Impacts of Agricultural Research on Poverty, Malnutrition and Resilience

Agricultural research continues to be a good investment. The studies show that investments in international and national agricultural research account for almost all of the total factor productivity (TFP) growth in SSA and large shares of agricultural growth globally. The existing agricultural research institutions have, on average, delivered rates of return to public investment above 30-40%, which is much higher than the 5-10% available to other public investments or the 2-5% cost of borrowing public funds. Recent studies have found no decline in the rates of return to research in developing countries.

Agricultural research can be an effective tool for reduced poverty. Ex post econometric studies have shown that agricultural research is related to important declines in African and Asian poverty levels. Country case studies describe in more detail how improvements in the productivity of specific crops like rice, maize, common beans, peanuts and pigeon pea have reduced poverty. There are also examples of how poverty reductions can be due to improvements in dairy technology, livestock health and dairy policy, as well as postharvest technology improvements for cassava processing and maize storage.

Investments in agricultural growth and productivity more effective at reducing poverty than alternative investments. Recent global simulation models show that increasing agricultural production and productivity is a much more effective way of reducing poverty in poor countries than increasing productivity in the industrial sector. Other simulations show that of the investments in agricultural research, in irrigation, water storage, and infrastructure such as roads and communication; agriculture is the most effective but it is even more effective when coupled with the other investments.

Improved agricultural technology has reduced malnutrition. One recent study of 38 developing countries showed that the spread of modern staple crop varieties led to a large 9% decrease in all-cause infant mortality. Other studies document improved diet diversity due to the introduction of orange fleshed sweet potatoes in Mozambique and improved tomatoes and eggplant in Tanzania.

Research linking research to resilience is more limited but finds some success. Beyond the effect of higher incomes on poverty and malnutrition, a number of studies document the impact of pest resistant crops that reduce vulnerability of crops to biotic stress and vaccines in reducing livestock vulnerability to disease. Studies of drought resistant maize and submergence resistant crops suggest that they are promising, but may not spread rapidly unless they are bundled with other more obviously beneficial traits like higher yields. Finally, social science research has helped governments develop programs to reduce vulnerability such as index insurance for African and Asian agriculture.