3.1. Main characteristics of the urban marketing sector
3.2. Perceived needs of traders
3.3. Need for comprehensive strategy to improve the food marketing sector
Rapid urban population growth has contributed significantly to the considerable expansion of the informal sector and the rising number of petty trades in most African cities. The resulting substantial increase in demand (by traders) for marketing infrastructure and related facilities has not been matched, however, by any significant increase in the provision of these facilities. Lack of wholesale marketing facilities is a particularly acute constraint in the supply and distribution of food (especially locally produced foodstuffs). This leads to higher distribution costs, raises consumer prices and prevents the development of efficient urban FSDSs.
Oversubscribed markets that lack basic storage, parking, sanitation and security facilities generally characterize the retail food trade. In many cases, there is a major overflow of traders (especially hawkers and other itinerant micro-retailers) onto streets and open spaces near the main market. This situation compounds traffic congestion and pollution problems, especially in city centres where food supply and distribution activities tend to be concentrated. It also undermines collection of fees and taxes from traders, thus increasing the financial constraints that seriously limit the capacity of local and municipal authorities to improve marketing infrastructure and services.
Based on this and other studies on large markets in Africa and Madagascar, it is evident that although traders generally regard the lack of marketing infrastructure and facilities as a key constraint in urban FSDSs, they consider access to the existing facilities as equally problematic. While many traders consider the fees and taxes charged too high, they generally point out that the cost of informal arrangements made to cover inadequacies in the provision of lighting, security and sanitation is even higher.
Most traders stress the need for local and municipal authorities to inform and consult them on any programmes or projects intended to improve market infrastructure and services. They particularly stress the need to be consulted on the location of new markets, planned fees and taxes, criteria for allocating stalls and stores to traders and the terms and conditions of occupancy of these facilities. Regarding relocation of traders, most traders emphasize that they should be given sufficient notice and should be regularly informed about progress of work as well as any alternative arrangements made to minimize disruptions to their activities while the project is being undertaken.
In addition to reducing the cost of food and enhancing the nutritional status of urban households, especially low-income households, improved urban FSDSs would have substantial socio-economic and environmental benefits as follows:
Finally, projects to improve urban FSDSs may provide politicians in central government and local authorities with politically visible benefits consistent with their short-term election objectives, which also promote the long-term development goals of towns and cities.
Even though many local authorities recognize these and other benefits, their priorities rarely focus on projects that aim at improving urban FSDSs. This is usually because financial constraints and political pressure lead them to concentrate on more sensitive urban management problems including waste management, unemployment, housing problems and health facilities. Moreover, constraints in urban FSDSs tend to be so complex and multifaceted that the authorities often have considerable difficulty in prioritizing interventions.
Urban supply policies must be based on sufficient information in order to minimize failure related to strategic choices such as location of markets, prioritization of actions and interventions, identifying and managing externalities (negative and positive) and developing sound cost and financing arrangements consistent with central and local government budget constraints. Correct and adequate information would also allow policy-makers to take into account the need to increase income for the farming population in addition to improving the quantity, regularity, quality and price of food supplied to city inhabitants.
To facilitate access to the relevant information, local authorities need to promote networks that encourage the widest possible involvement of all stakeholders in the consultation and decision-making process. This process should include exchange of experiences and information among cities in sub-Saharan Africa and other developing countries as well as effective utilization of results of relevant research carried out by local and international development and research agencies.
It is important to clarify the roles of various stakeholders, particularly the local authorities, in order to minimize delays in decision-making and implementation arising from the process of broadening the information network of actors involved in promoting improvement in urban FSDSs. In studying various options to improve marketing infrastructure, it is essential to have an overall view of the entire urban FSDS rather than individual markets. Specific research studies can contribute significantly to the process of developing valid proposals for improving efficiency in urban FSDSs.
It is evident from the foregoing that the policy formulation and implementation process requires a broader participation by stakeholders than is the case in most African cities, where municipal or metropolitan authorities are mainly responsible for providing and managing market infrastructure. To ensure that this level of participation is compatible with effective public intervention, it is essential that the roles and activities of all actors are clearly defined and well coordinated.
