Africa - Grain - Market Analysis, Forecast, Size, Trends and Insights

 IndexBox (2023) Africa - Grain - Market Analysis, Forecast, Size, Trends and Insights 

The grain industry is a cornerstone of food security in Africa, serving as a staple for millions across the continent. Maize (corn), wheat, and rice are among the most popular grains cultivated and consumed on the African continent. 

With a burgeoning population and socioeconomic transformations, understanding the volume of grain production and consumption is pivotal for ensuring the resilience of food systems in Africa. The data obtained from IndexBox shows that:

• the largest countries in terms of grain consumption in Africa in 2022 were Egypt (38.117 M tons), Nigeria (32.168 M tons), Ethiopia (31.605 M tons), Algeria (22.505 M tons), and South Africa (16.769 M tons).
• Africa's reliance on grain imports is significant. In 2022, Algeria was the largest grain importer with 18.916 M tons, followed by Egypt (15.737 M tons), Morocco (8.779 M tons), Libya (3.484 M tons), and Tunisia (3.443 M tons). These import volumes highlight a substantial dependence on foreign grain supplies, due in part to insufficient domestic production to meet the demand. Regarding the financial aspect of imports, in 2022, Egypt spent the most on grain imports, reaching a total of 6.308 billion USD. Algeria's import value amounted to 4.606 billion USD, Morocco's to 3.638 billion USD, Nigeria's to 2.276 billion USD, and Tunisia's to 1.469 billion USD.

Poor infrastructure, fluctuating climatic conditions, and limited access to technology hinder production capabilities. Policies aiming at improving agricultural practices, investment in storage and transport infrastructure, and the development of more climate-resistant crop varieties can potentially mitigate some of these challenges. 

The grain industry in Africa is marked by contrasting scenarios of production capacities and import dependencies. While countries like Ethiopia and Nigeria showcase substantial production volumes, others continue to rely heavily on imports to feed their populations. The complex interplay of factors contributing to market growth and limitations underscores the need for strategic policy development aimed at enhancing self-sufficiency and mitigating the potential risks associated with import reliance. Efforts to build robust agricultural systems in Africa are essential to ensure the long-term sustainability and security of the continent's grain supply. 

26 - 27 February 2024. 2024 Australian Grain Research Development Corporation  (GRDC) Grains
Research Update. Perth Australia

This two-day program showcased the latest research, technology, market development and innovations to improve the productivity and profitability of the Western Australia grains industry. See program.

26/02 Looking ahead to the African opportunity? 

by Chris Carter, Australian Export Grains Innovation Centre (AEGIC)

By 2035 the population in Africa is tipped to increase by nearly 400 million people, responsible for about half of the world’s population growth. These developments position Africa as a robust source of new grain demand, necessitating increased local crop production, enhanced grain supply chains and dependable new grain import sources.

Rapid population growth, urbanisation and economic development in Africa offer opportunities for theAustralian grain industry in the years ahead. While these opportunities should not be under-estimated, serving existing valuable markets in North and South East Asia are expected to provide the best returns to Australian growers in coming decades.

This is the message from Australian Export Grains Innovation Centre (AEGIC) Market Insights Acting
Manager Chris Carter to the Grains Research Update in Perth, hosted by the Grains Research and Development Corporation (GRDC). Dr Carter’s findings are from an ‘Africa 2035 Insights’ project delivered by AEGIC through investment from Grains Australia. Grains Australia, an initiative of the GRDC, is responsible for vital industry services and functions that improve the industry’s competitiveness and profitability.