The State of Food and Agriculture 2017
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http://bit.ly/2yDz1A9 The State of Food and Agriculture 2017. ‘Leaving no one behind’ - How investing in rural‑urban areas is key to ending hunger and poverty. #ZeroHunger Since the 1990s, rural transformations in many countries have helped millions escape poverty. But population growth, increasing urbanization, modern technologies, and climate change are transforming the world we live in, and food systems are evolving rapidly in response. Change is happening at a fast pace – and the question is: which direction are these transformations taking? Are they benefitting the poor and the food insecure? And will the food systems of the future be able to feed and employ the millions of young people poised to enter labour markets in the developing world? The State of Food and Agriculture 2017 sets out a vision for inclusive rural transformation through a territorial approach. It also explores the catalytic role of rural towns and secondary cities in boosting the rural economy, and analyses how strengthening linkages between rural and urban economies will be crucial to achieve development goals and secure decent livelihoods for all. © FAO: http://www.fao.org
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The State of Food and Agriculture 2017
- 2. Fulfilling the 2030 Agenda depends crucially on progress in rural areas 1 / 11 In adopting the 2030 Agenda the international community committed itself to eradicating hunger and poverty. Fulfilling this agenda is already facing important challenges: Hunger is on the rise again! A more densely populated world needs to be fed and employed. Most of the poor and hungry live in rural areas; more efforts are needed to transform economies in these areas. This report identifies opportunities to achieve the progress required in rural areas through inclusive transformation.
- 3. What we learn from successful transformations Agricultural productivity growth. Shift of people and resources from agriculture towards manufacturing, industry and services. Massive increases in per capita income. Steep reductions in poverty and hunger. 2 / 11
- 4. 3 / 11 Theevolution of rural and urban poor as share of total population
- 5. Change is occurring in laggard transformers Sub-Saharan Africa and South Asia witness important changes: Decreasing proportion of the population employed in agriculture. People moving into low skilled informal service jobs. Job creation limited, often not a path out of poverty. Population still growing compared to other regions that have stabilized. Another change is urbanization and the changes that come with it. 4 / 11
- 6. Relationship between consumption of staple foods and incomes in developing countries As incomes increase diets change accordingly 5 / 11
- 7. Opportunity is seen in urbanization and dietary changes The change in size and composition of food demand as a result of urbanization is an opportunity for farmers. Linking small-scale farmers to these growing domestic markets is fundamental for poverty reduction and making transformations more inclusive. The link will not come automatically! 6 / 11
- 8. Land area per capita of rural population, by region, 1970-2050 Urbanization and demography likely to influence farm sizes differently across countries 7 / 11
- 9. Going forward the link is the food system Food systems can be transformed in ways that reduce poverty and improve food and nutrition security An agro-territorial approach is critical to balance infrastructure development & policy interventions to transform the system Particularly relevant in countries with rapid population growth and limited prospects for industrialization to create jobs on-farm and off-farm. 8 / 11
- 10. Transformation becomes more inclusive Agro-territorial approach takes into account the importance of small cities and towns. Report finds that over half of the global population lives within or around cities and towns of less than 500,000 people. Yet, in most developing countries, resources are disproportionately allocated to larger cities. Better connecting rural–urban territories is a strategy for creating on-farm and off-farm jobs, eradicating poverty, and ensuring food and nutrition security. 9 / 11
- 11. There are five commonly used agro-territorial tools. Structuring interventions based on country needs Agro-territorial investments with different geographic range under different governance models. 10 / 11
- 12. Conclusions Economic growth in rural areas has helped millions escape poverty, and will be critical to ending hunger by 2030. Urbanization and dietary changes in both rural and urban areas are transforming the food system – creating opportunities and challenges. There is a need to ensure that this transformation is smooth and provides an opportunity for the 500 million smallholders around the world. Stronger links between rural areas and small cities and towns can lead to more dynamic growth of economic opportunities in rural areas Report proposes an agro-territorial approach to leverage the changes in food systems as a key ingredient for attaining SDG1 & SDG2 11 / 11
Notes de l'éditeur
- * [Need to edit title: leveraging is missing the final «g»] * The theme of SOFA 2017 is Leveraging Food Systems for Inclusive Rural Transformation. Why have we chosen to focus on this?
- In adopting the 2030 Agenda for Sustainable Development two years ago, the international community committed itself to eradicating hunger and poverty and to achieving other important goals, including making agriculture sustainable, securing healthy lives and decent work for all, reducing inequality, and making economic growth inclusive. But there are important challenges ahead: There could be no clearer wake-up call than FAO’s new estimate that the number of chronically undernourished people in the world stands at 815 million. Most of the hungry live in low-income and lower-middle-income countries, many of which have yet to make the necessary headway towards the structural transformation of their economies. The overarching conclusion of this report is that fulfilling the 2030 Agenda depends crucially on progress in rural areas, which is where most of the poor and hungry live.
- In identifying the opportunities, it is important to draw lessons from successful transformation where there have existed. Successful transformations in developing countries have taken place in East and Southeast Asia. Main drivers have been: agricultural productivity growth, leading to a shift of people and resources from agriculture towards manufacturing, industry and services, leading to massive increases in per capita income and leading to steep reductions in poverty and hunger.
- Countries lagging behind in the transformation process described, are mainly concentrated in sub-Saharan Africa and South Asia. Most have in common economies with large shares of employment in agriculture, widespread hunger and malnutrition, and high levels of poverty. Lack an important synergy: increasing urbanization does not go hand in hand with comparably strong growth in manufacturing. As a result, people leaving agriculture are moving mostly into the informal service sector, which is characterized by low productivity, thus likely becoming part of the urban poor population. A similar dynamic is seen in South Asia, where the rural poor are more likely to escape poverty by remaining in rural areas than by migrating to cities. GRAPHS: Represent poverty trends in two regions of the World: East and Southeast Asia, and sub-Saharan Africa. Light and dark green at the top and bottom represent, respectively, the shares of total population that are urban non-poor and rural non-poor. Orange and red represent, respectively, the shares of total population that are urban poor and rural poor. The figures show that rural poverty has been substantially reduced in the last two decades in East and Southeast Asia the share of the rural non-poor in total population increased from 9% in the 1990s to 33% in the 2010s the share of all poor fell from 79% to 22% On the other hand, although the initial poverty rates in sub-Saharan Africa were comparable with those of East and Southeast Asia, the shares of urban and rural poor have been only modestly reduced. There is evidence that the patterns and the speeds of structural and rural transformations differ widely by region and in many cases by country, leading to considerable differences in welfare outcomes. In the case of East and Southeast Asia, the total number of poor, both urban and rural, have declined by more than 800 million since the 1990s. BOTTOM LINE: In East and Southeast Asia a sizeable number in rural poor have exited poverty while remaining in rural areas. Rural areas are an important part of the success story. Synergies with the urban sectors are also important.
- Some of the changes seen in developing countries where transformations have been unsuccessful posse critical challenges. Low-paid work in informal sectors Limited job creation Population growth Not easy way out of poverty Urbanization is happening! Africa’s urban population is expected to increase by 63% between 2015 and 2030, and in Asia the increase will be by 30% It raises important questions: how to feed a growing, more urbanized world, where diets are different than those seen in the past? Also, as economic transformation proceeds, rising household incomes lead to a greater variety in diet
- Evidence at the global level strongly suggests that, as economic transformation proceeds, rising household incomes lead to a greater variety in diet: the share of non-staple foods increases while that of staple foods declines. Therefore, with increased transformation, people tend to eat more animal-source products, vegetable oils, fruit and vegetables, and processed foods: on the other hand, they reduce their consumption of cereals and pulses. The figure shows that the share of staple foods (measured by consumed calories) declines with higher level of income (measured by GDP per capita). Due to population growth the demand for food in rural areas will also increase.
- A clear message of SOFA 2017 is that opportunity can be seen as a result of ongoing changes. The report highlights urbanization as opportunity for rural areas. Urban demand consumes up to 70% of the food supply even in countries with large rural populations To many farmers, tapping into this growing domestic demand will offer a bigger opportunity than exports A central theme of the SOFA 2017 report is that linking farmers to these growing domestic markets, especially smallholders, is key for poverty reduction. But the link will not come automatically!
- One concern in the transformation process is that although urbanization provides a golden opportunity for agriculture, it will not automatically improve production and market conditions for small-scale producers. For example, more profitable markets can lead to the concentration of food production in large commercial farms and to value chains dominated by large processors and retailers. This is the path followed, in some respects, by some Latin American countries Differences in average farm sizes can be attributed, in part, to population dynamics in rural areas, such as population growth and densities. High levels of population density are associated with smaller farm sizes, and thus population dynamics need to be part of any assessment of how farmland distribution will evolve in the future This means that although other factors are important, the per capita share of agricultural land in a rural area is a fundamental consideration in the transformation of farmland distribution. As the Figure shows, the Americas had considerably more land available per capita of rural inhabitant in the 1970s than any other region has today or will have by 2050. Given that already extreme land scarcity in most of Asia, and the fact that the most rapid increases in rural population will occur in sub-Saharan Africa in the decades ahead, it is unlikely that average farm sizes in those two regions will increase to those seen in the United States of America, Argentina or Brazil. BOTTOM LINE: The concern about smallholder productivity and including them in the process of transformation is not just a transitory issue. We (or those who follow us) are likely to still be talking about the issue in 2050.
- The report proposes leveraging the changes and transformations in food systems in order to reduce poverty and improve food and nutrition security. Hence the title “leveraging food systems for inclusive rural transformation” To make this feasible, the report suggests the adoption of an agro-territorial approach in rural development planning, which is an approach that reconciles sectoral policies with territorial dimensions. It looks at a territory as a interconnected rural-urban functional spaces, and tries to balance policy interventions with infrastructure (hard and soft) investments. This approach can be particularly relevant in countries with rapid population growth and limited prospects for industrialization to create off-farm employment where, nonetheless, there is enormous untapped potential of food systems to: drive agro-industrial development, boost smallholder farmers’ productivity and incomes, and create off-farm employment in expanding segments of food supply and value chains… …leading to inclusive rural transformation that would contribute to eradicating rural poverty, while at the same time helping end poverty and malnutrition in urban areas.
- Agro-territorial approach takes into account the importance of small cities and towns: it finds that over 50% of the world population lives within or around small cities and towns (threshold used is less than 500 000), compared to 35% living in larger cities or their proximity. Small cities and towns are important for rural development because they are closer to rural areas and are more evenly spread over any territory. And even in terms of urban food demand, they are at least as important as larger cities. Yet, in most developing countries, public resources are disproportionately allocated to larger cities, and this happens at the expense of both rural areas and small towns. Therefore, for the ongoing transformations to be inclusive, an improved connection of rural-urban territories is a strategy to create jobs, both in agriculture and the rural non-farm economy in order to eradicate poverty and ensure food and nutrition security for all.
- Bringing the agroterritorial approach into practice will require structuring interventions according to country needs and conditions, where governments, national and local, can choose from the commonly used agroterritorial tools: agribusiness incubators, agro-industrial parks, agroclusters, agro-corridors, and agro-based special economic zones. These five agro-territorial tools have fairly distinct geographic ranges, which results in different governance models, as shown in the Figure. The broadest instrument, in terms of geographic range, is the agro-corridor, which can spread over a very large space. The larger the geographic range, the more complex the intervention becomes, in terms of participants, levels and sectors, and the higher the budget tends to be. This results in a gradation in governance requirements: greater public support and leadership is needed for larger interventions, owing in part to the connective infrastructure investments required, while private participation is a feature of smaller-scale agribusiness incubators and agro-parks.
- And here we finish where we began: with the key messages of the report! There is opportunity in rural areas, associated with ongoing transformations in the food systems and the broader economy. However, we must ensure that the millions of smallholders of today, and of tomorrow, can benefit from these transformations. The report provides a wealth of information on how this can be accomplished. I encourage you all to read it, as it is not possible to do justice to such a topic in such a short presentation.
- * [Need to edit title: leveraging is missing the final «g»] * The theme of SOFA 2017 is Leveraging Food Systems for Inclusive Rural Transformation. Why have we chosen to focus on this?