UN Trade and Development (UNCTAD) in collaboration with the Ministry of Trade, Crafts and Local Consumption of Togo and the United Nations Development Programme (UNDP) in Togo, organized a national validation workshop in Kpalimé, Togo, on 10 and 11 April 2025.
The workshop was held in the framework of the UNCTAD project titled “Enhancing the capacity of African vulnerable countries in adopting policy incentives and innovative instruments for the participation of small and medium-sized enterprises in regional value chains”, which aims to support the integration of small businesses into regional markets in the context of the African Continental Free Trade Area (AfCFTA).
Small and medium-sized enterprises are a vital part of Togo’s economy, accounting for 99% of registered businesses and generating nearly 80% of the national gross domestic product[1].
The Government of Togo has introduced a range of support structures, such as the Charter for Micro, Small and Medium Enterprises, the Agency for the Development of Micro, Small and Medium Enterprises (ADTPME), the Support Fund for Youth Economic Initiatives (FAEIJ), and the National Agency for the Promotion and Guarantee of Financing (ANPGF).
Despite these efforts, approximately 85% of small and medium-sized enterprises in the country operate informally[2] and face persistent barriers to growth and regional integration, including limited access to finance, inadequate infrastructure, low levels of technological innovation, and difficulties in entering cross-border markets.
The objective of the two-day workshop was to present and validate the results of a national study on the participation of small and medium-sized enterprises (SME) in regional value chains, commissioned by UNCTAD, in collaboration with UNDP.
The event brought together over 30 participants from government institutions, the private sector, development partners and civil society to engage in dialogue and contribute to the finalization of the study’s findings and recommendations.
The study underlines that Togo achieved a real GDP growth of 6.4% in 2023, with projections reaching 7.5 % by 2025.
In 2022, more than half of Togo’s exports (56.4 %) were destined for other African countries, revealing strong potential for further regional integration.
The study also identifies priority sectors where Togo could strengthen its position in regional value chains, including agro-industry, textiles, renewable energy, fisheries, transport and logistics services.
During the workshop, participants were divided into working groups to examine key issues in three areas:
- The SME institutional and policy environment,
- The inclusion of small businesses in priority value chains under the AfCFTA, and
- The development of innovative financing mechanisms and logistical infrastructure.
Discussions focused on strengthening the role of the national agency for MSMEs development (ADTPME), improving access to market information and digital tools, expanding innovative financing options and insurance schemes, and promoting the creation of a national observatory on intra-African trade.
Participants also stressed the importance of rationalizing fiscal and policy support mechanisms and encouraging public-private partnerships to drive inclusive industrialization.
The validated study and stakeholder contributions will guide the finalization of the national report and inform future activities, in the framework of the UNCTAD project, to support Togolese policymakers and small businesses to adopt policy incentives and innovative instruments for the participation of SMEs in regional value chains.
Participants from the government, private sector, development partners and academia during the national validation workshop on enhancing SMEs’ integration into regional value chains, held in Kpalimé on 10-11 April 2025.
[1] ITC, 2021 see : https://www.ccit.tg/sites/default/files/Togo_SME_FR_WEB %282%29.pdf.
[2] World Bank, 2020. Rapport sur la Situation Economique du Togo : Dynamiser l’Investissement Privé pour plus de croissance et d’emploi. © Banque Mondiale, Washington, DC.
Togo has demonstrated strong political commitment to private sector development, with small and medium-sized enterprises (SMEs) representing the vast majority of registered businesses and contributing significantly to national GDP. However, their integration into regional value chains (RVCs) remains limited due to challenges such as informality, inadequate infrastructure, limited access to financing and weak technological capabilities.
The African Continental Free Trade Area (AfCFTA) offers new prospects for trade and industrial diversification, but more targeted policies are needed to unlock the potential of Togolese SMEs.
To support this effort, UNCTAD is implementing a project to strengthen SME participation in RVCs by providing policy tools, institutional support and data-driven insights. The initiative focuses on sectors such as agro-processing, textiles, logistics services, fisheries, renewable energy and the blue economy.
The national validation workshop will serve as a platform to present and refine the findings of a national study conducted under this project. It aims to validate sectoral recommendations and foster alignment with national strategies, while encouraging dialogues between government actors, the private sector and development partners.
The workshop will bring together around 40 stakeholders and will cover thematic discussions, presentation of findings and policy options to accelerate SME integration into RVCs within the AfCFTA framework.
