Agricultural Market Information System

Logo of the G20 Agricultural Market Information System (AMIS)

Agricultural Market Information System (AMIS) is an initiative designed to enhance food market transparency and encourage coordination of policy action in response to market uncertainty. The main goal of AMIS is to provide accurate, timely, and reliable market information on food crops, including wheat, maize, rice, and soybeans, which are critical for global food security. By improving market transparency, AMIS aims to help reduce the volatility of food prices and ensure a stable global food supply.

Overview

The concept of the Agricultural Market Information System was endorsed by the G20 Agriculture Ministers in 2011, in response to the global food price crises of 2007-2008 and 2010-2011. These crises highlighted the need for improved market information and coordination among the major food commodity producing and consuming countries. AMIS is hosted by the Food and Agriculture Organization (FAO) of the United Nations, with its Secretariat located in Rome, Italy.

AMIS involves a wide range of stakeholders, including governments of major producing, consuming, and trading countries of the four crops, as well as international organizations with a mandate in food security and agricultural development. The system operates through its Global Food Market Information Group, which comprises experts from participating countries and organizations, and a Rapid Response Forum, which provides a platform for policy dialogue among senior decision-makers.

Objectives

The primary objectives of the Agricultural Market Information System are to:

• Enhance global food market transparency.
• Promote better understanding of food price trends and their determinants.
• Encourage coordination of policy action in times of market uncertainty.
• Improve analysis and data on global food production, consumption, stocks, and trade.

Components

AMIS consists of several key components, including:

• Market Information: This includes the collection, analysis, and dissemination of data on market conditions, trends, and policy developments for the four main crops.
• Market Monitor: A monthly report published by AMIS that provides an overview of the global market situation and outlook for wheat, maize, rice, and soybeans.
• Rapid Response Forum: A platform for high-level policy dialogue among G20 and other interested countries, aimed at promoting early discussion on critical market conditions and facilitating coordinated policy responses.
• Research and Analysis: AMIS conducts and supports research on critical issues affecting global food markets, including studies on the determinants of food price volatility.

Impact

Since its inception, AMIS has played a crucial role in improving food market transparency and has been instrumental in facilitating informed policy decisions. By providing up-to-date, reliable market information, AMIS helps governments and other stakeholders to better understand market dynamics and to respond more effectively to market trends. This, in turn, contributes to the stability of global food markets and supports efforts to achieve food security for all.

Challenges

Despite its successes, AMIS faces several challenges, including the need for timely and accurate data from participating countries, the complexity of global food markets, and the need for effective coordination among a wide range of stakeholders. Addressing these challenges requires ongoing commitment from all parties involved and continuous improvement of the system's tools and mechanisms.

Conclusion

The Agricultural Market Information System represents a significant step forward in the global effort to enhance food security through improved market transparency and policy coordination. By providing critical market information and facilitating dialogue among key stakeholders, AMIS contributes to the stability of global food markets and supports the achievement of food security goals worldwide.