IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i7p3874-d527789.html
   My bibliography  Save this article

The Role of Agriculture and Non-Farm Economy in Addressing Food Insecurity in Ethiopia: A Review

Author

Listed:
  • Komikouma Apelike Wobuibe Neglo

    (Institute of Agricultural Economics and Development, Chinese Academy of Agricultural Sciences (CAAS), Beijing 100081, China)

  • Tnsue Gebrekidan

    (Training and Consultancy Division, Ethiopian Civil Service University, P.O. Box 5648, Addis Ababa, Ethiopia)

  • Kaiyu Lyu

    (Institute of Agricultural Economics and Development, Chinese Academy of Agricultural Sciences (CAAS), Beijing 100081, China)

Abstract

In Ethiopia, famine and extreme poverty are a result of insufficient food relief, poor macroeconomic factors, climate shocks, undiversified livelihoods based on low productivity in rain-fed agriculture, coupled with institutional incapacity. To serve as a context, this paper provides a comprehensive review of the conceptual framework of human development and capability paradigm to food security. In addition, it highlights evidence and a comparative analysis of the Asian green revolution experience, and places emphasis on sustainable and intersectoral growth through agricultural transformation and promotion of rural non-farm economy agenda to reverse the trends of protracted food crises in Ethiopia. Rapid, science-led, and employment-intensive agricultural growth, accompanied by the promotion of the rural non-farm sector, is of great importance to the rural economy. These will bring about farm sector competitiveness and enhanced productivity, environmental outcomes, acceleration of human development, new opportunities provided to the small-scale food producers, and desirable changes to the rural landscape. The study further introduces a brief analysis of the prominent role of social protection instruments in strengthening food entitlements and basic capabilities, including individual agencies. It suggests that actualizing sustainable food security and hastening human development under Ethiopia’s exclusive settings require the recognition of the rural economic heterogeneity as well as holistic and pragmatic policies, which promote sustainable and inclusive growth.

Suggested Citation

  • Komikouma Apelike Wobuibe Neglo & Tnsue Gebrekidan & Kaiyu Lyu, 2021. "The Role of Agriculture and Non-Farm Economy in Addressing Food Insecurity in Ethiopia: A Review," Sustainability, MDPI, vol. 13(7), pages 1-22, April.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:7:p:3874-:d:527789
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/7/3874/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/13/7/3874/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Beneberu A. Wondimagegnhu & Admassu T. Huluka & Sarah M. Nischalke, 2019. "Determinants of farm livelihoods of smallholder farmers in Yayu biosphere reserve, SW Ethiopia: a gender disaggregated analysis," Cogent Economics & Finance, Taylor & Francis Journals, vol. 7(1), pages 1645583-164, January.
    2. Hazell, Peter & Poulton, Colin & Wiggins, Steve & Dorward, Andrew, 2010. "The Future of Small Farms: Trajectories and Policy Priorities," World Development, Elsevier, vol. 38(10), pages 1349-1361, October.
    3. Bezu, Sosina & Barrett, Christopher B. & Holden, Stein T., 2012. "Does the Nonfarm Economy Offer Pathways for Upward Mobility? Evidence from a Panel Data Study in Ethiopia," World Development, Elsevier, vol. 40(8), pages 1634-1646.
    4. James E. Foster, 2007. "A Class of Chronic Poverty Measures," Vanderbilt University Department of Economics Working Papers 0701, Vanderbilt University Department of Economics.
    5. Thomas Reardon & Eric Crawford & Valerie Kelly, 1994. "Links Between Nonfarm Income and Farm Investment in African Households: Adding the Capital Market Perspective," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 76(5), pages 1172-1176.
    6. Abebe Ejigu Alemu & Jimi O. Adesina, 2017. "In Search of Rural Entrepreneurship: Non-farm Household Enterprises (NFEs) as Instruments of Rural Transformation in Ethiopia," African Development Review, African Development Bank, vol. 29(2), pages 259-271, June.
    7. Jennifer Coates & Beatrice Lorge Rogers & Patrick Webb & Daniel Maxwell & Robert Houser & Christine McDonald, 2008. "Rethinking Food Security in Humanitarian Response," Working Papers in Food Policy and Nutrition 41, Friedman School of Nutrition Science and Policy.
    8. Jayne, Thomas S. & Strauss, John & Yamano, Takashi & Molla, Daniel, 2002. "Targeting of food aid in rural Ethiopia: chronic need or inertia?," Journal of Development Economics, Elsevier, vol. 68(2), pages 247-288, August.
    9. John W. Mellor, 2017. "The Economic Transformation," Palgrave Studies in Agricultural Economics and Food Policy, in: Agricultural Development and Economic Transformation, chapter 0, pages 17-28, Palgrave Macmillan.
    10. Prabhu Pingali & Naveen Sunder, 2017. "Transitioning Toward Nutrition-Sensitive Food Systems in Developing Countries," Annual Review of Resource Economics, Annual Reviews, vol. 9(1), pages 439-459, October.
    11. Timmer, C. Peter, 2008. "Agriculture and Pro-Poor Growth: An Asian Perspective," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 5(1), pages 1-29, June.
    12. Haggblade, Steven & Hazell, Peter & Reardon, Thomas, 2010. "The Rural Non-farm Economy: Prospects for Growth and Poverty Reduction," World Development, Elsevier, vol. 38(10), pages 1429-1441, October.
    13. David Booth, 2011. "Aid, Institutions and Governance: What Have We Learned?," Development Policy Review, Overseas Development Institute, vol. 29, pages 5-26, January.
    14. Govereh, Jones & Jayne, Thomas S., 1999. "Effects of Cash Crop Production on Food Crop Productivity in Zimbabwe: Synergies or Trade-offs?," Food Security International Development Working Papers 54670, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    15. James Levinsohn & Margaret McMillan, 2007. "Does Food Aid Harm the Poor? Household Evidence from Ethiopia," NBER Chapters, in: Globalization and Poverty, pages 561-598, National Bureau of Economic Research, Inc.
    16. Hill, Ruth Vargas & Porter, Catherine, 2017. "Vulnerability to Drought and Food Price Shocks: Evidence from Ethiopia," World Development, Elsevier, vol. 96(C), pages 65-77.
    17. Lanjouw, Peter, 2001. "Nonfarm Employment and Poverty in Rural El Salvador," World Development, Elsevier, vol. 29(3), pages 529-547, March.
    18. Hannah Pieters & Anneleen Vandeplas & Andrea Guariso & Nathalie Francken & Alexander Sarris & Jo Swinnen & Nicolas Gerber & Joachim von Braun & Maximo Torero, 2012. "Perspectives on relevant concepts related to food and nutrition security," FOODSECURE Working papers 1, LEI Wageningen UR.
    19. Christiaensen, Luc & Demery, Lionel & Kuhl, Jesper, 2011. "The (evolving) role of agriculture in poverty reduction--An empirical perspective," Journal of Development Economics, Elsevier, vol. 96(2), pages 239-254, November.
    20. Naseem, Anwar & Oehmke, James F. & Anderson, Jock & Mbaye, Samba & Pray, Carl & Nagarajan, Latha & Moss, Charles B. & Post, Lori, 2017. "Measuring Agricultural and Structural Transformation," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258549, Agricultural and Applied Economics Association.
    21. Bruno Losch & Sandrine Fréguin-Gresh & Eric Thomas White, 2012. "Structural Transformation and Rural Change Revisited : Challenges for Late Developing Countries in a Globalizing World [Transformations rurales et développement : Les défis du changement structurel," World Bank Publications - Books, The World Bank Group, number 12482, December.
    22. Luc Christiaensen & Joachim Weerdt & Yasuyuki Todo, 2013. "Urbanization and poverty reduction: the role of rural diversification and secondary towns," Agricultural Economics, International Association of Agricultural Economists, vol. 44(4-5), pages 435-447, July.
    23. John W. Mellor, 2017. "Agricultural Development and Economic Transformation," Palgrave Studies in Agricultural Economics and Food Policy, Palgrave Macmillan, number 978-3-319-65259-7, June.
    24. Barrett, Christopher B. & Bezuneh, Mesfin & Clay, Daniel C. & Reardon, Thomas, 2001. "Heterogeneous Constraints, Incentives And Income Diversification Strategies In Rural Africa," Working Papers 14761, Cornell University, Department of Applied Economics and Management.
    25. Stefan Dercon & Douglas Gollin, 2014. "Agriculture in African Development: Theories and Strategies," Annual Review of Resource Economics, Annual Reviews, vol. 6(1), pages 471-492, October.
    26. Birner, Regina & Resnick, Danielle, 2010. "The Political Economy of Policies for Smallholder Agriculture," World Development, Elsevier, vol. 38(10), pages 1442-1452, October.
    27. Barrett, Christopher B., 2008. "Smallholder market participation: Concepts and evidence from eastern and southern Africa," Food Policy, Elsevier, vol. 33(4), pages 299-317, August.
    28. Loayza, Norman V. & Raddatz, Claudio, 2010. "The composition of growth matters for poverty alleviation," Journal of Development Economics, Elsevier, vol. 93(1), pages 137-151, September.
    29. Barrientos, Armando & Nino-Zarazua, Miguel, 2010. "Social Assistance in Developing Countries Database Version 5.0," MPRA Paper 20001, University Library of Munich, Germany.
    30. Günther, Isabel & Harttgen, Kenneth, 2009. "Estimating Households Vulnerability to Idiosyncratic and Covariate Shocks: A Novel Method Applied in Madagascar," World Development, Elsevier, vol. 37(7), pages 1222-1234, July.
    31. Beintema, N. & Bossio, Deborah A. & Dreyfus, F. & Fernandez, M. & Gurib-Fakim, A. & Hurni, H. & Izac, A. M. & Jiggins, J. & Kranjac-Berisavljevic, G. & Leakey, R. & Ochola, W. & Osman-Elasha, B. & Ple, 2009. "International Assessment of Agricultural Knowledge, Science and Technology for Development (IAASTD): Agriculture at a Crossroads, global summary for decision makers," IWMI Research Reports H042936, International Water Management Institute.
    32. Demie, Ashebir & Zeray, Negussie, 2016. "Determinants of participation and earnings in the rural nonfarm economy in Eastern Ethiopia," African Journal of Rural Development (AFJRD), AFrican Journal of Rural Development (AFJRD), vol. 1(1), June.
    33. Frank Ellis, 1998. "Household strategies and rural livelihood diversification," Journal of Development Studies, Taylor & Francis Journals, vol. 35(1), pages 1-38.
    34. Mark Duffield, 1993. "NGOs, Disaster Relief and Asset Transfer in the Horn: Political Survival in a Permanent Emergency," Development and Change, International Institute of Social Studies, vol. 24(1), pages 131-158, January.
    35. Reardon, Thomas & Minten, Bart & Chen, Kevin & Adriano, Lourdes, 2013. "The Transformation of Rice Value Chains in Bangladesh and India: Implications for Food Security," ADB Economics Working Paper Series 375, Asian Development Bank.
    36. Mccarthy,Nancy & Brubaker,Josh & De La Fuente,Alejandro, 2016. "Vulnerability to Poverty in rural Malawi," Policy Research Working Paper Series 7769, The World Bank.
    37. Benjamin Tetteh Anang, 2017. "Effect of non-farm work on agricultural productivity: Empirical evidence from northern Ghana," WIDER Working Paper Series 038, World Institute for Development Economic Research (UNU-WIDER).
    38. Vandercasteelen, Joachim & Beyene, Seneshaw Tambru & Minten, Bart & Swinnen, Johan, 2018. "Big cities, small towns, and poor farmers: Evidence from Ethiopia," World Development, Elsevier, vol. 106(C), pages 393-406.
    39. Germano Mwabu & Erik Thorbecke, 2004. "Rural Development, Growth and Poverty in Africa," Journal of African Economies, Centre for the Study of African Economies, vol. 13(1), pages 16-65, July.
    40. UNDP Africa, 2012. "Africa Human Development Report 2012 Towards a Food Secure Future," UNDP Africa Reports 267636, United Nations Development Programme (UNDP).
    41. Burchi, Francesco & De Muro, Pasquale, 2016. "From food availability to nutritional capabilities: Advancing food security analysis," Food Policy, Elsevier, vol. 60(C), pages 10-19.
    42. Seid Sani & Biruk Kemaw, 2019. "Analysis of households food insecurity and its coping mechanisms in Western Ethiopia," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 7(1), pages 1-20, December.
    43. Prabhu Pingali & Naveen Sunder, 2017. "Transitioning Toward Nutrition-Sensitive Food Systems in Developing Countries," Annual Review of Economics, Annual Reviews, vol. 9(1), pages 439-459, October.
    44. Zhu, Nong & Luo, Xubei, 2006. "Nonfarm activity and rural income inequality : a case study of two provinces in China," Policy Research Working Paper Series 3811, The World Bank.
    45. Diao, Xinshen & Hazell, Peter & Thurlow, James, 2010. "The Role of Agriculture in African Development," World Development, Elsevier, vol. 38(10), pages 1375-1383, October.
    46. Derek Byerlee & Alain de Janvry & Elisabeth Sadoulet, 2009. "Agriculture for Development: Toward a New Paradigm," Annual Review of Resource Economics, Annual Reviews, vol. 1(1), pages 15-31, September.
    47. Block, S. & Webb, P., 2001. "The dynamics of livelihood diversification in post-famine Ethiopia," Food Policy, Elsevier, vol. 26(4), pages 333-350, August.
    48. repec:wbk:wbpubs:12481 is not listed on IDEAS
    49. Kathleen Beegle & Luc Christiaensen, 2019. "Accelerating Poverty Reduction in Africa [Accélérer la réduction de la pauvreté en Afrique]," World Bank Publications - Books, The World Bank Group, number 32354, December.
    50. Benjamin Tetteh Anang, 2017. "Effect of non-farm work on agricultural productivity: Empirical evidence from northern Ghana," WIDER Working Paper Series wp-2017-38, World Institute for Development Economic Research (UNU-WIDER).
    51. Devereux, Stephen, 2016. "Social protection for enhanced food security in sub-Saharan Africa," Food Policy, Elsevier, vol. 60(C), pages 52-62.
    52. Lanjouw, Jean O. & Lanjouw, Peter, 2001. "The rural non-farm sector: issues and evidence from developing countries," Agricultural Economics, Blackwell, vol. 26(1), pages 1-23, October.
    53. Collier, Paul & Dercon, Stefan, 2014. "African Agriculture in 50Years: Smallholders in a Rapidly Changing World?," World Development, Elsevier, vol. 63(C), pages 92-101.
    54. Pandey, Vimal Chandra & Bajpai, Omesh & Singh, Nandita, 2016. "Energy crops in sustainable phytoremediation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 54(C), pages 58-73.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Muhammad Luqman & Muhammad Umer Mehmood & Muhammad Farooq & Tariq Mehmood & Muhammad Waqar & Muhammad Yaseen & Mukkram Ali Tahir, 2021. "Critical Analysis of Rural Development Initiatives in Pakistan," Journal of Economic Impact, Science Impact Publishers, vol. 3(2), pages 121-129.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Biggeri, Mario & Carraro, Alessandro & Ciani, Federico & Romano, Donato, 2022. "Disentangling the impact of a multiple-component project on SDG dimensions: The case of durum wheat value chain development in Oromia (Ethiopia)," World Development, Elsevier, vol. 153(C).
    2. Van den Broeck, Goedele & Maertens, Miet, 2017. "Moving Up or Moving Out? Insights into Rural Development and Poverty Reduction in Senegal," World Development, Elsevier, vol. 99(C), pages 95-109.
    3. Conceição, Pedro & Levine, Sebastian & Lipton, Michael & Warren-Rodríguez, Alex, 2016. "Toward a food secure future: Ensuring food security for sustainable human development in Sub-Saharan Africa," Food Policy, Elsevier, vol. 60(C), pages 1-9.
    4. Dorosh, Paul & Thurlow, James, 2018. "Beyond Agriculture Versus Non-Agriculture: Decomposing Sectoral Growth–Poverty Linkages in Five African Countries," World Development, Elsevier, vol. 109(C), pages 440-451.
    5. Musa Hasen Ahmed & Kumilachew Alamerie Melesse, 2018. "Impact of off-farm activities on technical efficiency: evidence from maize producers of eastern Ethiopia," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 6(1), pages 1-15, December.
    6. Charles B. Moss & Samba Mbaye & Anwar Naseem & James F. Oehmke, 2018. "Did the Plan Sénégal Emergent Affect Cropping Decisions in the Senegal River Basin?," Economies, MDPI, vol. 6(3), pages 1-17, July.
    7. Paul Kwame Nkegbe & Abdelkrim Araar & Benjamin Musah Abu & Hamdiyah Alhassan & Yazidu Ustarz & Edinam Dope Setsoafia & Shamsia Abdul-Wahab, 2022. "Nonfarm activity and market participation by farmers in Ghana," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 10(1), pages 1-23, December.
    8. Matthys, Marie-Luise & Acharya, Sushant & Khatri, Sanjaya, 2021. "“Before cardamom, we used to face hardship”: Analyzing agricultural commercialization effects in Nepal through a local concept of the Good Life," World Development, Elsevier, vol. 141(C).
    9. Larson,Donald F. & Muraoka,Rie & Otsuka,Keijiro, 2016. "On the central role of small farms in African rural development strategies," Policy Research Working Paper Series 7710, The World Bank.
    10. Jim Woodhill & Avinash Kishore & Jemimah Njuki & Kristal Jones & Saher Hasnain, 2022. "Food systems and rural wellbeing: challenges and opportunities," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 14(5), pages 1099-1121, October.
    11. Paul Nkegbe & Abdelkrim Araar & Benjamin Abu & Yazidu Ustarz & Hamdiyah Alhassan & Edinam Dope Setsoafia & Shamsia Abdul-Wahab, 2018. "Rural Non-Farm Engagement and Agriculture Commercialization in Ghana: Complements or Competitors?," Working Papers PMMA 2018-07, PEP-PMMA.
    12. Dethier, Jean-Jacques & Effenberger, Alexandra, 2012. "Agriculture and development: A brief review of the literature," Economic Systems, Elsevier, vol. 36(2), pages 175-205.
    13. Maja Micevska & Dil Bahadur Rahut, 2008. "Rural Nonfarm Employment and Incomes in the Himalayas," Economic Development and Cultural Change, University of Chicago Press, vol. 57(1), pages 163-193, October.
    14. World Bank, "undated". "Africa's Pulse, April 2013 : An Analysis of Issues Shaping Africa's Economic Future," World Bank Publications - Reports 20238, The World Bank Group.
    15. Suttie, D. & Vargas-Lundius, R., 2016. "IFAD RESEARCH SERIES 2 - Migration and transformative pathways: a rural perspective," IFAD Research Series 280036, International Fund for Agricultural Development (IFAD).
    16. Neema Ciza Angélique & Vwima Stany & Philippe Lebailly & Hossein Azadi, 2022. "Agricultural Development in the Fight against Poverty: The Case of South Kivu, DR Congo," Land, MDPI, vol. 11(4), pages 1-24, March.
    17. Eva‐Maria Egger & Aslihan Arslan & Emanuele Zucchini, 2022. "Does connectivity reduce gender gaps in off‐farm employment? Evidence from 12 low‐ and middle‐income countries," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(1), pages 197-218, March.
    18. Jayne, Thomas S. & Chamberlin, Jordan & Traub, Lulama & Sitko, N. & Muyanga, Milu & Yeboah, Felix & Nkonde, Chewe & Anseeuw, Ward & Chapoto, Anthony & Kachule, Richard, 2015. "Africa's Changing Farmland Ownership: The Rise of the Emergent Investor Farmer," 2015 Conference, August 9-14, 2015, Milan, Italy 212028, International Association of Agricultural Economists.
    19. Byela Tibesigwa & Martine Visser & Jane Turpie, 2017. "Climate change and South Africa’s commercial farms: an assessment of impacts on specialised horticulture, crop, livestock and mixed farming systems," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 19(2), pages 607-636, April.
    20. Ligon, Ethan & Sadoulet, Elisabeth, 2018. "Estimating the Relative Benefits of Agricultural Growth on the Distribution of Expenditures," World Development, Elsevier, vol. 109(C), pages 417-428.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:7:p:3874-:d:527789. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.