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Investing in farmers – or agriculture human capital – is crucial to addressing challenges in our agrifood systems. A global study carried out by the FAO Investment Centre and the International Food Policy Research Institute (IFPRI), with support from the CGIAR Research Program on Policies, Institutions, and Markets (PIM) and the FAO Research and Extension Unit, looks at agriculture human capital investments, from recent trends to promising initiatives. This toolkit aims to provide investors including policymakers, government officials, international and national development banks and the private sector, with the evidence, analysis, guidance and processes to make sounder investment decisions on projects, programmes and policies that strengthen farmers’ capacities. This publication is part of the Investment Toolkits series under the FAO Investment Centre's Knowledge for Investment (K4I) programme.
Investing in farmers – or agriculture human capital – is crucial to addressing challenges in our agrifood systems. A global study carried out by the FAO Investment Centre and the International Food Policy Research Institute (IFPRI), with support from the CGIAR Research Program on Policies, Institutions, and Markets (PIM) and the FAO Research and Extension Unit, looks at agriculture human capital investments, from recent trends to promising initiatives. This toolkit aims to provide investors including policymakers, government officials, international and national development banks and the private sector, with the evidence, analysis, guidance and processes to make sounder investment decisions on projects, programmes and policies that strengthen farmers’ capacities. This publication is part of the Investment Toolkits series under the FAO Investment Centre's Knowledge for Investment (K4I) programme.
No matter what your plan is for your agribusiness, the key to your success lies in creating a strong foundation that will support your business into the future. Creating a profitable agricultural business not only builds wealth for you and your family. It also has the potential to build wealth for the surrounding community. If you’re ready to leave the corporate rat-race and take the leap into being your own boss, agribusiness is an excellent option. Of course, there is some work and risk involved in getting started, but the rewards can certainly outweigh the risks.
Examines a range of business models that can be used to structure agricultural investment in lower- and middle-income countries.
Abstract: Recent years have witnessed a renewed interest in private-sector investment in agriculture. Some have welcomed this trend as a bearer of new livelihood opportunities in lower and middle-income countries. Others have raised concerns about the possible social impacts, including loss of local rights to land, water and other natural resources; threats to local food security; and, more generally, the risk that large-scale investments may marginalise family farmers. The recent debates about 201Cland grabbing201D - whereby investors acquire large areas of land in lower- and middle-income countries - illustrate these trends and positions. There is great demand for insights on how to structure agricultural investments in ways that leave land and share value with local farmers and communities. And in many parts of the world, there is growing experience with models for structuring agricultural investments other than large-scale land acquisitions
Investment portfolios of small farmers reflect their difficulties in smoothing consumption in the face of high risks. Improving farmers' ability to smooth consumption - perhaps through public employment schemes or increased consumption credit - would increase the overall profitability of their investments and would decrease inequality of earnings in high- risk areas.