DFID's call for pro-poor investment in Africa is timely

The scale of the humanitarian catastrophe in the horn of Africa is a tragic reminder of the fragility of progress in eliminating poverty and suffering across the continent.

Against such a dreadful backdrop, some might say that International Development Secretary Andrew Mitchell's speech earlier this week on opportunities for growth in Africa was ill-timed.

Speaking to an audience of businesses, NGOs and opinion leaders at the London Business School, Mitchell acknowledged the gravity of the current crisis but then swiftly set out to challenge some of the prevailing myths and assumptions about the continent. The focus was on the opportunities for a more sustainable approach to poverty reduction, through trade and investment.

"Africa is open for business", he said, pinpointing signs of political and democratic progress in various countries, new investors moving in, and new market opportunities emerging.

While some of the finer points of the Secretary of State's speech might be debated, it was a welcome reminder of the unique power that the private sector has to achieve sustainable reductions in poverty on a large scale.

As Mitchell highlighted, one of the ways UK companies can do this is through their trading relationships with their African suppliers.

...not just more jobs at any cost, but better jobs, more stable jobs, with better wages...

By implementing effective and credible ethical trade strategies they can help generate not just more jobs at any cost, but better jobs, more stable jobs, with better wages, that will enable millions of poor and vulnerable people to lift themselves out of poverty.

And let's be clear: while a casual labourer picking green beans on a Kenyan smallholder farm or a wine cellar worker in South Africa may not be the poorest of the poor, the reality is that they remain vulnerable. And for many millions of workers involved in export industries across the continent wages are so low that their children often work to supplement the family income. Many have had to move countries to find for work, leaving them isolated and even more vulnerable to exploitation.

There are several examples from within ETI's membership of how ethical trade is contributing to wider development goals in Africa.

They include Tesco's support to a training programme in South Africa that seeks to empower women supervisors, as well as its pilot of Ruggie's grievance mechanism which aims to provide workers with a means to complain about their conditions. They include Homegrown's plans to train its supervisors to help tackle sexual harassment and discrimination in Kenya, Westfalia's roundbreaking work on HIV/AIDS in South Africa, and Union HandRoasted's pioneering projects in Rwanda where they are investing in community development, sustainable livelihoods and farming practices.

One of our NGO members, Women Working Worldwide, is also involved in a major programme of work that aims to empower and educate women working in the East African horticulture sector. This is making great inroads in building trade union recognition and securing better wages and terms and conditions for thousands of women workers.

All of these initiatives are demonstrating concrete benefits for the businesses and the workers involved, in terms of a more motivated workforce, increased productivity, reduced strikes and stoppages - not to mention a better quality product.

While these examples remain small islands of hope, Africa is no basket case. DFID's call for more and better private sector investment in the continent is absolutely timely, and should be supported.