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Syngenta Annual Review 2010 - CEO Water Mandate

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<strong>Syngenta</strong><br />

<strong>Annual</strong> <strong>Review</strong> <strong>2010</strong><br />

Contributing to food security<br />

12<br />

Strengthening<br />

rural economies<br />

“Only with sustainable intensification of crop<br />

production can serious progress be made<br />

towards achieving the Millennium Development<br />

Goals on hunger and poverty reduction and<br />

on ensuring environmental sustainability.”<br />

Shivaji Pandey<br />

Director, FAO’s Plant Production and Protection Division,<br />

keynote speech at the IVth World Congress on Conservation<br />

Agriculture in New Delhi, 2009<br />

When rural communities can sustainably grow more<br />

from less and profitably sell their crops, they can live<br />

more prosperous lives. But this isn’t easy considering<br />

the challenges they face. Erratic weather, insects,<br />

disease and weeds can ruin crops and diminish<br />

incomes. Farmers must also deal with the risks of<br />

a volatile market – even with a good crop, prices<br />

may be low.<br />

<strong>Syngenta</strong> recognizes that the world’s farmers need<br />

more tailored, integrated solutions to make agriculture<br />

an economically viable and rewarding way of life.<br />

In developed countries, rural communities have made<br />

great strides in productivity. The journey to achieve<br />

sustainable increases in productivity continues in the<br />

emerging economies, but this is hindered by lack of<br />

access to modern technologies, knowledge sharing,<br />

financing and markets.<br />

Bringing modern technologies to farmers<br />

Often farmers are unable or unwilling to invest in<br />

the technologies they need to increase productivity.<br />

Smallholders face the constant risk that investment<br />

in better seeds and fertilizer will be lost if drought,<br />

flooding or disease destroy their crops and wipe<br />

out the benefits of their purchase.<br />

But as a result of not using the best inputs, yields<br />

remain far below their potential. To overcome this<br />

problem, the <strong>Syngenta</strong> Foundation for Sustainable<br />

Agriculture (SFSA) offers creative financial solutions<br />

designed to reduce the risk for farmers investing in<br />

sustainable increases in productivity. For instance,<br />

the Agriculture Index Insurance Initiative launched in<br />

2008 in Kenya aims to develop the potential of microinsurance<br />

for smallholders. The <strong>Syngenta</strong>-subsidized<br />

Kilimo Salama program – “safe farming” in Kiswahili –<br />

allows smallholders to insure selected farm inputs<br />

at their local retailer and pay half the premium. If<br />

there is insufficient rainfall as reported by automated<br />

weather stations, then farmers are compensated<br />

for their investment.<br />

<strong>Syngenta</strong> Foundation for<br />

Sustainable Agriculture<br />

The <strong>Syngenta</strong> Foundation for Sustainable Agriculture<br />

(SFSA) creates value for smallholders in developing<br />

countries. Through collaborations with local partners,<br />

including government institutions, private companies and<br />

non-governmental organizations (NGOs), SFSA provides<br />

innovations required for sustainable agriculture and eases<br />

access to markets.<br />

The Foundation currently runs projects in Africa, Asia and<br />

Latin America, and it contributes worldwide to the public<br />

debate on agricultural development.<br />

In <strong>2010</strong>, SFSA started its first projects in Indonesia and<br />

Vietnam, which focus on improving farmers’ livelihoods<br />

through extra cash crops. It piloted a project with<br />

smallholders in the Peruvian Andes, partnering with<br />

an NGO and the regional division of McDonald’s. And it<br />

invested in the World Bank’s BioCarbon Fund, which buys<br />

carbon credits in developing countries.<br />

As well as piloting new activities, SFSA also places strong<br />

emphasis on successful scale-up. In India, it continued its<br />

rapid expansion of agricultural extension. The aim is to reach<br />

200,000 farmers by 2014, up from some 30,000 at the<br />

start of <strong>2010</strong>. In Kenya, SFSA scaled up its weather index<br />

insurance from 200 smallholders in 2009 to about 12,000<br />

in <strong>2010</strong>. The creation and rapid uptake of this insurance<br />

have only been possible due to the SFSA’s catalytic lead.<br />

Pictured left: Njeri Muriuki registering a farmer’s drought insurance<br />

through her SFSA-enabled cellular phone.<br />

Find out more<br />

www.syngentafoundation.org

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