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Trade Capacity Building

John Magnay of Uganda Grain Traders Limited makes prescriptions for regional trade within Eastern Africa(read all of SSA) he suggests:

Regional trade that was predicated on a regional market with a modern futures system. This would address two significant problems: the fact that different markets have different timings associated with them and the challenge of effective coordination in the use of regional storage facilities. To achieve this objective, Mr. Magnay believed that two things were necessary: (a) political will on the part of both local and donor governments, and (b) some form of artificial price mechanism. The presence of these two prerequisites will help ensure that proper market signals reach producers. In one case, buyers from a neighboring company showed up seeking 50 thousand tons of beans without prior notice, and the Grain Traders association had nothing to give them. The final element of this equation, according to Mr. Magnay is infrastructure. In his opinion, investment in this area should be driven by market signals and the private sector, not merely donor interest.

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