Promoting Agro-Enterprise and Agro-Food Systems Development in Developing and Transition Countries : Towards an Operational Strategy for the World Bank Group
This paper sets out a strategic framework for WBG assistance for the modernization of agro-food systems in client countries. The objective of this strategy is to enhance the competitiveness of food, feed, and fiber systems-as a powerful source of g...
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Language: | English en_US |
Published: |
Washington, DC
2013
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Online Access: | http://documents.worldbank.org/curated/en/2003/06/2875174/promoting-agro-enterprise-agro-food-systems-development-developing-transition-countries-towards-operational-strategy-world-bank-group http://hdl.handle.net/10986/14676 |
Summary: | This paper sets out a strategic
framework for WBG assistance for the modernization of
agro-food systems in client countries. The objective of this
strategy is to enhance the competitiveness of food, feed,
and fiber systems-as a powerful source of growth and income
generation-and to do so in a manner in which the poor are
major beneficiaries in their capacities as consumers,
farmers, workers, and entrepreneurs. This is a major
challenge, not only because of the long-standing constraints
faced by developing country farmers and agro-enterprises
(i.e., weak infrastructure, anti-business policies, etc.)
but also because major changes in the global agro-food
market are tilted toward those economic agents who have
capital, superior organizational and marketing skills, and
an acute understanding of consumer requirements. Those
lacking such assets and capabilities risk being (further)
marginalized. The focus of attention here is on those
enterprises, activities, institutions, and relationships
that occur off the farm-in other words, those entities and
functions that deliver material inputs to the farming sector
and transform, distribute and otherwise add value to food
and fiber products, yet are not directly engaged in primary
production and natural resource management. The shorthand
term for this sphere of activity and institutions is
agro-enterprise activity. As already demonstrated in a
number of countries (including China, Chile, Thailand,
Taiwan, Brazil, Mexico and Kenya), agro-enterprise
activity-sometimes also referred to as agribusiness can be a
powerful source of growth, income diversification and
poverty alleviation. However, competitive agro-enterprise
activity does not emerge spontaneously. It requires a
resourceful, market-oriented private sector which is willing
and able to bear commercial and other risks, and a
facilitative enabling environment comprising policies,
rules, and infrastructure. With consumer demand and
agricultural markets undergoing continuous change, sustained
agro-enterprise success requires flexibility and the
capacities to refine one's approaches, products, and services. |
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