Geographical Indication (GI) options for Ethiopian Coffee and Ghanaian Cocoa

Innovation & Intellectual Property
would seem that the formal and informal sectors in Africa often do not collaborate
or “talk” to each other, as evidenced by the large body of African research and
innovations that remain underutilised and not communicated beyond the confines
of African universities (Hassan, 2001; Lor and Britz, 2005; Ondari-Okemwa,
2007; Ondari-Okemwa, 2004).
Disparaging portrayals of the informal sector in Africa (see Hart, 1973; ILO,
1972) do not encourage researchers in formal institutions to pay much attention to
what their informal counterparts do. Communication by formal researchers with
informal sector actors tends to be limited to occasional interactions in instances
of research data collection or sourcing of specific skills. I am of the understanding
that national government policies facilitating collaboration between Africa’s
formal and informal sectors are rare and, in some places, totally absent. I therefore
anticipate that the findings of this study can potentially provide lessons relevant
to the crafting of policy initiatives aimed at fostering research and collaboration
between the formal and informal sectors in African nations, specifically in relation
to innovations grounded in (and appropriate to) Africa’s realities.
2. Conceptual framework
Dualistic conceptions of formal and informal
In defining formal and informal sectors in the context of this study, I focused on
the elements that characterise each sector. Informal-sector activities are sometimes
defined as those outside or beyond government regulatory reach. They are
broadly defined to include, but are not limited to, activities not liable to taxation.
Formal institutions and sectors, meanwhile, are broadly defined as those within
the reach of government regulation or even government agencies themselves.
Another potential means of distinguishing between the informal and formal
sectors is to highlight how they differ from each other, e.g.:
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automated production (formal) v. intensive labour (informal);
high barriers to entry (formal) v. low barriers to entry (informal);
new materials (formal) v. scrap materials (informal);
large-sized business (formal) v. small-sized business (informal);
skills acquisition via institutions (formal) v. via a mentor (informal); and
foreign “Western” approach (formal) v. adaptable to market and indigenous
culture (informal) (Daniels, 2010; ILO, 1972; Palmer, 2004; Tabak, 2000). 1
1 I thank David Gildiner for helping expand this list of elements typically used to define the
informal sector.
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