More than roads required

Much emphasis is given to the importance of infrastructure in boosting the economy of rural areas and for reducing poverty there. Roads mean more trade, right? Roads mean that you can get your produce to the market, don't they?

The latest Agritrade newsletter reports on a review done on the link between infrastructure and agricultural trade and poverty reduction, published in September 2013, which “confirms that rural roads are important for poverty reduction, and can increase agricultural productivity and market access”. But it also finds “little evidence that roads have a direct impact on the poorest communities”.

The findings make the case that investment in "soft infrastructure" like the services related to extension and maintaining standards are as important as putting money towards "hard infrastructure" (roads, energy supply, communications).

The whole article and editorial comment can be found here.

In The Agri Handbook, the importance of infrastructure is underscored by the fact that both the chapter on infrastructure and the chapter on developing farmer support are in the "National issues" section. There are also chapters on the importance of rural development, and agricultural education and training.

African infrastructure development

The African Development Bank (AfDB) is looking to create a large fund to finance infrastructure in Africa, Reuters reported recently (29 May 2013). The bank estimates that Africa requires investment of $100-billion every year for a decade. Infrastructure allows for economic activity and trade among countries, and the lack of sufficient infrastructure is often cited as an obstacle for intra-African trade.

It is a vital issue within individual countries too. When food prices are high and employment levels are low, it is time to do something about infrastructure. Infrastructure and agrologistics is a chapter under the National issues section of The Agri Handbook for South Africa.