More than three-quarters of jobs linked to trade and global supply chains in Africa are informal, yet workers and small businesses operating outside the formal economy remain largely excluded from decisions shaping trade and labour policies, the International Labour Organisation (ILO) has found.

The organisation said the representation gap was undermining efforts to ensure that expanding trade translates into decent work and inclusive economic development across the continent.

In a new research brief, engaging informal economy actors in trade and labour policy in Africa, the ILO called for stronger mechanisms to bring informal workers, small enterprises, cooperatives and associations into trade policy discussions.

The brief noted that more than 85 per cent of employment across Africa was informal, the highest rate for any region. In contrast, more than three-quarters of trade-linked employment was informal in 11 African countries covered by available data.

It said the 11 countries represented about 45 per cent of employment on the continent, underscoring the scale of workers and businesses with limited access to policymaking processes.

According to the ILO, informal workers and enterprises often struggle to participate in consultations, raise concerns with policymakers or even access information about measures designed to support them.

It added that formal exporting companies typically had greater access to policymakers, leaving informal economy actors at a disadvantage despite their significant contribution to trade and supply chains.

The findings were based on stakeholder evidence gathered for the ILO report, Trade, Investment and Decent Work in Africa: Evidence and Stakeholder Perspectives, as well as consultations involving more than 70 stakeholders from workers’ and employers’ organisations, government institutions and civil society groups in Ghana, Kenya, Mozambique, South Africa and Uganda.

The ILO said existing consultation mechanisms frequently failed to reach informal workers and businesses, while the structure of informal employment created additional challenges for representation.

“Many people operate simultaneously as workers and own-account operators,” the organisation noted, saying the situation made conventional distinctions between workers and employers difficult to apply.

The problem, it said, was particularly pronounced in sectors closely connected to African and global supply chains.

Nearly 98 per cent of agricultural workers in Africa are informally employed, with many operating at the lower levels of supply chains and having limited direct relationships with major suppliers and buyers.

Informal cross-border trade also provides a major source of employment and income, particularly for women, who constitute the majority of informal cross-border traders in many African countries.

The ILO said such traders faced challenges including harassment and insecurity at borders, limited access to finance, and difficulty understanding and navigating regional trade rules.

To close the representation gap, the organisation recommended stronger links between cooperatives and informal-sector associations and established workers’ and employers’ organisations.

It cited Ghana as an example, where the Ghana National Cocoa Farmers Association, representing about 680,000 of an estimated 800,000 cocoa farmers, is affiliated with the Ghana Federation of Labour.

The federation has represented farmers’ interests in discussions with the government, including negotiations around cocoa farm-gate prices.

The ILO also identified the African Continental Free Trade Area (AfCFTA) as an avenue for improving the participation of informal workers and businesses in trade policy.

It said National Implementation Committees established under AfCFTA could provide platforms for governments, workers’ and employers’ organisations and civil society to participate in discussions on trade decisions with labour-market implications.

Trade union representatives already participate in such committees in countries including Ghana, Kenya, Namibia, Nigeria and Rwanda.

The organisation urged stronger links between these structures and groups representing informal workers and enterprises, saying this could help trade policies better reflect the realities of African labour markets.

While stressing that the transition from informal to formal employment remained essential, the ILO said formalisation alone would not address the representation deficit.

It argued that informal workers and enterprises should have a meaningful voice in decisions affecting their livelihoods, particularly as African countries deepen regional trade integration.

The ILO said greater participation would help ensure that opportunities created by expanding trade translate into more inclusive development outcomes.