A new vision for agriculture
momagri, movement for a world agricultural organization, is a think tank chaired by Christian Pèes.
It brings together, managers from the agricultural world and important people from external perspectives,
such as health, development, strategy and defense. Its objective is to promote regulation
of agricultural markets by creating new evaluation tools, such as economic models and indicators,
and by drawing up proposals for an agricultural and international food policy.
A look at the news

Agriculture under pressure in the LDCs

June 10, 2013

While the FAO, the IFAD and the WFP recently called for hunger eradication by 2025, a number of voices still continue to be heard on food insecurity in the least developed countries amid rapidly changing geopolitical conditions. In late May, the Institute for Development Studies (IDS) and the non-governmental organization Oxfam published a report on the impact of rising price volatility in the LDCs1.

It seems it has unexpected and serious social implications for these vulnerable people––migration, alcoholism, violence and the end of any community life… Above all, price volatility might have hastened the downfall of farming, an activity perceived as unpredictable and unprofitable.

The report encourages policy makers to be more focused on the fight against food insecurity, all the more so since we are far from meeting the first objective of the 2000 Millennium Round, namely to halve the number of people suffering from extreme poverty and hunger between 1990 and 2015. Worse even, the situation has become more severe in a majority of poorest countries.

The report also recommends the implementation of social security policies, regulatory tools for agricultural trade––especially regarding grain––or even an increase in agricultural investment.

The gradual globalization and liberalization of international trade did not have the desired effects in terms of poverty reduction. The hyper-volatility of food prices leads to the formation of “under-development traps” affecting the development of LDCs, and particularly weakens farmers, who account for over 70 percent of these nations’ workforce.

Farmers in developing countries, as well as in industrialized nations, can also be confronted to a “scissors effect” situation, where producers’ prices are below their production costs, thus implying risks for their incomes and their investment capability. Consequently, price volatility does not only lead to price spikes, but can also take the form of significant price drops.

The facts speak for themselves; the harmful consequences of the instability specific to unregulated agricultural markets on global food security are well known. It is therefore urgent to implement global regulatory measures to stabilize prices at levels that provide adequate incomes to farmers.

1 http://www.ids.ac.uk/files/dmfile/rr-squeezed-food-price-volatility-year-one-230513-en.pdf
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Paris, 15 December 2018