Guidelines on the manufacture of agricultural tools, implements and low-cost transport equipment by small-scale engineering industries in the context of the Second Industrial Development Decade for Africa(second IDDA)

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ECA/IHSD/IDPS/ENG/010/92 03 NOVEMBER 1992

UNITED NATIONS

ECONOMIC COMMISSION FOR AFRICA Industry and Human Settlements Division

GUIDELINES ON THE MANUFACTURE OF AGRICULTURAL

TOOLS, IMPLEMENTS AND LOW-COST TRANSPORT

EQUIPMENT BY SMALL-SCALE ENGINEERING INDUSTRIES

IN THE CONTEXT OF THE SECOND INDUSTRIAL

DEVELOPMENT DECADE FOR AFRICA (SECOND IDDA)

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TABLE OF CONTENTS

Pages

CHAPTER ONE: INTRODUCTION TO THE PROBLEM 1

1.1. Definition and main characteristics of

agricultural tools and implements, low-cost

transport equipment and small-scale industry. 1 1.2.The problems associated with the manufacture

of agricultural and transport equipment

in the context of the Second IDDA. 3

1.3. Scope of the study coverage 4

CHAPTER TWO: SUMMARY OF CONCLUSIONS AND

RECOMMENDATIONS " 5

2.1 Conclusions 5

2.2. Recommendations 6

CHAPTER THREE: A SURVEY OP NATIONAL, SUBREGIONAL, AND REGIONAL SUPPLY, DEMAND AND CURRENT CAPABILITIES OF

MANUFACTURING ATI. 9

3.1. Introduction 9

3.2. Identification of existing products for rural

development and current status of ATI industry. 9 3.3. Existing production capacities and prospectives

for covering supply/demand gaps. 14

3.4. Current production levels, importations

and exportations. 24

3.5. Production bottlenecks experienced by local manufacturers and suggested mechanisms for

resolving the problem. 30

3.6. The role of existing institutional mechanisms for co-ordinating the promotion and commercialization

of agricultural tools and implements. 31

CHAPTER FOUR: A SURVEY OF NATIONAL, SUBREGIONAL AND REGIONAL SUPPLY, DEMAND AND

CURRENT CAPABILITIES OF MANUFACTURE

OF LOW-COST TRANSPORT EQUIPMENT- 33

4.1. Introduction 3 3

4.2. Identification of existing fleet and status of

low-cost transport equipment industry. 33

4.3. Existing production units and prospectives

for covering supply/demand gaps. 38

4.4. Current production levels, and importations. . 44

4.5. Production bottlenecks experienced by local

manufacturers and suggested mechanisms for

resolving the problem. 50

4.6. The role of existing institutional mechanisms

for co-ordinating the promotion and

commercialization of Low-cost transport equipment. 51

CHAPTER FIVE: SPECIFIC NATIONAL, SUBREGIONAL AND REGIONAL PROGRAMME OF ACTION

TOWARDS THE DEVELOPMENT AGRICULTURAL TOOLS, IMPLEMENTS AND LOW-COST

TRANSPORT EQUIPMENT 52

5.1. Introduction 52

5.2. National level. 52

5.3. Subregional and regional levels. 59

CHAPTER SIX: PROFILES ON SMALL-SCALE ENGINEERING INDUSTRIES FOR MANUFACTURE OF ATI

AND LCTE. 61

6.1. Manufacturing Unit of ATI. • 61

6.2. Manufacturing Unit of LCTE : Animal Drawn Vehicles 66

CHAPTER SEVEN: SPECIFIC NATIONAL CASE STUDIES ON POLICIES AND PROGRAMMES OF ACTION TOWARDS THE DEVELOPMENT

OF ATI AND LCTE. 71

7.1. Introduction. 71

7.2. Cameroun. 71

7.3. Togo. 91

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LIST OF TABLES

Pacres

3.1. Main types of agricultural tools and estimated 1992

production and current demand 13

3.2. Existing production units of ATI in the various

subregions. 16

3.3. Current production capacities and demand projections

for years 1995 and 2000. 25

3.4. Imports of Agricultural Tools and Implements by

subregion 26

3.5. Exports of Tractors in the Region 29

4.1. Fleet of road transport equipment in use in the

region. 3 5

4.2. Estimates of existing fleet and current demand of

LCTE in Eastern and Southern Africa. 37 4.3. Existing production units of Vehicles assembly and

Component manufacturing in selected countries of

Eastern and Southern Africa. 39

4.4. Trend of total fleet and demand projections of

Commercial Vehicles by Subregion. 44

4.5. Production of Road Transport Vehicles in

the Region. 45

4.6. Total import of Road Transport Vehicles in Africa

from 1980 to 1990. 47

4.7. Comparative transportation data for developing

countries in Africa and Asia. 48

7.1. Tropic's factory production at the end of June 1991 75 7.2. Tropic's sales figures to various central

african countries at the end of June 1991 76

7.3. Tropic's factory production at the end of June 198.8/: 78

7.4. Tropicfs factory production at the end of June 1988. 80 7.5. Tropic's factory production at the end of June 1989. 82 7.6. Tropic's factory production at the end of June 1990. 84

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7.7. Tropic's sales figures, at the end of June 1988. 86 7.8. Tropic's sales figures at the end of June 1989. 88 7.9. Tropic's sales figures at the end of June 1990. 90

7.10. Uproma's manufactured articles by quantities

and sales (1883-1988 ) 94

7.11. Uproma's rate of replacing imported parts of Carts with locally manufactured parts from

1984 to 1988. 95

7.12. Uproma's rate of replacing imported parts of Multicultivators with locally manufactured

parts from 1981 to 1988. 96

7.13. Uproma's rate of replacing imported parts of Pumps with locally manufactured parts

from 1984 to 1988. 96

7.14. Uproma's sales estimates for 1988/1989

(in 1,000 F CFA). 97

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7.4. Ethiopia. "

CHAPTER EIGHT: CONCLUSIONS AND RECOMMENDATIONS. 101

8.1. Conclusions. 101

8.2. Recommendations. 102

APPENDICES. 108

BIBLIOGRAPHY* 112

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CHAPTER ONE : INTRODUCTION OF THE PROBLEM 1.0 Introduction

1. A priority area identified in both the National and Subregional components of the programme for the Second Industrial Development Decade for Africa (Second IDDA) is the development of

the engineering industries especially those linked with the

manufacture of agricultural tools and implements (ATI). The

development of the ATI industry will definitely result in the

availability of farm equipment to the vast rural agricultural population for cultivating the land in a rational way and by so doing assure the food self-sufficiency of the continent.

2. It has long been recognised that transporting food from the farms to where it is needed is an important consideration in the distribution chain. The availability of appropriate and reasonably affordable transportation to the rural farmer has been very elusive indeed. Appropriate low-cost transport equipment (LCTE)is thus another major concern that should be addressed during the Second

IDDA.

3. The purpose of this study then is to assist African countries to develop and integrate their agricultural tools and low cost transportation industries. It became clear from the field visits that the engineering industries in many African countries have to a certain extent mastered the techniques of manufacturing these equipment. In some of the enterprises, commercialization of the manufactured products and the acquisition of basic production inputs however, remained a major problem. Consequently, another goal of this study is to provide information to enterprises in the region that will enable them to market their products and more importantly to minimize capacity under-utilization for those existing, well operated enterprises, by suggesting that these enterprises should link up with suppliers in the region.

4. The underlying assumption in presenting these guidelines is that each member State and subregion will select those strategies that best respond to their needs for the development of the ATI and LCTE industries in the context of the Second IDDA.

1.1. Definition of main concepts and characteristics of ATI, LCTE and Small-scale Engineering Industries.

l.l.l. Agricultural tools and implements

5. According to the FAO, agricultural tools and implements are devices attached to, pulled behind, pushed or otherwise used with a human, animal or mechanical power source to carry out an agricultural operation. A tractor-mounted plough and a hand jabber

^

for planting maize are both considered as agricultural tools and implements. Details on the main types of agricultural tools and implements are presented in Appendix I.

1.1.2. Low-cost transportation equipment

6. Low-cost transportation equipment (LCTE) generally refers to

equipment that is pulled from behind, pushed or otherwise used by human, animal or chain driven power source to transport people and goods. Applied to a given country, it is supposed to connote the suitability to local conditions, and be affordable to the majority

of the rural and urban populations in that country. Also, for the

purpose of this study, two wheelers and three wheelers with engine capacity of 50-200 cc are considered as low-cost mode of

transportation.

7. It is convenient to distinguish between three categories of low-cost vehicles in use in the majority of the countries in

Africa:

Personal transportation vehicles: used to provide personal

transport and to move limited quantities of goods in rural and

urban areas. Those vehicles include: the hand cart popularly called the "push - push", bicycles, bicycles attached to trailers, motor cycles, etc ...

Rural farmers transport vehicles: used by farmers for

movement of themselves, their families and their goods. The main

types include: two or four wheeled carts drawn by donkeys or oxen, tractor drawn trailer, etc..., and

Service vehicles: used to provide passengers or goods

transport services in urban and rural areas. They include: Animal

drawn carriage (generally horse-drawn) ; Tricycles; Motor cycles and Sidecars with engine capacity of 50-200 cc; Motor cycles,

Vans/Pick-ups; Motor cycles based on three wheeler and Basic

transport vehicles with four wheeled motor, simple chassis and bodywork.

1.1.3. Small-scale engineering industries

8. There is no universally accepted definition of the notion of a small-scale engineering industry. In some countries, investment in terms of machinery and equipment are considered while in others, the number of people employed are considered as major determinants for categorising an enterprise. For example in Ethiopia, small- scale engineering industries are defined as enterprises which use motor or electric power having an investment in machinery and equipment not exceeding 200,000 Birr (100,000 US$) whereas in India the criteria used is that the investment should not exceed Rupees

3,5 million (291,700 US$). In Sudan, a small-scale engineering

ECA/IHSD/IDPS/ENG/010/92 Page 3

industry is an enterprise that employs 10-100 people.

9. Still other countries use output and economic sector to determine what a small-scale engineering industry should be. For example the categorization in the Peoplefs Republic of China is as follows :

Iron and Steel Industry less than 10,000 tonnes p.a.

Power Generation Industry 25,000 kw or less p.a.

Textiles Industry Below 50,000 spindles p.a.

Watch Industry Below 400,000 units p.a.

Cement Industry Below 200,000 tonnes p.a.

10. From the above examples, it is seen that a small-scale engineering industry in one country could be ranked as medium or large scale in another. The common factors that emerge from the definitions of the small-scale engineering industry from the points of views of the various countries cited above are investment in terms of machinery and equipment on one hand and number of employees on the other. For the purposes of this study, a small scale engineering industry is one that employs less than 1000 employees.

1.2. The problems associated with the manufacture of agricultural and transportation equipment in the context of the second IDDA 11. As stipulated in the Second IDDA programme, the major constraints peculiar to the engineering subsector are: low capacity utilization due to shortages and non-availability of raw materials;

outdated technologies; inefficient plants;, shortages of skilled personnel; lack of proper maintenance and lack of foreign exchange for procurement of intermediate inputs, supplies, spare parts and replacement equipment. Other constraints include lack of infrastructure; poor selection of technologies; sensitivity to economies of scale; high cost and relatively poor quality of some local input; high import content products; inadequate or lack of industrial institutions and poor management.

12. Almost all the above stated problems in varying degrees are applicable to the ATI and LCTE manufacturing industries as they are an integral part of the engineering subsector. It is important to note however, that in many of the manufacturing institutions visited during the course of this study, capacity under utilization was a direct result of lack of material input and not the

ECA/IHSD/IDPS/ENG/010/92 Page 4

availability of skilled personnel. Indeed the examples of UPROMA in

Togo and TROPIC in Cameroon, among others, show that these enterprises had to diversify their product lines, to stay viable.

1.3. Scope of the study

13. The manufacture of appropriate and adequate ATI coupled with

that of LCTE, has been identified as two engineering subsectors that need to be developed in the Second IDDA. Chapter One has attempted to define the concepts, status, and problems that are associated with their development. In Chapter Two, a summary of conclusions and recommendations is given. Chapters Three and Four

present surveys of production quantities, demands, and gaps in

supply and demand for the ATI and LCTE industries respectively in

some countries and subregions. The need for an integrated approach for the manufacture of these equipment is discussed in chapter

Five. Chapter Six attempts to provide specific national subregional

and regional programme of action for the development of ATI and LCTE. In Chapter Seven, the profiles of small-scale engineering industries for manufacturing ATIs are presented. Some country case studies are given in Chapter Eight, and the conclusions and recommendations are given in Chapter Nine. The appendix appears in Chapter Ten and the bibliography is in Chapter Eleven.

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CHAPTER TWO

ECA/IHSD/IDPS/EKG/010/92 Page 5

SUMMARY OF CONCLUSIONS AND RECOMMENDATIONS

2.1 Conclusions

14. Fundamental problems of the technical mastery of the design and manufacturing of agricultural tools and implements are not a major problem in most of the countries in Africa. Indeed, what might be said is that a large number of countries in Africa have at least an enterprise that manufactures the basic tools used by the local farmers who to a large extent practise subsistence farming.

The popularization of these equipment to the people who need it

most however, has not been adequately done.

15. There is duplication of the manufacturing facilities through

out the region and this has resulted in some of them operating at

lower capacity because the local markets have been saturated with equipment of various quality and standards. Ironically, capacity under utilization (around 50%) in the region has resulted in Africa manufacturing less ATI than she needs and hence the continent

imports close to $4 billion a year of agricultural machinery.

16. However, due to the diversity of individual country attributes such as climate, soil, topography, types of agricultural production, farm size, market size and level of economic

development, there might be th^ need for each country to

manufacture her own basic tools. Efforts should be made to use local production inputs.

17. There is on the other hand, a scarcity of enterprises that manufacture low-cost transport equipment in Africa. Production of these equipment is largely limited to the hand carts used by humans and oxen-drawn carts. Limited efforts are on the way however to develop two and three wheel vehicles for transporting humans and goods.

18. The agricultural tools, implements and low-cost transport equipment industry in African country suffers from the fact that few countries have elaborated clear policies to justify the establishment and/or the strengthening of these industries. This, has led to the absence of an effective policy-making mechanism that merges between the strategies and

improvement of ATI, LCTE and

programmes of action for the the construction and/or the development of other related industries and infrastructures. This remark also holds for the various subregions.

19. The lack of an integrated strategy towards the industry also implies that less than optimal usage is made of backward and forward linkages in manufacturing industries and manufacturing

ECA/IHSD/IDPS/ENG/010/92 Page 6

processes within firms. Another consequence of this virtual absence of effective integrated strategies is that there is lack of institutional mechanisms to co-ordinate policies and inadequate

identification of means of action to implement policies.

20. African countries already have a diversified technological base that can be used to promote the production of ATI, LCTE in the

region. For the implementation and realization of this programme

the region has the greatest need for coordination and cooperation

in this area.

2.2 Recommendations

21. An important recommendation of this study is that concrete

programmes of action at the national, subregional, regional and

international levels to remove obstacles to the production of ATI and LCTE and to promote the development of industry should be elaborated as soon as possible, and as part of the Second IDDA

programme.

22. Considering the present situation and facilities available in

the region, it is recommended that bullock carts, hand carts, wheel

barrows, and bicycles be manufactured in each country only if

economies of scale permit. Two wheelers and three wheelers of 50- 200 cc engine capacity and mopeds could be manufactured in selected countries in the region. It is not cost effective for every country to attempt to manufacture two or three wheel vehicles. Aggressive commercialization methods by the few manufacturers should be undertaken to sell these products to neighbouring African countries.

23. Central purchasing could be one of the methods to avail raw materials at any one time at a reasonable price to secure continuous production flow of products in the plants.

24. Adequate infrastructure can guarantee the establishment of better links within the country and to neighbouring countries with maximum simplification of product design requiring less sophisticated Infrastructure.

25. Products should be standardized in terms of length, width, gauges, volumes and weights. Lack of this, makes it difficult to acquire spare parts and maintain quality products. To cope with this situation, the African Regional Standardization Organization

(ARSO) should be consulted.

26. A major obstacle to the development and purchasing of ATI and LCTE in many countries is that the farmers generally do not have adequate financial resources to procure the ATI and LCTE. Farmers should be paid adequate prices for their products.

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ECA/IHSD/IDPS/ENG/010/92 Page 7

27. The production of ATIs and LCTE requires skilled manpower.

Depending on the individual country needs, this could be done through training schemes and the establishment of training centres, especially for the artisans.

28. Rural workshops should be assisted to get the design and equipment to manufacture the products to meet the demand of their customers. This could be done by making available manufacturing drawings of equipment appropriate for local conditions. Creation a data bank of such drawings and suitable production equipment with operational instructions would help in the development of desired

products.

29. In response to balance of payments crisis, exchange controls have often been used to restrain aggregate demand. These controls

can lead to reduced supplies of capital and intermediate goods with serious effects on agriculture, ATI and LCTE industries. This

problem must be addressed.

30. Policies and programmes should be developed at subregional

level to provide a base for member countries to improve their

capabilities to adapt modern technology to local conditions and

create possibilities for further specialization. The microscopic

view of country first does no longer work in the face of the

vicious international competition for limited funds. Subregional cooperation in the 1990s will have to succeed if Africa is to

survive the way we know it now. With the assistance of these subregional policies and programmes of action, efforts should be exerted towards harmonization and strengthening subregional economic activities among member countries.

31. Agricultural mechanization is practised at a very low level.

Tractors that were envisioned in the 1960's to bring about the rapid transformation in farming methods are used very rarely, and

thus are manufactured in very small quantities in the region. This suggests that future plans to mechanize agriculture in the various

countries should include the regional regrouping of the manufacture of mechanized equipment in one country.

32. Subregional co-operation could evolve by means of regular meetings and communications between the various national bodies which co-ordinate policies to aid the development of ATIs and LCTE.

The forum for these meetings could be a subregional committee.

This committee would meet regularly and act as a focal-point for each subregion by designing their programmes, initiating new co operative arrangements and monitoring existing ones.

33. Regional bodies such as ARCEDEM, UNECA, ARSO, ARCT and other international agencies should be called to assist in elaborating policies and providing technical advise needed to enhance the functioning of ATI and LCTE industries in the region.

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ECA/IHSD/IDPS/ENG/010/92 Page 8

34. More efforts must be done by the region's standardizatxon

offices at the country level so that the local industries adopt a

more coherent policy towards standardization of ATI products for

the region and develop an appropriate system of quality

certification.

ECA/IHSD/IDPS/ENG/010/92 Page 9

CHAPTER THREE : A SURVEY OF NATIONAL, SUBREGIONAL, AND REGIONAL SUPPLY, DEMAND AND CURRENT CAPABILITIES OF MANUFACTURING ATI

3.1. Introduction

35. The achievement of economic self-sufficiency in the production of food and the means to mechanize these operations for greater efficiency and profitability is often considered important by African decision-makers.

36. The promotion of domestic production of ATIs is attractive in the sense that it allows individual countries to produce food cheaply. Indeed, if African agricultural potential is to be fully realized, the linkages between agriculture and industry must be strengthened. In this regard, the easy availability of agricultural tools and implements through the development of an indigenous ATI industry could play an important role. Furthermore,

the development of local ATI industry in the various subregions and

can help alleviate the external debt problems of the region by promoting the local production of these equipment that is currently being imported.

37. The production of ATI can for some countries be a spring board for the production of other capital goods. This is because the production of ATI requires similar technical skills, processes, and production equipment' and raw materials as other capital goods.

These inputs can be the foundation from which a technological culture can be developed in Africa. Furthermore, the development of the ATI industry can create additional employment in rural non- agricultural and agricultural sectors.

3.2. Identification of existing products for rural development and status of agricultural tools and implements industry.

38. Agricultural tools and implements in the continent are produced both at factory level and by artisans. In some countries, the quality of ATI produced even at the factory level needs some improvement. The low quality of the products in this case results from lack of finances for the purchase of spare parts, raw materials and other inputs, and lack of proper managerial and technical know-how, especially at the artisan level. Improving the quality of the products to make them competitive with the imported ones requires the concerted efforts of the major economic operators.

ECA/IHSD/IDPS/ENG/010/92 Page 10

39. Most of the ATI used in Africa are hand tools, animal drawn implements and some powered implements. A certain number of hand tools and animal drawn tools are produced in the continent. Powered implements such as tractors however are assembled in some of the countries.

3.2-1- Identification of existing products for rural development 40. The identification of appropriate equipment to be produced by each country depends on many factors most importantly, the

suitability of the products to local conditions and specific

endowments of the country. The following criteria could serve as a guide oh the type of equipment to be produced :-

- Locally available production inputs - Crops to be produced.

- Size of demand and size of market in relation to level of farmers' income.

- Availability of supporting services such as maintenance workshops,, infrastructures, skilled manpower, etc.

- Topography and soil condition of the country.

- Technological level of the country concerned.

41. Furthermore, there are technological gaps which act as constraints to technological advancement. These technological gaps are sometimes called thresholds of process-complexity. There are a number of methods that may be used to overcome the problem of different thresholds of process-complexity and these include among other factors:

- the development of alternative design technologies, for example, more use of designs aimed at local conditions and not those originally intended for developed countries;

- the design of products so that they are amendable to local manufacturing processes and conditions;

- the de-mechanization and de-automatization of production processes so as to increase the use of labour and only automate those process that absolutely have to be automated and avoid costly stoppages resulting from lack of a total maintenance system.

42. UNIDO has classified agricultural equipment into various technological levels as follows:

a) Technological level I- produces mainly agricultural hand tools and manually operated equipment.

ECA/IHSD/IDPS/ENG/010/92 Page 11 b) Technological level II- produces mainly animal-drawn

machinery and equipment.

c) Technological level III- produces mainly agricultural power-operated machinery and equipment.

43. This classification is useful to the extent that appropriate ATI can be identified and produced for each country.

3.2.2. Status of agricultural tools and implements in Africa.

44. Table 1 gives estimates of the number of main types of ATIs produced, the demand, and the production/demand gap of the ATIs, in the subregions, in 1992. The gap between domestic production and demand is estimated at 31,597,000 hand tools, 3,785,000 animal drawn implements and 240,000 powered implements.

45. North Africa is estimated to produce 22,000,000 units of hand tools in 1992, 165,000 animal drawn implements and about 55,000 powered implements. The demand for these equipment during the same period was 40,000,000 units of hand tools, 300,000 units of animal drawn implements and 100,000 units of powered implements. Thus the production and demand gap for these ATIs is 18,000,000 units of hand tools, 135,000 units of animal drawn implements, and 45,000 powered implements. This gap is either filled by expensive imports or is not filled at all, in which case farming activities are not carried out satisfactorily.

46. East and Southern Africa. This region is estimated to produce 3,283,000 units of hand tools, 360,000 units of animal drawn

implements, and 14,000 units of powered implements in 1992; the

demand for these equipments were 7,074,000 units of hand tools, 1,100,000 units of animal drawn implements and 50,000 units of powered implements in the same year, while the production and demand gap is 3,791,000 hand tools, 740,000 animal drawn implements and 36,000 powered implements.

47. West Africa. In 1992, West Africa will produce 48,000,000 hand tools, 310,000 animal drawn implements, and 15,000 powered tools;

while the demand was 10,116,000 hand tools, 1,930,000 animal drawn implements and 103,000 powered implements. The production and

demand gap for the various tools are 5,316,000 hand tools, 1,620, 000 animal drawn implements, and 87,000 powered implements.

48. Central Africa will produce 1,760,000 units of hand tools in 1992, 210,000 units of animal drawn implements and 10,000 powered tools. In the same year, the subregion had a demand of 3,708,000

units of hand tools, 1,500,000 units of animal drawn implements and

ECA/IHSD/IDPS/ENG/010/92 Page 12

82,000 units of powered equipments. The production and demand gap was 1,948,000 hand tools, 1,290,000 animal drawn implements and 72,000 powered tools.

Table 3.1

ECA/IHSD/IDPS/ENG/010/92 Page 13 Main types of agricultural tools and implements and estimated 1992 production, and demand gap, ( x 1,000 units/year)

Subregions

NORTH AFRICA

EASTERN &

SOUTHERN AFRICA

WEST AFRICA

CENTRAL AFRICA

TOTAL AFRICA

Type of products

Hand tools Animal drawn

implements Powered imp.

Hand tools Animal drawn implements Powered imp.

Hand tools Animal drawn

implements' Powered imp.

Hand tools Animal drawn

implements Powered imp.

Hand tools Animal drawn

implements Powered imp.

Current production

22,000 165

55 3,283

360

14 4,800

310

15 1,760

210

10 31,843

1,045

94

Demand

40,000 300

100 7,074

1,100

50 10,116 1,930

103 3,708

1,500

82 60,898 4,830

334

Production and Demand Gap

18,000 135

45 3,791 740

36 5,316

1,620

87 1,948

1,290

72 29,055

3,785

240

Source: Engineering Industry Development Programme for selected Eastern and Southern African countries of Preferential Trade Area (September 1985). Manufacture of Agricultural Tools, Implements and Machinery in the West African

Countries ECA/IND/ENG/005/88 (September 1988). Technical

Publication on the Development of Metallurgical Support

to the production of Agricultural tools and equipment in

North Africa. (ECA/IHSD/MET/001/90) September 1990 and ECA estimates.

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ECA/IHSD/IDPS/ENG/010/92 Page 14

49. Although development of local manufacturing capabilities is encouraging in the region, imports still continue to play a significant role in each country. However, the unreliable and inappropriate data makes it difficult to accurately estimate the supply and demand gap. The situation of production capacity of specific tool types in the various subregions discussed above can be seen in the following light:

Hand tools

50. It is estimated that about 45-50 per cent cultivation in the countries situated in the South of Sahara, is carried out with

hand tools such as hoes, machetes, sickles, shovels, pick-axes, manufactured in most countries by the blacksmith at village level

and the small-scale engineering industries. The current estimated

total demand for hand tools in the region is around 65 million units/year with the local production capacity is less than 32 million units/year.

Animal-drawn implements

51. Between 20-25 per cent of cultivation is done using animal power. Adequate facilities at the small-scale industry level exist in most of countries for the manufacture of animal drawn implements such as: mould board, ploughs, harrows, cultivators, planters, etc.

The present installed capacity in the region estimated to 1 million units per annum represents only 20 per cent of the animal demand.

Mechanical Powered implements

52. The main types in use in the region include a large of land development equipment (rippers, chisels, ploughs, pumps and water distribution equipment) and farming equipment (sprayers, seeders, fertilizer, distributors, harvesters etc.). In order to meet the current demand estimated at 334,000 units per annum an additional installed capacity of 240,000 units per year would be required.

3.3. Existing production capacities and prospectives for covering supply/demand gaps.

53. Various types of tools are produced and used in African Countries. Data, however is scarce on the demand and supply situation in most of the countries in the region. Production of the implements is to a certain extent based on job order basis, usually localized and as such does not reflect national requirements. However, a reasonable level of demand can be extrapolated in each situation.

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ECA/IHSD/IDPS/ENG/010/92 Page 15

54. Table 3.2 below shows the production capacities of ATI

produced in some African countries. The number of employees,

installed capacity, number of actual production units per year and range of products are also shown. For all the regions, hand tools are the majority of implements produced, followed by animal drawn

implements and very few powered equipment.

55. In the Eastern and Southern African subregion, the number of employees in these enterprises generally is from about 100 to 600

employees. Where data is available, capacity utilization is about

50%, one important exception being in Zimbabwe, where the Bulawayo

Steel Products operated at closed to 100% capacity, producing

various hand tools.

56. The major manufacturer of ATIs in Central Africa is TROPIC, in

Cameroon. This enterprise employs about 250 people and manufactures hand tools, animal drawn tools, and powered tools. It has an installed capacity of 1,000,000 units of cutlasses. In 1991, only 50% of the cutlasses were manufactured, essentially because of the

political instability that existed in the country. In" previous

years, TROPIC operated at above 80% of installed capacity.

57. From the available figures, the West African subregion appears

to have' several enterprises that operate at over 50% of their

installed capacities. COPEMAG in Benin with its 100 employees operated at 80% capacity; ABI of Cote D'lvoire at 85%; Technology

Consultant Centre and GAMATCO Ltd of Ghana at 60% and 95% of their

capacity respectively; UPROMA of Togo at 60%; and AFMA, CEDERMA of Niger, Crocodile Matchets Ltd of Nigeria each operated at 60% of their installed capacities.

58. In North Africa, PMA, Sidi Bel Abes of Algeria that manufactures tractors had a capacity utilization of 60%; SIMEF and

AUTO-HALL of Morocco each reported 70% and 50% capacity utilization

respectively. SIMEF manufactures diesel motors and electric engines while AUTO-Hall manufactures disc ploughs and irrigation equipment.

ECA/IHSD/IDPS/ENG/010/92Page16

M

Table3.2:ExistingproductionunitsofAgriculturalToolsandimplementsinsomecountriesinthevarioussubreqions

Country

1 NameofCompany

2 NumberofEmployees

3 InstalledCapacity

4 ProductionUnits/y

5 RangeofProductsManufactured

6

EASTERNANDSOUTHERNAFRICA

ETHIOPIA

KENYA

MADAGASCAR

UGANDA EthiopianMetalToolsFactoryAddisAbaba

BlacksmithCooperatives,Addis-Ababa

IdealCasement(E.A.)Ltd

AgriculturalImplementManufact.,Makura

KenyaEngineeringIndustriesLtd.Nairobi

Avima,MafiandSidema

UGEMAEngineeringCompany.Lugzi

UgandaHoesLtd.Jinja 235100170n.a.n.a.n.a.360150 5,00t/y

600units/day

600,000240,00060,000

n.a.n.a.

1,035t/y

240,000units/y.

573,00 100,00040,00090,00020,000^n.a.300,000160,00024,000n.a.n.a.n.a.120,000units/y._108,000 PickaxesShovelsSpadesMachetesHoesShovelsAxesHoesShovelsAxesandMachetes

HoesandAxes

MachetesSugarcaneKnifeShovelsandSpades

ForgedandMachinedvariousagriculturaltoolsandequipment

Hoes,ShovelsandPickaxes

Hoes

ECA/IHSD/IDPS/ENG/010/92.Page17

p. TANZANIA

ZAMBIA

ZIMBABWE

CAMEROUN UFI.LimitedDar-es-SalaamMbeyFarmsImplementsThemFarmImplements&Eng.Co.Limited

ShongaSteelCo.Ltd.Lusaka

NorthlandAgriculturalPvt.Ltd

LasakaEng.Co.,Lasaka

UnitedSpring&Forging,Bulawayo

BulawayoSteelProducts,Bulawayo

Zimplow,Bulawayo

Tropic 650n.a.44120201631300^n.a.165 2,000,000^n.a.25,0002,815t/y

n.a.9,500u/y1,000u/y

1,5001,5002,000

300,000

n.a.750

264,000

50,000

60,000

CENTRALAFRICA

2501,000,000units/year 2,000,00012,0025,00083,14435,6481,0494321,500750100^n.a.40,00033796,00050,000^n.a.502,800408,00030,80010,200 HoesSlashersOxPloughandCultivatorsJembesShovelsPloughsRidgersPlanters&OxCarts

HoesVarioushandtoolsandanimaldrawnimplement

Trailers

Shovels

VariousHandtools:Pickaxes,MattocksandHammer

HoesandPickaxes

MachetesShovelsHoesAxes

ECA/IHSD/IDPS/ENG/010/92Page18

\m WESTAFRICA

BENIN

BURKINAFASO

COTED'IVOIRE

GHANA CopemagCENEAAPICOMAABIAgriculturalEng,Ltd.Accra

TechnologyConsultancyCentre 10010411030 2,0001,8005005006004,0004,300127,0002,3509502,0007503,7002,0002,0001,8002,5002,0001,0001502001201,000300502001202525100 80%85%45%60% MouldboardploughsRidgersPlantersSeedersCartsPloughsCultivatorsHoesCartsForksPloughsCultivatorsCartsMoulboardploughsHarrowsPlantersRidgersPumpsCartsCassavagraters

SugarcanecrushersPalmoilplantersCropplantersHarrow

Oil-expeller/MillMaizePlanterRicethresherCausticsaudaPlantSoapmakingMachineMetalforbullockcarts

i

HO td H

3 O 3* 03 0 (D 0rt p»

(D H- 01 M(D

t"1 >

rt a

• H- 01 td

(D

H-

H-3O d tdH O ft Hd rt

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t"1 H COtd

3P O3- H-3 (D tr"

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aH

am o

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to o o

O <D H O P © O O3' H) O

o o

I-1

o H COO

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CO td a p o (D O

vo to Ul

o o o o

Ul H -&■

^ O O o o o o o o o o

to to w ui OlUlOO o o o o o o o o

o o^ *

- o o o

o o o

o o o

o

H I-1 Ul Ul Ul O O O o

oo

W U Ul W M

- o- - o

o- o o-*

o o o o o o o o o o

o o

LJ Ul o o o o o o

Ul o

Ul o

Ul

o o

0\°

o o01 (0

o Ul

3p o (Drt 01(D

3 OH O P JB/J-J 4 0 H h H- CT H- H- 3 H" iQ p.

3 T3 P (0 (D i"i rt Ht

01 O H-01 0 o(I> 3 0101 *a 3 3

H- H-

01 01

3 aO H- d oiw o a tr t-- o op d

01 H1 o

01

01

rt oi fl) - 01 P-

0 (D i-i oi rt-01 K o(D

p,

ofl>

ft3*

(D01

(D 01

H. oa d 0

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prt o 01

p3

d01 3J(D a od 3'01

a

H-

w > nj o d d p p i3 rt M oi P o 3 oi h{ 0 P H O <

0 P H- P P < H 3 (D iQ (D 01 fl) l-<

0 *& rtX P 4 (D (!)

h3 3 ^

fj. pj p

o o o

^s* d X rt 3' fD (D 01 01 01

*d w0 3- t-i o 01 (D

\->

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< w p *tJ

hj p p. hj

O CD 01 p>

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(D

So)[cq saoH

s Jioq.BAxq.xno' sufinoxa

saaxxBJtquuebjpub €3T^^TTOTTQTTT^^"^ quautdxnba saapuxaoauog ^ossaooad Xsuja^ipubXT°WT^d saaquBXdSuxxxoH%ss

000'Z

ooo'e ooo's

OOO'OT ooo's A/nooS A/nOOO'OSX 000'OT ooo's OOO'S 000'2 ooo's *B"U *B'U 003 003 000'T

SSI ooe •B'U •B'U ox

'umoi,auxxo doiisX-^OMX^uoxqBN HVWSIS

3N03T VHH3IS

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OS

ECA/IHSD/IDPS/ENG/010/92Page21

TOGO

ALGERIA UPROMA512005003505050250150

NORTHAFRICA

PMA,SidiBelAbes

PMO,ConstantineMechanicalComplex

SMIV,RouibaIndustrialComplex

EMARAL,EDIMA,FERROVIAL,SOTRAMET,PROMETAL,DAHOUIV,ECOMAand8OtherManufacturers 7,5001,25065014,000 60%60%2,0008,50050020050050014,0008004,0003,500 HandpulledplantersPloughsFarmcartsBicyclecartsGroundnutshellersHandpumpCow-pullewatercontainersTractorsCombineHarvestersThreshersDiggersSeedersGrasscuttersSprinklersSprayersPumpsValves,jointsDieselenginesTrailersDisc(x1000)

VarioustypesofagriculturalToolsandImplements

ECA/IHSD/IDPS/ENG/010/92Page22

EGYPT

LIBYA

MOROCCO BEHRACO.AlexandriaTANTAMOTORS,TantaNASRAUTOMOTIVECo.,ElwanCairo

MICAR

OtherPrivateCompanies:SISMAN,F.REHAB,EL-MANSOUR,EL-MAADI,ADIandNOMPFACTORIES.

TRACTORASSEMBLYPLANT,Tripoli

AMTAR

FRENDO 5002001,50013520 2,500 1,6001503003,8005001,5009002,0002001001,0001501,0003,7001,5009002,0005,000841115402316124601203030101510 TractorsTrailersPumps4-6"

ThreshersRippers

PloughsCultivatorsSprinklers

TrailersWatertanksIrrigationpumpsThreshers

HarvestersThreshersHarrowsCultivatorsSprayers

Tractors

DiscploughsChiselploughsDiscsharrowHarrows

Cover-cropsPlough-masterChiselsPloughsHarrowsCultivatorsSprayersThreshersTrailers

ECA/IHSD/IDPS/ENG/010/92Page23

TUNISIA COMICOMAUTO-HALL_SIMEFSMADIA,JLM

CMT

SEMPIM-SIMPAR

HUARDTUNISIA 450 6001,0001,0006,00020,00060,00014,0001,300u/y

1,200u/y 260225022050%

70%

4,500

21006282802

500

20062150 Cover-cropsPloughsTrailersChiselsDiscploughsCover-cropsIrrigationpumps

DieselenginesElectricmotorsMotorcyclesPeugeot

Motors

TractorsCombineharvestersPressesHarvestersSprayers

Spreadersandseeders

PloughsSprayersCultivators,Harrows0

Source:EngineeringIndustryDevelopmentProgrammeforselectedEasternandSouthernAfricancountriesofPreferentialTradeArea(September1985).Manufactureof

Agricultural Tools, Implements and Machinery in the West African Countries

ECA/IND/ENG/005/88(September1988).TechnicalPublicationontheDevelopmentof

Metallurgical Support to the production of Agricultural tools and equipment in

NorthAfrica.(ECA/IHSD/MET/001/90)September1990.

{i&ii«« o*.t> iiojj ;>;>^<i»o;^u-^ji^j^viiiwo^ajii^y^a^iKMltt^itHa!^^

ECA/IHSD/IDPS/ENG/010/92 Page 24

59. It is clear from Table 3.2 that there is capacity under- utilization for the manufacture of ATIs in the African region. This situation necessitates that equipment should be imported to meet local demand. Thus, Africa to a large extent depends on foreign sources to meet the gap in demand and for production inputs to improve the capacity utilization. The degree of dependency however varies from country to country. Zimbabwe, for example has the potential to meet its requirements for agricultural implements and hand tools through local manufacture.

60. In Madagascar, and Mozambique most hand tools are being imported from various sources. Ethiopia, Kenya and Tanzania report a relatively lesser dependence on foreign supplies for machetes than the other countries in the region. UPROMA in Togo and TROPIC in Cameroon both import their raw materials and so do most of the other manufacturing companies in Africa. This situation must be addressed.

3.4. Current production levels, importations and exportations

3.4.1. Current production levels and future demands

61. Table 3.3 gives the figures for the current production levels and future demand projections for hand tools, animal drawn implements, and powered implements.

62. It is seen that for the North African subregion, the total projected demand is 5,400,000 units and 6,500,000 units for the three categories of tools for 1995 and 2000 respectively; for Eastern and Southern Africa the total projections are 8,603,000 and 9,055,000 for the same period ; for West Africa the total figures are 14,110,000 and 14,816,000 respectively for the same period; for Central Africa the total projections are 8,204,000 and 8,768,000 for 1995 and 2000 respectively. For the whole continent, the total projections for 1995 stand at 35,327,000 and for the year 2000, they are 39,139,000 units.

63. The total production for North Africa in 1992 stands at 92 0,000 units; 3,657,00 for Eastern and Southern Africa; 1,315,000 for West Africa; and 810,000 for Central Africa. For the whole continent, the total production in 1992 was estimated to be 6,702,000 units. Clearly, Africa has to seriously look into her problem of agricultural tools production so as to meet the ever increasing future demands.

li ^i. vjot b >v>v.

^^

&$i&S^&&^

Table 3.3:

ECA/IHSD/IDPS/ENG/010/92 Page 25 Current production capacities * and demand

projections for years 1995 and 2000 (x 1,000

units/year).

Subregions

NORTH AFRICA

EASTERN &

SOUTHERN AFRICA

WEST AFRICA

CENTRAL AFRICA

TOTAL AFRICA

Products

Hand tools Animal drawn implements Powered imp.

Hand tools Animal drawn

implements1 Powered imp.

Hand tools Animal drawn

implements Powered imp.

Hand tools Animal drawn implements Powered imp.

Hand tools Animal drawn

implements Powered imp.

Current(199 Production2)

(x 1000 units)

22,000 165

55 3,283

360

14 4,800

310

15 1,760

210

10 31,843

1,045

94

Demand projections (x 1000 units)

1995

50,000

300

100 7,400

1,150

53 12,000

2,000

110 4,400 1,150

64 73,800

4,600

327

2000

60,000

400

100 7,800 1,200

55 12,600

2,100

116 4,620 1,200

68 85,020

4,900

339

Source: Engineering Industry Development Programme for selected

Eastern and Southern African countries of Preferential

Trade Area (September 1985). Manufacture of Agricultural Tools, Implements and Machinery in the West African Countries ECA/IND/ENG/005/88 (September 1988). Technical Publication on the Development of Metallurgical Support

to the production of Agricultural tools and equipment in

ECA/IHSD/IDPS/ENG/010/92 Page 26

North Africa. (ECA/IHSD/MET/001/90) September 1990.

3.4.2 Importations and exportations of ATI

64. Table 3.4 shows the evolution of costs of imports of ATI including tractors to the various subregions of Africa. The costs

of imports in the whole continent in 1990 was $3.7 billion.

65. In the Central African subregion, $42.9 million was spent on ATI imports with Zaire importing $15.4 million, Cameroon $12.8 million, and the Central African Republic importing the least, $.45 million. West Africa imported $77.5 million, with Ghana importing the most at a cost of $44.79 million, Nigeria importing for $7.25 millions, Senegal for $5.15 million and Sierra Leone importing the

least, for $.57 million. Eastern and Southern Africa imported the

second highest cost of ATI. The subregion imported a total of $.11 billion, with Kenya importing $33.6 million, Zimbabwe $15.8

million, Tanzania $14.7 million, Ethiopia $13.5 million and the

Seychelles importing the least in the subregion, for $.67 million.

North Africa imported $.135 billion worth of ATI in 1990, led by

Morocco with $49.1 million, Sudan with $45.7 million, and Tunisia with $15.3 millions. Egypt imported the least with $6.8 million.

Table 3.4. Imports of ATI by Subrecfion fin 10,000

SUBREGION/COUNTRY TOTAL IMPORTS FROM 1985 TO 1990

1985 1986 1987 1988 1989 1990

CENTRAL AFRICA BURUNDI

CAMEROON

CENTRAL AF.REP.

CHAD CONGO

EQUAT. GUINEA GABON

RWANDA ZAIRE

16785

1149 3110 6117

6050

143000

19656

885 3280 6568

7150

14950

20730

721 3430 4906

7720

16120

11081

578 3470 4171

7870

15750

13744

385 3590 1534

8030

14350

12824

450 3760 2242

8250

15400

FAO Yearbook on Trade, vol.44, 1990. pp 317-334.

8;^

ECA/IHSD/IDPS/ENG/010/92 Page 27

SUBTOTAL 176211 52489 53627 42920 41633 42926

EASTERN AND SOUTHERN AFRICA ANGOLA

BOTSWANA COMOROS DJIBOUTI ETHIOPIA

KENYA

LESOTHO MADAGASCAR MALAWI MAURITIUS

SEYCHELLES SOMALIA TANZANIA

UGANDA ZAMBIA

ZIMBABWE

MOZAMBIQUE SWAZILAND

SUBTOTAL

25726

16841

4678 4732 1409 722 4900 22396

8180 9915

9843

109,34 2

14820

22902

9045 3186 1421 225 5000 16578

8510 8255

13315

103,2 57

21317

32576

9238 1751 1563 253 5300 16424

8740 12605

16475

126,2 42

11681

33361

4560 3197 1405 580 5300 17450

9270 8784

14430

110,0 18

14200

31100

5610 8103 1487 1347 4300 17910

8500 9100

13470

115,1 27

13540

33630

6395 3870 1328 670 4400 14670

7765 9750

15800

111,8 18 NORTHERN AFRICA

ALGERIA EGYPT

LIBYA MOROCCO

6978 7454

8570 35173

7718 14613

9060 64383

3761 10179

9230 55084

2554 11426

9760 43167

2681 5880

9280 47766

8675 6850

9630 49100

Kwaa&tte%p^

:^$&i^^i&SS&S&^&^^

ECA/IHSD/IDPS/ENG/010/92 Page 28

SUDAN

TUNISIA

SUBTOTAL

45100

46783

150058

48804

28537

17311 5

42633

17955

13884 2

48982

18566

13445 5

45478

14739

12582 4

45700

15300

13525 5 WEST AFRICA

BENIN

BURKINA FASO CAPE VERDE COTE DfIVOIRE GAMBIA

GHANA

GUINEA G. BISSAU LIBERIA MALI

MAURITANIA NIGER

NIGERIA

SAO TOME SENEGAL

SIERRA LEONE TOGO

SUBTOTAL

1055

5926 865 40780

4205 2714

8954

4202 662 1751

71114

1721

6431 910 43885

4814 3764

11322

4842 527 1910

80126

2676

7601 965 46690

5055 6213

5169

2857 . 440 955

78621

1125

9052 1000 43480

5336 2920

7822

3723 510 1315

76283

1390

7651 1040 45985

5255 3550

8000

4652 495 2802

80820

1745

6700 900 44790

3904 4530

7250

5152 570 1980

77521

Source: FAO Yearbook on Production 1989. Volume 43, Page 135.

ECA/IHSD/IDPS/ENG/010/92 Page 29

Figure 1

66. In as far as exports are concerned, only ten countries in Africa exported tractors during the period between 1988 and 1990.

The countries are : Botswana that exported 11 tractors in 1990 for

$350,000; Cameroon that exported 183 tractors in the same year for

$550,000; Cote D'lvoire that exported 55 tractors at a cost of $1.3 million in 1990; Kenya exported 147 tractors at $280,000 in 1990;

Senega1 exported 6 tractors at a cost of $250,000 in 1990; Togo exported 2 tractors in 1988 at a cost of $12,000; and Tunisia exported 3 tractors in 1989 at a cost of $12,000. These figures are shown on Table 3.5.

awg^^aaaa^^sgr"- ry~

S8&8883B88388S$88222ffiii^^

ECA/IHSD/IDPS/ENG/010/92 Page 3 0

Table 3.5.: Export of Tractors in the Region

COUNTRIES

ALGERIA ANGOLA BOTSWANA BURKINA FASO CAMEROON CAP VERDE COTE D'lVOIRE EGYPT

ETHIOPIA GABON GAMBIA GHANA GUINEA GUINEA BISSAU KENYA

LESOTHO LIBYA MADAGASCAR MALAWI MALI MAURITANIA MAURITIUS MOROCCO MOZAMBIQUE NIGER

NIGERIA RWANDA SAO TOME SENEGAL SEYCHELLES SIERRA LEONE SOMALIA SUDAN SWAZILAND

TOTAL EXPORTS IN THE REGION FROM 1988 TO 1990 NUMBER (IN UNITS)

1988 0 0 7 0 230 0 75 0 0 0 0 0 0 0 130 0 0 2 0 0 0 0 0 0 0 0 0 0 5 0 0 0 0 0

1989

10

190

65

138

0

5

1990

11

183

55

147

0

6

COST FOB (IN 1,000 US $) 1988

0 0 200 0 599 0 1700 0 0 0 0 0 0 0 227 0 0 4 0 0 0 o ■ 0 0 0 0 0 0 180 0 0 0 0 0

1989

300

528

1500

250

0

200

1990

350

550

1300

280

0

250

iff*" n ~ "

^

ECA/IHSD/IDPS/ENG/010/92 Page 31

TANZANIA TOGO TUNISIA UGANDA ZAIRE ZAMBIA Zimbabwe OTHERS AFRICA TOTAL AFRICA

0 2 0 0 0 0 0 191 642

0

201 612

0

211 613

0 12 0 0 0 0 0 2213 5,135

0

2414 5,204

0

2610 5,340

Source: FAO Yearbook on Production 1989. Volume 43, Page 315.

67. The importation and exportation figures on Tables 3.4 and 3.5 take on added significance when they are seen in the light that scarce foreign exchange is being spent by African countries for importing agricultural tools and implements that can be manufactured in the continent, given the low capacity under- utilization of most manufacturing enterprises(Table 3.2).

3.5. Production bottlenecks experienced by local manufacturers and suggested mechanisms for resolving the problems

68. Production bottlenecks experienced by local manufacturers in the region differ from country to country, but in general the following has been identified as production bottlenecks for the ATI industry ranging from small rural workshops to medium and large firms.

- Lack of raw materials, Inadequate designs,

Inadequate financial resources, Lack of technical know-how,

- Inadequate quality control and marketing - Small size of domestic market.

- Inappropriate designs

- Uncertain availability of spare parts and maintenance.

Lack of standardized products.

- Raising costs of raw materials.

Lack of trained personnel at middle management level.

Inadequate knowledge of associated industries at home and abroad.

69. The mechanism for solving the above cited bottlenecks should be jointly determined by the entrepreneurs and the governments of each country. However, decision makers in each country must assess and identify institutional mechanisms whereby:-

Appropriate technology is selected to suit local

i&iy;iii&wi;ss;^

ECA/IHSD/IDPS/ENG/010/92 Page 32

conditions.

Adequate supply of raw material, finance and skilled man

power is secured.

Supply of continuous information on product design and production processes are maintained.

Adequate supply of spare-parts and maintenance services

are guaranteed through the facilitation of credit.

Other institutional supportive services such as tariff protection, guaranteed.

3-6. The role of existing institutional mechanisms for co ordinating the promotion and commercialization of agricultural tools and implements

70. With the widening of the industrial and technological base in

a developing country, the need for accurate classification and standardization of products also increases. In the context of ATI the widening of the industrial and technological base in a developing country makes the domestic market more competitive and this, in turn, increases the demand for better quality and standardized ATI products. Some African countries are making considerable efforts to increase the number of technical standards enacted and to deve1op an appropriate system o f qua1ity certification. This effort should definitely be encouraged and harmonisation with the African Regional Organization for Standardization (ARSO) is required.

71. The basic function of the quality control and standardization office in each country is:

- To formulate, co-ordinate and supervise policies on the quality control certification and standardization of ATI; goods; harmonizing the interest of the Government with those of the industrial sectors and consumer.

To assure uniformity and rationality in the application of units of measurements used through the country.

To promote voluntary standardization activities.

To establish standards related to industrial materials and products; and

To facilitate and co-ordinate the participation of the country in international activities, in the fields of industrial activities, such as industrial standardization