Revitalizing Agricultural and Rural Development

The centerpiece of this arena is the rapid global shift from closed, nationally focused markets (protected and subsidized) to open, global markets (competitive and less subsidized). Given this dramatic contrast, the new paradigm requires that radically different working premises and strategies be introduced quickly, particularly as these relate to the changing agricultural sector.

The emergence of new economic structures and policies in the late 1980s meant a break from command-based economies and their inefficiencies and inflexibility. Economic systems are becoming more demand-driven and more responsive to national, regional, and international markets. In the key areas of development, the new paradigm has brought greater attention to the private sector, market forces, and agriculture’s integration with the broader economy and key role in expanding trade and economic growth.

At present, agriculture’s benefits are not as broad based as they could be. The majority of the small- to medium- sized producers, which make up between 30 and 80 percent of the labor force, and rural nonfarm families are poorly prepared to gain the broader benefits of the changes in agriculture or to respond to previously unknown competitors. Nevertheless, if developing countries make major internal structural reforms—providing capable small- and medium-sized farmers and agribusinesses with essential skills, tools, and infrastructure, and facilitating private investment—rural people will be better equipped to meet unprecedented challenges and generate unprecedented contributions.

Bathrick describes key program elements for creating the new food and agroindustrial systems. For example, developing countries will need to generate the capacity to strategically advance national comparative advantage and competitiveness; establish an appropriate policy framework and links with other sectors to ensure effective development efforts; develop dynamic market systems and complementary infrastructure services; and use natural resource management practices to enhance sustainable use.

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