Globalization and development of agriculture in the Americas

Code:
ATN/SF-6486-RG04/98
Initiative:
Call for Proposals
Other agencies:
USD 200.000
Counterpart Amount:
USD 600.000
Other agencies
USD 200.000
Total Amount:
USD 800.000
Participating countries:
United States United States Colombia Colombia Argentina Argentina Chile Chile Costa Rica Costa Rica
Funding source:
Other agencies 25% Counterpart Amount 75%

Executive Summary

Trade and financial aspects of globalization and its relationship with regional agriculture were analyzed to guide policy and resource allocation for research and development in LAC.

It studied (a) the role of agriculture in relation to international trade, financial and macroeconomic policies and the impact of these policies on the production, consumption and trade of agricultural and agroindustrial products; (b) sectoral policies and agricultural research; (c) the competitiveness of regional agriculture; and (d) the likely effects on the agricultural sector of changes in international trade conditions. The international context was characterized and indicators of globalization for agriculture in the region were identified.

It was shown that the global context has become more competitive because of increased subsidies and protectionism in industrialized countries, macroeconomic policies that reduced growth, increased production in developing countries, and the fall in real prices of agricultural products on world markets. The performance of Latin American agricultural production and trade is discussed.

The study suggests criteria and guidelines for investment in agricultural research and development and better coordination of trade and financial globalization with the processes of technological change in agriculture.

The technological solution

This was a study that updated the comprehensive analysis of the relationship between globalization and agriculture in Latin America, the competitiveness of this activity and its need for technological development. The application of general equilibrium models to study the impact of technological scenarios and to relate the level of technology to global trade scenarios, does not have many precedents in the region, which is why this project is a pioneer in the use of this type of analytical tools.

Results

The research generated analytical information on globalization and its relationship with agriculture in LAC that can be the basis for economic and sectorial policy makers to formulate an appropriate legal framework to reconcile globalization with the interests of agriculture and technological research in LAC.  In the future, this may translate into an improvement in the competitiveness of agricultural activity in the region. The project leaves the databases generated, the output tables designed, the indicators calculated, the analysis methodology used, the models calibrated and a group of researchers trained to execute and deepen this type of analysis.

Beneficiaries

The beneficiaries of this project are public policy makers, research institutions, academics and all interest groups linked to agriculture in the region.

Main donors

Participating Organizations

Executor
  • IFPRI - Estados Unidos
Co-executor
  • Instituto Interamericano de Cooperación para la Agricultura (IICA) - Colombia
Associated
  • Corporación Colombiana de Investigación Agropecuaria (CORPOICA) - Colombia
  • Instituto de Investigaciones Agropecuarias (INIA) - Chile
  • Instituto Nacional de Tecnología Agropecuaria (INTA) - Argentina
  • MAG - Costa Rica
  • Instituto Interamericano de Cooperación para la Agricultura (IICA) - Costa Rica
  • Instituto Interamericano de Cooperación para la Agricultura (IICA) - Chile

Graphics and data

Financing by country
FONTAGRO Amount Other agencies Counterpart Amount

Geolocated Map

Sponsors
BID
IICA
With the support of
Fondo Coreano de Alianza para el Conocimiento en Tecnología e Innovación (KPK)