Vulnerable groups policy
Policy recommendations to protect vulnerable groups from food price volatility.
"Vulnerability refers to the likelihood of being unable to cope with shocks and, as a result, to become food insecure. Vulnerability to food insecurity often co-exists with other forms of vulnerability such as poverty and ill-health. It can affect many different groups including consumers, smallholders, the urban poor and the landless. Young children, female-headed households, pregnant women, the elderly and disabled are particularly at risk in developing countries. It was argued that not enough attention has been paid to the urban poor and those who are landless, as the focus has generally been on poor farmers.
It is difficult to measure vulnerability and to determine its threshold. The proportion of income spent on food in Africa, for example, ranges from 50 to 80 per cent. But it is unclear at what point in this range people become vulnerable and therefore who needs to be assisted. Very little is known about how vulnerable groups cope with food price increases. One strategy is to reduce consumption, which inevitably has negative nutritional outcomes. In fact, the nutrition element of food security is often largely ignored.
The policy tendency has been to focus on emergencies, such as when people are starving, and systems are good in this area. But there is an additional group suffering from inadequate food intake to which policy attention is not paid. There has been a mismatch between what is known and the policies applied. For example, it is known that increasing production of the same crop will cause its price to fall. While this may lead to lower prices for the consumer, it reduces farmers’ incomes and their own food security. Yet policies often encourage producers to do just that.
The question of whether small farmers benefit when prices are high was raised. Higher agricultural commodity prices can stimulate investment and therefore boost production, or, be costly for farmers if input prices rise too. In 2008, most of the food assistance provided to 150 million people was purchased from small farmers in Africa.
In order to address vulnerability, the focus needs to shift from the national to household level. Buffers for stocks, safety nets, insurance, and sustainable livelihoods are needed. Safety nets are considered to be a critical element. A mechanism is required that Least Developed Countries (LDCs) can rely on at times of price spikes, as those most at risk do not have access to markets. The best safety net to counter food price volatility in developing countries is increased investment in domestic agriculture4, as well as rigorous research into its technological development. There is a lack of data at village level concerning internal markets and what people pay for food. However, this should not lead to policy inaction.
When formulating policy, vulnerable groups should be included in the process. The following should also be taken into account: consumption substitution, land and land rights, livestock, the lives of pastoralists, price-setting in Africa, the diversity of crops grown in Africa and the fact that they are not tracked among global commodities, the importance storage facilities and transport, and the need for responsible reporting of food issues to prevent panic."