Market-led aflatoxin interventions: Smallholder groundnut value chains in Malawi

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International Food Policy Research Institute

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In the 1960s, Africa south of the Sahara controlled 90 percent of the international groundnut market, valued in today’s money at US$220 million annually. Although the market has since rocketed to $1.2 billion, Africa’s share has plummeted to just 5 percent. A key factor in this substantial decline in earnings has been the strict food import regulations on safe levels of aflatoxins imposed by highly regulated Western markets. The World Bank estimates that the EU’s tightening of the Maximum Allowable Levels (MALs) of aflatoxins to four parts per billion cost African countries $670 million in annual export losses of cereals, dried fruits, and nuts. Underinvestment in infrastructure and systems, coupled with a lack of incentives and information, has made it difficult for smallholders in Africa to respond to these market demands for better aflatoxin controls. China, Argentina, and the United States have emerged as global leaders by continuously investing and improving aflatoxin management practices. Aflatoxins are more than a barrier to trade for smallholders— they are a serious risk to public health. The US Centers for Disease Control and Prevention estimate that 4.5 billion people are chronically exposed to the toxin through the consumption of staple foods, leading to cancer and childhood stunting as well as contributing to immune disorders. Over the past decade, efforts to tackle aflatoxin contamination in Africa have focused on practices within formal export value chains. In countries like Malawi, however, 60 percent of groundnuts are sold on poorly regulated local or regional markets, exposing populations to high levels of the toxin and undermining food security and nutrition interventions. Improvements to processing, storage, and trading practices are therefore urgently needed along the smallholder groundnut supply chain in order to sustainably address the economic and health impacts of aflatoxins.

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aflatoxins, mycotoxins, diseases, food safety, health policies, malnutrition, food security, technology, biosafety, quality, markets, cereals, cereal crops, grain, maize, groundnuts, smallholders, value chains, child stunting

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