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How development organizations, NGOs, and governments can best allocate scarce resources to those in need has long been debated. As opposed to universal allocation of resources, a more targeted approach attempts to minimize program costs while maximizing benefits among those with the greatest need or market opportunity. Drawing on literature from several sectors,this brief presents two categories of beneficiary targeting in the development context: administrative targeting and self-targeting. The paper includes a brief overview of targeting and segmentation in development, a summary of reasons for targeting, theoretical and practical critiques of targeting, and a discussion of targeting methods in research and practice, including examples from the literature. Implementation examples cited in this body of research include food aid program targeting by self-reported household income in Egypt; fertilizer use in low-potential zones of Uganda; and seven strategic initiatives to improve drought and disease resistance in crops in Asia and Sub-Saharan Africa. We find that beneficiary segmentation has several theoretical advantages. Improved targeting may increase the efficiency and equity of organizational and program efforts and help better match interventions to recipient preferences, increasing the likelihood of adoption and participation. Development organizations may improve the focus of both their strategic priorities and budgets through customized targeting methods. However, concerns exist regarding the accuracy, reliability, cost, and time-constraints of targeting methodologies. Creating valid and reliable target groups with implementation potential remains a significant challenge.
The purpose of this literature review is to examine research and decision-making tools that model the impacts of agricultural interventions. We begin with a short explanation of what model features are being described. We then review decision-support tools and user-end modeling tools (menu-driven tools with an interface designed for easy use), as well as academic and professional research models for assessing the potential impacts of agricultural interventions. This review also includes decision tools and models for analyzing agricultural and environmental policies outside of technology impacts in Sub-Saharan Africa and South Asia. The other tools mentioned here, for example a tool that considers nutritional intervention impacts, are included to help provide a broader understanding of the structure and availability of user-end, decision-making tools. In the final section of this brief, we review the most complex models used more in academic research than for in-field decision-making.
Market-oriented agricultural production can be a mechanism to increase smallholder farmer welfare, rural market performance, and contribute to overall economic growth. Cash crop production can allow households to increase their income by producing output with higher returns to land and labor and using the income generated from sales to purchase goods for consumption. However, in the face of missing and underperforming markets, African smallholder households are often unable to produce efficiently or obtain staple foods reliably and cheaply. This literature review summarizes the available literature on the impact of smallholder participation in cash crop and export markets on household welfare and rural markets. The review focuses exclusively on evidence from Sub-Saharan Africa regarding top and emerging export crops, with the addition of tobacco and horticulture due to the volume of research relevant to smallholder welfare gains from the production of these crops. It includes theoretical frameworks, case studies, empirical evidence, and historical analysis from 42 primary empirical studies and 112 resources overall.
How development organizations, NGOs, and governments can best allocate scarce resources to those in need has long been debated. As opposed to universal allocation of resources, a more targeted approach attempts to minimize program costs while maximizing benefits among those with the greatest need or market opportunity. Many international development organizations strategically target clients based on geographic location (e.g., community, region, country) or socio-economic indicators, such as the World Bank’s “$1 a day” poverty line. Drawing on literature from several sectors, this brief presents additional methods of beneficiary targeting that international development organizations might consider. We find that beneficiary targeting/segmentation has the potential to make organizational and program efforts more equitable and efficient. With limited resources, smaller organizations have tended to use single robust indicators or simple heuristics, whereas agribusinesses and private sector firms have used more data-intensive marketing tools to position their products. Technological innovation and better access to data have made targeting more prevalent and potentially more affordable in agricultural development. However, creating valid and reliable target segments remains the most significant challenge.
Ecosystem services are the benefits people obtain from ecosystems, such as provisioning of fresh water, food, feed, fiber, biodiversity, energy, and nutrient cycling. Agricultural production can substantially affect the functioning of ecosystems, both positively and negatively. The purpose of this report is to provide an overview of the impacts of agricultural technologies and practices on ecosystem services such as soil fertility, water, biodiversity, air, and climate. The report describes the environmental impacts of different aspects of intensive cropping practices and of inputs associated with intensification. We further explore these impacts by examining intensive rice systems and industrial crop processing. Although this report focuses on the impacts of agricultural practices on the environment, many of the practices also have implications for plant, animal, and human health. Farmers and others who come in contact with air, water, and soils polluted by chemical fertilizers and pesticides may face negative health consequences, for instance. By impacting components of the ecosystem, these practices affect the health of plants and animals living within the ecosystem. We find that the unintended environmental consequences of intensive agricultural practices and inputs are varied and potentially severe. In some cases, sustaining or increasing agricultural productivity depends upon reducing impacts to the environment, such as maintaining productive soils by avoiding salinization from irrigation water. However, in other cases, eliminating negative environmental impacts may involve unacceptable trade-offs with food provision or other development goals. Determining the appropriate balance of costs and benefits from intensive agricultural practices is a location-specific exercise requiring knowledge of natural, economic, and social conditions.
In recent years, product supply chains for agricultural goods have become increasingly globalized. As a result, greater numbers of smallholder farmers in South Asia (SA) and Sub-Saharan Africa (SSA) participate in global supply chains, many of them through contract farming (CF). CF is an arrangement between a farmer and a processing or marketing firm for the production and supply of agricultural products, often at predetermined prices. This literature review finds empirical evidence that demonstrates that the economic and social benefits of CF for smallholder farmers are mixed. A number of studies suggest that CF may improve farmer productivity, reduce production risk and transaction costs, and increase farmer incomes. However, critics caution that CF may undermine farmers’ relative bargaining power and increase health, environmental, and financial risk through exposure to monopsonistic markets, weak contract environments, and unfamiliar agricultural technologies. There is consensus across the literature that CF has the best outcomes for farmers when farmers have more bargaining power to negotiate the terms of the contract. In reviewing the literature on CF, we find a number of challenges to comparing studies and evaluating outcomes across contracts. This literature review summarizes empirical findings and analyses regarding contract models and best practices to increase farmers’ bargaining power and decrease contract default.