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Making extension and advisory services market-oriented









​FAO. 2021. Making extension and advisory services market-oriented. Rome.


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    For smallholder agriculture to prosper and transform itself, access to rural services is essential. Rural services that enable smallholders to overcome constraints to increase their productivity, manage their farms as a sustainable business, link to inputs and outputs markets and act collectively to improve their livelihoods are a first line of action to reduce rural poverty. Undoubtedly, improving rural services has long been on the development agenda. Yet, ensuring equitable access to rural se rvices remains a challenge that governments and their development partners need to address to improve rural livelihoods and overcome rural poverty. The pluralistic Market-Oriented Services (MOS) programme aims to address the critical role of rural services in enhancing agriculture-based livelihoods and reducing rural poverty . Emphasis is placed on advisory, financial and support services needed for smallholders to improve productivity, gain access to markets and increase their income to move o ut of poverty. This note outlines the conceptual framework for the pluralistic market-oriented services (MOS) programme, and briefly describes its objective, main dimensions and fields of action.
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    Small-scale family farmers are the backbone of rural communities in the Near East and North Africa (NENA) region. Despite their extensive participation in the agricultural sector, these types of farmers and their farms are disproportionately affected by poverty, ultimately constituting about 70 percent of the poorliving in the region. Apart from adverse agroclimatic conditions, smallscale farmers experience several challenges that stem from their limited assets, land fragmentation and weak capacities, with negative impacts on their productivity, profitability and income. Specific constraints include low volume and quality of produce, high transaction costs, high costs of inputs, low prices and weak access to market information and postharvest facilities – all of which adds up to a limited ability to reach and compete in markets. Small-scale farmers need services that enable them to make informed decisions and facilitate their access to quality inputs, post-harvest facilities and more profitable markets. They also need to reinforce their capacities to act collectively and develop effective organizations that can articulate their demands, amplify their voice, and facilitate their access to services and markets. As a result of persisting gender-based social norms, women typically face more challenges than men in terms of owning assets, accessing quality inputs and services, reaching markets and achieving fair prices.
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    In the rapidly changing context of agri-food systems, extension and advisory services (EAS) are expected to provide new roles and services that go well beyond the traditional production-related technology transfer. Consequently, pluralistic EAS systems with diverse actors have emerged with diverse actors, including private and civil society organisations. These multiple EAS actors must adopt innovative entrepreneurship models if they are to act proactively and respond to the increasing diversity of farmers’ demands while staying independent and sustainable. Entrepreneurship in EAS means applying innovations such as creative and sustainable business models that can capture opportunities and new ideas, broaden the range of services and clients, and foster innovation in the agri-food system. It can strengthen autonomy (e.g. from donor funding), empower community-engaged providers that offer locally relevant services, create job opportunities, and strengthen resilience of EAS to shocks and disruptors. EAS entrepreneurs can include private agribusinesses, scalable start-ups, farmer champions and local volunteers, producer organisations and cooperatives, as well as public sector actors with innovative ideas who can network, create successful partnerships, and are result-oriented, willing to change and take risks. However, the development of appropriate EAS entrepreneurship models is conditioned by internal and external factors, like farmers’ demands, economic motivation, enabling and risk-mitigating policies and regulations, capacities and, perhaps most importantly, a profound mindset change of all the actors, moving towards sustainable and inclusive entrepreneurship and away from institutional silos, rigid public-only and big agribusiness-only schemes.

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