Guatemala's agrifood sector plays a significant role in Guatemala's economy, but faces a series of challenges that impact its performance. The agriculture sector accounts for 10.2% of Guatemala's economic activities, with a significant multiplier when accounting for the full backward and forward linkages, employing 32% of Guatemala's active population. However, the sector presents a highly dualistic structure where a minority of larger players integrated in global value chains coexist with a high number of producers facing severe, multi-faceted challenges. Small agri-business and farmers lack access to finance, markets and connection to national and global value chains. Smallholders have also seen steadily declining or stagnating productivity over the last decade, partly because of climate change and low access to agricultural good practices. Furthermore, Guatemala also contends with widespread food insecurity, which is particularly prevalent among Indigenous communities and families in the lowest income quintile.