This publication is providing a glimpse into how Katalyst is realising systemic change by making market systems more inclusive. As a result of the systemic changes, farmers are empowered to increase their incomes and improve their livelihoods, private companies are changing their business models as they recognize the buying power of small farmers and cater to their needs, and the public sector fulfills its role of supporting the poor more effectively by creating conducive enabling environments.
As a key pillar of the Ugandan economy, the agriculture sector is a critical driver of economic growth and poverty alleviation. Uganda's agricultural sector is dominated by smallholders with low levels of productivity. The agriculture sector is highly exposed to co-variant risks, which include weather, biological, infrastructure (post-harvest loss), price, and market risks. This plethora of risks suppresses appetite for investment in the sector. Despite the sector's contribution to the economy, farmers' access to finance remains a major constraint.
Rural Advisory Services (RAS) are increasingly recognised as critical to agricultural and rural development. They provide rural communities with wide range of skills and knowledge and facilitate their interactions among the different actors to help them access support and services required for improving their livelihoods. Family Farmers are one of the important clients of RAS as they are the most predominant type of farmers worldwide.
This policy note examines the policy and investment framework between 2003 and 2010, resulting sector performance and the priorities for future development. It draws attention to the need to refocus on completing the fundamental reforms and investments on which Kyrgyzstan's early successes were built.