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Smallholder farmers in developing countries face substantial constraints that limit their ability to reach their production potential. Two constraints—risk exposure and limited access to liquidity—pose particular challenges. Smallholders face a wide variety of risks that constrain both the choices they can make and their willingness to make investments. Limited availability of affordable credit, borrowing and saving products poorly aligned with the needs of the agriculture sector, and prohibitive borrowing eligibility requirements all impede farmers’ access to the liquidity necessary for investing in new, more profitable crops and technologies (International Finance Corporation, 2014). Observers have noted that a large share of long-term credit needs is not being met in Southeast Asia, despite its location near some of the world’s largest consumer markets (Shakhovskoy & Wendle, 2013). While existing financial services may be suitable for some farmers, access to finance is particularly inadequate among women, low-income groups, and ethnic minorities, and risk excluding the most vulnerable groups from these emerging economic opportunities.
This report describes the present state of agricultural value chain finance in Indonesia and suggests policies that could help expand its availability where formal financial services have been unable to meet value chain actors’ needs. We first consider the features of a policy environment needed for agricultural value chain finance to flourish. Key points related to the policy environment are: Allow interest rates for loans from the formal sector to be priced by the market; Support secure, inclusive payment systems and transaction frameworks; Develop a legal framework that supports both the use of movable collateral in loans and a warehouse receipts system; Develop a legal and/or regulatory framework that supports contract farming among smallholders; And allow for a more open, technology-driven financial architecture that facilitates market entry among nontraditional financial service providers.
This is an open access book. As a leading role in the global megatrend of scientific innovation, China has been creating a more and more open environment for scientific innovation, increasing the depth and breadth of academic cooperation, and building a community of innovation that benefits all. These endeavors have made new contribution to globalization and creating a community of shared future. To adapt to this changing world and China's fast development in this new era, 2023 2nd International Conference on Urban Planning and Regional Economy (UPRE 2023) is to be held on April 21-23, 2023 in Beijing, China. Urban planning can change the functional structure of a city. Urban planning plays ...
International food aid has rightly been credited with saving millions of lives and is often the only thing that stands between vulnerable people and death. However, it was a serious obstacle in the Doha Round of multilateral trade negotiations and has been sharply criticised as a donor-driven response that creates dependency on the part of recipients and undermines local agricultural producers and traders upon whom sustainable food security depends. This issue of the 'State of Food and Agriculture' report examines the issues and controversies surrounding international food aid, particularly in crisis situations. It considers the ways in which food aid can support sustainable improvements in food security, in order to preserve its essential humanitarian role whilst minimising the possibility of harmful secondary impacts.
Papers presented at the 2nd International Rice Congress organised by Indian Council of Agricultural Research and International Rice Research Institute at New Delhi during 9-13 October 2006.
Between 2013 and 2015, the Food and Agriculture Organization of the United Nations (FAO) and the French National Institute for Agricultural Research (INRA) undertook a survey of innovative approaches that enable markets to act as incentives in the transition towards sustainable agriculture in developing countries. Through a competitive selection process, 15 cases from around the world provide insights into how small-scale initiatives that use sustainable production practices are supported by market demand, and create innovations in the institutions that govern sustainable practices and market exchanges. These cases respond to both local and distant consumers’ concerns about the quality of ...