2.3.2 Average income of small-scale food producers, by sex and indigenous status

Definition
SDG indicator 2.3.2 measures income from on-farm production activities, which is related to the production of food and agricultural products. This includes income from crop production, livestock production, fisheries and aquaculture production, and from forestry production. The indicator is computed as annual income.

FAO proposes to define small-scale food producers as producers who:
 * operate an amount of land falling in the first two quintiles (the bottom 40 percent) of the cumulative distribution of land size at national level (measured in hectares)
 * obtain an annual economic revenue from agricultural activities falling in the first two quintiles (the bottom 40 percent) of the cumulative distribution of economic revenues from agricultural activities per production unit at national level  (measured in Purchasing Power Parity Dollars) not exceeding 34,387 Purchasing Power Parity Dollars.

Rice Impacts
There exists a high correlation between rice and poverty. About 900 million of the world's poor produce or consume rice, with 400 million engaged in its production. Ninety percent of rice is produced and consumed in Asia. There is an extremely large population of smallholder farmers around the world, with an estimated 144 million smallholder rice farmers.

Rice consumption exceeds 100 kg per capita annually in many Asian countries (compared with the US average of 10 kg, for example) and is the principal food for most of the world’s poorest people, particularly in Asia, which is home to 70% of those who earn less than $1 a day. In Asia, the poorest of the poor spend up to 50% of their total income on rice alone. For them, any money saved on cheaper rice can be used to buy more nutritious food, to meet medical needs, or to clothe and educate children.

According to Gapminder's assessment of income levels around the world, most smallholder farmers will fall under Income Level 1. As subsistence farmers at level 1 gain more purchasing power to enter level 2, consumption of rice should increase.

Overlaps with the SRP Instruments
Increased net income is assumed to lead to an increased household capacity to pay for better food, health services, and education for the children. We have to track farmer incomes from rice cultivation as a key performance indicator to assess the welfare and progress of SRP farmers adopting sustainable practices.


 * Standards
 * 2: Record keeping
 * Performance Indicators
 * 1: Profitability