Agricultural Innovation System (AIS) is a collection of institutions enabling agricultural and food system transformation in a country. Any attempt to engage in emergency interventions by institutions and bounce back with higher levels of resilience requires strong organizational and human capacity as a prerequisite. What role do these institutions play in emergencies such as COVID-19 and how can they bounce back after such a crisis is over? What can be done to help these institutions build resilience capacity for such recovery?
Agricultural research continues to be a good investment. The studies show that investments in international and national agricultural research account for almost all of the total factor productivity (TFP) growth in SSA and large shares of agricultural growth globally. The existing agricultural research institutions have, on average, delivered rates of return to public investment above 30-40%, which is much higher than the 5-10% available to other public investments or the 2-5% cost of borrowing public funds.
The Commission on Sustainable Agriculture Intensification (CoSAI) and the Foreign, Commonwealth and Development Office (FCDO) jointly commissioned a gap study to determine how far away innovation investment is from helping agri-food systems achieve zero hunger goals and the Paris Agreement while reducing impacts on water resources in the Global South. The results show that the world can come much closer with some well-placed investments.
Considering the new opportunities that ICT innovations bring to improve performance of financial and extension services, this study looks at the potential contribution of financial and extension services to the Sustainable Development Goals (SDGs). The approach used extends the standard Data Envelopment Analysis (DEA) model to include longer-term management goals and find a solution that balances the efficient use of innovation investments and the achievement of policy goals, making this approach well suited for the analysis of the SDGs.
Increasing investment and spending in agricultural innovation is not enough to meet Sustainable Development Goal (SDG) targets of ending poverty and hunger because the effectiveness of investments in low- and middle-income (LMI) countries is affected by the low quality of infrastructure and services provided, and by different norms and practices that create a considerable gap between financing known technical solutions and achieving the outcomes called for in the SDGs.
The evidence base on agri-food systems is growing exponentially. The CoSAI-commissioned study, Mining the Gaps, applied artificial intelligence to mine more than 1.2 million publications for data, creating a clearer picture of what research has been conducted on small-scale farming and post-production systems from 2000 to the present, and where evidence gaps exist.
A range of approaches and financial instruments have been used to stimulate and support innovation in agriculture and resolve interlocking constraints for uptake at scale. These include innovation platforms, results-based payments, value chain approaches, grants and prizes, incubators, participatory work with farmer networks, and many more.
Innovation for sustainable agricultural intensification (SAI) is challenging. Changing agricultural systems at scale normally means working with partners at different levels to make changes in policies and social institutions, along with technical practices. This study extracts lessons for practitioners and investors in innovation in SAI, based on concrete examples, to guide future investment.