NAIROBI, June 21 (Xinhua) -- The use of digital technology coupled with innovations and data can help transform business models and practices across the agricultural value chain in Sub-Saharan Africa, according to a study released on Friday in Nairobi.
The study by the Technical Centre for Agricultural and Rural Cooperation (CTA) says digital technology opens vast untapped potential for farmers, investors, and entrepreneurs to improve the efficiency of food production and consumption in the region.
Production from agriculture can not only feed a growing population but also create decent employment for millions of young people, says the report titled Digitalization of African Agriculture for the Years 2018-2019.
According to the study, with the right policies, innovation and investment, Africa's agriculture could be transformed into a powerhouse.
The study, which was conducted in Ethiopia, Ghana, Nigeria, Senegal, Kenya, Rwanda and the Sahel, finds that more than 90 percent of the market for digital services that support African smallholders remains untapped, yet they could be worth more than 2.26 billion U.S. dollars.
However, with the fast growing trend of digitalization, "digital technologies market in Africa is likely to reach the majority of the region's farmers by 2030," the study says.
Michael Hailu, director of CTA said that digitalization is attracting young people to farming and allowing farmers to optimize production while also making them more resilient to climate change.
"In agriculture, digitalization can be a game changer in boosting productivity, profitability and resilience to climate change," he added.
Hailu called on African governments to develop guiding policies and investment decisions to ensure that farmers benefit through innovation and technology.
He also observed that despite growth, progress towards the application of technologies and innovations has been somewhat slow to serve the smallholders that produce 80 percent of Africa's agricultural output.
"Agriculture in Sub-Saharan Africa is ripe for innovation that will drive greater efficiency, sustainable increases in productivity, yield and income," he added.