FAO Hosts Expert Consultation on Leveraging Trade in Agricultural Services under AfCFTA Johannesburg, South Africa | 3–5 December 2025

The Food and Agriculture Organization of the United Nations (FAO) has convened a high-level Expert Consultation Meeting in Johannesburg from 3 to 5 December 2025, under the theme “Leveraging Trade in Agricultural Services as a Driver of the Agri-Food System within the Context of AfCFTA.” The meeting brings together policymakers, trade experts, development practitioners, and stakeholders from across Africa to deliberate on the conceptual, statistical, and policy dimensions of trade in agricultural services.

Opening the consultation, the FAO Representative in South Africa, Dr. Babagana Ahmadu, welcomed delegates and underscored the strategic timing of the meeting, noting that it follows shortly after the historic G20 Leaders’ Summit hosted in Johannesburg. “This meeting addresses a very germane and topical issue, and it could not have come at a better time,” he said, highlighting Africa’s growing role in shaping global economic and development discourse.

Dr. Ahmadu emphasized the centrality of agriculture to Africa’s economy and livelihoods. “Agriculture, no doubt, is a major economic sector for Africa which generates about US$ 100 billion annually or 16.5% of the continent’s GDP,” he noted, adding that while contributions vary widely across countries, the sector remains critical for employment, food security, and exports. He further pointed out that Africa has been a net importer of basic food products for over two decades, underscoring the urgency of strengthening domestic and regional agri-food systems.

Turning to the role of services, Dr. Ahmadu observed that the global economy is increasingly services-driven. “The service sector currently accounts for over two-thirds of global GDP, attracting more than three-quarters of foreign direct investment in developed economies, and ranks among the leading drivers of global job creation,” he said. In Africa, services now account for nearly half of GDP in Sub-Saharan Africa, reaching as high as 62.7 percent in South Africa.

Despite this growth, Dr. Ahmadu stressed that agricultural services remain undervalued and poorly integrated into trade and policy frameworks. “Agricultural services play a crucial role in the entire value chain from pre-production to post-production, distribution and consumption. Despite its importance, trade in agricultural services is not well defined and regulated by international trade frameworks,” he stated. He warned that this lack of recognition has left agricultural services “conceptually and statistically marginalized,” limiting their visibility in national accounts and trade negotiations.

He further noted that definitional gaps pose major policy challenges: “The lack of a clear and comprehensive definition of agricultural services [is] leading to conceptual, statistical, and policy-related challenges. A well-defined framework for agricultural services would yield substantial benefits, enabling more targeted policies, facilitating trade and investment, strengthening value chains, and fostering broader socio-economic growth, particularly within the African Continental Free Trade Area (AfCFTA).”

Dr. Ahmadu concluded by reaffirming confidence in the outcomes of the consultation, stating: “With the calibre of people that I have seen here today, I have no doubt that these objectives would be realized.”

FAO Reaffirms Commitment to AfCFTA Implementation

Delivering opening remarks to the technical sessions, Dr. Salamat Ali, Senior Economist and Lead of the Trade Policy and Trade Agreements Team in FAO’s Markets and Trade Division, outlined FAO’s strategic approach to supporting member countries. He explained that the team’s work rests on “three interconnected pillars: evidence-based analysis, policy dialogue, and capacity building in member countries,” adding that these functions reinforce one another in strengthening trade-related outcomes.

Dr. Ali emphasized that supporting the implementation of the AfCFTA is a top priority for FAO. “The AfCFTA, the world’s largest trade agreement by membership, must succeed if countries are to navigate this evolving challenging development landscape, and FAO is committed to contributing to that success,” he said. He also highlighted the structural vulnerabilities across the continent, noting that the region includes “30 LDCs and 16 LLDCs, each facing deep structural constraints and requiring sustained support.”

Addressing the thematic focus of the consultation, Dr. Ali stressed that the dialogue on agricultural services is both urgent and necessary. “The consultation on agricultural services is both timely and essential,” he said, pointing to persistent food insecurity and high dependence on international trade across many African countries. He further observed that “premature de-industrialization has increased the share of services in several economies,” making the effective regulation and facilitation of agricultural-related services more important than ever.

Dr. Ali underscored the transformative potential of liberalizing agricultural services. “Liberalizing and facilitating agricultural-related services is crucial for reducing transaction costs and improving efficiency across agricultural production, trade, and post-harvest processes,” he stated. He concluded by reaffirming that improving how agricultural services are understood and governed is central to Africa’s development trajectory: “Advancing the understanding, classification, and policy treatment of agricultural services is central to strengthening agrifood systems under the AfCFTA and achieving more resilient, secure, and competitive economies across the continent.”

Toward Stronger Agri-Food Systems under AfCFTA

The Expert Consultation aims to develop a shared working definition of agricultural services, examine gaps in existing international trade frameworks, and explore policy pathways for integrating agricultural services more effectively into the AfCFTA’s trade in services pillar. Expected outcomes include clearer policy recommendations, improved statistical recognition, and strategic inputs to support intra-African trade and investment.

By convening this consultation, FAO is reinforcing its commitment to enabling Africa to harness the full potential of agricultural services as a catalyst for inclusive growth, food security, and sustainable development under the AfCFTA framework.

ENDS

Media Contact:
Luthando Kolwapi