Urban food markets in sub-Saharan Africa will value $300 billion by 2030

By Espoir Olodo | Agence EcoFin October 13, 2017

The value of urban food markets in sub-Saharan Africa (SSA) could rise to $300 billion by 2030, against $150 billion in 2010. This was revealed by the UN Food and Agriculture Organization (FAO) in its “State of Food and Agriculture 2017” report.

The growth will mostly be driven by an increase of Africa’s urban populations.

Indeed, according to the report, the continent, which already has the world’s fastest urbanization rate, should see its number of urban residents soar to 770 million in 2030, against 470 million in 2015.

This trend will be particularly pronounced in East Africa where 26% of the population already lives in urban areas, and West Africa also where urban populations represent 45% of the total populations. Nigeria which already has 88 million urban residents (out of an overall population of 170 million people), could have by 2030, 160 million urban residents, and 350 million, by 2050.

According to the FAO, this demographic boom in urban areas is related to per capita income which has over the past years considerably changed the consumption habits of SSA’s populations.

Indeed, demand for cereals or roots and tubers has decreased while consumption of fish, meat, eggs, dairy products, vegetables, fats, and more generally processed food products, has increased significantly.

The UN institution believes that in Eastern and Southern Africa, the share of urban consumers in the purchase food markets is already 52% which is expected to soar to 67% by 2040.

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