BUILDING ON LEARNINGSENABLING THE BUSINESS OF AGRICULTURE

GROWTH OF FOOD DEMAND

ROLE OF GOVERNMENT POLICIES &

REGULATIONS

Inclusive

Value

Chain

Enabling

Environment

Policies, Laws

& Regulations

Government

Policymakers

THE VALUE OF BENCHMARKING

You [Socrates] have discovered the reasons

why some farmers are so successful

that husbandry yields them

all they need in abundance,

and others are so inefficient

that they find farming unprofitable.

I should like to hear the reasons in each case,

in order that we may do what is good

and avoid what is harmful.

Xenophon, 4th Century BC

Enabling the Business of Agriculture aims to identify

and monitor policies and regulations that can foster

an enabling environment for the local and regional

business of agriculture and encourage and inform

policy changes that support inclusive participation in

agricultural markets.

EBA: A TOOL FOR IMPROVED POLICYMAKING

Comparable and actionable indicators

Identify good practices

Motivate reforms

TIMELINE

10 pilot

countries

----------

6 core topics

10 pilot

+

30 new

countries

----------

6 core topics

+

6 new topics(2 cross cutting

areas)

40 countries

+

40 new

countries

----------

12 topics(2 cross cutting

areas)

Concept

development,

consultations

& preparation

2013-2014 2014-2015 2015-2016

TIMELINE

10 pilot

countries

----------Initial data

for 6 topics

40 countries ----------

Initial indicators

for 10 topics

and 2 cross

cutting areas

80 countries ----------

Refined

indicators for

10 topics and 2

cross cutting

areas

Concept

development,

consultations

& preparation

Research PreparationData

Collection

Data

Coding &

Analysis

Pilot

reportingFeedback

PILOT PHASE

2014-2015 2015-2016

THEMATIC COVERAGE

Access to Agricultural

Inputs (Seeds,

Fertilizer, Machinery)

Access to Agricultural

Finance

Access to Transport &

Storage

Access to Agricultural

Land

Access to Markets

(Domestic, Regional, Contract Farming)

Access to Water

Rural Electricity &

ICT

Enabling the Business of Agriculture

THEMATIC COVERAGE

LANDAG

FINANCESEED FERT

AG

TRANSPMARKET

ICTRURAL

ELECTR

AG

MECHAN

CONTR

FARM

CORE TOPICS

INITIAL TESTING

TECHNICAL NOTE

Literature

Experts

Advisors

INDICATOR AREAS Literature

Experts

Advisors

DATA POINTS

/

QUESTIONNAIRES

COUNTRY SELECTION

CONTRIBUTORS

Government institutions

Companies

Associations

Academia

Research institutions

NGOs/farmer organizations

COUNTRY VISITS

Morocco, Ukraine, Rwanda

Guatemala

Ethiopia, Philippines, Mozambique

November 2013

December 2013

February 2014

Nepal, Uganda, SpainMarch 2014

DESIGN TO ANALYSIS

• Unavailability of data (laws, regulations, metrics)

• Statistical unreliability or weakness of data

• Incomparability of data (varying collection methodology)

• Reluctance to provide certain information

• Limited contributor base to verify data (time & motion)

• Specific case study assumptions need to be refined for

time and motion indicators

• Extensive follow up to obtain data

DATA COLLECTION CHALLENGES

The important vs. the most important

LEARNINGS

VOLUME OF DATA POINTS

LEARNINGS

ROBUST AND COMPARABLE MEASUREMENTS

LEARNINGS

DATA COLLECTION WISDOM

• Interaction/relationship

with contributor

• Length of questionnaire

• Prepopulating surveys

LEARNINGSM

ea

su

rab

ilit

y/

Ro

bu

stn

es

s

Relevance

(+)

(+) (-)

(-)

LEARNINGS : AG TRANSPORT( TRU C K ING S ERV IC ES )

Starting trucking company

Licensing requirements/procedures

Market structure

Pricing regulation & freight allocation

Transport prices and costs

Axle-load regulation and inspections

Road blocks, tolls and fees

International agreements

Foreign trucking competition

Accessing appropriate vehicles

Road quality, access and density

Rural roads financing

Agricultural storage

LEARNINGS : AG TRANSPORT( TRU C K ING S ERV IC ES )

Licensing of truck operations

Pricing regulation/

freight allocation

Axle load regulations

Monitoring of road access,

density and quality

Foreign trucking competition

F i rs t - t ime reg istrat ion

p rocesses

Process safeguards

Legal s t ructure o f the

land reg istr y

FOCUS OF DATA AREAS

LAND

Register ing fer t i l i zers

Impor t ing fer t i l i zers

Qual i ty control

Fer t i l i zer use and so i l

hea lth

FERTILIZERS

Branchless banking

Non- tradi t ional

co l latera l

Warehouse receipts

Prudent ia l regulat ion

FINANCE

SEEDS

Evaluat ion and

reg istrat ion of new

var iet ies

Seed qual i ty control

requirements

In ternat ional and

reg ional seed t rade

L icens ing

Pr ic ing

Cross -border t rucking

compet i t ion

Axle - load

Monitor ing road access

and qual i ty

FOCUS OF DATA AREAS

TRANSPORT

Legal f ramework

Contract specif icat ions

Procedural

requirements

Dispute resolut ion

mechanisms

CONTRACT FARMING

Government p lan and

cooperat ive act ion

Cross -border expor ts

Phytosanitar y

regulat ion

MARKETS

DATA : SEED

Toward a regulatory framework for a thriving seed sector

4

2

4

Seed Policy

Existing

In Development

Inexistent

64

Plant Variety Protection

Existing

Inexistent

2

35

Regulatory reform

In effect

Intention

None

DATA: SEED

A critical regulatory focus —

efficient and timely release of new varieties

6

5

8

6 6 6

9

6 6

0 2

15.8

0 0

30.6

9.9

28

60

0

10

20

30

40

50

60

70

0

1

2

3

4

5

6

7

8

9

10

Procedures and Cost for Evaluation and variety release

DATA: SEED

73

Regional Certification

Members

Non-Members

Opportunities in regional and international cooperation

64

International Certification

Members

Non-Members

CONSULTATIVE/FEEDBACK PROCESS

oMethodological approach

oAnalysis of indicators

oContributor strategy

CSOs

Technical

exper ts

Report review

Peer rev iewers

Countr y o f f ices

Donors

Technical

exper ts

Technical

exper tsJune

2014

Sept

2014

LOOKING FORWARD

SCALE UPLAND

AG

FINANCESEED FERT

AG

TRANSPMARKET

TOPICS

ICTENVIRON

SUSTAINWATER

MECHA-

NIZATIONGENDER

LIVE-

STOCK

BUILD & REFINE

INDICATORS

LOOKING FORWARD

Challenge of

choosing indicators

that are:

most relevant in determining “enability” of environment

measurable and statistically robust

fully comparable

relevant to market linkages/constraints/opportunities

for smaller farmers

ADDITIONAL DIMENSIONS

LOOKING FORWARD

46% with 4 hours

69% with 4 hours

PERFORMANCE/OUTCOME METRICS

0%

10%

20%

30%

40%

50%

60%

70%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Agri-

Based

Pre-Transition

Urbanizing Transition

Developed

Ag

ricu

ltu

re V

A a

s %

of

GD

P

Economically Active in Ag as % of Total Economically Active Population

25.0%

LOOKING FORWARD

AGRICULTURAL TRANSFORMATION FRAMEWORK

AGRICULTURAL VA AND AGRIBUSINESS VA (AS % OF GDP, AND THEIR RAT IO TO ONE ANOTHER)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Ag Based Pre Transition Transition Urbanising Developed

Ag VA as % of GDP Ag biz as % of GDP Remaining of Other Sectors as % of GDP

Ra

tio

of

Ag

to

Ag

biz

1 : 0.56 1 : 0.87 1 : 1.06 1 : 1.17 1 : 1.90

BUILDING ON LEARNINGSBENCHMARKING THE BUSINESS OF AGRICULTURE

Thank you