World Bank Voices
Syndicate content

farmers

Three misconceptions about women in agribusiness that hold companies back

Nathalie Hoffmann's picture
Also available in: العربية | Español

Debunking common misconceptions about women in agribusiness can unlock business opportunities for the private sector

At the recent World Economic Forum meeting in Davos, global leaders from across the world came together to deliberate on some of the most pressing issues of our time, such as agriculture and food security and greater social inclusion. With the global population projected to rise more than 9 billion by 2050 and the demand for food expected to jump sharply, the need for addressing the challenges of food security assumes greater urgency than before. There is also a growing need to adopt stronger measures to reduce the gender gap—women shouldn’t have to wait 170 years to bridge the divide.

Ahead of the Davos meeting, IFC released a report on agribusiness, Investing in Women along Agribusiness Value Chains, highlighting how companies can increase productivity and efficiency in the agriculture sector by closing economic and social gaps between women and men throughout the value chain, from farm to retail and beyond. The solution to address two of the most pressing challenges—food security and gender parity—isn’t difficult to find, as my research for the report suggests.

Women comprise over 40 percent of the agricultural labor force worldwide and play a major role in agriculture; yet they face a variety of constraints, such as limited access to agricultural inputs, technologies, finance, and networks. As the report shows, an increasing number of companies now recognize that investing in women can help increase companies’ bottom lines—while helping improve the lives of people in rural areas.

Yet, despite the clear business rationale, one wonders why more companies aren’t replicating the efforts of successful companies. The answer probably lies in the prevailing misconceptions about women in agribusiness—despite promising business case testimonials for gender-smart investments from multinational companies such as Mondelēz International and Primark.

Agribusiness companies need support in identifying where and how they can close gender gaps in their value chain. A good start would be to debunk those common misconceptions about women in the sector:

Will cheap oil lead to cheap food?

Juergen Voegele's picture
Also available in: 中文

The halving of world oil prices over the last six months raises questions about the implications for food prices and the welfare of poor people.
 
Do lower oil prices mean lower food prices? To a certain extent. But for low-energy cropping systems common in most developing countries, and in areas where food is not transported far, the impact will be dampened. For large oil exporters, however, food prices may increase. In general, lower oil prices should lower the cost of moving food from producers to consumers and reduce on-farm fuel and fertilizer costs. But a countervailing factor is that cheap oil may also induce people to drive more, and as fuel ethanol mandates link biofuel use to overall fuel use, ethanol use and the volume of maize used to produce it would also go up. In countries where oil is a large share of exports, real exchange rates may depreciate, which will disproportionately increase the price of traded goods like grains relative to other prices.
 
Is the downturn in agriculture commodity prices necessarily bad for farmers who produce food? A major downturn in commodity prices would not be great for farm incomes, and high crop yields would be needed to help dampen the effect on farm profits.  Lower fertilizer and transport costs may help mitigate any negative impacts.
 
How long will oil prices remain low? While there is no certainty in forecasts, current estimates suggest fuel prices will remain low for 2015, increasingly slightly in 2016. There are three main drivers of the oil price decline which are structural: Significant increases in US shale oil production, receding concerns of oil supply disruptions in the Middle East, and a change in OPEC policy to maintain rather than cut production.

To Feed the Future, Let’s End Hunger by 2030

David Beckmann's picture

 The world has made impressive progress against hunger in the past few decades – mostly due to the hard work of poor people themselves. They are the most important stakeholders:  Who could be more invested in the struggle against hunger than a young woman with a hectare of land to farm and two children to feed? 
 
The State of Food Insecurity in the World (SOFI) 2014 tells us that the hunger target of the Millennium Development Goals (MDGs)—cutting in half the proportion of undernourished people—is within reach. Even better, the evidence shows that the world is making progress rapidly enough to end hunger by 2030. Setting and achieving a goal to end hunger and malnutrition in the post-MDG, post-2015 era can bring an end to widespread chronic hunger, which affects more than 800 million people today. 
 
Ending hunger is important for the present and the future. It is far better to prevent a crisis than to respond after it has occurred.
 
Ironically, people living with hunger are, by and large, the very same people the world needs to feed a growing population. Smallholder farmers often face structural barriers to food security—for example, they lack access to basic infrastructure, such as roads to get crops to the market, storage facilities, electricity, and irrigation. They lack access to credit and land. Helping them increase their incomes and build assets, strengthening safety nets, and focusing on health and education outcomes will help build their resilience to shocks that are beyond their control, such as climate change-related weather events.