Deep Roots

[

] 184

Investing in family farmers

for the future we want

it Pertev, Secretary of IFAD

amily farmers are women and men involved in any

area of agriculture who derive a significant portion

of their income or food from working and managing

their own farm or livestock, relying exclusively or predom-

inantly on family labour and capital. Family farms are

a global phenomenon. They are extremely diverse across

countries, regions and production systems. A common

feature is that the family and the farm are closely linked,

coevolve and combine economic, environmental, social

and cultural functions. In fact, family farming is the domi-

nant model of agriculture, and its prevalence across areas

with diverse levels of development suggests that family

farming offers specific comparative advantages to other

forms of agriculture.

It is estimated that smallholder family farmers produce four-

fifths of the food consumed in the developing world. These

women and men are key contributors to local, national and

global food security. They are custodians of vital natural

resources and biodiversity, and central to climate change

mitigation and adaptation. Despite this reality, they are dispro-

portionately represented among the world’s poor people. The

potential economic and social returns to investing in family

farms are enormous, yet remain frequently neglected.

The International Fund for Agricultural Development

(IFAD) has always recognized this. Awareness of the wide-

ranging potential returns of investing in smallholder family

farmers was one of the main rationales behind the estab-

lishment of IFAD in 1977 as the United Nations specialized

agency and international financial institution focusing exclu-

sively on agricultural and rural development. It is why IFAD

has, over the course of decades, invested over US$15 billion

in grants and low-interest loans to developing countries

through projects empowering more than 430 million rural

people to break out of poverty, thereby helping to create

vibrant rural communities.

As the post-2015 global development agenda takes

shape, the world faces a historic opportunity to put in

place measures to shape the future we want. There is now

wide agreement that a shift to development models that

are sustainable, inclusive and equitable is indispensable to

complete the task of eradicating poverty. This shift in think-

ing about development has important implications for the

types of investments and policies to be prioritized. It also

offers a potentially ground-breaking opportunity to address

the structural causes of poverty.

The debate goes on against a background of social,

economic, political and ecological changes that are reshap-

ing the conditions, challenges and opportunities faced by the

estimated 842 million poor and hungry people in the world

today. Key factors include higher and more volatile food

prices, a projected 60 per cent increase in demand for agri-

cultural products by 2050 and the growing tension between

a more populated and urbanized world and a more fragile

planet and unpredictable climate.

One thing that has not changed, however, is that the majority

of the world’s poor people still live in rural towns and settle-

ments. For most of them, family farming is a vital part of their

livelihoods. Hence, if poverty is to be reduced on a broad scale

and global food security is to be achieved, investments that

help family farmers improve their livelihoods are and will

remain critical. Investments are needed in key areas such as

rural infrastructure, on-farm irrigation and equipment, research

and extension systems, and risk mitigation mechanisms. Family

farmers also need favourable policies, supportive institutions,

Image: IFAD/Pablo Corral Vega

The Reconstruction and Rural Modernization Programme in El Salvador

contributed to the empowerment of women

eep

oots