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Inter-American Development Bank to Use $ 600,000 to Help Mexican Small Farmers

This state of southern Mexico is one of the poorest in the country, so we expect the more than 45,000 farmers that this initiative is designed to help are well served.

These areas of cocoa, coffee and other subtropical cultivation areas have a poverty rate of about 77% on average. The hope is that implementing these measures will increase productivity and sales and enrich the local population.

Through the EthicHub platform, Chiapas farmers without access to the banking system will benefit in two ways. First, it will help you market your products to a better price in the market.

Under the system will also help facilitate credit lines. Initial access to credit terms will be based on crop production cycles and reportedly lower interest rates. Naturally, this will result in creating a positive credit history so that farmers can access even better financing options in the future.

As usual, there are expansion plans to help other crop producers and reach other parts of Latin America, if successful.

High tech solutions for low tech areas

Small farmers like Chiapas are the main producers in their communities and contribute a lot to local food security. Similarly, in other parts of the region, such as Brazil, small producers make up almost 40% of the food produced in their localities. That proportion is even higher in Central America – as in neighboring Guatemala – by 60 percent, according to the International Fund for Agricultural Development (IFAD).

Despite these numbers, small farmers are very neglected and have limited access to technology and funding. However, they represent a significant market with growth potential. Just need more investment.

Don’t get me wrong. This is not an easy task. The development of basic infrastructure in these rural communities may be one of the reasons investors marginalize the market. But huge investments are not needed (but would be welcome, remember). Relatively simple agro technology can take things to the next level.

For example, using satellite imagery to review crop status can help farmers make more informed decisions, as Peruvian Agros and Brazilian Agronow have shown. Drones can also help save small farmers their precious time to scan their fields.

Agrotech has the potential to provide some serious inclusion and growth to Latin American fields and orchards. It also has the potential to improve the well-being of millions of families living in it. He just needs investors to believe in the innovative ideas out there.

Meanwhile, the IDB keeps moving

The IDB has been a busy bee when it comes to technology and startups lately.

In September, he befriended SoftBank – always Softbank! Then in October, he launched his regional blockchain project. It also has an ongoing land registration project in Peru, Paraguay and Bolivia.

What will be the next venture has not yet been defined. However, if your recent activity says anything, it will probably be on the blockchain.

Source: contxto.com

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