A groundbreaking United Nations study reveals that redirecting public food procurement to local family farmers represents a transformative strategy for enhancing food security, diversifying diets, and stimulating inclusive economic growth across Latin America and the Caribbean. The comprehensive report, jointly presented by the World Food Programme (WFP), the Food and Agriculture Organization (FAO), and the Economic Commission for Latin America and the Caribbean (ECLAC), demonstrates how structured government demand can create sustainable markets for small-scale agricultural producers who constitute 81% of the region’s farming operations.
Despite accounting for the overwhelming majority of agricultural holdings, smallholder farmers face persistent structural challenges including limited market access, low productivity rates, and heightened vulnerability to extreme weather events. The UN agencies propose that strategic public spending directed toward this sector can simultaneously address multiple development objectives while providing cost-effective solutions to nutritional challenges.
The region has made notable progress with 1.5 million people escaping hunger in 2024, yet significant challenges persist with approximately 181.9 million individuals unable to afford a healthy diet and rural poverty remaining endemic. UN officials emphasize that local procurement policies offer a dual benefit by leveraging existing public budgets while fostering broader economic and social development.
FAO’s Assistant Director-General for Latin America and the Caribbean, Rene Orellana Halkyer, highlighted that “promoting local public food procurement from smallholder farmers has become a key policy direction. This strategy redefines how public spending can drive development and improve nutrition while directly addressing structural barriers faced by small producers.”
WFP Regional Director Lola Castro characterized public procurement as “more than a supply mechanism—it’s a powerful policy tool for inclusion and resilience.” She noted that “short chain and zero kilometer foods multiply economic opportunities for communities, safeguard culinary heritage, and contribute to public health since produce reaches consumers at peak ripeness with enhanced nutritional value.”
The report documents substantial benefits in implementation areas, with participating producers increasing incomes by up to 106% and female participation in public food markets surging from 23% to 61%. Countries like Honduras and Guatemala generated 478 jobs for every million dollars invested through these programs.
ECLAC’s director of Productive and Business Development Division, Marco Llinás, emphasized that “connecting producers to markets is not enough; policies must strengthen productive, technological, and organizational capacities to ensure sustainable integration into value chains while reducing consumer prices and enhancing food security.”
The study concludes that maximizing impact requires synergistic approaches combining public procurement with advancements in science, technology, innovation, and human capital development. The publication provides policymakers, development agencies, and civil society organizations with evidence-based frameworks for integrating local food procurement into national food security and rural development strategies.