Integrating gender into index-based agricultural insurance: a focus on South Africa

Index insurance is an agricultural risk management tool that can provide a safety net for smallholder farmers experiencing climate risk. While uptake and scale-out of index insurance may be slow among smallholders, we can learn from experiences that demonstrate where crop insurance can protect smallholders’ livelihoods from climate risk. Integrating gender into climate risk management is necessary to ensure that the benefits of index insurance are experienced by both men and women. A dedicated intention to integrate gender may be required. Taking South Africa as a case study, the potential for gender-sensitive index insurance scale-out among smallholders is investigated

Linking Farmers to Markets for High-Value Agricultural Commodities

Growing demand for high-value food commodities is opening up opportunities for farmers, especially smallholders to diversify towards commodities that have strong potential for higher returns to land, labour and capital. But, there is an apprehension about the capability of smallholders to participate in the market-oriented production due to their lack of access to markets, capital, inputs, and technology and extension services. In this paper, possibilities have been explored of linking smallholders to markets through such institutions as cooperatives, growers’ associations and contract farming that reduce marketing and transaction costs and alleviate some production constraints. Evidence has shown that smallholders do participate and make a sizeable contribution to the production of high-value food commodities, but their links to markets are not strong. Though market institutions like cooperatives, contract farming and growers’ associations do not altogether ignore smallholders, some policy support is imperative to strengthen their linkages with the markets.Agribusiness, Marketing,

What Works for Women: Proven Approaches for Empowering Women Smallholders and Achieving Food Security

This document presents proven approaches for empowering women smallholders and achieving food security. Over the last few years an unparalleled attention has been given to the issue of food security and the importance of smallholder agriculture, with particular recognition of the role of women farmers. In this context, nine international development agencies have produced this briefing to share the lessons learned based on their experience of promoting gender equality and working with women smallholders and rural women over many decades. This paper concludes with a number of recommendations for policy makers on measures to help close the gender gap in agricultur

Contract Farming in Developing Countries: An overview

This paper presents a review of the literature on contract farming (CF), focusing on recent empirical research on the economic impact of CF. The paper starts with an explanation of the phenomenon of CF, providing definitions, typologies, models and objectives. Using a Transaction Costs Economics framework, the paper explains for which products and market CF seems most suitable. The empirical literature on CF is assessed by answering three questions: Why do smallholders engage in CF? Are smallholders included in or excluded from CF arrangements? What impact does CF have on smallholder income and rural development? Finally, the paper identifies the conditions under which smallholders are most likely to benefit from CF schemes

Globalization and the smallholders

A major question that has surfaced in the changing context of world agriculture is whether the smallholders would ride the wave of globalization or be swept away. This paper addresses the debate with a four-fold objective: (1) it maps different factors that are likely to impinge on developing country smallholders as a result of globalization in general and of agriculture in particular (2) it briefly reviews literature and summarizes different approaches and methodology used to study this question (3) it identifies areas which have been the focus of attention so far and those that are relatively under-researched (4) it attempts to draw some conclusions regarding the impact of globalization on the smallholders from the literature review, and then suggests some policy implications if globalization is to benefit the smallholders. The paper finds, among others, that studies that focus on trade liberalization alone (operating through price changes) and those that address broader issues of globalization (such as changing structure of food industry and new relationships in the interface of farm and firm, SPS issues, etc.) have run somewhat parallel to each other where a greater integration of the two would be more valuable. Methodological approaches may have something to do with this apparent dichotomy. An important part of this study is to find out from the existing literature whether smallholders have benefited or adversely affected by from the globalization process. There appears to be no clear evidence that smallholders in one region may have done better than those in another. However, even while acknowledging the significant differences within regions themselves, it is evident that whether smallholders have benefited or have been hurt is determined by a fairly narrow range of issues – vertical coordination with processors or exporters, access to infrastructure and finance (credit), role of public sector and international involvement in capacity building, alternatives available in non-farm sector, etc. Based on this, the paper concludes that policy interventions vis-à-vis smallholders should essentially have a twin focus (1) removing the shackles that currently constrain smallholders from exploiting opportunities that globalization presents and (2) ensuring minimum adverse impact, both being two sides of the same coin. While the former can be accomplished through enabling policies, the latter would have to be tackled through coping policies. Particular areas identified as critical enabling factors are greater vertical coordination, removing credit constraints, reducing transactions costs, building social capital, greater role for public sector in providing infrastructure and facilitating institutions and also greater initiatives for international capacity building. On the other hand, coping strategies would include provision of credible safety nets and risk coping instruments, promoting exit options particularly through promotion of opportunities in the rural non-farm sector, guarding against harmful monopolistic competition, and focused research on technologies for small farmers. Needless to say, the relative importance of these factors would vary across regions. It is thus important to identify which battery of policies is appropriate depending on the unique circumstances of each region. It is equally important to draw lessons from the several success stories to be able to replicate these successes on a larger scale in a meaningful way. Only then can small farmers make big gains from globalization.Globalization ,

Poultry producers’ perceptions of changing market conditions : a field study of the poultry production in Khartoum state of Sudan

Sudan has always showed great potential in the poultry industry, but it has not been until now that this potential has blossomed and is growing quickly. As large agribusinesses1are taking over the market shares within the urban areas, smallholders2 have been put out of business. They are not able to compete with mass production and lack financial assets to improve their production techniques. Contract farming is defined as initiatives from agro industrial companies to secure access to smallholder produce and has in developing countries become a way of allowing the poor to participate in a larger market (Farrington, 1999). The aim with this study was to investigate the suitability of implementing the contract farming concept within the poultry industry in Sudan today. The study is a qualitative field study and the authors have conducted qualitative interviews with respondents involved in the poultry industry in Sudan. For an overall perspective the respondents represented different parts of the poultry industry. The empirical results were later analysed in relation to the assumptions of agency theory. The results found imply that it would be difficult to introduce contract farming in Sudan’s poultry industry today. This is mainly explained by the agribusinesses unwillingness to take on more responsibility as they already are under stress because of government interference. Other findings are that the agribusinesses see no benefits from entering a contract agreement with a smallholder. The study also found that nor the smallholders did see much benefits other than financial from cooperation with the agribusinesses. Political issues cause problems for agribusinesses as well as smallholders, and have created a nervous society where independence seems to be the goal of each party. 1 Agribusiness refers to the various businesses that are connected with producing, preparing and selling farm product (www.dictionary.cambridge.org, 2012). 2 Smallholder refers to farmers operating a farm of 2 ha or less (www.ifpri.org , 2007).Sudan har alltid visat stor potential för kycklingproduktion men det är först nu som denna potential tillåts blomstra och växer snabbt. Då stora företag tar över marknadsandelar i städerna, tvingas småproducenterna lägga ner sin verksamhet. De inte har möjlighet att konkurrera med massproduktion och saknar finansiella tillgångar för att förbättra sina produktionssystem. Kontraktsproduktion definieras som initiativ tagna av stora företag för att säkra tillgången till småföretagarnas produktion och har i utvecklingsländer varit ett sätt för småproducenter att nå en större marknad (Farrington, 1999). Syftet med denna studie var att undersöka lämpligheten att införa kontraktsproduktion inom fjäderfäindustrin i Sudan i dag. Studien är en kvalitativ fältstudie och författarna har genomfört kvalitativa intervjuer med respondenter involverade i Sudans fjäderfäindustri. För ett helhetsperspektiv representerade de intervjuade olika delar av fjäderfäbranschen. De empiriska resultaten analyserades i förhållande till Agenteorins teorier. Resultaten antyder att det skulle vara svårt att införa kontraktsproduktion inom Sudans fjäderfäindustri idag. Detta förklaras främst av att de stora företagens ovilja att ta ett större ansvar, eftersom de redan är under stress på grund av regeringens inblandning. Dessutom ser de stora företagen inga fördelar med att ingå avtal med småproducenter. Studien fann även att även småproducenterna såg få förmåner utöver finansiella från samarbete med stora företag. Politiska problem gör det svårt för både företag och småproducenter och har skapat ett oroligt samhälle där autonomi tycks vara varje parts mål

Smallholder challenges in the growing palm oil industry

This repository item contains a single issue of Issues in Brief, a series of policy briefs that began publishing in 2008 by the Boston University Frederick S. Pardee Center for the Study of the Longer-Range Future.2014 Pardee Graduate Summer Fellow Laurie Wissler explores the challenges faced by smallholder palm oil farmers, particularly in Southeast Asia. Smallholders operating less than 50 hectares of land produce about one-third of the global palm oil supply, but their livelihoods are threatened by land conflicts, market vulnerability, and low crop yields. She concludes that action by domestic governments, industry stakeholders, and NGOs is needed to protect smallholders and to continue to meet the growing global demand for palm oil