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THE CORPORATE PRIVATE SECTOR AND FOREIGN DIRECT INVESTMENT

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There are no comprehensive data on corporate private sector and foreign direct investment (FDI) in agriculture. However, the limited and country-specific data collected through case studies and sources such as UNCTAD, demonstrate that bulk of the corporate investment goes into agro-industries and the higher end of the value chain. Private sector investments along value chains are opening up new market opportunities for some farmers, but it is also becoming apparent that many small farmers are being left behind. There are signs of an increasing chasm opening up between small farms that are commercializable and non-commercializable subsistence farmers. This polarization could lead to a situation where policies and investments geared towards strengthening commercial agricultural production and value chains are not consistent with policies and investments geared to reducing poverty and food insecurity.

Promoting Investment in Agriculture for Increased Production and Productivity

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