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Discussion details

Created 10 August 2011

http://www.fao.org/fileadmin/user_upload/hlpe/hlpe_documents/HLPE-Land-tenure-and-international-investments-in-agriculture-2011.pdf

The following document can be downloaded from the FAO website:

"Land tenure and international investments in agriculture" by the High Level Panel of Experts on Food Security and Nutrition.

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Some of the main conclusions:

14. This report was specifically tasked with reviewing the relative roles of small- and large-scale

agricultural production systems, and there has been long-standing debate on their relative

merits. The evidence shows that most crops can be grown just as productively by smallholders

as in large commercial estates, although there may be significant economies of scale in the

subsequent processing and marketing. The question therefore arises of whether and how large

and small-scale production systems can co-exist and bring benefits to all parties. Disagreement

revolves around the feasibility of such

―win-win-win solutions, and ways to ensure the rights

and interests of local communities are central to agreements currently drawn up by

governments and investors, often in secret. The huge number of smallholders in many middle

and low income countries and the role they play in generating food, employment and livelihoods

for more than 2 billion people should put them at the heart of agricultural development

strategies. Yet they are often ignored. Rather than displacing them, governments should invest

financial, human and scientific resources for improving small scale production, assist them

achieve the necessary scale to access local and regional markets and improve their living

conditions.

15. Many of the problems surrounding international investments in land could be dealt with by

ensuring smallholder farmers gain a proper say in choices made about the future of their

agricultural system, the terms on which they choose to engage with international investors, and

more effective enforcement of existing policy and legislation at local, national and international

levels. This report summarises the many measures and tools that can be used to improve the

processes and outcomes from international investment in land and agriculture. Some have the

force of hard law, while others have softer influence, or aim to harness informed consumer

choice. In many cases these last substitute for weak capacity in host country governments.

Recommendations for donor governments:

7 Donors should align more effectively their bilateral and multilateral initiatives in the field of

agricultural investment promotion, to achieve positive outcomes for local farmers. For example,

some donors argue that improving productivity and market access for smallholder farming isare

key to achieving the MDGs while multilateral lenders have been promoting and financing inward

investment, including large-scale land acquisitions. Donors should also ensure fulfillment of the

G8 and G20 commitments on increased funding support to agriculture made over the last 2

years. This should include support for public infrastructure and policy development to create an

enabling environment for smallholder agriculture –based on evidence showing that

smallholders can be highly dynamic and competitive on global markets, and that small farm

development is feasible and desirable for its impacts on poverty reduction.

8 International support is needed for a large increase in public funds for agricultural research and

development, emphasizing agro-ecological approaches. There are major challenges ahead if

we are to meet the food needs of 9 billion by 2050 in ways which can keep within planetary

boundaries, address the impacts of climate change and make land use a net carbon sink. Given

the need to reduce further expansion of cultivation into forest and pasture land, a particular

focus is required on closing the 'yield gap‘, especially in middle and low income nations without

forgetting the increasing need for ecological sustainability. This requires further strengthening of

capacity in a range of key skills.