APRC/02/6

TWENTY-SIXTH FAO REGIONAL CONFERENCE
FOR ASIA AND THE PACIFIC

Kathmandu, Nepal, 13 – 17 May 2002

PREPARATION FOR THE WFS:fyl – REGIONAL DIMENSIONS


CONTENTS


 

 

 

Paragraph

I.

INTRODUCTION

1 – 5

II.

PROGRESS IN REDUCTION OF UNDERNOURISHED

6 – 12

III.

DIFFERENCES IN PERFORMANCE: SELECTED CASES

13 – 40

IV.

MEASURES TO STRENGTHEN ACTION PLANS TO ACHIEVE WFS COMMITMENTS AND TARGETS

41 - 71

 

 

I. INTRODUCTION

1. One hundred and eighty-five high-level government delegations gathered at the World Food Summit (WFS) in November 1996 to affirm their "common and national commitment to achieving food security for all". They pledged "… to eradicate hunger in all countries" and adopted the Rome Declaration on World Food Security and the World Food Summit Plan of Action (WFS/PoA) "…with an immediate view to reducing the number of undernourished people to half their present level no later than 2015."

2. It would require a yearly reduction of 20 million to attain this target. Recent assessments of the situation indicate that although the total number of undernourished has declined since WFS, the annual decrease is only about 6 million or less than a third of the required number to meet the target. The rate of reduction in the Asia and Pacific region has also been slow. It has fallen short of the annual requirement of 13 million.

3. The performance varies considerably among countries and subregions. East and Southeast Asia have done better than South Asia. The gap between high achieving and under-performing countries is also very wide. This may be attributed to the differences in capacities as well as the approaches, policies and programmes adopted.

4. Against this backdrop, FAO plans to convene in June 2002, the World Food Summit: five years later (WFS:fyl), a global forum of world leaders to review the progress made in fulfilling the WFS/PoA recommendations. The objective of this forum is to focus on the constraints encountered in their implementation, and explore ways and means of harnessing resources to achieve them.

5. Toward the preparation for the WFS:fyl, this document will assess the reduction of under-nourishment in Asia and the Pacific, identify likely causes for the differences in performance, and suggest measures to strengthen action plans that will keep the region on track to meet WFS/PoA commitments and targets.

II. PROGRESS IN REDUCTION OF UNDERNOURISHED

6. Nearly three decades of rapid growth accompanied by the Green Revolution significantly reduced hunger in Asia and the Pacific. Between 1969/71 and 1996/98, the percentage of undernourished in the developing countries of East and Southeast Asia and South Asia declined from 43 to 13 percent and from 38 to 23 percent, respectively. These Asian subregions contributed substantially to a reduction of the undernourished in the developing world (from 37 to 17 percent) for the same period.

7. The latest FAO analysis revealed that the number of undernourished in developing countries of the region decreased from 565 million in 1990/92 to 497 million in 1997/99. Per capita dietary energy supply rose from 2,530 to 2,710 kcal/day, and the region’s share of the undernourished for all developing countries declined from 69 to 64 percent.

8. Although Asia and the Pacific made some progress in reducing the incidence of hunger in the 1990s, 16 percent, or every sixth person remains undernourished, and this accounts for nearly two-thirds of the undernourished population in the developing world. The decline of 12 percent in absolute numbers translates into a 4 percent reduction in the proportion of undernourished for the same period. The progress made so far indicates that Asia and the Pacific will require a much longer time frame than that set by WFS to reduce by half the number of undernourished in the region.

9. Success in this area varies considerably from country to country. From 1990/92 to 1997/99, the number of undernourished declined in East and Southeast Asia by 36 and 12 percent, respectively. In South Asia, although the proportion of undernourished declined from 26 to 24 percent, the absolute numbers, instead of falling, rose by 5 percent.

10. While all subregions made some advances in terms of per capita dietary energy supply, the gap among them has widened in recent years. The figure for Southeast and South Asia vis-เ-vis that of East Asia declined from 91 to 88 percent and 86 to 79 percent, respectively. Progress in South Asia is slow and it has emerged as one of the hotspots for food insecurity in the world.

11. At a country level, between 1990/92 and 1997/99, China, Thailand and Viet Nam reduced the proportion of their undernourished by more than one percentage point per year, and were thus regarded by FAO as among the twelve "best performers" in the world. On the other hand, two countries from the region were singled out as among the ten "worst performers".

12. China earned the distinction of making by far the largest (76 million or 66 percent) contribution to the reduction during the 1990/92 to 1997/99 period. In fact, its spectacular achievement in alleviating hunger is responsible for the high overall performance in East Asia. Pakistan and Sri Lanka also reduced the number of undernourished. However, it increased in Afghanistan, Bangladesh, India, DPR Korea and Mongolia for the same period. In Bangladesh and India, the numbers rose, despite a decline in the proportion, because of rapid population growth. Meanwhile, natural and man-made disasters caused serious food shortages in Afghanistan, DPR Korea and Mongolia.

III. DIFFERENCES IN PERFORMANCE: SELECTED CASES

13. Several factors account for the varying progress made. Within countries, it is attributed to economic and agricultural growth and distribution, poverty reduction, population growth, expansion of access to food, improved health and sanitation conditions, conducive public policies and general peace and order in society. Many of these factors were greatly influenced by natural disasters and the external economic and political environment. The major ones responsible for the differing performance are analysed below.

Economic growth and poverty reduction

14. In China, Thailand and Viet Nam, sustained economic growth, macro-economic stability and anti-poverty programmes have reduced hunger. In China’s rural sector, those with incomes below the official poverty line declined from 42 million (4.8 percent of the rural population) in 1998 to 26 million (3.1 percent) in 2000.

15. China’s experience demonstrates that strong rural economic growth holds the key to absolute poverty reduction. Agricultural progress based on technological advancements, institutional change, improved incentives and rural development contributed towards better food security despite natural resource constraints. Diversification of production and the development of rural township and village enterprises (TVE) raised farmers’ incomes and improved rural living standards. TVE accounted for more than three quarters of rural gross output value in 1996, and dominated many industrial sectors including textiles, farm machinery and equipment, other simple machinery, construction materials, food processing and various consumer goods. Its development in rural China not only generated employment for labour, but also raised farmers’ incomes, promoted market development and stimulated structural changes in the rural economy.

16. These productive activities together with adequate grain reserves, strong disaster relief programmes and large scale food-for-work schemes contributed tremendously to the country’s stable food supply and the poor’s access to it. Urban poverty is also curbed by creating jobs in small and medium-sized enterprises and initiating reforms to establish a social safety net. China’s experience points to the importance of economic growth, political and social stability and food security in a large country whose economy is undergoing rapid change.

17. Between 1995 and 2000, Viet Nam’s gross domestic product (GDP) grew at an annual average rate of 7 percent, and that of the agricultural sector by 4 percent. The growth performance along with the progress in poverty reduction caused the percentage of undernourished to drop from 25 percent in 1990/92 to 15 percent in 2000. Market-oriented policy reforms, following the launching of the doi moi (renovation) programme in December 1986, stimulated rapid economic development, controlled inflation, promoted export and attracted foreign investment. Foreign capital and technology inflow and greater economic interaction with the outside world facilitated development of the domestic entrepreneurial class. Between 1991 and 1999, nearly 10 million new jobs were created, 90 percent of which were in the non-state sector.

18. Reforms in the agricultural sector facilitated economic growth. Those that assisted in the economic transformation and bolstered food security included the allocation of long-term land use rights, decentralization of local government, domestic trade liberalization, co-operative reform, investment in irrigation and rural infrastructure and provision of agricultural credit. Since the launching of the doi moi reforms, food production grew at 2.5 to 3 times the population rate, rising in annual per capita terms from 281 kg in 1987 to 398 kg in 1997. The country has moved from importing an average of one million tons of rice a year to becoming the second largest rice exporter in the world. This achievement has meant that even in years of natural disaster like in 1999, food security could be largely maintained.

19. In tandem with significant food security improvements is a decline in the incidence of poverty. It fell from 70 percent in the mid-1980s to 37 percent in 1998. The proportion that lived on less than a US dollar a day declined from 50.8 percent in 1990 to 9.1 percent in 2000. Poverty is now only prevalent among ethnic minorities living in the hills and among the most vulnerable segments of the population. Approximately 40 percent of children under five remain malnourished. The experience of Viet Nam supports the need to further strengthen programmes that target vulnerable groups.

20. Thailand succeeded in dramatically reducing malnutrition through a community-driven rural development programme that was part of a national policy to improve nutrition and thereby alleviate poverty. It was initiated in 1982 and focused on 286 districts, which were identified as the poorest in the country. In 1984, it was extended nation-wide. The programme entailed the implementation of integrated multi-sectoral actions to upgrade the country’s overall nutritional status. Job creation, development of village projects, complete coverage of basic communal services and expansion of food production formed part of this programme. It placed special emphasis on improvements in diet quality.

21. Investment in human capital was amongst the major factors enabling Thailand to eradicate moderate to severe malnutrition in a single decade (1982 to 1991). A community-government partnership was developed and fostered through broad-based social mobilization strategies. Volunteers selected by the community assisted in enhancing its access to basic services and implementing community oriented nutrition programmes. A set of basic needs indicators was utilized to guide the people in identifying and working towards overcoming their nutrition problems.

22. Sub-regional performance in reducing the incidence of poverty is very similar to that in reducing the number of undernourished, indicating a close connection between the two. The proportion of poor fell sharply in East Asia and the Pacific region from 27.6 percent in 1990 to 15.3 percent in 1998. In South Asia, although there was a decline from 44 to 40 percent, the absolute number rose from 495 million to 522 million. The rate of poverty reduction slowed considerably in some countries of the subregion despite solid per capita GDP growth. This raised the view that perhaps the growth was not adequately pro-poor.

Macro-economic stability

23. The Asian financial crisis disrupted economic growth and hence poverty reduction trends in East and Southeast Asia. From mid-1997, Indonesia, Malaysia, the Philippines, Republic of Korea and Thailand were worst hit by this crisis. All of them registered negative GDP growth in 1998, but the recovery in 1999 and 2000 was faster than expected. A sharp economic slowdown followed in 2001.

24. The negative growth in 1998 was as high as 13 percent in some countries. The effects of the financial crisis were compounded by El Ni๑o/La Ni๑a induced adverse conditions in the agricultural sector, and this depressed food production. Loss of employment opportunities combined with rising food prices substantially eroded savings and the assets of lower income groups. This caused large numbers to fall below the poverty line. Because of growing trade and investment linkages, the Asian crisis was felt in the whole subregion, albeit to a lesser degree in Viet Nam, Laos and Myanmar. China continued to maintain high growth rates, while the GDP of South Asian countries was only marginally affected.

25. A World Bank assessment of the impact of this crisis on poverty showed that its reduction was stalled for the region as a whole. For example, Thailand experienced a steady decline from 32.6 percent in 1988 to 11.4 percent in 1996, but it increased to 14.2 percent in 2000. For some badly affected countries, it may take up to 2002 or beyond to go back to their 1996 levels.

Population control

26. In South Asian countries, population growth is a major problem. Between 1990/92 and 1997/99, South Asia’s population rose by 14.3 percent, compared to 12.8 percent in Southeast Asia and 7.3 percent in East Asia. Although the proportion of undernourished declined by 2 percent each in Bangladesh and India, the number affected rose by 5 and 11 million, respectively because of rapid population growth. Controlling population increase is a prerequisite for eradicating under-nourishment.

27. In the case of Nepal, there was an increase in both numbers and proportion of undernourished due to reduced per capita dietary energy supply. Besides unequal access to available food, the country’s food productivity growth is slower than its population growth.

Agricultural growth

28. An FAO study showed that both population and agricultural growth rates determine the extent of success achieved in minimizing malnutrition. It compared the population, food availability and production growth rates of two groups of countries - those in which the number of undernourished shrank considerably and those in which it rose between 1990/92 and 1997/99. For Asia and the Pacific countries, as expected, the first group of eight countries had a significantly lower population growth rate and a much higher one for per capita food availability than the group of nine where the number of undernourished increased. Furthermore, the per capita food and agricultural production growth rates were both much higher in the first group than in the second.

Preparedness for natural disasters

29. The Asia and Pacific region is highly prone to natural disasters and their incidence has become more pronounced in recent years. In the 1990s, 150 to 263 disasters were reported each year. Recurrent droughts, storms, floods, mudslides, tsunamis, earthquakes, forest fires, volcanic eruptions and other natural disasters have brought more devastation in the last decade than any other in history.

30. Bangladesh, Cambodia, China, India, the Lao People’s Democratic Republic, Nepal, Thailand and Viet Nam were the countries that suffered most from such calamities. In Cambodia, the worst floods in 40 years resulted in several hundred deaths and large-scale destruction of crops, infrastructure, property and communication lines. In India, they devastated the states of Himachal Pradesh, Bihar, West Bengal and Assam, and Gujarat state had an earthquake that destroyed tens of thousands of lives.

31. At the end of 2001, large parts of Iran, India, Pakistan and Afghanistan were going into their second or third consecutive year of drought. Afghanistan was gripped by persistent civil conflicts and underwent a serious food crisis following three consecutive years of drought which destroyed crops and livestock across the country. The situation is further aggravated by events following the September 11 terrorist attacks on the US. In Pakistan, persistent dry weather in parts of the country destroyed livestock, and severely affected fruit and rain-fed cereal production. Korea, DPR faces a food deficit of 1.47 million tonnes (until October 2002) because of adverse weather and economic problems that can only be solved by food aid. In Mongolia, harsh weather conditions for the last several years caused cereal and livestock production to shrink progressively. Extremely severe winters in recent years destroyed 3.6 million heads of livestock, which is more than 10 percent of the herd population, thus intensifying food insecurity among nomadic herders.

32. Food insecurity caused by natural disasters was compounded by man-made calamities in the post-WFS period. Civil strife continued in some parts of Asia, while new disturbances and border hostilities broke out in others, with obvious implications in terms of utilizing scarce development resources for military purposes and post-war rehabilitation, leading to immense economic losses and reducing food supplies and their accessibility. The lingering effects of war and civil strife on food security can be seen in parts of the region where large chunks of agricultural lands remain inaccessible to farmers due to land mine problems.

Globalization: maximizing benefits and minimizing losses

33. One important indirect influence on the region’s food security comes from its increasing integration with the global economy. In the last decade, its trade in goods, gross private capital flows and gross foreign direct investment as proportions of GDP expanded substantially. The region’s share in the world agricultural trade has also increased. However, during the last two decades, the share of the food and agricultural products in the region’s merchandise trade declined due to greater export diversification. With the share of agricultural export dropping more markedly than the share of import, between 1990/92 and 1997/99, net imports of agricultural and livestock products grew from US$25.7 billion to US$35 billion. The growing share in the world agricultural trade and rising import dependency have enhanced the region’s stake in fair and stable world prices for agricultural products and its access to export markets.

34. In principle, free trade and flow of investment and capital should benefit developing countries with comparative advantage in labour intensive goods, including many agricultural commodities. Numerous studies on Asian countries support the conclusion that a strategy of openness leads to higher rates of economic growth and poverty reduction. The experience with the Asian financial crisis, on the other hand, amply illustrated that globalization can increase economic volatility to the detriment of the poor.

35. Moreover, it can marginalize countries because their resource endowment, location, size or lack of skills and infrastructure cause them to remain uncompetitive in world markets and make them less attractive to investment. This is evident from the fact that net private capital flows make their way to economically wealthier countries. Between 1990 and 1998, the flow to East Asia increased from US$18,720 million to US$67,249 million compared with an increment of US$2,174 million to US$7,580 million in South Asia.

36. There is no consensus on whether developing countries and, in particular, resource poor small farmers have benefited from globalization. A World Bank study showed that in the 1985 to 1994 period, agriculture’s share in the exports of developing countries to OECD countries dropped from 19 to 14 percent. Contrary to the Uruguay Round objective of agricultural trade liberalization, rich countries continue to subsidize their agriculture sector. For example, the total support of OECD countries to their farmers amounted to US$356 billion in 1999 alone. This translated to US$ 11,000 of support for each OECD farmer while an agricultural farm worker in a developing country received a mere US$ 4.30 of official development assistance (ODA). Within the European Union, the average rate of agricultural protection increased from 32 percent in 1997 to 37 percent in 1998.

Investment in agriculture

37. Survival in the age of globalization calls for not only fair terms of trade but also enhancing competitiveness vis-เ-vis price and quality. Agricultural investment in the form of capital stock has an important role to play in this regard. An FAO global analysis showed that from 1990/92 to 1997/99, countries with a significant decrease in the number of undernourished also revealed an increasing trend for their net capital stock per agricultural worker. Conversely, those with rising numbers of undernourished, showed a decline in their net capital stock.

38. Public investment in agricultural research is declining. There is growing reliance on the private sector for new technology, but private sector investment in agricultural technology comprises only a small fraction of its total investment in research and development. Moreover, it does not cater to the needs of small farmers and those suffering from chronic food insecurity.

39. Even though the public sector’s role in economic activities has become less significant following a decade of structural reforms, its expenditure remains indispensable for promoting agricultural development. In fact, the level of farm investment is largely determined by the provision of public goods, i.e. rural infrastructure, research and extension, market information and other support services. Despite the dependence of poor countries on agriculture for incomes and food security, a FAO study revealed that public expenditure for agriculture, whether measured in relation to agricultural GDP or to agricultural labour force, is lower for countries with the highest incidence of undernourished.

40. Official development assistance and donors’ commitment for agricultural development have either stagnated or declined. The total world commitment by donors shrank from US$14,066 million in 1990/92 to US$13,674 million in 1997/99 (in 1995 constant dollars). Agriculture’s share in total external assistance to developing countries stagnated at around 17 percent during this period, compared with over 33 percent in 1982. While such assistance per worker has declined for all countries, it was more pronounced for those where the number of undernourished grew between 1990/92 and 1997/99. Within the region, the share of lending to the agriculture sector from the Asian Development Bank (ADB), the single largest source of multilateral assistance to this sector, declined from 31 percent in 1990 to 9 percent in 1999.

IV. MEASURES TO STRENGTHEN ACTION PLANS TO ACHIEVE WFS COMMITMENTS AND TARGETS

41. Countries in Asia and the Pacific need to accelerate the steps taken to reduce its undernourished population to meet the WFS goal of cutting their numbers by half by the year 2015. Eradication of hunger is imperative not only on ethical and moral grounds but to achieve sustainable growth. Hunger imposes substantial economic costs for individuals, families and whole societies. Adult productivity losses from nutritional deficiencies are equivalent to some 3 percent of GDP annually in some countries.

42. The experience of Asia-Pacific countries can form the basis for designing and/or strengthening policies, strategies and action plans to combat the scourge of hunger and malnutrition. Several of them have the necessary resources to devise and implement strategic programmes to reduce the number of undernourished. Those lacking them have the option of judicious expenditure switching and/or seeking international assistance. What is required is a renewed commitment and political will to succeed. Some useful lessons from regional experiences that can serve as input to the formulation of action plans at the country level to achieve the desired goals are presented below.

43. The first task in the continuous fight against under-nourishment is the pursuit of rapid economic growth and poverty alleviation. Success stories from selected countries indicate that they provide a sustainable basis for enhanced food security at the household level. In the post-WFS period (from 1999 until the first half of 2000), most nations in the region underwent strong economic growth. The world economic slowdown from the second half of 2000, however, affected regional growth performance and outlook. The situation further deteriorated after the September 11 events.

44. The economic activities and export performance of several countries were seriously curtailed and this depressed their economic outlook. Both the International Monetary Fund (IMF) and ADB have significantly revised downward the growth forecasts for developing Asia and Pacific countries for 2001. However, the region is expected to register a faster growth in 2002 and a stronger performance in 2003, as the external environment is expected to improve from the second half of the current year.

45. Lower growth rates imply loss of employment in the export-oriented subsectors within and outside agriculture. This has long-term socio-economic consequences, such as wiping out of savings, forced selling of assets at distress prices and withdrawing of children from schools. Corrective measures to cope with this and put economic growth back on track must be pursued relentlessly so that the poor can be protected from the ill effects of an economic contraction. Food availability and production should be enhanced by the provision of a balanced combination of policy adjustments and practical measures that respond to local needs. Programmes that target vulnerable groups can be of vital importance in alleviating hardships caused by short-term disruptions in livelihood opportunities.

46. Countries should strengthen domestic capability to monitor and assess developments and adjust policies, institutions and technologies to cushion the risks of macro-economic instability. Particular emphasis should be placed on flexible monetary policies and regulations to enhance sound financial practices in the banking and finance sectors.

47. Two of the seven WFS commitments stressed the need to eradicate poverty. The slow progress in poverty reduction is one of the main reasons for many countries inability to achieve the annual reduction targets of the WFS. Poverty alleviation based on overall growth must be central to all development strategies in areas where food insecurity is the principal manifestation of poverty. Policies should be formulated with the full appreciation that hunger is both a cause and an effect of poverty, and unless priority action is taken to wipe it out, little progress can be made towards the eradication of poverty. Moreover, it is necessary to widen the poverty agenda to include more comprehensively, issues relating to vulnerability, endowments of natural and economic assets, livelihoods and nutrition.

48. Countries, with the support of international bodies and the private sector, must demonstrate a renewed determination to implement the straightforward measures that they endorsed at the WFS more than five years ago. In this regard, they must fully articulate food security concerns and take action to incorporate them into their Poverty Reduction Strategy Papers (PRSP) which form the basis for concessional aid from international financial institutions. Past experience has shown that while sector-neutral macro-economic adjustments are sometimes necessary, accompanying measures for redistribution of natural and economic assets and income would also often be required to protect the rural poor. Macro-economic policy changes should be carefully assessed from the perspective of their impact on vulnerable groups.

49. Sixty-four percent of the population in East and Southeast Asia and 72 percent in South Asia live in rural areas where poverty is endemic. In these subregions, agricultural workers constitute 62 and 59 percent of the labour force and produce 18 and 26 percent of the GDP, respectively. Their share of agricultural exports, although declining, is quite considerable. Countries with large undernourished population depend on agriculture, directly or through related activities, for their main source of employment, economic output and export earnings.

50. Growth in agricultural productivity in developing countries has a marked poverty-alleviation effect through its combined impact at farm, rural and national levels. The rural poor rely on agriculture to produce the food they eat or generate income through employment in rural non-farm activities. Income earned from agriculture is spent on locally produced goods and this demand is essential for the survival of the rural non-farm sector. Furthermore, lowered cost of food following agricultural productivity growth enhances the overall food and nutrition security of the poor.

51. Agricultural growth should therefore be a core component in all poverty reduction strategies. However, several interim PRSPs have not accorded it the prominence that it deserves. PRSP is a vital link to gaining access to the IMF poverty reduction and growth facility and International Development Association (IDA) lending. Member country ministries concerned with food, agriculture and rural development should be effectively involved in PRSP formulation and ensure that the sector’s concerns are duly emphasized at the strategy and programme identification stage.

52. FAO has assisted several countries carry out sector reviews and formulate agricultural strategies and policy framework for food security and poverty alleviation purposes. Where feasible, the output from selected cases was directly utilized to formulate medium-term plans and interim PRSPs. Member countries may, therefore, wish to request FAO assistance in this area of work.

53. Approaches to poverty reduction must be situation specific. Experience suggests that relatively modest investments, combined with simple technology changes, can result in worthwhile gains in both land and labour productivity, where adequate markets exist for the incremental output. Pilot activities under phase I of the FAO-supported special programme for food security now under operation in eleven countries have proved this point.

54. Agricultural development strategies should pay special attention to women’s role in agriculture. Women constitute more than 40 percent of the agricultural labour force in the region and are typically producers of non-tradable goods important for household food security. The poor educational attainment of rural women in the region, particularly in South Asia, is a barrier to their prosperity in increasingly knowledge-based agricultural systems. They earn lower wages and female-headed rural households are generally poorer than those headed by men. For broad-based rapid agricultural growth, rural women should be trained to take advantage of emerging opportunities and their access to support services should be improved. In designing such training it is important to recognize that agricultural tasks are traditionally divided along gender lines, so that women’s information, advice and technological needs differ from those of men. Technologies such as irrigation, high-yielding varieties, fertilizer and farm machinery increase the productivity of men’s labour. Technical innovations in these areas must be complemented with those in post-harvest operations where women’s role tends to dominate.

55. Strategies to reduce poverty must utilize the vast potential of community-government partnership for a community-based multi-sectoral approach that can empower individuals, households and communities to develop a capacity for self-help and self-reliance. Effective collaboration of the public and private sectors and non-governmental organizations (NGOs) should be based on an appropriate delineation of roles and the comparative advantage of each party in carrying out various functions. The ACC Network on Rural Development and Food Security provides such platform at the country level through its thematic groups, which comprise representatives of government, UN agencies, civil society and the private sector. Such co-operation can ensure better utilization of synergies in resources and actions to address a number of direct and indirect variables affecting food security. The private sector should be encouraged to market agricultural inputs and outputs, trade and service agricultural equipment and invest in small-scale industries that provide gainful employment and equip people with new skills. Interventions to improve the nutritional status should focus on pregnant and lactating women, and children up to 5 years.

56. NGOs and civil society organizations play increasingly important role in mobilizing community actions and advocacy for agricultural and rural development, sustainable resource use and conservation, and empowerment of rural women and disadvantaged groups. They have emerged as valuable partners to governments and donor agencies in policy dialogue as well as programme implementation. In recognition of this, FAO has taken several initiatives to strengthen its collaboration with NGOs and CSOs to ensure an adequate follow up to the Summit commitments and PoA. It issued the Policy and Strategy for Co-operation with NGOs and CSOs and a parallel consultation of such organizations in the region was held in 2000 in conjunction with the 25th FAO Regional Conference. The result of the consultation was reported at the plenary session of the Regional Conference and served as an input to the Committee on World Food Security where the concerned organizations reaffirmed their resolve to work with FAO in addressing the food security issues in the region.

57. In the context of the preparation for the WFS:fyl and facilitation of the parallel NGO Forum, three regional NGOs/CSOs actively engaged in the areas of FAO’s mandate have been designated members of the International NGOs/CSOs Planning Committee. They have also been given the responsibility to facilitate/organize national, sub-national and regional consultations to consolidate regional assessment and position with respect to food security through dialogues among themselves and other stakeholders, particularly the governments. A regional consultation of NGOs and CSOs was organized in August 2001 in Thailand to review the progress in the implementation of the WFS/PoA and goal. National and sub-national NGO/CSO meetings have been held prior to and after the regional consultation.

58. A parallel Regional NGO/CSO Consultation to deliberate on the global issue papers in the regional context is to be held on 11-12 May 2002 in conjunction with the 26th Regional Conference. In addition to presenting the summary results of the Consultation at the Conference, the organizers have also planned to have a dialogue with the representatives of member countries attending the Regional Conference. FAO believes that such presentation of NGO/CSO’s views and dialogues with them can provide important policy feedback to member governments and foster closer co-operation in addressing food security issues.

59. The declining trend in the flow of resources to the food and agricultural sector should be reversed. Although a large proportion of agricultural investments are mobilized by the farmers themselves, the public sector has a critical role to play in creating a conducive environment for such investment and in ensuring adequate availability of public goods. Governments must ensure that the critical public sector support to the agriculture sector is maintained. Domestic resource shortfalls should be compensated through mobilization of international funding for priority programmes.

60. The outcome of the International Conference on Financing for Development to be held in Monterrey, Mexico, from 18 to 22 March 2002, will have important implications on resource mobilization for agriculture, food security and rural development. This is the first summit level meeting convened by the United Nations to address key financial and related issues pertaining to global development. It will focus on how resources for development are generated and deployed. Six key areas have been identified for discussion and decision by the conference. They cover domestic financial resource mobilization, foreign direct investment and other private inflows, international trade, official development assistance, debt relief, and international monetary, financial and trading systems. Discussions on the draft document in October 2001 brought out sharp differences in views between representatives from the developed and developing countries. A revised document has been prepared and at the time of writing of this paper, the fourth substantive session of the preparatory committee (14-25 January 2002) was in progress.

61. A multilateral trading system based on rules is essential for promoting agricultural development, food security and poverty alleviation. The expected contributions to food security from trade liberalization under the Uruguay Round Agreement on Agriculture have not been realized. Its qualitative effect has resulted in greater trade liberalization of the agriculture sector in most countries in the region. There has been, however, little change in the volume of agricultural exports from the developing world, as the implementation of this agreement has not led to significant improvements in market access. Agricultural markets in OECD countries are still protected, and imports of many primary and processed agricultural products are discouraged by high tariffs, their persistent peaks and escalation, high sanitary, phytosanitary and food safety standards, and massive domestic support for agriculture.

62. Furthermore, developing countries have not benefited from the special and differential treatment accorded them due to the difficulties encountered in exercising its provisions. "Decision on Measures Concerning the Possible Negative Effects of the Reform Programme on Least-Developed and Net-Food Importing Developing Countries" has not resulted in action due to a lack of effective implementing mechanism. There may be some flow of food aid, favourable credit terms for agricultural export and technical and financial assistance to improve agricultural productivity through bilateral assistance programmes. However, access to short-term financing for poorer countries to cushion their consumers against sudden hikes in food import prices has not been implemented.

63. This scenario prompted FAO in its statement at the Fourth Ministerial Conference of the World Trade Organization (WTO) in Doha, Qatar, to call the international community to incorporate specific provisions in the proposed agricultural trade reform programme which is aimed at improving agricultural productivity and competitiveness in developing countries. The statement emphasized that small and resource-poor farmers and farm labourers need measures to protect them from the adverse consequences of temporary import surges. Measures are also required to provide improved access for agricultural exports from developing countries. The statement strongly pleaded that until agricultural protection and support have been substantially reduced in developed countries, developing countries should not be required to further reduce bound tariffs or domestic subsidies.

64. The Doha ministerial conference resulted in several positive outcomes that supported fair and equitable agricultural trade regimes. Firstly, WTO member countries can continue to negotiate for an open world trading system, including reductions in the support rich nations give to their own farmers. In the final declaration adopted at Doha, participating countries are committed to comprehensive negotiations that are aimed at substantially improving market access; reducing, with a view to phasing out, all forms of export subsidies and substantially reducing trade-distorting domestic support. Secondly, following Doha, tariff reform appears more likely, as the declaration affirmed an intention to negotiate on tariff reductions and escalation. Thirdly, the declaration recognized food security and rural development as legitimate concerns for developing countries, whereas previously they were included in "non-trade concerns", and were not explicitly mentioned. Fourthly, it took a decision to facilitate the development of effective multilateral mechanisms to deal with the possible negative effects of the trade liberalisation on least-developed and net food importing developing countries. An inter-agency panel of financial and commodity experts is to be established, involving FAO, World Bank, IMF, International Grains Council and UN Conference on Trade and Development (UNCTAD), to explore ways of getting less food secure countries access to "multilateral programmes and facilities" to deal with short-term sharp price increases, including the possible establishment of a revolving fund.

65. The Doha ministerial declaration, to be effective, needs to be translated into action. Developing countries in the region need to continue to ensure that the important principles accepted at Doha are implemented. The trade negotiations should focus on the implementation of agreements and commitments made at Marrakesh and Doha for better market access and elimination of subsidies and related trade-distorting mechanisms. Developing countries should seek special and differential treatment that is relevant, concrete and targeted. Furthermore, the new round will also include trade-related intellectual property issues (TRIPS), which can affect farmers' rights over genetic material, and sanitary and phytosanitary measures (SPS), which affect health and food safety issues in agricultural trade.

66. Countries in the region need to further strengthen their national capacities in dealing with WTO related matters in the context of trade liberalization. FAO has assisted them in national capacity building through three subregional workshops involving 138 participants from 30 countries and regional organizations. These were organized by FAO as a part of the 14 subregional workshops, which covered approximately 160 countries world-wide. They were primarily aimed at enhancing familiarity with the Uruguay Round agreements related to agriculture, and also covered emerging issues and topics relevant to negotiations relating to agriculture, and special issues of regional and subregional concern. Member countries may wish to request continued support from FAO to strengthen national capacity, analyse implementation issues, formulate and update national legislation, and enhance regional/subregional co-operation for sharing information and technical facilities for human resource development. In the final analysis, real benefit could only accrue if countries can offer their products in a non-distorted market at competitive prices. Therefore, public and private investment to promote efficient production and marketing must be pursued vigorously.

67. The International Treaty on Plant Genetic Resources for Food and Agriculture, adopted in November 2001, promises to promote fair access to crops important for food security, and transfer the benefits derived from their commercialization back to farmers. It takes into consideration their particular needs and those of plant breeders, and aims to guarantee the future availability of diverse plant genetic resources for food and agriculture and their equitable sharing. The Treaty, initiated by FAO in November 1994, is a result of inter-governmental negotiations to revise the 1983 International Undertaking on Plant Genetic Resources for Food and Agriculture. It recognizes that farmers' rights complement those of plant breeders.

68. This international agreement is legally binding and will enter into force when ratified by at least 40 countries. It provides a framework to ensure access to plant genetic resources, related knowledge, technologies and international funding. It also provides the agricultural sector with a multilateral tool to promote co-operation and synergy with other sectors, especially trade and environment. The treaty reiterates the importance of both traditional and modern technologies in serving humanity, in particular, to alleviate hunger and promote sustainable development in developing countries. Governments should give priority to accelerate its national ratification, together with the enactment of appropriate national legislation for a balanced protection of breeders and farmers’ rights.

69. Climate change has serious implication on agriculture and food security. Productivity of some of the region’s most important food crops could significantly fall as a result of climate change. Rising temperatures, linked with emissions of carbon dioxide and other greenhouse gases, can damage the ability of vital crops such as rice, maize and wheat, to flower and seed. Many tropical food crops are at or near their thermal limits, thus making it difficult for them to withstand further temperature increases. New studies indicate that every centigrade rise in tropical temperature could reduce yields by as much as 10 percent. The Intergovernmental Panel on Climate Change (IPCC) estimates that average tropical temperatures could climb by as much as three degrees centigrade by 2100. The results could be more catastrophic when other potentially damaging developments caused by global warming, such as rising agricultural pests and decline in rainfall are included.

70. Against such a scenario, the November 2001, Marrakesch conference of parties to the UN climate change convention finalized the operational details of the Kyoto Protocol for ratification by governments to enable its early entry into force. The Kyoto rulebook specifies details regarding measurement of emissions and reductions, etc. and the rules for ensuring compliance. The 1997 Kyoto Protocol will come into force and become legally binding after it has been ratified by at least 55 parties of the convention, including industrialized countries who represent at least 55 percent of the total 1990 carbon dioxide emissions from this group. So far, 40 countries have ratified, including one industrialized country (Romania). Many governments have called for its entry into force in 2002.

71. Countries must address both transitory and chronic food insecurity problems prevailing in the region. The first requires effective early warning systems and countries are encouraged to strengthen them to facilitate adequate preparation to deal with disasters. Food insecurity and vulnerability information mapping systems (FIVIMS) are useful tools for addressing chronic food insecurity. Accurate information provides a solid foundation for action programmes in priority areas and communities. Member countries are enjoined to extend their full support to the FIVIMS exercise and adapt the tool to suit their own needs. They may also wish to request FAO assistance for the establishment or strengthening of national FIVIMS.