WORLD TRADE  
ORGANIZATION  G/AG/GEN/93 
4 November 2010 
 
 (10-5851) 
Committee on Agriculture Original:   Spanish 
  
 
THE MARRAKESH DECISION AND FOOD SECURITY:  CONTRIBUTION OF THE 
INTER-AMERICAN INSTITUTE FOR COOPERATION ON AGRICULTURE (IICA) 
IN LATIN AMERICA AND THE CARIBBEAN 
 
Submission by IICA
 
 
  The following submission, dated 29 October 2010, is being circulated at the request of the 
Inter-American Institute for C ooperation on Agriculture (IICA). 
 
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 1. The main objective of this document is to brie fly review the impact of the world economic 
crisis on agriculture and food security in Latin America and the Caribbean, and to describe IICA's 
response to the crisis in its Member States. 
I. IMPACT OF THE CRISIS ON LEAST DEVELOPED COUNTRIES AND NET FOOD 
IMPORTING DEVELOPING COUNTRIES (NFIDC
S) 
2. Impact on agricultural trade :  After studying the impact of the crisis on Latin American 
countries (see Crisis económica mundial y comerci o agrícola:  ganadores y perdedores  
(IICA, 2010)), IICA determined that while the agricu ltural trade surplus of net agricultural exporting 
countries had grown by late 2008 (in comparison w ith 2006), NFIDCs not only saw a deepening of 
their agricultural trade deficit but also a signi ficant decline in the purchasing power of their 
agricultural exports (in terms of agricultural imports) over the same period. 
3. Impact on food availability and access conditions :  The sudden increase in international 
prices of agricultural commodities had a greater impact  on countries in which a high percentage of the 
domestic food supply depended on im ports (NFIDCs).  In these countries, the high international 
prices affected home markets more quickly and to a greater degree, thereby reducing people's 
purchasing power;  the poorest members of the population were particularly hard hit, as a higher percentage of their income went into the purc hase of food.  In addition, increased poverty and 
unemployment rates created further problems for NFIDCs, making it even more difficult for them to meet their populations' minimum nutritional requirements. 
4. In response to the crisis, the region's NFIDCs ha ve resorted to short-term mechanisms which 
encourage food production, agricultural export basket  diversification, revenue  and foreign exchange 
generation, and market efficiency.  Still pe nding, however, are long-term measures aimed at: 
(a) developing and implementing policies and strategies which strengthen small-scale 
agriculture's contribution to food security; 
(b) improving the production performance of sm all scale agriculture, thereby increasing 
agricultural supply (food availability);  and G/AG/GEN/93 
Page 2  
 
  (c) integrating small-scale producers in valu e chains, thereby improving food access 
conditions (more revenue and gr eater physical availability). 
II. IICA'
S ROLE AND ITS RESPONSE TO THE CRISIS 
5. In view of the challenges described, IICA made  the matter a priority in its medium-term 
cooperation proposal, devised a strategy, and is help ing less advantaged countries develop projects to 
obtain access to funding from multilateral ba nks and donor govern ment programmes. 
A. 2010  2014  MEDIUM -TERM PLAN 
6. One of the strategic objectives of IICA's 2010 2014 Medium-Term Plan (MTP) is to  improve 
agriculture's contribution to food security . 
7. This objective recognizes the dual role played by  agriculture in food security, which is to 
ensure a sufficient supply of qua lity food (availability and use) and to create conditions that allow 
people in rural areas to have access to food (emp loyment and income).  Small-scale agriculture is 
engaged in this twofold endeavour and, if it is supported by effective public policies and efficient 
investment in public goods, its contribution to ag ricultural supply can be enhanced through better 
production performance and integratio n in value chains;  it can also improve its own conditions of 
employment and income if its efforts are properly recognized by the markets. 
8. The programmes with a technical focus selected for IICA implementation in the 
period 2010-2014 reflect the Institute's priority issu es.  These issues, whic h are established in the 
IICA Convention and confirmed by s ubsequent intergovernmental and in terministerial decisions, must 
be taken into account to ensure competitive an d sustainable agricultural production and rural 
well-being.  These programmes are described below. 
(a) Innovation for productivity and competitiveness :  Aimed at increasing and expanding 
agricultural innovation to increase productivit y, competitiveness and trade, thereby 
supporting food security and develo pment in member countries. 
(b) Agricultural health and food safety :  Particularly focused on the development of up to 
date and harmonized regulati ons and policy instruments;  the modernization of 
national services;  the implementation of hemispheric and regional mechanisms for 
cooperation and information relating to the i ssue;  adoption of international standards 
in member countries;  and the establishment of public private partnership mechanisms within the framework of cooperation with  specialized international agencies. 
(c) Agribusiness and marketing
:  Aimed at the development of policies and institutional 
frameworks and capacity building to creat e supportive agribusiness environments;  
the development of a new mentality and capacity building among producers by 
strengthening individual and collective cap acities to supply and successfully compete 
in the markets. 
(d) Agriculture, territories and rural well-being :  Aimed at the development of 
instruments for assessing the actual contributi on of agriculture in rural areas;  the 
establishment of intersectoral relationships  between public policies and instruments 
having a territorial impact, with a view to optimizing agriculture's contribution to the development of rural areas, and thereby ma ximizing the social benefits deriving from 
productive agricultural activity.  G/AG/GEN/93 
 Page 3 
 
 
  9. In addition to the above programmes, two cro ss-sectoral coordination programmes have been 
established for the 2010-2014 MTP.  These progra mmes will address the following IICA priority 
issues:  (i) natural resources and c limate change;  and (ii) food security. 
B. FOOD SECURITY STRATEGY  
10. To support its Member States, IICA has deve loped a strategy which seeks to further the 
development of policies and capacities which im prove production, productivity, value adding 
processes and market access for small-scale agricultur e as a means of contributing to food security.  
To achieve this goal, IICA has identified critical factors in Latin American and Caribbean member 
countries and is focusing its cooperation on thr ee lines of action corresponding to these critical 
factors. 
  G/AG/GEN/93 
Page 4 (a) Strategic Line of Action - Institutiona l Innovation for a New Paradigm of Technological Change for Food Production and Dive rsification 
 
Critical Factors (CF) and Areas of 
Institutional Intervention 
Common Critical Factor 1 
Public and private institutions are too weak and fragmented to guide technological research a nd innovation and provide extensio n services commensurate with 
the actual demands of small a nd medium-scale agriculture.  
CF1 Area of Intervention 
• Development and strengthening of na tional and local innovation systems. 
• Human capital development to support the new focus on ma nagement and development of  technology and innovation. 
• Institutional innovation in rural ex tension:  knowledge management  focused on knowledge exchange. 
Common Critical Factor 2 
Limited investment in R&D for technological innovation and insu fficient local capacity for small and medium-scale agriculture t o minimize environmental 
degradation processes or mitigate and adapt to climate change so as to increase productivity, stability and diversification in the agrifood sector. 
CF2 Area of Intervention 
• Promotion and development of methods for regional research ne tworks to focus on adapting ag riculture to climate change. 
• Development of a new technology agenda to a dd value to domestic a nd traditional products. 
• Building awareness and management of policies and instruments. 
• Human capital development based on the new focus and knowledge. 
 
(b) Strategic Line of Action - Institutional Framew ork and Services in Sup port of Market Access 
 
Critical Factors (CF) and Areas of 
Institutional Intervention 
Common Critical Factor 3 
Low degree of association among the players involved in small a nd medium-scale agriculture, which prevents the creation of econ omies of scale and the 
improvement of business management. 
CF3 Area of Intervention 
• Strengthening of regional and national associativ e mechanisms to increase market integration. 
• Participation in the development of policy instruments which facilitate the integration of small and medium-scale producers in value chains. 
• Human capital development based on the new focus.  
   G/AG/GEN/93
 Page 5Critical Factors (CF) and Areas of 
Institutional Intervention 
Common Critical Factor 4 
Lack of marketing instruments and services providing links between small and medium-scale producers and the markets. 
CF 4 Area of Intervention 
• Establishment of inclusive marketing mechanisms and/or systems for small and medium-scale agricu lture (such as contract agricul ture, 
commodity exchanges, agricultural trade fairs, source markets, and campaigns to promote consumption, for example). 
• Identification and description of the need for marketing support ser vices in prioritized chains to facilitate market integratio n of small and 
medium-scale farmers and improve their business management. 
• Dissemination of good marketing practices. 
• Human capital development based on the new focus. 
 
(c) Strategic Line of Action - Analysis, Monitoring and Dissemina tion of Policies and Information on the Status of and Prospect s for Food and Nutritional 
Security 
 
Critical Factors (CF) and Areas of 
Institutional Intervention 
Common Critical Factor 5 
Limited capacity for management of food and nutritional security policies and related instruments, and little intersectoral coo rdination, which impedes the 
territorial implementation of such policies. 
CF5 Area of Intervention 
• Promotion of dialogue and intersectoral a nd inter-agency roundtables on food security which contribute to policy development, p olicy impact 
assessment and the creation of instruments for policy implementation;  this is to take into account: 
  -  identification, description, structuring and management of knowledge pertaining to successful experiences with policies an d instruments; 
  -  regional human capital development to enhan ce citizen participation in policy development. 
Common Critical Factor 6 
Weak information management mechanisms which prevent both mon itoring of food security policies aimed at small and medium-scale agriculture and better 
inter-institutional coordination. 
CF6 Area of Intervention 
• Establishment and/or strengthening of information pl atforms for the monitoring of food security policies. 
• Analysis and dissemination of information for decision-making. G/AG/GEN/93 
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  C. S
UPPORT FOR MEMBER STATES IN OBTAINING ACCESS TO AND INVESTING INTERNATIONAL 
COOPERATION FUNDING FOR INVESTMENT IN AGRICULTURE AND FOOD SECURITY  
11. The World Bank Global Agriculture and Food Se curity Program (GAFSP) is a multilateral 
mechanism which was created to help countries an d regions with limited resources to finance their 
strategic plans for investment in  agriculture and food security. 
12. Feed the Future (FTF) is a United States Gove rnment initiative in response to the call by 
world leaders at the L'Aquila summit for investment  to reduce world hunger and poverty.  In less than 
three years, the initial US$3.5 billion donated by the United States has helped this programme 
leverage a total of US$5 billion from other donors in  support of a common approach to achieve global 
food security.  This initiative supports the pro cesses whereby countries develop and implement food 
security strategies and investment plans which re flect their needs, priorities, and development 
strategies.  These plans help to mobilize resources and coordinate actions to  achieve the Millennium 
Development Goal of cutting extreme poverty and hunger in half by 2015. 
13. To improve access by Member States to these in itiatives for investment in agriculture and 
food security, IICA undertakes to: 
(a) Compile and circulate information to all Member States on the experiences of and 
lessons learnt by countries which have al ready submitted funding applications to both 
GAFSP and FTF (such as Nicaragua, Honduras and Haiti1); 
(b) assist eligible countries in prioritizing their investment needs and in creating 
investment plans for agriculture and food secu rity together with all the sectors and 
organizations involved. 
14. Aware that the proliferation of international cooperation initiatives has led to the dissipation 
of efforts, and conscious of the absence of pr oper accounting of expenditures and evaluation of 
products and impacts, IICA has agreed to: 
(a) Concentrate and focus actions to make mo re efficient use of its resources and 
capacities; 
(b) favour joint and multidisciplinary action in the institutional sphere; 
(c) direct administrative, financial and supp ort systems toward technical cooperation; 
(d) foster alliances with key strategic partne rs in order to develop complementary 
relationships and avoid dup lication and wasting of resources and efforts;  and 
(e) concentrate on policies and institutions a nd on networks and organizations (as 
opposed to individual farmers) so as to in crease the multiplier effects of IICA action. 
15. For more information, please visit IICA's institutional website at http://www.iica.int/ . 
                                                      
1 The Government of Haiti chose IICA to coordinate all agricultural aid and cooperation for the country 
after the Haitian earthquake of early 2010.  G/AG/GEN/93 
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  16. Contact information: 
 Rafael Trejos 
 Coordinator, Center for Strategic Analysis for Agriculture  Rafael.trejos@iica.int  
 Adriana Campos Azofeifa 
 Specialist, Trade and Agricultural Negotiations  Adriana.campos@iica.int  
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