In Summary
Latin America and the Caribbean (LAC) aspire to become the world's food basket.
With abundant land, water, and natural resources, LAC is the world's largest net exporter of agricultural products. However, it still needs enormous growth to meet the nutritional demands of an ever-growing global population. The sector needs greater and better financing, increased competitiveness, and improved efficiency while adapting to climate change and protecting the environment, all without neglecting small producers.
Challenges and Opportunities
Latin America and the Caribbean (LAC) hold one third of the world's drinking water and has a large amount of potentially arable land in addition to tremendous biodiversity. LAC is home to 34% of the world's flora and 27% of all mammals. The region has the means to become a global leader in agribusiness.
However, to achieve this it faces multiple challenges. It needs to increase competitiveness and access to water and improve efficiency, all within the context marked of climate change. Variations in rainfall patterns and droughts will put the region to the test. Agribusiness must also take small producers into account, integrating them in the value chain to achieve a fair balance between production and land use. The region needs comprehensive solutions that take multiple factors into account.
Our Commitment
In Latin America and the Caribbean, family businesses account for 80% of agricultural producers, 40% of production, and two thirds of agricultural employment. However, 14 million small producers are poor and the majority of them cannot access financing. We work with financial institutions, agricultural cooperatives, and anchor companies to expand access to financing, promote rural development, and integrate small producers in the value chain. IDB Invest makes a difference by betting on sustainable, competitive, and innovative business models. We seek investments that rely increasingly on renewable energies and improved water use. We promote fair workplaces that value inclusion and diversity.
Latest projects
Mexico
Guatemala
Argentina
Brazil
Regional
Ecuador
Peru
Colombia
Ecuador
Brazil
Publications
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October 2022Digital Transformation of Agribusiness in Latin America and the Caribbean
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June 2022Remote Sensing and Artificial Intelligence Applications for Agribusiness
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September 2022Food Loss in the Agribusiness Sector: The Perspective of Companies in Latin America and the Caribbean
Santiago Villegas is Head of Food & Agribusiness at IDB Invest’s Corporates Division. IDB Invest is the private sector arm of the IDB Group, a multilateral development bank focused on serving its clients and achieving the UN Sustainable Development Goals in Latin America and the Caribbean.
Before joining IDB Invest, Mr. Villegas spent 16 years at Rabobank, working in Buenos Aires, London and Madrid. He held senior roles across corporate banking, financial sponsors and food & agribusiness, with experience in origination, structured finance, acquisition finance, value chain finance, M&A and strategic client coverage across Europe and Latin America.
At IDB Invest, Mr. Villegas supports private sector companies across Latin America and the Caribbean in scaling sustainable and resilient agribusiness models, mobilizing capital, strengthening value chains and contributing to food security, climate resilience and sustainable development. Mr. Villegas holds a degree in Business Economics from Universidad Torcuato Di Tella in Argentina.