Drought conditions also drastically reduced the water resources in rivers, dams, lakes and canals, some of which have virtually dried up. As a result, prospects are unfavourable for the upcoming irrigated summer crops. Shortage of imported feed, overgrazing, and inadequate veterinary services are the major constraints to the normal development of the livestock sector. Fish production has also decreased drastically. However, a positive and a notable progress has been made in the rehabilitation of the poultry sector since 1998, which has benefited from substantial Government interventions with funds generated from the oilfor-food deal. Production of chicken and eggs are expected to increase significantly this year compared to last year and 1998.

Cereal imports since 1997/98 under the oil-for-food deal has led to significant improvements in the food supply situation. However, per capita cereal food consumption in 2000/01 is estimated to decline from the 1997/98 level. Furthermore, problems of delays in the flow of food imports continue to be reported, leading to repeated cases of low levels of MOU commodity stocks. There is need to ensure urgent and timely delivery of imports under MOU contracts, including food items but also agricultural inputs, such as appropriate seeds for the next season, failing which a production recovery will not be achieved.