Connecting farmers to markets
The Purchase for Progress (P4P) pilot has allowed WFP to try out new ways of leveraging its purchasing power to support agricultural and market development in developing countries. Over the past five years, the pilot has transformed the lives of hundreds of thousands of farmers, especially women, in 20 developing countries, supporting them to grow more, sell more, and earn more and become more competitive players in their local markets.
P4P links WFP’s demand for staple food commodities (cereals, pulses and blended foods) with the technical expertise of a wide range of partners to support smallholder farmers boost their agricultural production and sell their surplus at a fair price. By providing a market to smallholder farmers and supporting them to improve crop quality and increase their sales to WFP as well as other buyers, the initiative has transformed WFP’s local procurement into a vital tool to address hunger.
Though the five-year P4P pilot period concluded in December 2013, efforts to support smallholders continue as WFP mainstreams key innovations and best practices. WFP is committed to continue its support to smallholder farmers and is mainstreaming key innovations and best practices. These efforts support the Secretary-General’s Zero Hunger Challenge and WFP’s global effort to help smallholders to access markets, addressing food insecurity and poverty. Learn more
P4P-supported smallholder farmers in El Salvador have sold an estimated US$ 2,750,000 (5,866 mt) worth of commodities to sustainable markets including the agroindustry and retail markets. Despite these successes, further efforts are needed to increase national purchases from smallholders, and to support farmers to aggregate and market crops through their organizations. Read the P4P in El Salvador fact sheet to learn more.
Drawing from the expertise of Brazil’s widely acclaimed national local procurement programme, five African countries are piloting their own indigenous models. This small-scale pilot project known as PAA Africa, is implemented by FAO, WFP, local governments, and the Brazilian Ministry of Foreign Affairs. Since its inception in 2012, PAA Africa has developed a complimentary approach to P4P, promoting the use of food items purchased from local smallholder farmers in WFP and government-run school feeding programmes.
In Sierra Leone, government partners, FAO and IFAD have established Agricultural Business Centres (ABCs), providing smallholder farmers with access to training, equipment and storage. Since 2010, P4P has linked the ABCs to WFP’s demand for quality crops, providing smallholders with an incentive to invest in production and taking advantage of capacity development opportunities.
In Uganda, P4P has supported infrastructure improvements to facilitate smallholders’ aggregation of commodities and collective sales. Meanwhile, many challenges remain, especially related to crop quality and standards. Read the P4P in Uganda fact sheet to learn more.