This paper examines the scope for biofuels production and trade to contribute to agricultural growth and poverty reduction in developing countries. We do not consider the broader questions about biofuels and energy policy here. We pose the following questions:
- What is the potential contribution of biofuels to agricultural sector development and economic opportunities for poor people in rural areas?
- What might future scenarios of enhanced biofuel production mean for small farmers, agricultural labourers, the non-farm economy and for food security?
- What will the impact be on rural growth and poverty reduction? and
- Will biofuels offer a lifeline to rural economies, or largely bypass poor people?