Challenges of the livestock smallholder sector in a changing context Be-troplive workshop 13 November 2008 Gembloux Sofie Van Waeyenberge Agricultural Advisor BTC
Content of Presentation Changing Context Livestock sector Development cooperation Livestock and poverty reduction What is needed? Concluding remarks 2
Changing context: livestock sector Growing demand Global livestock sector growing faster than any other agricultural sub-sector Sharp rise in demand for animal food products (dairy and meat) due to Increased incomes Urbanization Changing food preferences Population growth Opportunities: growing domestic and export market 3
Changing context: livestock sector Trade liberalization Liberalization of the markets / globalisation Opening new markets Challenges of meeting food safety standards and controlling diseases Trend towards concentration of distribution channels Challenges of access to the market by smallholders (threat to be excluded) 4
Changing context: livestock sector Climate change Climate change Livestock sector responsible for: 18% of all greenhouse gas emissions (CO2 equivalent): higher share than transport Methane from enteric fermentation by ruminants; nitrous oxide from manure; CO2 through land-use changes (deforestation,.;) Opportunities: tool for climate change mitigation Intensification (reduce deforestation); improved diets to reduce enteric fermentation; improved manure management and biogas,. 5
Changing context: livestock sector Changing production systems Structural changes production systems Trend towards intensification and industrialization From rural areas to urban and peri-urban areas (pig, poultry) Impact Competition between crops for feed, food and fuel Pushing towards more efficiency: reducing land area, but increasing inputs and wastes and concentrating pollution created and marginalizing smallholders and pastoralists Competition for scarce water resources (irrigation for feed crops) Water pollution; 6
Changing context: livestock sector Rising food prices Rising food prices : some of the contributing factors Climate change (droughts) Rising prices for fossil fuels (energy + fertilizers) Subsidized biofuel production Competition between crops used for animal feeding and human food 7
Changing context: development cooperation Increased attention to the agricultural sector as a means of poverty reduction World Development Report 2008 (World bank): Agriculture for development NEPAD: commitment of 10% of national Budgets for agricultural sector including livestock Belgium: 10% for agriculture by 2010 8
Changing context development cooperation: Agenda on aid effectiveness Aid effectiveness in Agriculture after the Accra HLF - key messages for Agriculture and rural development : Ownership: excessive focus on central government led interventions; Need to strengthen farmers and rural communities to give them a voice in policy making and implementation Alignment: Focus more on internal alignment between national players (public, private and non-governmental sector) rather than exclusively alignment on central government-led policy processes 9
Changing context development cooperation: Agenda on aid effectiveness Harmonisation: carefully assess if joint financing mechanisms are suitable to address the challenges in the agriculture sector; effective division of labour Managing for Results: Establishment of suitable agricultural performance targets remain key requirement to assess progress of government policies for agriculture and justify aid allocations by donors. Parliaments, local authorities, CBOs and private sector need to play a role in establishing and monitoring targets 10
Changing context development cooperation: Agenda on aid effectiveness Mutual Accountability:remains largely confined to the government to government aid relationship; Need for a broader notion of accountability and transparency, involving non-government players in sector development (farmers, CBOs, private sector) 11
Livestock and poverty reduction Livestock production as a mean of poverty reduction 80% of the rural poor in rural areas; 2/3 of them have livestock Employs 1.3 billion people; creates livelihoods for 1 billion of the world s poor For many poor farmers, Livestock provides: -cash income - capital assets -draught power - food products (quality proteins and energy) -energy(biogas) - organic fertilizer 12
What is needed? Better policies, institutions, regulatory frameworks, technologies and research are all needed Relevant efforts must be made from several sides: the state, the research community, development organisations, the private sector and the smallholders themselves National governments should improve policies, legal conditions and enforce the necessary measures with regard to sustainable land use, animal health, environmental issues, landownership, 13
What is needed? Awareness raising: protection of the environment is both important and costly Improve access of smallholders to the market through improved transport and communication infrastructure; through strengthening farmer organisations to be converted into efficient competitive producer associations, through promotion of public-private partnerships Improved financial and veterinary services for improved productivity 14
Concluding Remarks Challenges are many! There exist inspiring initiatives and examples that offer real possibilities of meeting these challenges Importance of flexibility and ability to adapt and learn to changing needs 15
Reference Documents Aid effectiveness in agriculture after the Accra HLF Global Donor Platform for Rural Development; September 2008 Livestock s long shadow, environmental issues and options; FAO; Rome 2007 Livestock to 2020, the next food revolution; Food, Agriculture and Environment Discussion Paper 28; IFPRI, FAO, ILRI; May 1999 The livestock revolution: an opportunity for poor farmers? Inforesources Focus N 1/07 16