MARKET LINKAGES FOR IDPs

MARKET LINKAGES FOR IDPs

Durable Solutions

Durable solutions refer to solutions through which refugee-returnees and IDPs no longer have any specific assistance and protection needs that are linked to their displacement and can enjoy their constitutional and human rights without discrimination on account of their movement. Durable solutions entail three components, return reintegration, local integration, and settlement, and integration elsewhere in Somalia. [1]

Voluntary repatriation in conditions of safety and dignity is often the preferred durable solution for refugees. For IDPs, durable solutions can be achieved through sustainable reintegration at the place of origin (return), sustainable local integration in areas where IDPs take refuge (local settlement), or sustainable integration in another part of the country (settlement elsewhere in the country).[2] The search for durable solutions includes efforts that are undertaken in the immediate aftermath of conflict, and that must address human rights, humanitarian, development, reconstruction, and peace-building challenges. As such, it requires the coordinated and timely engagement of a wide range of national and international actors in all of these fields.

According to OCHA (2019)[3]the four main reasons for internal displacement in Somalia are conflict or fear of conflict (33%), drought (22%), lack of livelihood opportunities (16%), and evictions (5%). UNHCR portrays the situation differently from 2016 to March 2019, 54.1% of internal displacement caused by drought, 30.8% by conflict/insecurity, 12% by floods, and 3.1% by other reasons.[4]

Market Linkages

One of the objectives of NPPRI is to assist in the settlement and reintegration of refugee-returnees and IDPs in Somalia to achieve durable solutions. Towards this end, several interventions are in place, one of them being to strengthen market linkages and inclusion of IDPs.

The lack of economic and educational opportunities, the isolation of forcibly displaced communities, and increasingly restrictive policies that lead to growing hopelessness among many seeking refuge outside their countries/ home areas have been highlighted as particular obstacles preventing IDPs from becoming self-reliant, independent and hopeful about their future. Many displaced people have risked their lives and depleted what little resources they may have in their search for a better-protected environment. Others have found themselves in situations of poverty and exploitation, facing ever more severe risks.

In Somaliland and other regions in Somalia, despite the numerous challenges and hardships in camps and settlements, IDPs have engaged in some forms of economic activity to make their lives sustainable in their new environment. These economic activities are fragmented and thus can’t be assessed to give an accurate situational analysis of the impact of these commercial ventures. Nevertheless, IDPs require all the support they need if durable solutions interventions are to bear fruit. Strengthening or creating market linkages is key to achieving this success.

The changing business environments mean that IDPs can’t effectively compete with other traders. Thus NGOs serving DAC need to develop strategies that link up these IDPs to market demand, which will encourage the development of long-term business relationships rather than support for ad hoc sales. Market linkages are meant to facilitate the flow of products between the different levels of the marketing system and lead to profitability.

Towards this end, several linkages at play that can be adopted:

• IDPs to the domestic trader;
• IDPs to the retailer;
• Linkages through cooperatives;
• IDPs to agro-processor;
• IDPs to exporter
• Marketing boards
• Linkage to Chambers of commerce and industry

The proper and sound adoption of some of these market linkages will have an impact on the value chains exhibited by the different sectors in which IDPs are involved in. In Somalia, IDPs aren’t doing small scale business in one sector, and they are somewhat diverse, which necessitates the streamlining of their economic ventures if they are to benefit from strengthened market linkages.

Challenges

Like any other development and humanitarian solution, IDPs face a myriad of challenges that impede efforts to strengthen market linkages and access to finance.  For the IDPs, their vulnerability complicates everything for them. The barriers to market linkages faced by vulnerable communities include;

• Inadequate infrastructure,
• Lack of skills
• Limited or absence of relevant policies
• Social and geographic marginalization;
• Scarce access to assets and services;
• Food insecurity
• Lack of access to credit facilities[5]
• Lack of capital to boost existing small scale businesses
• Hiccups in moving from ad hoc sales to more market-oriented
• Lack of trust[6] which is the glue that binds those involved market linkages
• Absence of the capacity to exploit or develop any existing or new market linkages

Possible Solutions/ Recommendations

From the identified challenges, it is recommended that the following be considered:

• Coordination, communication, and collaboration must be improved: With the growing interest in activities to link IDPs to markets, it seems essential that low-cost methods of exchanging experiences must be found, and development partners should consider how best to exchange experiences at the international level to avoid constant reinventing of the wheel. At the national level, all stakeholders should establish market linkage coordinating mechanisms to facilitate the exchange of information and prevent competition for the chance to work with promising market outlets;
• Awareness of linkages developed by the private sector is essential: Private-sector successes (and failures) in this area need to be documented, the reasons for success or failure understood, and the potential role of external partners in helping to avoid future failures addressed;
• Training of NGO staff is essential: NGOs and others cannot approach linkage activities without having team qualified to do this work.
• Emphasize the development of trust between all parties: The parties involved in the development or creation of market linkages must trust each other if these are to be successful
• Develop appropriate institutions: Government needs to create the necessary bodies to support IDPs in market linkages through the right policy and regulatory framework
• Financing requirements must be addressed- IDPs need to be given opportunities to access funds and credit facilities
• Training IDPs: IDPs need training to business management m record keeping, marketing, and such skills if their business are to expand
• Extensive research needs to be undertaken on livelihoods and market linkages for IDPs in Somalia
• Increase in productivity
• Creating Value chains

Conclusion

There is growing acknowledgment that market-led diversification and enterprise development can widen income opportunities and improve livelihoods for vulnerable communities. Local people and organizations realize that the right capacity and support mechanisms must be available locally so that DAC can become more competitively engaged with markets. There exist the potential for strengthening market linkages for IDPs, but these will require the concerted efforts of all stakeholders.

Studies must be conducted to analyze how IDPs have integrated into communities and to what extent they are involved in economic activities. There is very little information available on IDPs financial involvement despite their large numbers. It is expected that as part of durable solutions, IDPs will eventually no longer known as IDPs but instead fully integrate into the communities and actively participate in all aspects of community life.

[1] National Policy on Refugee-Returnees and IDPs

[2] Framework on Durable Solutions for IDPs, A/HRC/13/21/Add.4

[3], OCHA (2019). Somalia Humanitarian needs overview

[4] UNHCR (2019). Somalia Internal Displacement. Available at: https://data2.unhcr.org/en/dataviz/1,

[5] Shiferaw et al., 2006.

[6], Shepherd, 2004.