Using livelihood modules to promote food security

The Market-Led Livelihoods for Vulnerable Populations (MLVP) project is working to develop, test and implement investment plans known as "livelihood modules" for local and international non-governmental organizations, government agencies, and others in Ethiopia. These modules are aimed at increasing the ability of rural families to earn more money by participating in local markets, either by gaining technical knowledge and access to resources that help them improve their businesses, or by allowing them to gain increased revenue from selling their goods. The MLVP livelihoods modules are intended to help Productive Safety Net Program (PSNP) beneficiaries achieve food security. MLVP is pilot-testing numerous innovative approaches for harnessing the power of markets for poverty alleviation. MLVP has employed a mix of Household Economy Analysis (HEA) and market analysis to form an analytical and actionable understanding of options for reducing household vulnerability through increased market engagements. HEA provides MLVP with invaluable insight into the viability of the chronically food deficit household’s capacity to operate as a firm, including indications of the potential for household to respond to emergent market opportunities. On the other hand market analysis provides MLVP with both a vertical and horizontal perspective of commercial or market-based potential solutions for eliminating vulnerability. Market-oriented solutions being tested by MLVP include (a) promoting the principle of starting with the market; (b) focusing on specific commodity chains (c) building voluntary marketing groups (d) emphasizing the competitive advantage of bringing quality produce to market; (e) importance of developing commodity corridors – especially the fruit and horticultural commodity chain along the northern corridor; (f) learning from all stakeholders including private sector business models and more.