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Small-scale soya farming can outperform large-scale agricultural investments

Sophia Baumert, Isilda Nhantumbo

IIED Briefing, 4 pages

Agriculture is an important engine for economic growth in Africa, but effective agricultural strategies to support rural development and poverty alleviation are scarce. State investment in the small-scale farming sector is minimal and the entrepreneurial family farm sector remains underrepresented. Meanwhile, large-scale land investments are advocated as means to bring capital to rural areas and stimulate development. However, the investigation of soya production in Central Mozambique presented here suggests small-scale farming can produce similar profits to large-scale operations and better social outcomes. Concentrating only on large-scale investments can mean forgoing opportunities for rural development and poverty reduction. With the right support, poorer households can develop market-oriented farming that contributes to local value chains at many levels.

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