Public authorities and private sector must work together to develop agricultural markets

Rome, Italy: 3 June 2008 -- Speaking at the FAO High-Level Conference on World Food Security: the Challenges of Climate Change and Bioenergy, Thorleif Enger, President of the International Fertilizer Industry Association (IFA), called for public-private partnerships to develop “agricultural corridors” so that farmers in Africa and other developing countries can profit from markets.

Policy makers urgently need to put in place measures to feed the world’s poor, who have been hit hardest by the rapid rise of food prices. But we should not be too short-sighted. As well as immediate relief, we need a concentrated, coordinated public-private effort to achieve the scale of reform necessary for sustainable agricultural growth. Only this will prevent similar problems from recurring.

High agricultural commodity prices provide farmers with the means and incentive to invest in enhanced productivity, but only if they can benefit from markets. The majority of the world’s farmers are net food buyers, and policy makers must help them become entrepreneurs. We are faced with a unique opportunity to reverse years of policy neglect and underinvestment in agriculture.

The recent food crisis has put agriculture back at the top of policy agendas across the globe. The renewed focus is both welcome and necessary. In addition to addressing the factors that led to the current food crisis, we need to invest now to help make global agricultural production more resilient to future challenges, not least of all climate change.

Farmers need access to inputs such as fertilizers at affordable prices and at the right time. One of the best remedies is the development of a vibrant network of private sector agri-retailers, who can also relay information on good farming practices. Direct government handouts undermine the viability of these rural entrepreneurs.

The immediate prerogative to raise agricultural output should not lead to neglect of environmental and social considerations. It is important to find solutions that support a range of sustainability objectives. We need public-private partnerships to develop agricultural growth corridors that promote port efficiencies, a coordinated approach to regional rail/road development, storage facilities, affordable and appropriate credit, and cross-sectoral coordination/integration to accelerate agricultural growth in a given region. Research and extension efforts must include farmers, village retailers and the private sector as well as scientists.

The time has come for a new, more holistic approach to agricultural development that results in close cooperation of a spectrum of actors from both the public and private sectors.

For more information, please contact:

Morgan Danielou, Head of Communications, IFA
Office: + 33 1 53 92 05 00 - Fax: + 33 1 53 93 05 47

Sheila Redzepi, Yara International Press Office
Mobile: +32 497 581 364 - Sredzepi@webershandwick.com

Note to editors:
(1) The International Fertilizer Industry Association (IFA) is a not-for-profit organization representing the global fertilizer industry. Our members serve farmers everywhere as they meet the world's growing food, feed, fibre and bioenergy needs in a sustainable manner. IFA has some 475 members in about 85 countries. About half of the membership is based in developing countries. IFA member companies represent all activities related to the production and distribution of every type of fertilizer, their raw materials and intermediates. IFA's membership also includes organizations involved in agronomic research and training with regard to fertilizers.

The global fertilizer industry produces some 170 million tonnes of fertilizer nutrients annually. These are used in every corner of the globe to support agricultural production. There is no substitute for the nutrients absorbed by crops. As a major source of these, fertilizers therefore represent an essential ingredient in the drive towards world food security.

IFA was founded in 1927 as the International Superphosphate Manufacturers Association.

(2) Thorleif Enger was elected to the Presidency of IFA in May 2007.His term continues until May 2009. He is the President and CEO of Yara International ASA, one of the world’s leading suppliers of crop nutrients. www.yara.com