Food assistance and institutional demand:
supporting smallholder farmers to fight hunger and
boost agricultural production...
The importance of Smallholders
for Development
• Post-war technologies that strived for modernization, urbanization and
in...
Assumptions
• Responses
o State intervention
o Price mechanisms
o Procurement of local produce
• Culturally appropriate
• ...
Homegrown School
Feeding (HGSF)
“A new model of school feeding that is designed to deliver agricultural/market improvement...
Local and Regional Food
Procurement (LRP)
Policies based on purchasing food from smallholders
• World Food Programme’s Pur...
Institutional
Demand as
Social
Protection for
Development
Price
Stability
Farmer
Organization
Food
Security
Income
Generat...
Price Stability
• Many producers remain net food buyers
o Volatile food prices affect production and consumption decisions...
Income Generation
• Financial risks inhibit productive investments
o Market information – demand, crop type, income securi...
Food Security
• Institutional Demand has four main components that
bolster domestic food security
o Availability
• Increas...
Farmer Organization
• Institutional Demand and farmer organizations are
mutually reinforcing
o Program implementation typi...
Issues/Controversies of
Institutional Demand
• Pricing
o How are regional/local prices for procurement determined? Who man...
Graduation?
Upcoming SlideShare
Loading in...5
×

Food Assistance and Institutional Demand: Supporting Smallholder Farmers to Fight Hunger and Boost Agricultural Production

304

Published on

Presented at The State of Food and Agriculture 2015 (SOFA) workshop held at FAO's headquarters in Rome on July 1st, 2014. The presentation explained the concept of Institutional Demand as a feature of Social Protection that links agricultural producers with local and assured local/regional markets. Institutional demand primarily consists of state purchases of produce from smallholder farmers that is then distributed through social protection networks (community kitchens, food banks, schools, etc) to fight hunger.

Published in: Government & Nonprofit
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
304
On Slideshare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
3
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Transcript of "Food Assistance and Institutional Demand: Supporting Smallholder Farmers to Fight Hunger and Boost Agricultural Production"

  1. 1. Food assistance and institutional demand: supporting smallholder farmers to fight hunger and boost agricultural production United Nations Development Programme – International Policy Centre for Inclusive Growth (UNDP/IPC-IG)
  2. 2. The importance of Smallholders for Development • Post-war technologies that strived for modernization, urbanization and industrialization marginalized smallholders • Narrowing and specialization of the commodity chains presented additional challenges • Over 70 percent of the world’s poor reside in rural areas and a majority depend on agriculture for their livelihoods • Despite this, smallholders/peasants produce 70% of the world’s food (ETC Group 2009) • Production based on crop diversity and local/regional specificity to incorporate culturally and climatically appropriate food • According to the UN Committee on World Food Security and the United Nations’ High Level Task Force on Global Food Security, “smallholder agriculture has a central role to play in increasing agricultural production sustainability and in reducing poverty” and “efforts to connect smallholder farmers to markets – for example, through food procurement operations— contribute to farmer productivity”.
  3. 3. Assumptions • Responses o State intervention o Price mechanisms o Procurement of local produce • Culturally appropriate • Local economy linkages o Increased demand o Bolster farmer organization o Expand infrastructure • Challenges o Narrow supply chains o Uncompetitive markets • Trader monopolies • Incomplete information • Land tenure uncertainly o Food Imports o Infrastructural inadequacies/remoteness
  4. 4. Homegrown School Feeding (HGSF) “A new model of school feeding that is designed to deliver agricultural/market improvements as well as nutritional and educational benefits” (Morgan et al. 2007) Social Protection Benefits of School Feeding • Increases school enrollment and attendance • Improves educational achievement • Promotes food security and nutritional health Synergies with Rural Development • Food for school feeding programmes can be procurement from smallholders • Increases demand for food • Provides a secure marketing channel • Increases productivity • Raises famer incomes • Secure income contributes to household’s food security
  5. 5. Local and Regional Food Procurement (LRP) Policies based on purchasing food from smallholders • World Food Programme’s Purchase for Progress (P4P) • Brazil’s Food Acquisition Programme and (PAA) • Purchasing from Africans for Africa (PAA-Africa) • USAID/USDA supported LRP programmes in Africa • Additional innovations o Targeted support for nutritionally superior, domestics produce • i.e. Cereals in Senegal for bread production o Direct supermarket supply chains o Domestic food safety net programmes • i.e. Bolug-Raskin programme in Indonesia Brazil’s Food Acquisition Programme – PAA • Targets the most vulnerable family farmers • Budget of around US$700 million • Distributes food through social protection networks and public institutions • Implemented through various scales and across governmental levels
  6. 6. Institutional Demand as Social Protection for Development Price Stability Farmer Organization Food Security Income Generation Institutional demand policies promote development by procuring smallholder produce and protecting vulnerable populations through coordinated markets to expand food availability
  7. 7. Price Stability • Many producers remain net food buyers o Volatile food prices affect production and consumption decisions o Globally, food price volatility can make import dependent countries even more vulnerable • Domestic food markets need to be supported o Institutional demand policies help to set a price benchmark for producers • Regional price surveys • Procurement of certain crops can have spillover effects to support price stability in others o Seasonal fluctuations in prices can be mitigated by assuring a market for producers eliminating post-harvest sell-offs
  8. 8. Income Generation • Financial risks inhibit productive investments o Market information – demand, crop type, income security o Income shocks often result in selling off productive assets or reducing investments in household human capital (i.e. taking children out of school, reducing clinic check-ups, etc) • Institutional demand supports longer-term decision making to invest in productive assets o Increased and assured market demand • Crop type with more certainty • Assured income • Longer-term planning to invest in production based on demand
  9. 9. Food Security • Institutional Demand has four main components that bolster domestic food security o Availability • Increased demand supports more productivity by incentivizing productive investments to expand food supply o Access • Food distribution through social protection networks increases food access to vulnerable populations (via food banks, schools, community kitchens and other public institutions) o Utilization • Domestic and/or local administration of institutional demand recognizes more culturally and ecologically appropriate crops for production o Shocks • Domestic and/or local support of food systems enhances the resiliency of producers and consumers through the support of food production that is less reliant on volatile international food prices
  10. 10. Farmer Organization • Institutional Demand and farmer organizations are mutually reinforcing o Program implementation typically utilizes farmer organizations to facilitate procurement and food delivery o Organized production can increase the capacity of local/regional food systems to meet the demand of local institutional markets o Multiplier Effects • Opportunity for shared learning about production and processing o i.e. Bulking other produce for improved market leverage
  11. 11. Issues/Controversies of Institutional Demand • Pricing o How are regional/local prices for procurement determined? Who manages the a pricing mechanism? o What effect will this have on the existing infrastructure of private traders/intermediaries? • Infrastructure o Transportation issues for food delivery o Organization and implementation of the program • Who are the producers? Where does food get delivered, stored and distributed? • Payments o How are payments made and is there a procurement limit per producer/household? • Tendering Requirements o Procurement rules may impose burdensome bureaucracies which smallholders may find difficult to comply – health and safety regulation, tax registration for producer organizations, etc o Countries may need to reform their legislation regarding public purchases in order to facilitate smallholder participation in tendering processes • Registration/Targeting o What system exists to target the most vulnerable producers? o Can the producers meet production requirements? • Scalability o How can ID policies be scaled-up to include other producers (fisherfolk, landless, highly-capitalized family farmers, etc) • Dependency o Loss of state funding resulting in less of a market than prior to Institutional Demand programme
  12. 12. Graduation?
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×