Climate Smart Agriculture and Sustainable Growth

Transcription

1 Climate Smart Agriculture and Sustainable Growth Pavit Ramachandran Senior Environment Specialist, Southeast Asia Department, ADB Seoul, Korea 13 October 2015

2 Working definitions Climate smart agriculture, forestry and fishery (CSA) = integrates the 3 dimensions of sustainable development (economic, social and environmental) by jointly addressing food security and climate change. (FAO, 2010) Triple Win Solution Food Security (sustainable increase in agricultural productivity and incomes); Adaptation (enhanced resilience to climate change); Mitigation (reduction and/or removal of GHG emissions)

3 CSA is Agriculture++ Includes proven technical fixes such as mulching, intercropping, conservation agriculture, crop rotation, integrated crop-livestock management, agroforestry, improved grazing, and improved water/nutrient/input management AND innovative practices such as better weather forecasting, early warning systems and risk insurance; PLUS enabling policy environment for enhanced food security, climate change adaptation and greenhouse gas mitigation; PLUS investments to bring about transformational changes in agricultural policies, institutions, technologies and behaviour towards evergreen revolution.

4 ASEAN s shifting agricultural landscape Persistent rural food insecurity/poverty especially in remote, isolated, upland areas High degree of vulnerability in regional food supply systems Land and water resource scarcity; climate change mitigation and adaptation imperatives Emerging dynamic of agribusiness, regional markets and supply chains - Value generation through agro-industry; rural connectivity; rural services - Increasing demand for high value products; food safety and quality considerations Cross-border FDI; PPP; micro-credit/micro-insurance

5 Traditional vs new supply chain management Characteristics : Production-Oriented Fragmented Production units Multi-layered channel Undifferentiated Product Focus on Distributive function Minimal Grading Minimal Value-added Predominance Of wholesaler Producer- Push market Characteristics : Consumer - oriented Focus on processes Differentiated product Grading and private labeling Food safety Traceability Value creation Predominance of retailer Integrated structure, physical, information & control Logistics as backbone ICT as enabler Global outsourcing Consumer - Pull market

6 GMS agricultural production In metric tons Agricultural Products Cambodia Lao PDR Myanmar Thailand Viet Nam Guangxi, PRC Yunnan, PRC (2012) (2012) (2012) (2012) (2012) (2013) (2013) Rice, paddy 9,290,940 3,489,210 33,000,000 37,800,000 43,661,570 11,562,000 6,679,000 Maize 950,909 1,125,485 1,500,000 4,813,000 4,803,196 2,660,000 7,342,000 Fresh Vegetables 628, ,085 4,000,000 1,125,000 7,800,000 24,356,200 19,500,000 Fresh Fruits 73,000 40,000 1,425, ,500 3,010,000 11,226,300 5,715,000 Sugar cane 573,771 1,055,675 10,000,000 96,500,000 19,040,799 81,042,600 21,463,000 Meat indigenous, cattle 63,600 26, , , , , ,693 Meat indigenous, pig 92,790 57, ,761 1,065,577 3,159,950 2,613,000 5,162,641 Meat indigenous, chicken 18,875 20,326 1,079,726 1,263, ,661 1,353,000 1,353,000 Fishery products 640, ,000 4,464,419 3,068,450 5,707,700 3,190, ,600 Source: FAOSTAT, Guangxi Zhaung Autonomous Region Bureau of Statistics, Yunnan Provincial Bureau of Statistics, Yunnan Provincial Department of Agriculture. Highlights: MYA, THA, VIE = important rice and fish producers globally Guanxi, Yunnan = highest vegetable production in 2013

7 GMS food security highlights/challenges Economic development, population growth and change of food consumption patterns High food price but low return for small holder farmers Rapid degradation and unwise use of natural resources Water availability and competition of water use Infrastructure development and technology Climate change impacts Clearing forest land for crops, Northern Cardamoms, Cambodia

8 Source: Climate change and food security in Asia [1/2]

9 Climate change and food security in Asia [2/2] Source:

10 Correlation between Agricultural Stress Index and El-Nino ( )

11 Impacts of climate change on Food and Beverage sub-sectors Source: WRI-HSBC 2010

12 Core Agricultural Support Program Vision The Greater Mekong Subregion (GMS) is recognized as the leading producer of safe food, using climate-friendly agricultural practices and integrated into global markets through regional economic corridors. By 2017 Enhanced market access for climate-friendly agricultural products, particularly certified products using reduced agrochemicals Pillar 1: Food Safety Trade Modernization Pillar 2: Climate Friendly Agriculture Pillar 3: Bioenergy & Biomass Management

13 Multiple impacts of climate change on agriculture Pillar 1: Food Safety Trade Modernization Pillar 2: Climate Friendly Agriculture Pillar 3: Bioenergy & Biomass Management RETA 8163: Implementing the GMS Core Agriculture Support Program (2) RETA 7833: Capacity Building for the Efficient Utilization of Biomass for Bioenergy and Food Security in the GMS RETA 6521: Accelerating the Implementation of the Core Agriculture Support Program RETA 6390: Transboundary Animal Disease Control for Poverty Reduction in the GMS

14 CASP THEMATIC INTERVEN- TIONS Productivity Connectivity Resilience Environmental Sustainability Nutrient management (with soil and water conservation) Biomass management with bioenergy utilization Food Security Traceability Economic Opportunity Certification E-trade Traceability Certification Investments in food safety and quality management Supply and market chain infrastructure development Producer coordination with market linkages Adaptive ecosystem management Disaster prevention, preparedness and response Early warning systems Regional weatherbased index Small farmer livelihood support (e.g., non-farm employment, linkages to restructuring agri prodn Green growth Innovative financing Cross-cutting theme: Institutional and capacity building (including the development of enabling standards, policies and regulations.

15 RETA 7833 Bioenergy utilization, a mitigation strategy (example) Output 1: Enhanced regional cooperation in bioenergy development to foster and safeguard food security; Output 2: Pilot tested climate-friendly biomass investment projects for wider implementation; Output 3: Enhanced capacity for efficient use of biomass; Output 4: Development and dissemination of knowledge products. Funded by the Nordic Development Fund (NDF) and is implemented by Landell Mills Limited (LML) Source:

16 Other related investment projects supporting CASP Low Carbon agricultural support project (VIE) GMS Flood and Drought Risk Management and Mitigation Trade Facilitation Improved Sanitary and Phytosanitary (SPS) Handling in the GMS Private sector collaborations GMS Climate Friendly Agribusiness Value Chain Development (2017) Mekong river flooding W.E. Garrett

17 Climate Smart Village, Xiengkhuang Province Eco-rice and Integrated Agriculture Organic Fertilizers and Soil Improvement

18 Vietnam: Climate resilience of rural infrastructure (SCCF) SCCF/GEF $3.4M CC Vulnerabilities: Increased drought and/or flooding poses risk to rural infrastructure and food security Adaptation Actions: Training of adaptation experts in extension teams Implementation of pilot projects in local communities Bioengineering techniques Measures to decrease soil erosion Changed design of irrigation channels to prevent risks from increased peak flows Lessons learned disseminated to national and international levels Outcomes: Increased food security and sustainable agricultural development Reduced risks of climate induced disasters on rural infrastructure

19 Financing CSA ADB estimate: $2.4 billion additional costs per year Available funds: GEF Adaptation Fund; Special Climate Change Fund; Least Developed Countries Fund GCF Green Climate Fund CIF Climate Investment Funds (Pilot Program for Climate Resilience and Forest Investment Program) Carbon markets (Not yet promising)

20 Technology Needs for CSA

21 Key CSA Investments Breeding crops for biotic and abiotic stresses Improved water control systems and measures Upgrading and modernization of rural infrastructure More focus on improving resilience of the entire value chain Risk-sharing and reduction through weatherbased crop insurance and broad-based social safety nets

22 Thank You Pavit Ramachandran