Asian Journal of Research in Business Economics and Management
Year : 2013, Volume : 3, Issue : 9
First page : ( 86) Last page : ( 99)
Online ISSN : 2249-7307.

Prospects of TNC's in Ensuring Food Security with special reference to Developing Countries

 Somnath

Research Scholar, Department of Economics, Kurukshetra University, Kurukshetra-136118

Online published on 5 September, 2013.

Abstract

For the greater part of humanity, primarily in developing countries, agriculture remains at the core of their existence: it provides sustenance, supports people's livelihoods and defines their traditions. The lack of investment in agriculture in particular regions and countries is one of the factors contributing to poverty and hunger, the reduction of which has been declared the first of the United Nations Millennium Development Goals (MDG-1). The renewal of interest by TNCs’ and foreign governments in the agricultural industries of developing host countries represents an opportunity to raise the level of investment in this critical sector even further. At the same time, there is evidence that developing host countries are reviewing their policy frameworks and legislation to encourage and permit foreign participation in their agricultural sectors encouraging and utilizing TNC participation (among other sources of investment), in their agriculture. Given these developments, it is an opportune time to examine the role of TNCs in the agricultural sector and its implications for development. In some countries, increased investment and technological advances have transformed agriculture, raising productivity and output to meet food requirements as well as laying the foundations for rapid economic growth. This article strives to examine the TNC participation in agriculture sector in developing economies and its development implications.

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Keywords

Millennium Development Goals, Transnational Corporations, Foreign Direct Investment, Gross Capital formation, Official Development Assistance, Food security.

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