IFC has made agribusiness a priority because of its potential for broad
development impact and especially strong role in poverty reduction. We
combine investments and advisory services to help the sector address
higher demand and escalating food prices in an environmentally
sustainable and socially inclusive way. We also support global
initiatives for sustainable production of agricultural commodities.
The food price crisis is putting pressure on the global supply chain and
threatening progress in poverty reduction. To help clients prefinance
inventories, seeds, fertilizers, chemicals, and fuel for farmers, IFC
has offered working capital facilities. For the medium term, we will
scale up financing for agribusiness and address critical constraints
along the value chain. We aim to bring land into sustainable production,
improve productivity by transferring technologies and practices, and
make the best use of water and other resources. We will also pursue
investments, with both private and public sectors, in physical
infrastructure (ports, warehouses, cold storage, telecommunications)
that can facilitate trade and lower cost. To reach small farmers and
rural enterprises, IFC will work more with trading companies and
financial intermediaries, helping channel financing and advisory
services effectively.