Agriculture in the Greater Mekong Subregion(GMS) Sununtar Setboonsarng Southeast Asia Department

Transcription

1 Agriculture in the Greater Mekong Subregion(GMS) Sununtar Setboonsarng Southeast Asia Department Partnering for Smallholders Inclusive Market Opportunities in the Mekong Hanoi, 8-9 Dec 2015

2 Outline of Presentation ADB GMS Regional Cooperation in Agriculture Agriculture and climate change Gender-responsive inclusive value chain

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4 ADB Operations Overarching goal: poverty reduction Technical Assistance Structural reforms Knowledge products Capacity building Project preparation Loan and grant to scale up inclusive and green investments

5 ADB Operational Plan for Food Security Productivity Connectivity Quality Natural Resource Management

6 Greater Mekong Subregion Regional Cooperation Program Sectors Agriculture Energy Environment Human Resource Development Tourism Trade and Transport

7 Agriculture Systems Productivity at the expense of nutrition, food safety, biodiversity, High green house gas emission Use over 80% of fresh water Employ 70% of rural women

8 Vision for the GMS Agriculture Sector The Greater Mekong Subregion is recognized globally as the leading producer of safe food, using climate-friendly agricultural practices and integrated into global markets through regional economic corridors 8

9 Vision The Greater Mekong Subregion is recognized as the leading producer of safe food, using climate friendly agricultural practices and integrated into global markets through regional economic corridors. Pillar 1: Food Safety Trade Modernization Pillar 2: Climate Friendly Agriculture Pillar 3: Bioenergy and Biomass Management Agricultural Research and Development Private Sector Involvement Institutional Mechanisms for Regional Cooperation

10 Food Safety and Trade Modernization

11 Food is Foundation of Life

12 Micronutrient Deficiencies Affect 2 billions people Deficiencies in micronutrients (iron, iodine, vitamin A, folate, zinc, ) Cause devastating consequences, particularly for children below 1000 days

13 PESTICIDE AND HERBICIDE 5.6 billion pounds per year (EPA, 2010) Less than 0.1% of pesticides reach their target pests Residues cause cancer, reproductive health, etc

14 ENDOCRINE DISRUPTORS Cancer, behavior alterations or reproductive disorders by endocrine disruptors from consumption of pesticide residues in food

15 TOXINS IN BREASTMILK The breast milk and tissues of some Greenland Inuit could be classified as poison due to hazardous waste residues

16 SUPER BUGS IN LIVESTOCK Overuse of antibiotics in healthy animals create antibioticresistant bacteria, super bugs

17 Mycotoxins and Heavy Metals 4.5 billion people are affected by mycotoxins contamination Alfatoxin in peanuts, maize, rice, etc are increasing with global warming Heavy metal: Cadmium, Lead, Mercury,

18 Pillar 1. Building Global Competitiveness by Promoting Food Safety Enhance trade infrastructure Harmonize food safety standards Food traceability system Capacity building for formal and informal certification systems, including PGS Promote regional sourcing for critical mass of green and pro-poor products

19 Agriculture and Climate Change

20 GHG emissions by sector Agriculture Energy Waste Industria l Processe s Solvents Cambodia 82.74% 14.74% 2.13% 0.39% 0.00% Lao PDR 86.26% 11.68% 1.51% 0.54% 0.00% Indonesia 13.24% 50.68% 28.38% 7.70% 0.00% Malaysia 3.05% 76.01% 13.63% 7.31% 0.00% Myanmar 69.13% 21.40% 8.14% 1.32% 0.02% Philippines 32.84% 49.61% 7.03% 10.51% 0.00% Thailand 21.89% 67.26% 3.93% 6.91% 0.00% Viet Nam 47.93% 38.86% 5.84% 7.37% 0.00% Source: UN Framework Convention on Climate Change (UNFCCC) GHG emission profiles for non-annex I Parties

21 Green House Gas Contribution of Agriculture Sector 14% Production 35% Forestry Burning of biomass >50% Transport Agro-chemicals

22 Heat-Trapping Ability Carbon dioxide is baseline GHG One unit of CO2 = 1 Methane is 23 times of CO2* Nitrous oxide is 298 times of CO2* Black carbon is 10,000 times of CO2 *100-year Global Warming Potential (GWP) based on IPCC Assessment Report 2007 (AR4)

23 World Carbon Reservoirs Carbon Sizes of World Carbon Reservoirs 476 billion tons of Carbon in Soil has been released Forests Atmosphere Soil Fossil Fuel Reservoirs Reserve

24 Refill Soil Reservoir Carbon Sizes of World Carbon Reservoirs Forests Atmosphere Soil Fossil Fuel Reservoirs Reserve

25 Soil carbon sequestration Transferring CO 2 into soils as organic matter (compost) and/or biochar Enhances soil fertility, aeration, microbiota, Improve water retention and purify water

26 Soil Organic Matter Flood and drought resilience 1% = 170,000 liters of water/ha Reduce soil toxicity Increases micronutrient Mitigates and sequester GHG Electron micrograph of soil humus

27 Biochar for Carbon Sequestration Biochar (charcoal from biomass) is produced by baking biomass at about ºC under low or no oxygen (pyrolysis) The combustion process releases gas or oil as clean renewable energy. Biochar remains stable in soils for hundreds to thousands of years. FAO (2009)

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29 Effects of Biochar

30 Pillar 2: Promote Climate-friendly Agriculture and Natural Resource Management Reward farmers for ecosystem/climate services i.e. market access for climate-friendly products Climate-risk management system i.e. drought monitoring system, regional weather-based index risk insurance Transboundary diseases and invasive species

31 Agriculture, Energy, and Biomass Management

32 Biomass residues Abundant biomass residues in the GMS include: rice husk and rice straw, sugarcane and maize crop residues, crude palm oil waste, wood waste, and animal manure are currently underutilized.

33 Black Carbon Sources Burning of agricultural waste and traditional cook stoves emitting smoke, soot, and carbon dioxide

34 It takes an average of 7 to 10 calories of energy input to produce one calorie of food.

35 Pillar 3: Promote Agriculture as Leader in Providing Rural Renewable Energy Regional standard, legal and regulatory framework for biomass and bioenergy Promote biomass management for bioenergy and food security Promote FDI of ecofriendly supply chain for 3Ps: People, Planet, Profit

36 Structure of Arable Land Bypassed by Green Revolution Intensive agriculture 9% 14% 74% 3% Year round Irrigated Double Irrigated Single Irrigated Rain- fed Source: International Water Management Institute, GIAM

37 Which Way to Go? Renewable <- Fossil fuel based energy -> Nuclear Organic<- Fossil fuel-based -> GMO

38 Women Will Feed the World 9% 14% 3% Year round Irrigated Double Irrigated Single Irrigated 74% Rain- fed Total Cropland Area= 1,530,079,274 ha Source: International Water Management Institute, GIAM

39 Myth about Low OA Yield Apply Green Revolution Tech Agrochemicals Transition to Organic Post Transition Irrigated Rainfed

40 Organic Agriculture(OA) comparative advantage of disadvantage of the poor Relatively un-contaminated land, often not requiring transition period for certification Indigenous knowledge of low-external input agriculture Availability of labor Minimal need for credit

41 MDG 1, Target 1: Income Poverty Because of Growing demand for safe food in export and domestic markets Price premiums Reduced costs of inputs Favor smallholders OA will lead to Higher income generation for farmers

42 Higher profit in Organic Country N Crop Profit p- value Thailand, Rice Yes Thailand, Rice Yes Thailand, Banana Yes Thailand, Asparagus Yes PRC, Tea Yes PRC, Horticulture Yes Sri Lanka, Tea Yes Cambodia, 2005* 615 Rice Yes Lao PDR, 2005* 368 Rice Yes *Note: Cambodia and Lao PDR are non- certified organic.

43 Organic is Pro-Smallholders Profitability by Farm Size in Thailand (Baht/rai) Land category All farms CA farmers OA farmers p-value* 0-5 rai 1,719 1,374 2, rai 1,744 1,413 2, rai 1,723 1,337 2, >20 rai 1,646 1,276 1, Total 1,721 1,369 2,

44 OA Households Spend Less on Health Health Expenditure in N and NE Thailand 10% % of Households 8% 6% 4% 2% 0% 5% 10% 15% 20% 25% Medical expenditure as a % of HH expenditure OA CA

45 More Nutrients in Crops Grown in Healthy Soil-Organic Agriculture(OA) 63% 30% 29.3% 27% Medical related C 抗酸化剤 (lettuce, spinach, carrot, potato, apple) Source: review of 434 studies by New Castle University, 2014

46 MDG 7: Ensure environmental sustainability Because of Careful attention to soil health, soil carbon, biodiversity, germplasm, and the wider environment OA will lead to ecosystems re-generation and environmental sustainability

47 Growing Int. Trade of OA OA Export OA for Domestic Mkt OA products overcome new international trade requirements. OA growing at double digits in developed countries

48 OA and the MDGs Direct and well-defined: MDG 1: profit, income, food security MDG 3: empowerment of women MDG 4,5,6: health and sanitation MDG 7: environment, climate change, soil, biodiversity, water MDG8 : partnership in development Indirect: MDG2 education

49 Costs of Achieving the MDGs Through OA Cost/person Existing strategy: invest in health, water, sanitation* US$ Organic agriculture** US$ *World Bank, 2002 ** Findings from Thailand, Sri Lanka, PRC by ADBI

50 Multiple-Wins Solution Addressing root causes of health, food safety, nutrition, and environmental crisis Mitigating GHG: N20, CH4, and CO2 Reversing climate change Improving water and waste management Investing in preventive health Promoting women as key player in inclusive and sustainable growth

51 Hard Infrastructure Inclusive Value Chain infrastructure Public infrastructure: logistics for smallholders,rural transport, irrigation, laboratory equipment, PPP-type Infrastructure: post-harvest, market facilities, biofertilizer, solar drip irrigation,

52 Soft Infrastructure Institutional contract farming, hospital meal, school lunch, Alternative certification scheme (community-based certification, IT tracability, CCTV, etc Green public procurement policies R&D, PPP,

53 Healthy Soil=Healthy Crops=Healthy People

54 Free Download Organic Agriculture and Post Development Goal Making Globalization Works better for the Poor through Contract Farming handle/11540/5033/making-globalizationwork-better.pdf?sequence=1

55 Thank you very much for your attention