Connexus managed the Public Private Partnership (PPP) component of the WATIH project, as part of Creative Associates’ consortium. Based in Dakar, Connexus’s PPP Director identified and catalyzed private sector investment in the region by working with leading buyers, processors, and producers to demonstrate the commercial viability of West African farmers and firms. By linking West African farmers and firms to regional processors and international buyers, WATIH reduced non-tariff trade barriers by building the capability of local suppliers to meet international standards, expand climate smart production, and achieve greater incomes, especially related to agricultural value chain opportunities, including in horticulture, cashew, cocoa, shea, livestock, and cereals. WATIH identified other high potential export opportunities as well as light manufacturing (such as apparel) and support services (packing and labeling, logistics, etc.). Through these interventions, Connexus supported the creation of thousands of new direct jobs from targeted staple foods and value-added sectors across Nigeria, Ghana, Burkina Faso, Niger, Liberia, Cote D’Ivoire and Cabo Verde.
By the end of the project, Connexus helped the WATIH project engage in 92 viable co-investment projects with local partners totaling more than $83.5M in co-investment grants for USAID consideration, including identifying firms that needed urgent assistance to shore up their businesses due to losses caused by the COVID-19 pandemic. Trade Hub co-invested in 20 value chains including in apparel, cashew, palm oil, soy, grains, fruits and vegetables, cacao, garment manufacturing, and agro-processing, among others.
Approved grants for co-investment engaged almost 530,000 private sector participants, including more than 200,000 women and youth. WATIH grants have leveraged more than $321M in agricultural and non-agricultural financing in the last year alone and $447M in private sector co-investments over the life of the activity. These activities generated more than $665M in sales of agriculture, manufactured goods, energy, and services—including $229M in exports and $95M to exports to the USA— from the partner firms and have led to the creation of 77,700 sustainable jobs, including 34,000 jobs for women.
Specific innovations include:
- Establishing 136 new buyer-seller relationships between suppliers in West Africa and buyers abroad.
- Helping 19 private West African agri-businesses obtain certification with international quality control institutions to meet minimum product standards for export to the USA and Europe.
- Pioneering an array of innovations to improve international trade flows and manage risk, including digital platforms, transaction advisory services, catalytic co-investments, first-loss provisions for new funds, and use of Special Purpose Vehicles (SPVs) to manage liability and risk for large joint ventures.
- Working with Liberian palm oil producer J-Palm to implement a digital block chain-based tracking system to manage the end-to-end traceability of supply from 2,500 smallholder farmers and to track carbon sequestered within various production zones. Once the module is finalized, it will provide a basis to reward farmers financially for responsibly managing the forest and maintaining the local ecosystems.
- Working with Ivorian firm ANKA to create an “Etsy” type platform to allow African entrepreneurs and SMEs to easily market products, get paid, and ship products around the world. In the past quarter, the collaboration with WATIH allowed ANKA to support approximately 1,000 women micro-entrepreneurs to access its online market technology. ANKA generated $3M in exports from 419 women-majority micro-entrepreneurs in West Africa during the past year.