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“In times of global crises and growing budget constraints, strong partnerships are more crucial than ever” – this statement by Federal Minister Alabali-Radovan in the German Bundestag in mid-May is also a guiding principle for the German Agribusiness Alliance. For greater cooperation between politics and business in development cooperation, writes Director Dr. Per Brodersen.
Germany is an export nation: In 2024, German companies delivered goods worth a total of €1,559.7 billion abroad. This figure underscores the importance of international orientation and the deep integration of the German economy. However, not everything is sunshine and roses: many recent geopolitical developments signal a retreat into national shells, a turning away from multilateralism, and growing distrust in international cooperation.
One striking example of this trend is the United States of America: it is currently pursuing an increasingly restrictive trade policy, imposing high tariffs on imports in an apparent effort to strengthen the domestic economy. At the same time, it is withdrawing from multilateral bodies and, as the world’s largest donor of development aid to date, has ceased all development cooperation activities with the closure of USAID.
This situation presents new challenges for Germany: in a difficult global economic environment, it is taking on a leadership role in global trade and development cooperation. At the same time, the domestic economic situation calls for new stimulus to boost the German economy. Added to this are shrinking public financial resources, as Germany must now catch up on long-delayed investments in defense and infrastructure. And finally, the issue of security – in all its dimensions – is moving back to the top of the political agenda. It is no coincidence that Germany’s National Security Strategy, in view of global destabilizing threats that may impact Germany, states: “Hunger and malnutrition impair people’s health, undermine the economic foundations of entire societies, and lead to setbacks in development policy.”
All of these challenges – growing protectionism, declining willingness for global cooperation, a weakening domestic economy, shrinking public budgets, and increasing security needs – call for new approaches to cooperation between politics and business. Germany can build on a solid foundation of experience as a donor country and on the renewed international attention it has gained following the recent change in government, positioning itself as a European and globally engaged actor on the world stage. The German economy’s strong networks with development-relevant regions and partners around the world offer great potential to address current challenges and extend the reach of public funding.
So what could be more logical than to combine these fundamental strengths?
In hardly any other sector are the cooperation potentials between politics and business as concentrated as in the field of food and agriculture: Modern, innovative agricultural technologies contribute to global food security. They support sustainable economic practices, ensuring reliable yields and stable incomes – even with increased emphasis on local production. Their use adds stability to the global system of food production and distribution – whether in the Global North or the Global South. But it is equally clear: stable and profitable value chains require clear regulatory frameworks and reliable partners.
Investments in resilience and sustainability also require financial commitment – they do not come for free.
Now is the time to think more in terms of partnerships: Politics can shape the framework for international engagement and support economic activity, while business can help scale development cooperation at key points. The expertise of both sides can complement each other and point the way forward – new programs promise new partners. A key priority will be to optimize and expand existing funding policies and dialogue formats.
“In times of global crises and growing budget constraints, strong partnerships are more crucial than ever” – this commitment by Federal Minister Alabali-Radovan in the German Bundestag in mid-May to a new alliance between politics and business must be taken seriously. If ever there were a moment for constructive, goal-oriented dialogue to foster closer cooperation between politics and business in development cooperation, that moment is now.
We can leave isolated thinking behind – silos are for grain.
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