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II.ACTIVITIES AND PROGRAMMES OF THE ORGANIZATION (continued)
II.ACTIVITES ET PROGRAMMES DE L'ORGANISATION (suite)
II.
ACTIVIDADES Y PROGRAMAS DE LA ORGANIZACION ( continuación)

13.Programme of Work and Budget 1988-89 and Medium-Term Objectives (continued)
13.Programme de travail et budget 1988-89 et objectifs à moyen terme (suite)
13.Programa de Labores y Presupuesto para 1988-89 y objetivos a plazo medio (continuacóin)

CHAIRMAN: I want to announce that we have got agreement on a Drafting Committee for Commission II and I will read the names of those countries who will be on the Drafting Committee. I will read them in alphabetical order and I will indicate the Chairman at the appropriate point: The countries on the Drafting Committee shall be: Australia, Canada, Congo the Chairman, Cuba, France, Indonesia, Iran, Italy, Lebanon, Lesotho, Madagascar, Mexico, Netherlands, Norway, Philippines, Turkey. We shall now proceed with our order of business as we left it for our adjournment this morning.

Namukolo MUKUTU (Zambia): My delegation has studied document C 87/3, the Director-General's Programme of Work and budget for 1988-89.

We have noted that it was indeed an extraordinarily monumental task to prepare a budget of such small magnitude compared to the many demanding requests for higher increases from the poorer members of the Organization.

The problems of the constrained budget are now clearer - these being mainly the late payment of assessed contributions by major contributors who would like to see some measures of reform to improve effectiveness of FAO. We see nothing wrong with any demand that seeks to improve efficiency, after all that is what business is all about. My delegation, therefore, hopes that some agreeable formula will soon be found that will make it possible for Member Nations, in arrears, to effect payment, not only of arrears, but also of their assessed contributions on time. I am confident that it is neither the wish nor the intention of Member Nations to see multilateral anarchy.

As we examine the Programme of Work and Budget for the next biennium, we should not, for one moment, forget that we are here and have been sent by the hungry millions to speak for them, to articulate their problems and indeed to identify their priorities for sustained and ever-increasing food production.

FAO has been in existence for over 40 years now and yet the problems of hunger, malnutrition, poverty disease and ignorance are not abated, if not on the increase. For Africa, conditions have certainly worsened suggesting that probably the prognosis and prescriptions for development may not be the correct ones.

What is clearly visible in most of Africa today is that forests are fast being cleared for agriculture, for human settlement and for fuelwood. Simultaneously, food deficits are worsening and rainfall is increasingly becoming erratic.

In Zambia it is estimated that some 120 000 hectares are cleared every year for agriculture and fuel-wood . We are now seeing more and more bare land, watersheds are being destroyed, streams no more running and rivers are silting and flooding with whatever little rain falls. We are witnessing a very serious degradation of the environment, all in the name of the struggle to increase agriculture and food production.

My delegation is firmly convinced that a genuine first step to increasing sustained food production in Africa, particularly in Zambia, is to create soil and water management policies that are closely interwoven with environmental considerations. I cannot see development in any other way.

My delegation believes that the time is more than ripe for FAO to move away from commodity-oriented programmes - except by way- of supporting commodity research. The era of dealing with general extension development programmes to develop particular crops such as maize, rice, cattle, etc., should be a thing of the past. We should instead emphasize programmes which deal with integrated development —


programmes which address all farmers' problems at once and would include relevant crops, livestock, fisheries, wildlife, forests, soil, water and indeed infrastructure. The total environment would be considered and enhanced. This would lead to more reliable, sustained food and agricultural production.

Without flogging the horse, I have witnessed the damaging effect on the environment of a single livestock programme, which increases livestock numbers, encouraging over-stocking and leading to soil erosion and in the final analysis, decreasing crop yields in the area. I have seen the damaging effects of goats alone in an already dry area. I have seen the damaging effects of single crop cultures wi'th the damaging effects of too many chemical fertilizers and dangerous pesticides. There is need for change in approach.

As I read the budget, the foregoing thoughts were my guiding principles. To what extent does the Programme of Work and Budget fit into my own guidelines? It would appear that probably in general terms, yes, but in specific terms, no.

My delegation would prefer to see more resources allocated to the Technical and Economic Programmes dealing with rural development - that is integrated rural development. Also more resources should be allocated to soil and water resources and to the forestry sub-sector. The allocation of 4.1 percent of the budget allocation to the forestry sub-sector is too small to recognize the importance of this sector to sustained food .production and to global environmental effects. If we do not manage our forests properly, we will soon have deserts all over the world in our countries.

As my delegation was examining the Summary of the 19 88-89 Estimates by Region and Programme as given at Table A, page 257, we felt that the programme allocations for Asia and Pacific presents the likely desirable balance between and among the programmes. We believe that in the African Region, while the correct total emphasis is placed on natural resources, too much weight may be given to livestock. Quite seriously, crops and livestock must be seen against the background of rural development, in general, except of course as we have already indicated in the cases of crop and livestock research and diseases.

All in all, my delegation supports the Budget and we recommend that it be adopted by consensus. We would, of course, have preferred a higher budget.

We have tried hard to put forward to this august gathering, the wishes of a hungry man or woman out in the village in Zambia. A villager who is perplexed by his well-wishers who quite often fail to reflect on paper and on the ground what he would like done. This may be because his well-wishers have differences of opinion, some want reform and cost effectiveness, some are resisting. We wonder for whose benefit. Let us come up with a compromise. Ours is to serve the villager to the best of our ability.

Joseph TCHICAYA (Congo): C'est avec beaucoup d'intérêt que nous avons suivi hier l'excellente introduction de M. Shah sur le Programme de travail et Budget 1988-89 soumis à notre examen. Je dois dire qu'en tant que membre du Comité du programme, j'ai eu tout loisir d'approfondir l'examen du présent document et de m'exprimer en détail sur ses propositions pour faire les observations et les commentaires appropriés. Aussi m'efforcerai-je d'être bref dans cette intervention.

Lorsqu'en juin dernier fut présenté au Conseil le Sommaire du Programme de travail et Budget, nous eûmes l'occasion de dire combien le Congo souscrivait à la volonté affichée de notre Organisation de relever les défis de notre temps que constituent la faim et la malnutrition dans le monde en développement. C'est ce qui explique l'appui qu'apporte ma délégation aux objectifs à moyen terme de l'Organisation sur lesquels, me semble-t-il tous les Etats Membres s'accordent, puisqu'ils visent l'accroissement de la production et de la productivité agricoles et l'amélioration des conditions socio-économiques dans les zones rurales. A moins qu'il n'y ait des pays qui persistent à croire qu'il suffit de continuer à déverser des stocks alimentaires pour résoudre cette question?

Les stratégies et priorités retenues dans ce Programme de travail sont celles fixées par les différentes instances de notre Organisation. Aussi serait-il déplacé de vouloir demander au Secrétariat de définir à la place des Etats Membres d'autres priorités et de s'en servir pour


établir un budget dont ces priorités constitueraient le noyau dur. Ce budget à deux vitesses n'aurait aucun caractère incitatif auprès des Etats, tels que le plus grand contributeur et les autres ayant des arriérés, pour qu'ils s'acquittent de leurs obligations statutaires et, au pire, pourrait amener d'autres Etats jusqu'ici réguliers à suivre ces exemples fâcheux. Toutes les pressions doivent être exercées sur ces pays pour qu'ils paient leurs arriérés et versent leurs contributions à temps. A cet égard, mon Gouvernement pourrait souscrire à toutes mesures visant à encourager les bons contributeurs. Bref, il n'appartenait pas au Secrétariat de s'engager dans cet exercice périlleux pour établir un budget de l'Organisation qui tienne compte des difficultés de paiement de chaque Etat.

Nous devons rendre hommage aux efforts méritoires du Directeur Général qui nous présente ainsi un Programme de travail et Budget qui tient compte des observations, des suggestions et des propositions raisonnables qui ont été présentées en juin dernier, singulièrement par les pays développés, dans le but évident de rechercher un consensus et ce, malgré le large appui qu'avaient obtenu ces propositions. En effet, comment ne pas reconnaître que l'élaboration du Programme de travail et Budget 1988-89 s'est faite dans des conditions sans précédent où l'exécution du budget en cours a souffert de graves distorsions qui ont conduit l'Organisation à opérer des ajustements de programme pour faire face à la crise de liquidités consécutive à l'accumulation d'arriérés par le plus grand contributeur? Cette situation a sans doute été prisé en compte lorsque le Sommaire du Programme de travail et budget nous a été proposé, en juin, avec une augmentation infime de 0,48 pour cent par rapport au dernier exercice et plus faible encore à présent puisqu'elle a été ramenée à 0,25 pour cent - autant dire une croissance zéro - au prix d'une réduction des ressources affectées aux augmentations des coûts prévues.

Mais dans ce tableau sombre, il reste que les programmes techniques et économiques de l'Organisation ont bénéficié d'une légère augmentation de 2,3 pour cent au prix d'une réduction draconienne des ressources consacrées aux services administratifs et de soutien. Et ici, il importe de s'arrêter pour manifester notre inquiétude devant la poursuite de la politique de réduction des effectifs et, donc, des compétences, qui nous paraissent être la richesse incontestée de notre Organisation, car cela pourrait signifier une baisse de vitalité dans les activités multiformes de soutien de la FAO. Certes, des économies sont souhaitables, mais elles ne doivent en aucune façon se faire au détriment de l'efficacité de l'Organisation. On peut donc applaudir à la performance réalisée par le Directeur Général qui, en douze ans, a fait baisser les dépenses administratives de 77 pour cent à 51,7 pour cent, et ce, en particulier, parce que cette baisse s'est réalisée en faveur des programmes techniques et économiques de l'Organisation. Nous regrettons que le Programme de coopération technique, qui a fait ses preuves au cours de ses dix années d'existence et dont tous les gouvernements des pays en développement bénéficiaires ont souhaité avec force un accroissement, n'ait pu bénéficier davantage de ressources en raison de l'hostilité de certains pays développés, qui nous disent vouloir une FAO pratique et efficace, mais ne veulent pas renforcer ce qui a le plus d'efficacité dans ses moyens d'intervention.

Permettez-moi de dire un mot sur l'ouverture de quatre bureaux supplémentaires au cours du prochain exercice. En effet, au moment où on parle de réforme de la FAO, il nous revient que la décentralisation de l'Organisation est saluée par les pays en développement comme une innovation qui, couplée avec la création du PCT, a un impact réel sur le terrain, car elle a rapproché la FAO de ses Etats Membres en développement et a permis à ceux-ci de mieux tirer parti des services de l'Organisation. Le Directeur général, qui mène une gestion prudente, se propose même d'échelonner leur mise en place pour économiser 400 000 dollars. Nous pensons qu'il faut donner leur chance aux pays où est projetée l'installation de ces bureaux afin qu'ils bénéficient davantage des services de l’Organisation.

Enfin, nous nous félicitons de ce que l'on envisage de mettre l'accent sur la protection de l'environnement et une utilisation prudente des ressources renouvelables. Il s'agit d'actions qui sont une garantie pour l'avenir de l'humanité.

Je dirai, pour terminer, que nous espérons que ce Programme de travail et Budget continuera, dans sa mise en oeuvre, à mettre l'accent sur l'Afrique, étant donné la situation agricole et alimentaire de cette région et l'ampleur de ses besoins d'assistance dans la plupart des Etats qui la composent.


C'est donc en, tenant compte de tout ce que nous venons de déclarer que nous nous prononçons en faveur de l'adoption de ce Programme de travail et budget, malgré son niveau qui ne reflète en rien les besoins et dans l'espoir qu'il ne fera pas l'objet d'ajustements en cours d'exécution. Un appel solennel doit être lancé en direction de tous les Etats pour qu'ils s'acquittent de leurs contributions dans les délais impartis. Tous ceux qui sont attachés au multilatéralisme devraient s'efforcer d'y apporter un soutien franc pour marquer leur appui inconditionnel aux pa-ys en développement en général, et singulièrement à ceux d'Afrique dont beaucoup se réclament d'être le soutien.

Assefa YILALA (Ethiopia): As this is the first time the Ethiopian delegation is requesting the floor in this Commission, we would like to use the opportunity to congratulate you on your election to guide the deliberations of this Commission's work. Our delegation would also indicate its due regards to Dr Shah and to the FAO Secretariat for the detailed document on the Programme of Work and Budget and also for the excellent introduction of the agenda item under discussion.

Our delegation has gone through the document carefully and has also had the chance of listening to the valuable contributions made by all those who have spoken before us. Most of the technical questions about which our delegation had queries have been raised and therefore we have no intention of raising them again, having the intention of avoiding repetition and assisting you as well as saving valuable time for the Commission. However, we would like to raise some points which we consider deserve attention. The present net increase in programme costs which is indicated as 0.25 percent, is a small increase that will not justify disruptions in agricultural development and food production, the effects of which could be catastrophic and tragic. This is even more significant when we think of the prevailing feeling of the international community in realizing the need to assist development and food production so as to improve the pace at which it is achieved. In connection with the Programme of Work and Budget, I should like to quote from the statement of our Minister of Agriculture of the People's Democratic Republic of Ethiopia:

"Express our concurrence with the proposed FAO's Programme of Work and Budget and support the Director-General in his efforts to stimulate indispensable changes in world agriculture."

At this stage one could raise a number of questions regarding the adequacy of the budget request, particularly when compared with the needs of the specific areas of rural development covered in the Programme of Work presented.

Our delegation feels that views directing towards "Everything else but FAO's Programme of Work and Budget has a characteristic of change and increase" is very difficult to accommodate. The increase in cost of everything required for the operation of the Organization, as was pointed out by the representative of Bangladesh yesterday, has been a characteristic that we all witness and I do not see the need to go into details of that.

As the costs of operation in general terms increase and there is no increase in the overall budgetary resources, whatever needs to be accounted for the increase, which incidentally is outside the control of the Organization, will have to come from resources that could be made available to the Organiza­tion, thus diminishing the volume of financial and budgetary provisions directed towards development directly. Delays in the approval process will cause disruptions in the implementation of programmes which are targetted thus affecting activities aimed at increasing food production and consequently the countries which are striving hard to attain self-sufficiency and to increase food production.

Even so, we strongly feel that the present budgetary request is too low when compared with the global need. We would like to voice our consensus in view of the present atmosphere of zero growth in which the item is being discussed and considered. A particular difference, however, should be made with regard to the difficulties faced by the Organization in recruiting qualified staff due to the inability of financial provisions attractive enough in prevailing international circumstances. Even with the approval of the present cost of the Programme of Work and Budget, the Organization will still be faced with other problems for which it will require our support.

Finally, I should like to raise a point relating to the recording of the speakers. I flagged to indicate my intent to speak as soon as I came into the room. At that time most of the delegations had yet to take their seats. I also noticed that the list of countries that you read out was going right and left of my seat, without seeing the Ethiopian delegation's intention to speak. We felt that such a small oversight could be a source of misunderstanding.

CHAIRMAN: The Secretary has asked me to inform you that she has tried to take the names in exactly the order in which she sees them, and that some countries yesterday after the completion of our work came up and asked to be put on the list. She commenced the list at that point, and we got to you just as soon as you were on her list.


Haris ZANNETIS (Cyprus): Let me first express my thanks to Dr Shah for his clear introduction to the item under discussion.

When discussing the Summary Programme of Work and Budget in the 91st Session of the Council my delegation was between those who supported the proposed Programme of Work and the level of the budget. The full Programme of Work and Budget submitted for our consideration still enjoys my delegation's support.

We note with concern the falling financial resources available to our Organization and we want to pay tribute to the Director-General and his staff for always finding ways to make economies. We note that this is the third consecutive biennium during which administrative expenditure is reduced dramatically.

My delegation welcomes the assurance of the Director-General in his introduction that the crisis the organization is facing is not a fundamental one. The fact that issues of principle are not questioned is a source of comfort. The withholding of payment to the Organization on the other hand creates problems which as time goes by might become serious for its operations.. While the available capital to FAO is passing through a difficult period, the available finance for agricultural development overall seems to have improved recently. The assurance of the World Bank to accord priority to agriculture and the record level agreed for the second replenishment of the International Development Association (IDA) are two encouraging indications. This, however, will mean that FAO should remain in position and ability to assist developing countries in generating well prepared and viable projects. In this regard we believe that the Conference should once again call on the Member Nations who for several reasons have not as yet fulfilled their financial obligations to the Organization, to do so as early as possible.

With the proposed Programme of Work and Budget the Director-General maintained the basic priorities of FAO. The proposed Programme of Work has been scrutinized by the Programme Committee and we are informed that it has enjoyed its full support. We are pleased to note that our priorities and concerns expressed in several technical committees and the two Regional Conferences to which we participate are fully met. I will not attempt to analyse the Programme of Work yet again but I will confine myself to a few programmes which are of major concern.

First, the emphasis on the management of national resources and the consequences of the deterioration of the environment. Problems such as soil degradation, desertification, deforestation and overfishing are now faced by many countries. The Organization should be in a position to advise affected countries on establishing or strengthening their own mechanisms for incorporating environmental components in development projects and for evaluating the actual or potential impact of these projects on the environment. We would therefore like to support the emphasis given on programmes aiming at this end. In this regard we welcome the close cooperation between FAO and the World Food Programme in many fields but especially in projects related to agricultural and rural development incorporating environmental components as outlined in paragraph 3.13.

Secondly, the agricultural problems arising from the accidental release of radionuclides. We will all recall the difficulties caused to many countries, developed and developing, in 1986 following the accidental explosion of the atomic reactor in Chernobyl. It was obvious then that the international community was not prepared for such an incident and much research is required. We support the increased allocation of resources for related activities. Cooperation between FAO and the International Atomic Energy Agency (IAEA) in this field is essential and it should be continued.

Thirdly, cooperation is also important between FAO and the World Health Organization (WHO) through the joint Codex Alimentarius Commission for the definition of food standards.

Fourth, the increased allocation proposed for the Global Information and Early Warning System meet our approval. This particular programme is important for the identification of possible hazard areas as we have observed in recent years. Its activities should be expanded to cover animal diseases.

Fifth, the allocation of resources to the TCP is considered to be acceptable under the circumstances. This Programme has proved to be -vital both for the Organization and the developing countries. Its continuation is essential in all types of projects falling under its mandate but especially those promoting TCDC and ECDC.


Sixth, the proposed opening of four new FAO Country Representations: the presence of FAO representatives in the field has proved to be useful for the implementation of the Organization's programme. Being in the country they also serve as a source of first-hand information both for the Organization and the governments of the countries where they are based. Their presence becomes more essential with project execution when they have a critical coordination role to play. The suggested phased timing of the establishment of the new representations results in a significant reduction in the increase of the budget for this biennium as it has been stressed.

Finally we welcome the continued emphasis on training and the maximum use of technology for reduction of costs.

With these observations, my delegation would like to support the proposed Programme of Work and the level of the Budget.

Sra. Delia CHEVALIER VILLAMONTE (Panamá): Permítame en primer lugar felicitar al Señor Shah por la presentación clara del Programa de Labores.y Presupuesto. Al expresarnos sobre el tema en examen preferimos destacar muy brevemente los aspectos sustantivos que reflejan la posición de Panamá y que ya fue expresada por el Jefe de nuestra Delegación en el Pleno de esta Conferencia.

Considera nuestra Delegación que la denominada teoría de crecimiento cero, asi como el de crecimiento en el nivel presupuestario de esta Organización, obedece fundamentalmente a motivaciones políticas. Opinamos que los problemas actuales de la agricultura y la alimentación, así como las necesidades crecientes de los países en vía de desarrollo, unidos al desperdicio de recursos producto de la carrera armamentista, invalidan dicha teoría y los de crecimientos presupuestarios que nos imponen. Es por ello que coincidimos con la preocupación manifestada por el Director General en el sentido de que las limitaciones presupuestarias, producto de la presión a que está sometida en los momentos actuales la FAO, parecieran perseguir el predominio de una anarquía multilateral.

Consideramos asimismo que el aumento de 0,25 por ciento propuesto para el presupuesto del bienio 1988-89, es meramente simbólico. Por tal motivo, a la Delegación de Panamá le preocupa que tal simbolismo pueda desembocar en la práctica en un crecimiento negativo con consecuencias nefastas.para el futuro de nuestra Organización y con inevitables repercusiones en el desarrollo económico y de la seguridad alimentaria de los países en vías de desarrollo.

A pesar de lo expuesto, y en aras de la unidad y el logro del consenso necesario, apoyamos el Programa de Labores y Presupuesto presentado, aunque estimamos que éste no alcanza a cubrir el con- junto de las necesidades de los Estados Miembros en vías de desarrollo, particularmente.

En lo que se refiere a la creación de cuatro nuevas oficinas de representación de la FAO, Panamá apoya firmemente dicha idea y manifiesta su interés desde ya, en que una de ellas funcione en nuestro país.

Nuestra Delegación Señor Presidente, no puede dejar pasar la oportunidad sin reiterar su pleno apoyo al Programa de Cooperación Técnica (PCT) por el efecto catalizador que el mismo tiene para los pla­nes de desarrollo de nuestros países. Deseamos, sin embargo, manifestar nuestra preocupación por el nivel insatisfactorio que al mismo se le ha acordado dentro del Proyecto de Presupuesto en discusión y unimos nuestra voz a la de los países que han señalado su deseo de que se le conceda una mayor relevancia en el futuro.

De la misma manera, resaltamos nuestro interés en programas tales como el de la Cooperación Técnica y Económica entre Países en Desarrollo, recursos pesqueros, el análisis de las políticas, las raíces y los plátanos, lo mismo que el Programa de Acción de la Conferencia Mundial sobre Reforma Agraria y Desarrollo Rural y, en particular, el Plan de Acción Forestal en los Trópicos, por su incidencia en el medio ambiente, en el desarrollo de los recursos forestales, dado que ello garantiza el futuro de la humanidad.

Para terminar, Señor Presidente, teniendo en cuenta las importantes modificaciones presentadas al presupuesto a fin de alcanzar el acuerdo más amplio posible, estamos seguros que todos realizaremos los esfuerzos necesarios para lograr su aprobación por consenso.


Antonio GAYOSO (United States of America): In the just-completed 92nd Council the United States stated that it could not support the proposed FAO budget for 1988-89. We recognize that it is late in the budget process, but the United States delegation wishes to appeal even now for changes in the budget that could allow us to join consensus. At this critical time in the FAO we fully understand the importance of unity on the programme of work, but without significant alteration of the budget we shall oppose its approval by this Conference. Obviously, given the attention that both the Secretariat and many members have directed to the United States on the matter of contributions, I feel I must try to make perfectly clear the United States position on the budget. Why does the United States oppose this budget? Our position is based primarily on the lack of realism it shows in regard to expected income during the biennium. It is a certainty that there will be significant income shortfalls for FAO being carried into 1988 which render the proposed Programme of Work and Budget unrealistic and impossible to implement. That is the primary reason. Secondary reasons include United States disagreements with certain aspects of the budget proposal which will be mentioned briefly later in our statement.

The United States disagrees with the view that the budget can only be formulated on the assumption of a full United States payment of its assessed contributions. The United States has referred to the budget as unrealistic because of the effects that current financial conditions in the United States will have on the level and timing of the United States contributions during the next biennium. In preparing this budget proposal the Secretariat has been well aware of this situation. Since some member countries here have probably not closely followed the United States budget process, the United States delegation would like, with your indulgence, Mr Chairman, to offer a brief explanation of the current status of its likely contributions to the FAO in 1988.

The United States assessed contributions to international organizations are treated as a sub-account in the United States budget. Included are contributions to some 46 international organizations. For our fiscal year 1988, out of which our 1987 calendar year contributions are paid, the United States administration requested the Congress to approve the $ 571 million required to pay our 1987 assessments in full. The Congress has yet to decide the amount to be approved but it will almost certainly be between US$ 355 million and US$ 373 million, or about 40 percent below the President's request. The Executive Branch will then distribute that amount among the 46 organizations. While it is impossible to estimate from these figures a final contribution level to any particular agency, it will certainly be far below our assessment. According to the proposed Programme of Work and Budget the United States assessment for 1988 would rise to roughly US$ 63 million, a 26 percent increase over the 1987 assessment, which we cannot pay anyway under current conditions. It is for this reason that we must consider the proposed budget unrealistic, with no chance for full implementation because for reasons which we are all well aware of, our government has reached the conclusion, the hard conclusion I should add, that it is imperative to reduce our budget deficit. Reaching this conclusion has been helped by the many demarches we have received from many member countries.

As an example of the effect such reductions are having throughout the United States Government, I could point out that in fiscal year 1988 United States Department of State faces a budget shortfall of US$ 84 million which could require the elimination of up to 1 200 employees. Under proposed additional cuts we could also be facing as much as a 20 percent total reduction in force. We are certain that many of the member countries assembled here can understand the budgetary problems of which we speak.

Council document CL/92/LIM/1 makes it clear that many members have similar problems by showing that 70 members - almost half - are in arrears on payments of their contributions. As we said before, 36 countries are in arrears to a greater extent as a percentage of their assessments than the United States is in arrears. We do not pretend that these arrears are equivalent to ours but we do believe that the Budget should take into account the very serious financial constraints faced by almost 50 percent of the members which affect the capacity of their governments to pay.

We would like also to distinguish between temporary cash flow problems and the significantly longer-term budgetary problems facing the FAO. We have already indicated that our best estimate of United States contributions to the FAO in the coming year, 1988, will be drastically less than our assessment. In addition, in order to reduce the budget deficit over the coming 5 years, the United States Congress has already passed legislation restricting government spending across the board, and making it quite clear that United States contributions to United Nations organizations, including


the FAO, will not increase in the near future. Those are the hard facts regarding likely United States contributions throughout the period covered by this budget.

For over 40 years I would like to remind the membership, the United States has been FAO's largest contributor?at one time contributing as much as one-third of the regular budget. The United States has not repudiated its liabilities to the Organization; our payments however, will be quite constrained over the next few years. The United States strongly supports FAO and it is precisely for this reason that we have advocated the clear identification of priorities within the Regular Programme, areas which are mutually agreed upon as deserving protection from what appears to be inevitable programme reductions if the proposed budget is adopted.

Indeed, the United States Delegation believes that there already is a broad range of agreement about what constitutes FAO's major priorities. We note that in a Draft Resolution.paper before this Commission presented by a number of developing countries under Item 12 several areas are pointed to as deserving high priority with which the United States is in complete agreement; activities such as strengthening FAO's information and data-gathering activities, its commodity analysis activities, improvement of the early warning system, increased emphasis on providing policy advice to ra.ember countries, and strengthening Codex Alimentarius. In addition to these areas identified by developing countries themselves, the United States also believes a priority area should be the Tropical Forestry Action Plan, as well as increased attention to the environment as a factor in agricultural development.

These and other programme areas should be protected from across the board cuts resulting regrettably from the contributions short-falls which face the Organization from almost half of the membership. The United States has tried in Council and in the Programme Committee to engage other members in a dialogue about priority setting. We believe the response has been disappointing. Such a dialogue is necessary not only on what should be given high priority but also on what constitutes low priorities. In the United States' view these low-priority areas include expenditures for the Plant Genetic Commission, follow-up activities to the World Food Security Compact, as well as in streamlining of a large number of commodity meetings. Especially in view of the reduction my own Government is facing in its employees, we understandably do not consider the proposed increase in the number of FAO representatives appropriate at this time. We are struck by the very sizeable reduction planned for the North American Liaison Office and want to see proportionate cuts, nearly one-third, in other Regional Offices.

My delegation would like to take advantage of this opportunity to reiterate our positions expressed in the Ninety-second Session of the Council concerning the three budgetary resolutions contained in Council Document 92/4. I know they will be discussed in Commission III but in our view they have direct bearing on the assessments that will be imposed on all countries present here.

Regarding the resolution concerning increases in the level of the Working Capital Fund the United States has supported an increase in the Fund to US$ 20 million as of January 1 1988 but cannot support the proposed additional increase to US$ 26 million in Janaury 1990. Therefore we cannot support the resolution.

Concerning the resolution for Amendment of Procedures for Application of Cash Surplus, the United States understands that the financial situation in the FAO is under extraordinary circumstances. However, we do not believe that these circumstances dictate changes in financial regulations of the Organization governing cash surplus and therefore the United States cannot support this resolution.

With respect to the resolution on Replenishment of the Special Reserve Account for 1988-89 the United States cannot support the resolution unless the replenishment of up to US$ 12 million is made through savings in the FAO budget, rather than through additional assessment for the 1988-89 biennium.

Finally, regarding the resolution for Measures to deal with Problems of Delayed Payment of Assessed Contributions, and following the Secretariat's explanation in the Ninety-second Council, about the details of the formula which would be applied under this advanced payment incentive plan, mainly that the plan would be explicitly limited to being income sensitive only to the timing of the payment of assessed contributions, the United States is now able to express support for this resolution on the basis of that formula.


The United States would-again like to highlight the relationship which we identified in the discussion under Item 12 between the United States position on the FAO budget, and the resolution which the United States has introduced earlier proposing reform in the FAO Programme and Budget procedures. We believe approval of this resolution would facilitate our request for full funding for international organizations, including FAO.

Mlle Faouzia BOUMAIZA (Algérie): Permettez-nous tout d'abord de remercier M. Shah pour la clarté de son exposé introductif au document C 87/3 ec à ses trois suppléments.

Concernant le programme de travail proposé pour le prochain biennium, notre délégation constate que dans l'ensemble les actions proposées reflètent les préoccupations de la grande majorité des Etats Membres, dans la mesure où les recommandations des conférences régionales et des différents organes et comités de la FAO ont été prises en compte. C'est ainsi que nous approuvons les stratégies à long terme clairement indiquées aux pages 66 à 69 du document C 87/3. Il en est de même pour les objectifs à moyen terme définis dans les différents programmes et plans d'action proposés dans les sous-programmes.

Notre délégation, comme bon nombre d'autres délégations de pays du tiers monde, guidée par le souci du développement de l'agriculture, approuve tout particulièrement: les chapitres 2, 3 et 4 du budget-programme.

Notre pays appuie la mise en oeuvre de mesures pour un développement rural intégré, les actions de renforcement de la sécurité alimentaire, l'extension de la CTPD et de la CEPD envisagée dans les programmes régionaux, la création de bureaux de représentation de la FAO dans les pays.

Nous appuyons également la protection des végétaux notamment par l'intensification de la lutte contre l'avancée du désert et la détérioration des labours, ainsi que contre les ravageurs migrateurs et en particulier les criquets et sauteriaux.

A ce propos, permettez-moi d'ouvrir une parenthèse pour attirer l'attention de mes collègues sur la grave menace qui pèse sur la production agricole de nombreux pays d'Afrique et du Proche-Orient du fait de la persistance de ce fléau. L'intervention d'urgence de la FAO, en coopération avec les pays membres de l'OCLALAV et de la commission de lutte contre le criquet pèlerin en Afrique du nord-ouest, a permis d'éviter le pire. Il nous paraît toutefois indiqué d'envisager une action préventive d'envergure.

Notre pays, qui subit les assauts dévastateurs de ce genre de ravageurs, appuie les actions proposées au sous-programme "protection de cultures", et souhaiterait pour sa part qu'il soit renforcé.

Il y a un autre problème qui préoccupe notre délégation, qui est celui de l'avancée du désert dont l'étendue tend à réduire chaque année davantage des centaines d'hectares de terres agricoles en Afrique du Nord et dans toute la région soudano-sahélienne. Nous souhaitons vivement que l'on accorde une plus grande attention à ce problème par l'inscription par exemple de la question de la désertifi­cation à la prochaine session du COAG.

La délégation algérienne considère que la priorité accordée à l'Afrique est conforme aux graves difficultés auxquelles ce continent est confronté. Il est évident que, de tous les continents, c'est celui où la sécurité alimentaire pâtit de tous les maux à la fois. Il y a ceux qui sont subis par tous les pays en développement, notamment la détérioration des termes de l'échange, le fléchissement des prix des matières premières, le fardeau de la dette extérieure, le protectionnisme grandissant et d'autres problèmes dus au refus d'une aide réelle au développement par une obstruction systématique à toute action susceptible d'engager le processus du développement du tiers monde.

L'Afrique donc, outre ces problèmes d'ordre structurel, connaît de graves menaces à la sécurité alimentaire. Parmi tant d'autres, nous citerons les différentes maladies qui assiègent les troupeaux et les cultures ainsi que les ravages causés par les insectes nuisibles, et les différentes sortes de criquets et sauteriaux.

Nous ne manquerons pas de souligner qu'en Afrique australe la sécurité physique tout court, du fait des agressions multipliées de l'Afrique du Sud contre ses voisins mais aussi contre ses populations noires, constitue une menace à la sécurité alimentaire. Cet ensemble de désastres justifie pleinement la priorité accordée à l'Afrique.


A propos de calamités du fait de l'homme, notre délégation considère que la situation qui prévaut en Afrique australe se retrouve également dans la région du Proche-Orient en raison de la politique d'agression israélienne. A cet égard, la délégation algérienne souhaite que le 4ème paragraphe de la page 331 de la version française du document C 87/3 fasse référence explicitement au problème évoqué ci-dessus en tant que facteur de déstabilisation au Proche-Orient.

S'agissant du chapitre 4,notre délégation déplore la stagnation des ressources qui lui sont affectées. En effet, le niveau du budget proposé, soit 63 148 000 dollars, marque une baisse compte tenu du fait que les augmentations de coûts prévues sont en deçà des estimations réelles. Pourtant, le programme de coopération technique a démontré le bien fondé de sa création. En l'espace de 10 ans, 3 400 projets ont été approuvés et les demandes continuent d'affluer.

Cet engouement pour le PCT n'est pas le fruit du hasard, il exprime la satisfaction de pays en développement.

CHAIRMAN: The Chair must inform the representative from Algeria that under the rules of this Organization the Chair is instructed to intervene and call a speaker to order when the speaker violates the proper decorum of debate. It says: "The speaker must confine him/herself to the question under discussion and avoid personalities." The Chair considers the speaker's remarks are improper, i.e. remarks of a personal character, or which attack the good name of an individual government. The Chair will intervene and call the speaker to order. The Chair advises that you have made reference to two countries, one which is not a member, and one which is a member but is not present in the room. Please keep your remarks to the issue under discussion. The Chair will advise the Government of Israel of its right to reply.

Mlle Faouzia BOUMAIZA (Algérie): Ce n'est pas de la faute de la délégation algérienne si le représentant du pays que vous venez d'évoquer n'est pas là.

Monsieur le Président, nous userons nous aussi du droit de réponse.

CHAIRMAN: It is the fault of your delegation if you violate the decorum in debate. That is your fault. Abstain from it. Cuba, express yor point of order.

POINT OF ORDER
POINT D'ORDRE
PUNTO DE ORDEN

Leopoldo ARIZA HIDALGO (Cuba): Moción de orden. Sr. Presidente, quiero expresarle que la distinguida Delegación de Argelia está, sencillamente, interpretando el sentir de esta Comisión, y se ha referido a lo que un país anteriormente había referido a ella. Usted tenía que haberse dirigido también al país que anteriormente expresó la misma situación,

POINT OF ORDER
POINT D'ORDRE
PUNTO DE
ORDEN

Joseph TCHICAYA (Congo): J'ai un point d'ordre. Monsieur le Président, je pense pour ma part que vous avez.eu tort en tant que Président d'interrompre la déléguée de l'Algérie qui intervenait sur des points essentiels. Je crois que nous l'avons déjà fait ici; des délégués ont répondu à des attaques qui ont été faites ici, et vous n'aviez pas interrompu, vous aviez laissé parler tout en accordant à ces délégations le soin de pouvoir répondre.

Alors je ne comprends pas que vous ayez arrêté la déléguée de l'Algérie qui était en train d'intervenir sur un point qu'elle estime essentiel. Je crois que vous devez être juste; et nous demandons quia justice se fasse au niveau de la Présidence.


CHAIRMAN: I will point out to you that promptly after the other incidents the government affected advised the Chair promptly of its request for a right to reply and they were promptly, assured by the Chair that they would receive the right to reply at the end of the meeting, as is provided for in the Rules. The government to which you referred was not in the room and the Chair has a responsibility in such cases to intervene. The Chair will advise that government. But, please stick to the proper decorum. We will now proceed on the subject.

Mlle Faouzia BOUMAIZA (Algérie): Monsieur le Président, c'est la première fois que cela arrive dans cette enceinte. L'égalité de tous à la parole était respectée dans cette enceinte par tout le monde sans exception y compris par la délégation américaine - je dois le souligner.

C'est notre droit le plus absolu de constater et de faire les remarques que nous pensons être justes sur le 4ème paragraphe de la page 331. Et nous demandons que soit ajouté le facteur essentiel de déstabilisation au Proche-Orient. En effet, il n'y a pas que les facteurs socio-économiques, il y a également la guerre, et c'est un point important. Les territoires arabes occupés, ce n'est pas une imagerie.

Dato’ Abu Bakar MAHMUD (Malaysia): This is the first time I have made an intervention and I should like to take this opportunity to congratualte you, Mr Chairman, on your election to this very responsible post. I am happy to have been informed by you this morning that we now have two Vice-Chairmen to assist you in your difficult task. I should like also to congratulate Mr Shah for his brilliant introduction of the item under discussion.

Permit me to make some general comments on the proposed Programme of Work and Budget for the 1988-89 biennium which is before us today. The need for an in-depth review of FAO's role, programme priorities, and operations of procedures was raised at the 90th and the 9lst Session of the Council and has been the subject of discussions in another item, namely item 12. My delegation is happy to note that some positive action has been taken regarding this matter through the reduction in administrative expenditure in order to provide for increases in technical and economic programmes. We also endorse the Director-General's earnest efforts and overall approach in increasing efficiency, reducing expenditure on established posts, increasing computerzation and streamlining activities within the Organization. I sincerely hope such efforts will be continuously undertaken to achieve maximum efficiency without affecting implementation of numerous field programmes and activities in other countries.

My delegation is happy to note that the Director-General's Programme of Work and Budget for 1988-89 has been prepared taking into consideration FAO's medium-term objectives. We are also glad to note that top priority has been accorded to programmes which will go a long way towards increasing agricultural production in Member Nations which face chronic food deficits, while not forgetting the needs of other developing countries.

My delegation fully endorsed medium-term objectives to be worked out for the various technical and economic programmes to be implemented in the next biennium. I am certain that if the plan of action as outlined for numerous programmes is carried out earnestly much progress will be achieved towards increasing the productivity of the agricultural sector, more so in developing countries. I am also glad to know that the Programme of Work" for 1988-89 has excluded activities which are no longer justifiable, or cannot compete with new ,programmes that warrant higher priorities. We also concur with the need to carry forward programmes begun in previous years which are important and are still justified.

My delegation views these planning initiatives as in conformity with the call for reforms by a number of Member countries. My delegation fully appreciates that the proposals for the Programme of Work and Budget for the 1988-89 biennium had to be governed by current budgetary constraints and shows only a very modest increase in new activities. Although the real programme J.ncrease proposed for 1988-89 for an additional 1.1 million, we hope that a total budget of US$ 486 million for the biennium will be approved by consensus in order to fully implement the proposed programmes during the period. Needless to say, the 1.1 million increase represents 0.25 percent and is merely symbolic and could easily be regarded as zero growth.


As my delegation has observed in the last Council session I should like to reiterate our concern for the exodus of expert personnel from the Organization and its difficulty in attracting experienced experts to come in. We hope that this problem will not become a protracted one, otherwise the Organization will, suffer an irretrievable loss of expertise and a consequent reduction of its capacity and ability to respond to the needs of Member Nations.

The implementation of the Tropical Forestry Action Plan is also a programme which merits high priority, and so are other programmes relating to environment protection, management and replenishment of mineral resources, policy studies on agricultural development and improved food security as well as effective management and utilization of data. We believe that the programmes are of special importance in considering the present need.and problems faced by the agricultural sector in developing countries. The level of budget allocated, to TCP should be maintained since this programme has been designed by concept and objectives to provide a quick response mechanism to meet specific needs of member Countries, particularly the developing ones.

Many technical and economic programmes contained in the proposed Programme of Work and Budget are relevant to my country and from which we have benefitted and will continue to. benefit in the future in terms of technical assistance as well as financial assistance.

Worthy of mention are the seed improvement and development programmes, programmes, that focus on the development of small and medium-scale processing units for perishable commodities, agricultural mechanization and the prevention of food losses, plant protection, land use planning, particularly the Geographic Information System (GIS) and those programmes focussing on crop intensification and crop diversification. My delegation would like to lend support to these programmes.

Before I conclude, let me once again congratulate the Secretariat, and particularly Mr Shah, for having prepared the Programme of Work and Budget for the 1988-89 Siennium.

Finally, my delegation finds little difficulty in accentine.and.endorsine.the.Proexamrae of Work_and Budget under consideration and I hope other Member States will also have little difficulty in approving it by consensus.

Masahiko YASUMURO (Japan): First of all, I would like to thank Dr Shah for his lucid and elaborate introduction on this very important agenda item.

On behalf of my delegation, I should like to present the view of my Government on this proposed Programme of Work and Budget for the next biennium. I would like to start by expressing some views concerning the Programme of Work, before coming to the budget level.

Delegations of Japan have already put forward specific comments on programme priority in the Councils, the Committees of Agriculture, Forestry, Fisheries and other fora, and I would like to avoid restating them here.

My delegation knows- that there are tremendous requirements for this Organization in solving food problems and promoting agricultural development, and also recognizes that the financial environment for the next biennium of FAO will be severe under the economic and financial situations of the member countries.

In this connection, my delegation fully recognizes the efforts made by the Director-General to cut the resources allocation for Chapters 1, 3 and 5 and to increase the resources allocation for Chapter 2, Technicaland Economic Programmes, which is, in fact, at the core of FAO's activities. My delegation can support, in principle, this direction taken by the Director-General.

However, my delegation believes that there, will be some limitation in reducing the established posts, and in cutting the allocation for Chapters 1, 3 and 5. Those are "General Policy and Direction", "Development Support Programmes" and "Support Services". Imbalance between the allocation for those elements and the allocation for "Technical and Economic Programmes" will cause some obstacle or delay in implementing FAO programme and projects. In this point of view, my delegation feels that during the next biennium it is important and necessary for the Secretariat and the members to study how we can get more output from a given input.


I would now like to touch on Chapter 4, the Technical Cooperation Programme. Although my delegation recognizes the role of TCP in responding speedily to requests for urgent or unexpected small-scale assistance, as has been poi ted out by Japanese delegations on a number of occasions, the following questions arise with regard to Chapter 4:

1. TCP is an unprogrammed reserve, while other provisions are under a programme budgeting system. This means that the member governments have no specific ways of checking and controlling TCP expenses .

2. My delegation believes that coordinating development activities among the UN agencies at the field level could mainly be achieved through effective allocation of UNDP funds. Therefore, in principle, my delegation is not in favour of the situation whereby each specialized agency has its own resources for development projects under the regular budget.

From this point of view, my delegation considers that it is necessary to improve the procedure of project approval, and also that it is useful for members to share results and experience of TCP, through annual reports of TCP to be submitted to the Council.

I would now like to move on to the budget level. My delegation thinks that the total amount of the members' contributions should be kept at such a level to avoid any possibility of causing an increase in arrears which might put the financial situation of the Organization in the next biennium in difficulty.

In this connection, it is important that the Programme of Work and Budget should be at a level which could be accepted by all members.

On page 31 of document C 87/3, it shows that the Member Nations' contributions will be US$ 469 million at the rate of Lit. 1350 to US$ 1. This amount is 19% up on that of the current biennium, 396 million. If we introduce the proposed financial measures on Working Capital Fund and Special Reserve Account, the total Member Nations' obligation in 1988 would be 28% up on that of 1987. My delegation thinks that the increase of the total Member Nations' contribution should be as modest as possible.

In our experience, the level of the total Member Nations' obligation for 1986-87, this biennium, was only 0.5% up from the previous biennium. And also the level of the total Member Nations' obligation for 1984-85 was as modest as 9.7% up from the previous biennium. Then the level of the total Member Nations' obligation for 1982-83 was more than 30% up from the previous biennium, and the Programme of Work and Budget for 1982-83 was not approved by consensus.

My delegation considers that it is important that the level of the Programme of Work and Budget is to be such a level that would be acceptable to all members, especially for the next biennium.

Ton HEIDSMA (Netherlands): First of all, my delegation would like to address some of the issues that were raised by Mr Shah in his introduction and also by the intervention of the United States recently. We basically agree with Mr Shah that the budget level as such should not be established, taking already into account, pre-empting as it were, non- or late payment by Member States of their assessed contributions. This in our view would sanction to a certain extent the fact that some - quite a number actually - of countries do not fulfil their constitutional obligations. Having said that we must not close our eyes to reality. It is extremely unlikely that the funds budgeted will indeed become available at the time they are supposed to be available. This calls for a highly prudent and conservative cash management so as to avoid a situation where FAO can no longer fulfil its essential financial obligations. In the view of my delegation the realistic way to do this is to take all possible measures that would slow down the actual cash outflow, for instance through delayed recruitment and other measures, and also by separating urgent from less urgent activities. This relates to something else Mr Shah said on the Working Capital Programme and Special Reserve Account which, according to him, ought to be treated separately from the Budget as such. Again, basically, he is right of course, but that does not mean that both issues are not related. They are and the position of my delegation on the Budget will have to be seen in conjunction with our views on these two issues.


We are happy that the Director-General has been able to cut down cost and programme increases as compared to the summary Programme of Work and Budget. On the other hand FAO is not at.all especial in this. Almost every UN organizations had to cut down its programmes as had many national governments. In fact some other UN organizations and the United Nations itself were more severely affected by the financial crisis in the UN than FAO.

We also commend the Director-General for having again reduced the administrative costs as compared to actual programme delivery. Apparently this has been an involuntary reduction so to speak caused by the freeze on salaries that has continued for a number of years now. Many UN organizations find it difficult to maintain and recruit well qualified staff. This, of course, is something that is decided upon in New York and we fully agree with this principle. It is essential to maintain the United Nations common system for salaries and other emoluments but the Netherlands delegation in New York is certainly aware of the difficult situation in which many UN organizations find themselves at present in this respect.

With regard to the Programme contents we should like to mention a few items where we think there is room for improvement. First we believe that expansion of the network of country offices should not be pursued at this stage. We should like to remind the Secretariat that a discussion is at present going on on the modalities of field representation by the United Nations system. We strongly believe that substantial streamlinig is possible and that the time has come for FAO to engage in a constructive dialogue with Mr Ripert in New York on coordination and integration of the FAO county offices with a possible system-wide UN presentation in the field.

Secondly, we support very strongly true decentralization to the field but we do not believe that the regional offices as constituted at present are a good example for this. Either it ought to be decided to give the regional offices more authority with regard to operational activities and consequently reduce activities at Headquarters or we should decide to pursue decentralization at the country level with the necessary consequences for the regional offices. We support what was said by the delegate from Finland that the different substantial Committees of FAO such as CÒAG, COFO, COFI, should look into the budgetary consequences of their proposals and decisions.

We should welcome an even greater emphasis on the forestry sector and in particular on the (Tropical forestry action Plan. If necessary priorities within the Forestry Programme must be set, for instance, by reducing wood industry activities. Forestry is also an important factor for sustainable development as emphasized in the Bruntland Report. The preservation of our environment and the need for sustainable development should be an important condition for FAO's operational activities.

My delegation also attaches great importance to the role of women in development and we will come back to that issue next week under the relevant agenda item.

The Netherlands is a strong supporter of the zero growth principle for the assessed budgets of UN organizations. We acknowledge of course that this is a rather crude instrument but we believe that it has proved to be the only realistic one to contend with the ever-increasing expenses in the United Nations system as they have occurred over the past decades. In fact many governments themselves are forced to use similar methods in their own budgeting process. Zero growth on the other hand is not the only criterion against which programmes and budgets are judged. The programme content, the sincerity and seriousness of efforts to contain unnecessary growth, priority setting in drafting the Budget and actual needs of those that benefit from FAO'a work are also important factors. All these elements taken together will determine my Governments position with regard to the present Budget level, including various observations of the Member States in this Commission.


Poonsup PIYA-ANANT (Thailand): The Thai delegation would like to make a few comments on the Programme of Work and Budget for 1988-89 as follows. First, while we are very happy to note that the Director-General has made earnest efforts to generate a. platform for consensus among Member Nations by reducing the net programme increase to a mere 0.25 percent instead of 0.48 percent as he previously proposed to the 91st session of the Council in June this year,we regret very much to say that the Technical Cooperation Programme has not received increased support. My delegation would like to refer to the Thai Minister's statement in the Plenary that the TCP mechanisms enable FAO to respond promptly to Member Governments' urgent requests and to fill the gaps in technical assistance which have not been filled by other donors. Furthermore, my delegation considers that the^TCP can play an important role in strengthening the Field Programme of the Organization. We should therefore wish to see that the budget increase remains at 0.48 percent, as was submitted to the 91st session of the Council last June.

We would like to see the FAO allocate at least 17 percent of its total regular programme to the Technical Cooperation Programme, but perhaps we have no choice this time. We should therefore like to see the budget increase remain at 0.25 percent, as submitted by the Director-General.

Secondly, I should like to draw your attention to the fact, that in the proposed budget no mention is made of appropriate labour-based priority in agricultural production and product processing. The labour issue should be considered since unemployment has been prevalent widely in developing countries and especially in the agricultural sector. This is one of the main causes of poverty. We would like therefore to suggest that the integrated approach to agricultural development should pay particular attention to the problem of unemployment in the rural areas.

In conclusion, I should like to say that we are now discussing the complex problem of budgetary limitation. This problem would be resolved if our members made efforts to meet their obligations. My delegation wishes to appeal to the members 'of the Organization to try to pay their dues promptly.

Bedda KATANI(Tanzania): To begin with, the Tanzanian delegation would like to start its intervention by first thanking Dr- Shah for his elaborate, lucid and balanced introduction of the agenda under discussion. My delegation wishes to support one delegate who said, "This is our budget: it is we members who appointed different committees and the Council. They have done a magnificent job. It is our view that basic issues which are being raised at this Conference should have been ironed out at those levels". I think what is expected of us at this level is clarification on issues which are not clear to the members. Sincerely, by asking the basics here, we are creating an impossible situation for the Secretariat, who have done a commendable job.

The principal objective of FAO is to increase food production. The major problem facing developing countries has been a food deficit caused by several factors. The main factors have been discussed in different international fora. The priorities outlined in document C 87/3 have underscored the measures to be undertaken to address these factors, and should receive the support they deserve.

I wish to comment on the Technical Cooperation Programme. My delegation would have wished to have an increased allocation in this area. On a number of occasions it has been used in emergency cases when the recipient countries could not handle the situation by themselves. It is unfortunate that the resources allocated have been stagnant. However, from the explanation given on the prevailing financial situation, we have no strong objection to accepting the level at which the TCP has been allocated its resources.

The Tanzanian delegation is fully in agreement with the Director-General's proposed budget cuts, particularly in the administrative area. But caution must be taken on the proposed cuts regarding professional posts. Here I must say that care should be taken to ensure that we do not freeze or cut posts and then proceed to employ consultants who are generally very expensive.

The main problem facing the proposed budget is non-payment of the assessed contributions by Member States. It would be a positive gesture if Member Nations see to it that they meet their obligations and enable the FAO to meet its programmes by payment of contributions wishing FAO to implement the budget which has been put to us for consideration.


In conclusion, my delegation is fully convinced that the Director-General has very carefully balanced the views expressed by Member Countries at the various stages of budget preparation and has at the same time maintained the basic strategies which can help to retain the objectives of FAO within the prevailing financial conditions. In view of this, the Tanzanian delegation endorses the Programme of Work and Budget for 1988-89.

James Samson KAIRO (Kenya): The Kenya delegation congratulates you on your election as the Chairman of this Commission. Allow me to make observations on the FAO Programme of Work and Budget for the period 1988-89. I note with appreciation FAO's attempt to increase the budget in line with the requirements of member countries. Through the use cf the TCP, FAO is able to supplement programmes funded by other donors and recipient governments. Increase in the budget would be expected to increase project activities by FAO, which suggests a further growth of FAO programmes in Member Countries. This is a welcome move because in spite of the tremendous efforts made by FAO, individual developing countries and the international donor community, the battle against hunger, poverty and malnutrition is far from being won.

FAO's mandate is to address itself to matters relating, among others, to hunger, poverty, malnutrition and disadvantaged groups, particularly women and children. The UNDP funds should remain the responsibility of the governments of recipient countries and should be focused on responding to requests and meeting urgent and critical needs of each developing country such as the vulnerable sections of their societies living below the poverty line. However, this does not preclude the FAO's dependence on much needed UNDP programmes.

The Kenya delegation would have wished to see a more significant budget growth over the previous year to enable FAO to expand her support in research, development of suitable and cheap technology for dry lands, water harvesting and conservation practices, small-scale irrigation, development of drought-resistant crop varieties, integrated farming systems, incorporating both livestock and cultivation in dry lands, production of traditional food crops, improvement of agronomic practices, conservation of soil, watershed management and afforestation, and to take a leading role in seeking solutions to storage problems.

The Organization, through its Technical Cooperation Programme, should address itself to the rising needs of the least developed countries and it should increasingly entrust the governments and institutions of the recipient countries with the responsibility for executing the projects. When projects are agent-executed, use of national project coordinators and the participation of national professionals should be preferred. Involvement of local personnel has the advantage of greater cost-efectiv-ness, easier collaboration with national institutions, easier communication with target groups, the understanding of social attitudes and the environment and the eventual utilization of gained experience by local personnel in future projects.

The Kenya delegation supports the adoption of the budget presented by the Director-General, but in expressing that support permit me to state that in future the budget should be flexible so as to make FAO capable of addressing itself to issues and needs as they arise. In this regard, I appeal to member countries to be more prompt in the payment of their contributions.

Finally, let me suggest that training programmes should be increased in developing countries to build technical, managerial and professional capability. Many developing countries have established institutions which require either strengthening or revamping. FAO, through the TCP and the Trust Fund, should increasingly address itself to this area. While the budget for livestock has addressed itself to a wide range of activities, we note that small stock, such as camels - the traditional stock - is not adequately funded. The small stock which have a high turnover will make a significant contribution to nutrition, particularly as regards the supply of animal proteins. The camels have the dual purpose of providing transportation and the supply of milk and meat.


Humberto CARRION M, (Nicaragua): Señor Presidente, cuando traté de intervenir esta mañana como un punto de información fue para ayudarlo a usted,ya que soy Miembro del Comité General, en la sesión de hoy antes de comenzar la Plenaria recomendó los nombres de los países y las personas que ocuparían las vicepresidencias de las tres Comisiones de la Conferencia. También esta mañana un Delegado expresó que las felicitaciones al Presidente deben ser sinceras. Nuestra Delegación'está plenamente de acuerdo con esto y por ser la primera vez que Nicaragua interviene en los temas de esta Comisión, deseo manifestar que la sinceridad indica que no debemos felicitarlo a usted por la forma y la prepotencia con que está conduciendo nuestros debates. Deseamos dejar constancia de esta protesta. Tal vez sería mejor para esta Comisión que en este tema usted ceda la Presidencia a los vicepresidentes.

Sobre el Tema 13, Señor Presidente, nuestra Delegación desea reiterar lo que expresamos durante el 92o período de sesiones del Consejo de la FAO, que se reunió del 3 al 6 de noviembre y en el que se examinó de manera preliminar el Programa de Labores y Presupuestos para el bienio 1988-89. El Director General ha hecho un gran esfuerzo para elaborar un Programa de trabajo y un nivel de presupuesto que pueda ser aprobado por consenso. La Secretaría, los Comités del Programa y de Finanzas y el Consejo, han intervenido directamente en la preparación del Documento C 87/3 y han recomendado su adopción y aprobación por la Conferencia.

Parte del párrafo pertinente del Informe del 92o período de sesiones del Consejo dice y cito: "La mayoría de los miembros reiteraron su apoyo a las propuestas; ya que estaban plenamente satisfechos de que se hubiera adoptado un criterio prudente y de moderación formulando un programa realista y teniendo en cuenta las preocupaciones expresadas con respecto al efecto que tendrían en las cuotas asignadas de contribución". Fin de la cita.

El trabajo de nuestra Organización para preparar el Programa y el nivel de presupuesto para el próximo bienio ha sido hecho dentro de un contexto de crisis financiera artificial de la FAO. Decimos artificial porque esta supuesta crisis ha sido creada por la falta de pago del total de las obligaciones del país mayor contribuyente de la Organización. No es una crisis porque, como se menciona en la introducción del Documento C 87/3, no entraña decisiones de principio adversas ni irrevocables sobre las contribuciones. La reducción de los ingresos por concepto de intereses está compensada por los ajustes en los programas y lá depreciación del dólar se ha cubierto con la plena utilización de la cuenta especial de reserva. Si los Estados Unidos están realmente interesados en disminuir su déficit, deberían reducir los gastos en armamentos.

Por otra parte, el aumento neto propuesto de solamente el 0,25 por ciento del nivel del presupuesto, es insuficiente para que la Organización pueda hacer frente adecuadamente a su vital tarea de contribuir a la eliminación del hambre y la desnutrición en el mundo y, por lo tanto, contribuir al desarrollo integral de los países más pobres. Sin embargo, aunque nos oponemos al crecimiento cero, reconocemos los esfuerzos del Director General para presentarnos un nivel de presupuesto que pueda ser aprobado por consenso. Nuestro Gobierno apoya el Programa de Labores y el nivel de presupuesto contenidos en el Documento c 87/3, así como las prioridades establecidas y los objetivos a plazo medio.

Deseamos destacar el dinamismo que el Director General ha desplegado en el presente bienio para realizar ajustes en el programa de trabajo de hasta 25 millones de dólares, tratando de no afectar los programas técnicos y económicos de la Organización.

Vemos entonces con satisfacción que para el bienio 1988-89 se propone que el 46,8 por ciento del presupuesto se dedique a los programas técnicos y económicos y el 14 por ciento al Programa de Cooperación Técnica, que mi país apoya firmemente. En este sentido nos gustaría que en el futuro el PCT contara con un aumento real en su asignación presupuestaria, y nos preocupa que mayores ahorros y reducciones en los gastos administrativos y de apoyo a los programas técnicos puedan tener consecuencias negativas en esta actividad de la FAO.

Consideramos que la FAO ha sido y es una Organización eficaz y eficiente en su importante tarea de contribuir con los esfuerzos de los países en vías de desarrollo para eliminar el hambre, la desnutrición y la pobreza. Nicaragua tiene además motivos adicionales para apoyar la estrategia y los objetivos a plazo medio de la Organización.

Estamos convencidos de que la contribución que realiza esta Organización en los sectores agropecuario, forestal y pesquero a los países centroamericanos, es una contribución para alcanzar la


paz en nuestra subregión. No puede haber paz sin justicia social y sin desarrollo económico y centroamérica necesita la asistencia que la FAO nos puede brindar.

Finalizamos nuestra intervención apoyando especialmente las prioridades propuestas para los trabajos de la FAO para el próximo bienio 1988-89: la concentración de los esfuerzos en la producción agrícola en los países que tienen un déficit crónico de alimentos, concediendo la máxima atención a la ordenación de suelos y aguas. Las medidas para obtener más y mejores insumos y la utilización efectiva de la biotecnología. La aplicación del Plan de Acción Forestal en los Trópicos y los Programas de Acción de la Conferencia Mundial sobre Ordenación y Desarrollo Pesquero entre otras.

Mi país se ha beneficiado de la política de descentralización de la FAO a nivel regional y por países; por lo tanto, deseamos también apoyar específicamente la creación de cuatro nuevas representaciones de la FAO en Países Miembros de la Organización.

Horacio CARANDANG (Philippines): The Philippine delegation wishes to express its support for the proposed Programme of Work and Budget. The Philippine delegation has already expressed its conformity with the programmes and priorities as well as the Medium-Term Objectives when these were taken up by the various technical committees reporting to the Council, and by the Council itself.

I wish to indicate my country's support for the Programme of Work and Budget and the budget level in spite of the fact that they imply a substantial increase in the contribution of our country at a time when my country is experiencing serious economic difficulties. While the Philippines support the Programme of Work and Budget and budget level, I would like to express concern that the scale of contributions adopted by FAO from the United Nations General Assembly in New York has raised the scale of the Philippines contribution precisely when my country is undergoing economic setbacks. On this count alone the Philippines contribution has increased by about nine percent in dollar terms.

Also in this connection I should like to refer to the so-called currency factor. A substantial increase of the budget is due to this currency factor - that is, to the exchange rate of the dollar vis-à-vis the lira. Yet many countries because of this currency factor will be paying in terms of their national currency very much less than they paid in the last biennium.

I should like to refer to document C 87/3 page 30 at the top of the page, the second column. The 1988-89 budget level would be $ 451 million, if the exchange rate of the lira would be 1760 to one dollar.That budget level would include 2.94 percent cost increase arid a 0.25 percent programme increase. But if the lira exchange rate remains at the level it is today at about 1 250 lira to one dollar the budget level would be something like $ 490 860 000, as can be seen in page 29 of the Document I just mentioned. So because of the difference of the exchange rate of the dollar vis-à-vis the lira from January 1985 to the present, the budget level will increase from $ 451 million to $ 491 million. In other words, a substantial increase of the budget is due to this currency exchange rate but because of the same currency exchange rates there are some countries who would actually be paying less than they paid in the last biennium in terms of their own national currency, for example the deutsche mark, the yen and most European currencies. The contributions of these countries in their own currency would be less by somewhere between eight percent and eighteen percent.

I am wondering therefore whether a scale of contributions could be elaborated which would take into account among other things the currency factor or the exchange rates of member countries vis-à-vis the United States dollar, in which assessments are made.

The Philippine delegation therefore would like to suggest that the Finance Committee should study a more just scale of assessment which would take into account among other things this so-called currency factor.

The present situation has already caused great damage to the Programme of Work and Budget in the present biennium. A considerable number of posts have been frozen. Many meetings and publications have been cancelled. This has resulted in less advisory services to governments and less technical back-stopping to field projects. It is therefore the view of the Philippine delegation that the Conference should call on member countries to honour their obligations as stipulated in the constitution so that this Organization can comply with its mandate to help Member Nations fight against hunger and malnutrition according to the programme of work approved by member countries.


Mme Fatma LARBI (Tunisie) (langue originale arabe): C'est un plaisir pour moi, au nom de la délégation de mon pays, de vous présenter mes félicitations les plus sincères à l'occasion de votre élection à la Présidence de notre Commission. Je voudrais également féliciter les deux vice-présidents. Et je voudrais exprimer notre gratitude à M. Shah pour l'exposé clair et précis de ce point de l'ordre du jour.

Je voudrais également féliciter le Secrétariat de l'excellence du document C 87/3.

Puisque nous ne sommes pas membres du Conseil ni des comités du programme et des finances, nous voudrions exprimer notre appui aux propositions du Directeur général bien que l'augmentation totale requise est tout à fait symbolique et modeste (0,25 pour cent) si nous prenons en compte les nécessités croissantes des pays en développement.

Nous voudrions à cet égard exprimer notre inquiétude quant aux réductions continues dans les moyens de travail de l'Organisation et les modifications que le Directeur général a dû introduire au budget, qui arrive au niveau 'de 25 millions de dollars. Ceci a des effets négatifs sur les activités de l'Organisation. Nous ne sommes pas satisfaits non plus du montant des allocations données au programmes de coopération technique étant donné la croissance des besoins.

La délégation de mon pays comprend que le Directeur général ait dû réduire un certain nombre de postes pour pouvoir faire face à un nombre croissant de nécessités. Nous estimons cependant que le programme technique, l'assistance et la formation sont les moyens nécessaires pour satisfaire les nécessités et les besoins des Etats Membres.

Nous voudrions à cet égard féliciter le Directeur général et son personnel de la direction tout à fait sage des travaux de l'Organisation.

Finalement la délégation de mon pays voudrait exprimer son appui au programme de travail et budget pour 88-89; et nous sommes d'accord pour donner la priorité au continent africain.

Nous en appelons donc à tous les Etats Membres pour adopter à l'unanimité le Programme de travail et budget et nous sommes certains que tous les Etats Membres feront de leur mieux pour appuyer l'Organisation qui est la leur et qui est l'expression de la volonté de toute l'humanité pour consolider le développement agricole et rural.

Joǎo Augusto DE MÉDICIS (Brazil) :" Let me'first of all inform this Commission that my Government has delivered yesterday, to FAO, resources covering the whole of our 1986 statutory contribution and part of the 1987 contribution. During the current year, Brazil paid more than five million one hundred thousand dollars to the Organization. This is the best we can do at present in face of budget constraints imposed by an economic readjustment policy being implemented. But it depicts the clear support my delegation renders to the Programme of Work of FAO and also of the will of my country to positively contribute to its full achievement. We must, therefore, reiterate our position, as stated in previous sessions of the FAO Council, rejecting any proposal of alternative budget or contingency plans, solutionswhich we consider to be inadequate to deal with the forecast difficulties of FAO.

While being perfectly aware of the financial constraints faced by the Organization, my delegation is willing to contribute in a positive way to the Programme of Work by stressing the importance of some of the programmes proposed and underlining some priorités which are considered to be of utmost importance for our country and region:

1.Sub-Programme 2.1.1.4, we welcome the increase in resources allocated to it, within the general framework of stringency, as for Brazil this is a field of particular interest, irrigating being tabled among the national priorities, especially in rhe arid and semi-arid regions in the Northeastern portion of the country.

2.Programme 2.1.3, my delegation considers, that Sub-Programmes 2.1.3.1 - Grassland, Forage and Feed Resources, as well as 2.1.3.2 - Animal Health should deserve greater attention.


3.Programme 2.1.4 - Research and Technology Development, priority should be given to Sub-Programme 2.1.4.5 - Environment and Energy, since it is of great interest for Latin America and the Caribbean.

4.Programme 2.1.5 - Rural Development, we want to underline the importance which should always be attributed to Sub-Programme 2.1.5.1.1 - Agricultural Education, Extension and Training, since this is the tool which will allow new technologies to effectively reach the field.

5.Programme 2.1.6, is certainly one of the most important as feeding mankind is the ultimate and greater goal to be achieved by agriculture. We are well aware that there is a quantitative surplus of food currently available in the world, mainly in the North, whereas we are faced with malnutrition in large areas of the South.

Two other observations, regarding the Programme of Work as a whole:

- My delegation recognizes the needs of the African Region and supports the emphasis placed by the Organization, through the allocation of a large share of resources to that continent. We must, however, insist that the Latin America and Caribbean Region are also in need of expertise and resources, especially in the field of food and agriculture.

- Our second general point, is the importance my country attaches to TCP and, particularly to activities developed in the field of TCDC, as we considered it then to be an outstanding tool for developing countries which are struggling to overcome economic and technological gaps.

We are therefore pleased to convey the general support of the Brazilian delegation to the Programme of Work. To conclude our intervention may I state our position regarding the Budget, to which unfortunately we are not in a position to extend the same degree of support granted to the Programme of Work.

First of all, I would like to reiterate our full support for the cause of multilateralism and underline the importance of rendering resources available for application through international organizations, rather than the present trend to an increasing bilateralization of aid. A second important issue in the view of our delegation is the understanding that the budget of the Organization might and should be much higher than the actual figures that are submitted to us in document C 87/3. Brazil, however, struggles to face the bulk of its external obligations and, not willing to fail with its constitutional obligations to international organizations in general, cannot afford supporting any proposal for increase in budgeting, as our delegations to the meetings of other international organizations have already rendered clear. In this respect, we believe it would be fairer if the necessary increase could be spread among those nations which were benefited by the massive fluctuations in world exchange rates during the last almost three years. We wish to support, therefore, the proposal presented this morning by the delegate of France, that a study be made on the impact of the exchange rates fluctuation on member countries' contributions.

In summing up, our position is of general support for the Programme of Work and reservations in relation to the augmentation in our contribution to the Regular Programme of the Organization.

V. K. SIBAL (India): We would like to express our appreciation for the very detailed and informative budget documents and their very clear and capable presentation by Mr Shah.

We have heard this debate with interest and we find that though there are differences over the level which the budget must have there is unanimity on support for the FAO and the value which is assigned to the FAO's work. We feel this awareness of FAO's values and' the support for its work are positive elements in this debate on which we must build to achieve a consensus on the item which we are considering.

One very major point which is being made is that the budget is unrealistic because it does not take into account expected shortfalls. Now, on the other side the argument has been put in a different way, that the budget is indeed a very realistic one because it is a budget which has been pared to the bone, keeping in view the current difficulties of the FAO, keeping in view what has been happening and therefore every attempt has been made not to have much growth in this budget. By its nature, a budget is a very integrated and organic programme of action. It is not possible to.


increase it or decrease it except within limited ranges and these ranges have something to do with the level of development which any institution has reached, so therefore when we talk of reductions in FAO’s budgets, any unlimited reduction is not possible. Only limited reductions which will not leave any. permanent scars or inflict any damage on the institutions, can be prudently considered by Member Countries who are committed to FAO's goals and FAO's role. This is the technical aspect of the difficulties of trying to base the budget on expected shortfalls which are difficult to determine with a degree of accuracy and certainty. Once you .do this the basis can shift as the economic situation shifts and give rise to so many complex questions, suchas how to ascertain it, how to build on it, and how to safeguard against these expected shortfalls not becoming larger, especially when there is no repudiation of the constitution of obligation to pay when the latter gives a more realistic basis for the budget. In fact we have heard with very great interest and respect the intervention made by the largest contributor in which though financial difficulties have been highlighted it has also been stated that they are looking for a situation in which full funding can be facilitated. There is no repudiation of the constitutional obligation envisaged. I think all this backdrop has to be kept in mind all the time. The proposals are faithfully based on the summary and take fully into account the debate in the Council on the Summary Programme on Work and Budget. What we have before us is in fact a cautious budget, a balanced budget, keeping in view the constitutional obligations of Member Countries in respect of their contributions and it is a realistic budget.

It is not perhaps the budget which many would have wanted. In many ways it is a somewhat timid budget, seeking to preserve the effectiveness of vital programmes within the limited resources likely to be available. It is evident that an adequate budget, a growth-oriented budget, a budget more realistically geared to the expectations of most countries from the FAO was impossible keeping in view the major problems arising out of late payment of contributions, depreciation of the dollar, and low interest income. There was just no escape from the exercise balancing of expectations from FAO and the programme delivery capacity based on expected level of resources and this exercise we think the Director-General has performed with skill, a degree of fine tuning, a serious concern for economy and an earnest desire to preserve indeed increase, though marginally, the technical and economic programme through diversion of savings, and through administrative economies. For this we would like to congratulate the Director-General.

The efforts made by the FAO to effect savings of US$ 25 million in the present biennium by freezing as many as 170 hosts, cancelling over 50 meetings and 100 publications is an earnest of the hard, realistic approach the FAO is following in facing their current financial constraints and will continue to follow if such difficulties were to persist in the current biennium. While noting this we cannot help feeling a measure of anxiety over the damage which such cuts if prolonged or magnified can cause to FAO's capacity for programme delivery with obvious ill-effects on the quality and range of services available to the Member Countries.

It has been stated that FAO should have had a smaller core budget, based on the likely shortfall in resources and a supplementary budget if increased resources available. We are not clear how the level of such a budget can be determined. We have an expected level of resources based on the contributions which Member Countries are obliged to pay. Can there be a more logical and more assured basis for a budget? If we have to take into account these shortfalls how will we ascertain them and this exercise is bound to be subjected, investigatory and the figures arrived at may change from time to time within the biennium. In this context we must underline that the constitutional commitment to pay in accordance with assessed scales must be observed. What the FAO has therefore done in basing the budgetary on assessed contributions is reasonable, realistic, logical.

We hope that those who have not paid will find ways to remit their contributions quickly and contributors will continue to support FAO to avoid a situation of multilateral anarchy of which we have been warned. We agree that FAO cannot do everything in the area of food and agriculture and has to be selective. We feel FAO has been selective in identifying the priorities relating to the increase in agricultural production in food deficient countries through a selective focus on activities relating to soil and water management. Measures for the provision of more and better inputs, effective utilization of biotechnology, the implementation of the Tropical Forestry Action Plan, programmes of action of the World Fisheries Conference, environmental concerns, policy advice and data bases which are necessary for FAO advice.


The Programme Committee, of which we have the honour to have been a member, has gone through this budget in detail and we have no hesitation in supporting the proposals. The Director-General has tried to meet the concerns of those who wanted a modest budget, as expressed in earlier debates, by proposing a small increase of only US$ 1.1 million, which represents a small percentage over the recosted budget base, and by reducing the provision of cost increases by $ 5 million. If this is taken into account what we have is almost a zero growth budget for which some of us have a preference.

The proposals that we have before us have been cleared by Council and the Programme Committee and debates in the fora in which these have been discussed show that the Member Nations agree to the longer term trends,_ the medium-term objectives and the programme priorities for the next biennium. In this context the budget does constitute a platform for the unity of this Organization, a.. unity which we should not hesitate to confirm through its acceptance by consensus.

Clifton E. MAYNARD (Barbados): Earlier in our committees I expressed my pleasure at seeing you in the Chair, I should now like to congratulate the Vice-Chairmen on their election. I too am very grateful to Mr Shah for his comprehensive and lucid introduction to the Programme of Work and Budget for the biennium 1988-89. The breakdown provided a programme at element level and the new presentation in programme narratives of medium-term objectives and the focus of FAO's action in relation to them, particularly in Chapter 2 makes it easier to consider the various proposals in the document C 87/3.

My delegation approves the choice of priorities and strategies (which motivated the formulation of these proposals for the biennium) because of the emphasis placed on assistance to disadvantaged groups including women and youths in rural areas, poor developing countries as well as the preservation of natural resources. This emphasis can be seen in all relevant programmmes and sub-programmes. On the major programme 2.1 - Agriculture this emphasis is placed on increasing agricultural production in food deficit countries through soil and water management, provision of increased inputs and the wider application of biotechnology.

Environmental pollution and better management of renewable resources, policy studies for agricultural development and improved food security as well as the increased utilization of the Organization's scientific, technical, social and economic data bases.

I particularly wish to support the incorporation of nutritional considerations in food and agricultural planning at the national and international level under Programme 2.1.6 - Nutrition. The establishment of the Joint FAO/WHO Consultative Group of Food and Nutrition Policies will promote greater complementarity between FAO and WHO nutrition activities. We support also the work of the Codex Alimentarius Commission, because Codex standards facilitate international trade. I also support the proposals to upgrade the central unit of the Global Information and Early Warning System for its service within the Commodity and Trade Division, and the merger of the Food Assistance Unit with the Food Security and Food Aid Policy Group, to form the Food Security Group, because the merger has no cost implications coverage of livestock and animal health conditions by the system response to the Council's request at its 91st Session.

The proposed fisheries programme for 1988/89 included net increases and was fully supported by the 17th Session of the Committee on Fisheries and I agree with the importance being given to strengthen international capability in the development and management of fisheries resources through training and a transfer of technology. Developing countries, particularly coastal states, require urgent help in order to fully exercise the rights they have over exclusive economic zones under their control. Special attention to be given to the promotion of TCDC and ECDC activities and the needs of the landlock and small island states are fully supported. I approve also of the net increase on the major programme of forestry since the increase, among other things, is for the coordination and implementation of the Tropical Forestry Action Programme. The inclusion of the activites formerly on the programme 2.3.4 - Forestry and Rural Development into the other three programmes is a significant, practical and conceptual improvement. We also support the work of the Field Programme Development Division in the development of field programmes and the mobilization of extra budgetary resources. I know that the Council at its 92nd Session, when it considered the review of the Regular Programme of 1986/87, including the independent external evaluations of three special action programmes, welcomed the increase in focus of the field programmes on "building up self-reliance in recipient countries to deal with development matters".


I agree that its cause and further efforts in this direction include the increased use of qualified national personnel and projects, and use of national directors and coordinators and support for direct government execution of projects where appropriate. Again, the emphasis on building TCDC approaches into FAO projects should continue, as well as the utilization of pertinent technical capacities existing in developing countries. The concentration of the field programmes and development needs of the rural poor should continue in the spirit of the World Conference on Agrarian Reform and Rural Development of 1979.

I also support the expansion of activities in support of women and the cooperation with local nongovernmental organizations.

The work of the Investment Centre which generated US$ 3000 million in total agricultural investment in 1986 alone, and has continued to be of a high standard, is supported and I hope that the reorganization of the World Bank described in one newspaper on 29th May as bearing "little relationship to rational reorganization. It comes more under the heading of self-mutilation with 10 percent of the 6000 staff members to be fired in a process that strongly resembles a lottery." I hope this will not affect the FAO/World Bank Cooperative Programme over the longer term. Because of the importance we attach to having a FAO representative in Barbados, although he serves in a similar capacity in six other caricom states, I support the proposed increase by four over the biennium. The net increase in costs over the biennium will be significantly reduced by the decision to phase the timing'of the establishment of these new offices.

With regard to the Technical Cooperation Programme I can do no better than support the view expressed by Council earlier this month when, with reference to the catalystic role of TCP, it noted the higher proportion of TCP projects which resulted in subsequent larger technical assistance and investment activities. In our view it would be a retrograde step if the concept and operation of this innovative programme is changes in any way.

The Minister of Agriculture, Food and Fisheries of Barbados in his statement in Plenary on 10th November said that the Director-General "had rightly presented a Programme of Work and Budget based on the guidelines set by the Organization's governing bodies and the condition of the world food and agriculture situation. He was right to fix the level of the budget on the basis of the contributions Member States are legally obliged to pay in full and on time, rather than a projection of the level of contributions the Organization is likely to receive because some countries indicated an inability to meet their assessed contributions."

I believe that in considering the Programme of Work and Budget we must also recall the situation of force majeure arising from the combination of factors beyond the control of FAO. Council has approved the Director-General's response which will see programme adjustments amounting approximately to US $25 million. This situation has necessitated the cancellation of about a hundred meetings, left 170 posts unfilled, 100 publications not produced and related reductions in expenditure and consultant's travel and other objects of expenditure. It seems that these programme adjustments have covered the decline in income interest income whereas the depreciation of the dollar means that the special reserve account established to deal with this problem will be fully utilized. Once exhausted, the effects of the dollar depreciation must be covered from savings. Whether, despite these measures an uncovered budget, deficit remains at the end of this biennium and at what level can be answered only by those Member Nations who still have outstanding contributions due to FAO. Another consideration which I think should be taken in the context of our consideration of this important item is a comment which Prof. Mayer made in the recent McDougall Lecture. He said, and I quote, "The installation of more productive, sustainable agriculture and of an economy that permits an adequate diet for every person, has been likened to the Marshall Plan. (The Marshall Plan, if you remember, revived the European agriculture and economy after World War II.) In reality, the project is far more complex and costly and will take far longer. It asks for contributions from each member of the world community, for every member has a particular capacity in one area or another."

The net programme increase for 1988/9 is reduced to about US$ 1.1 million, which is mere 0.25 per cent of our costed 1986/7 budget base. The provision for cost increases has been deliberately reduced from US $18 million to US $13 million . According to the traditional methods of calculation, the proposals involve only a very moderate net programme increase. If absorption of a large share of the cost increases is taken into account, the level of resources effectively at the Organization's disposal will be lower in real terms than that approved for this biennium.


I would like to insert into this intervention of mine paragraphs 2.63 and 2.64 of document CL 92/4. This is the Report of the Fifty-third Session of the Programme Committee. I will not detain members of this Commission by reading them, but I would wish to have them included in extenso because they state that Committee's view on the situation which this Organization faces. After reading paragraphs 2.63 and 2.64 it would be difficult for any group, be it high-level, low-level, narrow or broad minded, from within or outside the Organization, or even from outside the universe to disagree with the views expressed in those two paragraphs.

We wholeheartedly support the Programme of Work and Budget for 1988/9. We will not need to speak again on this item.

Ahmed S. HARIRI (Saudi Arabia, Kingdom of) (original language Arabic): We have listened with great attention to everything that has been said by our colleagues putting forward their views on the Programme of Work and Budget. For the next biennium generally there has been a consensus aired by developing countries in particular on the priorities and strategies for our scrutiny. I think this shows that the documents effectively reflect all the recommendations made by Regional Conferences and the Conferences held here in regard in particular to our future direction. The Organization has made a lot of effort and I think we should pay tribute to that as part of an effort to put together a programme which is in harmony with the aspirations of all Member States.

Now clearly most Member States are in agreement on the low level of budget proposed. A lot of delegations said that they would very much like a much bigger real increase in the programmes and Saudi Arabia can here state that with respect to the Programme of Work and Budget for 1988/89. We can say this because we believe in the mission of the Organization. We believe in what it is doing for Member States and we take off our hat to it for all its efforts to improve all countries' standard of living and standard of food. We must help our Organization do what it can do to continue this work. This is a duty, since it reflects the aspirations of all developing countries, nay all countries in the world, since humanity has a single fate. There is no bright future without dignity, freedom and peace, with the present disparities that exist between the various regions, when we see countries who simply have not got food and others that have a surplus.

The consensus, the general agreement voice by everyone on the Programme of Work and Budget confirms the solidarity which will ensure peace and security for all of us, which will enable us to transcend our individual egoisms.

Raphael RABE (Madagascar): La délégation malgache félicite le Secrétariat pour la qualité des documents relatifs au point 13 de l'ordre du jour, et pour la présentation très claire qui en a été faite

Le Comité du Programme, le Comité financier et le Conseil ont reconnu et apprécié les efforts inlassables fournis par le Secrétariat en vue d'améliorer le fond, la forme et la présentation de ces documents, afin qu'ils répondent aux exigences des Etats Membres. Bien entendu, d'autres améliorations peuvent être envisagées et entreprises; mais il faudra préserver les acquis. Et l'on dit que lorsque l'on cherche le mieux, le mieux est quelquefois l'ennemi du bien.

Madagascar étant Membre du Conseil et- du Comité financier, notre déclaration sera assez brève. Nous appuyons sans réserve les rapports de ces organes.

Dans son intervention en séance plénière, relative à ce point de notre ordre du jour, le chef de la délégation malgache a regretté que le Programme de travail et Budget ne représente même.pas le minimum requis pour venir en aide aux millions de personnes à bas revenus, mal nourries et déshéritées des pays en voie de développement.

La croissance du Programme de travail et Budget 1988/89 par rapport à celle de 1986/87 est négative si l'on considère que les augmentations de prix sont loin de refléter la réalité: 18 millions de dollars réduits à 13 millions, on est en dessous de la croissance zéro prônée et réclamée par certains délégués; alors, pourquoi n'atteint-on pas le consensus? Quelles autres raisons valables pourrait-on encore évoquer pour tergiverser et finalement essayer de bloquer le minimum vital correspondant aux priorités connues, voulues solennellement et mondialement déclarées, par ceux-là mêmes qui vivent la faim, la malnutrition et la misère?


De telles priorités sont d'ailleurs celles retenues par les conférences régionales, par la Conférence mondiale sur l'aménagement et le développement des pêches. Elles tiennent compte du Programme spécial pour l'Afrique, approuvé par l'Assemblée générale des Nations Unies; elles, tiennent compte du Programme d'action forestière tropicale que tous appuient unanimement.

A-t-on le droit dans ces conditions de faire fi de toutes ces résolutions, résolutions sérieuses prises par des assemblées très sérieuses que nous connaissons tous?

Notre chef de délégation précise: "notre foi en l'Organisation, notre volonté commune de la soutenir, notre ferme engagement à remplir les obligations librement consenties envers elle constituent la seule assurance de son efficacité dans l'action".

Cet engagement que nous avons pris ne nous autorise pas à adopter un budget incertain, un budget dont le seul critère dominant pour la prise de décisions serait la crise de trésorerie qualifiée à juste titre d'artificielle par plusieurs délégations.

A-t-on oublié ou fait-on semblant de ne pas se souvenir des effets néfastes des mesures d'ajustement de programme opérées pendant le biennium en cours?

La délégation malgache souhaite vivement que des dispositions concrètes et appropriées soient prises pour y remédier, et que de telles situations désastreuses ne se reproduisent plus.

Malgré son insatisfaction du niveau du Programme de travail et Budget, malgré les diminutions opérées sur certains programmes prioritaires - nous ne voulons pas les citer car nous les trouvons de manière très claire dans le document et dans plusieurs tableaux - et tout en regrettant que le Programme de coopération technique soit bloqué au niveau de 1986/87 alors que les besoins des pays sont loin d'être satisfaits, la délégation malgache appuie quand même le Programme de travail et budget tel qu'il est soumis à cette assemblée et elle invite chaleureusement tous les Etats Membres à oeuvrer de concert pour parvenir à une entente harmonieuse, celle qui reflète une coopération internationale renforcée, ne visant que la victoire commune contre le sous-développement, les fléaux bien connus de la faim et de la misère. La volonté de tous de parvenir à cette victoire devra se manifester par le consensus dans l'adoption de ce programme.

Ibrahima KABA (Guinée): Ma délégation a déjà eu l'occasion de vous féliciter. Permettez-moi de féliciter M. Shah pour sa présentation claire du document C 87/3 soumis à l'examen et à l'approbation de notre Commission.

S'agissant de ce document, dès le départ notre attention est frappée par les retards de versement des contributions, en particulier du plus grand contributeur, ce qui crée une atmosphère d'inquiétude quant à l'exécution complète du Programme, cependant bien équilibré, que le Secrétariat nous a présenté. En effet, les différents secteurs sur lesquels les programmes sont axés, sont ceux que les pays en développement considèrent comme leurs priorités. Ainsi, il est rassurant que le maximum de ressources soient consacrées aux activités techniques et économiques.

Tout en soulignant notre inquiétude concernant la diminution du personnel compétent menaçant ainsi l'efficacité du travail attendu, nous comprenons toutefois le souci du Directeur général d'améliorer la gestion de notre Organisation.

D'autre part, compte tenu du rôle que joue le PCT en raison de sa flexibilité et de la rapidité de son intervention pour résoudre les problèmes ponctuels, ma délégation aurait souhaité un niveau plus élevé de moyens destinés à ce poste.

Toutefois, ma délégation se rallieà la majorité des intervenants pour appuyer le Programme et le Budget qui nous sont présentés, eten appelle aux autres pays membres pour que ces propositions qui tiennent rigoureusement compte desdiverses tendances obtiennent le consensus dont elles sont le reflet.

En abordant la question des Représentations, la Guinée se réjouit de l’ existence d'un Représentant de la FAO sur son sol. Cette présence rapprochée de la FAO des utilisateurs de ses services est une expression concrète très efficace de l'assistance technique permanente au niveau des milieux de décisions des pays membres. Nous appuyons fermement la création de nouvelles représentations. Cela va dans le sens du renforcement du rôle de conseiller de la FAO.


Sra. Mónica DEREGIBUS (Argentina): La Delegación de Argentina desea fijar de la manera más sucinta y clara posible su posición respecto a uno de los principales temas de nuestra Agenda, la adopción del Programa de Labores y Presupuesto para el bienio 1988-89 y los objetivos a plazo medio que hoy estamos discutiendo.

En primer término mi Delegación agradece la clara exposición del Dr. Shah referida al documento C 87/3.

Estimamos que la FAO ha complido y cumple un rol destacado en los esfuerzos para erradicar el hambre y la desnutrición. Su valor y vigencia están más allá de toda duda, sus objetivos tanto para el corto como el mediano plazo, son válidos y a nuestro juicio se ajustan a las necesidades de los países en desarrollo. Sin embargo, las limitaciones financieras de la organización y de muchos Países Miembros agobiados por la deuda externa y un contexto internacional negativo, nos obliga a redoblar esfuerzos en la identificación de prioridades y en la administración de los recursos disponibles.

Mi Delegación coincide con las prioridades de los programas que aparecen en el Documento C 87/3, que, en definitiva, son las que los propios Estados Miembros hemos fijado en los diversos foros intergubernamentales. La Secretaría de la FAO sólo ha reflejado en este Documento de esta manera la voluntad mayoritaria de sus miembros.

Compartimos la política del Director General de continuar disminuyendo los gastos fijos en servicios administrativos. La reducción del porcentaje de recursos totales que se gastarán en puestos de plantilla es positiva. Por otra parte, el cambio neto entre los puestos nuevos y los suprimidos no es sustancial ni debería afectar la capacidad de la FAO para actuar efficazmente. Al respecto creemos que una mayor utilización de instituciones y técnicas nacionales en la ejecución de los proyectos, no sólo redundará en beneficio financiero de la Organización, sino también de los propios países en desarrollo donde se llevan a cabo las actividades.

Vemos con satisfacción la propuesta creación de cuatro nuevas oficinas en países, lo que seguramente coadyuvará a incrementar los logros en este aspecto.

En lo que hace al capítulo de Servicios de Personal, no tenemos objeciones que formular. Sí nos surgen algunas dudas respecto de los llamados Servicios por Contrata. Si bien los aumentos originalmente previstos para el próximo presupuesto en este rubro han sido posteriormente corregidos en casi un millón de dólares, queda la duda de todas maneras sobre la justificación de un incremento real de 1 300 000 dólares.

En el Programa 1.2.1: "Oficina del Director General", vemos que no se producen variaciones respecto del presupuesto vigente y, obviamente, tampoco tenemos objeciones. Solamente para información rogaría mos a la Secretaría un comentario acerca del origen y destino de los fondos extrapresupuestarios_, de un monto de 510 000 dólares previstos para dicho Programa.

En el Programa 1.4.1: "Asuntos entre Organismos", compartimos sus fundamentos y objetivos. La Organización debe cooperar con numerosos Organismos Internacionales,• estar al corriente de lo que sucede en otras Instituciones y participar en aquellos foros en los que por la materia en discusión pueda hacer una contribución efectiva. Así es como lo.hemos solicitado al Director General que la FAO participe como Observador en las negociaciones del GATT sobre productos agrícolas. Sin embargo, no se menciona específicamente al GATT dentro de los Organismos del párrafo 7 de la página 62 en la version española del documento que estamos analizando, y además vemos que se reducirá el plantel de la Oficina en Ginebra, precisamente cuando comienzan estas negociaciones.

Compartimos el enfoque del Programa Principal 2.1, "Agricultura", con sus ocho objetivos básicos. La presentación de los Subprogramas es adecuada.


En el subprograma 2.1.1.5 "Conservación y bonificación",vemos que se han asignado 160.000 dólares a actividades de conservación de suelos y ordenación de cuencas hidrográficas para permitir el desarrollo de una estrategia de conservación de suelos para Africa. Apoyamos las labores del subprograma y dicho incremento, ya que consideramos que el tema tiene máxima importancia en el tercer mundo. Sin embargo, mi país desearía ver una mayor participación de la FAO en América Latina en general, ya que el porcentaje de recursos que recibe es siempre proporcionalmente bajo. En este caso, en un tema que afecta a varios países latinoamericanos, y entre ellos a la Argentina, se observa que a toda la región se destina el 6,42% del total de los recursos del subprograma. La situación es aún más notable en el subprograma 2.1.2.6. "Industrias alimentarias y agrícolas", donde el porcentaje regional disminuye al 3,59%.

Apoyamos el programa 2.1.6 "Nutrición", tanto en su orientación como en sus objetivos a mediano plazo. Se han integrado las distintas disciplinas que hacen a un mejoramiento de los nivelas de consumo y nutrición, así como a la calidad de los ..alimentos. Estimamos que, sin descuidar la finalidad primordial del programa, que es el mejoramiento del estado nutricional de la población, y particularmente de los grupos vulnerables, la FAO junto a la OMS realiza una importante labor de protección al consumidor a través del programa conjunto FAO/OMS sobre Normas Alimentarias y Comisión del Codex Alimentarius que merecen nuestro apoyo.

El Programa principal 2.2 "Pesca", también requiere y merece atención especial. El Departamento está llevando a cabo los objetivos fijados por la Conferencia Mundial de Pesca y coincidimos con lo observado al respecto por el Comité del Programa, en el sentido de dar apoyo prioritario a los Países en Desarrollo con litoral marítimo, para aumentar su producción dentro de una adecuada ordenación de sus recursos.

Nos referiremos más ampliamente a jeste tema en posteriores deliberaciones de esta Comisión.

El Programa de Cooperación Técnica, tal como ha sido señalado en reiteradas oportunidades, tiene gran significación para los Países en Desarrollo. Los criterios vigentes para su utiliz_ación__ son, a nuestro juicio, adecuados y responden fundamentalmente a las necesidades de los Países en Desarrollo, tal como lo sugiere el número de solicitudes presentadas. En lo que hace a su monto, y a pesar de que mi Delegación estuvo entre las que oportunamente apoyaron el incremento del monto máximo por proyecto de 250 a 400 000 dólares, entendemos que la Secretaría ha actuado con prudencia al tratar de mantener el efecto catalizador del PCT mediante un mayor número de operaciones en pequeña escala. Sólo excepcionalmente, los montos de los PCT deberían superar los 250 000 dólares.

A pesar de nuestro decidido apoyo al PCT, creemos acertada la propuesta del Director General de mantener los niveles de recursos actuales a fin de limitar el crecimiento presupuestario.

El Programa 5.1 "Información y Documentación", sin que queramos disminuir su importancia, estimamos que tiene menor prioridad y hubiéramos preferido que se hiciera un esfuerzo para mantener su nivel actual de recursos. Somos conscientes de que el incremento resulta del aumento de costos, ya que no se introducen cambios importantes. De todas manera, quizás sea éste un Programa donde todavía se pueda hacer un esfuerzo adicional para contener el nivel total del presupuesto.

Respecto al resto de los Programa Principales no tenemos observaciones de fondo, y apoyamos las consignaciones propuestas.

Resumiendo, la Delegación argentina estima:

1)Que las estrategias, objetivos y prioridades para 1988/89, son correctos y tienen nuestro res­paldo. Obviamente, la realidad financiera de la Organización, nos obligará a actuar con una dosis de pragmatismo.

2)Vemos con satisfacción que se han aumentado porcentualmente los fondos destinados a programas y disminuido los gastos en servicios administrativos.

3)El incremento del 0,25% en las consignaciones presupuestarias para 1988/89, respecto del bienio anterior, al tipo de cambio de 1 760 liras por dólar, no debería ser objetable ya que implica un aumento mínimo, casi simbólico.


4) Mi Delegación, sin embargo, reservó su posición sobre este tema en la ủltima Sesión del Consejo y se vé obligada a mantener por el momento dicha reserva debido a que el monto presupuestario sujeto a cuota puede llevar a un incremento muy superior, atento a la caída del dólar frente a la lira italiana.

Ello implica que los países en desarrollo más castigados por la fluctuación del cambio y de tasas de interés seamos también los más perjudicados al momento del pago en dólares de nuestras cuotas. La Argentina enfrenta una grave crisis económica, como consecuencia del pesado servicio de su deuda externa y de la disminución de los precios internacionales de sus exportaciones. Su moneda se ha depreciado sustancialmente respecto al dólar y, en consecuencia, no estamos en condiciones de asumir nuevos compromisos financieros con los organismos internacionales, particularmente cuando éstos responden a fluctuaciones en la paridad de cambio del dólar frente a otras monedas fuertes, fluctuaciones en las que no tenemos ninguna responsabilidad ni beneficio de ningún tipo. Quisiéramos en este foro reiterar una sugerencia adelantada en la reciente sesión del Consejo de la FAO. Estimamos que la solución quizás pudiera estar en que esa diferencia la compensen aquellos países cuyas monedas se han revalorizado frente al dólar. Otra alternativa podría ser que la Conferencia, teniendo en cuenta que los tipos de cambio pueden fluctuar en altos porcentajes en los próximos meses, decida fijar una paridad de cambio a los efectos de la determinación del monto sujeto a cuota, que se acerque a la utilizada para el presupuesto vigente.

Por último, deseamos manifestar que coincido con el enfoque del Documento C 87/3 en lo que se rifiére a la región de América Latina y el Caribe. El diagnóstico de la situación, lamentablemente, es acertado, lamentablemente porque el panorama descrito y las alternativas a corto y mediano plazo no son optimistas. La región se ha estancado en su crecimiento y en algunos aspectos inclusive ha involucionado. Se requiere urgente atención por parte de la FAO. El estudio y plan de acción que se está realizando para la Región puede destacar los principales problemas y sugerir medios de acción para superarlos, pero es evidente que se requerirán mayores recursos y que en la FAO debemos destinar una proporción porcentual mayor que la que históricamente ha recibido la Región.

The meeting rose at 18.00 hours
La séance est levée à 18 heures
Se
levanta la sesión a las 18.00 horas

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