Mobile Central to Farming Fortunes in Poorer Markets

Vodafone and Accenture say that mobile could play a vital role in improving the livelihoods of farms in emerging markets. 

The companies have announced the results of a study that aimed to measure the impact of mobile communications on the lives and prosperity of farming communities in some of the worlds poorest countries. The research, which has been welcomed by Oxfam, assesses the potential benefits of new mobile data services such as weather forecasts, commodity market information, and mobile banking for smallholding farmers operating in marginal circumstances. 

The report, called Connected Agriculture, says that many farming communities in emerging markets are economically excluded with little or no access to capital or banking services. They therefore lack the means to trade (beyond basic barter arrangements), borrow to acquire new assets, or invest to provide their businesses with sufficient resilience to withstand macro-economic changes.

The study concludes that 80 per cent of the potential $138bn uplift in emerging market farmers incomes will be derived from the growth of mobile money systems, mobile information services, and helpline services. 

The research also says that a further uplift in agricultural incomes will emerge as a result of the use of advanced mobile communications technology in food production and distribution. This includes installing simple low-cost wireless data devices within storerooms, delivery vehicles and distribution centres to enable farmers and food producers to develop detailed logistics and tracking systems. These in turn will allow farmers and producers to optimise the movement of crops and produce from farms to consumers homes as well as gather detailed field data.

Vodafone Group CEO Vittorio Colao says: “Smallholding farmers in emerging markets are both vulnerable and vital: without a steep increase in their productivity, it is hard to see how future generations will avoid global food shortages. Mobile is already transforming hundreds of millions of peoples lives in ways unimaginable only a decade ago. This report now provides vivid evidence of how mobile can make a material difference in tackling the global food gap.”

Peter Lacy, MD of Accenture Sustainability Services, Europe, Africa and Latin America says: “Mobile networks are now more widely established in emerging markets than traditional fixed networks and have the potential to transform market-led agricultural practices. We have identified 12 mobile communications opportunities which can drive real efficiency in food and agriculture value chains, increasing farmers income by 11 per cent and reducing waste and environmental impact.”

Dame Barbara Stocking, CEO of Oxfam says: “With more than 1.5bn people worldwide dependent on smallholder agriculture – a group that includes half the worlds undernourished people – mobile telephony could have significant potential to help the poorest farmers towards food and income security. We particularly welcome the focus that this research places on how core business, rather than corporate philanthropy, can operate to have a positive developmental impact.”

 

Popular topics