Among the three basic human requirements—roti, kapada, aur makan (bread, cloth, and shelter)—it is food that gets top priority. The chimera of food security is under threat as steep hike in world food prices by 45 percent in the last nine months is any indication; the availability of food articles will be a big issue in the days to come.

Grand Event

The recently concluded 1st Global Agro-Industries Forum (GAIF) held in New Delhi brainstormed on this vital issue; a galaxy of global leaders attended the Forum, which was hosted by the Government of India in close cooperation with FAO, UNIDO, and IFAD of the United Nations. About 550 delegates and resource persons from 120 countries attended the four-day deliberations.

The four-day deliberations at the Forum took note of developing agro-industries in different countries, the needs of global trade, available technologies, and the need for regionally differentiated models for promoting agro-industries. Five regional workshops on the final day of the Forum led to the development of regional strategies to prepare action plans.

While it is important to produce efficiently, it is equally important that the agricultural produce is managed, processed to add value and marketed efficiently. This will not only conserve the agricultural produce, additional income and job opportunities would also be generated.

GAIF succeeded in highlighting the role of agro-industries in production catchments in relation to the enhancement of farm income and rural employment. There are other related advantages in promoting agro-industries at production catchments such as reducing the migration from rural to urban areas, cleaner environment and greater prosperity.

Award for Indian PM

The highlight of the forum was the special address by Dr. Manmohan Singh, Prime Minister of India. The Prime Minister, in his address, called for developing agriculture and related industries for increasing employment and income in rural areas. He expressed concern at the rising prices of food and fuels that is threatening macro economic stability in developing nations. He wanted higher investment in agriculture and rural sector to ensure sustainable growth.

On this occasion, Dr. Jacques Diouf, DG, FAO conferred FAO’s highest award, ‘Agricola Medal’ on the Prime Minister.

Third World Power

Sharad Pawar, Indian Minister of Agriculture, Consumer Affairs, Food and Public Distribution inaugurated the conference and called for bestowing due importance to agriculture in supporting almost 50 percent of the world’s population.

Speaking at the forum, Kandeh K Yumkella, Director-General, United Nations Industrial Development Organisation (UNIDO) said, “Collaboration between India and African countries could create granaries for the entire world.”

According to UNIDO data, the level of food processing is as high as 98 percent while the value addition is about US$180 per tonne in developed countries. “This potential should be tapped by the third world countries” said Pawar. He also added that Asia and Africa have the potential to expand the scope of agro-industries both vertically and horizontally. Average level of food processing in developing countries including India is 30-40 and the value addition is only US$40 per tonne.

Shortages Ahead

Decline in agricultural productivity coupled with deteriorating climate change has resulted in the hike in global food demand. Food and Agricultural Organisation (FAO) Director-General Jacques Diouf warned that the rise could lead to serious shortage of rice, wheat, and maize world over.

Diouf stressed on the importance of food processing and roles farmers should play for becoming a reliable supplier of agro-industries. The FAO leader said the roles to be played by private players in this respect was significant.

Pawar called for extensive use of excellent technologies under the sound government policies to tackle food crisis. “While it is important to produce efficiently, it is equally important that agricultural produce is managed, processed, value added and marketed efficiently. This will not only conserve the agricultural produce and additional income, but will also generate job opportunities”, Pawar said.

Challenge

To sustain agro-industrial growth, it is essential to regulate investment in water control and infrastructure. Also essential is facilitation of small farmer access to inputs to raise their productivity. Ago-industry generates demands for agricultural products and holds vast potential for off-farm rural employment. This ultimately would add sizeable values to farm production—whether in domestic or overseas markets.

Stressing on the importance of effective marketing and food processing system for agricultural products, the International Fund for Agricultural Development (IFAD) President Lennart Båge said, “With more investment in agriculture and rural development, the world’s 400 million smallholders could mobilise their under-utilised potential, not only to improve their own nutrition and incomes but enhance national food security and overall economic growth.”

Processed Food

Processed food and beverages now account for 80 percent of total food and drink sales, with a 57 percent rise between 2001 and 2007. FAO, in partnership with the other agencies and NGOs, is working to establish solid links between small farmers and buyers grouping and organising them into producer associations and cooperatives.

Yumkella of UNIDO remarked that the challenge for the UN system and its development partners was to cooperate in helping agro-industrial enterprises to grow and flourish, to provide jobs and create wealth and foster sustainable economic and human development.

Team Spirit

African and Indian agro-sector together can draft the promising strategies to cope with the current global food crisis. Ties between the two sides in agriculture have the competence to feed the entire world. “This is, indeed, possible. India has the capacity and technology and Africa has land and labour,” said Yumkella at the GAIF. The Indian green revolution of the 1970s and 1980s had demonstrated how technology could boost food grain productivity in a short period of time, according to the UN leader.

Accordingly, the importance of agro-industry in terms of post-harvest activities of processing and preserving agricultural products for intermediate or final consumption should be self-evident. “One way to go is to definitely reduce post-harvest losses,” said the former Trade Minister of Sierra Leone and a PhD in agricultural economics from the University of Illinois. “This conference would see the participation of as many as 18 UN organisations. It is proposed either next year or in 2010 and will look at issues like energy efficiency, conservation, new technology, green energy,” he added.

Outcome

The main outcome of the Global Agro-Industries Forum has been the consensus on development and implementation of programmes for promoting agro-industries in production catchments as a potent tool for rural development leading to alleviation of poverty and hunger.

The Forum was unanimous in recommending the creation of adequate infrastructure by various governments to facilitate the promotion of sustainable agro-industries benefiting the vulnerable sections of rural society. The three UN bodies involved in the organisation of the Global Forum will make efforts to implement the recommendations in different member countries.