling-up Africa's agro-tech sector in the East African market. It presently has 21 warehouses in Kenya and Uganda with over 22,000 MT Capacity. In February, AFEX Fair Trade Limited was licensed as the first Private Warehouse Receipt Operator in Kenya and has since financed over 10,000 farmers in the East African region.





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AFEX Emerges First in Financial Times’ Ranking of Africa’s Fastest-Growing Companies

_Like many of us, Hassan Akinade didn’t have a grand plan for his career when he graduated. He didn’t have a clear vision of his dream job or a roadmap to follow. He just knew he wanted to keep learning and growing in whatever field he found himself in. That’s how he ended up in AFEX, working as an Area Sales Manager. He became passionate about transforming the lives of the farmers he connected with at AFEX and helping them escape poverty and earn a decent living._ 

_In this final episode of AFEX Xpansion stories, he tells us how he spreads the BaWasa message across AFEX’s operational regions and how AFEX’s infrastructure has grown in quality and quantity over the years._

**Hassan, you are in charge of managing multiple warehouses in Jigawa. That sounds like a huge responsibility and a lot of work. How did you get to this position and what challenges did you overcome along the way?**

I joined AFEX straight from university with no warehousing experience whatsoever and was thrown straight into the mix of laborers and truck drivers. I was the midpoint of ensuring everything was going according to plan and tracking the movement of commodities from and into the warehouses.  

My beginner years involved me trying to understand my role before understanding the full nature of AFEX. I must confess, it was hectic, I was new to adulting and the job, so I had to figure both out simultaneously; I wouldn’t say it was the most pleasant experience. But I am grateful for where I am now. 

**AFEX has been on an incredible journey over the years. Tell me about some of the things that have happened in the last 10 years.**

From what I hear from other members of the AFEX staff, there’s an all-around growth being experienced across the board, but from my end, which is the field, I’ve witnessed growth in both quantity and quality measures. When I came in, we had 3-4 warehouses in Kaduna; I’ve watched us move from this to having a wide presence in more than 20 states today, with more than 130 warehouses across these states.   

For quality, I’ve seen us adopt the international standard of commodities quality, making sure that we do not take in damaged goods and grains. The warehouses and processing plants are top-notch, helping to prevent losses for farmers and processors. We find farmers wanting to sell their products when in good condition so they can get good prices. Processors, on the other hand, need good grains to maximize product quality and are able to find that with us. Our growth shows in more than just numbers, and this gladdens me.  

AFEX’s growth from 6-7 warehouses in 3-4 states to now over 130 warehouses across 20 states in Nigeria, and also new operations in Kenya and Uganda in the last 6-7 years I have been here is still a wonder.

**How have your responsibilities changed over time?**

I joined the organization as an Admin Officer in Jigawa and I am now the Area Sales Manager for all the areas under Jigawa.  An Admin officer usually is under a warehouse Manager performing clerical functions or helping to ensure that things go well within that specific warehouse. 


**What do you love about working at AFEX and its growth story?**

The excitement with AFEX is that there is no limit to how far you can grow as an employee; it’s more often than not a grass-to-grace story with every Xpert. The evolution shows that we are ready to include the entire continent, and I love that I am also here to witness it. 


**What is the most important lesson that your work at AFEX taught you?**

Working with AFEX has taught me a lot about responsibility. I am responsible for everything and everyone within whatever scope I occupy. This has kept me going.  I know a lot of work rests on my little shoulders, and I can't afford to mess it up. I understand that if I snooze, many people will lose their livelihoods if I fail in my state, and a lot of families could go hungry for that.

**Looking back at your journey with AFEX, what is one thing you wish you had learned sooner?**

Shine your eye; Trust must be earned. Do not feel you’ll be trusted if you’ve not given a reason for people to trust you. Make sure you honour your promises and deliver as when due. Also, a little lapse could destroy a lot of things.

**How do you see AFEX in the next few years?**

I see AFEX in all ECOWAS states, replicating what we do in Nigeria, which has been a dream since I joined. Farmers in Africa really need help, and I hope we can reach every end. 











Seven years of managing warehouses and personal growth with Hassan.

_If you have ever dealt with AFEX and required logistics for your sales or supply, chances are that you have crossed paths with Ajia. He may not have been there in person but would have approved the transaction. Meet Ajia Abdul-Kadir, the Supply Chain Manager who oversees everything from logistics to warehousing to moving commodities across locations. In a world where you can be anyone you want; Ajia chooses to be competent because he knows that reputation and kindness are the most valuable currencies. In this story, he shares his journey from humble beginnings to leading supply chain operations and growing with AFEX._ 

**How did your adventure with AFEX start? What drew you to join the company and what were your first impressions?**

Humble beginnings, right? I recall when I joined AFEX, it looked more like, what am I doing here? It has always been a place where your abilities are tested; this was a mixed feeling for me. I could barely use Excel when I started, but I am proficient with all Excel formulas today. Many things have changed between my early confused stage and where I am now.  

My early days were heavy with paperwork. The switch has been like moving from driving a manual to an automatic car, one day, you’re struggling to find a physical file from 2015 in the store, and the next, you’re pulling data from the cloud. By the time I came in, we hadn’t started working with “WorkBench,” so most of the record track was usually done on Excel sheets. It would be a special hell if your laptop crashed and forced you to start looking for how/where to get your data. Another interesting memory is printing GRNs. 

**What's a GRN?**

Goods Received Note. It is used to track transactions with clients after each complete supply to our warehouses. Now, we record data using sheets on our systems. There was a time we had to photocopy our contracts and these notes. It was hectic, running from photocopiers to printers (different machines did the work, unlike now). Passing around a document to get signatures was more hectic than the contract itself. Paper trails were the norm, basically. 

**So, you’ve seen innovation play out by the reduction of papers?**

Absolutely, it’s my favorite part of the entire growth, achieving more by doing less. There were days when the machines jammed up, and my emotions followed suit, spending useful hours on unnecessary tasks.  

**What was the story behind your joining the company? How did you discover AFEX and what made you decide to work here?**

A friend (Sam Ukoh) told me about AFEX; he was here before me. A funny twist is that he left and returned, So I guess AFEX must be such a good spot that you’d be willing to return after leaving.  As to what made me decide to work here, it was essentially a healthy environment where I could work, develop relationships, and live a decent life. 

**A decent life! Would you say you’ve had an incredible journey over the years? Tell me some of the things that have happened in the last 10 years.**

My journey in AFEX has been one fun ride, filled with highs and lows, celebrations, special moments, and lovely memories.
A lot of things have happened, just like our transition from paper to paperless, moving from the analog to the digital in terms of spreading information, keeping records, and the business as a whole.

Since I joined, we’ve moved from 7 warehouses to having over 130 warehouses in Nigeria. That’s tremendous growth. That’s not even the entire thing. Our movement into East Africa while operating certain things from within the country wows me till today. The experience has been thrilling; the more you expand, the larger the rough work. I’m grateful I get to look back and appreciate the beauty of the journey.  

Before now, someone could walk up to you and say, “Help me pull GRN from 2015,” and you’d have to go to the little cubicle room where we kept all the files to search; it was a lot of work, but now you can get the data in 5 minutes or less.

**This is the second time; it is like the manual GRN dealt with you.** 

Yes, oo. It did. A major source of frustration, then. 

**So, has any other thing happened to you?**

I have enjoyed growth from AFEX.

**What does growth mean to you?**

First, If I left AFEX today, I could work in many industries and thrive as a salesman, marketer, and data analyst. That’s what working here has done for me. It has tested me to do a lot that I may not necessarily have loved but it has made me grow. Heading the logistics team has opened my eyes to a lot of things that are beneficial to every company that's into buying and selling. Logistics is the heart of the business. If you don't get logistics right, nothing can move. Everyone needs it, you cannot run away from it or shy away from it if you must grow.

I also got my first car here; it was an official car from when I was moved to the field, and my first landed property too. 

**OK, what excites you most about working in AFEX and our evolution?**

A lot. I have always said that AFEX is like an academy, an arsenal where talents are brewed. you could come in as a young champ with little to no experience in your career and excel in no time. All you have to do is tap from the wealth of experience of the other people here. Also, character and personality building. I’ve met people who swore they couldn’t talk in public and give leadership talks, but now they can. 
 
You can see our evolution in our numbers. The staff strength has always been a wonder. The biggest growth here has been the Project Black Panther and moving outside the shores of Nigeria.

**Is that your best memory? You know you have to choose, right? You are just going around the question.** 

I'd say my wedding. I didn’t expect the turnout during my wedding.  People showed up and showed out. My house was quite full the turnout was massive; I was as happy and surprised.

**It pays to be loved; what important lesson has your work at AFEX taught you?**

There’s no limit to what you can do anywhere. People’s belief in you is not enough; you need to realize you’re the real deal and work with that realization.








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How AFEX logistics has grown in 6 years through the lens of Ajia Abdul-Kadir.

_Dalhatu Abdulaziz is not just a staff at AFEX, He is part of the family. He joined the company when it was still a dream in the founder’s garage, and together with others, he helped make it a reality. Abdulaziz had no idea about commodities exchange work when he joined AFEX as a new job seeker, having left his teaching job in Zaria._

_New to the industry and adulting at the time, he has grown to become one of the oldest AFEX Xperts. Here, he talks us through being one of the pioneer field officers and now a strong believer of the BaWasa movement while recounting some of the experiences he has gone through since joining AFEX. He tells us about the challenges and joys of working in this field, and how he finds meaning in his work by bringing food and happiness to people in need._

**We want to hear your story. How did you become a part of AFEX? What was it like in your early days as one of the pioneering Xperts?**

I was there at the inception in 2014. Prior to AFEX, I and some others were employed by a company named Collateral Management International (CMI). We were trained for different roles, such as managers, admin, and operation officers, to work at the warehouse.

I joined AFEX through CMI.  When their contract with AFEX elapsed, though they were operating in Nigeria, those that wanted to continue with AFEX were left to leave. It was a question of: “Do you want to stay with us, or would you like to port to AFEX?”

In the beginning, we were barely 25 workers with 4 warehouses across Zaria, Makarfi, Saminaka in Kaduna state, and Dawanau in Kano state. In my early days at AFEX, I was an Operations Officer in charge of quality assurance. I was tasked with receiving, stacking, and ensuring the grains were in good condition before dispatch.

**Wow, it’s interesting that you witnessed the whole of AFEX; what moment stands out the most for you?**

A memorable event I would never forget was in 2015/2016, in one of our warehouses in Zaria, I was at the farm when I received a phone call from a security officer asking me to come to the warehouse immediately. 

I was a bit taken aback because I could hear the panic in his voice; when I asked him to tell me what was going on the phone, he insisted I come to the warehouse because it was an emergency. While he was speaking, I could hear muffled conversations in the background, but I made out, “Where are the keys to the stores?”. I became scared myself; on rushing down there, I saw about 25 trucks and 50 laborers loading those trucks while our security officers were handcuffed with guns pointed at them.

I tried to talk with them, but they claimed they were SARS officers with court orders. I kept shouting that I was the assistant manager, but they wouldn’t hear me. They kept saying they would only speak with the manager.  I had to rush to report the incident to the nearest police station. That was the most terrible day; we lost over 20 trucks with maize worth millions of naira. I felt hopeless and helpless. 

**You’ve gone through some scary times with AFEX, but you’ve also had some great ones. In all of this, what is the most cherished memory you have with your fellow Xperts?**

That would be the getaway/retreat we had at The Yankari Game Reserve in Bauchi State. We had fun, which was a way to know my colleagues beyond the working environment. It shows that Xperts has the perfect balance of fun and work.

**Now, let’s switch gears and focus on AFEX’s growth. What makes you passionate about being a part of AFEX and how do you feel about the progress so far?**

Judging from the incident at the Warehouse, I thought I’d be laid off; however, I was given another chance. So, I’d say it is how we are treated without discrimination. Also, there has been no default on salaries *Laughs*.  My health insurance and that of my family being covered is a big deal for me. I enjoy what I do because AFEX enables me to help farmers eliminate the constraints that prevent them from growing and selling their products. We are in a race to fight poverty, and food hunger and ensure all-year production of commodities in Africa. 

**What’s the biggest change you have experienced at AFEX so far?**

I was transformed from being a classroom instructor to an agricultural machine. In essence, I am now trained to understand every rudiment of the warehouse and how it functions. These are some of the positions I have held within the company:

- 2014 - Operation Officer.
- 2016 - Warehouse Admin.
- 2021- Operation Supervisor Zaria Processing Plant.


**Has the expansion into other countries caused a change in how things are done in your team?** 

Not really, my job description required me to change location. 

I used to work very close to home. Since coming to work here, I have noticed a significant growth in my knowledge about the use of computers.

In the beginning, it was Sorghum and Maize storage, but we’ve advanced to other commodities like Soybean, Cocoa, Cashew, Ginger, Sesame, Wheat, and Paddy rice. Now we are also closing the gap in financial inclusion for farmers. Our #Trade on the go, ComX, are some of the transformations and achievements I have witnessed in AFEX. 

**How has working at AFEX changed you as a person or a professional? What is the one thing that you have learned here that you will never forget?**

The most important/best lesson I’ve learned is that there’s strength in working as a team. We succeed faster and better when we play our part in a team. As long as each person delivers their absolute best, then nothing is possible.

**What is your vision for AFEX’s future? How do you want to contribute to its growth and impact?**

I see AFEX being Africa’s commodities exchange reference point, and insha’Allah, we will succeed with how we are going by. BaWasa!

My gratitude goes to my mentor, Mr. Ayodeji Balogun, the Xpandable Xpert. I’m really grateful for carrying me along to be part of the commodity trader diary.





Nine years feeding Africa through effective outreach and secure storage

Whether you are a farmer, a processor, or a trader, there is a high chance you must have engaged with our clearing and settlement tribe from AFEX in some shape or form. This is the squad that is responsible for commodities procurement, resource management, sales operations, and client relationships to ensure a smooth flow of AFEX’s commodities sales in Africa. 

![129A5676.JPG](/uploads/129_A5676_d5bb15b343.JPG)

On Tuesday, April 25th, we celebrated the first edition of the annual Clearing and Settlement Week; an event that sought to applaud the tribe’s success, achievements, and grit since the inception of AFEX in 2014. It was a fun week filled with seminars, excursions, shout-outs, giveaways, and more thrilling events Asides from recounting the numerous hurdles that had been crossed, it was also a time to re-strategize, re-evaluate, and re-energize on the operations moving forward.

![129A5648.JPG](/uploads/129_A5648_a153432436.JPG)

The event emphasized the importance of working together across all departments, as teamwork is essential for creating a better and simpler work environment. As a Pan-African organization, AFEX is on a mission to be a reference point for commodities in Africa and this requires that the process of clearing and settling financial transactions follows the order of accurate and prompt delivery of funds from the buyer and securities to the seller.

Every day, the Exchange arm of our business ends each trading day with many matched trades.  For the market to work seamlessly, demand and supply activities on the platform need to be cleared and settled quickly and effectively. This is the role of our Clearing and Settlement Tribe (department), who ensure that all supplies are settled, and all buyers are invoiced. The sellers receive their payments, and the buyers pay their dues within a set deadline to maintain a steady cash flow.

![129A5567.JPG](/uploads/129_A5567_1d14a47cda.JPG)

![129A5700.JPG](/uploads/129_A5700_96ea066b37.JPG)

At the centre of the discussion at AFEX’s Clearing and Settlement week was how different teams can collaborate to improve and simplify solutions for the specific challenges that affect the smooth operations of logistics, the physical market, AFEX’s technology systems, and the customers who are the heart of the tribe. The topics included how to ensure cash availability, timely collection of funds, proper registration of farmers, communication, and prompt payment, which are vital for building and maintaining customer trust.

![IMG_2307.jpg](/uploads/IMG_2307_48ade40c8b.jpg)

The Clearing and Settlement Week was a great experience that showed how technology and innovation have made a big difference for the tribe, and AFEX as a whole. We will continue to celebrate our wins in the improvement of our data analysis systems, KYC procedures, and technology systems while continuing to collaborate to drive the accessibility, reliability, and viability of the Exchange’s processes and operations. 

_Written by Gloria Oshuare Aigbavboa, Clearing and Settlement Intern._

Everything you need to know about the Clearing and Settlement week at AFEX.

_Imagine being part of the earliest members of an organization hanging the narrative of commodities trade in Africa. That’s the thrilling journey that Nancy Olisakwe has embarked on for almost a decade. She joined AFEX as one of the first Xperts, starting as a System administrator and rising to the Vice president of Clearing and Settlement. Along the way, she has faced many obstacles and opportunities, but she never lost sight of her passion and professionalism. Every day, she strives to excel in her role and contribute to the success of AFEX._

**Hey Nancy! Welcome, it’s a pleasure to have you here.**

Thank you for having me.

**We’d love to hear the story of how AFEX came to be. How did you experience the first steps of this amazing journey?**

Interestingly, I was gisting with someone about our first days and jokingly mentioned there was no AFEX at the beginning; we did not have a physical office and operated out of the lobby of Transcorp for about a week.  

On some other days, we had to work from the basement of another entity which doubled as a partner company, but as time went on, we got a space and went into full gear. Another important detail is that we didn’t start as a trading entity even though we were pursuing to be licensed as one.  The journey has been very interesting. We started with 3 warehouses, but today we have over 130 warehouses, not just mini warehouses; these are very well-equipped large, capacity warehouses in Nigeria, Uganda, and Kenya.

We started off with just 3 staff, a few field officers, and right now, we have close to 2000 staff strength; on the other hand, we had just a few clients who trusted us, about 2 or 3 clients, but right now we can say everyone wants and is willing to go into business with AFEX.

**That’s incredible! How did AFEX manage to keep the business going with just 3 people on board?**

At that point, we couldn’t say we were spinning the wand, but it was a truckload of heavy work and hard work. It was rough; I remember us jotting down every instruction Deji gave about transactions while manually processing payments. It was an intensive paper-driven process between Lagos and Abuja; we had to send instructions to Lagos to effect payment because we didn’t have a finance team on ground in Abuja. 

In the early stage, we tried different waves of technology that didn’t go in our favor; however, this birthed the need for us to develop our own software that would be tailored to our needs. This led us to build WorkBench and every other app we have today.  


**How did you land this opportunity to join the company at such an early stage?**

Prior to coming here, I had a background in call center operations. A friend mentioned that an organization in Abuja needed the skillset, and the person had to be proficient at speaking Hausa.  I gave it a shot, started the process, and after 3-4 interviews, I was invited for an induction. The induction was exciting because it had Tony Elumelu in attendance.  My happiness was a bit dented when I discovered we were starting something new with no solidified structure. 

**You have such an inspiring story, and I’m sure it has led to many amazing outcomes. In your decade-long journey with the organization, what are some of the highlights that you have witnessed or been part of?**

The biggest for me is the culture shift; I’ve seen a transformation from a rigid to a flexible structure.  When we started, this culture didn’t exist. This is one of the lovely things about growth; you get to discard things that don’t work and embrace the ones that promote productivity.

In the beginning, we were focused on resumption time and dressing style.  Staff was focused on maintaining these rules rather than focusing on how to get better at their roles, after feedback, we had to repurpose and focus on deliverables rather than the other factors that make the workspace tense and unproductive.

The second would be technological growth as I mentioned earlier, everything was previously paper-driven, and when we started using 3rd party innovations, we met roadblocks because they didn’t fit.  Now, we have technological innovations tailored to our needs, i.e., if I need to do reviews or analysis, I don't have to be in the building, unlike the server we had before, where you couldn’t leave the office until you were done with your analysis. We have WorkBench, ComX, the Logistics app, and a host of others now.

**What was your first position in the company? How did you begin your career here?**

I think many people can relate to this twist; I was supposed to resume as a call center manager, and voila! It was a system administrator role. Whenever anyone came to me because they had system glitches, I’d remind them I knew nothing about tech. 

After that, it changed to the Trading Manager, and now it’s Vice President, Clearing and Settlement. I’ve transitioned and done multi-level roles- HR, Outreach, Event planning, and Office administration. Now, I am both VP, Clearing and Settlement, and Market Controller.  


**I’m curious about how the growth of the company into other markets has affected your team. Have you had to adapt your strategy or approach? How has this impacted your role and responsibilities?**

Technology has influenced me positively here. A safe landing from the menace of manually induced stress. Before we had to upload transactions into the banking software manually, then the next day, we would check the statement to see if it was successful and then manually upload it into the software again. The process encompasses from the WorkBench to banking platforms and then back to the WorkBench manually which alone led to a lot of errors of omission, commission, and all other sorts.  

Now we’ve created a system that will allow an automatic flow of transactions instead of manual invoicing automation because of the large volumes we’re trading. The new WorkBench and ComX app has been unique in solving the issues we had.

**What is an important lesson you have learned from your work at AFEX?**

Think big!

**What does thinking big mean to you?**

As I mentioned, we started on a very small scale, but we had a vision that we would build a Pan-African exchange that would support commodities across Africa.

In fact, a global exchange would support commodities trading; although the journey or how we were going to achieve this was unknown, we kept the dream big. there were instances where challenges didn't allow us to go through with the part of the strategy we had planned, but we focused on the goal.

**What is the most unforgettable moment that you have shared with your fellow Xperts?**

It’s really hard to choose one when you’ve experienced a lot, but I can't forget in a hurry when I had my babies, the whole community came out for me I felt loved and appreciated for the first time. The support had me crying. 







AFEX Xpansion Story: What it is like to work in AFEX for 9 years

_Applications are now open for the hackathon component of Code Cash Crop 4.0 and here is everything you need to know about it._

It’s time to roll up your sleeves, put on your thinking caps, and join us for the fourth edition of the AFEX Code Cash Crop ag-hackathon. This year, we are bringing together the brightest minds in the agriculture, finance, and technology industry across Africa, in a Pan- African ag-hackathon designed to build revolutionary products for ‘scaling market-led solutions’ in Africa’s food systems.

Over the years, the African agritech industry has made significant strides in addressing food system challenges and ensuring food security for the growing population. However, in fully realizing this goal, the convergence of agriculture, finance, and technology is crucial in providing innovative and scalable solutions in the value chain.

Code Cash Crop 4.0 ag-hackathon provides a collaborative environment for African youths to generate innovative ideas and prototype new solutions that merge agriculture, finance, and technology to advance market-led approaches in the food system.


**Code Cash Crop 4.0 ag-hackathon scope**

- 2 countries (Nigeria and Kenya)
- 30 selected participants to pitch and network at boot camps
- A whopping 10,000 dollars prize
- Internship opportunities, mentorship programs, panel discussions
- Industry-leading judges and speakers from the 3 sectors – agriculture, finance, and technology.


This is more than an ag-hackathon; it is a movement of disruptors and game changers. Applications are now open to interested participants in Nigeria and Kenya to submit proposals, proffering a solution to any of these three challenges to qualify for the next phase of the ag-hackathon:

1. **The data challenge**: Develop a price data mining database that can be accessed through the web or mobile devices, serving as the go-to source for pricing information in Nigeria.

2. **The extension challenge**: Create a USSD application and supporting infrastructure that provides personalized capacity building and real-time agronomy support, while also addressing language barriers for an immersive experience.

3. **The logistics challenge**: Develop a warehousing solution that allows farmers, off-takers, and processors to easily request storage and logistics services in real-time and have their produce dispatched with engaging experiences. The solution should prioritize accessibility and communication, particularly for farmers in rural areas.

You can find more details on the challenges **[HERE](https://drive.google.com/file/d/18CZmSc9pZv5Q5VH_ciuBWE8vxFWAhPlG/view)**. Remember that your proposals must reflect realistic business models and contain the following segments: the key value proposition of your solution, SWOT analysis, target customers, and your business strategy.

**Who are we looking for?**

If you have a passion for developing scalable solutions in the agriculture, finance, and technology sectors, this ag-hackathon is for you. Your solution would be graded on:

1. Alignment to either one or more of the indicated challenges.

2. Depth of solution

3. Viability, scalability, and sustainability of the solution

4. Quality of proposal


**How to submit your solution**

You can submit your solutions **[HERE](https://africaexchange.typeform.com/to/W9FZCSOZ)**. Remember the deadline for submission of proposals is May 30th and 30 lucky participants will be selected to pitch their ideas at designated bootcamps across Nigeria and Kenya.

Goodluck!!!

Get Ready to Hack: Code Cash Crop 4.0 Ag-Hackathon Registration Now Open!

More than 500 billion cups of coffee are being consumed across the world annually and this market is expected to grow at an average annual rate of 5.32% between 2020 and 2024, a report by the World Economic Forum reveals. Interestingly, Uganda accounts for a large amount of coffee produced in the world, ranking eighth globally and second after Ethiopia on the list of the world’s largest coffee producers; with coffee being a major export commodity and a source of livelihood for millions of people, including smallholder farmers.

According to the Uganda Coffee Development Authority, Uganda exported 3.6 million 60kg bags of arabica and Robusta in 2015, with a turnover of $450 million in revenue. In 2021/2022, the number went even higher, as Uganda’s coffee exports increased by 23%. In Uganda, an estimated 350,000 to 375,000 MT of coffee is produced annually. The country is known for leading in the production and export of Robusta coffee as 3.3% of Uganda’s coffee exports are certified coffees.

![WhatsApp Image 2023-03-01 at 8.42.45 AM.jpeg](/uploads/Whats_App_Image_2023_03_01_at_8_42_45_AM_64c4d7f1c1.jpeg)

Despite this growth, smallholder farmers in Uganda still face various challenges that limit their productivity and profitability, including limited access to information, training, finance, and quality inputs, among others. But these challenges have a promising solution; unlocking the potential of Uganda’s coffee value chain by introducing innovative strategies to improve the capabilities of key players in this sector for more exquisite blends of coffee and improved livelihoods.

A key component of ensuring sustainability and prosperity in the coffee value chain is access to finance. This is a major challenge for smallholder coffee farmers who lack the collateral and credit history to secure loans from banks and other financial institutions, making it difficult for them to invest in their farms, purchase inputs, and improve their yields. To address this challenge, stakeholders in the coffee industry, including government agencies, financial institutions, and development partners, can work together to provide affordable and accessible credit facilities to farmers for better productivity. Additionally, we must ensure smallholder coffee farmers in Uganda have timely access to quality inputs such as seedlings, fertilizer, pesticides, and other agrochemicals to increase productivity.

There is also an increasing threat from climate changes such as incessant rain patterns, and unfavorable changes in temperature that affect coffee yields and quality and increase the incidence of pests and diseases. To unlock opportunities in the coffee value chain, it’s important to address climate change and promote climate-smart agriculture practices such as agroforestry, the promotion of the use of drought-resistant varieties, and establishing monitoring systems that provide early warning systems.

![WhatsApp Image 2023-03-30 at 9.33.05 AM.jpeg](/uploads/Whats_App_Image_2023_03_30_at_9_33_05_AM_5ed1e3c259.jpeg)

Technology adoption is also critical to unleashing the potential of Uganda’s Coffee strength. By embracing modern technologies such as mechanization, irrigation, and precision farming, smallholder farmers can increase their productivity and efficiency, reduce costs, and improve their crop yields. Therefore, stakeholders can work together to provide the appropriate training and support to smallholder farmers on adopting modern technologies. It will also help to establish market information systems that provide them with real-time information on prices and demands for a more collective bargaining power in the market.

While these strategies could work for bolstering economic growth in the industry, it is crucial to ensure that women, youth, and other marginalized groups are included in the coffee value chain. This can be achieved by establishing gender-sensitive policies and programs, promoting youth entrepreneurship, and involving smallholder farmers in the decision-making process both at the grass root, state, and federal levels. 

In the end, brewing opportunities in Uganda’s value chain requires a holistic approach that addresses the imminent challenges faced by every key stakeholder across the value chain. By implementing these strategies, we can create a coffee value chain that benefits everyone involved, especially farmers who form the backbone of the sector and contribute to the growth of the coffee industry in Uganda. 

_Written by Abdul-Hafeez O. Odunsanya, Managing Director, AFEX Fair Trade, Uganda. _

WhatsApp Image 2023-03-30 at 9.33.07 AM.jpeg

Brewing opportunities in Uganda’s Coffee Value Chain

Sometimes, the luxury of life is experienced in our little interactions with people we come by daily. For someone like Victor, a Clearing and Settlement Analyst at AFEX, social interaction is an essential currency to climbing the corporate ladder and he recognizes the beauty of life as a series of butterfly effects.

In this episode, he shares with us his perspective on how local delicacies can transcend tribes and how a perfect balance between social and career will help anyone win at life. 

**Hello, welcome. Can we meet you?**

My name is Victor Umoru, and I’m an Analyst in the Clearing and Settlement tribe at AFEX. I belong to the settlement part of the title; I stay on the payout for all ComX transactions leaving the organization.

**The ComX app? What does that entail?**

Yes, I oversee every payment transaction, which means I need to always be on my toes, checking that there are no errors and that everything works out fine.

**Tell us about you; interesting facts we may not know, perhaps you are team cash and no transfers. And in that case, how have you been surviving in this cashless economy?**

In this cashless economy (laughs). Omo, I don’t have a choice between cash or transfer; it is the choice of that woman that sells food behind that car park area. But yeah, I’d rather use physical cash sha. It allows for easy movement. Also, I read about it in that *What is your financial love language? [article on ComX](https://medium.com/comx-stories/whats-your-favorite-money-love-language-142652155e90) *. I understood my financial language more after reading that piece.  

However, what I’d say is the most fun about me is people’s confusion about my personality. I agree that I may seem quiet because of my looks; someone once said I am the human definition of “you look quiet.” The thing is - I really am not. People who have spent more time with me say I am much of a talker and much more outgoing than I initially seemed. Also, I am a non-Igbo who eats Okpa (the delicacy that looks like moi moi) almost daily; that counts as interesting abi?

**Yes, it sure does; really interesting.**

You’re welcome.

**What tool makes your job seamless as a Clearing and Settlement Analyst at AFEX?**

Some platforms do the work for me; I can't put the glory on just one, as I work a lot with finance and attending to the needs of our investors on the ComX app. So, a combination of payment portals, bank apps, and Excel do the magic for me. If one works and the other doesn’t na wahala. A day where I get no troubles from all of these turns out to be the best day in the month, and this is due to the rarity of such. 

**What are your earliest memories of working at AFEX, and how long have you been in AFEX?**

I joined in October 2022, and my earliest memories would go around our social life here: The AFEX’s movie outing for Black Panther relaxed me because I have never worked with an organization that cares about your career and balances out your social life. The reward system helps you bond with your colleagues, which is quite refreshing. I’m building on my social capital. Please permit me to spin around “Social Capital”, I’ve been longing to use it.

**Has working in AFEX improved your career journey?**

People only fully grasp their growth once they look back; I recently did a mental check. I realized I had advanced mentally and career-wise in the organization, owing to the incredible people I have met in AFEX. Also, returning to the social capital I mentioned earlier, I’ve always wanted a place with a great bond. I don’t mean James Bond oo; I like that we have time to be serious and business-like and also cruise time. 

**Has your expectation of AFEX been met?**

Before coming to AFEX, I saw a post about “helping Africa feed Itself,” I thought it was one of those lofty and vague visions organizations put out to sound inclusive. However, coming and working here has shown me that it is possible, and AFEX is doing this. So, looking at us pursuing and bridging the gap is an eye-opener, and I'm grateful I am here to help.

**What advice will you give anyone looking to work with AFEX?**

There are few AFEX out there, so if you want to come here, persevere. My current role wasn't the first application I applied for, but I continued applying until I got here, and now I'm also ready to help Africa feed itself. Watchword: Relentless. 


Working in AFEX has shaped my thoughts toward Agriculture advancement in Africa -Victor Umoru   

In this episode, Simi Musa, a Customer Fulfilment Intern at AFEX, a lover of the word “serene, and a melomaniac gives us an insight into a Gen-Z working in a corporate space. She takes us through her journey of learning about the agricultural sector in Nigeria while working to be an excellent customer service agent. She shares with us her love for creating solutions to help people, and how her working environment influences not just her corporate career but serves as a ladder to reach all the positive energies required to go through a day.  

Let’s meet her. 

**Hello, welcome to our seat.**

Thank you. Is this meant to be a corporate version of “Is this seat taken”? 

**“Is this seat taken”?**

 It’s one of the YouTube series I binge-watch at any given time so if this is it, Yay!  Also, check out the web series later; you’d love it.
 
**Lmao, I love your excitement about this. Do you like music as much as you love movies?**
 
 Look at my ear. I always have earbuds on; this is my average thing to do when not on a call with customers.  It’s probably the most soothing thing after a hot bath on a cold evening or even a hot one. I read somewhere that the steam stimulates your body to adapt to the temperature. That’s a thing you know. 
 
**It’s funny; we don’t even know your name yet; what’s your name?**
 
 My name is Simi Musa, Simi not Simisola or Simioluwa. Fun fact, I'm not even Yoruba. I am from Plateau State, my tribe is Berom, one of the several indigenous tribes in the region; my name Simi means Love. Just as I am *Laughs*.  I’m currently interning with the Customer Fulfilment squad here in AFEX, where we answer calls and solve clients’ and customers’ issues.  
 
**How did you find out about AFEX?**

Through a friend who coincidentally works here. We were catching up on our positions in the career world, and he mentioned AFEX; instinctively, I had to check the company out. So, when I saw an opportunity for my current position, I applied. Luckily, it was a role I love. 

**I love it; what tool makes your job seamless as a Customer Fulfilment Intern at AFEX?**

I speak for my team members and myself when I say Hudu- Avertium. 

It helps us integrate and track Info on calls we have had with AFEX’s customers over time. We use it to make calls; if we were to use any other platform, getting reports would be almost impossible. So, it makes your work easier, more efficient, and more effective. For me, tracking info is vital because I wouldn’t know how to track the information of close to 50 clients per day without it. 

Our position (Customer Fulfilment) is an intermediary between the organization and the customers. If we are uncouth with them (clients and customers), it sets off how the entire AFEX will be seen. Have you ever experienced bad customer service with any brand? Did you blame the brand or the person that spoke to you? The truth, is you begin to see the brand in the way its representatives treated you. So, every time I have to relate to customers, I do so amicably, no matter how I feel then. 

**What informed this current career path? You mentioned loving it earlier.**

I am a great listener and always look to solving a problem. I have a positive attitude toward helping people and playing middleman. If I apply these qualities to my daily life, why not pursue them as a career? I got into the best team ever. People complain about the positivity, and those are people who barely know me, though; they think I fake it sometimes. I’ve had someone tell me they thought I was faking my constant brightness. No, dear. I shine with positivity, and that’s on purrrrr.

**Big Energy, we love! Has your expectation of AFEX been met?**

I need to put this out, this is my first time working in the Agric space, so I came in for an exploration mode. AFEX shows that the agricultural value chain is broader than we would ever think about.  Here, I learn something new from every conversation I have with Xperts. The additional knowledge I get beyond relating to customers makes me smile. I can go on a 10-minute talk about technology in agriculture and not stop. I just learned the definition of AFEX in July 2022. So yeah, it met my expectation.

Oh, one last add-on, I’m grateful for empathy from colleagues. I may be a naturally happy person, but we know if you have negative energy around you, it could all sap out. So I’m grateful they help me keep it in.  

**What funny thing can we find in your bag?**

I think “funny” is relative here. So, you’ll see these random things in any bag I carry; I always have sweets, a comb, tissue, and two different types of lip-glosses, my otrivin, to combat my allergy reactions. Do you know how pregnant women have their delivery bags? Well, these are the contents of mine, to get me by any day and occasion. 



Empathy sets the tone in a corporate setting - Simi Musa

We’ve heard how introverts are quiet people who are introspective and always want time alone, however, Adeshola Maryann is probably the most memorable introvert you’ll meet in a workplace because of her beaming smile, a trait that got her the title of the smiling princess at AFEX.

In this episode, she shares with us how an ideal day involves her cooking/sleeping or even doing both if it was possible. She also delved into her role as Clearing and Settlement Analyst at AFEX, how she spends her time away from work, and what real introverts do.

Let’s meet her.

**Hi Maryann, welcome to the seat**

Hello, thank you for having me too, Firstly, is this a serious professional kind of interview? Do I have to speak in career lingo? I’ve used up every business term I have for the week.

**No, it isn’t, why were you worried about the interview at first?**

Lol, I wasn’t worried per se; I thought it was a video, and I wouldn’t say I like the camera, and I also don’t have my favorite blazars on. It’s my lucky camera charm.

**Uhmmmm, tell us more about you, exciting facts we may not know already know; we know you have a lucky charm already.**

You know when you’re asked a question and suddenly do not remember anything about yourself abi. That’s what’s happening. I can’t even remember my favorite food now. 

But I’d say it is my ability to enjoy my presence alone. Not many people want this, so I guess it will count as an interesting piece about me. Introverted people may shy away from crowds, but they would like the company of others. My case is different; I love being absolutely alone; it helps me relax and focus better. 

**Does this affect your performance here in AFEX? Seeing that you need to relate with your team members constantly.**
 
No, not really. I join in on jokes and every other thing once in a while. Besides, you can’t stay with people and be mute forever. My role involves many calculations and that is what keeps me going too. People know I am heavy on the quantitative area, so you can’t expect me to talk when I am computing data. 

**How did you join AFEX?** 

A close friend introduced me to AFEX in 2022, when I was looking for a company to serve as my place of Primary placement, and she told me to try applying to AFEX; luckily for me, I got in, and I’m here replying to these questions.


**What has working in AFEX taught you so far?**

Since I started working at AFEX, I’ve gotten better at applying Tech to everyday life. I’ve also improved my PowerPoint and Excel skills, which has really improved my productivity and helped me scale through. 

The beauty of the combination of both learning and practicality is the best for me. I could learn about a particular app today, and I’ll have to use it tomorrow. This way, it sticks to the memory, and you record actual growth in that regard.  I’ve been impacted greatly, and I am grateful. 

![129A3608.JPG](/uploads/129_A3608_4e41376c74.JPG)

**How would you define the impact?**

I’d say my mindset/expectation was changed. 

When I got in, I thought an interning position would be an excuse for menial jobs and be everyone’s go-to person to get food and run errands in the office. But on reaching here after the onboarding, I was immediately assigned to a team and tasked with responsibilities task; it was pretty shocking and exciting. 

**When you’re not at work, what do you love doing? What excites you the most?** 

Honestly, being by myself is gold. I enjoy my own company because I’m introverted.  So, I’d say lying in bed and probably surfing the internet excites me. However, occasional cooking helps calm my nerves, and I look towards getting new spices and trying new recipes. 

**If we searched your bag, what funny thing would we find?**

You’ll find a couple of things, and I’m unsure what to term funny; I always keep a lip gloss in the bag because a lady shouldn’t be caught with dry/ashy lips. It’s my number one rule on etiquette.

**Do you have more etiquettes we need to know?**

Quite a handful, a little and a little there, something I know many are aware of too, wash your hands after using the toilet, never leave an unfinished food open etc. 

Thank you, Maryann, it was wonderful having you here. 
You’re welcome. 








How the combination of learning and practice helps Maryann internalize new things.

Ask anyone who works in tech, and they’ll probably tell you a version of the same story; tech is challenging but it’s fun. For Hemense Lan, a Software Developer at AFEX, the transition into Tech was quite interesting. 

In this episode, he shares his honest insight into life, the inside life of a tech bro in a 9-5.  His undying love for philosophy, the mantra that has kept him running in his career, and how being surrounded by family is the biggest motivation that will get you to any destination in life. 

**Hello, tell us about yourself, in “Emmanuella’s voice,” is this your real face?**

Lol. I am Hemense Lan, a different person to different people; I mean, the version of Hemense at work differs from the one in the office; centrally, I’m loved by all. At home, I’m goofier with my siblings. For corporate life, I try to balance out the two. All work and no play will drag you down, so I don’t want that. 


**What was childhood like for you? You just mentioned you’re goofier at home.**

My childhood was rich in laughter and playing around. We all grew up imitating the brightness of the sun. At least, that’s something someone told me. My siblings are my biggest support systems and cheer persons, so naturally, my home is my happy space.

**I see now, the reason, you’re almost always cheerful. **

Yeah, that and my teammates too. When we’re not cracking codes, we definitely are cracking jokes, or doing both at once. 

**Speaking of which, how did you find out about AFEX?** 

It was the middle of last year when I was looking for a career change, and I knew I needed to do something different in a new environment. So, when I stumbled upon an opening for a software developer role in AFEX, I grabbed it. Mind you, I’ve loved playing around with computers since I was little Funnily, I applied in passing (One of those jobs you apply for and do not expect a reply or forget). In my case, I forgot that I had applied, I was randomly going through my unread emails for unopened messages and realized I got a slot for an interview.  Also, shout out to LinkedIn for directing the role to my timeline. 

**This is a real “God when situation”, would you call it luck or grace?**

Is this like that religious luck or grace question? I’ve seen a few skits on this.  But it’s grace, always grace. The thing is I forgot because I was caught up in a lot of things then. Questioning where I was and what I wanted to be and do.  

**Okay, has working in AFEX impacted your career journey so far? Do you think you made the right decision transitioning?**

I barely track that, now you mention it, yeah. There was a very recent “breakthrough” for me. My shoulder pads are still high from the event. 

**Please tell us, let’s know if we will help you keep it higher.** 

First things first, Tanner Linsey (Tanstack) is a god in Software development. 

Recently, I wanted to use his component-React table to build software here in AFEX. It came out nice, but it wasn’t giving me what I wanted, I had to look at his source code to see the arrangement of his code. I checked his implementation and combined it with mine and it gave me the exact thing I wanted to create. 

So, the excitement of getting work done made me reach out to him on Twitter and he reacted to it! So yeah, AFEX gave me an opportunity to reach out to my career idol and I am grateful.

**That’s huge, I’ll go and shoot similar shots soon.** 

Oh, please do, it is pleasing and satisfying. I was the happiest person on earth for days. 

**So, what tools would you say make your job as a Software developer seamless here at AFEX?**

So, I’d say Tech-stack.  Coming to AFEX and realizing that we use react and typescript was a blessing in a pack. React is one of the coolest tools out there, it helps you catch the bugs early and also architect your codes better. So, for me, a mixture of this current tech stack and our designing/developing pathway makes coding an easier task. 

Something worthy of note is that if a coder is not properly equipped, frustration will take the person out. As a developer, there are apps that can frustrate your efforts and turn all your inputs and coding futile. This frustration will come if you like coding or not sha. 

**Does coding frustrate you?**

You know the answer, I love coding, easily one of my favourite things after two plates of peppered snails of course. bugs are cruel, they don’t care, just to cause trouble and anxiety. So, sometimes it does.

**Asides from coding, what else excites you?** 

Philosophy! I’ve been a fan since my early days. Guys like Confucius, Socrates, Immanuel Kant, and Plato all inspire me. Also, codes swing the magic wand for me, can’t imagine myself in any alternate universe where I do not code. Finally, music -the soul whisperer. But there’s a twist, I listen to afrobeat and pop, but they don’t “whisper” to my soul like metal, or rock does for me. I recommend people be acceptive of those genres in this part of our world. 

**You mentioned you needed a job transition before joining AFEX. Did you have expectations on joining the Organization?** 

This question is tricky, prior to coming here I had this Google workspace in my head, where you get lunch food carts every day. A break room (that has PS5) and also creative corners, anyways that hasn’t been met fully but I look forward to it. Also, maybe a small pitch. I’ll score us 85/100 on those grounds. However, every other expectation has been met.


**Football in the Office?**

Why do you sound surprised?  For after office hours sha. But we have somewhere we use, so, I’m good on that one. 


**You’re funny, what’s something unusual we’d likely find in your bag?**

Nothing so funny, but I’ll say a sock, but hear me out, I play football. There’s usually a need to change socks before games (I can’t be playing in my corporate socks). Thing is, I keep a football kit in my bag, so when I get home and throw everything out, there are chances that I may forget a sock or a pair in the bag.

**What advice will you give anyone looking to work in AFEX?**

This advice is for anyone looking to work anywhere, you have to know what you want and how the organization will help you achieve it. 

In 2021, Dare Obasanjo said something that struck me and I’ve lived by it “Employment is a transaction, you for the company and the company for you.  

So, in every transaction you should be looking to gain for it, if it is only the company that gains, then you are disadvantaged. Make sure your growth is not impeded, and always leave the office better than you came into it.  


How LinkedIn helped Hemense land his Dream Job at AFEX


Food is not only something we need every day, it is also a complex system of actors and processes that account for one-third of greenhouse gas emissions, according to a report by [FAO](https://www.fao.org/news/story/en/item/1379373/icode/); at the same time, food production is affected by the adverse impacts of climate change. 

Conversations around climate change are not uncommon in our sector; the reality of its effects on food security and the livelihood of rural households is more and more visible. Yet, climate action is not scaling up rapidly enough. With a growing population projected to reach 10 billion in 2050, there is more pressure on the food being produced, and a reduction in crop yield would cause more harm to an already distorted food system.

At this crossroads, looking at the larger picture of food and its role in climate change is essential. Agriculture has the potential to accelerate climate action, so how do we shape a food system that nourishes people, restores our environment, and adapts to changing weather? Specifically, how can climate technology transform our food systems to be climate smart, ensuring we mitigate and adapt to the impact of climate change? 

![IMG_3796.JPG](/uploads/IMG_3796_98fe02926b.JPG)

In Nigeria for example, smallholder farmers are experiencing climate disasters, including increased flooding as well as drought across some states, which is made worse by a lack of access to seasonal climate and weather information services. The implication of this is a significantly lower production volume across the agricultural value chain. Additionally, one-third of the world’s droughts occur in sub-Saharan Africa, with Ethiopia and Kenya currently enduring the worst droughts in at least four decades. Torrential rains and floods are severely impacting countries such as Chad.

The time to innovate around Africa’s agriculture in the face of a climate crisis is now, however, it will require significant investment. In Africa, climate tech investment is already booming, with more and more agritech startups facing food-related climate challenges head-on. A report by PwC shows that in 2021, investments in climate tech surged globally to $87.5 billion from $28 billion in the second half of 2020. Investment in technologies including AI, IoT, satellite & sensor data, crop insurance and other innovations, can support farmers to better manage climate risks and help agriculture become more sustainable and resilient to climate change.

Through climate technology, increased productivity can be achieved by offering tools and services that allow farmers to prepare and respond to weather incidents, implement precision agriculture, access new varieties of seed suited to new environments, storage facilities to prevent food loss, and access remote soil analysis that helps lower emissions and improved yields. 

Beyond the investment in the tools that allow farmers to adapt to climate change, there needs to be mitigation of further emissions and deforestation to prevent further disruptions to climate and the environment. Appropriate use of agricultural inputs is key to reducing emissions, and knowledge transfer can be supported by agritech as well. Furthermore, the traceability of traded commodities to farmers can identify and mitigate deforestation risks, as is also required by upcoming EU due diligence. Traceability will likely become a requirement for access to markets.

But investing in climate technologies is only possible if the farmers have the appropriate access. We have to intensify farmers’ sensitization on climate-smart practices to help them adapt better to the new realities and gradually build resilience to survive its impact on their livelihoods. Farmers need more access to crop insurance that protects them against extreme weather events and other risks. 

There are agritech companies already working on these strategies. AFEX has utilized technology in numerous ways to ensure transparency and efficiency in several commodity value chains. As with many other agritech companies that are working to transform Africa’s food systems, AFEX’s technology investments are also rightfully expanding to climate solutions. An initial frontier is the combination of partnerships and technology to deliver relevant data to farmers to enable them to combat climate shocks. On the other hand, AFEX’s continued deployment of financing structures and instruments to unlock funding for various value chain operations in African agriculture remains key as an evolving answer to the questions on climate finance on the continent. 

We continue to rethink the future of Africa’s food system in the face of climate change. Our bet is on the prioritization of a data-rich environment with adequate funding being unlocked to drive innovations for adaptation, and technology remains at the center of these endeavors.

_Written by Sanne Steemers, President, Rest of Africa, AFEX._

 Climate Tech for Agriculture: how technology can help tackle climate change in Africa.

Agriculture has been touted as the backbone of Nigeria’s socio-economic development due to its age-long contribution to the country's GDP. As seen in recent reports, the trading business has also undoubtedly boosted economic growth in Nigeria and other sub-Saharan African countries, with Agriculture contributing an average of [24% to the nation’s GDP over a seven-year period (2013 – 2019)](https://www.pwc.com/ng/en/assets/pdf/afcfta-agribusiness-current-state-nigeria-agriculture-sector.pdf). Agriculture is currently the largest sector in Nigeria, as it also accounts for job creation and boosts the economy. 

Agricultural commodity trading builds an ecosystem within which commodities trading occurs directly or indirectly, affecting the activities and development of the commodities market and the Exchanges. Commodities trading comprises various elements such as Farmers, Commodity exchanges, Merchants, Aggregators, Processors, Commodity market operators and Warehouse operators. Through an organized collaboration between these elements in the agro-commodity ecosystem, companies such as AFEX are able to build value and increase economic growth, food security, job creation, and economic diversification across the continent.

Commodity Exchange accounts for most of the income generated in rural areas. Smallholder farmers are equipped with easy access to merchants and warehouse operators, making trade execution seamlessly easy. However, it is essential to note that the price of commodities can be very volatile or relatively stable depending on the specific asset or currency involved. Market factors, inflation, and financial depression can also impact these fluctuations. According to [AFEX’s annual report](https://africaexchange.com/reports/special/afex-annual-commodities-review-and-2023-outlook), possible increases in food inflation, and other inflationary pressures will continue to rise due to the declining production of major grain commodities, thereby reducing the supply level in the domestic market. 

Notwithstanding, with a good ecosystem of operators and merchants, commodities traders can provide vital support for a global model of production and consumption in a complex value chain that includes refining, processing, storage, and shipping. This also brings increased food security, self-sufficiency and food safety through well-functioning markets contributing to a diversified GDP.

At AFEX, our Commodities Exchange has contributed to increased productivity and trade execution. We specialize in soft commodities such as Cashew Nuts, Sorghum, Paddy Rice, Ginger, Maize, and Cocoa. Over the past few years, as AFEX built its commodities exchange trading platform, it has enabled effective trade and settlement commodity transactions and increased productivity of smallholder farmers, as such helping them attain healthy, decent, and profitable farming occupations.

Nigeria’s agriculture sector provides livelihoods to households in rural areas, this sector contributes towards ensuring smallholder farmers are adequately protected. With AFEX’s trade execution, farmers can access output markets, thereby reducing waste, ensuring a year-round supply of focus commodities and steady income generation. The Nigerian government is equally committed to introducing effective policies to improve the commodity trading landscape and protect farmers by integrating new agricultural technologies to improve the sector’s efficiency and increase land productivity.

With proper implementation of policies and infrastructure, the future of the Agro Commodity sector poses scalable and sustainable benefits as the Exchange supports securitization and structured trade finance for commodities.

To trade agricultural commodities, it is necessary to have proper knowledge and understanding of the commodities you need to trade at what time and also to be able to diversify your portfolio. AFEX is happy to help with that - we make available daily data on how each commodity is being traded on the Exchange performs and also do periodic live sessions to educate investors. You can visit the [ComX by AFEX page](https://africaexchange.com/) to trade and invest in commodities. 







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Demystifying agricultural commodities trading

Life at AFEX can be dynamic. Full of new projects, exciting opportunities, and daunting challenges for Xperts to navigate, it makes for a rich work experience that can turn a newbie into an actual expert provided they are willing to show up every day and put in the work. 

In this episode of the AFEX story, we sit with Timothy Akagwu, an Internal Control and Compliance Analyst and an avid Chelsea fan, who shares with us his journey into the Risk and Audit world, his first-ever job interview, what sets the AFEX culture apart, and how Excel is the “Beyonce” of all computing spreadsheet systems.

![WhatsApp Image 2023-03-07 at 10.50.46 AM.jpeg](/uploads/Whats_App_Image_2023_03_07_at_10_50_46_AM_a1759df0ea.jpeg)


**Hi Timothy, welcome to my seat; tell us a bit about you, exciting facts we may not know. Do you love dangerous pets, I recently found out someone has a cub as a pet.**

My name is Timothy Akagwu, an Internal Control and Compliance Analyst at AFEX.  Lol, I’m not even a pet lover. One thing you don’t know about me is that I sing: I’m an excellent musician, only in the bathroom. Honestly, the best musicians and artists worldwide have nothing on me when it comes to bathroom concerts. I’m the best, nothing short of a fantastic performer. I’d say ask around, but no one knows that yet. The concerts are impromptu, but it is my superpower.  

**Our very own artiste. Out of curiosity though, how did you find out about AFEX?** 

The National Youth Service Corps (NYSC) posted me to AFEX for my primary assignment. Before that period, I hadn’t ever heard about the organization. So, I had to research my PPA(AFEX) before coming for an interview with the CEO himself. The interview itself remains a highlight of my AFEX memory to date.

**So, a lot of people don’t get to sit down with the CEO in an Interview and I’m wondering how that went, what made your interview memorable?**

Uhhhh, it’s not every day you see a CEO interviewing for an internship position, I thought it would be just myself and HR, considering I was sent in by NYSC. However, I turned up and met the CEO.  I felt confused, diffident, excited, and intrigued, the feelings were rolling out at the same time. It’s like being happy that I was talking to this person, but also scared that I wasn’t properly prepared for that situation. The end they say justifies the means, though. I left there happy because he commended my confidence, something I thought I lacked then.  

**What are some of your earliest memories of working at AFEX?**

It’s been a minute here; however, one that stands out of the many was the launch of our commodity trading app; ComX.  I came into the company in the thick of the planning and launch of the app. Honestly, every Xpert felt the impact; I’d say it was my own launch into the organization too. Also, after my service year, I had to go to the field to audit, immediately I came face to face with over 40,000 sacks, and my heart skipped. I couldn’t believe I wanted to leave the comfortable office for that. Still hilarious to date.  So, yeah, that and my excellent interview.

**Do you have any tool that makes the job seamless now?**

Microsoft Excel!  

You can only excel with understanding your spreadsheets in this line of work because we deal with numeric data. Inputting, balancing, and all of that awesome stuff associated with data analysis requires accuracy, and Excel makes little to no mistakes with data. So, it’s Excel for the win here.

**So, are you an all-work, no-play person?**

Never, I balance out the equation; all parts have to succeed for the other to be effective. 

**Okay, I see you, which social platform does it for you, and where do you find yourself laughing away?**

Twitter- the bluebird app and TikTok. I doubt you’d ever be bored surfing both apps. Just have an internet connection and bant away!  I’ll give credit to Nigeria’s Twitter; it has the best things to offer, and no matter how you feel at that moment, you find yourself laughing.


**What advice will you give anyone looking to work with AFEX?**

I’d say maximize resilience, and you need to stay on top of trends and understand that dynamics are constantly evolving within the organization. Above all, know how to enjoy yourself because problem no dey finish.

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Timothy’s inspiring transition from a Corp Member to a Senior Analyst at AFEX and lessons on Resilience 

If you have a bag of grains or tray of vegetables in your kitchen today, there’s a 50% chance it was produced by a female farmer. About 80% percent of Africa’s food is produced by small-scale farmers and women account for 43% of this workforce. These are women who till the soil, work tirelessly to feed their households, and even strive to feed a bigger family: Africa’s growing population.

However, an African female farmer today is a farmer who bears all the burden of food production on her tired, busy shoulders with little or no access to land, credit, technology, and markets. In Sub-Saharan Africa, only 15% of landholders are women and they receive less than 10% of credit and 7% of extension services compared to their male counterparts, a [report by FAO](https://www.fao.org/3/I8796EN/i8796en.pdf) revealed. For instance, in Nigeria, women farmers own a smaller share of farmland than men and can’t access credit without consent from their husbands. 

Essentially, equalizing the gender gap in agriculture could boost food productivity and sustain food security for an ever-growing population. We need to level the agricultural playing field for women farmers and address the barriers keeping them from accessing adequate credit for investments in their agribusiness as well as quality farm inputs, advanced farming tools, and techniques to not only increase productivity but bolster their linkages in the food chain. 

To close the gender gap in Africa’s food systems, we need to first establish an intrinsic perception of women as being able to participate in the value chain through financially viable projects. Women are often perceived as a higher risk for financial institutions and money lenders, and this hinders their access to cash flow or finance. As a result, women farmers experience major constraints in seeking access to agro-inputs for increased productivity.

A big part of the solution to changing this perception is to create policies that give property ownership rights to women, increasing their chances of getting credit loans to bolster their productivity on farms. But to make policies for women means to acknowledge the participation of women in fueling growth in the food systems and prioritize women’s education and empowerment across all sectors.

Second, increasing the penetration and adoption of tech-enabled solutions among women farmers is critical to their success in the field. With the significant advances made in the penetration of digital innovations to drive agricultural production, adoption by farmers, especially women continue to be low. Hence, we must prioritize digital literacy training for these women and foster programs that encourage inclusivity and help women learn new skills, receive, and deliver market-related services in the food space.

Although there is no blueprint for achieving gender equality in agriculture, we believe that if women are given access to inputs, and resources and shown the same support as men, agricultural output could increase and potentially reduce food insecurity. With these specific limitations towards women dealt with, we come back to a drive for infrastructure and market support needed to drive productivity and livelihood improvements for smallholder farmers. Unlocking finance, creating market linkages, providing storage solutions, and end-to-end extension support will enable even greater contributions of women farmers to our food systems in Africa. 

Here at AFEX, our operations align with the United Nations SDG 5, which is to achieve gender equality and women’s empowerment, in line with the 2023 Agenda for Sustainable Development. With the right support in storage, capital, and markets, women can make farming and agriculture work. To drive change for women farmers, we are prioritizing women’s leadership to act as a voice for them. Our goal in working with women farmers is to help them create sustainable and profitable farm businesses, where they are financially included in the system and have access to credit and efficient markets. 

Women are the face of our food systems and the frontline of ensuring Africa achieves SDG1, zero hunger, SDG 2, No poverty, and SDG 5, gender equality. In 2023, we must work collaboratively to ensure they have access to the basic tools to make them thrive and improve their livelihoods.

Written by: Nancy Olisakwe, Vice President, Clearing and Settlement AFEX.

Closing the gender gap for women in Agriculture in 2023

AFEX Fair Trade, Kenya, a farmer service company and supply chain solutions company in Kenya has received a certification for one of its warehouses as a warehouse receipt operator. The certification, which was done by the Warehouse Receipt System Council (WRSC) at the Soy Mateeny warehouse in Uasin Gishu county marks the first time that a warehouse receipt operator license has been issued to a private sector company.

Speaking during the visit to the certified warehouse, the Principal Secretary State Department of Trade, Alfred K'ombudo, commended AFEX and said that the government has plans of increasing certified warehouses across the country for the safe storage of farmers' produce. 

"We want to strengthen our Warehouse Receipt System (WRS). This is because it's key to ensuring that post-harvest losses are greatly reduced and that farmers can rely on well-established and well-managed facilities," remarked the PS.

This landmark achievement follows several significant milestones that AFEX has recorded since beginning operations in Kenya in 2021. With 17 warehouses spread across two counties in Kenya, AFEX has registered over 11,000 farmers and traded over 11,000MT of maize. The company also successfully conducted a $1 million input program between March and May of 2022. The company’s Managing Director, Tabitha Njuguna, indicates that this certification will enable it to do more. 

According to Njuguna, “Warehouse receipt systems are fundamental to AFEX’s work in unlocking finance and further strengthening financial inclusion for farmers across Kenya. The benefits of functional warehouse receipt systems are well documented, especially for farmers. Particularly exciting for us is the ability to improve the livelihoods of farmers who work with us.”

Launched in July 2020 by Kenya’s Ministry of Agriculture Livestock, Fisheries and Cooperatives (MoALFC), the Warehouse Receipt System (WRS) allows farmers to hold their produce in certified warehouses where they can be tested, cleaned, graded, and then stored, with the owners of the commodity receiving a receipt as proof of ownership. This provides the farmers with the option to sell their produce when prices are favorable, while also serving the purpose of reducing post-harvest losses in the country. 

“We look forward to a time when every AFEX warehouse is certified and licensed as a warehouse receipt operator, and we are further enabled to provide services to the market in a way that is transparent and fair. We thank the WRSC for their guidance through this process and look forward to more milestones with the team,” said Njuguna. 

The CEO of WRSC, Samwel Ogola, also congratulated the AFEX Fair Trade Kenya team, stating, “The Warehouse Receipt System Council congratulates AFEX Fair Trade Kenya as the first WRS-certified private Warehouse Operator. This certification opens the space for private investment and participation in the Warehouse Receipt System in Kenya. Additionally, the Council recognizes AFEX’s effort in capacity building of farmers, farmer societies, and resident youth and women in the various extension training carried out.”

AFEX which recently announced its entry into Uganda in January 2023 is doubling down on its promise to East African farmers and its contribution to the agriculture sector in Kenya. The company is well-positioned to help more Kenyan farmers grow through the disbursement of input loans, provision of post-harvest storage facilities, and access to markets.

AFEX Fair Trade Kenya Licensed as the First Private Warehouse Receipt Operator in Kenya

Nigeria’s leading commodities market player, AFEX, unveiled its Annual Commodities Outlook report for 2023 in a virtual event on Tuesday, forecasting that the impact of flooding, devaluation of the naira, high logistics costs, and the social-political situation in the country will keep commodity prices at historically high levels, amid concerns of an impending food crisis and global recession. 

The report attributes this surge in prices to the low production volume of maize, paddy rice, sorghum, and cocoa. These commodities declined by an average of 11.5% in the 2022/23 trading season due to price-induced low fertilizer usage because of the Russia-Ukraine war. Climate change realities such as flooding also had a significant effect on the market among other unfavorable conditions. The Annual Commodities Outlook by AFEX also alludes to price pressures being exacerbated by the fact of 2023 is an election year, which could cause some market uncertainty.

In his remarks, during the report launch, David Ibidapo, Head, Market Data and Research at AFEX, explained that “Every year, AFEX reviews Nigeria’s commodity market and gives an in-depth analysis of the outlook for the new year. In the last 2 to 3 years, we have seen the commodities market susceptible to global shocks as evidenced by the COVID-19 pandemic's impact and the ongoing Russia-Ukraine crisis on supply chain and food prices. It’s then critical to monitor the market closely and give an objective picture of these agricultural commodities which would bring transparency and clarity in a bid to ameliorate the impact of the next global shock.”


Despite the economic slowdown, the report reveals that the agricultural sector still shows resilience as it outperformed most sectors, including trade, oil and gas, telecoms, and manufacturing, contributing 27.6% to Nigeria’s GDP in Q3 of 2022.  However, food inflation rose for nine consecutive months in the year reaching an all-high 24.13 in November 2022.

For 2023, the report further reveals that inflationary pressures will continue to rise due to decline in the production of major grain commodities thereby reducing the supply level in the domestic market. 

Providing the outlook for the global commodities market, the report predicts that Maize prices will decrease by 8% in 2023, while prices for wheat, which were anticipated to rise by 36% in 2022, will slightly fall in 2023. Meanwhile, the average price of rice which decreased by 5% in 2022 is forecast to remain the same this year.

In the international scene, “The fertilizer index which rose by 66% in 2022, is projected to decline by 12% in 2023 as supply disruptions gradually subside. Increased input costs, new sanctions on Belarus and Russia, and lengthened export restrictions by China are all positive risks to the forecast. However, the commissioning of some fertilizer plants, which have not yet ramped up to full capacity in 2022, will suppress the positive risks” the report reads. 

Speaking on the commodities outlook for the year, Oluwafunto Olasemo, Vice President, Financial Markets at AFEX said, “The shift in global commodities supply has greatly influenced the commodity market and exposed the vulnerabilities in our food system. There is a growing imbalance between the food supply and the demand of the growing population, putting upward pressure on prices. Developing a holistic approach to mitigate food insecurity and improve the shocks to climatic change, inadequate financing, and low access to efficient markets is a priority. With this report, we seek to provide high-quality, timely, accurate, and accessible data for investors while addressing the real pressing issues of the agricultural sector in Nigeria.”

AFEX has long recognized that farmers are part of the social fabric of Africa’s commodities market, hence, robust data is essential to identifying solutions that address food system challenges, build trust, and increase the capacity of supply chain businesses for farmers, processors, investors, and other key stakeholders in the value chain.

Mainstreaming environmental sustainability, and prioritizing policies that encourage public and private sector players to work together to improve farmers’ productivity and transform food systems is thus a key recommendation from the report to pave the way for sustainable solutions.

Read the full report [here.](https://africaexchange.com/reports/special/afex-annual-commodities-review-and-2023-outlook)

AFEX Releases Annual Commodity Outlook for 2023, predicts a decline in production of grain commodities.

AFEX, Africa’s leading commodities exchange and commodities market player, has announced its expansion into Uganda, seven months after it first entered the East African continent. Similar to Kenya and Nigeria, farmers in Uganda will benefit from AFEX’s revolutionary tech-enabled services for agricultural producers. In its first year of operations, AFEX Uganda aims to reach 10,000 farmers and aggregate 15,000 metric tons of commodities, while extending its aggregation, storage, and financial inclusion services to Ugandan farmers and processors. 

Continuing its pan-African expansion plans, AFEX will be implementing its scalable model that combines advanced technology and infrastructure with a unique understanding of Africa’s food systems and local markets to replicate its successes in Nigeria and Kenya to Uganda. Working closely with local and international partners, the operation will focus on maize, sorghum, soybeans, barley, and coffee, with maize being the initial priority. 

According to the International Trade Administration, Uganda is lacking the necessary infrastructure in storage, credit, and access to markets to sustain food production. To begin tackling these issues, AFEX Uganda has established warehouses in Bulambuli and Kapchorwa districts in Eastern Uganda, and in Lira district of Northern Uganda. Under the leadership of Abdul-Hafeez Odusanya, Managing Director, AFEX Uganda, AFEX will be introducing its range of solutions including it’s technology platform, WorkBench, to enable farmers to participate in market opportunities and scale their operations. 

Starting with a network of over 1500 farmers, AFEX Uganda will be addressing the following problems: 
- Reducing post-harvest losses by providing storage facilities 
- Providing access to loans for farmers to purchase quality farming inputs including agrochemicals, fertilizer, and seedlings 
- Provision of advisory and extension services to tackle poor agricultural practices and post-harvest handling practices.
- Access to markets for smallholder farmers, with transparent prices
- High quality and traceable supply of food and feed-grade commodities to processors


Abdul-Hafeez Odusanya, Managing Director, AFEX Uganda expressed excitement about the new opportunity: “I’m thrilled to be leading the next stage of growth for AFEX in East Africa and eager to see how Uganda’s success contributes to AFEX’s portfolio of innovative food system interventions. I’m confident AFEX Uganda will contribute massively to building an inclusive and efficient market system, giving Ugandan farmers the support and infrastructure, they need to improve efficiency and access bigger markets,” he revealed.

Often referred to as Africa’s ‘bread basket,’ Uganda has one of the most dynamic commodities markets in Africa with significant potential for growth, and positive government interest in commercializing agriculture through collaboration with private sector players. In the first quarter of 2022, agriculture accounted for 24% of the country’s GDP. In addition, the government has ratified the African Continental Free Trade Area (AFCTA) and the East African Community Customs Union which provides access to the international market.

Since inception, AFEX’s focus has been to establish a strong foothold across Africa, and AFEX Uganda is the latest in a series of a planned expansions to 10 African countries over the next 5 years. In restructuring for the future and to provide efficiency and focus on the regions, AFEX has announced new appointments and internal promotions among its leadership. Appointed in October 2022, Sanne Steemers is now President, Rest of Africa, overseeing the expansion across the continent; Akinyinka David Akintunde (previously Chief Operating Officer) has become President, AFEX Nigeria, responsible for all operations in the country; and CEO Ayodeji Balogun has been appointed Group CEO, heading all entities globally. 


Speaking of her new responsibilities, Sanne Steemers said:” With twenty years’ experience working at the intersection of global supply chains, finance, and agricultural commodities, I’m very excited to be joining AFEX as we expand into yet another market, and look forward to driving the expansion across the rest of Africa. In just a few years, AFEX has achieved exemplary success in Nigeria and Kenya, I’m looking forward to adapting these winning strategies, services, and approaches to service farmers, processors, and partners in Uganda and beyond.” 

AFEX Expands Operations To Uganda, Appoints Group CEO and Presidents 

_In a time where inflation and high cost of living is the defining factor of the economy, Gloria Eromonsele, Analyst Talent management, shows us that beyond managing talents at AFEX she has a pretty good hold on her personal financial management. Take a dive into how she manages her finances in this episode of Year in Money._


**What’s your top money lesson in 2022?**

Save! Save as much of your earnings as possible and try everything you can to avoid debts.  Never allow your debts to pile nor exceed what you earn. It will come back to bite you.

**What did you spend money on this year that gave you joy?**

Photoshoots and new outfits. This year I paid for about 4 photoshoots (I see it as an investment into happiness). I like pictures so any opportunity to appear before a camera, I'll grab it. Photos and videos are therapeutic for me. 

To make me happy, suggest going to the studio for a shoot, I’ll light up immediately. I also do not mind spending a lot on pictures.

**What’s the biggest money mistake you made this year?**

I try not to make money mistakes ever; I however tried the hardest this year.  I learned from what happened in 2020/2021, during the rave of Forex, I tuned in though I had the slimmest idea of how it worked. I asked questions but not the right and deep-rooted ones necessary to fully understand it. It showed me shege.

Since then, I've been extra careful about how I spend money.  I invest in physical goods, hence my current business. 

**How did you up your money game this year?**

I pushed funds into my business, I have never been frivolous with money, it’s either I save or invest in my business so I can get returns. Also, I don’t spend the profit from my business, I reinvest. Put it back into the market and increase the base. I'm not a make-money-then-splurge kind of person. So, this has always worked for me.

**What did you spend the most money on this year?**

I said it before and I'll reclaim it now, photoshoots! and every single session was worth the penny I put into it. I'd say clothes and hairs take the next position. I mean you need to look good for your shoots. 

**Describe your money journey this year with a word**

I'll say evolving, like my business. Taking dynamic positions and seeing what works best for my growth.  


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Take dynamic positions and see what works best for your growth – Gloria Eromonsele

We are at the 2022 finish line, and we are pleased and proud to look back fondly on all the memories, accomplishments, and highs of the year as we are spurred on to set even more ambitious goals in 2023. 

At AFEX, while we have long been committed to closing the opportunity gap in Africa’s commodities ecosystem, this year significantly changed the context in which we operate, positioning us to really make our mark in the commodities landscape throughout the continent. In 2022, we established a foothold in different African markets starting with Kenya, thus, accelerating our African vision to expand, digitize, and innovate on our uniquely AFEX operations across the continent. 

We collaborated across different sectors and key players in the value chain to gather new perspectives and extend our impact in transforming lives in the agricultural value chain. We also dwelt a lot this year on building infrastructure and implementing educational initiatives that can deliver even greater value to producers, processors, and investors, and get us to the future we have imagined. 

In this roundup article, we are happy to share with you some of the notable highlights and historic milestones this year that were incredibly special to us because of how they helped us stay the course and even brought us closer to the future that we're so excited about.

**African expansion**

This year, we embarked on a forward-thinking mission to enable seamless pan-African commodities trading by expanding our operations to Kenya. It was important to replicate our success in Nigeria to other countries in providing access to logistics delivery, advisory services, inputs, and access to the market in the value chain while bolstering Africa’s food security.

As part of the expansion, AFEX Fair Trade Limited Kenya (AFTL Kenya) launched a $1 million loan program that allowed 5,000 Kenyan farmers access quality seeds and fertilizers for higher yields and increased income earnings in the market. We are delighted to have enabled 80% of the farmers who approached AFTL Kenya for input loans as we continue to help Africa feed itself while making further plans to unlock prosperity for more farmers in more countries such as Uganda, Benin, Ghana, Ethiopia, and more. 

**FT Ranking as first Africa’s fastest-growing company** 

2022 was truly historic and one of our favorite moments was when we came in third place on the Financial Times’ fastest-growing companies in Africa list, coming first place in Nigeria and in the Agriculture & Commodities Category. This achievement detailed our 4289.795% absolute growth over a period of 4 years. It also reinforced our commitment to creating a more inclusive and profitable ecosystem that works for everyone.

The FT’s Africa Fastest Growing companies list comprised innovative, modern, and fast-growing companies that are driving forces of the international economy in the 21st century. We are honored to have been near the top of the list of 75 companies spotlighted from thousands of entries.

**AFEX 100,000MT/ year Grain Quality Enhancement Center**

Recognizing food sustainability and post-harvest storage as one of the biggest challenges encountered in the sector, we launched a new 100,000MT/ year Grain Quality Enhancement Center and 30,000 MT storage capacity warehouse at Zaria-Kano Highway, Kaduna State. This is in addition to over 150 warehouses we have across grain-producing states in Nigeria. The new infrastructure, which was commissioned by His Excellency, the Governor of Kaduna State, Mallam Nasiru el-Rufai, would meet the challenges of grain quality enhancement in Nigeria through cleaning, grinding, heating, drying, packaging, and storage services for grains like maize, paddy rice, and soybean. 

With this new facility, we are leveling the playing field for food producers, manufacturers, and processors to gain access to quality commodities, minimizing post-harvest losses, and enabling better access to the market at fairer rates.

**Code Cash Crop 3.0**

2022 was the year in which we dove even deeper into boosting youth participation in the commodities market through the third edition of AFEX’s Code Cash Crop (CCC) event. Themed “Disrupting Agriculture Trade Infrastructure”, CCC 3.0 was aimed at identifying and producing solutions that bolster sustainable and inclusive trade opportunities leveraging the potentials of three key sectors – Agriculture, Finance, and Technology – and an ag-hackathon as a major component to drive that. 

The event brought together next-generation innovators, business professionals, entrepreneurs, Agric specialists, investors, development partners, and policymakers in the three sectors to identify innovative and viable solutions to Africa’s Trade Infrastructure issues in a series of panel discussions, mentorship sessions, and network meetings. In the end, three finalists were awarded a sum of N5 million among other incentives. 

**One million Cocoa project**

In another major development for food sustainability and the growth of the entire agricultural ecosystem, we launched the one million Cocoa Tree Planting Initiative across cocoa-planting regions in Nigeria. The overall project will see us plant one million trees, and we began by first distributing 200, 000 cocoa seedlings to cocoa farmers. The seedlings were a product of 12 years of research and were able to produce 5 times the yield of earlier varieties used. 

The project was commissioned by His Royal Majesty, Ooni Adeyeye Enitan Ogunwusi, and is a long-lasting collaboration for value creation in cocoa production to improve economic resilience and livelihoods of cocoa farming communities. 

**Launch of Data-driven crop production reports and a comic book**

We launched 2 major reports and a comic book – the AFEX 2022 Annual Commodity Outlook, the 2022 Wet Season Crop Production report, and Tradvers. We recognized the need to close the data gap in Africa’s commodity market and give solid market intelligence to major stakeholders to make the best-informed trading decision. 

On the other hand, we launched Tradvers, a financial literacy comic book to provide institutional and retail investors with simplified investment knowledge on the capital market, especially commodity-backed investments in a fun and relatable way. These reports are available on our website for your perusal.

**$240 million Asset-Backed Commercial Paper (ABCP)**

Another major headline in our books for 2022 was the reopening of AFEX $240m (₦100bn) Asset-Backed Commercial Paper (ABCP) to help stabilize Nigeria’s agriculture sector by offering Agro-processors low-cost financing to bridge the funding gap between lenders and borrowers. This year, we raised an additional $175 million, and also closed out series 1 of the total $240m program.

**MOU signing with NG Clearing Limited for Commodity Derivatives**

One of the notable partnerships we formed was with NG Clearing Limited to deepen the market and unlock financing options and alternative investment classes for capital market players in the ecosystem. The collaboration will see that we develop infrastructure that would facilitate trading and central clearing of futures contracts, especially derivatives for commodities in the coming year. 

**AFEX Food Security Fund**

In 2022, we launched a $100 million 10-year bond food security fund to enable farmers to produce as much as three million metric tonnes of food annually on the continent. This year, we took it a step further with the introduction of programs to help Africa achieve food security, sustainable and inclusive industrialization, and shared prosperity by 2030, by providing robust and impact-driven capacity-building activities, community support.

**AFEX Bar Raisers and Tech Stars**

This year, we also launched two graduate internship programs, the AFEX Bar Raiser and AFEX Tech Star programs to develop the experience and skills of young graduates from the start and set them up for a brighter future in today’s competitive job market. With over 30 recruits, the aim for us was to essentially increase the talent pipeline, not in terms of quantity but the quality of the people that join the organization on a yearly basis. We created job opportunities for young Africans who were passionate, energetic, and creative to join AFEX and lead the vision of building a sustainable, inclusive, and efficient market system for commodities.


2022 has truly been a remarkable year for us at AFEX. We are fortunate to have incredible partners and stakeholders supporting us in our mission to transform Africa’s food systems. we have great things planned for 2023 and beyond and we look forward to what we can accomplish together in these coming years. 


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2022 Roundup: 10 significant events that shaped us at AFEX

_If you are young and you want to be more financially savvy, then listen to what our Product Lead Exchange, Mustapha Akanni has to say about money. In this article, he shares with us the importance of enjoying life, trying new experiences but also staying frugal. Take a look at his 2022 Year in Money story._ 

**What is your top money lesson in 2022?**

My top money lesson would be life is short and money finishes, be less extravagant and more frugal. That will give you peace of mind.

**What did you spend your money on in 2022 that gave you joy?**

To be honest, I spend quite a bit on food. I’m a man of simple pleasures and it tops it for me. Also tossed a few more coins into smelling nice. That’s always worth the money. 

**What’s the biggest money mistake you made this year?**

It still boils down to the frugality I mentioned earlier, I wasn't as frugal as I should have been. It's a character trait I’m working on. Hopefully, I’m much better in 2023.

**What did you spend the most money on this year?**

I think everyone who is young and lives away from home wails over the outrageous rent prices in the entire country. But also making my space feel comfortable, welcoming, and liveable put a major dent in my reserves. My home has to be refreshing for me, it is where I can unwind from my 9-5, (scratch that 8-6). So, it has to feel safe, and the ambiance is just right.

**What funny name do you call money?**

It’s really just money for me, I’m not big on slangs I guess. To be honest, I don’t think I ever really reference money in conversation. Only in passing like “how much does that cost” or “I wonder if I can afford that.”

**Describe your money journey this year with a word.**

Irresponsible. That’s it pretty much. I’m not mad about it, but maybe be better, Dami.

**One thing you'd do now if you had all the money you wanted?**

I’ll take it easy, just not stress about things. If we’re being honest expenses take the lead in stressing us and I’d really want to rest from it. So yeah, that’s what I will do.

I’ll really just take it easy. The idea is, we work to earn so we can really live. If I didn’t have to work to earn, then all that’s left is the living. So, I’ll most likely spend time on the things I really enjoy and my hobbies (even though I get a new one virtually every 3 months). 


Be less extravagant and more frugal – Mustapha Akanni

_One of the best ways to learn about money is through experience. To do this, one way is to gain knowledge from some financial experts, understand what money can do for you, and become mindful of your expenses. Here, one of our Legal Analysts, Oladipupo Mutiu Eluyera shares these learnings with us on financial prudence and literacy.  Take a look._

**What’s the biggest money mistake you made in 2022?**

The biggest money mistake I made this year is not even related to a failed investment or imprudent spending but to lending someone a huge chunk of money. He absconded with the entire money almost immediately.

**What did you spend your money on in 2022 that gave you joy?**

I believe the purpose of life is to live it, to taste new experiences to the utmost, and to reach out eagerly without fear for a newer and richer experience. Knowing this, I spent on things that gave me maximum excitement such as Philanthropy, spending on connection: arranging lunches to reunite with buddies and strengthen social bonds and learning new sports (horse riding, bowling, and kayaking). I also ticked off my bucket list of fun spots to visit in Abuja and paid every weekend to watch Lionel Messi play football.

**What is your top money lesson in 2022?**

The best way to solve your money problems is by managing your money better. It doesn’t matter how much money you have or earn, if it’s managed poorly, because of imprudent financial decision-making; you will still end up with the same financial problems. 


**Do you have a money action plan?**

Yes, essentially, my money action plan now and going forward is to do the following:
•	Determine my financial priorities
•	Record my expenses
•	Include saving in my budget
•	Find ways to further trim needless expenditures
•	Set better savings goals and make savings automatic


**How did you up your money game this year?**

Before I got to AFEX, I was completely financially illiterate. The kind of guy who splashed money as soon as it came in. So, I sought the advice of Zara Dogo, Yusuf Ogunbiyi, and Oluwafemi Kehinde on money management and investment.

From their several pieces of advice, I did a self-inventory and started tracking every single penny leaving my account/pocket; automated the diversion of at least 40% of my salary into savings and investments; I devised other sources of revenue apart from monthly salary in order to augment my monthly income. Just baby steps. 


**Share one thing you don’t mind spending money on and why?**

I won’t mind spending money on learning a new sport every three months and trying out new spots/locations in Abuja with fun sports and games. The reason is attributable to the fact that I discovered very early that I derive the purest and undiluted form of joy and excitement from doing sports and games, and also learning new ones after I get bored of the old ones.



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Manage your money better – Oladipupo Mutiu Eluyera

Production shortages, surging commodity prices, trade disruptions due to the Russia-Ukraine war, and more have been the highlights of the year in the industry. In 2022, we saw a challenging demand, supply, and price movement for many of the key commodities adding more volatility to the agricultural commodities market. 

New analytics from [AFEX’s 2022 Wet season crop production report](https://africaexchange.com/reports/special/2022-crop-production-report) reveals that we will continue to see a price hike in key commodities like maize, paddy rice, and sorghum as there is a projected decline in the production level of up to 11.5 percent across these commodities. Looking ahead, despite the trade disruptions, especially with 2022 ending and 2023 rapidly approaching, these are key commodities trends we can expect in the coming year:

**Commodities prices to peak in 2023**


Agricultural commodity prices are forecast to hit a new historical high as they are highly susceptible to swings in production levels and economic uncertainty. While the Russia-Ukraine war is a triggering factor for the price hike of commodities such as rice, sesame, soybean, and sorghum, low productivity due to weather conditions, high cost of fertilizer, and inputs as well as larger macroeconomic global events are reasons for the increase in prices. 
 
Currently, Nigeria’s most consumed grains are currently faced with declining food balanced sheets as consumption levels rise faster than production levels, worsening food insecurity. The long-run impacts of higher staple food prices can be cushioned through intervention on policies either on the physical or monetary side that enables the increase of supply of more grains from the Strategic Grain Reserve to stem the prices.

**High fertilizer price shocks**

Fertilizer prices are expected to remain at historically high levels due to the ongoing Russia-Ukraine war. This would be a severe blow to farmers across the world, especially those who can’t raise enough money to purchase the high costs, which would reduce crop yields. The elevated prices of fertilizer and energy would have a ripple effect on the availability of commodities needed in day-to-day living. 

Together, Russia and Ukraine export 28% of fertilizers made from nitrogen and phosphorus, and disruptions in supply due to the sanctions and war will continue to skyrocket fertilizer prices. Hence, farmers won’t be able to purchase fertilizer at reasonable prices except if supply returns to international markets.


**Pressure on logistics**


We are likely to see constraints in logistics due to high transportation costs, a challenge that will be driven by the recent surge in the prices of diesel. With the global supply chain disruption amid escalating crude oil prices, farmers and consumers across the globe may have to contend with a volatile market well into 2023 as the upside risks to the prices of agricultural commodities and inputs loom. These lingering challenges continue to present a challenging environment for grain traders which will further stretch into the new year.

**Bearish run on the equities market**

Capital market analysts are expecting bearish trading activities in the equities market, forcing investors to consider diversification of portfolios to hedge against inflation. The outlook for the equities market is bleak because of the inflationary pressure in the economy, which means there is a possibility of CBN taking a hawkish stance to continue to battle inflation. 
 
This induces a level of sell-off in the equities market which makes the market performance bearish. As a result, it would stimulate some level of portfolio rotation from equities into safer asset classes that would provide an edge against inflationary pressures such as the commodities market. On the back of the outlook in the commodities market, in relation to the decline in production level and forecast in price increase across key staples, early positions in the securitized asset of these commodities classes would mean an increase in the value of the investor’s portfolio.

**Demand shift of oilseeds and grains from Africa**

The more the war escalates, the more we are to expect rising commodity prices in 2023. The global consumption of oilseeds and grains is predicted to outpace production. There would be an increased demand from Africa driven largely by rising oilseed prices and supply disruptions from Ukraine. Hence, Africa is predicted to keep an upward trend in oilseed production levels to meet both local and international demand.

**Climate change** 

The climate condition in the last 2-3 years has constantly been deteriorating. Every sector is feeling the impacts of climatic change and extreme weather conditions in some way. For instance, in Nigeria, we have experienced incessant rainfall which is liable to induce flood.

There is a greater chance that this will continue through the coming years. However, 2023 will see more interventions both from private and public sectors to contribute to tackling critical issues from climate challenges, especially on food production and sustainability.



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Key commodities trends to watch in 2023

_While inflation was kicking hard at many people, our Analyst Origination and Structuring, Sulyman Sulyman found a way to beat it by saving in dollars and also taking on freelance gigs. In this interview, he shares his low and high money moments in 2022 and more_. 

**What’s your top money lesson in 2022?**

What I have learned is that I shouldn’t defer any of my expenses, I should get whatever I want/need immediately because inflation will heighten the prices if I hesitate. The inflation level in Nigeria in 2022 is really high, so get things immediately if there’s a need for them. 

**What did you spend money on in 2022 that gave you joy?**

I'd say food, but I got a big, when I say big, I mean large blender and it has spiced my life. I love cooking and the blender helps.  And this in many ways makes me happy. I get to cook a lot, ultimately food is the winner of my heart.

**What’s the biggest money mistake you made this year?**

This may sound weird, but I don't think I made any mistakes, at least I can't pinpoint any. I have been extra cautious, and I also saved a lot. I'd just say not buying things on time and allowing inflation to beat me were probably the mistakes I made.

**What did you spend the most money on in 2022?**

It will be my apartment! I got a bigger space and renovations took most of my finances, but I love every bit of it. 

**How did you up your money game this year?**

I took more freelance projects, usually, I do those for free, because it is what I enjoy, but this year, I monetized it, and it has been beautiful earning from that. Oh! And the best of it all is the fact that I save in dollars. 

**Was this year’s money game better than 2021?**

I’d still have to refer to the answer to the previous question, freelancing as a side gig helped my money game get better. Also, if you check the stats for the dollar to Naira disparity since January, you’d notice an increase of close to 60%. Saving in dollars is the koko.

**What funny name do you call money?**

I sometimes call money resuscitation. It's an inside joke between myself and a friend. “Guy, can you resuscitate me?”



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Saving in dollars saved me – Sulyman Sulyman

_For Sanne Steemers, our President, Rest of Africa, AFEX, her inspiration for money decisions in 2022 came from the aftermath of COVID-19. The pandemic spurred her to embrace savings and take care of her financial health, all of which she shares in this episode of the AFEX Year-In-Money series_. 


**What’s your top money lesson in 2022?**

Over the years I have learned many things about money, however, the biggest is that both income and cost are much better when it is shared. 

**What did you spend money on this year that gave you joy?**

I went on holiday this year. It was literally one of my best moments in 2022.  I went to Senegal, and I had the best time in years. I enjoyed the good food and music; reminiscing about the experience makes me smile and I look forward to another one next year. 	


**What’s the biggest money mistake you made this year?**


I was raised in an accounting home, so the values of finance and money were imbibed in me at an early age. Hence, I hardly take any money risks that would lead to mistakes. Currently, nothing comes to mind as a big mistake. 


**What did you spend the most money on this year?**


That would be the rent for my new apartment in Lagos. It was an investment, and it makes me very happy.

**How did you up your money game this year?**

I focused a lot on savings this year. 2020 taught me savings are a necessity. Watching the catastrophe that came with the Covid year, it’s only right that more focus is placed there and that’s what I am doing currently.

**What are your most valuable skills?**

I get paid to develop strategy and make sure it is brought to life. However, the most valuable in terms of joy, I'd say cooking and dancing. It brings me more joy than another thing money can afford. 

**What funny name do you call money?**

To me it is normal, but it becomes funny when others try to pronounce it, the Dutch name guilder.





Savings is essential, and 2020 showed us reasons we need to save – Sanne Steemers

_For our Vice President, Corporate Services, Mariam Tobun, hitting financial goals for the year also means having a good balance of your professional and personal life. In this article, she shares with us how to balance a 9-5 and enjoyment, highlighting some of the things she wished she had done earlier in 2022._


**What’s your top money lesson in 2022?**

If I have to recount the several important money lessons that transformed my life and business in 2022, the top of them is to always have money to take advantage of opportunities. There were certain opportunities I missed out on because I hadn’t even a fraction of the money to pursue them.

**What did you spend money on in 2022 that gave you joy?**

Travel. Spent some time with a friend celebrating this year. To put it mildly, that trip was enjoyable and fun. If I had my way, I would go on more trips like that. 

**What’s the biggest money mistake you made this year?**

This year, mistakes were made. I’ll say my biggest money mistake would be not having enough funds to take advantage of opportunities that came my way.  Opportunities come up every day and it is important to have enough money to be able to capitalize on opportunities that come your way in your everyday life unexpectedly.


**What did you spend the most money on this year?**

I will say food and other household consumables really. Aside from the fact that prices of food went up significantly, I also realized that in this life you must enjoy your own money so my stomach got prioritized well this year.

**How did you up your money game this year?**

Naturally, I am conservative with risks, but this year, I took risks that keep me in shock to date “am I really the one doing all this?”  Some of the risks paid off, while some backfired. But that’s what you get from investing. 

**One thing you’d do right now if you had all the money you wanted?**


Sign me up for more enjoyment!

If I got all the money I wanted, I’d share it in 3 parts, one will go into investments, then I’d travel. I’ve always wanted to see the world with my clique and finally, the last one will go into aiding others.  


**What’s the best money lesson you got from your parents?**


Luckily for me, I got it from my both parents. My dad would always say “spend like you’re still hustling” I understand you work and need to enjoy your money, however, don’t go overboard spending. Prioritize Investment.

I learned by watching my mum, she always buys things in bulk and following this now, I see it saves you from the average buying cost.  I’m grateful for the lessons they both instilled in me.






 Always have money to take advantage of opportunities - Mariam Tobun

_Some say that the best way to learn a money lesson is to learn from your past mistakes, and for Our Sales Operations Manager, AFEX Uganda, Lambert Manzi, that’s the way you live and learn. In this article, he shares how his wedding was his greatest money pleasure in 2022 and his retirement plans._

**What’s your top money lesson in 2022?**

Wow, this question is simple yet means a lot. This year I have grown mentally and financially, I’ve come to understand key aspects of financial management, but the top lesson of the year is budgeting. Every shilling matters and you need to account for and be accountable for every penny you make. If I had known these things earlier, I’ll then have been miles ahead in my finances.

**What did you spend money on in 2022 that gave you joy?**

Oh! that would be my wedding, I got married on the 26th of February. It drained my savings, but it made me the happiest man. My wedding is the best thing to have ever happened to me. It was worth every money! If given another chance I’d do it all over.

**What’s the biggest money mistake you made this year?**

Impulse buying! This is not my default but comes from the fact that I am newly married, and I want to give everything my wife wants. So, if she requests, I’m buying it straight away. I know better now, if what she wants is way out of budget, I make her see the reason why we should get it later. It is a discipline I am trying to instill in us.

**How did you up your money game in 2022?**

The year has been quite interesting financially, I have a pool of friends that have similar money hunger. We have an investment/savings club, a percentage of what we earn is put into that pool and we have a rotation for who gets a share of it at the end of the month, and we do this alphabetically.  We also explore different ideas; this has helped me grow immensely.

**What did you spend the most money on this year?**

The answer is still my Wedding. Made me break the bank, but I loved every single detail of it.  You can see how happy I am in the picture I used as DP on my WhatsApp. 


**One thing you’d do right now if you had all the money you wanted?**

Woohoo!  I have quite a lot, but since you’ve asked for one, it will be setting up farmland for and also as my retirement home. I am passionate about agriculture, and I’ve always envisioned commercial farming to a great extent, when I can afford to explore this dream, I’d go for it. 


**What’s the best money lesson you got from your parents?**

I learned a lot, however, the ones that stood out are disciple and budgeting. I got that from my dad. No matter what you say and what excuse you give; he’d always say no to money unbudgeted for. Now, I am married I want to also practice that.






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Every shilling matters and you need to be accountable for everything you earn – Lambert Manzi

_If you find yourself pondering these questions recently - did I stick to our investment/ saving plans? What did I do with my money? Did I accumulate the wealth I wanted? You are not alone. Our Commercial manager, Physical Markets, Adeniyi Adenuga has been reflecting on the same thing. In this interview, he talks about his financial journey in 2022 so far, the importance of putting your money to work, and gives insightful tips on taking loans._

**What’s the biggest money mistake you made this year?**

The biggest money mistake I made this year, was taking a loan to fund a liability! Please and please don’t take a loan if it is not for a business! the math never maths up at the end. So, don’t do it, don’t use a loan for frivolities, and always research properly on the type of business you want to embark on too.

**What did you spend money in 2022 that gave you joy?**

2022 was a reset financially for me, I’m still recovering from a business loss. Other than that, there was no major spending this year, but I was glad to spend on personal health and food. Try to dey enjoy your money once (Dey chop am sometimes).

**What did you spend the most money on in 2022?**

Omo! must be food, fuel, and Oga at the top (Madame). Jokes apart, I think the answer to this would be my side hustle, any money that did not enter flenjo, had to go into the business. Profit or loss, the point is to keep the wheel rolling and that’s what I did.

**How did you up your money game this year?**

I don’t think I got more cash, the cash didn't go up, but I put money in assets that either fetch me something or are steadily increasing in value. 


**What’s your top money lesson in 2022?**


This year more than ever, experience has shown us that everyone needs to work their cash rather than keep it in the bank, keep in the bank only in forex that gains value against the Naira.

**What’s the best money lesson you got from your parents?**

"Save for Rainy days" it doesn't make sense sometimes, but when life happens...it would be the best advice you ever had because everybody has their own battles.

**One thing you’d do right now if you had all the money you wanted?**

Honestly want to get on a private Jet to visit some of the most beautiful places in the world!  Just feed my eyes the different things earth has to offer and smile while at it. 


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Always save for rainy days – Adeniyi Adenuga

Africa has a booming agritech scene. Between 2016 and 2019, the agritech sector on the continent grew by 44 percent year-on-year with over US$19 million invested in agritech start-ups using digital technologies to build innovative solutions like AI-based analytics operations, drone and satellite services, crowdfunding interventions, and other digital services to meet the growing demand for food and ensure sustainability in the agricultural value chain.

Despite the growth and success recorded in solving a diverse range of needs in the value chain, a bulk of these agritech innovations only emphasize digitized platforms that help to connect small-scale farmers with buyers. Although digital technology can deliver scaled solutions to the challenges faced in the sector, a weakness of the agritech ecosystem is the limitation posed by a lack of adequate infrastructure that is required to operationalize interventions and service delivery. As a result, agritech start-ups have less capacity to address the core challenges in the value chain, especially for small-scale farmers. 


The challenges posed by these infrastructural dearths make up a core aspect of the work of enabling efficient agriculture on the continent. Agritech innovations in Africa that attempt to leapfrog addressing physical infrastructure gaps are severely hampered in their operational capacities either immediately or down the line as the scale is attained. Still, these infrastructure gaps are notoriously difficult to fill, requiring agritech companies to seek out significant patient capital and necessary partnerships.

In celebration of World Food Day 2022, AFEX launched a 100,000MT/ year Grain Quality Enhancement Center with a 30,000 MT storage capacity warehouse in Kaduna State, Nigeria. As one of Africa’s leading private commodities market players, AFEX has always combined the core platform trading structure of its business, which is heavily supported by technology, with a focus on addressing the need for infrastructure through storage and distribution solutions for Africa’s small-scale farmers and the larger supply chain. The new infrastructure investment by AFEX is set to strengthen quality criteria in grain value chains and improve the livelihoods of primary producers who can earn higher incomes on better-quality grains. News of such infrastructure wins remains as vital to the agricultural sector in Africa as they have always been, especially, when coming from heavily technology-enabled agriculture companies.  

Agritech innovations built to match Africa’s current realities need to be hinged on three key pillars of infrastructure, market knowledge, and then technology. Of the three, infrastructure seems to be a key missing piece in solutions that seek to reorganize fragmented food systems in Africa. Small-scale farmers’ ability to benefit significantly from digital technologies still depends on the infrastructure and market structures readily available to support their production activities. 

The scalability and sustainability of current and future agritech solutions in Africa could be dependent on the coupling of infrastructure solutions with innovative technology and localized market knowledge to realize actual game-changing effects for the agricultural sector on the continent.


The missing piece for AgriTech in Africa

Nigeria’s leading commodities market player, AFEX, has unveiled its 2022 Wet Season Crop Production Report in a hybrid event hosted at the AFEX head office in Abuja on the 16th of November 2022.

The report which seeks to provide accurate and reliable data to aid the understanding of national food system through farmer surveys and measurement of transaction level data, tracks six key commodities and their performance in the preceding season. As reflected in the report, price and market changes across maize, paddy rice, sorghum, soybean, cocoa and sesame have been affected both by predictable seasonality effects and activities in the agricultural value chain as well as larger macroeconomic and global events. 

The 2022 Wet Season Crop Production Report forecasts an average decline in production levels of up to 11.5% across commodities like maize, paddy rice, sorghum, and cocoa, while soybean and sesame will experience a close to 6.5% increase in production levels. Nigeria’s most consumed grains are currently faced with declining food balance sheets as consumption levels rise faster than production levels, worsening food insecurity. 

![15.jpg](/uploads/15_3398d01cbb.jpg)

AFEX’s Head of Market Data and Research, David Ibidapo, who presented the report findings at the launch event, indicated that “AFEX’s annual crop production report seeks to provide robust market intelligence for agriculture value chain players in Nigeria. We have more than doubled the count of farmers surveyed for this research, up from 9117 farmers surveyed last year to 20,677 farmers surveyed for this year’s report.” He also specified key indicators measured through the survey, stating that “Factors such as land usage, inputs (quality of seeds and fertilizer usage), weather conditions, and the farmers’ output expectations were put into primary consideration.” 

Higher prices were forecasted across all commodities in the report. Maize which faces a projected decline in production levels of up to 14% is subsequently projected to reach a higher average price point ranging between (486.72USD) NGN214,980/MT and (498.09USD) NGN220,000/MT by the end of Q4 2022, compared to an average price of (475.97USD) NGN210,229/MT in Q4 2021. Also, soybean price is projected to rise by 6% by May 2023. 

The projected price hikes across commodities in the report were also tied majorly to incidences of flooding resulting from incessant rainfall in key producing regions. This is indicated to further heighten the gap between production and output levels by farmers.

Effects of the Russia-Ukraine crisis continue to be felt in the local agricultural commodity markets, especially because of the hike in the price of fertilizer. This negative impact was also highlighted in the report as affecting the output level of most commodities. The report forecasts paddy rice as being the most susceptible to production and output pressures, facing close to a 22.47% decline in production volumes this year in the wake of the crisis-induced fertilizer price hike. 

![13.jpg](/uploads/13_2a240fc7ee.jpg)

Access to reliable data is a reoccurring limitation for agriculture on the continent. AFEX has consistently advocated for a food balance sheet for the continent that will strengthen productivity improvement efforts, subsequently enhancing food security. 

Access the full [report here](https://africaexchange.com/reports/special/2022-crop-production-report)




 AFEX Unveils 2022 Wet Season Crop Production Report

Nigeria’s leading commodities market player, AFEX, marked a milestone as they celebrated their cocoa farmers on their sustainability list at the Certified Cocoa Farmer Premium event.

In his speech at the event in Ile-Ife, Osun State, Managing Director, AFEX Fair Trade, Kamaldeen Raji, said cocoa farmers who have adopted the sustainable approach to cocoa production, adhered to AFEX incentives, deserve to be celebrated and made to understand that no matter how little they think they have done, they have immensely contributed to the value chain.

![129A1179.jpg](/uploads/129_A1179_0b3155cb3b.jpg)

He said: “AFEX has always promoted sustainable agricultural practices, the aim is to see that in the nearest future, all cocoa farmers spanning from the smallholder farmers and beyond practice and utilise sustainable agricultural mechanisms and management methods.

AFEX’s big vision to see Africa feed itself has impacted over 200,000 smallholder farmers, in view of this, they are well positioned to help more farmers grow through disbursement of input loans down to provision of post-harvest storage facilities and grant easy access to market.

![129A1194 (1).jpg](/uploads/129_A1194_1_19ec4840ea.jpg)

Over the years, AFEX activities in the cocoa value chain has cut across engagement with cocoa farmers, sustainability, and engagement with clients (domestic and foreign). In a bid to improve the productivity of cocoa farmers, AFEX has maintained a consistent commitment to providing cocoa farmers with key inputs and especially certifications to ensure that they are harvesting products of very high standards.

AFEX through this event has acknowledged the significance of these farmers as key players in the cocoa system and is celebrating them.


AFEX Celebrates Cocoa Farmers

AFEX, Africa's leading commodity exchange, and NG Clearing Limited, West Africa's premier Central Counterparty, have signed an agreement to develop the infrastructure that facilitates trading and central clearing of futures contracts for commodities such as cocoa, paddy rice, maize, and soybean in Nigeria. 

The signing ceremony was held on Wednesday November 9, 2022, in Lagos, Nigeria. Ayodeji Balogun, the CEO of AFEX, and MR. Tapas Das, the CEO of NG Clearing represented their companies respectively. The signing ceremony formalizes the commencement of a partnership aimed at transforming the agricultural value chain.

The agreement is a precursor to the development of technological infrastructure and the introduction of commodity futures in Nigeria. AFEX’s commodity exchange will serve as the trading venue while NG Clearing will serve as the Central Counterparty that guarantees the settlement of trades. 

Currently, trading commodities such as cocoa, maize, paddy rice, and others are limited to the spot and OTC markets. The spot and OTC market exposes market participants to frequent price movements and counterparty risk. With the futures market, participants can lock in prices and positions of various commodities ahead of time without facing the risk of default by a counterparty. 

Beyond helping market participants mitigate price risk, the commodity futures market will deepen the financial system while acting as a catalyst for the continued development of the agricultural sector. 

Speaking at the ceremony, Ayodeji Balogun highlighted the significance of the agreement in light of AFEX's mission of being a reference point for commodities in Africa. He said that " we share a drive with market regulators and other players in Nigeria’s capital market to deepen the market and unlock financing options and alternative investment classes for players in the commodities ecosystem. This collaboration with NG Clearing is a new leap for the financial market in the country that further opens opportunities for generating shared prosperity through the commodity market. We believe that this would further position the country as a preferred capital destination with a viable path of effectively managing risks in key sectors of the economy."

At the ceremony, Mr. Taps Das of NG Clearing said that " this partnership with AFEX will usher in a new phase in the development of Nigeria's financial and agricultural sectors. As the central counterparty, we bring confidence and trust to the market as we will be guaranteeing the execution of the trades through our resilient collateral management processes." He also mentioned that " we are proud of this collaboration and confident it will unlock the untapped potential of commodity derivatives in Nigeria." 

The agreement between AFEX and NG Clearing comes at a time when unlocking value in Nigeria's agricultural sector is at the front burner of government initiatives. 

The AFEX market turnover currently stands at N123.72 billion while NG Clearing earlier facilitated the introduction of equity index derivatives in April 2022, serving as a Central Counterparty to the NGX Exchange.


 AFEX Commodities Exchange Ltd and NG Clearing Limited Set to Unlock the Potential of Commodity Derivatives in Nigeria. 

AFEX, Nigeria’s leading commodities market player, on Monday, rang the bell for financial literacy to flag off the sixth edition of World Investor Week 2022, in collaboration with the Securities and Exchange Commission (SEC) and Financial Literacy Technical Committee (FLTC) at a ring the bell ceremony held at the Exchange office in Lagos State.

The ring-the-bell ceremony flags off a week-long event themed **“Investor Resilience and Sustainable Finance”**, which is aimed at driving awareness about the importance of investor education and protection, while also promoting financial literacy and inclusion that can engender shared prosperity in the commodities market.

As a commodities exchange, AFEX has invested in financial education initiatives to enhance financial literacy among investors and improve participation for retail and institutional investors in the commodities market. Over a span of eight years, the Exchange has executed a number of robust education campaigns to deepen the financial market knowledge and confidence of investors through digitally distributed learning materials, data-driven market reports, webinars, and outreach programs, which have driven up active participation in the commodities market. 

“AFEX is pleased to once again ring the bell to advocate for financial literacy on the commodities market in Africa. Financial literacy and investor protection are important tenets that drive growth and inclusivity in the financial market, and as part of our efforts to promote sustainability in the ecosystem, we have developed a wholistic engagement framework that empowers retail and institutional investors to take advantage of the opportunities in the commodities market within the current market environment.

Currently, we are gearing up to launch a four-part comic book designed to educate new and existing investors of all ages on how the commodities market works and how they can grow their wealth by leveraging alternative assest classes. As a participation grows, it is improtant to simplify financial management and investment so that no one is left behind in the commodities ecoysystem," stated, Oluwafunto Olasemo, Vice President, Financial Markets, at AFEX.

To bridge knowledge gaps, initiatives like knowledge-sharing sessions, video tutorials, one-on-one sessions with financial experts, and detailed reports on commodity value chains are being incorporated into AFEX's technology platforms, allowing access to important trading data, trends, and financial information, thereby bringing support and growth to the commodities market.

According to Fiona Ahime, MD, FBN Quest, “Investors should embrace diversification of investment”. Charles Egbunonwo, the MD of Forthright Securities, and a member of the Financial
Literacy Committee also commented that “It is important to create awareness on financial literacy to unlock the potentials in the commodities space. If we are looking to diversify our
economy, commodities are one of the key products to consider and develop. I am happy we are putting hands together to propagate the investment culture in the commodities market.”

Achieving investor resilience and sustainable finance requires a broad-based effort on the part of all capital market players to provide investors with the tools and knowledge required to make informed investment decisions. Addressing these core areas lays a foundation for market intergrity that will enable a thriving commodities market and shared prosperity for everyone involved. 




AFEX Celebrates World Investor Week 2022 with the Securities and Exchange Commission of Nigeria

AFEX, Nigeria’s leading commodities market player, on Friday, marked World Food Day, with the launch of a new 100,000MT/ year Grain Quality Enhancement Center and 30,000 MT storage capacity warehouse at Zaria-Kano Highway, Kaduna State. 

The plant represents AFEX’s renewed commitment to infrastructure investments that cut post-harvest losses, strengthen quality and standardization criteria in grain value chains and improve the livelihoods of primary producers who are able to earn higher income on better quality grains. The plant, which has an annual capacity of 100,000MT, meets the challenges of grain quality enhancement through cleaning, grinding, heating, drying, packaging, and storage services for grains like maize, paddy rice, and soybean. 

“Over the years, we have seen a growing demand for grain commodities in the animal feed, food, and drink industries. However, 3.5 trillion naira is lost annually after harvest because the national storage capacity can only accommodate 5-7 percent of agricultural produce. At AFEX, we believe that the grain quality enhancement center will help meet that demand, support the closure of quality and quantity gaps, maximize income returns for smallholder farmers, and increase access to markets that will benefit key players in the value chain and society at large. The activities in the processing plant will include quality and quantity checks, packaging, storage, and other processes in the value chain.

This historic milestone aligns with our UN SDG goals 1, 2, 5, 8, and 12. We are working towards resilience and sustainability of the agricultural supply chain to ensure that farmers and growers get a better deal for their produce, everyone has access to affordable and nutritious food, alleviate poverty, and ensure that no one is left behind.

Our partnership with the Kaduna State Government and the USAID-Funded West Africa Trade & Investment Hub has also been instrumental in moving the project forward. We are delighted for their contributions as we continue to explore together the true potential and market opportunities of grains in Nigeria” Commented, CEO, AFEX, Ayodeji Balogun.

Currently, Nigeria’s storage capacities stand at less than 5%, resulting in excessive post-harvest losses, all of which impact food security. To solve the problem, the new facility will strengthen food supply chains, boost grain prices for producers and serve as a reliable source for processed grain meal and hulls in the growing markets whilst bolstering food production in the country. Essentially, by depositing commodities in the warehouse, farmers will be able to pay for the processing services and have access to buyers on the AFEX platform at a higher price. 

Speaking on the commissioning of the AFEX Grain Quality Enhancement Center, His Excellency, the Governor of Kaduna State, Mallam Nasiru el-Rufai said “I am happy to see this new development in the agricultural value chain. Oftentimes, when farmers harvest their produce, they sell quickly at low prices to prevent post-harvest loss and in return, they never get the best value. With this center, AFEX has closed the gap in preparation, cleaning, and logistics, helping farmers to sell at the right price.

I am grateful to all the partners behind AFEX, USAID-Funded West Africa Trade & Investment Hub, AGRA, for collaborating on this project and enhancing access to a structured and ready market for farmers and job creation for Nigerian youths.”
 
Since 2014, AFEX has built a robust network of warehouses to support the growth of agricultural commodities and provide offtake agreements to farmers at market prices with a same-day payment model. Currently, AFEX has a footprint of over 100 warehouses across 23 grain-producing states in Nigeria which accounts for over 300,000 MT of the total national storage capacity. They have reached over 430,000 farmers and traded over 1 million MT of commodities to transform rural households and boost economic prosperity. 

With more efficient pricing mechanisms and transparent, fair distribution fees, agricultural producers working with AFEX benefit from significant – and often life-changing – savings on taxes, charges, transportation costs, and better storage/disruption.
 
 



WhatsApp Image 2022-10-14 at 4.50.27 PM.jpeg

AFEX Celebrates World Food Day with the Launch of 100,000MT/ year Grain Quality Enhancement Center


Eleni Gabre-Madhin established the first [commodity exchange](https://www.theguardian.com/global-development/2012/dec/13/africa-commodity-exchange-ethiopia-economy) in Africa following a famine in her home country, Ethiopia, in 2002. The country had witnessed a bumper crop harvest for the preceding two years and was shocked by this famine. At that point, Eleni knew it was time to try a different approach - strategic distribution - that went beyond food production as the latter alone could not solve Africa’s food problems. This commodity exchange established a reliable market for buyers and sellers to meet and inspired other African countries to develop their own commodity exchanges.


Since the establishment of AFEX in 2014, we have been facilitating trade in Africa through the deployment of a trusted commodities exchange model for the African market; creating the backbone for sustainable consumption and production of commodities. Through our work, at AFEX we are making African economies more inclusive, and boosting the critical links between agriculture and finance, especially in a continent where information crucial to efficient trading is limited.

![_JCP4931 (1).jpg](/uploads/JCP_4931_1_8346a99395.jpg)

African farmers have been victims of fractured and disorganized markets where they have had to[ sell their products lower than the market price](https://www.mckinsey.com/industries/agriculture/our-insights/winning-in-africas-agricultural-market). This is why Africa's poorest are small-scale farmers who remain poor because they lack access to investment and techniques to optimize their farming. Without the infrastructure to connect their rural areas to large markets where their products can be bought and sold, they get cut off from profitable opportunities to stable and prosperous supply chains. This type of fragmentation means most [farmers will remain poor and vulnerable to exploitation.](https://www.selinawamucii.com/african-coffee-farmers-are-losing-billions-every-year-from-exploitative-prices/)

Covid19 [caused significant disruptions in the supply chain](https://allafrica.com/stories/202008070012.html) to Africa's already weak food systems and affected both food itself and the people who farm. Social welfare mechanisms that could mitigate the impact of the pandemic are limited and struggling, and this has exposed the vulnerabilities of our food systems and created the need to strengthen the continent's resilience to manage future shocks.  

According to the Global Network Against Food Crises report referenced by Tony Blair Institute for Global Change, before COVID-19, Africa was already home to more than 70% of the world's poorest people and 55 percent of the world's hungry. However, because of Covid19, in Africa alone, 22 million more people will need food assistance soon.

African agriculture would greatly benefit from improved seeds, fertilizer, machines, and other inputs but even more, farmers would benefit from significant investment in agri-processing facilities to reduce post-harvest losses. The Tony Blair Institute for Global Change estimates that [48 million people](https://institute.global/advisory/different-approach-strengthening-african-food-systems) can be fed on post-harvest wastages yearly south of the Sahara.


**Ways Commodity Exchanges Can Help Food Systems In Africa**


1.	Create access to market: Commodity Exchanges allow farmers to access an ethical trading platform and benefit from fairer transactions. As a result, they will make better investment decisions and economic growth.

2.	Enable infrastructural development: Agriculture and food systems provide income for almost half of Africa's population and as much as 70 percent in East Africa alone. If the continent has developmental ambitions, resilient food systems must exist, and exchanges can act as conduits for better infrastructure such as roads and warehouses to transport or store goods.

3.	Potential to boost intra-regional trade - Africa has an almost non-existent intra-regional trade. However, the African Continental Free Trade Area (AfCFTA) is poised to transform the face of commodity and other trading in Africa. The AfCFTA is a trade agreement between 44 of the 55 African Union countries to create a single market bolstered by the free movement of trade services and a single currency union.

4.	Help farmers save on high transaction costs - By their very nature, Commodity Exchanges can reduce high prices in commodity value chains. These can include expenses incurred by farmers when trying to find buyers for their produce and costs associated with securing finance, among others. These benefits stimulate agricultural growth. 

5.	Help reduce financiers’ risk - Investors and financiers usually classify Africa as high risk and low profit, this has affected farmers' access to investment, and even loans attract high interest. But through commodity exchanges, ecosystem forms of financing now exist that help reduces the financiers' risk. 

6.	Make it possible for farmers to lock prices Market participants in commodity markets can lock prices of crops months before they are harvested and benefit from price changes. Farmers can plan, choose the most profitable crops to grow, and discern the best time to sell, minimizing the risk of revenue loss due to price fluctuation. 

At AFEX we are empowering farmers with research and innovation, access to market, funding, and resources to thrive and ultimately strengthen Africa's weak food systems.


Ways Commodity Exchanges can help Food Systems in Africa

Abuja, Nigeria. 5th September 2022 - AFEX, Nigeria's leading commodities market player on Monday, held a side event at Africa Green Revolution Forum (AGRF) 2022 summit, to advocate for financing for Agri-SMEs in Africa to boost their growth and impact potential in pushing forward sustainable and inclusive production in the sector. 

Themed “Finance for Agri-SMEs in Time of Crises: Opportunities and Challenges”, the side event hosted together with Smallholder and Agri-SME Finance and Investment Network (SAFIN) and the International Fund for Agricultural Development (IFAD), provided a platform for different stakeholders to explore coordinated large-scale actions to unlock access to finance for agri-SMEs. 

In many contexts, agri-SMEs such as farmer organizations, processors, input providers, producers, and distributors are a critical backbone of the sector and play essential roles along the entire value chain. Therefore, access to finance enables Agri-SMEs to invest in the infrastructure, equipment, and cash flow that help them produce, purchase, store, process, and better market their products. 

AFEX CEO, Ayodeji Balogun, during the panel session, said that ‘there is a need to redefine the perception of agricultural risk in Africa. A critical issue that is faced in the production within the sector is the transaction cost between producer smallholders and Agri SMEs. Hence, we are embracing new technology in the field that is aggregating data for over 1000 – 10,000 farmers and bringing better visibility to the fragmented and polarized space.

Over the years, agricultural policies across African countries have that underlining phase where the crux of the policy is rural poverty alleviation rather than competitiveness, growth, or macro-economic transformation, though it is not bad, it just means we will continue to be sub-optimal from a food balance sheet standpoint. 

I believe Africa needs to start looking at it from an economic of competitiveness that is aligned towards the macro priorities of the country rather than prime focus on reducing the number of poor people in rural areas and solving that problem.’ He commented. 

In another panel session, under the theme “Climate Finance and Technology: Opportunities for Youth, speakers highlighted how Agriculture is at a huge risk of climate change. The issues in agriculture on the continent are all integrated and cannot be evaluated in silos – climate, finance, youth inclusion, and poverty. To create resilience and promote sustainability and equitable food systems, we must invest in climate-smart and efficient seed technologies. Hence, to unlock more capital for Climate Smart Agriculture, it is important to create an ecosystem of service providers that can engage youth in agriculture and provide bundled solutions. This will reduce the barrier to adoption and start-up cost.

According to Hemense Orkar, VP, of Corporate Services, AFEX on the panel of “Learnings from demand-led approaches to value chain development”, Technology (Digital solutions) should be applied to reduce bottlenecks in the value chain whilst taking cognizance of the nuances in the market.  It is essential to deploy digital solutions that are specifically tailored to the needs in the value chain rather than copying what may seem to have worked in another clime and pasting that in another market thereby causing more bottlenecks and making the technology doomed for failure.’

Since its inception in 2014, AFEX has built significant platforms and operations to strengthen the resilience of Africa’s food system, especially smallholder farmers with access to finance, infrastructure, and markets as underlying factors. Known for its vision to be a reference point for commodities in Africa, AFEX has reached over 430,000 farmers and has over 100 agri-business registered on its Exchange to enable the next generation of smallholder farmers to escape poverty cycles and boost production levels.

Additionally, as part of its African vision, AFEX has committed to leveling-up Africa’s Agric-tech sector by replicating its infrastructures across the continent in countries like Kenya, Uganda, Cote d’Ivoire, and Ghana. Recently, the trading arm of the company, AFEX Fair Trade Limited launched a $1 million loan program that will enable 5,000 Kenyan farmers to gain access to seed and fertilizer for their crops, to mitigate the ever-rising commodities prices. 

Bolstered by an existing supply chain infrastructure of over 100 warehouses and digital trading platforms like ComX and Workbench, which link investors with producers and processors, AFEX’s commitment to the agricultural sector and deep industry knowledge will add crucial expertise to this much-needed activity.


WhatsApp Image 2022-09-05 at 12.42.17 PM.jpeg

AFEX Advocates for Financing of Agri-SMEs at AGRF 2022 Summit

Samuel Akame emerged as the second runner-up at Code Cash Crop 3.0 hackathon. Ever wonder what it takes to build a business solution that works? Samuel’s got plenty of answers for you in this interview.

![129A576544.jpg](/uploads/129_A576544_d23e6a5731.jpg)

**Tell us about yourself.**

I am an Entrepreneurial sustainability professional, passionate about local food systems, urban agriculture, commodity trading, agtech, and reducing food waste through upcycling and regenerative agriculture. I am also a technology enthusiast. My interest and passion lie in the application of technology to food systems for the purposes of business expansion, social good intervention, and revenue growth opportunities. I'm familiar with Agtech x NFTs, and Virtual Kitchens, and I love traveling.


**How did you hear about the Hackathon? What was your motivation to sign up for it?**


I heard about Code Cash Crop 3.0 on LinkedIn, and when I came across it, I felt it was a good opportunity to reach industry leaders and important stakeholders in the system. So, I decided to give it a shot.

**What was the idea of the project? Can you describe in a few words your solution?**

I was constantly a victim of being scammed or failing to initiate a transaction due to a lack of trust while trying to make an honest living by trading commodities and connecting commodity buyers and sellers.  I was aware that the state of trade finance was not where it should be, and there were few technological solutions to address pressing issues like this that solved real-world problems. Because I understand how the system works, I figured if anyone could serve as a trustworthy third party to protect the integrity of transaction payments and facilitate them with technology, it would be me.

As a result, we are developing Africa's most comprehensive suite of digital solutions for farms, food companies, and commodity traders via an end-to-end supply chain and financing network platform that acts as a dependable third party that protects the integrity of a transaction.

**When did you first begin exploring this idea?**

I started building Credence in 2019 after a lot of times failing to initiate a transaction.

**What was the most challenging part of the hackathon for you?**

I guess it was the part of mental preparation and the fact that you know that you don't want to screw things up.

**What is life after CCC looking for you?**

Knowing that my project has been validated by industry leaders, I believe it is a springboard for me to capitalize on the opportunities I have and make the most of them. I am definitely pushing forward for more opportunities in the industry.

**Key advice for next year C.C.C 4.0 Participants?**

I would say simply bring your A-game, network, and leverage the opportunities provided by the Code Cash Crop program. I believe it is a good starting point for further expansion.


Building a System that works through Credence – Samuel, Code Cash Crop 3.0 Second Runner - Up

After an intense pitch session at the Code Cash Crop 3.0 Ag- Hackathon, Folasewa Abdulsalam emerged as the first runner-up in the competition. In this article, she talks about her Code Cash Crop story, with honest advice on how you can follow your own dreams. 

![CCC.jpg](/uploads/CCC_ddee4d8c86.jpg)


**Tell us about yourself**

My name is Folasewa Abdulsalam, I am a 5th-year student of computer science with maths student at Obafemi Awolowo University, Ile-Ife. I currently work as a research and Innovation intern at Data Scientist Network. I am into Python for Data Science and Machine learning. I love watching Kdrama. I am more of an indoor person but sociable. 

**How did you hear about the Hackathon? What was your motivation to sign up for it?
**

I came across CCC as a sponsored post on Twitter. I was just going through my timeline and came across it.  To be honest, my number 1 motivation was the money, come on, the money is quite enticing. However, I just got served tech breakfast that very day, and I thought this was probably a sign for me to register and it might be successful. I am glad I took the shot. 

**What was the idea of the project? Can you describe in a few words your solution?**

The idea of my project (PalmFarms) which I pitched at the Code Cash Crop 3.0 hackathon is to ensure someone like you and I get easy access to fresh vegetables without the hassles. I believe I can provide a solution that brings all fresh food farmers together and allow direct access to their products by providing the farmers with what they need to get me fresh vegetables, while in return I get fresh vegetables without moving an inch from my comfort zone. 
Basically, PalmFarms is a B to C farm management platform that enables customers to shop for fresh vegetables directly from the farmer and helps the farmers in their sales analytics.


**When did you first begin exploring this idea?**

Oh! I am someone that writes down whatever comes to her mind in her notepad. Trust me, if you check my notepad, you will see ideas scribbled. I had that idea in my notepad like 3months before I saw the hackathon post, so I started researching on the constraints attached to it, designing the user journey on Figma, and so on.

**What was the most challenging part of the hackathon for you?**

The most challenging part for me was juggling my 9-5 while also preparing for what was required at each stage of the hackathon. My nights suffered a little because I had to burn some candles to ensure I deliver a great pitch.  

**What’s life after Code Cash Crop 3.0 looking for you?**

Aish! I keep getting connections on LinkedIn, and Twitter. Some people want to collaborate, some people just want to be a friend. Well, the good side is I am making new connections, the bad side is I am getting more attention and I am someone that just likes to come out occasionally and do my thing with not much attention.

**Key advice for next year’s Code Cash Crop 4.0 participants?**

I would say just do it. Have the right motivation, because seeing something till the end is a whole lot of work. Oh! And one more important thing, have the right circle of friends.


Creating Impact with PalmFarms – Folasewa, 1st Runner-up of Code Cash Crop 3.0 Ag Hackathon

From 20th April to 30th of July 2022, hundreds of participants, young professionals, investors, and development partners from the fields of agriculture, finance, and technology, came together to be part of the third edition of the [AFEX Code Cash Crop Hackathon: ](https://techpoint.africa/2022/08/04/code-cash-crop-3-0-highlights-the-importance-of-technology-and-finance-in-agriculture)Disrupting Agriculture Trade Infrastructure. The hackathon took place in Oriental Hotel Lagos with 6 finalists pitching innovative business solutions with a shared goal: to solve the challenges faced in Africa’s food systems.

At the end of the hackathon, 3 participants emerged winners and were awarded a whopping sum of money, training school, and mentorship class as channels of support to bring their ideas to fruition.

We sat down with the winner of Code Cash Crop 3.0, Prince Achoja, to talk about his journey and the secret ingredient to winning the hackathon.

![1111.jpg](/uploads/1111_5e0d5c4f10.jpg)

**Tell us about yourself.**

My name is Prince Achoja and I hail from Kano State, Nigeria. I am a young tech entrepreneur passionate about solving problems in communities leveraging technology. I am a product designer and a founder of a growing tech hub in Kano as well as Ma’aji, an agro fintech platform in Kano. 


**How did you hear about the Hackathon? What was your motivation to sign up for it?**

One day I was working on my laptop, and I got tired. I decided to take a time out by scrolling through social media and I found out about Code Cash Crop 3.0 on AFEX’s Instagram page. It was random. I was scrolling through posts, and it popped up.  I applied almost immediately because it connects agriculture, finance, and technology together. As a young entrepreneur, I have always wanted to build solutions that relate to the fintech style. 
So, the name alone was a motivation to apply for the competition.

**What was the idea of the project? Can you describe in a few words your solution?**

Our solution Ma’aji is a Hausa word that means payments and savings.

It is a fintech platform that offers farmers access to relevant information, Agro experts’ loans, and a swift platform upline using USSD while having a financial wallet and carrying out financial services on the platform. This eliminates the need for a third party like the banks.

Farmers can send pictures of their goods and interact with their clients without going through third parties for both physical and financial services. The platform leverages the simplicity and user-friendliness like language transcription options where the farmer can select his preferred language and also voice interaction options to chat with clients.



**When did you first begin exploring this idea?**

The Idea was conceived a year ago. Its sole focus was on fintech to serve as a platform for financial innovations. It was first built in February. The hackathon’s problem statement helped us gain insight into speaking with farmers to know the pressing issues and problems they faced. We realized that access to information in their local dialect was the major issue, so we tailored Ma’aji to that.

**What was the most challenging part of the hackathon for you?**

 The most challenging aspect wasn’t even the building of the platform, it was the phase where I saw other contestants talk about their brilliant creations and solutions, it caused a sense of chills. I had to go back and work all night to put touches where necessary. 
 
Another challenge was when the mentor AFEX provided had to change my slides from the beginning, I remember thinking I had the worst slide amongst everyone, having to start that afresh was tasking. However, I am grateful because it was a lovely avenue to learn.


**What’s life after Code Cash Crop 3.0 looking for you? **

Life has been awesome; I have gained recognition from the publicity the Hackathon afforded me. I have also implemented a lot of the tips and advice the judges gave to me. I am looking forward to the full implementation of Ma’aji to help farmers solve these problems.


**Key advice for next year’s Code Cash Crop 4.0 participants?**


Firstly, I’d start by appreciating the entire AFEX team for putting together a wonderful platform to identify young people in the Agrotech community and sector. 

My advice to Code Cash Crop 4.0 participants is to ensure that you are solving a real problem, and not build a solution because of the hackathon there will be a life for the product after the event. Make sure that the solution is tangible, and the impact is wide stream. Lastly, believe in the process and believe in what AFEX will train you to do. Remember, the sky is your limit!



How Ma’aji can solve farmers’ challenges – Prince Achoja, Winner of Code Cash Crop 3.0

_Focus: The blog post explores how trading commodities, particularly agricultural commodities, can help people hedge against inflation._ 
 
Inflation is a major global problem. Nearly all countries of the world are witnessing a rise in [inflation due to increased food and energy prices](https://www2.deloitte.com/xe/en/insights/economy/global-food-prices-inflation.html) resulting from the Russia-Ukraine conflict. [Global inflation](https://www.stears.co/premium/article/inflation-will-prices-ever-go-back-down/) is projected to climb to 7.4% in 2022 from 4.7% in 2021. The situation is [particularly tense in North and West Africa](https://www.theafricareport.com/181526/inflation-is-coming-back-to-africa-and-its-not-going-away/), and Nigeria is no exception. [Nigeria’s inflation rate](https://www.bloomberg.com/news/articles/2022-07-15/surging-inflation-raises-pressure-on-nigeria-to-hike-rates-again#xj4y7vzkg) surged to 17.7% in June, a five-year high.
 
Inflation is like a pest that eats your money. The Oxford dictionary describes it as ‘a general increase in prices and a fall in the purchasing value of money.’ A simple definition of inflation offered at an elementary economics level is ‘when too much money is chasing after few goods.’ Whatever definition you find easier to go with, the impact is uncontested - that is, when inflation is on the increase, it essentially signifies that your money will not go as far as it formerly did. 
 
So, how do you preserve monetary value and beat inflation at its own game? One of the ways to hedge inflation is by investing in commodities. Investment in commodities always gains interest when inflation rises. [Research](https://advisors.vanguard.com/insights/article/howcommoditiesstandapartasaninflationhedge) shows that commodities (commodities are produced or extracted products, often natural resources or agricultural goods, that are often used as inputs into other processes) are one of the asset classes most positively correlated with inflation. Commodities are not the primary cause of inflation but are a significant factor in its rise, and this link makes commodities an automatic effective inflation hedge. In particular, [agricultural commodities](https://www.wisdomtree.eu/en-gb/blog/2022-06-21/agricultural-commodities-could-offer-a-hedge-against-inflation) have been tipped as one of the best commodities to trade now. 

![WhatsApp Image 2022-08-10 at 11.33.29 AM.jpeg](/uploads/Whats_App_Image_2022_08_10_at_11_33_29_AM_f09f574996.jpeg)
 
The rising prices of grains and oilseeds and the plethora of supply-side issues due to the Russia-Ukraine war have pushed up agricultural commodity costs. [Agricultural commodities are up 26.8 percent](https://www.wisdomtree.eu/en-gb/blog/2022-06-21/agricultural-commodities-could-offer-a-hedge-against-inflation) at a time when global equities have declined by approximately 13.88 percent due to rising inflation and tightening liquidity circumstances.
 
Here are a few reasons why these agricultural commodities counter inflation.

- Traditional asset types, such as equities and mutual funds, have a limited correlation with commodities. This indicates that if the price of equities falls, the price of commodities will increase.

- The supply-and-demand dynamics have a substantial impact on commodities as well. For instance, if there is a large harvest of a particular crop, the price of that crop typically decreases. In contrast, fears that future supply would be disrupted by drought or flooding might cause prices to rise.

- As the demand for various items rises, so does the demand for the commodities used to manufacture them, increasing commodity prices.

While trading commodities can be very good, you should know a few things before investing in commodities.
 
As highlighted earlier, commodities are heavily dependent on supply and demand. Some agricultural commodities may not perform well during economic downturns as people might consider cheaper alternatives. For instance, due to the war in Ukraine, many countries have resorted to getting alternatives to wheat. The Cameroon government is encouraging local substitutes like cassava and yams to replace the wheat usually imported from Russia and Ukraine.
 
Also, the commodity market is quite volatile, which sometimes leads to underperformance. Because the supply and demand characteristics change frequently, volatility in commodities tends to be higher than in stocks, bonds, and other types of assets. 
 
To trade agricultural commodities, you need proper education on the commodities you need to trade at what time and also to be able to diversify your portfolio - AFEX is happy to help with that - we make available daily data on how each commodity is being traded on the Exchange performs and also do periodic live sessions to educate investors. You can visit the [ComX by AFEX](https://comx.afexnigeria.com/) page to trade and invest in commodities. ComX is Africa's first commodities trading app.


How Trading Commodities can Help you Save your Money against Inflation

On Saturday, July 30th, 2022, we hosted the 3rd edition of our industry platform, Code Cash Crop themed ‘Disrupting Agriculture Trade Infrastructure’. This is an initiative that celebrates the convergence of Technology, Finance, and Agriculture to unlock sustainable solutions to food system challenges in Africa.  ![CCC.jpg](/uploads/CCC_ddee4d8c86.jpg)

Since its inception in 2018, Code Cash Crop has continually provided fun and educative space for learning and creating solutions to Agricultural commodities growth challenges on the continent, and it aligns with AFEX’s mission to build infrastructure and platforms that drive capital to power a trust economy in Africa’s commodity.
![123099A5764.jpg](/uploads/123099_A5764_7b938d630f.jpg)

The event which was held in Oriental Hotel flagged off at 8 am with a keynote speech by Olatomiwa Williams Country Manager, Microsoft (Nigeria & Ghana). She centered her discussion on Coding Solutions for Transforming Agriculture Trade Infrastructure, stating the importance of innovation in areas where agriculture faces challenges.
 
![7 (2).jpg](/uploads/7_2_44cb6d0b4a.jpg)
 

> “We need to focus on accelerating growth in the sector. Innovating in areas where agriculture faces challenges will help farmers scale their business, and it’s essential to simplify technology for smallholder farmers.”

This was immediately followed up by a panel session themed The Present and Future of Agriculture Commodity Trade in Africa.   The panelists, included Teslim Shitta-Bey, Managing Editor, Proshare, Ayo Arikawe, Co-Founder & CTO, ThriveAgric; Nancy Olisakwe, Head, Clearing, and Settlement, AFEX and  Zeal Akaraiwe, CEO, Graeme Blaque Group. 

![129Aqssa5764.jpg](/uploads/129_Aqssa5764_6b7b541123.jpg)
Second-panel session “Derisking Crossborder Transactions to Simplify Trade,” moderated by Mr. Olaolu Ajose, Head of Engineering, Chaka, had Puneet Arora, Country Manager One Part 365; Sikemi Tayo, Founder, KIT for Professionals; John Bosco DCEO, PAPSS, and Dr. Akeem Oyewale, CEO, Marble Capital Limited as panelists. One of the speakers on the panel, Sekemi Tayo noted the importance of secure borders “to derisk cross-border transactions, it’s critical that data be readily available, and this can be achieved by understanding the key players in the value chain and having cogent conversations on how to use technology to standardize trade in the commodities market.” 


The third and final panel with the topic “Financing the Emergence of Efficient Agriculture Marketplace for Africa” was moderated by Mr. Martin Mbonu, Investment Associate, Vested World, and had panelists like EduAbasi Chukwunweike, Start-up lead, Microsoft W&E Africa; Kolawole Osinowo, CEO Baobab+, and Oluwatoyin Olubake, ID, Novastar Ventures West Africa. The Microsoft Start-up Lead, EduAbasi Chukwunweike , in her discourse, focused on the need to focus on the traceability of creditworthiness of farmers. “When we can solve the problem of the marketplace and how to increase farmers' yield using data then we can boast about Africa Feeding Itself”.

![winners.jpg](/uploads/winners_7723f80272.jpg)
A nice twist to the event was the Ag-hackathon which brought together young talents from the fields of agriculture, finance, and technology in Nigeria to pitch viable business solutions that address Africa’s Trade Infrastructure to a panel of judges.

The hackathon first kicked off with a call for proposals on the 20th of April from innovators in the technology, finance, and agriculture fields to proffer AgriTech solutions that address these five key United Nations SDGs; SDG 1, No poverty, SDG 2, Zero Hunger, SDG 5, gender inequality, SDG 8, Decent work and economic growth, and SDG 12, responsible consumption, and production. We got about 250 registrations and over 100 proposal submissions from this action. However, 6 participants that fit the criteria were picked.

![CCC.jpg](/uploads/CCC_ddee4d8c86.jpg)
The finalists namely; Abubakar Sadiq Amao (Tarkin), Folasewa Abdulsalam (PalmFarms), Samuel Akame (Credence), Chibueze Opata (Greener Agro), Oluwasanmi Giwa (Agricede), Prince Achoja (Ma’aaji-Noma), each had viable innovations/solutions ideas for taking Africa’s food system to a whole new level.


In the end, Prince won the grand prize of 2.5 million naira, a free training program with Arravo, and a 6-month mentorship at AFEX. His platform (Ma’aji-Noma) wishes to integrate financial services built for farmers in poor and remote communities to help them access both offline and online financial services (Payments, Savings, thrifts, and Loans) and access agricultural information easily and faster in their local dialect. 


Yusuf Oguntola, AFEX's Chief Technology Officer, in his concluding speech elaborated the urgency to trust culture of collaboration and innovation is essential, especially in Agriculture. While giving the vote of thanks expressed his pleasure in seeing the next generation of innovators from the fields of technology, finance, and agriculture come up with sustainable solutions to optimize agricultural business infrastructure.


Everything you missed from Code Cash Crop 3.0

Nigeria’s leading commodities market player, AFEX, today hosted the third edition of its Code Cash Crop event at Lagos Oriental Hotel, to support the integration of agriculture, finance, and technology that create sustainable solutions to some of the most pressing food system challenges in Africa. 

The theme of the event was “Disrupting Agriculture Trade Infrastructure” and it brought together next-generation innovators, business professionals, entrepreneurs, Agric specialists, investors, development partners, and policymakers in the three sectors to identify innovative and viable solutions to Africa’s Trade Infrastructure in a series of panel discussions, mentorship sessions, and network meetings. 

Additionally, Code Cash Crop 3.0 featured an ag hackathon, focused on young professionals representing the fields of agriculture, finance, and technology competing and pitching innovative ideas to real-world challenges in the sector. The objective was to create a transformative business idea for the markets which can increase better opportunities for producers, ease participation for various levels of investors in supply chain activities and increase transparency and security for players on both ends of the market. More than 5 million naira in prizes were awarded to the top 3 participants, and more than 200 submissions were made to solve the challenges in UN SDGs 1, 2, 5, 8, and 12.

![3 copy.jpg](/uploads/3_copy_c8a4deeb0b.jpg)

Commenting on the significance of Code Cash Crop, Yusuf Oguntola, the Chief Technology Officer, AFEX, said, “We believe that it is essential to nurture a culture of collaboration and innovation, especially if we are to effectively tackle some of today’s urgent agriculture challenges. We are happy to see the next generation of innovators from the fields of technology, finance, and agriculture pitch viable solutions for optimizing agriculture trade infrastructure.” He added that technology will be key in promoting a platform model for agriculture trade that can focus on providing access to logistics, access to advisory services, access to inputs, and access to the market, which are all key to the future of agriculture in Africa. 

Ikenna Nzewi, CEO, Co-founder, Releaf, speaking at the panel discussion on the topic “The present and future of agriculture commodity trade in Africa” stated that ‘it’s important to carry out comprehensive research for solutions, especially technologies that are applicable to smallholder farmers which should be tailored to their needs.”

“We need to focus on accelerating growth in the sector. Innovating in areas where agriculture faces challenges will help farmers scale their business, and it’s essential to simplify technology for smallholder farmers.” Olatomiwa Williams, Country Manager, Microsoft (Nigeria & Ghana) commented in her opening remarks.

![6.jpg](/uploads/6_0192968cd3.jpg)

Since its inception in 2018, Code Cash Crop has been at the forefront of advocating for agritech solutions that boost the competitiveness and inclusiveness of the agribusiness sector. Additionally, Code Cash Crop builds on AFEX’s long-standing efforts to foster digital innovation and sustainability in Africa’s food system in a way that drives prosperity and immense social value for all.

“Code Cash Crop showcases the importance of fusing technology-led solutions along with agriculture and finance to create a better, connected, and sustainable future for our food systems. Solving the challenges in the supply chain requires collective expertise and I am glad young men and women in Nigeria are leading this conversation with new and innovative ideas. Through this ag hackathon, in association with our partners, we hope to help make these ideas a reality,” said Akinyinka Akintunde, COO AFEX.

Bolstered by an existing supply chain infrastructure of over 100 warehouses and digital trading platforms that link investors with producers and processors, AFEX’s commitment to the agricultural sector and deep industry knowledge will add crucial expertise to this much-needed activity.

Since its launch in 2014, AFEX has committed to leveling-up Africa’s Agric-tech sector; by helping the continent trade with itself and the world, while boosting food security and making food production more efficient.




Press Release: AFEX Code Cash Crop 3.0 Creates Solutions to Boost Agriculture, Finance, and Technology Sectors

**The following blog post explores how Commodity Exchanges can transform the lives of farmers and reduce food insecurity.**

The Russia-Ukraine conflict and soaring inflation rates have created a surge in global commodity prices that has left many African countries struggling to address shortages in essential commodities. 

Nigeria, Egypt, Kenya, Sudan, Algeria, and South Africa are some of the many African countries that rely on imports of wheat, maize, and fertilizer to feed their growing populations. But the surge in commodity prices threatens food insecurity in these countries and the continent. The price of wheat alone is expected to increase by more than 40 percent in 2022, according to the [World Bank](https://openknowledge.worldbank.org/bitstream/handle/10986/37223/CMO-April-2022.pdf ).

The supply chain disruptions have raised questions about what African countries are doing to help farmers maintain their livelihoods and reduce food insecurity.

![Bloomberg Wheat Graph.png](/uploads/Bloomberg_Wheat_Graph_d8b251cea9.png)

According to the FAO, in Nigeria alone, more than [70 percent](https://www.fao.org/nigeria/fao-in-nigeria/nigeria-at-a-glance/en/) of the population engages in Agriculture, mainly at the subsistence level. Some analysts have pointed to the potential of commodity exchanges to transform the lives of African farmers. Commodity exchanges allow buyers and sellers to trade commodities under a fair, transparent, and standardized process. 

One of the most successful exchanges in Africa is the AFEX Exchange, which ranked third in the Financial Times’s list of [Africa’s fastest-growing companies](https://www.ft.com/reports/africas-fastest-growing-companies) and recently expanded its operations to Kenya. 

“Over 45% of AFEX farmers are food secure or have enough food to sustain them for the entire year,” said AFEX CEO, Ayodeji Balogun, in an [interview](https://www.youtube.com/watch?v=nnp4DJq0fyk&t=132s) with CNBC Africa. “Compared with baseline data, only 15% of farmers in Nigeria are food secure.” In 2021, the total number of registered farmers in the government’s database was 5.7 million.  

Here are five ways that commodity exchanges can transform the lives of farmers: 


- Access to Finance 

Access to finance is critical for African farmers as they need money to purchase seeds and fertilizer. Commodity exchanges can solve this problem through loan programs or through a warehouse receipt system. AFEX has launched a $1 million loan program that allows 5000 farmers in Kenya to take out loans to purchase commodities. 

The exchange is also helping farmers get better access to finance through its Workbench Platform. The platform allows farmers to use the receipts of the inventory they hold at an AFEX warehouse as collateral to borrow money from banks.

- Better prices 

Commodity exchanges allow farmers to access a larger group of buyers and sellers on a regular basis, which leads to better prices for crops. Many farmers struggle to find a market for the goods they produce, which means they are forced to rely on middlemen who charge inflated prices.

One of the functions of a functioning commodities exchange is to establish a standardized price for commodities. 

- Access to storage for smallholder farmers  

Nigeria loses N3.5 trillion to post-harvest loss each year because it lacks proper storage facilities, according to agritech firm Farmcrowdy. Another report by SBM Intel says 47% of farmers have zero access to any kind of storage facilities during harvest. 

The absence of storage facilities forces many farmers to store their produce in their homes, which causes the crops to spoil and drives up production costs. AFEX has built a network of more than 100 warehouses across 23 states - the largest in the country. Under AFEX’s warehouse system, farmers can store grains for up to seven months.  

- Access to a larger market

Commodity exchanges use their platforms to give farmers access to several buyers of their crops. These platforms allow farmers to get precise market information about the market for their crops. Timely access to information also allows farmers to plan ahead, raise their prices when best suited, and make more money.

How you can help

At AFEX, we are committed to fighting for greater food security for Africans. Changemakers can support our mission by registering on our trading platform - [ComX](https://comx.afexnigeria.com/) - which enables financing for various value chain activities while allowing investors to make a decent at per or above market return.





4 Ways Commodity Exchanges Can Reduce Food Insecurity 

Economies around the world have experienced huge volatility in commodity prices following several factors since the global pandemic and the recent Russia’s invasion of Ukraine in February as the two countries play a significant role in global agricultural markets. Recently, Ukraine’s agriculture minister told Reuters that the war will likely create a global wheat shortage for “at least three seasons”, pushing prices sky high. 

While inflation in food commodities has experienced globally, African economies have been particularly exposed. 

**Overdependence on imports threatens food prices**

In 2020, African countries imported agricultural products worth US$4 billion from Russia, roughly 90% of which was wheat, and 6% sunflower oil. Russia is also a key producer of fertiliser. As such, when Nigeria-bound vessels stocked with potash, a key ingredient in fertiliser production, become trapped in the Black Sea region, it is a problem for the country. 

The grim reality laid bare by the conflict is that Nigeria (one of the highest food importers in the African region) must limit its exposure to sudden global disruptions. Not only does Nigeria's overdependence on Russia and Ukraine threaten food prices in the area, but it also impacts the livelihood of farmers.

Agriculture is hugely important to Nigeria and accounts for about 24 percent of the country’s GDP, smallholder farmers comprising over 80 per cent of all Nigerian farmers. Strong agricultural trade infrastructure that can help to boost productivity at a national level should also enable efficient trade within regional and global systems. And this is where the markets come into play.

Although agricultural commodity markets are still developing in Africa, they can positively affect every part of the food value chain. They can help equalise infrastructure for efficient trade on the continent, from production to supply chains.

**Commodity exchanges help unlock finance and level the playing field**

![Comex image.jpg](/uploads/Comex_image_308642c9fc.jpg)

Commodity exchanges provide a critical link to unlocking finance for various commodity value chains within the African context. They can help smallholder farmers access finance and advisory services, enabling them to produce and trade more. As the world strives toward gender equality and empowerment of all women and girls. 

It is comforting knowing that women farmers, who are disproportionately affected by the ongoing conflict because they are five times less likely to own land than men and lack the financial resources to invest in farming supplies and services, can increase their yields with the help of a commodity exchange. 

At AFEX, we enable farmers to participate in market opportunities through our unique platform WorkBench. It allows farmer transactions with our network of warehouses as well as access input loans to purchase items such as fertilisers - a key component to help increase yields. A well-functioning commodities exchange on the continent will encourage multiple actors to enter the local ecosystem, reducing dependencies on one channel for trade. 

**Ditch the status quo**

As global trade interactions become more standardised, adequately priced, and legitimate, Nigerian farmers will be less dependent on Wheat imports from Russia or Ukraine.  

As many governments speak of the need to strengthen food security and become self-sufficient in the face of threats to supply chains, Africa's food systems remain far from this ideal. Agricultural commodity exchanges on the continent can support a move towards improved productivity on a national level, where comparative advantage for the production of the commodity exists. 

Rather than continuing with the status quo, African commodity exchanges can play an essential role in helping the continent feed itself in and out of periods of crisis.

**How you can help**

![AFEX female farmers.jpg](/uploads/AFEX_female_farmers_b862bd4893.jpg)

At AFEX, we are committed to fight for greater food security for Africans. Young changemakers can support our mission by registering for our Code Cash Crop Hackathon. Registration is open[ here. ](link)https://africaexchange.com/ccc3

A Functioning Commodities Exchange Could Help Address Food Insecurity

# When you speak to Ayanfe Agbede, there’s a feeling you get that this is a lady driven by excellence and action. She is a product management graduate intern in AFEX’s Bar Raiser Program. In this article, she walks us through her internship experience at AFEX.

An avid lover of thrillers and a fashion enthusiast, the graduate of soil science from the University of Benin recounts how the journey to AFEX started.

“Before I joined AFEX, I worked as a research assistant for a data analysis consultant. I found out about the internship program through a friend that knows an AFEX employee. He just dropped the flyer in my DM, and I hopped on it.

As I look back on how my career started here, I believe I made the right decision to apply for the Bar Raiser Program because AFEX presented an opportunity for me to learn at a very fast pace. I am motivated by the pace of my growth here. 

I remember when I was interviewed, I was nervous at first when I saw the number of people interviewing me. Then I realized they don’t bite. There were lots of questions asked and even though it was a lot, it was a learning point for me, and I enjoyed every bit of it.

Currently, I work as a product management intern, and I work on the Workbench system. In this role, I must wear many hearts and I am proud to take on every challenge.  I have come to learn that prioritization is one important thing as a product manager and this learning curve for me has been satisfying.

My journey as a Bar Raiser has been smooth. I have learned that with the right support and mentorship you can get the work done effectively. I am surrounded by amazing and brilliant people in my corner that make it easy and enjoyable such as my work buddy and my senior colleague, Kamal, who never gets tired of explaining the commodities ecosystem to me. 

If I were to name, the favorite thing I love about AFEX that would be the positive environment that you encounter at the company and the fact that excellence is a focal point for everyone. This is one of the few companies I know that gives room for career growth and I am not capping.

For future bar raisers who would love to join the company one day, AFEX is a place to be, however, don’t get so worked up, be expressive and be yourself. “



Internship Stories: AFEX is a place to be with the right support and mentorship - Ayanfe

**_Nwobodo Somto has only one feeling when you mention the name AFEX – an intense yellow glowy feeling – that stems from being granted an opportunity to help Africa’s commodities ecosystem in her own unique way. We sit down to talk about her interests, her career journey in the AFEX Bar Raiser Program, and her expectations. In other words, a typical day at work for a new product management intern navigating the space._**

“It all started when my friend, Simi, told me about the Bar Raiser Program. Prior to that, rewinding back to the start of the year, I became very interested in product management and started applying for courses and even proceeding to join product management communities.  I had gathered from a lot of people that it was difficult to get an entry-level experience in product management in Nigeria. I ranted about it to a few friends but decided to keep getting better and praying about it. Months after, my friend sent the AFEX Ad to me,” she explains.

Though Somto is a newbie to the world of product management, she brings with her a handful of experiences working in other fields. “Before I joined AFEX for the Bar Raiser Program, I had just concluded my youth service where I served as a software developer intern at Niger Delta Power Holding Company. In that same period, I did a lot of freelance copywriting and website development. I graduated over a year ago from Covenant University with first-class honors in Computer Science and dabbled lightly in different fields of tech before coming across product management” 

Now she’s ready to make her mark in the field, “At AFEX, I work as a Graduate Intern Product Manager. In my role, I work on the Exchange Communications Network and WorkBench Mobile Systems, and I am primarily responsible for ensuring the success of these technology stacks. This involves working with users, designers, developers, management, and other stakeholders to ensure everyone is on the same page. I must ensure that whatever tech we’re building effectively solves the users’ problems, enhances their experience, and pushes our business goals.” However, when Somto is not working, she is learning painting techniques and food recipes among other hobbies that bring her alive. “I have a new and profound love for food that suspiciously started around the time I started at AFEX. I also enjoyed writing at some point, but procrastination. I love pink things, books, cats, and fun bonding activities. I love Lin Manuel Miranda and everything he has ever written. Also, Benedict Cumberbatch, and every proof of his existence.” 

By the looks of it, the Marvel fan is already off to a strong start at AFEX. One particularly memorable moment for Somto was her interview for the AFEX Bar Raiser Program and her experience so far in the organization. 

“I remember I did a little dance as soon as I got out of sight of the panel. When we started the interview, I was told that it would be more of a conversation, but I automatically assumed that those were just words. Much to my surprise, I was laughing with the panel at some point. I thought I was coming into the interview to sell myself as a person who could potentially bring value to the company, but it was a lot more than that.

During the interview, I got to understand what the company did and what the overarching goal was, and I was completely sold on it. I got to witness a bit of the AFEX culture through the way the panel interacted with each other and myself. I could tell that AFEX would be a healthy environment to learn, grow, and work.

I even bonded with a few of the panel members over shared interests like anime and board games. I could tell that the main objective was establishing that I was a cultural fit and willing to learn. I was literally in a panel with my favorite kind of people – passionate, driven, empathetic, and at least a little geeky. When the interview was over, I had to do a little dance of victory.

Coming into the program, I expected that I would work on smaller tasks or learn from scratch, but within a bubble that would stop me from making any real impact on the general operations because nobody would want an intern derailing their operations. Boy was I wrong. To my absolute surprise, I was put on products and major projects barely one month into the internship. The other graduate interns and I were put in charge of driving the redesign of two major products. We get to work with minimal supervision but with all the support we require, and it has been such a learning experience. We are making decisions and mitigating risks and strategizing as we move the product through its development life cycle, and I literally wake up every day excited to get to work.

I thought the orientation program at the resort would be the extent of our welcome into the company, but I got to the office and the people in my squad got me and the other Graduate Interns lunch throughout the first week. The way we were treated at the resort was the same way we got treated at the office. With much acknowledgment, respect, and consideration. Everyone has been friendly and supportive, and I have been able to learn and grow a whole lot.

There are also a lot of nicknames, for example, the Product Management graduate interns are called GI Joe and Janes (there’s just one guy in my squad) and I’m called Slim Shady! Well, it’s just the one person calling me for now but I’m hoping it would stick as it beats my last nickname, and I feel people hearing it would think I probably have deep mysterious layers and would never guess why I’m being called that. Hehe. But work-wise, I’m currently working on multiple projects and co-driving one of them. As I’ve said before, the team members are amazing, the projects themselves are self-fulfilling and I’m having a great time. 

Also, I love that everyone I’ve encountered in the company is very interested and people’s opinions or ideas are heard, valued, and considered. It did something to me when my opinion about things was sought during meetings and people responded to things, I said in ways that showed that they listened. It made me feel valued. It’s also amazing that we have snack days and hangouts. There’s always some food or snack available, and that has me like food. 

For interns looking forward to working with AFEX in the future, I would say be passionate about growing. The possibilities and opportunities at AFEX are limitless.”


Internship Stories: The Possibilities and Opportunities at AFEX are Limitless - Somto

_**Grace Abikoye is a graduate intern with the Strategy and Corporate Finance team at AFEX. As one of the awesome talents from the AFEX Bar Raiser Program she has a lot happening for her and in this interview, she really lets us in.**_

“Before I joined AFEX, I was everywhere…” Grace states, laughing at comments about her impressive resume that seems to underscore a relentless quest to redefine what it means to be a young professional.

“…I realized early enough the importance of extra-curriculars in developing my skills and competencies as well as in creating the necessary opportunities to earn a place in a reputable organization like AFEX. So, I became an active member of Association Internationale des étudiants en sciences économiques et commerciales (AIESEC) where I worked in the Incoming Global Entrepreneur arm. I was one of the fellows of the first cohort of Millennium Campus Fellowship – a fellowship by Millennium Campus Network in partnership with the United Nations focused on student-led community projects. 

During this program, I founded an NGO called Sponsor a Beske Child to School to mentor and sponsor the formal education of the indigent children who hawk and beg for alms in Ilorin, Kwara State. I also worked at HA Blissful Farms, for the fulfillment of the compulsory internship program of my school. I participated in the Hult Prize competition, where I came third in my university; the CFA Ethics challenge, where I came third in Nigeria, and the CFA Equity Research challenge, which took me to the finals. The highlight of my experience has been an internship at Bank of America Merrill Lynch, after which I was appointed the President of The Investment Society in my University.” 

Things were coming together nicely for Grace, who is a graduate of Agricultural Science from the University of Ilorin. Her answer to that has been to seek new challenges and step up even more in the fast-paced industry that she has chosen.

Speaking about coming into the AFEX Bar Raiser Program, Grace shares, “I am a visionary and I am a pretty confident young lady. I have a passion for the commodities market and exchanges, so I had an eye on AFEX since October 2021. I was in communication with the AFEX Talent Manager since November 2021 and was definitely hoping for an in. Interestingly, the CEO had requested CVs on LinkedIn a few months ago and I sent mine. However, I came across the internship program e-flier on LinkedIn, and I applied. It was mostly great and shocking interviewing for the bar raiser program because I was not expecting so many interviewers on board.

At the orientation program, I got to learn a lot about AFEX which set a good foundation for my role as a Strategy and Corporate Finance intern. I learned the importance of having a good culture in ensuring the productivity of staff. The induction was super fun and the food, how could I forget that. We love food at AFEX and it’s just a great experience.”

Starting a new job in a new environment can be tasking, but Grace is bringing new ideas to the building, and working to drive AFEX’s vision forward.

“In my role, I help to build the strategy decks for the firm, monitor the goals of each squad, and assist with management presentations and weekly reports of the capital markets and CBN policies.

My experience so far has been good and fun. There has been a balance of learning and playing while at it. I have a great boss that is supportive and it’s great to know that everyone is approachable at AFEX. 

I would advise future graduate interns to be open to learning, be ready to work, make friends, and most importantly, find time for personal development because it helps. Just be yourself.”