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Disasters cost farmers $3.8 trillion in last three decades

Unveiling the truth behind disasters and their impact on farmers. Shockingly, yearly grain losses have averaged 69 million tonnes

By Ground Report
New Update
Disasters cost farmers $3.8 trillion in last three decades

In the latest report released by the Food and Agriculture Organization (FAO) on October 13, 2023, it has been revealed that farmers worldwide have suffered immense losses amounting to approximately $3.8 trillion (equivalent to $380,000 crore) over the past three decades due to various disasters.

Agricultural losses: 5% Global GDP

These losses are equivalent to an average annual loss of Rs 10.24 lakh crore (about $12,300 crore) in terms of crops and cattle. To put this into perspective, this yearly loss accounts for roughly five percent of the global gross domestic product of agriculture.

The FAO report, titled 'The Impact of Disasters on Agriculture and Food Security,' highlights the alarming increase in losses of major agricultural products over the last 30 years. For instance, grain losses have averaged 69 million tonnes annually, equivalent to the entire grain production of France in 2021.

Similarly, losses of about 40 million tonnes per year were recorded in fruit, vegetable, and sugarcane crops, matching the total production of fruits and vegetables in Japan and Vietnam in 2021. Additionally, an annual loss of 16 million tonnes of meat, eggs, and dairy products mirrors the total production in Mexico and India in 2021.

The report underscores the disproportionate impact of these disasters on farmers in less affluent countries. Agriculture in Asia has suffered the most significant losses, followed by Africa, Europe, and America. While Asia's losses represent approximately four percent of agricultural value, Africa's losses are nearly eight percent. Moreover, the report reveals that disasters have caused the most harm to agriculture in relatively low- and low- to middle-income countries, accounting for up to 15 percent of their total agricultural GDP.

Global agriculture hit hard by Disasters

Furthermore, the report reveals that disasters have caused the greatest damage to agriculture in low- and low- to middle-income countries, accounting for up to 15 percent of their total agricultural GDP. However, high-income and middle-income countries have also incurred substantial losses.

Low-income countries, particularly Small Island Developing States (SIDS), have suffered losses amounting to approximately seven percent of their total agricultural GDP.

The report defines disasters as serious disruptions in the functioning of societies or communities, ranging from natural disasters to invasive insect attacks and the COVID-19 pandemic. Over the past 20 years, the number of recorded disasters has increased by 300 percent, reaching 400 per year.

The frequency, intensity, and complexity of these disasters are also on the rise, with climate-related disasters exacerbating existing societal and environmental problems.

Rich and middle-income countries have also incurred substantial losses, while low-income countries, particularly Small Island Developing States (SIDS), have experienced losses amounting to approximately seven percent of their total agricultural GDP.

Report defines various disruptive events

The report defines disasters as serious disruptions in the functioning of societies or communities, encompassing a wide range of events, from natural disasters to invasive insect attacks and the COVID-19 pandemic.

The number of recorded disasters has increased significantly, rising by 300 percent over the last two decades to 400 per year, compared to 100 per year in the 1970s. This increase not only pertains to the number of disasters but also their frequency, intensity, and complexity.

Experts predict that the situation may worsen in the future, as climate-related disasters exacerbate existing societal and environmental challenges.

The report calls for increased data collection to better understand the impact of disasters on all agricultural sectors. It emphasizes that such data is crucial for creating effective disaster risk management policies and practices.

Qiu Dongyu, Director-General of FAO, stressed the vulnerability of agriculture to disasters due to its heavy reliance on nature and climate. Dongyu highlighted the need for disaster risk management in agricultural practices and policies to safeguard food security and the sustainability of agricultural systems.

The report concludes with a significant finding: for every rupee invested in disaster preparedness, farmers have gained a sixfold benefit, as it has helped mitigate crop damage. As agriculture remains the weakest link in food systems, empowering farmers with knowledge and resources to safeguard their fields from disasters will not only protect their crops but also strengthen their resilience.

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