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ICRISAT - ICRISAT: Medium Term Plan 2010-12 - 2010-12

ICRISAT - ICRISAT: Medium Term Plan 2010-12 - 2010-12

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Description:<br />

As per Output 1.2. These efforts are summarized in four output targets namely:<br />

2009 1.5.1: Development domains report for southern Africa<br />

<strong>2010</strong> 1.5.1: Policy options for increasing agricultural productivity to mitigate HIV susceptibility<br />

<strong>2010</strong> 1.5.2: Constraints, challenges and opportunities for regional cooperation in R and D and<br />

alternative regional research and development strategies in southern Africa report<br />

2011 1.5.1: Adaptation strategies and layers of resilience to climatic related shocks in Asia<br />

documented<br />

Alignment to CGIAR Priorities : 5A: Improving science and technology policies and institutions;<br />

Output 6: Strategies for increasing competitiveness through identifying preferred<br />

market traits and introducing quality control systems to meet social, food safety and<br />

environmental standards for dryland crops established and promoted<br />

Description:<br />

In the coming decade, whether smallholder producers in the SAT would be able to invest in<br />

new agricultural technologies and escape poverty would depend on their ability to access<br />

domestic, regional and international markets for their produce by making necessary<br />

adjustments to meet growing quality standards and improving efficiency in production and<br />

marketing. Efficiency in production would depend on their ability to access and exploit the best<br />

available technology and inputs. Market access requires access to demand and price<br />

information in different markets, seasonal patterns of supply and price changes, credit, and<br />

availability of essential services. Given the complex factors that limit the functioning and<br />

efficiency of markets in rural areas, diverse policies and institutional arrangements can be<br />

employed to make markets work for the poor. Vertical coordination of production and<br />

marketing arrangements to improve economies of scale and reduce transaction costs will be<br />

critical. This is already evident in the region through cooperatives, producer organizations, and<br />

contract farming, whose role is likely to increase in the coming years. Linking producers<br />

directly to the upper part of the value of chain can shorten the supply chain, reduce the role of<br />

intermediaries (and transaction costs), and raise farm-gate prices while prices to poor<br />

consumers remain low.<br />

As demand for a consistent supply of homogenous and quality products increases, there will be<br />

growing demand for private sector participation in agriculture through contract farming and<br />

other arrangements. This may also pose new threats and opportunities for small farmers in the<br />

SAT. While it may create monopolistic behavior and further marginalize less competitive and<br />

unorganized poor farmers in low potential areas, it may provide reliable market outlets and<br />

access to inputs, skills and technologies for some producers that will improve production<br />

efficiency. Future research will need to identify efficient strategies and equitable mechanisms<br />

for linking producers to markets and enforcing such contracts, while also protecting the<br />

livelihoods of marginal farmers under transitory and chronic poverty.<br />

<strong>ICRISAT</strong> efforts will focus on the following elements:<br />

– Mapping values chains and identifying profitable marketing channels and outlets<br />

– Understanding the existing grading and quality control systems and effects on prices<br />

– Determinants of smallholder market participation and marketed surplus<br />

– Policies and institutional arrangements for better coordination of production and marketing<br />

to enhance competitiveness<br />

The research strategy focuses on the following output targets:<br />

<strong>ICRISAT</strong> MTP <strong>2010</strong>-<strong>12</strong> 13

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