Smallholder farmers in developing countries play a key role in meeting the future food demands of a growing and increasingly rich and urbanized population. However, smallholders are not a homogeneous group that should be supported at all costs. Whereas some smallholder farmers have the potential to undertake profitable commercial activities in the agricultural sector, others should be supported in exiting agriculture and seeking nonfarm employment opportunities.
For smallholder farmers with profit potential, their ability to be successful is hampered by such challenges as climate change, price shocks, limited financing options, and inadequate access to healthy and nutritious food. By overcoming these challenges, smallholders can move from subsistence to commercially oriented agricultural systems, increase their profits, and operate at an efficient scalethereby helping to do their part in feeding the worlds hungry.
The objective of this brief is to review the latest literature and developments related to actions taken in preventing and managing food price spikes and volatility and to identify future actions to build a more resilient global food system.