Agricultural Development

Several constraints limit the ability of smallholder farmers in low and middle income countries (LMICs) to reach their production potential. One such constraint is access to formal finance; smallholders and other agricultural value chain participants frequently cannot access credit necessary to invest in new crops or technologies and deal with risks and shocks and/or savings products necessary to safely carry wealth from harvest to planting.

In 2018, African swine fever (ASF), a deadly hemorrhagic disease found in pigs, was reported for the first time in China. By mid-2019, the disease had infected hundreds of millions of pigs—anywhere from 30 to 70 percent of the country’s swine population. Millions of pigs were culled in an effort to slow the spread of the disease, resulting in a drastic reduction in the volume of Chinese pork produced.

The FAO Food Price Index rose 3 percent in October to reach its highest level since July 2011. The October Index stood 31.3 percent higher than its October 2020 levels. Last month’s increase was driven primarily by cereal (particularly wheat) and vegetable oil prices.

Alarming levels of hunger and food insecurity are on the rise across the globe. According to the September 2021 mid-year update to the 2021 Global Report on Food Crises (GRFC), an estimated 161 million people in 42 countries/territories have faced Crisis-level (IPC/CH Phase 3) food insecurity or higher. This number is up from the estimated 155 million acutely food-insecure people reported by the GRFC for 2020.

Increasing urbanization plays a major role in shifting patterns of food supply and demand and thus in transforming food systems. These transformations carry significant implications for the livelihoods of rural populations, presenting both challenges and opportunities. A new paper published in Food Security examines some of these impacts in Africa south of the Sahara (SSA) and South Asia, as well as the enabling environments needed to help rural communities benefit from the changes.