How does agriculture eradicate poverty

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Four Ways Sustainable Agriculture Reduces Poverty

  1. Significant Increases in Food Production
    As a result of sustainable agriculture, increases have appeared as yield…
  2. Three-Step Process Leads to Self-Sufficiency
    A small, enclosed garden is the first of the three steps. With…
  3. Creates Community
    As each family experiences success with their farm, they pass their…

Agriculture Is Key to Poverty Alleviation

Moreover, agricultural growth is a catalyst for broad-based economic growth and development in most low-income countries: agriculture’s linkages to the nonfarm economy generate considerable employment, income, and growth in the rest of the economy.

Full
Answer

Does agriculture really reduce poverty?

Growth in agriculture remains more poverty reducing than growth elsewhere Growth in agriculture remains in general two to three times more effective at reducing poverty than an equivalent amount of growth generated in other sectors. This holds irrespective of the empirical method or the poverty metric used to estimate this.

How can we improve sustainable farming in poor countries?

Obviously much more is needed; international agreements must be altered and poor countries themselves must also focus more on increased social, economic and ecological sustainability in their farming.

What is necessary to eliminate food poverty and hunger?

Sufficient and suitable food supply is necessary for eliminating food poverty and hunger. The world needs to intensify efforts to transform agriculture. It is necessary to increase total farm productivity in developing countries where food is needed most.

How can we reduce poverty in developing countries?

In addition, for a measure of 1 percent GNI growth, agriculture contributed the most to poverty reduction. The policy that seemed to work the most was significantly increasing the protection of agriculture exports by reducing high taxes on exports and reducing overly inflated exchange rates.

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How does agriculture decrease poverty?

In addition, for a measure of 1 percent GNI growth, agriculture contributed the most to poverty reduction. The policy that seemed to work the most was significantly increasing the protection of agriculture exports by reducing high taxes on exports and reducing overly inflated exchange rates.


How does agricultural research help reduce hunger and poverty?

Agricultural research works even without other investments, but also makes other investments more attractive. Agricultural research offers a lower-cost approach to poverty reduction because it leverages farmers’ own labor and land and attracts additional private investment.


How can agriculture improve the economy?

A strong agricultural economy brings social progress by increasing productivity, employment and income. Agriculture is the main driver of development in most rural areas. Demand for staple foods, agricultural commodities and – increasingly – processed food is growing in developing countries.


How can agriculture be a solution to the country’s problem?

In order to feed people better, agriculture must strengthen its conservation goals by adding assortment to the food chain and by restoring the ecosystems. Agriculture sector can reduce hunger as it ensures the food security of developing countries. The drive toward food security has seems to be slowed in recent years.


How can we eradicate poverty and hunger?

Making Strides in Eradicating Poverty and HungerProvide governments zero-interest development financing, grants, and guarantees.Offer technical assistance and other advisory services to reduce poverty and malnutrition.Use safety nets and nutrition programs to cushion the impact of the food and financial crises.More items…


How does Agricultural Extension reduce poverty and increase food security amongst farmers?

Agricultural extension plays a role in improving farmers’ productivity and incomes, thereby reducing poverty and increasing food security. In the event that farmers are producing cash crops, increased productivity provides a pathway of earning income which can be utilised for food procurement (Conceicäo et al, 2016).


What is so special about agriculture in relation to development and poverty?

Increased productivity of agriculture raises farm incomes, increases food supply, reduces food prices, and provides greater employment opportunities in both rural and urban areas. Higher incomes can increase the consumer demand for goods and services produced by sectors other than agriculture.


What are the benefits of agriculture?

Agriculture and Food. Agriculture can help reduce poverty, raise incomes and improve food security for 80% of the world’s poor, who live in rural areas and work mainly in farming. The World Bank Group is a leading financier of agriculture.


Why agriculture is so important?

Agriculture plays a critical role in the entire life of a given economy. Agriculture is the backbone of the economic system of a given country. In addition to providing food and raw material, agriculture also provides employment opportunities to a very large percentage of the population.


What is the role of agriculture in the development of a country?

As a result of agricultural progress, there will be extension of market for industrial products. Increase in agricultural productivity leads to increase in the income of rural population which is turn leads to more demand for industrial products, thus development of industrial sector.


What is the importance of agriculture in the development of a nation?

It’s crucial to a country’s development. Economic development is tied to a country’s agriculture sector. When trade, national revenue, and employment are combined in a positive way, a country enjoys reduced poverty and boosted economic growth.


How effective is agriculture in reducing poverty?

Growth in agriculture remains in general two to three times more effective at reducing poverty than an equivalent amount of growth generated in other sectors. This holds irrespective of the empirical method or the poverty metric used to estimate this. It is consistent with the findings reported in the literature so far.


What is the effect of agriculture on poverty?

The poorest benefit most from agricultural growth. The effects on poverty reduction of agriculture are largest for the poorest in society and the advantage of agricultural over nonagricultural growth in reducing poverty ultimately disappears as countries become richer (see graph).


How does trade affect poverty?

Trade and transport services have poverty to growth elasticities closer to those of agriculture, and those for manufacturing, especially agro-processing, can at times even exceed them. Contrarily, the poverty-reducing effects of mining, finance, and business and government services are much more limited.


Why is agriculture important?

The view that a productive agriculture is critical for employment creation and poverty reduction is now widely shared within the development community. Yet, this has not always been the case. In the run up to the 2008 world food price crisis, many development practitioners, government officials and economists doubted whether agriculture could still play this role, especially in Africa. Agro-pessimism had set in during the 1990s and 2000s, with a decline in policy attention and agricultural investment. The food price spikes of 2008 brought a realization that more needed to be done to strengthen agriculture in developing countries.


How does productivity growth affect the poor?

Productivity growth in trade and transport services can have both direct linkages to the poor, but also indirect ones, for example, by reducing the transaction costs for the marketed products. This is particularly beneficial in sectors with higher margins, such as agriculture and food.


Is agriculture a comparative advantage?

The comparative advantage of agriculture is not limited to landlocked countries. The degree of tradability of the food (and nonfood) that experiences the increase in productivity is an important consideration in determining the reduction of poverty from growth in that sector.


What is the key to reducing poverty?

Miguel Adolfo Gonzalez, Nicaragua- 6 -. AGRICULTURE IS THE KEY TO REDUCING POVERTY. Agriculture has a key role to play in food security throughout the world and lifting people out of poverty, but at the same time there are a number of challenges to be faced.


How does agriculture help people?

Agriculture offers a number of possibilities for lifting people out of poverty and hunger, which have been described above . However, there are also a number of challenges to be faced.


Why is it important to involve women in agriculture?

Despite this, women often have limited influence over decisions relating to agriculture. Therefore it is crucial to involve women in decisions relating to development and preservation of agriculture, sustainable use and equitable distribution of the natural resources from biological diver- sity. The position of poor women needs to be strengthe- ned and their knowledge, skills and experience utilised21. THE FARMERS NEED TO ORGANISE THEMSELVES The leaders of the African Union promised back in 2003 to focus more on agriculture, in the so-called Maputo Declaration. Only a handful of African countries have so far lived up to the promises made in the declaration. Politicians rarely prioritise small-scale agriculture, which is an obstacle to long-term sustainable solutions to the struc- tural problems in agriculture. Smallholders in rural areas in developing countries are also often poorly organised and marginalised. This limits their political influence and they often have little scope to demand political responsibility for the lack of investment. If the farmers were to come together in cooperatives and other types of member organisations, however, they could be stronger financially. This could make it easier to pay for investments, and give the farmers access to new markets and a stronger bargaining position in relation to large grocery chains and other buyers. Organisation also opens up opportunities for learning, training and dialogue. Poor profitability and hard manual labour mean that agri- culture today attracts ever fewer young people in low and middle-income countries. Strong farmers’ organisations and the possibilities they can offer in the form of influ- ence, access to financial services, knowledge, new income potential and social connections can help to raise the sta- tus of agriculture. SMALL INVESTMENTS CAN MAKE A BIG DIFFERENCE One way to improve the economic conditions for small- scale agriculture and rural areas would be to develop activities, including processing of foodstuffs, something that was highlighted in a report from the UN’s former Special Rapporteur on the right to food, Olivier de Schut- ter.22One strategy to accomplish this is to focus on local investments within storage, processing, packaging and sales of the products. Simple things such as a drying plant or facilities for packing fruit and vegetables in a commercially marketable way can give smallholders new income, which yields profitability for their activities. However, small-scale farmers mostly lack access to the necessary technology, capital and financial servi- ces. Many live in remote and poor areas where lack of infrastructure and long distances to markets hamper sales and set-up of food processing activities. FAO states that farmers who have small margins often prefer to save any profits as insurance to be used in the event of a crisis rather than invest the money.23


How can Sweden make a difference in agriculture?

Here in Sweden we can make a difference, through development cooperation and by pursuing a policy for more efficient and sustainable agriculture with a diversity of crops and production methods. This type of agriculture not only produces food but also gives the farmers so much more – cleaner water, natural fer- tilisation of the soil, resistance to pests and a more balanced and varied diet. It creates work and gives families the means to provide for themselves. Some essential points for Swedish development coopera- tion are:


How many small family farms are there in poor countries?

There are several million small family farms in poor countries with just a few hectares each for growing crops and providing for them- selves. Support for this type of agriculture reaches many of the world’s very poorest people. • Focusing on agriculture that is sustainable and builds strong communities.


What are the services that an ecosystem provides?

Ecosystem services are the natural resources that ecosystems provide, e.g. air and water purification, pollination of crops, natural pest control and binding of carbon. In addition to the environmental aspects, sustainable development also includes a social and an economic dimension.


Why is land an investment?

Someti- mes the purpose is to pursue sustainable forestry or agricultural activities on the territory. In such instances foreign capital can help to develop agriculture in a posi- tive direction for the local population. In other cases the purchase may be solely a way to manage capital or gene- rate short-term returns. The worst forms of such purchases are often called land grabbing, which aims to take control of the land away from the local population and no long- term sustainable investment in agriculture takes place.25 Companies in financially-strong countries are particularly likely to be involved in leasing or buying up land.26One effect of the foreign purchases is the risk of land prices rising, which can make it more difficult for small-scale far- mers to develop their agricultural activities.


How effective is agriculture in reducing poverty?

Growth in agriculture remains in general two to three times more effective at reducing poverty than an equivalent amount of growth generated in other sectors. This holds irrespective of the empirical method or the poverty metric used to estimate this. It is consistent with the findings reported in the literature so far.


How does agriculture affect poverty?

The effects on poverty reduction of agriculture are largest for the poorest in society and the advantage of agricultural over nonagricultural growth in reducing poverty ultimately disappears as countries become richer (see graph). Furthermore, the lower the literacy rates, the stronger the progressivity in the poverty-reducing effect …


Why is agriculture important?

The view that a productive agriculture is critical for employment creation and poverty reduction is now widely shared within the development community. Yet, this has not always been the case. In the runup to the 2008 world food price crisis, many development practitioners, government officials, and economists doubted whether agriculture could still play this role, especially in Africa. Agro-pessimism had set in during the 1990s and 2000s, with a decline in policy attention and agricultural investment. The food price spikes of 2008 brought a realization that more needed to be done to strengthen agriculture in developing countries.


How does productivity growth affect the poor?

Productivity growth in trade and transport services can have both direct linkages to the poor, but also indirect ones, for example, by reducing the transaction costs for the marketed products. This is particularly beneficial in sectors with higher margins, such as agriculture and food.


Is the food price crisis still high?

Today, world food prices are still 70 percent higher than before the food price crisis (or 40-50 percent in real terms) and the trade and policy environment is much more favorable to agriculture. But African incomes have also grown, poverty has come down and countries are more urbanized. So, what then is the role of agriculture for poverty reduction today and is the favorable inclination towards agriculture of the past years also backed up by the more recent evidence?


Is agriculture a comparative advantage?

The comparative advantage of agriculture is not limited to landlocked countries. The degree of tradability of the food (and nonfood) that experiences the increase in productivity is an important consideration in determining the reduction of poverty from growth in that sector.


How can agriculture be improved in developing countries?

Of the total global arable land, 60% is located in Africa which could be taken advantage-off by increasing the local capacity of small scale farmers and designing sustainable policies that promote climate resilient sustainable agriculture. Effective policies that foster small scale farming are crucial to increasing agricultural output, eradicating hunger and the multifaceted problems that come with poverty. Leaders of developing countries especially those in sub-Saharan Africa should design climate resilient agricultural policies and follow a bottom up development approaches that empower small-scale farmers. Leaders of these developing countries should also be cognizant of predatory investors who are swarming their countries for arable land either to export-back products to their home countries or produce crops for bio-fuel in the name of green technology. Promoting commercialization of agriculture and deals with corrupt and cash-strapped dictators only favors the elites and the already rich. Due to the prevalence of corruption and bad governance, the benefit from the investment is less likely to reach the majority poor. In order to modernize the agriculture, ensure food security and improve the livelihood of the of people who depend on agriculture, government should work around the small scale farmers. Governments in developing countries should invest in small scale farmers and work with civil society and multilateral organization in the sector. Providing training, micro-financing, investment in value chain, empowering women and construction of infrastructures (roads,dams and irrigation canals) if coupled with sound environmental policy, can lead to a sustainable development and economic growth. International financial institutions and donor governments such as the World Bank, IMF, FAO, EU, China and India should recognize the importance of investing in small scale farmers and refrain from financing commercial farmers engaged in food-for-export and bio-fuel trading at the cost of locals.


Why should government work around small scale farmers?

Due to the prevalence of corruption and bad governance, the benefit from the investment is less likely to reach the majority poor. In order to modernize the agriculture, ensure food security and improve the livelihood of the of people who depend on agriculture , government should work around the small scale farmers.


What is CRSA in agriculture?

Studies by (Chung & Billingsley, 2013) show that climate resilient sustainable agriculture (CRSA) is the way to go to bring about food security, agricultural development, eradicate poverty and succeed in environmental mitigation and adaptation. According to the , (Chung & Billingsley, 2013) unlike large scale commercial farming, …


Why is agriculture important?

While this article is not about history of agriculture and industrialization, it discusses about the importance promoting climate resilient sustainable agriculture centered around small scale farmers (Chung & Billingsley,2013). The experiences of the United States, European Union and developed Asian countries on their transition from small scale farming to commercial agriculture and eventually to manufacturing and service industry is a basis for suggestions and recommendations given. Africa as a continent though not as populous as Asian countries such as China and India, it will be the center of this discussion as majority of its population depend on traditional and rain-fed small scale farming earning less than $2/day. Of the global 7.1 billion population, 852 million hungry people live in developing countries (FAO, 2012). Thus, investing in small scale agriculture and centering development policies around this important sector addresses hunger, and it also helps reduce the countless problems associated with poverty such as malnutrition, unemployment, conflicts and diseases such as HIV/AIDS, tuberculosis, malaria, polio and etc. Moreover, economically well-off communities can afford to pay for services, goods and provide their families without aid in a sustainable way.


What countries were forced to clear their homes and lands violently?

In American countries such as Guatemala and Colombia, native Indians were forced of their homes and lands violently to clear away for crop production and plantation by local elites and foreign companies who export the products to the U.S. and Europe.


Which countries should invest in small scale farmers?

International financial institutions and donor governments such as the World Bank, IMF, FAO, EU, China and India should recognize the importance of investing in small scale farmers and refrain from financing commercial farmers engaged in food-for-export and bio-fuel trading at the cost of locals.


Is commercial farming sustainable?

Commercial Agriculture is not Sustainable Solution to Hunger and Poverty. There is a huge misconception on how to go about agricultural development and food security in developing countries. For some, commercial farming is the way to increase agricultural output and income. This is a myth and not cognizant of the real situation on …


How does agriculture help in poverty?

According to an OECD report, one can attribute 52 percent of poverty reduction to growth in agriculture incomes. In addition, for a measure of 1 percent GNI growth, agriculture contributed the most to poverty reduction. The policy that seemed to work the most was significantly increasing the protection of agriculture exports by reducing high taxes on exports and reducing overly inflated exchange rates. The greatest advantage of improving agriculture is that the poorest of society benefits the most. The lower the literacy rates, the stronger the poverty-reducing effect.


How much of poverty reduction is due to agriculture?

According to an OECD report, one can attribute 52 percent of poverty reduction to growth in agriculture incomes. In addition, for a measure of 1 percent GNI growth, agriculture contributed the most to poverty reduction. The policy that seemed to work the most was significantly increasing the protection of agriculture exports by reducing high taxes …


How did Vietnam lift people out of poverty?

It lifted its people out of extreme poverty by focusing on improvements in its agriculture sector. The poverty rate was northward of 60 percent in 1990 and fell to just 20.7 percent in 2010. Vietnam lifted an estimated 30 million people out of poverty in total. During that time, the government incentivized farmers to invest in their land.


What are the benefits of improving agriculture?

The greatest advantage of improving agriculture is that the poorest of society benefits the most. The lower the literacy rates, the stronger the poverty-reducing effect.


Why did the poverty rate decrease in 2012?

One of the reasons might be a recent trend where small farmers experience eviction from their land in favor of large companies. These companies then use the land for palm oil and rubber.


What was Vietnam’s economy like in the 1980s?

Multilateral trade agreements formed, and the country moved from a closed economy to one open to trade. In the 1980s, Vietnam had food shortages, and today it is a major exporter of rice to world markets.


Which developing country did not focus on developing their agriculture sectors?

Indonesia . Some developing countries did not focus on developing their agriculture sectors. In addition to this, those countries experienced the opposite trend. In contrast to Vietnam, Indonesia slowed in poverty reduction last decade. Overall growth in this sector has been weak with researchers making little progress.


How does agriculture help in poverty?

Agricultural development can stimulate economic development outside of the agricultural sector, and lead to higher job and growth creation . Increased productivity of agriculture raises farm incomes, increases food supply, reduces food prices, and provides greater employment opportunities in both rural and urban areas. Higher incomes can increase the consumer demand for goods and services produced by sectors other than agriculture. Such linkages (or the ‘multiplier effect’) between growth in the agricultural sector and the wider economy has enabled developing countries to diversify to other sectors where growth is higher and wages are better.


What happens to the non-farm sector as agricultural productivity increases?

As agricultural productivity increases, the non-farm sector develops and countries are less dependent on agriculture for their economy (although this may not occur in all areas of the country, where the non-farm sector is not as well developed).


How does agriculture increase productivity?

Increased productivity of agriculture raises farm incomes, increases food supply, reduces food prices, and provides greater employment opportunities in both rural and urban areas. Higher incomes can increase the consumer demand for goods and services produced by sectors other than agriculture.


What is the pattern of the agricultural sector in economic growth and transition?

2.2.1 The agricultural sector in economic growth and transition. The general pattern for least developed countries who diversify and reduce poverty is: Early stage: agriculture is a large share of gross domestic product (GDP) and food is a high percentage of the poor’s expenditure.


Why should land productivity rise?

Initially land and labour productivity must rise to reduce poverty, but land productivity should rise faster… to create additional employment on farms which benefits the poor and leads to demand for non-farms goods and services.


Why is it important to increase labor productivity?

At this stage, it is important to increase labour productivity to maintain food supply and prices.

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