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May 2012 Facing the Future: Critical Challenges to Food and Agriculture www.foodandagpolicy.org
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Page 1: Facing the Future: Critical Challenges to Food and Agriculture · Facing the Future: Critical Challenges to Food and Agriculture AGree AGree seeks to drive positive change in the

May 2012

Facing the Future: Critical Challenges to Food and Agriculture

www.foodandagpolicy.org

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Facing the Future: Critical Challenges to Food and Agriculture

AGree

AGree seeks to drive positive change in the food and agriculture system by connecting and challenging

leaders from diverse communities to catalyze action and elevate food and agriculture policy as a

national priority. Through its work, AGree will support policy innovation that addresses four critical

challenges in a comprehensive and integrated way to overcome the barriers that have traditionally

inhibited transformative change. AGree anticipates constructive roles for the private sector and civil

society as well as for policymakers.

Background on This Document

The four papers in this series describe the critical challenges AGree believes are facing the food and

agriculture system. They articulate important facts, issues, and questions that need to be addressed.

Their genesis is in the dialogue over the past year among the AGree Co-Chairs and Advisory and

Research Committee members who have considered the best available science and shared their

perspectives on the challenges as well as potential opportunities to transform the system. AGree

intends for these papers to serve as conversation starters as we more deeply engage groups and

individuals with an interest in identifying solutions.

Although all the individuals formally affiliated with AGree may not agree completely with every

statement that follows, they are committed to working together to find solutions to the challenges

facing food and agriculture.

AGree has identified a comprehensive framework of strategies that, together, address the four

challenges. As illustrated in the graphic on page iii, there is no hierarchy among the strategies; all are

vital. In 2012, AGree will address a subset of the strategies, focusing our efforts on issues we are best

positioned to address. Many of the strategies are being addressed in depth by other initiatives and

organizations. Where possible, AGree will seek to amplify the work of others.

Acknowledgments

AGree would like to thank members of the Research Committee, the Advisory Committee, and the Co-

Chairs for their work in conceptualizing, drafting, and refining this initial series.

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Facing the Future: Critical Challenges to Food and Agriculture

AGree Co-Chairs

Dan Glickman, Former Secretary of Agriculture under President Bill Clinton

Gary Hirshberg, Chairman of Stonyfield Farm

Jim Moseley, Former Deputy Secretary of Agriculture under President George W. Bush and

a fourth generation Indiana farmer

Emmy Simmons, Former Assistant Administrator for Economic Growth, Agriculture and Trade –

U.S. AID

AGree Staff

Deborah Atwood, Executive Director

Todd Barker, Senior Partner, Meridian Institute

Mil Duncan, Research Director

Advisory Committee

Rudy Arredondo

Ousmane Badiane

Dave Baudler

Chuck Benbrook

Jim Borel

Craig Cox

Jeff Dlott

Kristin Weeks Duncanson

Bev Eggleston

Ginny Ehrlich

Jeremy Embalabala

Debra Eschmeyer

Steve Flick

Paul Guenette

Hal Hamilton

Susan Heathcote

A.G. Kawamura

Mark Keenum

Shiriki Kumanyika

Carl Mattson

Rekha Mehra

Eric Olsen

Pat O’Toole

Judith Redmond

Nancy Straw

Elizabeth Thompson

Robert Thompson

Johanna Nesseth Tuttle

Connie Veillette

Claire Wang

Shonda Warner

Fred Yoder

Research Committee

Bruce Babcock

Chris Barrett

Ken Cassman

Douglas Jackson-Smith

John Reganold

Beatrice (Bea) Rogers

Katherine (Kitty) Smith

Tom Tomich

Parke Wilde

Foundation Partners

Ford Foundation

Bill & Melinda Gates Foundation

The William & Flora Hewlett Foundation

Robert Wood Johnson Foundation

W.K. Kellogg Foundation

The McKnight Foundation

The David and Lucile Packard Foundation

Rockefeller Foundation

The Walton Family Foundation

For full biographies and pictures, please visit our website www.foodandagpolicy.org

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Facing the Future: Critical Challenges to Food and Agriculture

Table of Contents

The Challenge of Meeting Future Demand for Food ................................................................................ 1

The Challenge of Conserving and Enhancing Water, Soil, and Habitat ......................................... 14

The Challenge of Improving Nutrition and Public Health .................................................................. 27

The Challenge of Strengthening Farms, Workers, and Communities ............................................ 36

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The Challenge of Meeting Future Demand for Food

The Challenge of Meeting Future Demand for Food

he world’s population, at 7 billion people today,

is expected to reach 9 billion by 2050 and may

exceed 10 billion by the end of the century.1 The

vast majority of this growth will occur in developing

countries, especially in South Asia and sub-Saharan

Africa, regions already too familiar with chronic hunger.

Much of the expansion will also occur in urban areas,

where most people buy food, not grow it.2

Meeting the food needs of billions will not be easy. We

must at once work together to enable

farmers around the world to produce higher

yields—and get those crops to market

efficiently—while also tending to a fragile

environment and conserving the valuable

resources of land and water.

As the world’s largest producer, exporter,

and donor of food, the U.S. can and will play a

significant role in meeting this challenge,

through continued exports, through

agribusiness investments, and as a source of

technological innovation and financial

capital. America’s strategic interest in

ensuring that a growing world population

has enough to eat is a strong one. The route

from hunger and poverty to political turmoil

can be a direct one.

Imports from surplus-producing countries like the U.S.

will always be critical for those countries that cannot

grow enough to meet their own needs (Figure 1).

Where countries can increase their own production, this

will provide the most reliable boost to both rural

incomes and food supply. Most food consumed in the

world is grown locally. Therefore, developing countries

must grow more food, grow it more efficiently, and

significantly reduce post-harvest losses. More

smallholder farmers must grow food not only to feed

their own families, but to feed others, and in selling to

others pull themselves out of poverty.

Historically, the United States has been a leading source

of agricultural knowledge and innovation, grain and

other agricultural exports, agricultural development

assistance, and food aid. Looking at the expected food

needs of 9 billion people, we must ask once again: What

role will the U.S. play in meeting this future demand? Is

the U.S. making the public and private agricultural

research investments necessary to be a source of

innovation appropriate for the systems and challenges in

food-insecure regions?

Will it maintain its commitment to addressing hunger

around the world in a period of increasingly tight

budgets? How might the U.S. best enable the transfer of

knowledge and technology to smallholder farmers,

agribusinesses, and emerging food systems? Can the U.S.

play a leading role in developing agricultural systems

that produce significantly more while leaving a smaller

environmental footprint?

With a changing landscape of production, trade, and

consumer demand, the role of U.S. agriculture will

necessarily evolve. To shape this role most effectively,

changes must begin now. Feeding 9 billion people will

continue to require U.S. leadership, but in what form?

T

Source: Corn, Soybean, Wheat, Sorghum: FAOStat. Rice (milled) USDA

Figure 1

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The Challenge of Meeting Future Demand for Food

How Much More Food Will Be Needed?

A key question in preparing for the growing demand is,

how much more food will we need to produce? The

question is difficult to answer precisely, and estimates

are hard to pin down, but we will likely need to increase

food production by 50 to 100 percent to support this

growing and changing population.3

Some skepticism is warranted regarding all such

estimates, given researchers’ poor track record in

estimating demand and supply of the major food crops.

Until 2005, nearly all of the widely used models

predicted that the real price of major grains and oilseeds

would remain constant or fall in the foreseeable future.

That didn’t happen. The models missed the mark for at

least four reasons:

1) They underestimated the rate of growth in economic

development of the world's most populous

countries,

2) They overestimated the rate of yield gain for the

world's most important food crops,

3) They failed to foresee the rapid rise in energy prices

and the resulting diversion of food crops for

biofuels, and

4) The estimates ultimately depend on policy choices

that are themselves influenced

by the models.

As a result of these prediction

misses and policy failures,

developing and developed

countries misdirected both

research and investments.

Analyzing what went wrong in the

recent past is an important

starting point in assessing how to

meet global food demand in the

future.

Part of the uncertainty about

future needs is forecasting what

diets will look like in the future, which will depend on

rates of economic growth as well as personal and policy

choices. As populations grow, so too grows the middle

class, and with this growth comes changing demands for

food. A growing middle class will want different, and

often more resource-intensive, food, such as more

processed foods, meat and other animal products, and

fruits and vegetables.4 Today, about one-third of global

cereal production becomes animal feed, which then

becomes eggs, dairy products, and meat.5 The costs of

“converting” the feed into meat and dairy products

varies, but the bottom line is that the world will face

increased pressure on cropland, fossil fuel energy, and

water.6

Research and Education Are Linchpins of Increased Productivity

To increase productivity and yield, we need advanced

research and outreach. Developing new technologies

must go hand in hand with education and extension

services to share improved production practices and

technologies with farmers. To be effective, technologies

must be appropriate to place and people, recognizing the

unique characteristics of growing regions, cultures, and

economic and political conditions. And local production

is key. As Figure 2 shows, about 85 percent of food is

eaten in the same country in which it is grown. Only a

Figure 2

Source: FAOStat, WFP INTERFAIS

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The Challenge of Meeting Future Demand for Food

small proportion of food is traded internationally or

provided as food aid. Estimates are that global average yield growth in the

major cereals must accelerate to 1.75 percent per year,

even in the face of climate change and weather

fluctuations, in order to spare vast tracts of currently

uncultivated lands from being put into agricultural

production. Putting that much into production could

cause serious environmental problems, from habitat and

biodiversity loss to greenhouse gas emissions.7

But danger signs are looming. For years, yields had been

increasing for the world’s three major cereals (maize,

rice, and wheat). But beginning in the mid-1990s, the

pace of yield gains began to slow, from about 2.9 percent

in 1966 to 1.3 percent in 2006.8 This slowdown of yield

growth is compounded in Africa and Asia by lower yields

overall.

Agricultural yields in Africa and Asia are low by global

standards, only one-third those of the highest-income

nations.9 Lower yields generally result from technical,

policy, and economic factors that constrain access to

land, water, nutrients, high-quality genetic material,

extension services, storage facilities, transportation

infrastructure, finance, and markets.10

In countries where most crops have not yet reached 70

to 80 percent of their biological yield potential (the point

at which yield growth rates often begin to decline),

public investment in research, education, and extension

can result in sizable improvements.11

Helping farmers in developing countries increase yields

will be the most important strategy to meet growing

demand. Increasing yields is particularly important to

farmers in sub-Saharan Africa and South Asia, where the

gap between current and potential yields is large. And

this must all be done using techniques and technologies

that conserve soil, water, and habitat and that avoid

negative impacts on public health.

The United States can provide research, education, and

technical assistance to help developing countries grow

more food. U.S. agriculture can also increase its own

productivity and spur technological innovations more

broadly by strengthening its domestic research efforts to

feed a growing domestic population and export food to

those countries unable to grow enough themselves.

Investing in R&D is a powerful strategy for economic

development. Agricultural research investments

consistently generate average annual rates of return

across the economy of 30 percent to 75 percent.12

Moreover, given that most of the poor in developing

countries live in rural areas and derive significant

income from agriculture, growth in agriculture is two to

three times as effective in reducing poverty as growth in

other sectors, making agricultural investment especially

“pro-poor,” development that ensures the poor benefit

as well.13

Although investments in research have been on the

wane in recent decades, recent signs suggest investment

in the development of agriculture in low-income

countries has begun to rise.14 In 2009, the U.S.

government launched “Feed the Future” to allocate

additional resources and better align efforts across

government departments and donors. The program

(www.feedthefuture.gov) focuses explicitly on nutrition

and agricultural development, which are in many, if not

most, countries central to pro-poor economic progress.

Feed the Future, which acknowledges that agricultural

development does not automatically result in nutritional

benefits, has made explicit programmatic links that help

translate agricultural productivity into food security and

nutritional improvement.

It should not be forgotten that although most food is

consumed in the country where it is produced, not all

countries can grow enough food to support their

populations. In countries without fertile soil or that face

harsh growing conditions, trade—often in the form of

imported food from the United States and other surplus-

producing countries—is a lifeline. Therefore, as demand

continues to grow, U.S. agricultural productivity must

also keep pace. R&D at home is needed as well.

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The Challenge of Meeting Future Demand for Food

Meeting the Challenge:

On the Ground in Uganda

In eastern Uganda, Katie Saram worked alone, cultivating a small plot of land using traditional methods. Like other

Ugandan women, she balanced farming with caring for her children, hauling water, and preparing food. The hectare of

land she was able to farm was barely enough to sustain her family.

Despite its harsh conditions, Uganda’s agricultural potential is tremendous. The land is fertile, the climate is mild,

there is enough rain for two growing seasons, and nearby markets are nowhere near saturated.

Five years ago, Saram heard about a Ugandan NGO – supported by a U.S.-based development NGO – that was helping

smallholder farmers form farmer groups, grow better crops, reduce post-harvest waste, and sell their surplus. Saram

signed up and was soon learning new techniques, such as proper spacing and weeding of crops, how to cultivate

better varieties of vegetables, and how to use simple technologies such as maize cribs and elevated cassava-drying

racks to reduce post-harvest losses. She also now grows vitamin A-rich foods in her kitchen garden to improve her

children’s health.

Today Saram no longer farms in

isolation. As the contact farmer for her

group, she—and her farm—serve as a

model of good farming, health, and

hygiene. Her farm now has a pit latrine,

shower, and tippy tap (a simple device

for washing hands), which reduce the

risk of diarrhea, typhoid, and cholera.

It is these basic, yet needed,

adjustments—learned through

exchange and education between

farmers—that producers around the

world will need to make if they are to

move from growing barely enough for

themselves to growing enough to help

feed 9 billion people in the near future.

Adapted from ACDI/VOCA success story, Female Farmers Gain Knowledge, Respect in Uganda,

http://www.acdivoca.org/site/ID/ugandaKatieSaram

photo courtesy of ACDI/VOCA

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The Challenge of Meeting Future Demand for Food

Water Scarcity and Climate Variability Add to the Challenge

Climate change is expected to have a disproportionate

impact precisely on those regions where demand growth

is expected to be greatest15 and the capacity to adapt the

weakest.16 Climate change is predicted to affect

precipitation rates and patterns, resulting in both more

droughts and increased catastrophic flooding in various

parts of the world. Sub-Saharan Africa is particularly

vulnerable, as 95 percent of its crop production area

relies entirely on rainfall.17 Climate change also is

expected to affect temperature, growing season, soil

moisture levels, rates of pest invasion, and other critical

agricultural production factors. A central objective of

agricultural research, extension, and education, as well

as rural credit systems, must be to help farmers and

producers successfully adapt to changing conditions.

Fluctuating temperatures, variable rainfall, and changing

seasonal patterns elevate risk for farmers. Recent

innovations in commercially viable index insurance may

offer new opportunities to reduce reliance on

government-funded risk management mechanisms.18

Nonetheless, much of the necessary adaptation will

come in farming and natural resources management

practices as well as in crop and livestock genetic

material. Agricultural strategies, such as new seed

varieties, technologies, and innovative practices, as well

as greater diversity of crops, are needed to increase

resilience to variability in weather, pathogen and pest

pressures, and market fluctuations.19

As crops fail or yield declines because of hotter or colder

growing conditions or changing precipitation patterns, a

pernicious feedback loop begins when food availability

fails to meet demand. Food prices rise as a result. With

crops more valuable, the incentive is great to convert

carbon-rich rainforests, wetlands, and grasslands to crop

and livestock production. This only accelerates

greenhouse gas emissions, aggravating climate change

and putting further pressure on agriculture.20 Land use

change currently accounts for about one-third of human-

caused CO2 emissions.21

Farmers also must have access to water, but in many

regions of the world water is scarce. Nearly half a billion

people around the world currently suffer from water

shortages, and by 2025, it is estimated that two out of

every three people will live in water-stressed areas.22

Climate change may further exacerbate water scarcity by

altering rainfall patterns and the availability of water

resources.23 Irrigated agriculture is the dominant user of

water, accounting for approximately 70 percent of global

water use and 80 percent of water consumption in the

United States.24 Irrigation has helped boost agricultural

yields and has been a critical component in increased

food production in the past 50 years. However, with

increasing water scarcity, agriculture will compete with

other sectors seeking water, which may affect producers’

ability to provide food security for a growing population.

New technologies may help alleviate the pressures.

Modernized storage and water delivery infrastructure,

high-efficiency irrigation, water reuse/storage,

atmospheric water harvest, and desalination of ocean

and brackish water are all possibilities to address water

shortages.

Significant investments in research, technology

development, education, and extension appropriate to

place and people will be needed to assist farmers around

the world in producing food under changing climatic

conditions and in conditions of water scarcity—and to

avoid the need for emergency food aid. However, even

with significant progress, we can anticipate that

droughts, floods, pests, and other natural disasters that

disrupt food supplies, as well as economic variability and

military conflict, will necessitate emergency food aid

from time to time. The United States is the largest

provider of donated food to developing countries.25 To

avoid being counterproductive in the long term,

emergency food aid must be provided in a manner that

avoids distorting local markets and undermining

productivity gains in developing countries.

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The Challenge of Meeting Future Demand for Food

A Kink in the Chain: Post-Harvest Waste and Poor Market Access

Reducing post-harvest waste is another crucial element

in meeting the challenge of feeding 9 billion people.

Although there are few reliable estimates of the

magnitude of food lost between harvest and

consumption, experts believe the volumes are huge: 15

percent to 50 percent worldwide.26 In the high-income

countries, most losses are at retail and post-consumer

waste stages. Indeed, developed countries waste as

much food as sub-Saharan Africa produces.27 In addition

to this waste, increasing amounts of potential food and

animal feed are being diverted to produce biofuels.

In the developing world, post-harvest losses occur

primarily on the farm, often because poor infrastructure

inhibits the farmer's ability to get the harvest or animals

to market. Significant losses also occur on farms from

pests, disease and poor storage. These losses are also

closely linked to food safety concerns related to

biochemical contamination – by mycotoxins, for

example. In large parts of Africa, how food is stored can

expose it to moisture, which contributes to the

development of aflatoxins.

Reducing post-harvest waste will require strengthening

regional food systems by improving physical transport

and communications infrastructure, as well as by

making institutional improvements in grades, standards,

and contracting arrangements. Reducing administrative

barriers to intra-regional and international trade will

also help.28 A further benefit of better market chains and

regional food systems is the improved flow of surpluses

to areas of need—a major challenge in many countries

with high rates of food insecurity. More cost-effective

delivery of high-quality, low-priced foods to consumers

can help smallholder farmers raise their standard of

living as well.29

Low population density and lack of good up-to-date

market information are some of the impediments to

small farmers in both growing and marketing their

products. Small farmers, for example, may not have the

same access to quality information and prices that

buyers do, creating a market disadvantage for them.

Various strategies such as improving access to cell-

phone technology for timely price information and

creating incentives for technology adoption may help

develop these regional markets.

Ensuring that supply lines are open, ensuring that

farmers have appropriate implements and access to

seeds and fertilizer, and providing access to markets are

all critical to success. Ultimately, improving

infrastructure can help promote both intra-national and

international market integration. Unless the necessary

infrastructure is in place, even a top producer will fail;

and productivity will be a moot point.

International Trade Will Continue to Fill a Need

Even though domestic production is and will remain the

workhorse in meeting food demand globally,

international trade is vital. Trade helps meet sudden and

unexpected food demand and supply imbalances.30 It

provides staples to countries that do not have the

natural resource base to produce enough to meet their

needs. Trade creates opportunities for economic

development through exports of cash crops, drives

increases in efficiency and productivity, and provides

access for consumers around the world to the full

diversity of foods grown globally.

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The Challenge of Meeting Future Demand for Food

The poor in low-income countries spend a large share of

their incomes on food, typically buying the cheapest

available staples to make ends meet. When a price shock

hits, they have little capacity to substitute among

commodities. Even in countries where the majority of

the population is rural and in farming, the poor tend to

be “net purchasers” of food; that is, they are not

currently in a position to benefit from higher prices.

Rather, the combination of higher prices and the large

share of food in their total budget reduces their

purchasing power, driving more families into poverty.31

For more than a century, the cost of basic food

commodities had been declining steadily with rising

productivity.32 But this trend reversed itself recently

owing to the convergence of several factors: demand for

food crops, rising energy costs, growing global

population, changing diets and rising affluence in

historically poor countries, and nonfood uses such as

fuel.33 On top of these higher prices came two severe

price shocks in the late 2000s and early 2010s, which

hurt low-income consumers in particular.34 Global and

local trade (imports and exports) play a key role in

stabilizing national food supplies, and the United States

plays a central role in that process and will likely remain

a prime source of agricultural products, food, food aid,

and agricultural technologies for the world.35

Looking ahead, as global demand continues to grow and

the impacts of climate change on agriculture are felt in

many regions, cross-border trade in food will have an

important role to play in creating more stable and

resilient international food markets. The trading system

will have to address politically difficult new issues such

as the need for discipline on export restrictions. During

the 2007-2008 food price crisis, more than 40 countries

around the world rushed to curtail or completely close

down exports of food commodities as they struggled

with the crisis, further narrowing markets and driving

prices still higher.36 Food surpluses in some countries

were unable to reach hungry people just a border away.

In a situation of overall higher prices and increased

volatility, a transparent, predictable, and rules-based

system governing trade in agriculture will only become

more important. Policy will also need to catch up with

rapidly unfolding innovations in markets, such as the

adoption by major food companies of ever-more-

integrated global supply chains.

Obstacles and Opportunities to Meet the Challenge

The challenge of feeding 9 billion people is not an easy

one. Several obstacles remain to be bridged, ranging

from political to institutional to scientific. Yet the

obstacles, while significant, also point to opportunities to

address the issues. In that spirit, we outline below some

of the issues and obstacles that have prevented us from

moving forward in meeting these challenges, and the

opportunities they present for coming together to solve

them. The obstacles underscore why this challenge is

difficult, but not insolvable.

Current investments in R&D are misplaced and

inadequate. The institutional capacity for agricultural

research and development should be strengthened and

priorities shifted. For example, a major priority for R&D

efforts should be developing technologies and

production systems that enable significant

intensification of production while conserving and

enhancing soil, water, and habitat. Production systems

must be developed and adapted for long-term

productivity under the specific ecological and social

conditions of those regions with lagging yields, such as

sub-Saharan Africa and south Asia. And we need to

better understand how climate and ecological conditions

are likely to change, the impacts on agriculture, and

effective strategies for adaptation. R&D efforts should be

targeted within countries as well as regionally and

internationally. In addition, more public and private-

sector investments are needed to develop and affordably

transfer agricultural production and processing

technologies. Effective extension programs are critical,

as are strong educational institutions to train

agricultural scientists. Key public institutions and

private-sector firms in this effort should include life

sciences firms, U.S.–based research institutes,

universities, and development NGOs. In addition, U.S.

policy places a disproportionate emphasis in its foreign

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The Challenge of Meeting Future Demand for Food

assistance portfolio on food aid; more focus is needed on

aid for agricultural development.37

Initial steps in this direction include recent reforms to

and expansion of the National Science Foundation, the

U.S. Department of Agriculture, and USAID programs for

competitively funded research on international

agriculture. Their impacts must be monitored going

forward. The Obama administration’s Feed the Future

initiative is a step in the right direction, but much more

remains to be done to leverage necessary private capital

and philanthropic dollars. Foreign assistance policies

have also grown increasingly decentralized and

incoherent, and as a result too often work at cross-

purposes. They beg for strategic reconciliation into a

coherent whole.

Policies can impede development. Policies that

impede agricultural development assistance are often

shortsighted; agricultural development is vital to the

development of poor countries' economies. When these

economies grow, demand for U.S. exports usually

increases, including for agricultural products. Yet the

Bumpers Amendment, an annual provision in the foreign

operations appropriations bill since 1986, sharply limits

the U.S. government's ability to use foreign assistance to

support agricultural development in developing

countries. Although it was revised in 2011 to exempt the

lowest income countries38 from the restrictions, it

remains an obstacle to technology transfer.

The U.S. government can also promote and support

environments conducive to private-sector agricultural

development, entrepreneurship, and the formation of

public-private partnerships. Policies, for example, could

target business regulations, governance, rule of law,

property rights, farmers' access to market information,

and transportation networks. The United States can

further support agricultural productivity in low-income

countries through targeted technical assistance,

including farmer-to-farmer programs.

Credit is often limited for small farmers. Greater

productivity will also require adequate and equitable

access to credit for producers and others in the

agriculture chain. Currently, access to credit is most

limited in those very countries where productivity

growth is most vital. Foreign, direct investment in those

markets can result in both attractive returns for U.S.

investors and agricultural productivity gains in the

target countries. Of course, the investments must

recognize and fairly reward pre-existing (and sometimes

informal) property rights in land and water. Capital

scarcity is compounded in some cases by insecure land

rights and other legal and institutional obstacles that

discourage both domestic and foreign investors.

Scientific evidence on agricultural systems is

insufficient. Without better evidence for the relative

merits of various strategies for agricultural

intensification, formulating new policies will be

challenging. We need to know more about how best to

use land and water to accelerate yield growth and

improve resilience in the face of climate variability and

other stresses on critical natural resources. We must

balance this with efforts to reduce agriculture’s

environmental impacts.39

We also need to know more and share more about what

makes agricultural systems resilient and what strategies

might be effective in promoting resilience to market

fluctuations and to variability in weather and in

pathogens and pests.40 Some evidence suggests that

diversity may be an important factor in resilience, but

the science remains unsettled as to the optimal scale at

which diversification should occur: plot versus farm

versus landscape. The science is also unsettled about

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The Challenge of Meeting Future Demand for Food

how much diversification is required and its effects on

land use.

We also need better information on how various

technologies, agricultural system designs, and policy

options fare across multiple policy objectives (i.e.,

increasing production and reducing environmental

impact). In particular, we must expand our

understanding of when and in which context to promote

one or another approach, such as reduced or no tillage,

precision agriculture, the use of transgenic crop

cultivars, and/or agroecological approaches. A recent

U.S. National Academy of Sciences report identified

numerous examples of innovative, more diverse farming

systems that contribute to sustainability goals and show

promise for more widespread development.41 These

systems include conservation agriculture, agroforestry,

organic farming, integrated (hybrid organic/

conventional), alternative livestock production (e.g.,

grass-fed), and mixed crop/livestock systems.

Agricultural production is too often at odds with

environmental protection. We need better methods

and incentives to conserve and enhance the full range of

natural resources on which agricultural production

depends. Traditionally, we have focused more often on

improving plant cultivars and livestock breeds than on

managing natural resources in agriculture. As natural

resource scarcity imposes greater constraints on

agricultural productivity and risk, more work on

integrated approaches will be needed. This will require

prioritizing strategies and ensuring that investments in

production, conservation, and resilience complement

one another.

Food aid could be more effective. Food aid was

developed initially as a surplus disposal mechanism in

support of domestic U.S. farming and shipping

communities, with a secondary objective of addressing

the needs of poor countries. Yet certain policies that

secure benefits to the farming and shipping communities

have been widely criticized for their negative impact on

the ability of U.S. food aid to satisfy emergency food

needs.42 For example, monetization—in which

commodities purchased in the United States are shipped

to less developed countries and sold on the market to

fund development projects—can distort markets and

reduce the food’s value by one-third or more owing to

price differentials between countries plus shipping and

other transaction costs.43 Likewise, “tied sales,” that is,

the requirement that U.S. food aid be purchased in the

United States, also reduces cost-effectiveness.44 The U.S.

Cargo Preference laws that require at least 75 percent of

U.S. food aid be shipped on U.S. flag carriers can raise the

cost of shipping by as much as 40 to 50 percent, or $150

million a year and result in shipping times that take

months.45

In addition to cost-effectiveness, food aid policy should

deliver more targeted, nutritious foods based on the

nutritional needs of the target population. The scientific

evidence is clear that sufficient amounts of safe,

nutritious food for mothers and infants during

pregnancy and the first 1,000 days of a child’s life are

critical to prevent wasting, stunting, childhood

morbidity, and mortality, as well as to promote healthy

growth and development.46

The United States is in the process of expanding the

range of foods that can be procured for food aid to

include foods effective in preventing mortality from

wasting in the acute phases of an emergency. This

expansion should be further developed, and more should

be done to target specialized nutrient-dense foods to

young children and pregnant women.

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The Challenge of Meeting Future Demand for Food

Critical Issues and Questions

No single strategy or sector can meet the impending

challenge of feeding 9 billion people by 2050. It will

require creative and collaborative efforts among

governments, farmers around the world, private

companies, universities, and civil society. Meeting this

challenge is our collective responsibility. We must work

together to ensure that our grandchildren and great-

grandchildren do not confront chronic global food crises

of the sort that our grandparents so skillfully averted on

our behalf.

Following are some of the critical questionsi that must be

addressed for the United States to continue providing

leadership in meeting the demand for food of a growing

and increasingly wealthy global population:

What is needed to increase production and

reduce loss to feed at least 9 billion people in

2050 with no net increase in land or water use?

How do we shift U.S. policy and resources to

increase production abroad and dramatically

reduce the need for U.S. food aid for chronically

hungry populations overseas?

What mix of agricultural systems is needed to

meet expected future demand for food? To

what extent can more diversified systems help

meet the demand?

Should U.S. foreign agricultural development

and emergency food programs continue to

include restrictions favored by U.S. producers

and transporters at the expense of poor people

in developing countries?

i These questions are illustrative of the types of issues AGree will address; they are not exhaustive.

Is the U.S. intellectual property regime

inhibiting increased production in developing

countries?

How can the environmental footprint of

agriculture be improved?

How can civil society, government, and the

private sector leverage their respective

resources and strengths to improve

productivity, ensure access to nutritious food,

and sustain the environment in developing

countries?

How can we design systems that have the

resilience needed to handle variability in

weather, shifting climatic zones, and pathogen

and pest pressures that agriculture may face in

the coming decades?

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The Challenge of Meeting Future Demand for Food

Notes 1 United Nations Population Division, Department of Economic and Social Affairs. (2011). World Population Prospects: The 2010

Revision. New York: United Nations. Available at http://esa.un.org/unpd/wpp/Excel-Data/population.htm. Others project that the

population level will level off between 9 and 10 billion between 2050 and 2100. See, e.g., United Nations Population Division,

Department of Eocnomic and Social Affairs. 2004. World Population to 2300. New York: United Nations, which projects that the world

population will peak at 9.22 billion in 2075. 2 Compounding the population growth effect, between 2005 and 2050 today’s low- and middle-income countries’ economies are

expected to grow at an average annual rate of 5.2 percent – versus just 1.6 percent for today’s high-income countries. This will drive up

their share of global income from 20 percent to 55 percent. See van der Mensbrugghe, Dominique, Israel Osorio Rodarte, Andrew

Burns, and John Baffes. (2009). How to Feed the World in 2050: Macroeconomic Environment, Commodity Markets – A Longer Term

Outlook, produced for the Expert Meeting on How to Feed the World in 2050. Rome: Food and Agriculture Organization. However,

income growth predictions are generally imprecise and contested. 3 Peer-reviewed estimates range from a 50 percent expansion needed in crop production and 85 percent in meat production. See, e.g.,

the World Bank. (2007). World Development Report 2008: Agriculture for Development. Washington, DC: World Bank. Others estimate

a 70 percent increase in cereals production to a 100 to 110 percent increase in crop output. See, e.g., International Assessment of

Agricultural Knowledge, Science and Technology for Development. (2009). Agriculture at a Crossroads. Washington, D.C.: Island Press;

Tilman, David, Christian Balzer, Jason Hill, and Belinda L. Befort. (2011). Global food demand and the sustainable intensification of

agriculture. Proceedings of the National Academy of Sciences U.S.A. 108 (50): 20260-20264. 4 Von Braun, Joachim. (2007). The World Food Situtation: New Driving Forces and Required Actions. Washington, D.C.: International

Food Policy Research Institute. 5 Reijinders and Soret find that the average conversion of vegetable to animal protein is 10 to 1. For chicken production, the protein

conversion efficiency is about 18 percent, for pork about 9 percent, and for beef about 6 percent See Reijinders, Lucas, and Sam Soret.

(2003). Quantification of the Environmental Impact of Different Dietary Protein Sources. American Journal of Clinical Nutrition

78(suppl):664S–8S. Smil finds similar rates, from 5 percent for beef to 20 percent for chicken on a protein basis. See Smil, V. (2000).

Feeding the world: a challenge for the 21st Century. Cambridge, MA: MIT Press. 6 Pimentel, David and Marcia Pimentel. (2003). Sustainability of Meat-based and Plant-based Diets and the Environment. American

Journal of Clinical Nutrition, 78 (suppl): 660S-3S. The shift to a meat-based diet will also affect other costs, including medical, as the

incidence of certain cancers, diabetes, and heart disease may rise with the increasing consumption of meat, although the magnitude

and types of disease burden will likely vary with the amount and kinds of meats consumed. See Haddad, Lawrence. (2003). What Can

Food Policy Do to Redirect the Diet Transition?, FCND Discussion Paper No. 165. Washington, D.C.: International Food Policy Research

Institute. 7Interestingly, while global production of common crop groups (including cereals, oilseeds, fruits, and vegetables) increased by 47

percent between 1985 and 2005, global crop production of all 174 crops tracked by the UN FAO increased by only 28 percent during

that time. See Food and Agriculture Organization. (2012). FAO Stat Crops. Accessed at http://

faostat.fao.org/site/567/default.aspx#ancor; Monfreda, C., N. Ramankutty, and J.A. Foley. (2008). Farming the planet 2: Geographic

distribution of crop areas, yields, physiological types, and net primary production in the year 2000. Global Biogeochemical Cycles 22(1):

GB1022; and Foley, JA, et al. (2011). Solutions for a cultivated planet. Nature 478: 337–342. 8Cassman, Kenneth, Patricio Grassini, and Justin van Wart. (2010). Crop Yield Potential, Yield Trends, and Global Food Security in a

Changing Climate. In Daniel Hillel and Cynthia Rosenzweig (Eds.), Handbook of Climate Change and Agroecosystems (chapter 3).

London: Imperial College Press. Yield growth is not declining in all areas of the world, however. While it has slowed in the United

States, Australia, and Canada and has been flat in sub-Saharan Africa since 1970, yields have increased in Brazil and China in response

to massive public-sector investment. See Alston, Julian M., Bruce B. Babcock, and Philip G. Pardey. (2010). The Shifting Patterns of

Agricultural Production and Productivity Worldwide. Ames, IA: The Midwest Agribusiness Trade Research and Information Center, Iowa

State University. 9Tilman et al. (2011). 10Godfray, H. Charles, et al. (2010). Food Security: The Challenge of Feeding 9 Billion People. Science 327: 812-818. 11Lobell, David B., Kenneth G. Cassman, and Christopher B. Field. (2009). Crop Yield Gaps: Their Importance, Magnitudes, and Causes.

Annual Review of Environment and Resources 34, no. 1 (11): 179-204.; Cassman, Grassini, and van Wart (2010). 12 Alston, Babcock, and Pardey (2010). The precise return on investment is difficult to estimate due to attribution problems and

temporal lags. 13World Bank. (2007). World Development Report 2008: Agriculture for Development. Washington, D.C.: World Bank. 14 Coppard, D. (2010). Agricultural Development Assistance: A summary review of trends and the challenges of monitoring progress.

London: Development Initiatives; Chicago Council. (2009). Renewing American leadership in the fight against hunger and poverty.

Chicago: Chicago Council on Global Affairs.

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The Challenge of Meeting Future Demand for Food

15Parry, M.L., O.F. Canziani, J.P. Palutikof and Co-authors. (2007). Technical Summary. In M.L. Parry, O.F. Canziani, J.P. Palutikof, P.J. van

der Linden and C.E. Hanson (Eds.), Climate Change 2007: Impacts, Adaptation and Vulnerability. Contribution of Working Group II to the

Fourth Assessment Report of the Intergovernmental Panel on Climate Change (pp. 23-78). Cambridge, UK: Cambridge University Press. 16 Nelson, G. C., et al. (2009). Climate Change: Impact on Agriculture and Costs of Adaptation. Washington, D.C.: International Food

Policy Research Institute. 17 World Bank. (2003). The CGIAR at 31: An Independent Mea-Evaluation of the Consultative Group on International Agricultural

Research. Washington, D.C.: World Bank. Available at: http://www.worldbank.org/ieg/cgiar. 18 Barrett, Christopher B., et al. (2007). Working Paper: Poverty Traps and Climate and Weather Risk Limitations and Opportunities of

Index-based Risk Financing, IRI Technical Report 07- 03. New York: International Research Institute for Climate and Society. 19 Niggol Seo, S. (2010), Is an integrated farm more resilient against climate change? A micro-econometric analysis of portfolio

diversification in African agriculture. Food Policy 35(1):32-40. 20 Cassman, Grassini, and van Wart (2010). 21 Solomon, S., et al. (2007). Technical Summary. In Solomon, S., et al. (Eds.), Climate Change 2007: The Physical Science Basis.

Contribution of Working Group I to the Fourth Assessment Report of the Intergovernmental Panel on Climate Change. Cambridge, U.K.:

Cambridge University Press. 22 United Nations Environment Programme. (2008). Vital Water Graphics: An Overview of the State of the World’s Fresh Water and

Marine Resources, 2nd addition. Nairobi, Kenya: UNEP. 23 Pachauri, R.K. and A. Reisinger. (2007). Contribution of Working Groups I, II and III to the Fourth Assessment Report of the

Intergovernmental Panel on Climate Change. Geneva, Switzerland: IPCC. 24 World Bank. (2011). World Development Indicators 2011. Washington, D.C.: World Bank; Economic Research Service. (2004). Briefing

Room on Irrigation and Water Supply. Washington, D.C.: Economic Research Service, U.S. Department of Agriculture. 25 The U.S. provided 56 percent of global food aid (MT) in 2010. Between 1988 and 2010, emergency tonnage rose by 85 percent. See

World Food Programme. (2011). 2010 Annual Food Aid Flows. Rome, Italy: World Food Program International Food Aid Information

System. 26National Academy of Sciences. (1978). Post-harvest Food Losses in Developing Countries. Washington, D.C.: National Academy of

Sciences; Ventour, Lorrayne. (2008). The Food We Waste. Banbury, UK: Waste and Resources Action Programme; Gustavsson, Jenny,

Christel Cederberg, Alexandre Meybeck, Ulf Sonesson, and Robert van Otterdijk. (2011). Global food losses and food waste. Rome,

Italy: Food and Agriculture Organization.. 27Gustavsson et al. (2011). 28Fafchamps, Marcel. (2004.) Market Institutions in Sub-Saharan Africa: Theory and Evidence. Cambridge, MA: MIT Press Book; Barrett,

Christopher B. (2008). Smallholder Market Participation: Concepts and Evidence from Eastern and Southern Africa. Food Policy 33(4):

299-317. Food grades and standards describe the attributes that make individual food products safe, useful, and valuable. They can be

set by government, the private sector, multilateral organizations, and non-governmental organizations, and compliance can be

mandatory or voluntary, depending on the standard. A well-known example is the Codex Alimentarius Commission, a joint FAO-WHO

body that has created voluntary, harmonized international food standards, guidelines, and codes of practice for the food trade. In cases

where national standards are missing, or conflict exists between the standards of the exporter (or donor) and the importer (or

recipient), Codex standards may be adopted. The increasing harmonization of national and international standards and the

development of standards for emerging food products can help to reduce food waste by reducing trade barriers and promoting better

understanding among trading partners of the food quality and safety requirements desired or demanded by the market. 29 Gómez, M. I., et al. (2011). Research Principles for Developing Country Food Value Chains. Science 332 (6034): 1154-1155. 30Food and Agriculture Organization. (2005). Agricultural Trade and Poverty: Can Trade Work for the Poor? The State of Food and

Agriculture 2005. Rome, Italy: FAO. 31 Ivanic, Maros and Will Martin. (2008). Implications of higher global food prices for poverty in low-income countries. Agricultural

Economics 39 (S1): 405-416. 32 Evenson, Robert, and Douglas Gollin. (2003). Assessing the Impact of the Green Revolution, 1960-2000. Science 300 (5620): 758-762. 33 Food and Agriculture Organization. (2010). Commodity Market Review. Rome, Italy: FAO. 34 World Bank. (2011). Food Price Watch. Washington, D.C.: World Bank. Available at

http://www.worldbank.org/foodcrisis/food_price_watch_report_feb2011.html. 35Gallup, John Luke, and Jeffrey D. Sachs. (2000). Agriculture, Climate, and Technology: Why Are the Tropics Falling Behind? American

Journal of Agricultural Economics 82 (3): 731-7; Acemoglu, Daron, Simon Johnson, and James A. Robinson. (2001). The Colonial Origins

of Comparative Development: An Empirical Investigation. The American Economic Review 91 (5): 1369-1401. 36 Sharma, Ramesh. (2011). Food Export Restrictions: Review of the 2007-2010 Experience and Considerations for Disciplining Restrictive

Measures, FAO Commodity and Trade Policy Research Working Paper No. 32. Rome, Italy: FAO. Available at

http://www.fao.org/fileadmin/templates/est/PUBLICATIONS/Comm_Working_Papers/EST-WP32.pdf. 37Barrett, Christopher B., and Daniel G. Maxwell. (2005). Food Aid After Fifty Years: Recasting Its Role. London: Routledge. 38 Countries eligible for the World Bank’s International Development Association.

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The Challenge of Meeting Future Demand for Food

39 Tilman et al. (2011); Lee, D.R., and C.B. Barrett (Dds.). (2001). Tradeoffs or Synergies? Agricultural Intensification, Economic

Development and the Environment. New York: CABI Publishing; Godfray et al. (2010).; Tomich, T.P., et al. (2011). Agroecology: A review

from a global change perspective. Annual Review of Environment and Resources 36:193-222. 40 Niggol Seo, S. (2010). 41 National Research Council (NRC). 2010. Toward Sustainable Agricultural Systems in the 21st Century. Washington, DC: National

Academies Press, 570. 42 Government Accountability Office. (2011). Funding development projects through the purchase, shipment, and sale of U.S.

commodities is inefficient and can cause adverse market impacts, 2011, GAO-11-636. Washington, D.C.: GAO; Barrett and Maxwell

(2005); Lentz, Erin C., Christopher B. Barrett, and Miguel L. Gomez. (2012). The Impacts of Local and Regional Procurement of US Food

Aid: Learning Alliance Synthesis Report, Final Report: A Multidimensional Analysis of Local and Regional Procurement of US Food Aid. 43 Government Accountability Office. (2011); Barrett, C., & Lentz, E. (2009). U.S. Monetization Policy: Recommendations for

Improvement. Chicago: Global Agricultural Development Initiative, Chicago Council on Global Affairs; Simmons, E. (2009). Monetization

of food aid: Reconsidering U.S. policy and practice. Partnership to Cut Hunger and Poverty in Africa; Food and Agriculture Organization.

(2006). State of Food Insecurity in the World. Rome, Italy: FAO. 44 Lenz, Barrett, & Gomez (2012). Recent studies demonstrate that the use of local and regional purchase results in more cost-effective

use of food aid funds as well as timelier delivery in emergencies 45 Government Accountability Office. (1990). Cargo preference requirements: Their impact on U.S. food aid programs and the U.S.

Merchant Marine, NSIAD-90-174. Washington, D.C.: GAO. 46 Dewey, K. (2001). Guiding principles for complementary feeding of the breastfed child. Washington, D.C.: WHO Pan American Health

Organization, Division of Health Promotion and Protection, Food and Nutrition Program.

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

The Challenge of Conserving and Enhancing Water, Soil, and Habitat

griculture is inextricably linked to the

environment. Natural resources must be

managed, conserved, and protected if producers

are to meet the demands of a growing global population

over the long term. Farmland with healthy soils and

adequate water are the basic inputs that, when enhanced

by technology and good management practices, produce

affordable food, fiber, and fuel. Although some

agricultural activities and practices can degrade

environmental quality, a growing body of work suggests

that managing agriculture as an ecosystem can achieve

both strong agricultural production and a healthy

environment.

But agricultural systems will be pushed significantly

harder in the coming years. Fifty to 100 percent more

food will be needed by 2050 to meet the needs of a

population that will top 9 billion. Production will need to

be dramatically increased while safeguarding

biodiversity, conserving habitat, and reducing the

environmental footprint of agriculture.

Obstacles to meeting this challenge are significant,

numerous, and varied. In addition to increasing water

scarcity and the expected effects of global climate

change, constraints include policies that encourage—or

fail to discourage—practices that can harm the

environment and lack of financial rewards or benefits

for conserving natural resources. In some parts of the

world, significant financial risk prevents producers from

adopting high-yield and/or environmentally protective

practices and technologies. Regulation plays a vital role

in protecting the environment, but the complexity and

diversity of agricultural operations make development

of effective regulatory approaches appropriate to all

landscapes and farms difficult. Overly broad regulations

can be onerous and costly, discourage innovation, and,

often, are ineffective. More attention will be needed to

development of regulatory approaches that set clear

performance standards while providing flexibility to

producers in the methods they employ to achieve

standards. A lack of coordination and underinvestment

in integrative research and innovation also impedes

development of the solutions that will be needed to

simultaneously increase production and reduce

environmental impact.

At the same time, significant progress has been made in

improving the environmental performance of

agriculture, and there are many opportunities for

continued progress. The United States and many other

developed countries have steadily increased food

production while also improving the efficiency with

which inputs are used. Soil erosion has sharply declined

in many areas, and toxicity to mammals and persistence

in the environment of agricultural pesticides have

decreased during the past 50 years. In developing

countries with large exploitable yield gaps, greater

investment in research and development as well as

adaptation of practices and access to technologies that

support both greater yields and improved

environmental quality are key to ensuring food security,

A

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

conservation of natural resources, and sustainable

economic development.

Meeting the challenge ahead will require deploying

public and private scientific and technology resources

alongside management practices, agricultural systems,

and innovations that achieve sustained high yields while

conserving and enhancing natural resources. Moreover,

the development and sale of innovative technologies for

environmental protection specific to improving

agricultural productivity will provide opportunities for

new businesses and good quality jobs in the U.S., which

has comparative advantages for global leadership in

R&D (both public and private sector) as well as the

supporting industries (inputs, farm equipment,

information technology). The United States has an

opportunity to be a leader in this area.

There also are potential financial rewards for farmers

who are able to participate in markets for the

environmental services and benefits that they provide

through the use of environmentally sound practices and

technologies. Usually, regulation or product-specific

standards are required to set the parameters of a market

in which farmers and ranchers can derive rewards.

Where the potential for such markets can be realized, it

will not only be possible, but advantageous, for

agricultural producers to engage in conservation and

environmental protection efforts.

The American public sees farmers as stewards of the

land. A 2010 public opinion poll finds that a majority of

Americans view agriculture as having a positive impact

on the environment.1 The farmers and ranchers working

with AGree and their peers concur with the belief among

American producers that resource conservation and

environmental stewardship are important priorities that

are compatible with high levels of agricultural

production. There are people of good will on all sides of

these issues who are ready to roll up their sleeves and

get to work improving the alignment between

agricultural production and environmental quality. Yet,

an adversarial approach—whether by environmental

advocates, agricultural producer groups, government

agencies, or politicians—too often leads to a perception

that agriculture and environmental protection cannot

coexist.

Though clearly a significant challenge, the goals of

increasing global production, improving the environ-

mental performance of agriculture, and maintaining a

good financial return can together be achieved through

supportive policies; incentives for adopting current

technology and practices; the discovery and adoption of

new, appropriate technologies, practices, and

approaches; and collaboration. The tough question is:

How do we achieve all of these goals together?

Current Resource Availability, Environmental Quality, and Agricultural Production

Agriculture is by far the dominant user of water and land

to support human activities. The expansion of irrigated

areas throughout the world played a major role over the

past 50 years in increasing food production. Worldwide,

agriculture consumes 70 percent of the surface water

withdrawn for use. Irrigated agriculture is practiced on

about 20 percent of cultivated land worldwide yet

accounts for 40 percent of crop production.2 In the

United States, agriculture accounts for more than 80

percent of water consumed, with the 16 percent of all

harvested cropland that is irrigated generating nearly

half the value of all crops sold.3

In the absence of new sources of water, however, further

increases in the use of irrigation pose technological,

www.foodandagolicy.org

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

geographical, and political challenges due to

competition for water resources from other economic

sectors as well as an increased human population.4

Looming water scarcities present a serious threat.

According to the United Nations, almost a half billion

people in 29 countries suffered from water shortages in

2008—and the situation is expected to get worse. By

2025, the United Nations estimates that “two out of

every three people will live in water-stressed areas.”5

Pressure on water resources can be addressed through

policies, institutions, and incentives for improved

management of ground and surface water resources as

well as by adopting existing technologies or developing

new ones, such as modernized storage and water

delivery infrastructure, high-efficiency irrigation, water

reuse/storage, and desalination of ocean and brackish

water—where they are affordable.6

Climate change is expected to affect both temperatures

and precipitation rates in various parts of the world.

Even though it is a global phenomenon, its likely effects

will vary significantly by region. Incidence of drought

from changing rainfall patterns could dramatically

reduce yields in some regions that rely heavily on rain-

fed agriculture. An example of such a region is sub-

Saharan Africa, where approximately 95 percent of the

crop production area relies entirely on rainfall.7 In

addition to affecting precipitation rates and patterns,

climate change is expected to affect temperature;

growing season; soil moisture levels; sea level rise

leading to inundation and salinization of coastal areas,

deltas, estuaries, and aquifers; rates of pest invasion;

and other critical agricultural production factors.

Though some regions of the world may actually benefit

from increased temperatures and rainfall, current

models suggest the most affected regions will be those

with the least adaptive capacity, accentuating already

great disparities in agricultural productivity.8 Further,

research suggests that adverse consequences of a

changing climate will disproportionately affect the

world’s poor. “Hardest hit will be small scale farmers

and other low income groups in areas prone to drought,

flooding, salt water intrusion, or sea surges.”9

In regard to water quality, agriculture is one of a variety

of sources of water pollution in the United States and

globally. In the United States, the U.S. Geological Survey

concluded, based on analyses of stream water samples

collected over time, that “increases in nutrient loadings

from agricultural and, to a lesser extent, urban sources

have resulted in nutrient concentrations in many

streams and parts of aquifers that exceed standards for

protection of human health and (or) aquatic life, often by

large margins.”10 At the same time, research by the USDA

demonstrates the effectiveness of conservation practices

in improving water quality, as well as reducing soil

erosion, and improving conditions for wildlife.11 Such

research also suggests the potential for additional

improvements in water quality by more widespread

adoption of conservation practices (Figure 1).12

Globally, the impact of nutrient loadings on the

environment is expected to grow in developing

countries unless new tools and practices are adapted

and adopted to avoid movement of nutrients from

agriculture to surface waters. At present, the proportion

of producers who use fertilizers and herbicides in

developing countries is lower than in developed

Figure 1

While average nitrogen use on corn has leveled off since 1980, average yields have continued to grow. USDA estimates a potential reduction in N use by 18 to 35 pounds per acre on 52 million acres if all corn in the corn belt were grown using conservation best practices (USDA/NRCS Conservation Effects Assessment Project).

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

countries, but current use per acre is often highly

inefficient, especially in rain-fed agricultural systems.13

If yields are to keep pace with population growth in

developing countries without harming the environment,

targeted and efficient fertilizer use and use of practices

that raise soil organic matter and soil fertility are

imperative.

Concerns remain that pesticides can also harm

environmental quality and pose risks to wildlife14 and

human health via occupational exposure, food, drinking

water, and the air. Pesticides used in the United States

and other developed countries have become

progressively less toxic to mammals and less

environmentally persistent over the past 50 years.15

Also, many agricultural producers have moved toward

use of integrated pest management and other

information-based techniques that suppress pest

populations, thereby reducing the need for pesticides.16

Pesticides can still be found in surface and groundwater

in the United States, sometimes in concentrations that

may harm aquatic life or fish-eating wildlife. However,

human exposure to high-risk pesticides via drinking

water has declined in the last two decades, and

regulators remain focused on better understanding and

further reducing drinking-water-based risks.17

Within the last decade, the United States and other

countries have adopted transgenic seed varieties.

Transgenic crops now constitute more than 80 percent

of soybeans, corn, and cotton grown in the United

States.18 Farmers using this seed may enjoy lower costs

and/or higher yields, and such seed has reduced

insecticide use on cotton and corn crops. However,

recurrent use of genetically altered seeds over large

acreages has resulted in the rapid rise of herbicide-

resistant weeds.19 This has both exacerbated crop

protection challenges for many growers and led to

increased use of other herbicides. An additional

challenge is “genetic drift,” in which genetically altered

materials infiltrate nearby farm fields with

nontransgenic crops.20

Globally, some older pesticides banned in the United

States are still used in developing countries. Developing

countries contend they cannot afford, for reasons of cost

and/or efficacy, to ban some of these older pesticides.

The dilemma of cost/efficacy versus ecological impacts

remains a contentious global issue.

Around the world, prime farmland is fiercely contested.

At present, crops and livestock use nearly 40 percent of

the earth’s terrestrial surface.21 This includes nearly all

land suitable for crop production under available tech-

nologies.22 In the United States, prime farmland is being

converted to nonagricultural uses, especially where

there is pressure for development.23 A similar trend is

underway in China, and in most developing countries,

with a consequent loss of crop production capacity.24

In the United States, soil erosion, although still a major

issue in some areas, has been reduced substantially

through programs in effect since 1985 (Figure 2). The

USDA’s quid pro quo arrangement (Conservation

Compliance) requires recipients of commodity, farm, or

loan payments to achieve a minimum standard for soil

erosion reduction on highly erodible cropland.25 The

USDA’s Conservation Reserve Program (CRP) makes

payments to farmers who idle environmentally sensitive

farmland. The CRP has also enhanced wildlife habitat on

arable lands and strengthened rural economies.26 The

soil and water conservation provisions of the 1985 Farm

Bill are recognized by many in both the conservation and

agriculture communities as both successful and an

excellent investment of public funds.

Soil erosion originating from U.S. cropland declined by 43 percent between 1982 and 2007, largely as a result of conservation compliance rules and land retirement programs.

Figure 2

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

Opportunities for Integrating Agricultural Production and Environmental Protection

Given enormous variation in agro-ecological

circumstances across the planet, no one farming system

or approach will best feed the planet while also

protecting the environment. Instead, a wide diversity of

crops, livestock, and farming systems is needed. Indeed,

coexistence of different farming systems will help

promote diversity and resilience, and likely will play a

key role in future food and ecosystem security.

Agricultural systems produce both commodities and a

range of ecosystem services. Examples include wildlife

conservation, biological pest control and pollinator

management, and water recharging.27 Farming also can

provide storage capacity for carbon that would

otherwise be released into the atmosphere as a

greenhouse gas (Figure 3).28

While there are many “off-the-shelf” technologies that

can improve yields without regard to long-term

environmental consequences—and many that can

reduce environmental impact without regard for

increasing yield—there are few that can do both.

One such approach to designing agro-ecological systems

is called ecological or sustainable intensification.29

Sustainable intensification increases crop production

while also improving environmental, social, and

economic sustainability by enhancing nutrient flows and

managing biodiversity and ecosystem services.30

Intensification can include a variety of methods to

achieve multiple goals, such as increasing yields,

reducing water use, protecting ground and surface water

quality, avoiding negative impact on wildlife and

biodiversity, and decreasing greenhouse gas emissions.

Globally, the regions most amenable to increasing crop

yields while still meeting the other sustainable

intensification criteria include land with yields currently

well below global averages, including sub-Saharan

Africa, parts of Latin America and South Asia, and

Eastern Europe, where nutrient and water limitations

are strongest. Opportunities abound, particularly in the

developing world, for technological “leapfrogging” by

applying advanced irrigation, improved crop varieties,

soil building techniques, targeted nutrient application,

pest management practices, communications, energy,

and other technologies to transform low-productivity

agricultural sectors.

Diversified farming systems, which can be combined

with sustainable or ecological intensification, are

another approach for integrating agriculture and

ecosystem management. Diverse systems compose a

modest but growing component of U.S. agriculture and

include conservation agriculture,31 organic farming,

integrated (hybrid organic/conventional), alternative

livestock production (e.g., grass-fed), and mixed

crop/livestock systems. These systems rely on a set of

common practices, including diverse crop rotations and

soil-building practices.32 In some cases, diverse farming

systems may have lower yields than their conventional

counterparts, while in others cases yields may exceed

conventional systems. Diverse systems often can better

integrate production, environmental, and economic

objectives.33 With more research and extension

investment in these systems, crop yields on par with or

even exceeding conventional systems may be possible

under a greater range of conditions.

Many agricultural practices have the potential to add carbon back to the soil over time, helping to mitigate climate change.

Figure 3

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

In addition to diversification of systems, landscape scale

initiatives show promise. Collective efforts among

farmers and ranchers can transform entire river basins,

watersheds, aquifers, bird flyways, or other

geographically dependent catchments. Yet, there are

challenges to managing such programs. Landscape-scale

areas tend to extend across multiple jurisdictions, and

environmental impacts in them frequently result from

multiple sectors (for example, both farm runoff and

municipal wastewater). Thus, managing efforts to

improve the environment requires collaboration. In the

United States, the federal government is a partner in a

suite of voluntary multi-jurisdictional efforts to achieve

critical thresholds or to set inspirational and scalable

precedents.

One such landscape-scale effort is the U.S. Fish and

Wildlife Service’s (USFWS) Partners for Fish and Wildlife

Program. Under this program, USFWS provides technical

and financial assistance to private landowners and

Tribes who are willing to work with the agency and

other partners on a voluntary basis to meet the habitat

needs of Federal Trust Species. Since the program was

established in 1987, its managers have worked with

more than 44,000 ranchers, farmers, and other private

landowners as well as 3,000 partnering organizations to

successfully restore and enhance more than one million

acres of wetlands, 3 million acres of uplands, and 9,000

miles of stream habitat.34

Also initiated by the USFWS, Landscape Conservation

Cooperatives (LCCs) are public-private partnerships

working across political and jurisdictional boundaries to

“allow a region’s private, state and federal conservation

infrastructure to operate as a system rather than as

independent entities” by using an approach that is

“holistic, collaborative, adaptive and grounded in

science.”35 All federal agencies involved in conservation-

related activities participate in the 22 LCCs that cover

the geography of the United States, as do many state

agencies, universities, and private-sector partners.

Efforts such as these demonstrate the potential for

public-private collaboration in both setting and

achieving landscape-scale conservation goals. The

Nebraska Natural Resource Districts are another

example of cross-jurisdictional natural resource

management in heavily agricultural landscapes.36

Obstacles to Addressing the Challenge

Both in the United States and globally, a wide range of

factors influence the extent to which both high

agricultural production and conservation of soil, water,

and habitat are achieved.

The nature of agriculture. The most fundamental

obstacle to finding global solutions to increased

production while protecting the environment is the

diverse, dispersed, and site-specific nature of

agricultural production itself. Agriculture as a whole is

characterized by unique combinations of soil, climate,

topography, hydrology, and biological diversity as well

as a diversity of crops and production systems. Add to

this unpredictable weather and market conditions, and

together, these factors require flexible, adaptive, and

localized management systems that are not easily

covered by one-size-fits-all policies. This interest in

more flexible policies is one driver for growing interest

in performance-based standards, as opposed to practice-

based incentives or regulations.

Current investments in R&D are misplaced and

inadequate. Another obstacle is the lack of coordination

in setting research priorities and carrying out research,

as well as declines in public investments in agricultural

research in the United States since 2002. Productivity-

enhancing R&D and conservation R&D need to be

integrated. A systems approach to research on

environmentally compatible agriculture is essential,

including on-farm and applied research that producers

can use to help adapt management practices to real-

world circumstances. In addition, cuts to extension

services and applied agricultural sciences departments

threaten the adaptation and widespread adoption of

improved management practices and technologies.

Research investments that produce publicly available

information, tools, and technologies that are available

for use in extension and directly by farmers are critical.

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

Institutionalizing an integrated approach to research,

development, education, and extension will likely

require new organizational structures, innovative

approaches to education, and changes in professional

incentives.37 Currently, there is no mechanism in place

that Land Grant University and CGIAR systems,38 other

national and private universities, major research

funders, and private research entities can use to

coordinate research efforts in order to avoid redundant

research, heighten synergies, and minimize gaps in R&D

efforts.39

Climate change, water

scarcity, invasive pest and

disease pressures, and food

insecurity are global

problems. Technologies that

better integrate

environmental and

production goals are needed

by every country in the

world. Countries that

pioneer R&D efforts in this

area are likely to enjoy the

benefits of creating new

industries, jobs, and export

markets. Given the nature of

the challenges facing the

food and agriculture system

and the 8 -15 year lag time

between initiating research

and commercial availability of new technologies, it is

imperative to shift and align research priorities now.

Cost of conservation. Few farmers can adopt

conservation systems and provide ecosystem services at

a loss. Keeping biologically sensitive or highly erodible

lands out of production can reduce short-term revenue

and profit, and adopting conservation systems and

technologies can be expensive. For example, the costs of

installing grassed waterways and buffer strips to keep

sediment and nutrients out of rivers and lakes are not

recouped in commodity prices. Although markets for

ecosystems services that reward resource protection for

the public good are developing, they are few and

generally small.

Farmers frequently also depend on financing through

the existing banking system, and securing credit for

projects that do not bolster the producer’s bottom line is

difficult. Not surprisingly, conservation is practiced to a

higher degree by well-off farmers and ranchers than by

smaller producers with fewer financial resources.40

Farmers and ranchers, especially those with

smallholdings or precarious finances, tend to be highly

risk averse when it comes to yields. Uncertainty and the

perception of yield risk from the

adoption of conservation practices is a

barrier everywhere, from Ethiopia to

the United States.41

Suitability and complexity of some

environmental regulations.

Strategies that have been successful in

dramatically improving air quality and

reducing toxic emissions from specific

sources, such as regulation of

pollution from factories or car

emissions limits, are not easily

applicable to agriculture given its

dispersed nature. In addition, states

vary considerably in their approaches

to, for example, addressing water

quality impacts from nonpoint source

pollution from agriculture. This

compounds problems with compliance and leads to

highly uneven results in improving environmental

quality.

Many regulatory programs are complex and in some

cases overlap, making compliance difficult and

burdensome. Often the only interaction farmers and

ranchers have with the U.S. EPA involves enforcement.

Agencies could likely improve compliance rates and

environmental outcomes by simplifying regulations and

focusing less on enforcement and more on supporting

operators’ efforts to understand and comply with them.

Regulation succeeds best when it establishes clear and

enforceable standards while providing flexibility to the

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

private sector regarding which technologies and

practices to employ to achieve standards, such as has

been the case with dramatic reductions in the sulfur

dioxide emissions that cause acid rain. Successful

performance-based regulation requires widely

applicable metrics and measurement tools, which in

many cases have yet to be developed.

Multiple and sometimes conflicting policies and

objectives. Public policies sometimes have unintended

consequences or create conflicting incentives. For

example, subsidizing input costs, which may be critical

to increasing production and closing yield gaps in some

developing countries, can lead to overuse. And countries

that subsidize agricultural production or artificially

increase commodity prices create incentives for

producers to produce more than a free market would

support and overuse yield-enhancing inputs. This can

lead to increased production on environmentally

sensitive, marginal lands. In the United States, policies

and programs also sometimes function at cross-

purposes. For example, the Renewable Fuel Standard

and ethanol tax credit have created strong incentives for

farmers to plant fence post to fence post, while at the

same time the Conservation Reserve Program

encourages farmers to set aside highly erodible acreage

for conservation. Conflict also arises in the

implementation of the multiple statutes that govern

agriculture and the environment.

In some cases, enhancements in one area take away

from enhancements in others. For example, flood

irrigation uses more water than some other forms of

irrigation, but it can enhance habitat for certain species

of birds or other water-loving creatures. Clearing land

around fields may address food safety concerns that

result from intermingling of animal excrement with

crops, but it removes wildlife habitat.

Agencies often lack the flexibility required to effectively

balance competing policy objectives. The requirements

of statutes can limit the ability of government agencies

to try new approaches to solving problems. Moreover,

policies often are not designed to achieve landscape-

scale environmental outcomes. For example, many

current USDA conservation programs limit the ability of

the agency to focus limited resources on the most

serious issues and fail to include mechanisms to evaluate

their effectiveness or to anticipate change.

Lack of knowledge about and resistance to new

techniques. Lack of information, scientific knowledge,

and extension services are barriers to adopting

conservation practices. Social learning, whether it occurs

at a village festival or during coffee shop chats, is vital to

promoting the adoption of new techniques or

technologies. Custom and culture also play a role.

Producers may be discouraged from adopting new

technologies or practices by time-honored practices.

People are often more comfortable doing things as “they

have always been done,” including methods for growing

crops and managing land or allocating government

resources and operating programs. In addition,

technologies developed and used in the United States do

not always transfer well to developing countries,

particularly when farming occurs on small plots and

institutions and infrastructure to support the technology

are not in place.

Adoption has lagged of the many profitable and effective

conservation practices and systems that have been

developed. The link between discovery of new

conservation practices and systems and their adoption is

complex and far from automatic. A better understanding

is needed of what stands in the way of wider adoption of

existing, proven conservation practices.

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

Adversarial politics and practices. There are, in fact,

many examples of farm and environmental groups that

work well together and devise effective compromises.42

Unfortunately, however, tension and poor relationships

among government agencies, business interests, and

environmental advocates persist and needlessly hinder

advances in agricultural production, resource

conservation, and environmental quality. The views of

many have hardened, reducing their willingness to try

new approaches. In some cases, parties resort to

lawsuits, leading to significant expense and gridlock.

Opportunities for Innovation in Conservation Policy and Practice

Well-designed policy can drive innovation, increasing

the effectiveness and lowering the costs of technologies

and practice systems that improve both productivity and

environmental performance of agriculture. One

opportunity, for example, is to develop better

performance-based standards and incentives to achieve

the environmental outcomes specified by law.

Rewarding achievement of specific environmental

performance standards accomplishes more than using

incentives to adopt best management practices.43

Measuring and monitoring the environmental

performance of agricultural systems requires accurate

metrics, however, both that quantify local and national

and global level impacts.44 Such metrics must be able to

support and inform decision-making. Investment is

needed to develop a set of widely applicable metrics and

the measurement tools.

“Regulatory incentives” provide another opportunity to

improve environmental performance. Expedited review

of permit applications, compliance assurance, or priority

for regulatory relief could encourage producers to

institute conservation practices that achieve more than

the minimum standards established by regulations. An

example of such incentives is the NRCS’s Sage Grouse

Initiative. In exchange for making certain changes now,

farmers and ranchers will be exempt from future

conservation actions if the Sage Grouse is later listed as

threatened or endangered under the Endangered

Species Act. Since its launch in 2010, it has become a

conservation success story of the western United States.

Regulation can create the incentive for private markets

for ecosystem services that benefit farmers and

ranchers. Indeed, without government policies that set

up the need for, and the operation of, private markets,

markets for agriculture environmental services will exist

under only limited conditions.45 Generally speaking, a

regulated or multi-jurisdictionally agreed upon

maximum level of sediment, nutrients, effluent,

greenhouse gases, or other measurable pollutants is

needed to define the boundaries within which

agricultural participants can produce, accumulate, trade,

or sell credits that prevent maximum levels from being

exceeded.

When an environmental service market policy is

appropriately specified and designed to include

agricultural sector participation, farmers and ranchers

can benefit from the sale of environmental services from

existing or modified agricultural practices. Ideally, this is

accomplished without an unwieldy administrative

burden. Such programs are most successful when

farmers receive positive messaging, incentives, and trust

in their expertise.46

There are specific cases in which the public sector has

purchased ecosystem services directly from farmers.

The City of New York pays farmers who operate on land

upstream of their drinking water source to adopt

practices that reduce run-off. This option proved to be

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

less expensive for the city than upgrading its water

treatment facility. Similarly, in the Florida Ranchlands

for Environmental Services Project, state water districts

pay ranchers to retain water on their property and/or

reduce phosphorus levels rather than spend resources

on expensive infrastructure projects. These are

examples of projects that are succeeding in part because

they are crafted to address very specific circumstances.

Private-sector initiatives also can drive increased

alignment between agricultural and food production and

environmental quality. Increasingly, food companies,

from Stonyfield (food producer), to Walmart (food

retailer), to McDonalds, are responding to customer

demands by requiring that the farmers and ranchers

that supply them adhere to specific production practices.

Some producer groups also are creating tools and

programs to assist their members in improving

environmental performance. For example, the Iowa

Soybean Association’s Ag Technology and

Environmental Stewardship Foundation helps farmers

assess and improve environmental impact associated

with nutrient management. The Dairy Farmers of

America are driving improvements in greenhouse gas

intensity through a carbon footprint tool and

recognizing leadership through their annual U.S. Dairy

Sustainability Awards. Private-sector efforts are also

underway to develop comprehensive sustainability

standards that can be applied to individual operations

and products.

Looking Forward

Sustained and intensive public- and private-sector

attention, investment, and collaboration will be

needed—both in the United States and globally—to

integrate improved environmental protection and

resource conservation with increased agricultural

production at the scope and scale required to meet the

critical challenges ahead. Key questionsi include:

How do we redirect research priorities and mobilize

resources to achieve game-changing breakthroughs

needed in both agricultural productivity and

environmental performance around the world?

How can U.S. agriculture, conservation, and

environmental protection policies, programs,

research, and agencies avoid working at cross-

purposes?

What policy changes will achieve environmental

quality, spur innovation, and provide regulatory

certainty for U.S. producers?

If public funds for traditional cost-share program

solutions diminish, what is the alternative to ensure

meaningful progress is made?

To what extent can producers everywhere be

rewarded for the ecosystem services they provide?

How do we ensure that actions necessary to meet the

very real and serious challenges of the not-too-

distant future are not postponed?

What can be done to reduce adversarial politics and

promote the collaboration needed to protect the

environment and ensure the vitality of U.S.

agriculture?

i These questions are illustrative of the types of issues

AGree will address; they are not exhaustive.

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

Notes 1 Belden Russonello and Stewart. (2010). Public opinion on federal farm and biofuels policy: highlights from the 2010 survey on

agriculture and the environment. Washington, D.C.: Belden Russonello and Stewart. Available at

http://www.farmsfoodandfuel.org/system/files/BRS%202010%20Poll%20Highlights_2.pdf. 2 World Bank. (2011). World Development Indicators 2011. 3Economic Research Service. (2004). Briefing Room on Irrigation and Water Supply. Washington, D.C.: Economic Research Service, U.S.

Department of Agriculture. Available at http://www.ers.usda.gov/Briefing/WaterUse. 4 IPCC. (2007). Fourth Assessment Report of the Intergovernmental Panel on Climate Change. Geneva, Switzerland: IPCC. 5 United Nations Environment Programme. (2008). Vital Water Graphics: An Overview of the State of the World’s Fresh Water and

Marine Resources. 2nd Edition. Nairobi, Kenya: UNEP. 6 Lopez-Gunn, E. and Ramón Llamas, M. (2008). Re-thinking water scarcity: Can science and technology solve the global water crisis?

Natural Resources Forum 32: 228–238. 7 World Bank. (2003). The CGIAR at 31: An Independent Mea-Evaluation of the Consultative Group on International Agricultural

Research. Washington, D.C.: World Bank. Available at http://www.worldbank.org/ieg/cgiar. 8 Nelson et al. (2010). Food Security, Farming, and Climate Change to 2050: scenarios, results, policy options. Washington, D.C.: IFPRI.

Available at http://www.ifpri.org/sites/default/files/publications/rr172.pdf. 9 FAO. (2002). World Agriculture: Towards 2015/2030 Summary Report. Rome, Italy: FAO. Available at

ftp://ftp.fao.org/docrep/fao/004/y3557e/y3557e.pdf. 10 Dubrovsky, N.M., et al. (2010). The quality of our Nation’s waters—Nutrients in the Nation’s streams and groundwater, 1992–2004.

U.S. Geological Survey Circular 1350, 85 p. Reston, VA: U.S. Geological Service. Available at

http://water.usgs.gov/nawqa/nutrients/pubs/circ1350. 11 See reports of the Conservation Effects Assessment Project of the Natural Resources Conservation Service of USDA:

http://www.nrcs.usda.gov/wps/portal/nrcs/main/national/technical/nra/ceap. 12 Tomer, M.D. and M.A. Locke. (2011). The challenge of document water quality benefits of conservation practices: a review of USDA-

ARS’s conservation effects assessment project watershed studies. Water Science and Technology 64: 300-310. 13 In China, up to half of the nitrogen applied to crops is lost by volatilization and another 5-10 percent by leaching. This contrasts with

the situation in Africa, where use rates of fertilizers are very low and limit agricultural production there. See FAO (2002). 14 A class of moderately persistent pesticides has been linked in a recent study to bee colony collapse disorder. Whitehorn, Penelope

R., Stephanie O’Connor, Felix L. Wackers, and Dave Goulson. (2012). Neonicotinoid Pesticide Reduces Bumble Bee Colony Growth and

Queen Production. Science 335 (6076): 351-352. 15 Yudelman, Montague, Annu Ratta, and David Nygaard. (1998). Pest Management and Food Production Looking to the Future. Food,

Agriculture, and the Environment Discussion Paper 25. Washington, D.C.: IFPRI. 16 Natural Resource Defense Council. (1998). Fields of Change: A new crop of American farmers finds alternatives to pesticides. New

York, NY: Natural Resource Defense Council. 17 Gilliom, Robert J. et al. (2007). Pesticides in the Nation’s Streams and Ground Water, 1992-2001. U.S. Geological Survey Circular 1291.

Reston, VA: U.S. Geological Service. Available at http://pubs.usgs.gov/circ/2005/1291/pdf/circ1291_front.pdf. 18 This includes seed in which the genes of a biological insecticide, Bacillus thuringiensis (Bt) have been inserted in corn and cotton, as

well as corn, soybean and cotton seed with engineered properties that convey herbicide resistance so that the weed killer glyphosate

(Round-Up) doesn’t also kill the crop. See National Research Council. (2010). Impact of Genetically Engineered Crops on Farm

Sustainability in the United States. Washington, D.C.: National Academies Press. 19 At least eight weed species have evolved resistance to glyphosate in fields using glyphosate-resistant crops, and the number is

growing. See National Research Council (2010). 20 Smyth, S., G.G. Khachatourians, and P. Phillips. (2002). Liabilities and economics of transgenic crops. Nature Biotechnology 20: 537-

541.; Greene, Catherine and Katherine Smith. (2010). Can Genetically Engineered and Organic Crops Coexist? Choices 25 (2). 21 World Bank (2011). 22 Millennium Ecosystem Assessment. (2005). Cultivated Systems. In Millennium Ecosystem Assessment: Global Ecosystem Assessment

Report on Conditions and Trends (pp 741-789). Washington, D.C.: Island Press. 23 American Farmland Trust. (2002). Farming on the Edge: Sprawling Development Threatens America’s Best Farmland. Washington,

D.C.: American Farmland Trust. 24 Lin, George C.S. and Samuel P.S. Ho. (2003). China’s land resources and land use change: insights from the 1996 land survey. Land

Use Policy 20 (2003): 87-107. 25 Claassen R., et al. (2004). Environmental Compliance in Agricultural Policy: Past Performance and Future Potential. Agricultural

Economic Report 832. Washington, D.C.: Economic Research Service, U.S. Department of Agriculture. 26 Sullivan, Patrick, et al. (2004). The Conservation Reserve Program: Economic Implications for Rural America. Agricultural Economic

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

Report No. (AER-834) 112. Washington, D.C.: Economic Research Service, U.S. Department of Agriculture. 27 Robertson, G. Phillip and Scott M. Swinton. (2005). Reconciling agricultural productivity and environmental integrity: A grand

challenge for agriculture. Front. Ecol. Environ. The Ecological Society of America 3(1): 38-46. 28 The degree to which these services can be provided depends on management practices. Some have suggested that for this approach

to be successful on a global scale, dramatic changes in agricultural consumption patterns, such as reducing meat consumption in

human diets and reducing bioenergy crops on our most productive farmlands, would be required. See Foley, J.A., et al. (2011).

Solutions for a cultivated planet. Nature 478:337-342. 29 Cassman, K.G. (1999). Ecological intensification of cereal production systems: Yield potential, soil quality, and precision agriculture.

Proc. National Acad. Sci. 96: 5952-5959.; Tilman, D., K.G. Cassman, P.A. Matson, R. Naylor, and S. Polasky. (2002). Agricultural

sustainability and intensive production practices. Nature 418: 671-677. ;Pretty et al. (2010). The top 100 questions of importance to the

future of global agriculture. International Journal of Agricultural Sustainability 8 (4): 219-236. 30 FAO. (2010). An international consultation on integrated crop-livestock systems for development: The way forward for sustainable

production intensifications. Volume 13. Rome, Italy: FAO. 31 Rodale Institute. (2011). The Farming Systems Trial: Celebrating 30 Years. Kutztown, PA: Rodale Institute. Available at

http://www.rodaleinstitute.org/files/FSTbookletFINAL.pdf; Gómez, R., M. Liebman, D.N. Sundberg, and C.A. Chase. In press.

Comparison of crop management strategies involving crop genotype and weed management practices in conventional and more

diverse cropping systems. Renewable Agriculture and Food Systems. 32For example, optimum conservation agriculture includes a combination of three land management practices: minimum or no tillage,

maintenance of year-round groundcover, and use of diverse crop rotations with legumes. See Kassam, A, T. Friedrich, F. Shaxson, and J.

Pretty. (2009). The spread of conservation agriculture: justification, sustainability and uptake. Intl. J. Agric. Sustain. 7: 292-320. 33 National Research Council. (2010). Toward Sustainable Agricultural Systems in the 21st Century. Washington, D.C.: National

Academies Press. 34 U.S. Fish and Wildlife Service, Partners for Fish and Wildlife Program. (2010). Regional Showcase Accomplishments: Fiscal Year 2010.

Washington, D.C.: U.S. Fish and Wildlife Service. Available at http://www.fws.gov/partners/docs/PFW_Accomplishments_2010.pdf 35 U.S. Department of Interior. (2012). Landscape Conservation Cooperatives: Frequently Asked Questions. Washington, D.C.: U.S.

Department of Interior. Available at http://www.doi.gov/lcc/upload/LCC-FAQs-Final-2012.pdf. 36 See http://www.nrdnet.org. 37 The National Research Council, in reviewing the U.S. Land Grant University system identified a need to (1) develop and expand

research programs and academic curricula to reflect a contemporary view of the agri-food systems, (2) remove historic barriers to

encourage interdisciplinary research, teaching, and extension collaborations, and (3) engage a wide variety of stakeholders to assess

their needs and develop priorities, targeted programs, and effective information delivery modes. See National Research Council.

(1997). Colleges of Agriculture at the Land Grant Universities: Public Service and Public Policy. Proceedings of the National Academy of

Sciences 94 (5): 1610-1611. A subsequent series of studies by the Kellogg Foundation came to similar conclusions. In particular, the

third report in the series “Returning to Our Roots: The Engaged Institution” (1999) emphasized the importance of community

engagement, outlining seven characteristics of an engaged institution – responsiveness, respect for partners, academic neutrality,

accessibility, integration, coordination, and resource partnerships. Moreover, the report noted that lack of stable funding for

engagement was a critical problem. See Kellogg Commission on the Future of State and Land-Grant Universities. (1999). Returning to

Our Roots: The Engaged Institution. Washington, D.C.: National Association of State Universities and Land-Grant Colleges. 38 The Consultative Group for International Agricultural Research (CGIAR) system, which has been highly effective in developing

technology, raising productivity and alleviating poverty in developing countries, was evaluated by the World Bank. The Bank urged the

CGIAR system to more clearly and systematically prioritize its research goals, and to strategically target its resources to achieve

priorities. See World Bank (2003). 39 Certainly there are great examples of public-private, cross-institutional and transnational partnerships in agricultural and natural

resource research. See Ridgway, Richard L. and Charles Valentine Riley Memorial Foundation. (2011). Agriculture, Food, Nutrition and

Natural Resources R&D Round Table: Research Partnerships Yield Greater Societal Returns. Washington, D.C.: Charles Valentine Riley

Memorial Foundation. Available at http://www.farmfoundation.org/news/articlefiles/1733-Proceedings_web.pdf. Yet, there is no

policy or institution whose responsibility it is to coordinate on global and cross-sectoral scales. There are institutions for the

coordination of health efforts (World Health Organization), for development of voluntary international standards for business

performance (International Organization for Standardization, ISO agreements), and various conventions for the inter-institutional and

international coordination of priorities, but no such institution exists to target, focus and optimize multiple research efforts. 40 Lambert, Dayton, Patrick Sullivan, Roger Claassen, and Linda Foreman. (2006). Conservation-Compatible Practices and Programs:

Who Participates? Economic Research Report No. (ERR-14), Washington, D.C.: Economic Research Service, U.S. Department of

Agriculture. 41 For Ethiopia see Tekelwold, Hailemariam and Gunner Kohlin. (2010.) Risk Preferences as Determinants of Soil Conservation Decisions

in Ethiopia. EID DP 10-19. Environment for Development. For the U.S., see Marra, Michelle, David Pannell and Amir Abadi Ghadim.

(2010). The economics of risk, uncertainty and learning in the adoption of new agricultural technologies: where are we on the learning

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The Challenge of Conserving and Enhancing Water, Soil, and Habitat

curve? Agricultural Systems, 75(2–3): 215-234. 42 In one case, long-time foes, the Humane Society and the United Egg Producers developed a legislative proposal to regulate chicken

cage size. These groups’ compromise, which did not meet either group’s original demands, is reported to have been prompted by a

personal meeting between two top executives who recognized that the costs of continuing to fight against each other’s position was

greater than the losses each side would incur from a compromise. See Neuman, William. (7 July, 2011). Egg Producers and Humane

Society Urging Federal Standard on Hen Cages. New York Times, p. B6. 43 Ribaudo, Marc O., Richard D. Horan, and Mark E. Smith (1999) Economics of Water Quality Protection from Nonpoint Sources: Theory

and Practice, Agricultural Economic Report No. 782. Washington, D.C.: Economic Research Service, U.S. Department of Agriculture.;

Claassen, Roger, et al. (2001). Agri-Environmental Policy at the Crossroads: Guideposts on a Changing Landscape. Agricultural Economic

Report No. 794. Washington, D.C.: Economic Research Service, U.S. Department of Agriculture. 44 Sachs, et al. (2010). Monitoring the world’s agriculture. Nature 466 (29): 558-560. 45 Ribaudo, Marc, Catherine Greene, LeRoy Hansen, and Daniel Hellerstein. (2010). Ecosystem services from agriculture: Steps for

expanding markets. Ecological Economics. 69 (11): 2085-2092. 46 The EPA tracks state and individual water quality trading programs. The water quality programs can be found on the EPA website at:

EPA. (6 March 2012). State and Individual Trading Programs. Water Quality Trading. Available at

http://water.epa.gov/type/watersheds/trading/tradingmap.cfm.

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The Challenge of Improving Nutrition and Public Health

The Challenge of Improving Nutrition and Public Health

healthy diet is the most effective form of

preventive health care. Obesity and related

health issues from overeating reduce individuals’

quality of life and cost the United States billions in

unnecessary health care costs. On the other side of the

spectrum, food insecurity—and its driver, poverty—rob

children of healthy development, and impede working

age and elderly Americans’ ability to enjoy productive

lives, with potentially long-term, and costly, impacts.1

Given these enormous costs, it makes sense to invest

more in improved diets. Yet we face a conundrum: How

do we ensure that everyone can make healthy dietary

choices (through both equal access to healthy food and

straightforward information about the consequences of

their food choices) while maintaining the American

ideals of free choice, free markets, and free speech?

We must navigate this conundrum to identify effective

policies and actions that will ensure universal

availability of and access to sufficient nutritious food and

enable consumers to make healthy food choices. And to

implement them, we must determine the appropriate

roles of private-sector actors along the supply chain, the

medical community and health care systems, multiple

public agencies and institutions (including agriculture,

health, education, commerce, and foreign assistance),

and a range of civil society organizations.

While there are many questions about how to change the

choices individuals make about food, the barriers to

better policy are largely institutional and political. The

decision-making apparatus for U.S. food policy does not

function well to address systemic, long-term,

multifaceted, complex challenges, such as improving

nutrition across the population. This has been true for so

long that it’s hard to even perceive what we could

accomplish with shared purpose, constructive dialogue,

and reasonable compromise. The key ingredients of

healthy food choices may have largely disappeared from

the shelves of the U.S. food policy marketplace, but like

kitchen gardeners rediscovering old food ways, we can

grow them anew.

This paper outlines the scope of the problem in the

United States and examines policies and practices that

can improve nutrition and public health domestically.

AGree’s interest in better food and agriculture policy

also includes helping to improve nutrition and public

health in developing countries, but we address those

challenges separately.2 This paper discusses the

evidence for the following questions: What public

policies, private-sector actions, and collaborative

activities have been proposed to help Americans make

healthy food choices? What are the appropriate roles of

government, the private sector, and civil society in

helping to ensure availability of and access to sufficient

amounts of nutritious and safe food? What are their

roles in promoting nutrition for good health?

Food Insecurity, Obesity, and Rising Health Care Costs

In 2010, 14.5 percent of U.S. households—nearly 49

million Americans—were food insecure, meaning they

were not assure adequate food at all times during the

year. Because of rising poverty during the economic

crisis, U.S. food insecurity was greater from 2008 to

A

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The Challenge of Improving Nutrition and Public Health

2010 than at any time since measurement began in the

mid-1990s.

Meanwhile, Americans suffer an epidemic of obesity and

nutrition-related chronic disease. The Centers for

Disease Control and Prevention estimate about one-third

of U.S. adults and 17 percent (or 12.5 million) of children

and adolescents aged 2–19 are obese (Figure 1).3

Between 1970 and 2003, average caloric intake in the

United States increased to 2,757 calories, 20 percent

higher than the World Health Organization

recommends.4

Four of the ten leading causes of death in the United

States—heart disease, cancer, stroke, and diabetes—are

related to diet and obesity.5 The percentage of adults

with diabetes, for example, has grown from 8.5 percent

to 12 percent since 1999,6 and one in three children

today is expected to become diabetic.7 In 2008, the

direct and indirect costs to the U.S. health care system

and to the U.S. economy from overweight and obesity

totaled approximately $147 billion.8 In 2007, the costs

associated just with Type II diabetes—to which

overweight/obesity and lack of exercise significantly

contribute—were $159.5 billion, including medical costs

of $105.7 billion and indirect costs of $53.8 billion.9

The burden of increasing health care costs is a major

contributor to current U.S. fiscal challenges.10 States are

estimated to spend as much as $75 billion a year on

obesity-related medical costs, and this number could

rise substantially if there is a shift in health care

responsibility from the federal to state governments.11 If

current trends continue, obesity and diabetes will

account for one-fifth of U.S. health care expenses by

2020.12

Several changes to our lifestyles and personal choices

have contributed to the increase in obesity. More two-

worker households pressed for time means that

convenience often trumps healthier home cooking;

ready-to-eat foods are often higher-calorie options.13

Our jobs are more sedentary, and our diets consist of

more processed, low-cost, high-calorie foods. Some have

argued that farm subsidies, particularly for corn, have

contributed to the growth in consumption of high-fat

animal products, high-fructose corn syrup, and

processed foods, although the evidence of such a link is

scant. Marketing and media, which more often promote

high-calorie snack food and fast food than fruits and

vegetables, also play a role, as do changing norms

around portion sizes and when and where to eat.

Strategies to Improve Nutrition and Public Health

Strategies to improve American diets, lower health care

costs, and improve health abound. The critical question

is: Which of these strategies will work, and of these,

which reflects an acceptable balance between freedom

of choice and speech and government action to promote

the public interest? Should farm programs and policies

encourage more fruit and vegetable production? Should

marketing be restricted? Labeling increased? Should the

U.S. government impose taxes on certain foods and

beverages? Should government nutrition programs

prescribe healthier purchases and healthier school

meals? Should regional food efforts be supported to

encourage awareness of and access to healthy foods?

How should the government handle food safety and food

related risks? And what can and should the private

Figure 1

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The Challenge of Improving Nutrition and Public Health

sector do to move both food companies and consumers

to make choices that improve nutrition and health?

These questions and the following sections are intended

to highlight—rather than in any way endorse—potential

approaches that seem to have traction among various

constituencies.

Increase Consumption of Fruits and

Vegetables

An important step in improving diets is to eat more

fruits and vegetables. This is among the most glaring

gaps between the American diet and the U.S. Dietary

Guidelines. The Guidelines recommend that Americans

consume more fruits, vegetables, whole grains, fat-free

and low-fat dairy products, and seafood, and fewer foods

with sodium (salt), saturated fats, trans fats, cholesterol,

added sugars, and refined grains. The Guidelines

currently serve as a foundation for nutrition

interventions and education to improve health. They

also influence food labeling and advertising rules,

standards, and guidelines for the federal nutrition

assistance programs.14 While it is difficult to precisely

estimate the dietary changes needed to align U.S. food

consumption patterns with the Dietary Guidelines

because of the numerous combinations of foods that can

yield healthy diets, we know in which direction diets

need to shift.

This gap in Americans’ consumption of the

recommended amounts of fruit and vegetables exists for

a variety of reasons, and ultimately influences both

supply and demand for fruits and vegetables. While

people do exercise personal choice in health decisions,

including food choices, social influence plays a big role.15

Marketing, cultural norms, family norms, education, and

in the case of children, parents’ decisions all influence

diet choices.

In addition to those social influences are issues of

affordability and access. Not everyone has easy access to

healthy food choices given what they can afford, where

they live, or, if they are dependents, who provides their

food. Fruits and vegetables are more expensive on a

calorie basis than energy-dense refined grains and fats.16

There is also evidence that overall healthier diets cost

more.17 Low-income households may be optimizing their

food budgets to get the most satiating diet at the lowest

cost.

Finally, institutional purchases, such as within the

federal food security programs, influence supply and

demand of healthy food. The National School Lunch

Program and the School Breakfast Program serve about

one-third of U.S. school children.18 The school meals are

prepared and sold by not-for-profit School Food

Authorities at the school district level, and they must

balance a “trilemma” of (a) ensuring nutrition quality,

(b) restraining program costs, and (c) encouraging

student participation.19 All of these decisions affect what

is served, and ultimately what farmers grow to sell to the

programs. To maintain participation levels, for example,

many programs serve quick-service, restaurant-style

menus. To maintain revenue levels, they also serve

comparatively less healthful, but appealing foods

through a la carte lines and vending machines. The

USDA’s School Nutrition Dietary Assessment study found

that most meals served provide sufficient amounts of

food energy, protein, and other nutrients, but also that

most meals failed to meet recommendations for avoiding

too much of other nutrients (such as saturated fat) and

ingredients (such as sodium).

New rules seek to strengthen nutrition standards while

maintaining the economic feasibility of school meal

program operations. Reauthorization legislation in 2010

for the Child Nutrition and Special Supplemental Food

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The Challenge of Improving Nutrition and Public Health

Program for Women, Infants, and Children (WIC) for the

first time directed USDA to establish nutrition standards

that apply to all foods sold in schools. The law requires

competitive food sales to raise sufficient revenue to

cover their costs so they are not cross-subsidized by the

federal meals programs.

If all Americans were to follow the Dietary Guidelines’

recommendations on fruits and vegetables, imports and

domestic production would need to increase

considerably to meet new demand. If the increased

supply were to come exclusively from domestic sources,

U.S. producers would have to more than double their

fruit acreage and increase vegetable acreage by nearly

one and a half times—still only a small fraction (less

than 10 percent) of total American cropland.20 Yet the

current U.S. planting flexibility restriction bars growers

who participate in federal crop programs from planting

fruits and vegetables on land for which they receive

direct payments. Groups representing fruit and

vegetable producers have insisted on this provision in

successive farm bills, asserting that removing it would

give program producers an unfair advantage; they would

be able to plant specialty crops while still receiving the

cross-subsidy that the direct payment represented. This

will be largely moot if the direct payment program is

eliminated in the next farm bill. Policies aside, there are

a number of production barriers such as capital costs for

new equipment, access to manual labor, and access to

markets that may also impede increased supply.

Improve Marketing and Advertising Targeted

to Children

Another set of questions focuses on whether public

policy should try to affect food advertising, and much of

the attention is focused on advertising to children. Those

who support such policies point to the Institute of

Medicine’s report, Food Marketing to Children and Youth:

Threat or Opportunity? The report summarized evidence

from 123 studies of the effect of advertising on

children’s food choices and health outcomes and

concluded, “Food and beverage marketing practices

geared to children and youth are out of balance with

healthful diets and contribute to an environment that

puts their health at risk.”21 The report also cites the

Federal Trade Commission finding in 2006 that children

ages 2–11 watched 25,600 advertisements in a one-year

period, of which 5,500 were for food and beverages. The

most frequent ads were for restaurants and fast food,

cereals (of which 84 percent of ads were for sweetened

cereal), and desserts and other sweets. Children saw on

average 1,400 ads for fast food and restaurants, but only

16 ads for vegetables and legumes, and not one ad for

fresh fruit. The American Psychological Association

argues that children under age 8 cannot understand an

advertiser’s persuasive intent. Claims that would be

recognized by most adults as deceptive may be unclear

to children.22

There are two primary methods to rein in advertising

that targets children: industry self-regulation and

stronger government regulation. In recent years,

attention has focused on a series of voluntary industry

initiatives by the Council of Better Business Bureaus and

other private-sector associations. Many argue that to

make a difference in the actual marketing environment

that children face, these voluntary initiatives need

stronger voluntary principles and accountability. “If

industry fails to demonstrate a good faith commitment

to this issue and take positive steps,” Deborah Platt

Majoras, Federal Trade Commission chair in the George

W. Bush administration, warned in 2005, “others may

step in and act in its stead.”

Impose Taxes on Less Healthful Foods and

Improve Food Labeling

Another strategy often discussed to influence choice and

demand is taxing less healthy foods. Health policy

advocates tend to support such taxes because they have

the biggest favorable impact on food choice. For

example, the director of the Centers for Disease Control

and Prevention, Thomas Frieden, has argued for a 10

percent sales tax on sugar-sweetened beverages.23

USDA Economic Research Service researchers have

estimated that a 1 percent increase in the price of caloric

sweetened beverages would lead to a 1.26 percent

decrease in the quantity consumed.24

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The Challenge of Improving Nutrition and Public Health

More research is needed to understand the impact of

taxes on food and beverage consumption. The federal

government could carry out pilot projects and then

support well-designed research to estimate the impact,

such as how taxes might affect average intake

reductions. Research could also estimate other social

and economic effects that are relevant to policy decision-

making, such as the degree of consumer dissatisfaction

and the regressivity of the resulting tax burden and

health benefits.

Whether and how to label food more precisely is also a

question. Some argue that the government should play a

more substantial role in regulating claims about

nutrition and health qualities that consumers cannot

themselves verify.25 The U.S. government ensures that

consumers have access to quality information on

nutritional content and health-related qualities, both

positive and negative, through requirements for

consistent and accurate labeling of calories, saturated

fats, cholesterol, and sodium, among other nutrients. A

report by USDA’s Economic Research Services on

mandatory food labeling suggests that consumers who

use food labels are more likely to eat more fiber and iron

than those not reading labels. A separate study found

even greater impact of food labeling on consumer

choices.26 Furthermore, the federal government recently

implemented a new requirement that many large chain

restaurants must now post calorie levels for standard

menu items. More research is needed, however, to better

understand the impact of specific strategies to provide

nutrition information on healthy food choices and

overall dietary quality.27

Improve Nutrition in Food Assistance

Programs

The federal government devotes approximately $70

billion annually to food and nutrition assistance

programs for vulnerable families, and proposals are on

the table to improve the nutritional effectiveness of

these programs.

In 2010, fully one in five Americans participated in one

or more of the major nutrition programs. The

Supplemental Nutrition Assistance Program (SNAP) is

by far the largest.28 One-half of all children will

participate in SNAP at some point during their

childhood, including 90 percent of African American

children.29 Evidence is growing that SNAP improves food

security among families. For example, a 2010 study

commissioned by USDA’s Economic Research Services

finds that SNAP participation reduces by more than 30

percent the likelihood of being food insecure.30 Another

nutrition program, WIC, provides nutrition counseling,

services, and a package of particular high-nutrient foods

and infant formula to about 9.2 million pregnant and

post-partum women, infants, and young children each

month.31

Proposals to improve the nutritional quality in SNAP

have included restricting the class of foods eligible for

purchase (for example, by making sugar-sweetened

beverages ineligible). Others have proposed an extra

subsidy for more favored categories of foods, such as

municipal “bonus bucks” programs for farmers’ markets

or the Healthy Incentive Pilot subsidy for fruit and

vegetable purchases.32 The WIC food package was

revised in the late 2000s to improve nutrition content

and more strongly promote breastfeeding rather than

infant formula.

The effects on behavior of such policy changes could be

complex. For example, restricting SNAP benefits might

cause inconvenience, stigma, or lower “take-up” of

benefits by eligible people. Likewise, further changing

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The Challenge of Improving Nutrition and Public Health

the WIC package might cause additional risk or

difficulties for formula-fed infants.

Three other federal nutrition programs are the National

School Lunch Program, the School Breakfast Program,

and the Child and Adult Care Food Program, which

serves meals in centers and home day care settings.33

Using these programs to improve nutrition among

students could improve health but would likely raise

costs, as noted above.34

Expand Local and Regional Food Systems

In recent years, a broad-based national effort has

emerged to encourage Americans to “buy local” and help

support local farmers with direct-to-market sources of

revenue. Americans purchased $4.8 billion in locally

produced foods in 2008, about one-fifth through direct

market channels such as farmers’ markets and roadside

stands.35 As of October 2011, there were nearly 7,300

farmers markets in the United States, an 18 percent

annual growth rate since USDA began tracking these

outlets in 1994.36

One federal program that is supporting regional food

networks is the 2009 “Know Your Farmer, Know Your

Food” initiative. It promotes and supports local and

regional foods through several programs. The Know

Your Farmer initiative also helps spark demand by

issuing coupons for direct-to-consumer fruit and

vegetable purchases for seniors and for mothers and

children enrolled in WIC. The initiative also supports

farm-to-school tactical teams to assist school food

administrators in purchasing more locally and regionally

grown food.

Although an emerging market segment, locally grown

foods still represent a very small proportion of total food

sales37 and the national-level health impacts are difficult

to measure. Although specific links between improved

health and local and regional food systems have not

been established, the growth and attention show

promise in engaging the public in more conscious food

choices.38 Farmers’ markets, farm-to-school programs,

direct-to-consumer marketing of foods, and Community

Supported Agriculture arrangements have helped

families learn more about the foods they eat, become

exposed to new foods, and engage in community

activities. Furthermore, increased enthusiasm around

local and regional foods has made many consumers

better informed about where their food comes from.

Ensure Health and Safety of the Food Supply

Heightened concern and demand in the United States

and globally for a healthy, safe, and affordable food

supply has driven research and adoption of new

technologies and practices that have reduced exposure

both to potentially harmful agricultural and food inputs

as well as food-borne pathogens. These include

improvements in contamination detection methods

through improved institutional capacity and reduced

diagnostic costs. However, concerns remain that there is

insufficient scientific understanding about the

comprehensive, synergistic, and cumulative effects to

human health and the environment from exposure to

inputs used in agricultural production and food

manufacturing, such as pesticides, chemicals, fertilizers,

transgenic seeds, antibiotics, and hormones. There are

particular concerns about the exposure of women of

childbearing age, pregnant women, and children, with

some studies indicating that current exposure levels are

harmful to child development and health.39

In 2007, the U.S. National Research Council published

“Toxicity Testing in the 21st Century: A Vision and

Strategy,” which called for improved scientific

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The Challenge of Improving Nutrition and Public Health

understanding and sound methods and metrics for risk

assessment. Widely embraced by diverse groups, the

report recommends harnessing scientific advances to

make toxicity testing quicker, less expensive, and more

directly relevant to human exposures.40 More effort is

needed to advance these and other strategies

recommended for improving understanding.

Improvements in food safety will also be needed to

further reduce the adverse health effects from biological

contaminants. Each year, food-borne illness affects more

than 48 million Americans. The Food Safety

Modernization Act represented a sweeping reform of

food safety laws, providing the Food and Drug

Administration (FDA) new enforcement authority to

achieve higher rates of compliance with prevention- and

risk-based food safety standards and to better respond

to and contain problems when they do occur. The act

also provides the FDA with important new tools to hold

imported foods to the same standards as domestic foods

and directs FDA to build an integrated national food

safety system in partnership with state and local

authorities.

Critical Choices

All these strategies, and others, hold potential for

improving American diets and public health. Clearly,

given the country’s growing girth and persistent food

insecurity, current programs and policies are not as

effective as they could be. As the costs of obesity-related

diseases continue to rise and the toll on individual health

mounts, the call for a public health response grows

louder. The health care costs, some argue, are reason

enough for government intervention. To nudge the

nation toward better diets (and better health), both the

public and private sectors must continue to grapple with

the above strategies and issues.

A major question in any discussion will be what is the

appropriate role of government, the private sector, and

others in civil society in helping to ensure the availability

of and access to sufficient amounts of nutritious and safe

food? What are their respective roles in promoting good

nutrition for good health? Market-driven forces play an

important role in the efficiency and effectiveness of

global, domestic, regional, and local food markets.

Billions of consumers today in countries around the

world have access to a wide variety of affordable foods

because of market forces. Efforts to improve nutrition

and promote health must recognize and leverage the

fundamental nature of personal freedoms and free-

market principles while attending to the public health

costs of the foods we eat.

Following are some of the critical questionsi with which

stakeholders and policymakers must wrestle in

developing strategies and actions to address the

challenge of improving nutrition and public health in the

United States:

Should marketing of foods be restricted and

labeling made more visible in order to

encourage healthier food choices?

Should foods that are high in sugar, fat, and salt

be taxed?

Should government restrict or incentivize the

choices of nutrition program recipients to

encourage healthier food choices?

Should private-sector interests be excluded

from the process of setting nutritional criteria in

the school lunch and breakfast programs?

Should public policy do more to promote

regional food production and consumption?

Does current research, oversight and regulation

of biological contaminants, transgenics, and

chemicals used in agriculture adequately

protect the public and the environment?

i These questions are illustrative of the types of issues AGree will address; they are not exhaustive.

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The Challenge of Improving Nutrition and Public Health

Notes 1 Nearly 15 percent of U.S. households experience food insecurity, which disproportionately impacts populations at highest risk for

obesity, including low-income households and members of racial/ethnic minority groups. See Nord, Mark, Margaret Andrews, and

Steven Carlson. (2009). Household Food Security 2008. Economic Research Report No. 83. Washington, D.C.: Economic Research

Service, U.S. Department of Agriculture. See also Robert Wood Johnson Foundation. (2010). Food Insecurity and Risk for Obesity Among

Children and Families: Is There a Relationship? Research synthesis. Princeton, NJ: Robert Wood Johnson Foundation. Available at

http://www.rwjf.org/files/research/herfoodinsecurity20100504.pdf. 2 These issues are discussed in AGree’s The Challenge of Meeting Future Demand for Food paper and will be further explored in the

context of AGree’s work to support vulnerable populations’ access to nutritious food, both in the United States and overseas. 3CDC. (2011). U.S. Obesity Trends. Atlanta, GA: CDC. Available at http://www.cdc.gov/obesity/data/trends.html. 4 Mancino, Lisa. (2005). Going with the Grain: Consumers Responding to New Dietary Guidelines. Amber Waves 3: 4-5. Available at

http://www.ers.usda.gov/Amberwaves/November05/pdf/FindingsDHNovember2005.pdf. 5 Department of Agriculture & Department of Health and Human Services. (2010). Dietary Guidelines for Americans. Washington, D.C.:

U.S. Government Printing Office. Available at http://health.gov/dietaryguidelines/2010.asp. 6 National Institute of Health. (2011). America’s Health a Mixed Bag. Washington, D.C.: National Institutes of Health. Available at

http://www.nlm.nih.gov/medlineplus/news/fullstory_108894.html. 7 Narayan, KMV, et al. (2003). Lifetime risk for diabetes mellitus in the United States. Journal of the American Medical Association 290:

1884-1890. 8CDC. (2011). Overweight and Obesity Economic Consequences. Atlanta, GA: CDC. Available at

http://www.cdc.gov/obesity/causes/economics.html. 9 Dall, T.M., et al. (2009). Distinguishing the economic costs associated with type 1 and type 2 diabetes. Population Health

Management 12(2):103-10. 10 The Congressional Budget Office projects that federal spending on mandatory health programs will account for 5 percent of U.S. GDP

in 2011, and will grow to 10 percent by 2035. See Congressional Budget Office. (2010). The Long-Term Budget Outlook. Washington,

D.C.: Congressional Budget Office. Available at http://www.cbo.gov/doc.cfm?index=11579. 11 Finkelstien, Eric A., Ian C. Fiebelkorn, and Guijing Wang. (2004). State-Level Estimates of Annual Medical Expenditures Attributable to

Obesity. Obesity Research 12: 18-24. 12 Wang, Youfa, et al. (2008). Will All Americans Become Overweight or Obese? Estimating the Progression and Cost of the US Obesity

Epidemic. Obesity 16 (2008): 2323-2330. 13Cutler, D., E. Glaeser, and J. Shapiro. (2003). Why have Americans become more obese? Journal of Economic Perspectives 17 (3): 93-

118. 14U.S. Department of Agriculture & Department of Health and Human Services (2010). 15 Nestle, Marion, et al. (1998). Behavioral and social influence on food choice. Nutrition Reviews 56 (5): 50-64. 16 Drenowski, A. and N. Darmon. (2005). Food choices and diet costs: An economic analysis. Journal of Nutrition 135: 900-904. 17 Jetter, K. and D. Cassady. (2006). The availability and cost of healthier food alternatives. American Journal of Preventive Medicine

30(1): 38-44; Drenowski, A. (2010). The cost of U.S. foods as related to their nutritive value. American Journal of Clinical Nutrition.

92(5): 1181-1188. 18 Food and Nutrition Service. (2012). National School Lunch Program Fact Sheet. Washington, D.C.: Food and Nutrition Service, U.S.

Department of Agriculture. 19 Ralston, K., et al. (2008). The National School Lunch Program: Background, trends, and issues. Washington, D.C.: Economic Research

Service, U.S. Department of Agriculture. 20 Buzby, Jean C., Hodan Farah Wells, and Gary Vocke. (2011). Possible Implications for U.S. Agriculture From Adoption of Select Dietary

Guidelines. Washington, D.C.: Economic Research Service, United States Department of Agriculture. Available at

http://www.ers.usda.gov/publications/err31/err31.pdf. 21 Institute of Medicine. (2005). Food marketing to children and youth: Threat or opportunity? Washington, D.C.: Institute of Medicine. 22 Kunkel, D., et al. (2004). The APA Task Force on advertising and children: Psychological issues in the increasing commercialization of

childhood. Washington, D.C.: American Psychological Association. 23 Frieden, T., W. Dietz, and J. Collins. (2010). Reducing childhood obesity through policy change: Acting now to prevent obesity. Health

Affairs 29 (3): 357. 24 Smith, T., B.H. Lin, and J.Y. Lee. (2010). Taxing caloric sweetened beverages: Potential effects on beverage consumption, calorie

intake, and obesity. Washington, D.C.: Economic Research Service, U.S. Department of Agriculture. 25 Golan, E., F. Kuchle., L. Mitchell, C. Greene., and A. Jessup. (2001). Economics of food labeling. Journal of Consumer Policy 24 (2): 117-

184. 26Economic Research Service. (2009). Diet Quality and Food Consumption: Recent Research Developments. Washington, D.C.: Economic

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The Challenge of Improving Nutrition and Public Health

Research Service, U.S. Department of Agriculture. Available at http://ers.usda.gov/Briefing/DietQuality/recent_research.htm. 27 Economic Research Service. (2011). Diet Quality and Food Consumption: Nutrition Information, Education, and Labeling. Washington,

D.C.: Economic Research Service, U.S. Department of Agriculture. Available at http://ers.usda.gov/Briefing/DietQuality/Labeling.htm. 28 The program served 40.3 million people per month on average during fiscal year 2010, at a total annual cost of $68.2 billion. See

Coleman-Jensen, A. et al. (2011). Household Food Security in the United States in 2010. ERR-125 Washington, DC: Economic Research

Service, U.S. Department of Agriculture. Available at http://www.ers.usda.gov/Publications/ERR125/ERR125.pdf . 29 Childhood Obesity Task Force. (2010). Solving the Problem of Childhood Obesity within a Generation. White House Task Force Report

to the President. Washington, D.C.: Childhood Obesity Task Force. 30 Ratcliffe, C. and S.M. McKernan. (2010). How Much Does SNAP Reduce Food Insecurity? Contract and Cooperator Report No. 60.

Washington, D.C.: Economic Research Service, U.S. Department of Agriculture. Available at

http://ddr.nal.usda.gov/bitstream/10113/42004/1/CAT31063495.pdf. 31 To be eligible, households income must fall under 185 percent of the federal poverty threshold or be participating in one of several

other safety net programs. In addition, there must be evidence of nutritional risk, broadly defined, at a cost of $6.8 billion in fiscal year. 32 Food and Nutrition Service. (2012). Healthy Incentives Pilot. Washington, D.C.: Food and Nutrition Service, United States Department

of Agriculture. Available at http://www.fns.usda.gov/SNAP/HIP/qa-s.htm. 33 Oliveira, V. (2011). The food assistance landscape, FY 2010. Washington, D.C.: Economic Research Service, U.S. Department of

Agriculture. 34 Eligible children are from families with incomes below 130 percent of the federal poverty threshold, although all federal school meals

are subsidized to some extent. 2010In fiscal year 2010, the NSLP served 31.6 million lunches daily, on average, and the smaller and

newer SBP served 11.6 million breakfasts. The cost for both was $13.3 billion. 35Low, S. and S. Vogel. (2011). Direct and Intermediated Marketing of Local Foods in the United States. ERR-128 Washington, DC:

Economic Research Service, U.S. Department of Agriculture. Available at http://www.ers.usda.gov/Publications/ERR128/ERR128.pdf. 36 Agricultural Marketing Service. (2011). Farmers’ Markets Growth: 1994-2011. Washington, D.C. Agricultural Marketing Service, U.S.

Department of Agriculture. Available at

http://www.ams.usda.gov/AMSv1.0/ams.fetchTemplateData.do?template=TemplateS&leftNav=WholesaleandFarmersMarkets&page=

WFMFarmersMarketGrowth&description=Farmers%20Market%20Growth&acct=frmrdirmkt. 37 Martinez, et al. (2010). Local food systems: Concepts, impacts, and issues. Washington D.C.: Economic Research Service, U.S.

Department of Agriculture. 38 Martinez, et al. (2010). 39 Bouchard, Maryse F. et al. (2011). Prenatal Exposure to Organophosphate Pesticides and IQ in 7-Year-Old Children. Environmental

Health Perspectives 119: 1189-1195; Engel, Stephanie M. et al. (2011). Prenatal Exposure to Organophosphates, Paraoxonase 1, and

Cognitive Development in Childhood. Environmental Health Perspectives 119: 1182-1188; Bellinger, D.C. (2012). A Strategy for

Comparing the Contributions of Environmental Chemicals and Other Risk Factors to Neurodevelopment of Children. Environmental

Health Perspectives 120: 501-507. 40 National Research Council. (2007). Toxicity Testing in the Twenty-first Century: A Vision and a Strategy. Washington, D.C.: National

Academy Press.

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The Challenge of Strengthening Farms, Workers, and Communities

The Challenge of Strengthening Farms, Workers, and Communities

eil and Brandon Moseley couldn’t on the surface

be more different. Brandon is quiet and

introspective; Neil is an extrovert. Neil loves to

mingle with the crowds at farmers’ markets answering

questions about his pesticide-free tomatoes. Brandon

loves nothing more than getting on a tractor, alone, with

only a field of corn in his sight lines. Neil came to farming

in a round-about manner; Brandon knew in high school

that he wanted to farm. What the two brothers do share,

however, is a love for the job. They also share something

else: a story that points to the future of U.S. farming.

Brandon is a conventional farmer, farming with a

partner 2,000 acres of soybeans, corn, wheat, and seed

corn in central Indiana, about a half hour’s drive from

Lafayette. His brother Neil, three years older, is a

different sort of farmer, farming 22 acres of all those

vegetables your grandmother grew—tomatoes, green

beans, squash, zucchini, the list goes on—all without the

use of chemical fertilizers and pesticides, and right next

door to his brother and other larger, neighboring farms.

Small versus big, conventional versus organic (albeit not

certified): It is this mix that can help to sustain U.S.

agriculture by drawing a diverse group of farmers,

young and old, new and experienced, who will push for

new innovations and ensure a diverse landscape of 21st-

century farming.

But it wasn’t an easy road, and it seldom is on today’s

family farms. Brandon, Neil, and five other siblings grew

up on a farm their parents, Jim and Kathy, had purchased

with a 100 percent FHA loan in the 1970s. Although Jim

was himself a fourth-generation farmer, there was no

family farm waiting for him after he graduated from

college. His grandparents, like many farm families, had

not left a clear will, and the estate was complicated. As a

result the land did not transfer seamlessly to his own

father. That left Jim and Kathy with no other option but

to rent a farm when they graduated from college and try

to make a go of it.

Through sheer will and hard work, they made a success

of it. So successful, in fact, that people accused Jim of

“industrial farming” because they raised 60,000 pigs and

3,000 acres of grain, something that still irks him to this

day. “It was still a family farm that started with nothing,”

he said. And a business, he pointed out, that spurred new

businesses. “Through the years, I developed people as

managers and partners as a way to give them an

opportunity to build experience and equity. They could

leave our operation and start their own business

because they had acquired those two important

ingredients. In addition, we have three of our kids today

involved in farming and we’re not directly linked to the

business of any one of the three. They’re on their own.”

Neil and Brandon are two of those children, although for

Neil, the path into farming was a little more circuitous.

After college he worked for a number of years but then

thought about starting a restaurant business. Knowing

the failure rate of that profession, his father suggested

he consider producing locally grown, all-natural produce

for restaurants instead.

N

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The Challenge of Strengthening Farms, Workers, and Communities

So while his brother Brandon bides his time waiting for

the spring thaw to get into the fields, Neil is in his

greenhouse in January coaxing tomato seedlings to life

so he can beat the “normal” tomato selling season and

eke out a better profit.

Neither one is actually making much of a profit in these

early years. Brandon must balance the huge capital

investment that farming requires today and calculate

how many acres to farm based on labor rates per acre to

support his family. For most grain farming, that's about

$40/acre. Neil, meanwhile, must figure out how many

“loss leader” crops he can carry, and how to work the

local politics to break into the very competitive local

farmers' markets. Neil brings in about $32,000 net while

raising three kids. Brandon clears about $40,000 with

two kids. That’s tough when their friends from college

are making two or three times that in the cities.

But their father says they’re willing to make those

sacrifices because of that intrinsic, “hard-to-put-your

finger-on-it” value of farming. They do it because they

find a generational continuity in it, a security in working

with family. They also have the farm-life optimism that

next year’s crop will give them a better return. And they

do it in the end because “they don’t want their kids and

their grandkids to be disconnected from this life.”

Last spring, shortly after Neil had put his new tomatoes

in, his neighbor took to the field to spray his crops with

2,4-D, an herbicide that will annihilate tomatoes. Neil

and his dad tried frantically to wave him down, but he

didn’t see them. And the wind was blowing right onto

Neil’s field. That event highlighted the differences

between the two styles of agricultural production and

the inherent risks posed. It means there has to be

respect and cooperation, and the two brothers have

figured out how to do that.

The current debate about the present structure of

agriculture in the policy arena and the media attention

around it has illustrated the tension that Brandon and

Neil should feel. Based on what many claim, they would

by necessity be at each other’s throats—one holding the

mantle of the virtuous “small and natural,” and the other

doing “big ag.” But for these two, that story doesn’t

resemble the truth. They are not at odds over their

differences in farming styles. Both, in fact, are the future

of farming.

“We need both,” says Jim. “It’s not even a matter of two

ends of the spectrum. There’s variation along the

spectrum. We need all these styles of farming in order to

feed the population. It really is that simple.”

his paper explores the future viability of farms

and ranches, the pull and tug of government

support of agriculture, the pull and tug of big

versus small. It also explores the growing reliance on

hired farmworkers and immigrant labor, and the

important role rural communities play in supporting

generations of farmers and ranchers. Whether they are

starting out on their own or taking over a family

business, attracting young people like Neil and Brandon

into farming occupations requires attention not only to

the financials of farming but to important quality-of-life

issues as well. Good schools, shopping, and exposure to

new ideas and innovations can be as important as the

expected returns from the farm business.

0BEnsuring Farm Viability and Opportunities for Future Farmers

The future of any food system and economy depends on

the viability and sustainability of its farm businesses and

workforce. In the United States alone, the food and

T

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The Challenge of Strengthening Farms, Workers, and Communities

agriculture industry is valued at nearly $1.8 trillion and

constitutes 8.64 percent of the total U.S. employment. D

1D

Much of the increase in the productivity and

competitiveness of the U.S. farm and food sectors over

the last half-century is the result of the

entrepreneurship, hard work, and resilience of millions

of family-run farms, farm laborers, and managers and

employees. American agriculture is extremely diverse—

farms differ by size, use of hired workers, types of

commodities raised, and production practices. This

diversity is a strength, but it also poses serious

challenges to public policymakers seeking ways to

sustain or improve farm viability.

Almost 90 percent of U.S. farms are small and medium-

sized family operations (defined as those with gross

farm sales of less than $250,000 per year). While they

operate about half of the total U.S. farmland, they

generate just 15 percent of total farm sales. On average,

farm households on these operations receive virtually no

(and often negative) net farm income and rely almost

completely on off-farm income.D

2D Clearly, opportunities

for off-farm work, with benefits, in rural communities

have become vital to the well-being of these farm

households. Most small and medium-sized U.S. farms are

also land rich but cash poor, with average net worth of

over $500,000. The low business income and high asset

values of many farms and ranches make them difficult to

transfer or sell to future generations of farmers.

By contrast, the remaining 280,000 large family and

nonfamily operations with gross sales over $250,000 per

year collectively produce most of the food, fiber, and fuel

in U.S. agriculture, and their operators report average

household income from farming alone of over $100,000

per year. Owners of large farms and ranches carry

significantly more debt than smaller operations, but they

also report higher asset values and net worth. Although

they often have family members who still work off-farm

(usually for the health benefits), they are much more

likely to depend on agriculture for the majority of their

family income (Figure 1).

Within the ranks of medium and large commercial farms,

the level of capital, sources of income, and use of hired

labor differ dramatically by the type of commodities

farmed. Those who grow oilseeds or grains, on the one

hand, use little hired labor and generate 25 percent of

U.S. farm sales, yet receive more than 50 percent of

federal government payments. On the other hand, those

who raise specialty crops rely heavily on hired labor and

compose 17 percent of U.S. farm sales, yet receive only 2

percent of government payments. Among livestock

farmers, most chicken and pork is raised on moderate-

sized farms employing family labor. They use large

confinement facilities and rely on contracts with

processors to sell their products. These farms receive

almost no direct assistance from farm programs.

Meanwhile, the dairy sector, which includes successful

family operations that are both moderate and large-

scale, sells its products to a highly regulated market and

receives federal income and price support for dairy

products. Beef production is split between hundreds of

thousands of relatively moderate-sized family-run cow-

calf operations with little hired help and a small number

of very large cattle feedlots that have significant hired

workforces and finish beef just prior to slaughter. The

Figure 1

Source: 2007 US Census of Agriculture

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The Challenge of Strengthening Farms, Workers, and Communities

unique challenges and opportunities these different

groups face are important to address in developing new

approaches to farm and food policy.

Because it is such a competitive sector, farms tend to be

price-takers (buying from and selling to much more

consolidated industries). As a result, short-term returns

on individual farms often depend on national and global

market conditions and/or changes in federal farm

programs and tax policies, neither of which farmers can

control. It is important not to equate scale with

profitability—there are many examples of small or mid-

sized farms in the U.S. with competitive costs of

production (and also large-scale farms that are not

making money).

In addition, a farm operation’s viability involves more

than simple calculations of economic profitability. Farm

business decision-making often involves maximizing

multiple objectives, only some of which are traditional

business goals. The family character of U.S. agriculture

can be a double-edged sword, however. Research

consistently shows that farmers are often willing to

accept below-market returns to their labor,

management, and capital assets, which collectively

depresses their net returns and can lead to

overproduction. On the other side, however, their strong

attachment to land and community and reliance on

unpaid family labor have increased their resilience by

allowing them to absorb market fluctuations and

compete against larger nonfamily operations with more

fixed cash expenses.D

3

The rate of new business formation in U.S. agriculture

has declined in recent decades. And the percentage of

farms that were operated by new entrants (people who

started farming in the previous five years) declined from

22 percent in the 1980s, to 17 percent in the 1990s, to

12-14 percent in the 2000s.D

4D Over the same period, the

rate of farm exits actually declined, as older farmers and

ranchers remained in business longer (perhaps because

of the lack of new entrants). As a result, the average age

of principal farm operators in 2007 was 57, up from age

50 in 1978, and the proportion of farmers under age 35

has declined from 16 percent to 5 percent. Currently,

nearly one-third of U.S. farmers are over age 65, and

they manage almost 30 percent of U.S. land in farming.D

5D

Interestingly, farming operations with sales over

$500,000 have notably younger principal farm operators

(only 17 percent are over 65), and are much more likely

to be multigenerational businesses with more than two

farm operators.

Stories of farm children being unwilling or unable to

take over a family operation are widespread. Completely

new entrants face many additional barriers. One major

threat to farm entry (and the future growth of many

farming operations) is the rising cost of land and

equipment associated with modern agriculture. Rising

land values and economies of scale make it increasingly

difficult for young farmers to assemble sufficient capital

to purchase (or take over) a viable large commercial

farming operation. It’s highly unlikely that Brandon or

Neil Moseley, for example, would have been able to get

started without the backing of their father’s already-

successful venture. A lack of adequate estate planning

and high estate taxes also make it difficult to transfer

large and complex commercial farming businesses

across generations. Many observers note that a large

fraction of U.S. farmland will likely change hands over

the next two decades, with great uncertainty about who

will be able to afford to acquire these assets.

Another factor influencing the decision to farm is the

pressures introduced from the growing reliance on

exports and the broader globalization of food markets.

U.S. farmers must as a result increasingly compete with

low-cost producers in other countries. Changes in the

use of technology and labor can help many farms

survive, but not all changes improve the quality of life

for farmers and workers, and the economic benefits

often accrue to a small group of early farm innovators,

downstream processors, and consumers (in terms of

lower real food prices). D

6D

Farm incomes on small and mid-sized farms and ranches

are often too small and volatile to sustain a family

without a second or third job. In aggregate, farm income

composed less than 10 percent of total U.S. farm

household income in 2009. As a result of this off-farm

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The Challenge of Strengthening Farms, Workers, and Communities

income, when viewed through the lens of households,

most farm families appear to be relatively well off. D

7D

Compared to typical nonfarm households, U.S. farm

households report higher median household income,

have lower poverty rates, and are more likely to have

health insurance.D

8D

However, when viewed as businesses, relatively few U.S.

farms are thriving, and most farm households earn

relatively little of their family household income from

their farming. Among the 2.2 million farmsD

9D counted in

the 2007 Census of Agriculture, only 1 million reported

positive net cash income from farming, and most of

those had net gains of well under $25,000 per year. In

addition, USDA data show that while farm household

income may be higher than average, it is also more

variable than nonfarm household income.D

10D The income

is highly volatile owing to sudden price swings and

unpredictable weather and other risks.

A growing suite of federal and state programs is

specifically designed to promote entry into farming.

These include federal direct farm loans and loan

guarantees targeted at beginning farmers, “farm-link”

programs to connect retiring farmers with new farmers,

farm transition services to help reduce the legal and

financial complexities of transferring a farm operation

across generations, and farmer training programs

designed to help young people without farm

backgrounds learn the basics of farming. In addition to

these state and federal government programs, several

nongovernmental organizations have developed

programs as well. These additional support programs

receive relatively modest annual funding from the

federal government and are too new for their

effectiveness to be determined.

Although many assume that future farmers will

materialize through traditional transfers of farm assets

and knowledge across generations, there is growing

interest in nontraditional models of farm entry and farm

transition. Examples include transferring ownership to

unrelated farm managers and farmworkers, recognizing

and supporting the growing numbers of small-scale

immigrant farms that often thrive in urbanizing areas,

and supporting new entrants (often with nonfarm

backgrounds) who are using emerging local food

markets as the basis for starting new farm operations.

Particularly in situations in which farm youth are

unable or unwilling to continue the family business,

nontraditional transitions can help to ensure the future

viability of farm businesses. As a whole, whether these

alternative models can be significant enough to affect the

larger U.S. farm-sector output remains to be seen.

As the story of Brandon and Neil Moseley reveals,

ultimately, the decision to farm is influenced by more

than simple balance sheet calculations. Intrinsic factors

such as an affinity for a rural lifestyle, the appeal of being

one’s own boss, and a desire to involve children in

farming are major motivations for farming. Yet policies

to promote farm viability rarely address these

noneconomic issues. It should probably not be

surprising, therefore, that only a weak relationship

exists between farm program spending and the rates of

farm entry and survival across time.

1BRethinking Farm Policy

To ensure a sufficient food supply and rural economic

well-being, a central thrust of most U.S. farm programs

since the 1930s has been to improve the level and

stability of economic returns for farmers. Most federal

spending on farm programs focuses on three aims: (1)

marketing loan assistance and counter-cyclical payment

programs that guarantee certain levels of market prices

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The Challenge of Strengthening Farms, Workers, and Communities

or revenues in the face of market volatility, (2) a direct

payment program that provides farmers with annual

subsidy payments regardless of output or market prices,

and (3) crop insurance and disaster payment programs.

Total annual spending on these programs has averaged

$6-15 billion in recent years.

The diversity of farm operations described earlier makes

designing effective and fair policies challenging. Only 30

percent of all U.S. farms receive commodity program

payments, and many important commodity producers—

particularly specialty crop and livestock farms—are

largely excluded from the most significant federal

programs. There is no strong evidence that these farm

programs consistently stabilize farm income or increase

long-run net income for the farmers who qualify. Part of

the problem is that farmers respond to the financial

incentives associated with government programs in

ways that might mitigate some of the short-run

benefits. For example, increased returns

associated with some farm programs can lead to

farmers and investors bidding up the price of

farmland.D

11D Program benefits have also been

linked to inflated farmland rental rates. D

12

Deliberations about the 2012 farm bill are focused

on alternative ways to use funding from the direct

payments program to expand risk management

tools for farmers. The debate in Washington

largely assumes that government- supported risk

management is necessary for the farm sector to

thrive. A deeper examination, however, about the

extent to which the private sector could

independently provide risk management tools is

needed. The private sector already independently

provides farmers with tools to manage their price

risk. For example, corn farmers can lock in high

corn prices on the futures market. But growth of

subsidies for both crop insurance premiums and

administrative costs has largely crowded out private-

sector involvement in developing new yield or revenue

protection programs. Some question whether

agriculture would be adversely affected by greater or

total reliance on the private sector for risk management

tools.

Studies show that many U.S. farm programs reinforce a

larger process of structural change toward larger

farms.D

13D The perceived structural impacts of farm

policies have led to the development of policies to set

some limits on the amount of total federal program

payments that a single farm operator can receive. The

argument in favor of payment limitations is that the

largest operations typically have more sufficient farm

income to survive in a competitive private market

without government help.

Current payment limitation policies appear to have had

little dramatic effect on the distribution of farm program

subsidies. Because many federal benefits are linked to

farm output, a relatively small number of large farming

operations continue to receive a very large share of total

farm program payments (Figure 2).

2BEncouraging a Skilled and Stable Workforce

As farm sizes have grown, the number of hired

farmworkers has grown. D

14D On larger farms, hired help

makes up more than one-third of the farm labor force.

Workers for labor-intensive crops such as fruits and

Figure 2

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The Challenge of Strengthening Farms, Workers, and Communities

vegetables and workers for confinement livestock

operations are in particularly high demand.

There are currently well over one million seasonal or

year-round farm employees, many of whom are

immigrants.D

15D Farmworkers experience working

conditions that can vary widely based on geography,

crop, and employer. Hired farmworkers have long been a

mainstay of U.S. farming systems in the West and

Southeast, although the share of foreign-born workers in

this group has varied over time. D

16D More recently, the

livestock industry and other operations in the Midwest

and Northeast, regions that traditionally relied on family

or local sources of labor, have begun using immigrant

farmworkers as well.D

17

Changes in immigration policy in the mid-1960s

curtailed legal immigration to the United States for

temporary farm work, although the use of foreign-born

workers appears to have continued unabated. As a

result, growing numbers of immigrant farmworkers do

not have legal work status. Among seasonal agricultural

workers, for example, the estimated share of

undocumented workers rose from 7 percent in the early

1990s to over 50 percent in 2005-2006.D

18D

Hired farmworkers have traditionally had among the

lowest pay with the poorest working conditions of any

sector in the U.S. economy. In 2010, average earnings

were about $9 an hour. Studies indicate that

farmworkers’ median weekly earnings are only 60

percent of that of workers in comparable private-sector

jobs outside agriculture, such as construction and retail.

Their underemployment and unemployment rates are

much higher than the national averages as well.

Farmworker households also have twice the poverty

rate of nonfarm households, a situation that partly

reflects the fact that many workers send a significant

share of their wages back to their home countries.D

19D

Housing conditions (particularly for migrant workers)

are often poor, and workers can experience exposure to

pesticides, inadequate sanitary conditions, long working

hours, and obstacles to obtaining health care. Although

many states and individual farmers have worked to

improve the pay and working conditions of hired

employees, many states have lenient standards and

many farmers have been reluctant to improve wages and

working conditions because it could reduce their

competitiveness.

Despite farm laborers’ growing ranks, growers have

sometimes lost crops because not enough workers were

unavailable. The H-2A guest worker program only

certifies about 75,000 to 100,000 temporary foreign

workers per year and is considered cumbersome and

expensive by many growers. The perceived vulnerability

of farmers to changes in immigration policy has led

some farm industry leaders to press for reform and

expansion of immigration programs (like the H-2A

program). These programs are designed specifically to

provide more efficient and reliable supplies of legal

foreign agricultural workers.D

20D

Efforts to expand the use of legal foreign labor are

premised on the idea that there are too few American

workers willing to do the work and meet demand. A

series of studies and commissions, however, finds little

empirical evidence of a systematic national farm labor

shortage, though the debate over the issue continues.D

21D

However, there is evidence that recent state initiatives to

proactively enforce federal immigration laws have

created labor shortages and raised anxiety among

farmers and ranchers. In some places and at critical

labor bottleneck times, spot shortages of workers have

led to the bidding up of farmworker wages. D

22D

Efforts to address the immigration dimension of farm

labor have proven challenging given the polarized

political environment around immigration. Immigration

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43

The Challenge of Strengthening Farms, Workers, and Communities

issues are highly charged at the state level, in Congress,

and in the 2012 presidential election campaigns.

Bipartisan efforts in Congress to address agricultural

labor issues through changes in both immigration policy

and domestic agricultural labor policy have been

complicated by larger congressional debates and

disagreements on the best approaches to overarching

immigration reform.

Farm labor is not the only form of agricultural work,

however. In fact, more people today work in the

agricultural input and food processing sectors than in

farming or ranching. In the United States alone, the food

and agriculture industry constitutes 8.64 percent of the

total U.S. employment, and this figure is projected to

increase over time. D

23D A recent USDA study predicted

more than 50,000 new job openings in food and

agriculture between 2010 and 2015, only 15 percent of

which are in growing and raising commodities. (Figure 3

shows the breadth of the agriculture industry. D

24D)

Interestingly, the majority of workers in food processing

and marketing live and work in metropolitan areas.

Many food processing jobs, like farmworker jobs, offer

low wages (estimated at $12 an hour in 2010) and rely

increasingly on the same immigrant labor pool. At the

same time, jobs in food science, agribusiness,

agricultural engineering, and biotechnology are high-

skilled occupations that provide above-average wages

and benefits.D

25D Employers in these fields report growing

difficulty finding sufficient qualified workers.

Efforts to improve the skills, supply, and working

conditions of the farm and food labor force will require

careful balancing of the goals of improving social justice,

individual opportunity, community well-being, and the

competitiveness of farm and food businesses.

3BFarmers Need Strong Communities

Attracting young people into farming occupations,

whether to start out on their own or to take over a

family business, requires attention to important quality-

of-life issues in the communities where they reside. A

vibrant social scene, good schools, shopping, and other

public services and infrastructure can be as important as

the expected returns from the farm business.

Communities with diversified economies, strong

institutions, and amenities will be more attractive than

communities that do not offer these and

other basic requirements for people to have a

good quality of life.

Farming has long been seen as a positive

contributor to rural community well-being,

partly because farmers are often seen as

embodying traditional American social and

political values.D

26D Long-time residents in

many farm towns have particularly strong

attachments to their communities, neighbors,

and lifestyles. Growing specialization and

consolidation of farm production on fewer

and larger operations has raised concern

about the potential erosion of the traditional

connections between family farming, thriving

rural communities, and the beauty of the Source: USDA data sets, available at HUwww.ers.usda.gov/Data/FarmandRelatedEmployment/UH. This does not include an additional 16.8 million workers in food wholesale and retail businesses.

Figure 3

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44

The Challenge of Strengthening Farms, Workers, and Communities

land and its natural resources. Since the early 1970s,

preferences for a more rural way of life have prompted

many urbanites to move to less densely populated areas,

particularly in areas with attractive natural amenities.

“Amenity-based” migration and retirement destinations

were among the fastest growing and economically

vibrant areas in the United States during the 1990s and

2000s.D

27D

Yet not all small rural towns are bucolic ideals. Growing

consolidation of farm production on fewer and larger

operations has meant gains in efficiency, but it also has

raised concern about the erosion of services and quality

of life in some rural communities. A substantial body of

research suggests that growth in farm size and the rise

of more “industrial-

style” farming

practices are linked

to a wide range of

community-scale

outcomes. D

28D Most

studies agree that

farm consolidation

has contributed to

population loss in

farm-dependent

towns in the Great

Plains, which has

undermined rural

communities’ social

and economic vitality in those regions. Larger farms,

technological change, and increased contracting have

also been associated with less money “staying in town.”

The larger farmers may no longer purchase supplies

locally, for example. D

29D

Finally, it appears that growing

dependence on a hired farm labor workforce is

associated with higher levels of poverty and economic

inequality in rural communities. D

30D

This trend has also

placed increased demands on local schools and social

services.

Much federal rural policy has focused on improving

conditions for farmers, under the assumption that

agriculture is a critical driver of rural social and

economic conditions and therefore efforts to improve

the status of farm households should benefit their rural

communities more broadly. While this made sense at a

time when a sizable share of Americans lived and

worked on farms, fewer than 5 percent of residents in

nonmetropolitan counties now work in the farm

sector.D

31D More generally, the importance of agriculture

in local rural economies varies widely, and a relatively

small number of rural residents now live in places that

can be considered “farm-dependent.”D

32D Perhaps, then, it

is not surprising that federal farm programs have little if

any impact on rural community well-being in most

places. 33D

Although many federal programs have focused on

supporting agriculture as a way to support rural

communities, other

rural development

programs have targeted

rural community

development more

directly. Most federal

rural development

spending has been in

the form of grants or

loans to support

infrastructure, housing,

and rural businesses. D

34D

Although less than $40

million in rural

development spending

is mandated in the federal farm bill, discretionary

allocations from Congress have increased federal outlays

to over $2.5 billion a year (mostly in housing programs).

These numbers nearly doubled in 2009 and 2010 as

federal economic stimulus packages temporarily but

dramatically increased funding, particularly for

broadband internet and rural housing assistance

programs.

Strong rural communities are important elements of any

viable farming and food system. While some rural

communities are struggling, many others are thriving—

particularly those that have been able to diversify their

economies to include growing nonagricultural sectors.

The strongest communities are those that have

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45

The Challenge of Strengthening Farms, Workers, and Communities

diversified and stable economies, provide adequate

services (including schools, health care, and shopping),

and have few pressing social or environmental problems

that could drain public resources and reduce quality of

life. They also capitalize on shifting population and

economic trends as migrants from urban or other areas

bring new social capital, ideas, and insights to the fold.

Ironically, because so many U.S. farmers now depend on

nonfarm income for their household survival, efforts to

bolster broad rural community vitality have become

particularly important to the viability and survival of

farms.D

35D Therefore, the question going forward will be,

which programs and policies are most effective in

improving community well-being? And how can farmers

be rewarded for sustaining or increasing social, cultural,

and environmental benefits to local communities?

Rural development practitioners have identified several

“best practices” for building strong rural communities—

although many of these have yet to be adopted by

policymakers.D

36D For example, there is growing evidence

that regional approaches that enable cooperation and

collaboration across many communities are more

effective in generating aggregate economic development

than efforts to improve conditions in individual towns. D

37D

Similarly, experts believe programs that build local

capacity and opportunities for self-development

generate longer-term and more sustainable benefits for

rural communities. 38D Examples include training local

residents in entrepreneurship and business

management, leadership development, community

planning, asset mapping, and projects designed to build

social capital. Another best practice is strategies that

retain a larger fraction of profits and wealth in the local

rural community. This can involve efforts to expand local

ownership and control of new business ventures and

incentives to encourage reinvestment of profits in rural

areas. Finally, because the economic base and

development challenges of nonmetropolitan areas vary

widely, a flexible approach that adapts development

strategies to the unique circumstances of diverse rural

communities is most likely to succeed. D

39

One development approach that merges support for

agriculture and broader community well-being is

reflected in efforts to build strong local and regional food

systems. Institutional support for farmers’ markets and

local food processing and distribution capacity provide

significant proven opportunities for growth in local

employment and income.D

40D Moreover, local food

markets provide opportunities for social networking and

can generate measurable improvements in residents’

quality of life. D

41

Although food and agricultural policies have direct and

indirect impacts on rural communities, maximizing rural

community benefits from agriculture would require a

looking at federal agricultural policies through a

different lens and designing them differently. For

example, policies and programs to improve the status of

farmworkers would likely have direct benefits by

increasing economic multipliers associated with farm

employment and reducing demands on rural social

services. Significantly increasing recreational hunting

and fishing opportunities in agricultural areas would

require policies that reward farmers who enhance land

and water habitats, while reducing incentives that

generate negative impacts. And maximizing the

economic and social benefits resulting from

strengthened local and regional food systems would

require investments and policies that provide the

necessary infrastructure and financing.

4BLooking Forward

The history of much agricultural policy in the United

States has been a struggle to find ways to improve

economic returns and stability in farming without

stimulating overproduction or encouraging resource

exploitation. D

42D Despite a dramatic decline in the number

of farmers and growing consolidation of production in

the hands of the largest farms, the U.S. farm sector

remains one of the most highly competitive industries in

the country, with millions of privately held businesses

acting largely independently to produce and market

their products.

American agriculture and the communities that support

it are diverse and changing, and this diversity makes the

development of simple policy solutions difficult. But

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46

The Challenge of Strengthening Farms, Workers, and Communities

there are clear opportunities to meet the challenge of

strengthening the farms, workers, and communities

involved in food and agriculture. Ensuring the future

viability of farming and ranching will require innovative

efforts to overcome the barriers for new entrants, from

the cost of land and availability of credit to providing

legal and financial advice to facilitate transfers of

complex businesses across generations. It also means

creating an efficient and effective set of risk

management tools that can meet the sector’s very

diverse products, geographies, and circumstances. The

new interest in local, regional, and organic food also

offers new opportunities for young entrepreneurs to

enter the sector.

Current labor policies do not meet the needs of farmers

and ranchers or the needs of their workers. The politics

of immigration policy impede progress toward a

workable guest worker program, and the pressures of

international competition continue to put downward

pressure on wages and better living conditions. The

shared desire of producers and farm and food labor

advocates for a legal, stable workforce may offer an

opportunity for the food and agriculture community to

take leadership on the issue, in spite of the national

political debates.

Finally, it is clear that farmers, ranchers, and workers

need communities that offer a good quality of life.

Investments in basic infrastructure are necessary, even

as the nation looks to tighten spending—water, sewer,

roads, bridges, and broadband investments are critical

to supporting the businesses and the families producing

food and fiber, and to attracting and retaining new

entrants and next-generation farmers and ranchers.

Rural development policy has long taken a back seat in

both state legislatures and the federal government, and

finding a way to build political support will be hard but

necessary. The growing interest in where food comes

from and how it is produced may offer an opportunity to

build new alliances for rural community vitality, and the

expanding cultural and natural amenity tourism efforts

in rural regions may reinforce those alliances.

A set of fundamental questionsF

iF must be answered,

however, if food and agricultural policy is to address the

principal issues facing it today, including:

Would agriculture be adversely impacted by

greater or total reliance on the private sector for

risk management tools? Would the viability of

the farms that produce most of the volume and

value of U.S. agricultural commodities be

affected?

Is policy intervention needed to ensure that

commercial farms in the U.S. can transition

successfully to the next generation of farm

operators?

What reforms in U.S. immigration and labor

policies would most improve the stability,

security, and well-being of the hired farm and

food system workforce in the U.S.?

How can we improve the compensation and

working conditions of U.S. farm laborers while

maintaining the global competitiveness of U.S.

producers?

How can improvements in rural community

nonfarm economic opportunities be used to

help support the viability of commercial farming

operations?

i These questions are illustrative of the types of issues

AGree will address; they are not exhaustive.

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The Challenge of Strengthening Farms, Workers, and Communities

5BNotes 1 Bureau of Economic Analysis. (2010). GDP by Industry. Washington, D.C.: BEA, U.S. Department of Commerce. 2 Hoppe, R.A. and D.E. Banker. (2010). Structure and Finances of U.S. Farms: Family Farm Report, 2010 Edition. Washington, DC:

Economic Research Service, U.S. Department of Agriculture. 3 Reinhardt, N. and P. Barlett. (1989). The Persistence of Family Farms in United States Agriculture. Sociologia Ruralis 24: 203-225. 4 The U.S. Census of Agriculture can be used to estimate five-year entry and exit rates. See, e.g., Gale, H.F. (2003). Age-specific Patterns

of Exit and Entry in US Farming, 1978-1997. Review of Agricultural Economics 25(1): 168-186. 5 U.S. Department of Agriculture National Agricultural Statistics Service, various censuses of agriculture. These figures are for the

“principal operator” of U.S. farms and do not capture the fact that many farming operations now have multiple operators, some of

whom represent younger generations who will eventually assume control of the farm. 6 Cochrane, W.W. (1993). The Development of American Agriculture: A Historical Analysis. 2nd ed. Minneapolis: University of Minnesota

Press. 7 El-Osta, H. (2008). A Look at the Economic Well-Being of Farm Households. Amber Waves.

Available at www.ers.usda.gov/Briefing/WellBeing/wellbeing.htm 8 Jones, C.A., T.S. Parker, M. Ahearn, A.K. Mishra, and J.N. Variyam. (2009). Health Status and Health Care Access of Farm and Rural

Populations. EIB-57. Washington, DC: Economic Research Service, U.S. Department of Agriculture. It is worth noting that access to

quality health care services is lower in less densely populated areas, farm households tend to spend more out of pocket to obtain

insurance and health care, and farming is one of the most dangerous occupations. 9 The official USDA definition of a farm is "any operation that sells at least $1,000 of agricultural commodities or that would have sold

that amount of produce under normal circumstances.” 10 Goodwin, Barry K. (2009). We’re Not in Kansas Anymore: Is there a Case for Ag Subsidies? Washington, DC: American Enterprise

Institute. Available at www.aei.org/paper/economics/fiscal-policy/federal-budget/were-not-in-kansas-anymore-is-there-any-case-for-

ag-subsidies/ 11 Barnard, C.H., G. Whittaker, D. Westenbarger, and M. Ahearn. (1997). Evidence of Capitalization of Direct Government Payments into

U.S. Cropland Values. American Journal of Agricultural Economics 79 (5): 1642-1650. 12 Lence, S.H. and A.K. Mishra. (2003). The Impacts of Different Farm Programs on Cash Rents. American Journal of Agricultural

Economics 85(3): 753-761. 13 Ahearn, M.C., J. Yee, and P. Korb. (2005). Effects of Differing Farm Policies on Farm Structure and Dynamics. American Journal of

Agricultural Economics 87 (5): 1182-1189.; Yee, J. and M.C. Aheran. (2006). Government Policies and Farm Size: Does the Size Concept

Matter? Applied Economics 37: 2231-2238.; Key, Nigel and M.J. Roberts. (2006). Government Payments and Farm Business Survival.

American Journal of Agricultural Economics 88(2): 382-392. 14 Kandel, W. (2008). Hired Farmworkers a Major Input for Some US Farm Sectors. Amber Waves. Available at

http://www.ers.usda.gov/amberwaves/april08/features/hiredfarm.htm. 15 Some evidence suggests that peak employment in critical seasons might exceed 2 million farmworkers (Ibid). 16 V. J. Oliveira. (1989). Trends in the Hired Farm Work Force, 1945-87. AIB-561. Washington, DC: Economic Research Service, U.S.

Department of Agriculture. 17 Kandel, W. (2008). 18 Levine, L. (2009). Farm Labor Shortages and Immigration Policy. CRS Report RL30395. Washington, DC: Congressional Research

Service.; see also U.S. Department of Labor. (2000). Findings from the National Agricultural Workers Survey 1997-1998. Research

Report No. 8. Washington, DC: DOL. 19 Kandel, W. (2008). Profile of Hired Farmworkers: A 2008 Update. ERR-60. Washington, DC: Economic Research Service, U.S.

Department of Agriculture.; Aguirre International. (2008). The California Farm Labor Force: Overview and Trends from the National

Agricultural Workers Survey. North Bethesda, MD: Aguirre. 20 Wasem, R.E. and G.K. Collver. (2003). Immigration of Agricultural Guest Workers: Policy, Trends, and Legislative Issues. CRS Report

RL30852. Washington, DC: Congressional Research Service. 21 Levine, L. (2009). 22 Gray, Steven. (26 June 2011). Convicts or Illegals: Georgia Hunts for Farmworkers as Tough Immigration Law Takes Hold. Time.

Available at http://www.time.com/time/nation/article/0,8599,2079542,00.html 23 Bureau of Economic Analysis (2010). 24 U.S. Department of Agriculture Economic Research Service. (2005). Farm and Farm-Related Employment. Available at:

www.ers.usda.gov/Data/FarmandRelatedEmployment/. This does not include an additional 16.8 million workers in food wholesale and

retail businesses. The most recent year for which complete U.S. data is available is 2002. 25 See the U.S. Department of Labor, Bureau of Labor Statistics. Last updated 2012. Occupational Outlook Handbook. Available at

http://www.bls.gov/ooh/home.htm.

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48

The Challenge of Strengthening Farms, Workers, and Communities

26 Berry, W. (1977). The Unsettling of America: Culture and Agriculture. New York: Avon Books. 27 McGranahan, D.A. (1999). Natural Amenities Drive Rural Population Change. AER-781. Washington, DC: Economic Research Service,

U.S. Department of Agriculture. 28 Labao, L. and C. W. Stofferahn. (2008). The Community Effects of Industrialized Farming: Social Science Research and Challenges to

Corporate Farming Laws. Agriculture and Human Values 25: 219-240. 29 Foltz, J.D., D. Jackson-Smith, and L. Chen. (2002). Do purchasing patterns differ between large and small dairy farms? Econometric

evidence from three Wisconsin communities. Agricultural and Resource Economics Review 31(1): 28-38. 30 Martin, Philip. (2009). Importing Poverty? Immigration and the Changing Face of Rural America. New Haven, CT: Yale University

Press. 31 Vias, A.C. and P.B. Nelson. (2006). Changing livelihoods in rural America. In W.A. Kandel and D.L. Brown (Eds.), Population Change

and Rural Society (pp. 75-102). Dordrecht, Netherlands: Springer. 32 Irwin, E., A. Isserman, M. Kilkenny, and M. Partridge. (2010). A Century of Research on Rural Development and Regional Issues.

American Journal of Agricultural Economics 92(2): 522-553. 33 A forthcoming AGree Backgrounder report will summarize evidence for the impacts of different Farm Bill programs on rural

community well-being in the United States. See also Drabenstott, Mark. (2005). Do Farm Payments Promote Rural Economic Growth?

Main Street Economist March 2005: 1-4. Available at http://www.kc.frb.org/publicat/mse/MSE_0305.pdf. 34 Cowan, T. (2010). An Overview of USDA Rural Development Programs. CRS Report RL31837. Washington, DC: Congressional Research

Service. Available at: www.nationalaglawcenter.org/assets/crs/RL31837.pdf. 35 Whitener. L.A. and T. Parker. (2007). Policy Options for a Changing Rural America. Amber Waves. Available at

www.ers.usda.gov/AmberWaves/May07SpecialIssue/Features/Policy.htm 36 Olfert, M.R. and M.D. Partridge. (2010). Best Practices in Twenty-First-Century Rural Development and Policy. Growth and Change

41(2): 147-164. 37 Kilkenny, M. and S. Johnson. (2007). Rural Development Policy. In B. Gardner and D. Sumner (Eds). Agricultural Policy for 2007 Farm

Bill and Beyond. Washington, DC: American Enterprise Institute. Available at

http://www.aei.org/research/farmbill/publications/pageID.1476,projectID.28/default.asp. 38 Olfert and Partridge, (2010). 39 Hamilton, L.C., L.R. Hamilton, C.M. Duncan, and C.R. Colocousis. (2008). Place Matters: Challenges and Opportunities in Four Rural

Americas. Carsey Institute Report on Rural America 1 (4). Available at www.carseyinstitute.unh.edu. See also the Rural County

Typology codes developed by the USDA Economic Research Service. U.S. Department of Agriculture Economic Research Service. (2005).

Measuring Rurality: 2004 County Typology Codes. Available at http://www.ers.usda.gov/briefing/rurality/typology/. 40 Brown, C.S. and S. Miller. (2008). The Impacts of Local Markets: A Review of Research on Farmers Markets and Community

Supported Agriculture (CSA). American Journal of Agricultural Economics 5: 1296-1302. 41 Hinrichs, C.G., G.W. Gillespie, and G.W. Feenstra. (2004). Social Learning and Innovation at Retail Farmers’ Markets. Rural Sociology

69: 31-58. 42 Gardner, B.L. (2002). American Agriculture in the Twentieth Century. Cambridge, MA: Harvard University Press.

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www.foodandagpolicy.org


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