$731,000: IAF Funded Mushroom and Pea Farming in Guatemala. Guatemala Is the Top Supplier of Undocumented Migration to the U.S.

The Inter-American Foundation awarded $731,000 to improve the commercial viability of mushroom and pea farming cooperatives in Guatemala’s Western Highlands — the same region (the “Northern Triangle” corridor) that produces the largest number of undocumented migrants reaching the U.S. southern border. The grant funded agricultural training, cooperative organization, market access, and value chain development for small farmers who might otherwise have insufficient income to support their families — the economic driver behind northward migration decisions. This is the rationale the U.S. has used for Central American development aid for decades: create economic opportunity at home to reduce the incentive to leave.

The evidence on whether small-scale agricultural development programs actually reduce migration from Central America is mixed — most rigorous studies suggest they have modest effects on migration flows compared to violence, governance failure, and wage differentials. Whether $731,000 moves the needle on Guatemalan migration is an empirical question. Whether it should be spent at all depends on how one weighs small-scale rural development against border security spending with more direct impact.