IFAD pledges to transform lives of 70 million small-scale food producers
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The International Fund for Agricultural Development (IFAD) on Tuesday pledged to reach at least 70 million small-scale farmers and significantly transform their lives by increasing their incomes, productive capacity and market access by 2030 as part of the World Bank's AgriConnect initiative.
The pledge was made by Alvaro Lario, IFAD President, at the launch of this initiative at the bank’s Annual Meetings in Washington.
However, IFAD has been investing in poor rural communities in Bangladesh since 1978. It promotes inclusive and resilient livelihood opportunities for smallholders and microentrepreneurs to strengthen climate resilience through infrastructure and climate-smart agriculture.
IFAD also works in Bangladesh to enhance access to finance, technology and markets to diversify the economy and generate rural employment.
Mission AgriConnect is a new World Bank Group initiative designed to create jobs in agribusiness, transform the livelihoods of 250 million smallholder farmers globally and strengthen global food security.
IFAD’s commitment to reach at least 70 million rural producers contributes to the overall goal of reaching 250 million small-scale farmers by 2030, with the World Bank, the African Development Bank and the Inter America Development Bank.
“IFAD investments have led to higher incomes, bigger yields, and better market access for small-scale food producers. Delivering that triple impact, we will target at least 70 million people in rural and fragile areas,” said Lario at the event, according to an IFAD release.
“IFAD, the World Bank, other Multilateral Development Banks, governments and private sector partners share a common ambition: to match scale with meaningful impact by better connecting small-scale food producers to markets and turning rural areas into engines of growth, jobs, and food security.”
As per projects assessed, small-scale food producers IFAD invested in from 2022-2024 saw their average income grow by 34 per cent; their production grow by 35 per cent; and their access to markets increase by 34 per cent.
For nearly 50 years, IFAD has engaged with the local private sector with focus on value chains development and rural financial institutions. Between 2019-2023, 70 per cent of IFAD projects engaged with local businesses.
Investing in small-scale farmers and rural populations is a powerful engine for economic growth, job creation and global food security and stability.
Evidence shows that growth in agriculture is two to three times more effective in reducing poverty than growth in other sectors, with the largest impact among the poorest people.
Rural communities are home to 80 per cent of the world’s poorest people, and face challenges from climate shocks to lack of access to inputs, technologies, financial services.
Yet, they also hold immense untapped potential. Meeting the growing demand for food projected to surge by close to 60 per cent by 2030, could generate an estimated US$10 trillion in annual economic opportunities by 2050.
In the coming decade, 1.2 billion young people will enter the job market in developing countries.
Agri-food systems already provide employment for 40 per cent of the global workforce.
With targeted investment, food systems can generate millions of additional jobs across value chains, from input supply and logistics to processing and retail.