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Facilitating Smallholder Farmers’ Market Access

In the OIC Member Countries

105

The change in policy, together with rising incomes, brought about a significant

restructuring of Jordan’s agricultural sector. For example, in 1985, before the policy

reforms, wheat provided about half of the calories consumed in Jordan. Even though

wheat imports were significant and Jordan had no comparative advantage in producing

wheat, domestic wheat producers were heavily protected. Following the reforms, the

structure of production and trade changed for various food sources

(Figure 61)

, including

wheat. Wheat production shrank, and domestic agriculture eventually stabilized around

the production of a smaller set of higher-value products, mostly horticultural goods. Even

as urbanization continued, average incomes in agriculture began to grow.

Figure 62

depicts this transformation in a different way. Based on 2004–06 values, it

shows that the most significant component of Jordan’s agricultural restructuring was the

decline in cereal production. Other components of the sector have been stable or seen

modest increases.

FIGURE 61: RESTRUCTURING OF FOOD SUPPLIES IN JORDAN

Source:

FAOSTAT (FAO 2014).