Food Shortage

Insecurity is a major driver of food shortages across Africa. Food shortages is a common phenomenon in conflict prone countries such as South Sudan, Sudan, DR Congo among others. From personal experience working in the front lines as a peacekeeper, warring parties often use food as a weapon of war; either by deliberately destroying farms and livestock or pillaging their enemy’s food stock. Food in conflict zones is often regarded as a resource that potentially either supports the peace or undermines peace as it represents a source of economic wealth and political power. As such, people engaged in the struggles of war always strive to control sources of food and denying same to their opponents/enemies. In violent conflicts where [UN] peacekeeping troops are deployed, soldiers have always been deployed to escort food convoys from one location to another.

Security threats negatively hampers the local ability for cultivation and production of food. In South Sudan for example, frequent inter-communal cattle rustling and clashes between nomadic herdsmen and agrarian communities as well armed combat between the warring parties have been a common occurrence. The issue of food shortage arising out of insecurity therefore cannot be alien to countries such as Burundi which has had a horrific civil war.

Food shortages affect markets, either reinforcing the war economy or otherwise. In South Sudan for example, a vast majority of the population lives on food aid from the UN and allied agencies. This has virtually collapsed local food production. Providing Food Aid in conflict countries, in as much saves people from starvation, nonetheless also serves as a substitute for local resources that would have been used to meet civilian needs, thus freeing them up to use to support the conflict.

The problem of food shortages is better addressed first by addressing all security related challenges. Sustainable peace is the first requirement to achieving food security. Pragmatic policy measures, including to address infrastructural deficits such as good roads to facilitate transportation of food items should be made a priority.

The traditional approach to agriculture and farming focuses on the mass production of produce transported to the market for sale and distribution. However, this results in minimal profit margins and presents challenges such as varying road conditions, fuel costs, and lack of proper food storage facilities, making it difficult for farmers to get their produce to the market on time.

We must develop strategies to help communities establish sustainable agriculture and farming practices to address food shortages. This approach requires the active participation of the community as a whole and aims to leverage the strengths of each member. Every community member would need to engage in the success of this plan by becoming a subject matter expert in growing a particular product that is nutritionally beneficial to the entire community. This methodology would need to be fleshed out. Still, in terms of a concept, this would diminish the need to rely on food grown outside of a particular community and help spur the development, ownership, and responsibility within these communities.

To address Burundi’s food insecurity, a multi-pronged approach is needed. Firstly, bolstering agricultural support for smallholder farmers is critical, including training, resources, and market access. This can be achieved through initiatives like the WFP’s home-grown school feeding programs. Secondly, enhancing health and nutrition services, particularly for vulnerable groups, is essential. This involves distributing specialized nutritious foods and improving public health education on hygiene and diet diversity. Lastly, promoting climate resilience is crucial. This includes investing in water management infrastructure and providing resources for farmers to adapt to changing environmental conditions. Investing in solar technologies can provide reliable and sustainable energy solutions, improving agricultural productivity, access to clean water, and supporting health services. Solar-powered irrigation systems can increase crop yields, refrigerators can preserve food, and solar-powered businesses can create jobs and boost the local economy.

Strengthening MFIs for Farmer Support
Background
Food insecurity in Burundi is not one-off story that is unfavourable. The story represents the entire story of the conditions pertaining to most African countries. The British Red Cross reports a staggering number of people (150 million) in Africa who are struggling without the food they need to survive. According to the UN, COVID-19 exacerbated the trend with 46 million people experiencing hunger which is the highest share in the world. Several factors could be attributed to the situation, but that is not the subject of discussion now. The object of this discussion is to find solutions to reducing hunger through microfinancing. The credits, loans, savings, and other financial packages provided by MFIs effectively help to eliminate poverty in the African continent. Generally, the focus of MFIs is to lend money to poor communities, particularly farming communities. MFIs take this responsibility as people and businesses from low-income communities are usually excluded from accessing financial credits by traditional banks. To ensure that farmers in Africa get the needed financial assistance, it is essential to enhance the effectiveness of MFIs. I will discuss the status of MFIs in Africa, with a particular focus on Ghana. I will also provide my views on making MFIs more successful, which in turn can help lower the interest rates for farmers.

Status of MFIs in Africa
In Africa, MFIs play a vital role in providing financial services to underserved populations, including smallholder farmers. However, the sector faces several challenges, including high operational costs, limited access to capital, and regulatory constraints. Ghana has one of the more developed microfinance sectors in Africa, with numerous MFIs operating across the country. These institutions have been instrumental in providing credit to smallholder farmers, who constitute a significant portion of Ghana’s population. However, the sector is not without its issues: High Interest Rates, Regulatory Challenges, Access to Capital, Technological Integration, High Default Rates and lack of sustainable business practices.
Despite their success, many MFIs in Ghana charge high-interest rates, usually 20% more than the market rate. This is partly due to the high cost of funds and, most times to cover operational expenses. The exorbitant rates can be too expensive for farmers looking to finance their agricultural activities. Since the agricultural activities are generally risky, MFIs also incorporate additional layer of costing in their pricing method.
MFIs also face regulatory challenges. The regulatory framework for MFIs in Ghana is evolving, with efforts to improve oversight and ensure the stability of the sector. Other experts opine that the tired system (formal, semi-formal and informal) allows for focused and systematic regulations for reducing riskiness in the system. I feel, however that, the excessive regulation can stifle growth, and innovation in dealing with agricultural activities if it does not exhibit balance and fairness. Apart from these, the nature of MFIs makes access to external funding difficult. MFIs in Ghana often struggle to access affordable capital, which limits their ability to offer lower interest rates. There is need to explore and encourage investment from international development agencies and private investors to help mitigate this issue. MFIs have only started to integrate technology into their operations and to enhance their service delivery. Most of the MFIs I knew and worked for employed mostly manual processes. So, there is still significant potential for growth in this area, which can help reduce costs, and improve transparency and outreach.
Another issues withing noting, the high loan default rate currently set at 60%, which is more than the internationally acceptable rate of 3%. This is unfavourable for an organisation seeking external support, and sustainability. MFIs should employ the traditional loan diversification strategy (group lending), enhanced/rigorous credit assessment procedure, effective use of technology, including data analytics to track payment and financial behaviour, and providing flexible payment terms for farmers. Lastly, there is a lack of sustainable business practices in MFIs, particularly those concerned with weaker internal controls and governance system. This can be mitigated by implementing robust internal controls, regular audits, and transparent reporting mechanisms.

Enhancing the Success of MFIs to Support Farmers
Specific to the support for farmers to access cheaper loans, the following factors can be considered.
Capacity Building and Training: The farmers usually have a poor understanding in the management of money, so they are likely to mismanage credits leading to higher incidence of default. MFIs must invest in the training and capacity building of both their staff and clients. This includes financial literacy programs for farmers, helping them to understand loan products, manage finances, and improve their creditworthiness. Trained staff can better assess credit risks and manage loan portfolios effectively.
Utilising Technology: Incorporating technology can significantly reduce operational costs for MFIs. Mobile banking, digital loan applications, and automated credit scoring can streamline processes and make services more accessible to remote farmers. Lower operational costs can translate into lower interest rates for borrowers.
Diversified Financial Products: MFIs should offer a range of financial products tailored to the needs of farmers. This includes not only loans for seeds and inputs but also savings accounts, insurance products, and emergency funds. Diversifying financial products can reduce the risk for both the MFI and the farmers.
Partnerships and Alliances: MFIs need the support of governments, international partners and the private sector. Forming partnerships with governmental bodies, NGOs, and private sector entities can provide additional funding sources and technical support. These collaborations can also help in sharing risks and reaching more farmers.
Innovative Financing Models: Some financial models gave been implemented with success in other countries. Alternative financing models like peer-to-peer lending, crowdfunding, and impact investing can bring in new sources of capital. These models often come with lower expectations of returns, which can help in reducing interest rates. Though these models could be new to MFIs in Sub-Saharan Africa in particular, it is worth trying.
Improved Regulatory Environment: There is increased advocacy for a supportive regulatory framework to enhance the activities of MFIs. We argue that governments should create an enabling environment that supports MFIs through favourable policies, tax incentives, and reduced bureaucratic hurdles. This should be a collaborative effort between the state and microfinance institutions (MFIs) to solve the crippling problem affecting people.
Conclusion
To ensure that farmers in Africa, including countries like Burundi and Ghana, have the necessary funds to purchase seeds and other agricultural inputs, it is important to enhance the success of MFIs. This can be achieved through capacity building, leveraging technology, offering diversified financial products, forming strategic partnerships, exploring innovative financing models, and advocating for a supportive regulatory environment. By addressing these areas, MFIs can lower interest rates, making credit more accessible and affordable for farmers, ultimately contributing to improved food security and economic stability in the region.

Food Shortage Post — July 5th, 2024

In January 2024 Everstream, an analytics firm, list agricultural commodity shortages as one of the top supply chain risks in 2024 due to 2023 production halts during what was a turbulent year for crops. Although there are no nationwide food shortages as of June 2024, inventories in some grocery stores temporarily gets low before stores can restock.

While this situation is better that the state of food shortages in 2023 where hunger hotspots were designated by the World Food Programme (WFP) from the Central American Dry Corridor and Haiti, through the Sahel, Central African Republic, South Sudan and then eastwards to the Horn of Africa, Syria, Yemen and all the way to Afghanistan, conflict and climate shocks are driving millions of people to the brink of starvation.

Last year, the world rallied resources of a record-breaking $14.1 billion for WFP alone to tackle the unprecedented global food crisis. Countries like Somalia, had been teetering on the brink of famine, but the international community came together and managed the situation. However, the WFP advises we need to go further, and this can only be achieved by addressing the underlying causes of hunger.

For more information, go to the WFP website at: A global food crisis | World Food Programme (wfp.org).

In Burundi, over 70 percent of the population struggle to make ends meet and nearly 56 percent of children under 5 suffer from stunting (impaired growth due to malnutrition). With 41.2% of population facing food insecurity, 56% of children under 5 are stunted.

Strategies underway to curb some of those challenges are in building the capacity of smallholder farmers in food systems:
– Train in harvest handling and storage,
– Boost farmer’s household incomes
– Promote agricultural digitalization, one of the means for attracting youth in the sector,
– Reinforce farmer associations into cooperative across market in maize, milk, beans, and rice

BMIL FOOD SHORTAGE MEETING
A recent BMIL meeting hosted on July 6th, 2024, was dedicated to the Food Shortage topic.
The meeting was attended by Dr. Lamber Ciza, Dr. Jeffrey Ray, Ali Mora, Daniel Teage, Dr. George Ray, Dr. Lt. Col. Matthew Ayawine, Dr. Sinan Ozgur, and Dr. Danilo Marchcci. A video recording of the meeting can be viewed at the BMIL Library. Summary level meeting minutes are included below.
1. Daniel Teage experienced hunger as a child growing up in Liberia. Daniel indicated that a wide range of things, such as economic sanctions and conflicts, can cause food shortage. Basically, anything that causes a reduction in food supply to the point where there is more demand than supply.
2. Dr. Jeffrey Ray advised we need to get the word out that Burundi has a shortage and needs food.
3. Dr. Lambert Ciza indicated that Burundi is farming with traditional techniques and not taking advantage of any innovative technologies. Due to soil erosion, there is a scarcity of land to farm in Burundi.
4. Dr. George Ray suggested that the United Nations (UN) and the World Health Organization (WHO) may be pursuing the wrong goals. Rather than implementing their policies that encourage urbanization or pushing rural inhabitants to the city. George notes that rural development and local farming should be encouraged to address the food shortage issue.
5. Daniel added that during rainy seasons in Liberia, or other African countries, muddy roads can inhibit transportation of food supplies. Rural farming is needed to ensure that each local area has access to at least some food supplies.
6. Daniel indicated he has purchased 3 acres and is operating a farm, learning how to optimize output by implementing modern technologies, as well as the best practices of the past.
7. Dr. Danilo Marcucci, who has experience with coffee in Guatemala, indicated you need to look at local governance and how the land is distributed, how it is divided, set up, and what each parcel can do. Danilo indicated that a lot of international organizations are working with women due to their organization and decision-making skills, which can be leveraged to get food to the right people. Danilo also advised reviewing how the local government is dealing with the infrastructure for delivering the food supplies.
8. Lt. Col. Dr. Matthew Ayawine noted food shortages are a common phenomenon in conflict prone countries such as South Sudan, Sudan, Democratic Republic of the Congo among others. From personal experience Dr. Ayawine had working in the front lines as a peacekeeper, he observed that warring parties often use food as a weapon of war; either by deliberately destroying farms and livestock or pillaging their enemy’s food stock. Food in conflict zones is often regarded as a resource that potentially either supports peace, or undermines peace, as it represents a source of economic wealth and political power. As such, people engaged in the struggles of war always strive to control sources of food and deny the same to their opponents/enemies. In violent conflicts where [UN] peacekeeping troops are deployed, soldiers have always been deployed to escort food convoys from one location to another. Also, security threats negatively hamper the local ability for cultivation and production of food.
9. Dr. Jeffrey Ray contrasted two types of farming he has observed. While driving through Camarillo, California, he saw modern farms with perfectly growing rows of crops almost as far as you can see. This type of high technology farming with modern watering, fertilizing, and insecticide management yields significant proceeds. This type of centralized farming, more of a business, could be used to supply food, as long as infrastructure (transportation, roads, refrigeration, storage) are implemented to support them. On the other end of the spectrum, Dr. Ray’s daughter-in-law, whose grandfather farmed into his early 90’s, recently put 15 foot by 30 foot planter in her back yard and is teaching the grand kids to farm. They are growing remarkable amounts of green beans, carrots, onions, radishes, herbs, tomatoes and peppers. It was suggested that a strategy of leveraging small, medium and large farms would be most beneficial.
10. Dr. Eric Osei, who could not attend, but raised awareness of the importance of Micro-Finance Institutions (MFIs) to support local, rural farming. The credits, loans, savings, and other financial packages provided by MFIs effectively help to eliminate poverty in the African continent. Generally, the focus of MFIs is to lend money to poor communities, particularly farming communities. MFIs take this responsibility as people and businesses from low-income communities are usually excluded from accessing financial credits by traditional banks. To ensure that farmers in Africa get the needed financial assistance, it is essential to enhance the effectiveness of MFIs. Despite their success, many MFIs in Ghana charge high-interest rates, usually 20% more than the market rate. This is partly due to the high cost of funds and, most time to cover operational expenses and risks associated with framing.
11. Dr. Sinan Ozgur indicated a multi-pronged approach is needed to address Burundi’s food insecurity. Firstly, bolstering agricultural support for smallholder farmers is critical, including training, resources, and market access. This can be achieved through initiatives like the WFP’s home-grown school feeding programs. Secondly, enhancing health and nutrition services, particularly for vulnerable groups, is essential. This involves distributing specialized nutritious foods and improving public health education on hygiene and diet diversity. Lastly, promoting climate resilience is crucial. This includes investing in water management infrastructure and providing resources for farmers to adapt to changing environmental conditions. The group then had a discussion on how training would vary depending on the size and type of farming to be conducted. Rural farm training programs would be tailored for their needs, training for large, high-tech, farming would focus on their needs.
12. Ali Mora recommended the training of youth to help support operations at existing micro-farms, to help develop new micro-farms, to connect to and join local marketplaces to sell farm products, and to identify other means of food production or business alternatives such as identifying products that can be sold online.
13. Daniel concluded the meeting by noting micro-farming overs ways to benefit sustainable agriculture that can address the insecurity of fresh foods during times of conflicts, bad weather, or natural disasters.

Addressing Food Shortages requires collective action and long-term solutions. It is also worth remembering that around 11 % of the world’s population faces and continues to face access to food in terms of quality and quantity. The gross of the 11 % are impoverished. As Dr Lamberd stated above, 70 % of the population in Burundi struggles to make ends meet. This infers that due to Burundi’s comparative conditions, there is much more hunger concentration there than in other African countries.

Addressing food shortages is crucial for the well-being of communities worldwide. Here are some ways to tackle this urgent issue:
1. Fund Humanitarian Efforts to Prevent Famine: Organizations like the World Food Programme (WFP) work tirelessly to prevent famine in regions where a considerable percentage of the population is food insecure, with a high risk of malnutrition and stunting children under 5. By providing adequate funding, WFP and other humanitarian players, governments, and NGOs can ensure that families in famine zones receive essential rations and support.

2. Investment in Smallholder Farmers: Smallholder farmers play a vital role in rural communities. Supporting them with resources like seeds, fertilizer, and technology can boost food production and reduce hunger rates. Information technology, such as mobile technology, can connect impoverished people with farmers, small farmers, farmers associations (cooperatives), digital marketplaces and aggregator applications, mobile payment solutions (mobile wallets and QR codes and contactless payment), supply chain tracking and transparency (blockchain and traceability Apps) and agricultural advisory services like mobile application for farming tips to site only these mobile system based up. Dr. Kanda’s 2022 work on the impact of mobile technology in overcoming supply chain challenges provides more insights into the subject.

3. Promote Regenerative Food Practices: Encouraging sustainable farming methods can enhance soil health, increase crop yields, and improve food security. This item might address access and increase the quality and quantity of harvest per square meter currently collected.

I still have no clear information on shipping vegetables or any perishables such as carrots in Burundi. We have a lot of problems in cold supply chain logistics, regionally, but mainly in Burundi. Burundi is far away from the main ports (Mombasa is at 1590.2 km, and 1575.1 km from Dar es Salaam). I learnt that fees for cold tracks cause a serious problem for making this shipment.

We came to the problem of data from Burundi. I committed to check on what is available. One of the most informative documents is attached Soil Acidity and Fertility Mapping in Burundi: 2022 Edition – IFDC produced by IFDC. I found it interesting as it mapped all the provinces of Burundi, with a booklet for each province (See mine Ruyigi). Four nutrient elements are nitrogen (N), phosphorus (P), Potassium (K) and the predominance of soil pH. https://ifdc.org/2022/12/08/soil-acidity-and-fertility-mapping-in-burundi-2022-edition/#:~:text=Access%20the%202022,Provincial%20Fertility%20Booklets

Of course, the ArcGIS software has produced static maps which makes some dynamics remain uncaptured until another mapping exercise. This urged me to look for how AI is doing in the farming sector. I found some useful information on AI-powered predictive analytics in agriculture (AI in Agriculture and Farming: Revolutionizing Crop Growth – Intellias) and more interestingly, the unified farm management system was of great interest (Farm Management Software to Boost Production & Profitability | Intellias).
In my understanding, the Farm Management Software is equipped to produce AI powered predictive analytics data necessary for the pilot project of micro-farming.

I understand, these remain insufficient, and I continue to work on that mainly with two of our founding members Dr Charles who is an expert in hydrology F Member Charles Bio – BMIL, and Libère who is an agricultural engineer with professional experience in managing rural development programs F Member Libère Bio – BMIL.