A COMPREHENSIVE COOPERATIVE APPROACH TO FOOD AND NUTRITION

SECURITY

NELSON GODFRIED AGYEMANGVICE-PRESIDENT,

PROGRAM DEVELOPMENT,FUNDING AND EXTERNAL RELATIONS

E-mail: farmersallianceghana@yahoo.com

GHANA COOPERATIVE AGRICULTURAL PRODUCERS AND MARKETING ASSOCIATION-AGRIC COOP

Global food and nutrition insecurity and crisis

• 925 million hungry people everyday

• one third of all food produced—an astonishing 1.3 billion tonnes, worth around US$1 trillion—is wasted or lost each year

• 1.4 billion people live on less than $1.25/day, 1 billion of whom live in rural areas

• Poor People spend 50-80% of income on food

The global food and nutrition insecurity and crisis

Declining public investment in developing country agriculture

‘In 1979, official development assistance (ODA) aid to agriculture was 18 per cent of total ODA. By 2009, it was just 6 per cent. In developing countries, government investment in agriculture also fell in this period, by one third in Africa and by as much as two thirds in Asia and Latin America.’-IFAD,2012

The global food and nutrition insecurity and crisis

• During 2006-2008 global food crisis:

• 100 million poor rural and urban people were pushed into the ranks of the world’s hungry

• Food price hikes at 2010 levels or higher are likely to remain for next decade

The global food and nutrition insecurity and crisis

• Global food price spikes since 2006 part of:

• Long-term trend of higher and more volatile food prices, driven by an imbalance between food demand and supply

• Exacerbated by more erratic and extreme weather

• Poorly functioning agricultural markets

• Strengthening of the link between food and energy prices

Current and Future Global Food demand

• 9.1 Billion population by 2050:

• Global food production at 70%. Food production to double, by 2050 in developing countries:

• Extra challenge for food security

• More demand for food, water and land

Current and Future Global Food demand

• Natural resource base for agriculture is being degraded

• Large areas of farmland are being diverted from food crop production

• Climate change threatens to further reduce agriculturally viable land

• 40% world’s arable land degraded and to be exacerbated by climate change

Comprehensive food and nutrition security perspectives and dimensions

“when all people, at all times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life.”

IFAD, World Food Summit-Rome, 1996

Comprehensive food and nutrition security perspectives and dimensions

According to FAO:

‘ The widely accepted World Food Summit (1996)definition reinforces the multidimensional

nature of food security and includes food access,availability, food use and stability.’

-FAO Policy brief, Issue 2-Food Security,2006

Food Security is Multi-dimentional:

Food Availability

Food Accessibility

Food Utilization

Food Stability

Food Availability

which is a function of:

production, a function of inputs- land and water, favourable climate, labour, capital, tools-equipment, fertilizers etc

supply, a function of effective distribution based on appropriate infrastructure of a working value/supply chain

INCREASED AVAILABILITY OF FOOD DUE TO AGRICULTURAL LABOUR PRODUCTIVITY:

1. Increased agricultural labour productivity due to a healthier, more skilled and equipped, informed and organized rural workforce

2. Supporting small-scale agriculture and Producer Organizations (POs)

3. Improving working conditions and avoiding exploitative arrangements

4. Stimulating employment-enhancing private investments in rural areas

5. Supporting disadvantaged producers’ groups (women, youth and others) to access assets, credit, markets and business skills

Food Accessibility

largely determined by:

• purchasing power-AFFORDABILITY

• market integration

• physical access to markets

• access to other assets like Natural resources- land and water

• formal safety nets, such as social protection measures

• informal coping strategies

Food Utilization

relies on:

• Sufficient energy consumption and a varied diet to provide required micronutrients

• Dimension of Nutrition security which needs expounding

• Nutritious foods availability and accessibility

Nutritious foods utilization is enhanced through:

• variety of foods at community and household levels

• introduction of new crops

• promotion of underexploited traditional food crops

• home gardens

• Nutrition knowledge, a vital missing link in the ingredients to good nutrition

NUTRITION KNOWLEDGE

Sufficient energy and nutrient intake by individuals is the result of:

• good care and feeding practices

• food preparation

• diversity of the diet and intra-household distribution of food

• This knowledge must be available to all members of households and community

NUTRITION SECURITY, LIKE FOOD SECURITY, IS A CONTINUUM:

Individual-Family-Community-National-Global

This Notion must not be lost on us

They are a vital part of:

Complete and Comprehensive Food/Nutrition security approach

Food Stability- Stability in food availability, access and utilization through time

• the need of a population, household or individual to have access to adequate food at all times.

• This means they must not risk losing their access to food as a consequence of sudden shocks (economic or climatic crises) or cyclical events (seasonal food shortages)

• Considering food stability shifts attention to risk and vulnerability and to finding ways to make households and food systems more resilient in contexts of uncertainty.

IMPROVED STABILITY

• Increased investment in human capital due to stable incomes

• Improved sustainability of production systems

• Increased empowerment

• Increased resilience to risks and shocks

Risks and Shocks to Food and Nutrition SecurityThey relate to:

• ill health

• climate variability

• Markets

• the costs of important social ceremonies • poor governance

• state fragility

Reducing and Managing Risks and Shocks to Food and Nutrition Security

5 Complementary approaches

1. Diversification of Livelihood and Income sources

2. Accumulation of Assets

3. Appropriate mix of flexible and diversified Financing mechanisms and instruments

4. Special and Social Protection measures

5. Strengthening Knowledge, Skills and Capacity

Diversification of Livelihood and Income sources

‘Diversification through participation in the rural non-farm economy is an increasingly important element of the risk management strategies of rural households.’-FAO,2012

‘Rural households typically manage risk throughdiversification: smallholders may use highly diversified

cropping or mixed farmingsystems. And many households use non-farm activities

to complement and reduce therisks attached to farming – or vice versa’-FAO, 2012

Multiple and diversified Income Types

• On-farm income-single or multiple farm

• non-farm income

• off-season income

• value chain related income

• Strategic income

• Spark plugs and catalytic incomes.•

Asset Accumulation

• Money

• Land

• Livestock

• other assets-vehicular and landed property

Other risks management includes

• Flexible financing Instruments • Social Protection • Strengthening Skills, Knowledge and Capacity

for Managing and preventing risks and shocks

THE 5TH DIMENSION-SUSTAINABLE FOOD AND NUTRITION SECURITY:

• All the elements related to sustainable agricultural intensification

• consideration of ecosystems in our food and nutrition security efforts

• the avoidance of food waste and losses as a result of irresponsible consumption and post-harvest losses

• all that relates to sustainability in our agricultural, food and nutrition security efforts

• implications for the post-MDGs-Sustainable development Goals-SDGs

5th Dimension: Sustainability

‘Sustainable agricultural intensification can be the answer to enhanced food security, environmental protection and poverty reduction.’-IFAD,2013

‘The productivity of smallholder agriculture and its contribution to the economy, food security and poverty reduction depend on the services provided by well-functioning ecosystems, including soil fertility, freshwater delivery, pollination and pest control’-IFAD,2013

Small holder family farms and cooperatives in comprehensive food and nutrition security

• 500 million small farms in the world supporting 2.5 billion people

• Smallholders/family farms are main investors in agriculture in most of the developing world

• Smallholders produce the bulk of food in developing countries

• They produce 70 per cent of Africa’s food supply

• They produce 80 per cent of the food consumed in Asia and sub-Saharan Africa together

‘Viet Nam went from being a food-deficit country to the second largest rice exporter in the world, largely by developing its smallholder farming sector. In 2008, the poverty rate fell below 15 per cent from 58 per cent in 1993.’-IFAD,2012

• But the hardships and impediments in the way of small holders, push them out of production, seriously threatening food self-sufficiency and food sovereignty

Small Holder Family Farmers are Woefully and Predominantly Food and Nutrition insecure

smallholder farmers comprise the majority of the world’s undernourished population and most of those living in absolute poverty

The great Potential of Smallholder farms for food and Nutrition security has to be tapped

‘Smallholder farming can potentially impact human nutrition by providing a variety of foods in sufficient quantities to enable all household members to eat a nutritionally adequate diet.’-IFAD, 2013

• Smallholdings can address one specific aspect of well-being very effectively: nutrition

smallholder farmers are characterized by marginalization in terms of:

• accessibility

• resources

• information

• technology

• capital

• assets

• relative powerlessness

Small holder family farms and cooperatives need to be at the centre of efforts and investments at addressing food and nutrition security

• more secure access to land and water

• access to financial services to pay for seed, tools and fertilizer

• access to better functioning markets as incentives to invest in improving production, with less risk

• roads and transportation to get their products to market

• access to technology for up-to-date and reliable market information

• stronger organizations-Cooperatives

Special Contribution of Cooperative Business model recognized

‘Agriculture – farming, forestry, fisheries and livestock – is the main source of employment and income in rural areas, where most of the world’s poor and hungry people live. Agricultural cooperatives play an important role in supporting small agricultural producers and marginalized groups such as young people and women. They empower their members economically and socially and create sustainable rural employment through business models that are resilient to economic and environmental shocks.’ ---Rome-based food Organizations,2012, for IYC

Special Contribution of Cooperative business model recognized

‘Cooperatives offer small agricultural producers opportunities and a wide range of services, including improved access to markets, natural resources, information, communications, technologies, credit, training and warehouses. They also facilitate smallholder producers’ participation in decision-making at all levels, support them in securing land-use rights, and negotiate better terms for engagement in contract farming and lower prices for agricultural inputs such as seeds, fertilizer and equipment.’---Rome-based food Organizations,2012, for IYC

Special Contribution of Cooperative Business model recognized

‘Through this support, smallholder producers can secure their livelihoods and play a greater role in meeting the growing demand for food on local, national and international markets, thus contributing to poverty alleviation, food security and the eradication of hunger.’---Rome-based food Organizations,2012, for IYC

Developing Countries’ and Africa’s Special contexts in Food and Nutrition security

• South Asia-greatest number of poor rural people

• Sub-Sahara Africa-highest incidence of rural poverty

• Both regions-worst affected by poverty and hunger

• Africa has the largest share of the world’s uncultivated land with rain-fed crop potential

Africa and Developing Countries need

• personal initiative, enterprise, education, good health

• Good Leadership and ownership of physical assets

• deliberate targeting of special measures for gender, ethnic and age related access to power, opportunities, capacity and resources

• local accessibility of resources and markets,

• Good Infrastructure, strong institutions and effective systems

Challenges of Traditional Markets making Smallholder produce unprofitable

• sellers of produce,• buyers of food• both. • Market participation uncertain• risky • unfavourable terms• grow their own food • market-oriented crops in the absence of reliable

produce markets.

Small holder family farms and Cooperatives in Food value chain

• Modern Market Characteristics and Comprehensive Value Chains

• Transformations in scale and nature of demand

• emergence of supermarkets, modern value chains and high value food stuffs

• organized, coordinated and higher standards

Placing Smallholder family farming enterprises in the middle of profitable value chains

• Small farms as professional rural enterprises

• Capacity to Organize into Cooperative enterprises linking horizontally in clusters

• economies of scale, bargaining power and higher prices

• Vertically linking into upper levels of the chain- input supply-production-processing-wholesaling

Placing Smallholder family farming enterprises in the middle of profitable value chains

• higher profits as one moves up the chain

• Moving up the value chain may simply mean selling directly to processors rather than wholesalers

• or processing on the farm and selling the finished product

• Contractual arrangements for managing power relations in the chain

• services for upgrading for active and profitable participation of smallholders in the chain

Implications for a way forward and Final Thoughts

• Take Comprehensive and sustainable food and Nutrition security perspective and Approach

• Support Smallholder family farm and rural enterprise development

• Support the Contribution of Women, Youth and other vulnerable groups

• Support the development of Cooperative enterprises in markets and value chains

Implications for a way forward and Final Thoughts

• Diversify rural livelihoods, income sources and develop rural infrastructure

• Build capacity and resilience for managing risks and shocks to food and nutrition insecurity

• Coordinate all stakeholder efforts at all levels

• Prioritize Developing Countries and sub-sahara Africa by Taking action Now!