Latin American small farmers face critical access barriers to technology and credit

Approximately 16 million small farms across Latin America and the Caribbean, representing over 80% of the region's total, are struggling with severe limitations in accessing land, technology, financing, and markets. This critical situation was revealed in a recent report compiled by several key organizations, including the Inter-American Institute for Cooperation on Agriculture (IICA), the Economic Commission for Latin America and the Caribbean (CEPAL), the Food and Agriculture Organization of the United Nations (FAO), and the Development Bank of Latin America and the Caribbean (CAF).

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We must elevate productivity as a central policy objective for both economic growth and greater social mobility and equity. Technological, scientific, and institutional innovations are public goods and require sustained state investment and equitable access policies.

The study, titled 'Perspectives on Agriculture and Rural Development in the Americas: A Look Towards Latin America and the Caribbean 2025-2026,' emphasizes that agriculture can significantly enhance its contribution to agri-food systems through appropriate financial support and technological advancements. Muhammad Ibrahim, Director General of IICA, stated in a press release, "We must elevate productivity as a central policy objective for both economic growth and greater social mobility and equity. Technological, scientific, and institutional innovations are public goods and require sustained state investment and equitable access policies."

Ibrahim further asserted that "increasing the productivity of family agriculture simultaneously improves food security, rural employment, and equity." The report indicates that while regional agricultural productivity saw a 5% increase over the past decade, driven by technological progress such as improved seeds, biotechnology, and precision agriculture, this growth was largely due to increased input usage rather than efficiency gains. Between 2023 and 2032, the report projects that 79% of global crop production growth will stem from productivity improvements, with only 15% from land expansion, underscoring the need for innovation.

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increasing the productivity of family agriculture simultaneously improves food security, rural employment, and equity.

Maximiliano Alonso, Senior Advisor at CAF, highlighted the importance of this focus, stating, "Elevating agricultural productivity is essential for building more resilient agri-food systems in Latin America and the Caribbean. To achieve this, we need a comprehensive approach that combines technological innovations, adequate financing, articulated public policies, and a strong commitment to social equity." The report also points out that boosting agricultural productivity is vital for reducing the cost of healthy diets in the region, which are currently the most expensive globally.

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Elevating agricultural productivity is essential for building more resilient agri-food systems in Latin America and the Caribbean. To achieve this, we need a comprehensive approach that combines technological innovations, adequate financing, articulated public policies, and a strong commitment to social equity.