FGV study points ways to accelerate the transition of family farmers

10/10/2022

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Organic production in Canindé, state of Sergipe — Foto: Emiliano Capozoli/Valor

Marcelo Fukunaga’s life changed radically when his daughter was born. Besides experiencing the excitement of becoming a father, he also realized that, as a farmer, he did not have the courage to feed her with the products he grew on his property, because of the amount of pesticide he used. It was then that he took the courage and decided to migrate to organic production on his 10 hectares of land in Vale do Ribeira, in the south of São Paulo state.

But not all small producers have the motivation for such a change. And as much as some want to reduce their dependence on chemicals, they face a many challenges.

To unlock this market, the Center for Sustainability Studies of the Fundação Getulio Vargas (FGVces) prepared a study with recommendations for the public and private sectors to encourage the transition of small producers. The initiative had the support of Carrefour Brazil and the Carrefour Foundation and the collaboration of 50 organizations and more than 70 people, including Mr. Fukunaga.

Those who believe that the difficulty for organics is low productivity are wrong, he says. “In the past, I was always in debt to the poison and fertilizer industries. Today, I produce without debt, and the revenue stays all with me,” says the producer. In 2010, when he changed his model, Mr. Fukunaga reduced his production area to four from ten hectares, and his net income doubled.

The organic produced this way can be as competitive as conventional food. The difference is in the costs after the gate, logistics and certification. “Organic food can be affordable if it is produced close to where it is consumed,” says Taís Brandão, researcher at FGVces and manager of the project.

According to FGVces, it is possible to untie the knot with a tripod formed by technical assistance and rural extension of organic practices, promotion of markets suitable for organic family agriculture, and dedicated public policies. The center defends that the guidelines should also target producers “in transition”, that is, who still don’t fit in fully organic.

There are already some initiatives, such as the São Paulo government’s, which approved in February the Agroecological Transition Protocol, aimed at a “gradual” transition. “There are those who don’t use pesticide, but being organic is not only that,” says Araci Kamiyama, leader of the organic group of the Sustainable Rural Development Coordination (Cati). According to her, the biggest challenge is in the technical support.

On the leg of market access, the study says that retailers need to establish contracts with those suppliers that foresee sharing of losses and of certification costs, purchase guarantee, reduced payment terms, non-consigned sales, and flexibility in supply that respects the season of each food.

Cooperatives can play a crucial role, says the study. This is what made a quick transition possible for Mr. Fukunaga, who participates in the cooperative Coopafasb. “Were it not for the cooperative, I would not have access to markets as I do today,” he says. Coopafasb organizes food baskets sold directly to consumers.

Another leg indicated by FGVces is that of government support. According to Mr. Brandão, besides the need for credit lines for systems in transition, it is necessary that bank employees have the orientation to offer them. “Sometimes the producer wants these lines, but the manager doesn’t know about them or has no incentive to offer them, and directs the farmer to a standard line, which foresees intensive use of external inputs”, says Ms. Brandão.

In São Paulo, a line of credit from Fundo de Expansão do Agronegócio Paulista (Feap) offers up to R$500,000 for each farmer that wants to migrate to organic systems, but the demand is small. “I don’t know why. Some producers are very small and or don’t have planning, but some have capacity,” says Ms. Kamiyama, with Cati. The study also advocates public procurement of organic food and systems in transition.

There is also the leg of science. “When you talk about an organic agroecological model, you don’t have enough inputs or research, and the genetic base comes from conventional agriculture,” Ms. Kamiyama recalls.

The producers who are now seeking a transition for their crops end up learning by doing, as it was for Mr. Fukunaka. “In the previous model, I didn’t have time for my family because I always needed to increase the scale. But there are several techniques that make you produce more food and in a more diverse way. Today I work more calmly and have been able to see my children grow up.”

*By Camila Souza Ramos — São Paulo

https://valorinternational.globo.com/