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Moderated e-mail conference on small farms and food security

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Tue, 27 Mar 2018 12:00:41 +0000
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Hi everyone,



Here is the aggregated input we received on topic #6: "How can policies affect small farm activities and their resilience?”



Just as a reminder, the three questions were (and more input from you all is highly appreciated:

6.1.  What are the policies (international, national or local) in your region that affect the viability and development of small farms, and small farms’ decision making regarding the amount and type of food produced and their ambitions regarding market integration?

6.2.  Can you give specific examples of how these policies have affected small-farm decision-making?

6.3.  What are the most critical policies that are needed in your region to support small farm development and increase their role in food and nutrition security in the (regional) food system?



Q6.1/3- Question: “6.1:  What are the policies (international, national or local) in your region that affect the viability and development of small farms, and small farms’ decision making regarding the amount and type of food produced and their ambitions regarding market integration?"



1/ From: Diana Naikoba <[log in to unmask]> (Germany/Uganda)

In the recent past, in Uganda, there has been the explosion of what can be called the boda boda economy. Young men sell their land to purchase motorcycles. They then abandon rural areas to go to towns to (engage in a) "taxi" business.

In addition, there is a tendency of the semi-elite to look down on agriculture.

There is also a section of the population stuck on the old paradigm of “merchanising" agriculture as the only way to develop. I think for rural communities  to continue existing, there is need to educate the masses that the small farms are actually productive and have potential to bring about growth in a society. That way, the sector will not be totally ignored and people will take pride in their farms.



For the sake of making the rural household food secure, countries with many small farms like Uganda, much as it seems impossible, is the need to find ways of supporting small farms to a certain level. It may not be input support but can also be through encouraging formation of groups so that they receive training from extension officers to improve their capacities.

This is because many are semi or not literate. Training them on ways to deal with emerging issues such as how to deal with climate change impacts may make a difference in as far as making the farms resilient is concerned.



2/ From: Michael Nana Osei <[log in to unmask]> (Ghana)

In a country like Ghana where about 80% of total agricultural production

is attributed to the smallholder farmer, policies are developed to

enhance and ensure the sustainability and development of small farms.



The Food and Agricultural Sector Development Policy (FASDEP) is the

Ghana’s main agricultural development policy driving the sector in

Ghana. The phase 1 ie FASDEP I provided a framework for modernizing

agriculture sector making it a catalyst for rural transformation. It

however failed to target the farmers within the environment where

drivers of modernization (capital, infrastructure, etc) is limited and

hence the motive of modernizing the small farms were not achievable.



The FASDEP 2 was developed to address the loopholes and inefficiencies

in FASDEP I. It sought to enhance the environment of all categories of

farmers while targeting poor and risk prove and risk averse producers.



3/ From: Mayank Jain <[log in to unmask]> (India)

On the ongoing discussion about contract farming, replying to input from George (Tanzania) and Maria (Canada):



I have a clarification to make - while mentioning contract farming, I implied more towards corporate farming. I acknowledge, I forgot this aspect of contract farming while framing my question.

In this way, I agree to the aspect of contract farming which you are citing as it is much traditional way and I think this also takes into consideration the local know how of the area and hence I presume that the autonomy of farmer remains there in such contract farming. Would be happy to know the other views on this from the fellow participants.



But I was more interested on the dimension when a large firm own or influence farms and agricultural practices? AND I THINK CORPORATE FARMING IS DISGUISED INTO CONTRACT FARMING. Would love to hear views on this and any examples across geographies.



Agriculture can be a business or not a business: by work and rationale (particularly in case of small farmers), it has to be their source of living - hence it is not a choice of not being a business - until and unless you are rich brat doing things for leisure



- Agriculture can be a way of living: by way of living, I implied that still people engaged in agriculture are valued in traditions and it is something they do because that's the way they know how to live by (In India, and I think agriculture is fast moving from profession of hope to that of despair :( ..). So, when people get engaged in contract (corporate) farming, there autonomy is severed and local knowledge is compromised.



- I somewhat echo the thoughts Maria has and that's what I meant - the autonomy is under threat and there has to be compromise because economic viability is a pre-requisite.

Secondly, leasing of land is also taking place where the land owners end up being serving in their own land; that is more a transitional shift to corporate and commercial farming - what is your take on that?





______________________________________





Q6.2/4- Question: “6.2: Can you give specific examples of how these policies have affected small-farm decision-making?"



From: Langelihle Simela <[log in to unmask]> (Republic of South Africa)



​In South Africa, there are a number of policies to support SMMEs (Small and Medium sized Enterprises), which in agriculture would include smallholder farmers. Some are as follows:

​

- Broad-Based Black Economic Empowerment (B-BBEE), which promotes​ economic transformation in order to enable meaningful participation in the economy by Black (historically disadvantaged) people.

This measured against a scored card known as the Codes of Good Practice. The scorecard has 5 elements of empowerment, namely ownership, management control, skills development, enterprise and supplier development ​(ESD) ​ and socio-economic development ​ (SED). The latter 2 entail that an entity spend up to 3.5% of NPAT on economic development of entities (e.g. helping start up entities to become established businesses), enterprise development (facilitating growth of entities ), supplier development (development of entities in the supply chain) and procurement from such entities. These elements make up a large part of the scorecard. The entities that are development should be have a turnover of <R10 million (exempt micro enterprise,, EME ) or between R10 - R50 million (qualifying small enterprise, QSE) and should be at least 51% Black owned, and the owners should include women, youth, people with disability (reflected on scorecard for ownership). Big offtakers, such as supermarkets and food processors are leading in the implementation of ESD programmes to include smallholder farmers in their supply chain. There is effort from some input suppliers to include smallholder farmers in their distribution chain for agri inputs.



- Preferential Procurement Policy Framework Act & its regulations. Under this policy, one of commitments is that organs of state ​should  prioritize tenders, w ​ith at least 30% of the rand value of the contract sub-contracted  exempt micro-enterprises (EMEs ​)  and qualifying enterp ​ri ses (QSEs ​) that at at least 51% black owned.  Smallholder farmers can potentially be drawn in in state procurement for hospitals, prisons, army, etc.



- Cooperative Incentive Support - a 100% grant scheme for primary cooperatives.

​

There are numerous other programmes that one could include, run by the Department (Ministry) of Agriculture ,​ ​​Forestry & Fisheries, Department of Rural Development & Land Reform, Department of Small Business Development and Local Government (local and district municipalities) to address skills development, extension services, cooperative development, access to infrastructure and inputs and access to markets and development finance. The big challenge is coordination of all supports for meaningful impact. . ​



______________________________________



Q6.3/3- Question: “6.3: What are the most critical policies that are needed in your region to support small farm development and increase their role in food and nutrition security in the (regional) food system?"



From: Mayank Jain <[log in to unmask]> (India)



A scheme for Creation/Expansion of Food Processing and Preservation Capacities (CEFPPC) under the PRADHAN MANTRI KISAN SAMPADA YOJANA launched in May, 2017 by the Ministry of Food Processing Industries, Government of India, 400 Food Processing Units would be set up in the country for which financial assistance by MOFPI in the form of Grants-in-Aid upto Rs.5 Crore (~50 million) to eligible organizations such as Central and State PSUs/Joint Ventures/Farmer Producer Organizations(FPOs)/NGOs/Cooperatives/Self-Help-Group(SHG’s)/Public and Private companies/Corporate entity/ Proprietorship firms/Partnership Firms.



Putting in perspective, India processes less than 10% of it's actual produce as compared to Malaysia, Indonesia (which do about 70-80%); With launch of this policy, Ministry's focus Food processing as the bridge between the industry and farming.



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