Food and nutrition security remain at the top of development priorities in low income countries. This is especially the case for smallholder farmers who derive their livelihood from agriculture yet are often the most deprived. Inclusive agribusinesses have been championed as a key strategy to address local constraints that limit smallholders’ participation in regional and global value chains, thereby enhancing their livelihood, and food and nutrition security, accordingly. In this paper, based on a mixed method research approach, we explore the potential food and security contribution of inclusive agribusiness in Makueni county, Kenya. We focus on the smallholders’ constraints and needs, exploring the extent to which these are addressed by such purported pro-poor approach. First, using independent sample t-tests and a probit regression model, we explore who are able to participate in an ongoing intervention. We compare how participants and non-participants differ in terms of key socio-economic characteristics and establish which of these attributes are associated with successful integration into the business. Second, we again use independent sample t-tests to determine how the participants and non-participants compare in terms of their food and nutrition security. The household food and nutrition security is assessed with the conventional measurement tools: the household food insecurity access scale and the household food dietary diversity score. We find that participation in the inclusive agribusiness favors smallholder households with relatively higher production capacity in terms of better physical capital (land and number of mango trees, financial capital), access to loans, and human capital (age, education, and family size). Following income improvement, the participants’ household food security situation is significantly better than for non-participants. However, participation does not improve household dietary diversity, implying that improvement in income does not necessarily lead to better household nutrition security. To address the limitations of inclusive agribusiness, we propose policymakers and development actors to critically explore the contextual background prior to intervention design and implementation, and accordingly devise a broader approach for more inclusivity of the very poor and marginalized, and better food and nutrition security outcomes as a result. Given that not every smallholder could benefit from inclusive agribusiness for their food needs due to resource scarcity, alternative livelihood supports, including social protection programs and safety net plans, should be considered.
Inclusive business is regarded as having the potential to improve food security status in the Global South. Despite increased popularity among governments, donors and other development stakeholders, little is known about the approach’s impact on smallholder farmer communities. As such, the above-mentioned inclusive business promise on food security status largely rests on assumptions. This article scrutinises a case of smallholders’ French bean production for export market in Tharaka Nithi County, Kenya. The business model adopted in the initiative is termed inclusive and is intended to enhance food and nutrition security in the community. The empirical findings show that several contextual factors—in particular, access to land and water resources—limit the participation of the majority of farmers in the community. This leads to a notable level of exclusion. Moreover, the company risks negatively influencing local food security when food crops are substituted for an export crop that is not consumed locally. Results of this article demonstrate that while private sector-led development might contribute to higher economic productivity and access to food of better quality, it rarely changes the structural causes of food and nutrition insecurity, which are oftentimes related to access to production resources. We plead for increased scrutiny of the contextual factors when designing and implementing inclusive business models.
Smallholder commercialization is central to international development policy and practice. As a result, several arrangements to foster market linkages are being implemented. Especially popular are farmers’ organizations, which are believed to be owned, controlled, and financed by smallholders. As such, their design is considered inclusive given every household in a community is theoretically allowed to become a member, and the governance and management structure encourage participatory decision-making. However, even in the context in which farmers’ organizations are actively promoted, a notable proportion of smallholders may not be able to engage in market-oriented production or may opt for the existing alternative marketing arrangements, as dictated by individual households’ socioeconomic characteristics. Focusing on the case of smallholder farming in Olenguruone, Nakuru county, Kenya, where a donor funded dairy farmers’ cooperative marketing arrangement is promoted alongside existing marketing opportunities, the present research investigated the factors that determine smallholders’ commercial farming orientation and marketing arrangements. It employed a case study approach, combining both quantitative and qualitative research methods for a more complete empirical inquiry. The findings demonstrate that irrespective of the external support provided through marketing opportunities such as farmer organizations, smallholders’ engagement in commercial farming and marketing is dictated by the socioeconomic attributes and market perceptions that are heterogeneous among households in a smallholder community.
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