KPMG warns high borrowing costs threaten farm productivity
Originally published by Citizen Digital — Read the original article →
Cheaper fertiliser is easing the burden on farmers, but high
borrowing costs and limited access to credit continue to hold back production.
For farmers, the cost of a harvest comes long before the
income. Fertiliser, seed and labour must be paid for upfront, while earnings
depend on what survives the season and the price it fetches.
KPMG’s latest report on global food system resilience warns
that this balance is becoming harder to sustain. It links rising fertiliser
costs to disruptions in global oil and gas markets, which affect the cost of
producing and transporting the input.
