IXL Social Enterprise Case Studies Food Security January 2013 | Page 11

Food Security in Urban Slums by 2018 Innovative Partnerships to Break the Cycle In the mountains of Chiapas, Mexico, Green Mountain Coffee, Heifer International and local coffee growing communities have been working together to survive the “thin months.” This is the period when income from the coffee growing harvest is drained, food reserves have diminished, and prices of staples like beans and corn have risen. Heifer is using a participatory approach with local communities in an effort to diversify their agricultural production. They provide communities with a selection of animals, plants and other resources fitted to each farm’s specific needs. Many communities receive bees. Bees are very valuable for these farmers; they not only help pollinate crops, but they also produce honey that can be sold later. Since the beginning of the project, farmers have made a sustainable business out of this. This project has grown to more than 50 families from 10 communities who will make around 9 tons of honey in the next “thin months” cycle. Farmer families should earn additional income of $4,500 to $6,000 from participation in this project.39 Large fluctuations in food prices amplify problems for poor people living in poor regions Market mechanisms like speculation or global trade policies can lead to large fluctuations in the price of food. Similarly, food-aid from other countries can impact local food producers and potentially bankrupt them.40 While these peaks and valleys are interesting features on a graph, to individual families and poor food producers, those lines can represent the difference between life and death. Because so many in the developing world pay upwards of 40% of income for food, even modest increases in the prices of staple food like rice or grain can plunge families in the developing world into food insecurity. Industrial farming is reaching its limit Innovation in agricultural machinery and farming methods, genetic technology, techniques for achieving economies of scale in production, the creation of new markets for consumption, and global trade have all created tremendous agricultural productivity in developed nations; these methods are also becoming increasingly prevalent worldwide. Furthermore, the entire food value chain has become more efficient. Food producers, retailers, and other key contributors to the food value chain have found ways to pool their resources and capabilities to be more lucrative and more efficient.41 In developed countries, agriculture has moved from a small-scale and often family-run endeavor to an industrial function. These industrial producers are able to make