Fair and just food systems enabling local midstream businesses? What does it take? Romina Cavatassi, Lead Economist with the Research and Impact Assessment division of IFAD
10. •
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• Midstream SMEs link small-scale farmers to markets:
they can strengthen market functions and have the power to
blunt the collusion of market power in the food chain
• They can improve the quality and diversity of food
• They can generate employment, female entrepreneurship
and livelihood opportunities
• They can support circular and sustainable food systems
• Midstream SMEs can hold standards for safety, quality,
sustainability and social responsibility.
…obesity and micronutrient deficiencies also rising
Environmental footprint very high
Trade policies and market regulations must incorporate critical externalities and reinforce non-market and health values ensuring they do not become a cost for poor producers.
It is essential that food reflects the true cost of production.
There are significant costs to society from externalities in food markets that do not account for nutrition related poor health, natural resource decline and climate change. These externality costs are partly born by today’s generations and will be heavily born by future generations.
Society must pay for ecosystem and carbon sequestration services, creating potential income streams for those preserving and caring for land, water and biodiversity.
Trade policies and market regulations to incorporate critical externalities and reinforce non-market values but we must ensure this does not feed back to poor producers.
Trading systems are bound by regulations and standards that often do not incorporate such non-market values as food safety, environmental quality, nutritional content and decent labour conditions. To support environmentally sustainable, nutritionally beneficial, safe and inclusive food systems, countries should pursue trade agreements that reinforce these non-market values.
Producing 30-34% of our food
On about 11% of farmland
525 million work on 2 ha. formative process for a desirable food system is that of rural small scale producers.
First and foremost Agriculture’s must produce enough healthy and affordable food for a growing global population at an acceptable
environmental cost.
Need to shift towards producing nutrient-dense foods and making diverse and nutritious
foods more available and affordable. This must be done through sustainable agriculture.
First and foremost: diversify production. It increase resilience and contribute to a rich and diversified diet;
Adopt nature based and knowledge based agriculture: agroecology, sustainable intensification, and use of technology and info to make more informed and guided choices.
Raise awareness of climate and its impact on production: adopt new crops and technologies and adaptation options suitable to the specific context.
But it is on action 6 that I’d like to focus more our attention. First what is the mid-stream?
The midstream of the agrifood sector, dominated by SMEs, has grown rapidly. The last several decades have seen a quiet revolution in the agricultural and food markets of low- and middle-income countries, with a rapid growth in value.
Enabling and supporting SME entrepreneurship in the midstream is essential for creating inclusive opportunities because it Create employment opportunities and Livelihood diversification and Higher income
The first is through upgrading entire value chain processes to improve efficiency and profitability. Only then can greater value be created, waste be reduced, and
food quality and safety demands be met. The second is through policies to embed responsible investment principles and practices related to labour conditions, gender equality, the environment and climate. The third is by maintaining opportunities for large numbers of smaller-scale entrepreneurs and enterprises, and avoiding the concentration of power and ownership that seeks efficiency through reduced labour while actually withdrawing profits from rural economies. The fourth is by stepping up skill-building and accessible finance and business support so that rural people can take up entrepreneurial opportunities.
But it is on action 6 that I’d like to focus more our attention. First what is the mid-stream?
The midstream of the agrifood sector, dominated by SMEs, has grown rapidly. The last several decades have seen a quiet revolution in the agricultural and food markets of low- and middle-income countries, with a rapid growth in value.
Enabling and supporting SME entrepreneurship in the midstream is essential for creating inclusive opportunities because it Create employment opportunities and Livelihood diversification and Higher income
The first is through upgrading entire value chain processes to improve efficiency and profitability. Only then can greater value be created, waste be reduced, and
food quality and safety demands be met. The second is through policies to embed responsible investment principles and practices related to labour conditions, gender equality, the environment and climate. The third is by maintaining opportunities for large numbers of smaller-scale entrepreneurs and enterprises, and avoiding the concentration of power and ownership that seeks efficiency through reduced labour while actually withdrawing profits from rural economies. The fourth is by stepping up skill-building and accessible finance and business support so that rural people can take up entrepreneurial opportunities.
But it is on action 6 that I’d like to focus more our attention. First what is the mid-stream?
The midstream of the agrifood sector, dominated by SMEs, has grown rapidly. The last several decades have seen a quiet revolution in the agricultural and food markets of low- and middle-income countries, with a rapid growth in value.
Enabling and supporting SME entrepreneurship in the midstream is essential for creating inclusive opportunities because it Create employment opportunities and Livelihood diversification and Higher income
The first is through upgrading entire value chain processes to improve efficiency and profitability. Only then can greater value be created, waste be reduced, and
food quality and safety demands be met. The second is through policies to embed responsible investment principles and practices related to labour conditions, gender equality, the environment and climate. The third is by maintaining opportunities for large numbers of smaller-scale entrepreneurs and enterprises, and avoiding the concentration of power and ownership that seeks efficiency through reduced labour while actually withdrawing profits from rural economies. The fourth is by stepping up skill-building and accessible finance and business support so that rural people can take up entrepreneurial opportunities.
But it is on action 6 that I’d like to focus more our attention. First what is the mid-stream?
The midstream of the agrifood sector, dominated by SMEs, has grown rapidly. The last several decades have seen a quiet revolution in the agricultural and food markets of low- and middle-income countries, with a rapid growth in value.
Enabling and supporting SME entrepreneurship in the midstream is essential for creating inclusive opportunities because it Create employment opportunities and Livelihood diversification and Higher income
The first is through upgrading entire value chain processes to improve efficiency and profitability. Only then can greater value be created, waste be reduced, and
food quality and safety demands be met. The second is through policies to embed responsible investment principles and practices related to labour conditions, gender equality, the environment and climate. The third is by maintaining opportunities for large numbers of smaller-scale entrepreneurs and enterprises, and avoiding the concentration of power and ownership that seeks efficiency through reduced labour while actually withdrawing profits from rural economies. The fourth is by stepping up skill-building and accessible finance and business support so that rural people can take up entrepreneurial opportunities.
But it is on action 6 that I’d like to focus more our attention. The midstream of the agrifood sector, dominated by SMEs, has grown rapidly. The last several decades have seen a quiet revolution in the agricultural and food markets of low- and middle-income countries, with a rapid growth in value.
Enabling and supporting SME entrepreneurship in the midstream is essential for creating inclusive opportunities because it Create employment opportunities and Livelihood diversification and Higher income
The first is through upgrading entire value chain processes to improve efficiency and profitability. Only then can greater value be created, waste be reduced, and
food quality and safety demands be met. The second is through policies to embed responsible investment principles and practices related to labour conditions, gender equality, the environment and climate. The third is by maintaining opportunities for large numbers of smaller-scale entrepreneurs and enterprises, and avoiding the concentration of power and ownership that seeks efficiency through reduced labour while actually withdrawing profits from rural economies. The fourth is by stepping up skill-building and accessible finance and business support so that rural people can take up entrepreneurial opportunities.