Bottlenecks, risks and stresses in the cotton supply chain in Burkina Faso

Year of publication2023

AuthorFAO

PublisherFAO

AbstractCotton plays an important role in the economy of Burkina Faso, accounting for about 4 percent of GDP and 14 percent of export earnings. The COVID 19 pandemic had a strong impact on international cotton supply chains, with confinement measures affecting sales of textiles and apparel as well as international logistics, which in turn affected cotton markets and disturbed trade and international prices. In addition, national cotton supply chains are vulnerable to other shocks and stresses such as droughts, pests, storms, and irregular weather patterns resulting from climate change. This study aimed to identify major bottlenecks, risks and stresses affecting the cotton supply chain in Burkina Faso, with the purpose of deriving lessons to strengthen its resilience capacity and development, and with it, to improve the situation of the millions of livelihoods dependent on the cotton supply chain. The findings show that disruption in global cotton markets led to lower domestic cotton purchase prices in Burkina Faso, but that the overall impact on cotton domestic markets was limited. Nonetheless, poverty and food security was negatively affected. Key constraints include low incomes, natural capital, availability and costs of irrigation systems and tractors, and the availability of financial options. The low level of domestic processing of cotton fibre is also considered an important bottleneck. The key risks to the cotton supply chain in Burkina Faso are identified as climate change, pests and insecurity. Furthermore, governance issues negatively impacts on farmer’s motivation, farming skills, extension services and the availability of financing options.

 

ThemeAgricultural Commodities and Development

Product typeBook (stand-alone)

SeriesFAO Commodity and Trade Policy Research Working Paper

RegionAfrica

ISBN978-92-5-138192-2

Areas of workEmerging Trends, Challenges and Opportunities

Keywordscotton supply chains; COVID-19; weather hazards; climate change; governance; impact assessment; markets; poverty; food security; resilience; Burkina Faso