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B R I N G I N G FA R M E R S I N T O G L O B A L T R A D E
FY 2001 REPORT TO CONGRESS ON TITLE XII, FAMINE
PREVENTION AND FREEDOM FROM HUNGER, OF THE FOREIGN
ASSISTANCE ACT OF 1961
QUOTE FROM ANDREW S. NATSIOS,
ADMINISTRATOR, USAID
Partnership to Cut Hunger in Africa
Loy Henderson Auditorium, Department of State, June 27, 2001
“Together, we must accelerate economic growth. Reducing poverty
and accelerating economic growth are essential to African stability
and access to food. We create opportunity by building the
agriculture sector. In Africa, agriculture led growth must be a
fundamental part of any national development strategy –70 percent
or more of the poor live in rural areas and depend on agriculture for
all or part of their incomes. Increasing incomes in agriculture also
generates employment and income increases in other sectors.”
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TRANSMITTAL LETTER
BY ANDREWS NATSIOS, ADMINISTRATOR
THIS REPORT, entitled Bringing Farmers into Global Trade, summarizes the accomplishments
of USAID and our public and private partners in FY 2001. In prior years, the report on Title XII
and USAID’s other agricultural programs consisted of an overview and a description of the
activities conducted by the various USAID administrative units and our partners. Two changes
occurred that necessitated a shift to a thematic focus. First, in 2001, under the new
Administration, USAID began the process of reorganization and, as such, the administrative
units formerly framing this report changed. Second, the reorganization created an opportunity to
shift this annual report to a thematic focus that mirrors the interim agriculture strategy (see
Annex Six). The interim agriculture strategy has four themes: accelerating agriculture using
science based solutions, including biotechnology, to reduce poverty and hunger; developing
global and domestic trade opportunities for farmers and rural industries; bridging the rural
knowledge divide through training, outreach, and adaptive research at the local level; and
promoting sustainable agriculture and sound environmental management. This report focuses on
theme two: developing market and trade opportunities for farmers and rural industries. Our
university partners are essential to our efforts in developing market and trade opportunities for
farmers and rural industries. Title XII of the Foreign Assistance Act of 1961, as amended, is
designed to mobilize the capacities of U.S. land-grant institutions to participate in international
efforts to apply agricultural sciences to solving food, health, nutrition, rural income and
environmental problems, especially such problems in low-income, food-deficit countries.
Increased food production and improved distribution, storage, and marketing not only prevents
hunger and ensures human health and child survival, but builds the basis for economic growth
and trade in which democracy and a market economy can thrive. I look forward to informing you
on the progress of our collaborative efforts.
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TABLE OF CONTENTS
Transmittal Letter............................................................................................................................ 2
Executive Summary ........................................................................................................................ 5
Bringing Farmers into Global Trade............................................................................................... 7
The Market and Trade Connection ..................................................................................... 7
USAID Market and Trade Activities: ................................................................................. 8
Overview and Lessons Learned .......................................................................................... 8
Regional Variations ................................................................................................ 9
Emerging Market and Trade Opportunities .......................................................... 10
Increasing Market Volumes and Market Access Opportunities ............... 10
New Product Development and Agro-Services ........................................ 13
Targeting Input Marketing Constraints..................................................... 14
Developing Market Information Systems and Agribusiness and Producer
Association Networking Opportunities..................................................... 15
Standards and Quality ............................................................................... 18
Trade-Related Capacity Building ............................................................. 19
WTO Agreement on Agriculture .......................................................................... 20
Bilateral and Regional Trade Agreements............................................................ 20
Trade Facilitation .................................................................................................. 21
Markets and Trade: Future Directions .............................................................................. 24
Annex One: BIFAD Report .......................................................................................................... 27
Annex Two: FY 2001 Agricultural Obligations ........................................................................... 29
Annex Three: New Activities in FY 2001 .................................................................................... 41
Annex Four: Highlights of FY 2001 Accomplishments ............................................................... 43
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Annex Five: Activities to Bridge the Knowledge Divide............................................................. 60
Annex Six: Future Directions for Agriculture .............................................................................. 65
Annex Seven: Acronyms .............................................................................................................. 68
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EXECUTIVE SUMMARY
This report summarizes the implementation of Title XII of the Foreign Assistance Act by the
U.S. Agency for International Development (USAID) for FY 2001. USAID’s agricultural
activities are guided by the priorities outlined in four key documents: the Title XII legislation,
the U.S. Action Plan on Food Security, the respective bureaus’ and USAID missions’ strategic
plans, and the interim agriculture strategy.
During FY 2001, USAID invested approximately $303 million in activities that addressed the
objectives of the Title XII legislation. The Global Bureau’s funding was devoted largely to
agricultural research and training. USAID’s implementing partners included the Collaborative
Research Support Programs (CRSPs), which mobilized the resources and expertise of more than
50 U.S. universities and their counterparts in developing countries, and the 16 international
agricultural research centers (IARCs) supported by the Consultative Group on International
Agricultural Research (CGIAR). In FY 2001, USAID launched the Partnership for Food Industry
Development (PFID), a U.S. university-led activity that mobilizes private and public sector
expertise to promote competitive participation by developing and transition economies in the
new global food trading system.
This year’s Title XII report focuses on the connection between markets and trade, improved
agricultural productivity, and poverty reduction. It highlights those activities of USAID and its
partners that contributed to USAID’s second strategic theme of the interim agriculture strategy:
developing market and trade opportunities for farmers and rural industries. Drawing on lessons
learned from past assistance to agriculture, the report focuses on efforts by USAID and its Title
XII partners to alleviate constraints to agricultural growth by: increasing market volumes and
market access opportunities; promoting new product development and agroservices; targeting
input marketing constraints; developing market information systems and networking
opportunities; promoting standards and quality; and enhancing trade capacity.
Among the regional bureaus, Africa continued to manage USAID’s largest agricultural program,
addressing hunger, poverty and food insecurity by focusing on the revitalization of rural-based
agricultural growth, capacity building, investment in biotechnology, and improving access to
markets and trade. In Asia and the Near East, USAID’s agricultural programs supported a variety
of agricultural policy reform, agribusiness development initiatives, and rural infrastructure
improvements. USAID’s programs in Latin America and the Caribbean focused on promoting
trade as an engine of growth and protecting the region’s environment and natural resources. The
primary emphases of USAID’s assistance to the countries of Europe and Eurasia continued to be
land reform, agribusiness and trade development, and improved quality standards.
The Bureau of Humanitarian Response provided funding for agricultural activities through its
Office of Foreign Disaster Assistance and its Office of Food for Peace, which administers the
P.L. 480, Title II Food for Peace Non-Emergency Program. In FY 2001, food assistance
programs, including Title II, accounted for 22 percent of U.S. foreign assistance.
The Board for International Food and Agricultural Development (BIFAD) met once during
2001with the CRSPs to discuss globalizing university contributions to the “new agriculture”
interim strategy. BIFAD’s committees, including the Strategic Partnership for Agricultural
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Research and Education (SPARE) and the Food Security Advisory Committee (FSAC),
remained active. FSAC met twice to prepare for the World Food Summit: five years later, and
SPARE met five times to develop guidelines for review of CRSPs and other ongoing agricultural
activities in USAID, and to discuss new challenges and opportunities for the U.S. university
community and the Agency’s response. In FY 2001, SPARE conducted reviews of the BASIS,
INTSORMIL and Peanut CRSPs as part of the CRSP renewal process. The recommendations of
these meetings and reviews were forwarded to the Agency by BIFAD.
In FY 2002, USAID will expand on the directions of the interim strategy, holding stakeholder
consultations with Title XII partners to provide guidance to the Agency as it refines its strategic
themes. The FY 2002 Title XII report will focus on the fourth theme: promoting sustainable
agriculture and sound environmental management. It will also highlight USAID’s World Summit
on Sustainable Development commitments including the Water Initiative, the Initiative to End
Hunger in Africa (IEHA), and the Geospatial Information for Sustainable Development (GISD)
Partnership.
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BRINGING FARMERS INTO GLOBAL TRADE
point increasingly to the need to help
Poverty in the developing world still affects
farmers gear their activities and resources to
large numbers of both rural and urban
the production of value-added agricultural
populations. Most of the world’s rural poor
goods for which there are market
continue to eke out a meager living from the
opportunities.
land. Low agricultural productivity is cited
as one of the most critical factors in the Through its Title XII and other development
intractability of rural poverty. At the same partners, USAID has been working to help
time, globalization, trade liberalization, and build the institutions, scientific and technical
new market niches are creating new know-how, and human capacity throughout
opportunities for income generation through the developing world to enable small-scale
agricultural trade. The lessons of producers and food processors to capture
development aid in the past two decades regional and global trade opportunities.
THE MARKET AND TRADE CONNECTION
In many developing countries, terms of trade Market information systems have further
have long been tilted in favor of industry increased the efficiency and integration of
and against agriculture, creating strong markets. The experience of Mali illustrates
disincentives for farmers to increase the how better market information can
volume and quality of their produce. The contribute to increased rural incomes.
liberalization of global markets, resulting Throughout the 1970s and 1980s,Mali was
from the General Agreement on Tariffs and chronically dependent on food aid. The
Trade (GATT) and subsequently the World inception of a USAID-sponsored program
Trade Organization (WTO), combined with which broadcasts market information to an
reduced government intervention in estimated 70 percent of Mali’s rural
domestic markets and lower tariffs, has population has contributed to a nearly 40
reduced disincentives and created more percent increase in per capita income of
competition and opportunities for producers. some one million small farmers. In 2001,
Malian farmers exported 55,000 metric tons
Reduced government intervention in of grain to regional markets.
developing countries has taken a number of
forms. The reduction and, in some cases, Despite such market-driven gains, under
elimination of tariffs in regions has led to investment in rural areas throughout the
increased commodity trade between developing world has dramatically slowed
neighboring developing countries. In FY growth. Farmers producing surpluses of
2001 the Common Market of East and perishable crops continue to suffer major
Southern Africa (COMESA), for instance, losses because they cannot get their crops to
launched a free trade area, eliminating tariffs market in time. Roads, transport, market
altogether for nine of its 20 member states information, and storage facilities are not yet
and reducing tariffs for its non-free trade adequate to support efficient marketing of
area members by 80percent. Competitive their products. When good weather and
markets have replaced fixed government technology come together to produce
prices for produce, leading to more efficient bumper harvests, producers of staple crops
production choices. often find the markets flooded, causing the
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prices for these crops to plummet. delivery and adequate supply of their final
Inadequate marketing, storage, and products to consumers.
processing capacities contribute to boom-
and-bust cycles in many countries. All of The opportunities for improvement are
these factors undercut farmers’ incentives enormous. There is vast potential for rural
and abilities to increase their farmers to penetrate new market niches and
competitiveness. increase their market share in domestic,
regional, and international markets. To bring
While globalization is expanding about such changes, more emphasis needs to
agricultural market opportunities, poor be placed on market-led rural development
product quality, inefficient transport from by strengthening the institutions responsible
field to market, and extensive waste due to for standards and quality control, ensuring
post-harvest spoilage hinder effective the enforcement of contracts, and improving
competition in the global marketplace. In the access to market information. Activities
absence of an adequate institutional need to be integrated across the entire value
framework and consistent availability of chain. Wholesalers, retailers and consumers
modern technology and market data, many are demanding higher quality products. To
exporters cannot expand commercial output, be competitive in today’s marketplace, the
improve product quality, or ensure timely farmer needs to meet these demands.
USAID MARKET AND TRADE ACTIVITIES:
OVERVIEW AND LESSONS LEARNED
objectives.
In the 1970s and early 1980s, USAID’s
market support activities consisted mostly of In the 1980s, USAID supported agricultural
large infrastructure improvement growth by training agricultural statisticians
investments, often financed with revenue and economists of host-country governments
from sales of food aid. Port, road, and rail to improve their capacity to collect and
investments reduced transportation and analyze market data. Improved analysis
marketing costs. Support for integrate provided the basis for macroeconomic and
development projects linked small farmers market policy reforms. These reforms
to domestic output markets and international focused on eliminating producer and
input markets. USAID also supported consumer price ceilings, privatizing
agricultural extension, cooperative marketing boards, eliminating domestic and
development, market organization, rural regional commodity movement controls, and
finance, and water and sanitation services. establishing market information systems.
However, the sustainability of this work was Free markets were seen as the best way to
stymied by agricultural policies that ensured ensure that governments, industry, and
low-cost food for urban consumers through farmers used resources as efficiently and
highly regulated prices, controls on profitably as possible. USAID’s investments
commodity movements, and marketing in the fertilizer and grain sectors, for
parastatals. The unsustainability of large example, led to market reforms in Kenya.
USAID investments, such as Project North
Shaba in the former Republic of Zaire, From the mid-1970s to the mid-1980s,
exemplifies how poor policies frustrated the USAID also provided significant support to
achievement of agricultural development farming systems research and extension
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(FSR/E) projects, which assisted developing activities is that each region faces a different
countries in strengthening their agricultural set of constraints to economic development.
technology generation and transfer systems. A key challenge for African countries is
These projects were most prevalent in Africa raising agricultural productivity enough
but were also supported in Asia and Latin among smallholder farmers to enable them
America and the Caribbean. In Central to increase their incomes on rainfed rather
America, USAID led the donor community than irrigated farms. Variations in African
in providing assistance to develop country agro-ecologies (soils, rainfall, topography,
capacity to produce and market non- altitude), often within a country’s borders,
traditional agricultural export (NTAE) frustrate the application of broadly
crops. appropriate “green revolution” plant and
husbandry technologies. Therefore, Africa
Structural adjustment programs in the 1980s must take advantage of market mechanisms
and the endow the Cold War in the early to mitigate production and commodity price
1990sbrought about an acceleration of risk. Unfortunately, the necessary transport
economic reforms in developing countries. and communication infrastructure to
USAID and other donors used aid underpin efficient regional market
conditionality to encourage new thinking on integration is not in place, and governments
how to ensure broad-based economic often employ “on again, off again” import
growth. The Agency supported producer and export policies to address weather-
organizations and agribusiness development induced food supply and demand
to help farmers and firms respond better to imbalances. Thus, while increasing small
both the opportunities and the risks of a free- farm productivity is necessary for broad-
market economy. USAID encouraged the based economic growth, dynamic science
establishment of business and trade and technology delivery, improved transport
associations to assist governments in and communication infrastructure, market
gathering and distributing market incentives, and consistent regional trade
information, developing appropriate trade policies are also essential.
policies, and mobilizing domestic and
foreign investment. In Central America, the The Latin America and the Caribbean
focus of USAID’s support for the (LAC) region, on the other hand, is
development of NTAE shifted from characterized by the highest income and
individual producers to producer asset inequality of any region in the world.
organizations, strengthening these Although 75percent of the population is
organizations’ ability to assist their members urbanized, rural areas are still home to the
or clients with NTAE-related production and poorest of the poor, who have little or no
marketing services. And, recognizing the access to new technologies and markets.
special needs of vulnerable populations, And food insecurity remains high. In poorer,
USAID, through its food aid programs, less urbanized countries, (e.g., some Central
sought to shield these populations from the American countries and Haiti), where gross
risks of market-based economic growth and agricultural product comprises between 15
climate variability. and 40percent of total output, agricultural
exports have the potential to contribute
Regional Variations significantly to growth. Traditional
commodity crops such as basic grains and
One of the lessons learned during the past 30 coffee, however, are subject to severe price
years of USAID’s market and trade volatility. This leaves the rural poor
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struggling to adapt to market changes requirements, environmental concerns, and
brought about by globalization. The other emerging mandates that affect
proliferation of free trade agreements competitiveness. Problems associated with
(FTAs) within the Western Hemisphere is quality standards, timing, and supply are
expanding opportunities for the region’s penalizing local products in domestic,
farmers and rural producers to increase regional, and international markets.
incomes by reorienting their production
toward newer, trade-led market Africa is particularly vulnerable. Few
opportunities. African countries have the capacity to meet
stringent international standards without
Emerging Market and Trade investing more in production, processing,
Opportunities and packaging. Africa will need to raise its
competitiveness in those commodities where
World markets are far more integrated today it has a comparative advantage. These
than ever before. The volume of world include traditional exports, such as cocoa
agricultural trade has more than doubled and coffee, as well as new products for
since 1981,but some regions have lagged specialized niche markets, such as
behind. Africa’s share of agricultural trade, environmentally friendly or out-of-season
for instance, fell from a high of 8 percent in tropical products. This can be done by
the 1960s to about3 percent in 2001.1 improving product quality and reducing
Globalization, trade liberalization, and input costs along the value chain.
lifestyle changes are creating new market
opportunities for agricultural goods. In the Drawing on lessons learned and emerging
developed countries there is increased market and trade opportunities, USAID is
demand for variety, quality, niche products partnering with the Title XII and non-Title
such as organic foods, and year-round XII agricultural development community to
availability. In the developing world, alleviate the constraints to smallholders
income growth, urbanization, and a shift imposed by inadequate trade and marketing
away from staples consumption present new systems. These constraints are being
opportunities. Africa’s284 million urban addressed in the following ways:
residents present considerable potential to
expand domestic and regional markets for INCREASING MARKET VOLUMES AND
higher-value crops, livestock products, and MARKET ACCESS OPPORTUNITIES
processed foods.
It is now widely recognized that policy
Even with these expanding opportunities, reforms are necessary but not sufficient
however, high transaction costs leave small- conditions for generating a greater supply
scale producers in isolated areas out of the response and increasing competitiveness in
market altogether. Poor infrastructure, both domestic and export markets. Although
particularly roads and communication market liberalization removed major
systems, contributes to the weakness of rural distortions, it has proved disappointing for
markets. Weak institutions and inadequate agricultural growth, export performance, and
information systems play an equally poverty reduction because it did little to
detrimental role. The regionalization and ensure that smallholder farmers, particularly
globalization of markets have brought to the those living in remote areas, could benefit.
fore new demands in the form of product Even in areas close to export and domestic
quality specifications, food safety markets, the response has been mixed
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because reforms have been incomplete or too numerous to list here, but a few
inconsistent. Domestic markets remain examples are presented below to illustrate
largely unable to deliver the production and the interventions supported by USAID.
income gains expected from market reforms.
Many countries’ marketing systems continue Livestock and dairy
to be plagued by high transaction costs,
scarce and asymmetric market information, • Broadening Access to Sustainable Input
limited transparency, and reduced access, Supply (BASIS) Collaborative Research
especially by smallholders. Support Program (CRSP) scientists
working with government officials
When markets work, producers respond. In established a common certification
Mali, for instance, the liberalization of the system for animal health that allows the
rice market led to a tripling of production free movement of livestock across
during the 1990sas small-scale processors Ethiopian, Kenyan, and Somalian
and traders successfully halved the borders. A livestock free-trade zone is
marketing margin from producer to final under consideration.
consumer price. Similarly, the liberalization
of dairy markets in Kenya led to dairy • Land O’Lakes has been helping
production becoming the fastest growing producers improve the quality and
source of income for over 600,000farmers. quantity of milk and milk products in
But when markets don’t work, the effects eastern Africa as part of the Dairy
can be devastating for smallholders. At the Initiative. In FY 2001, significant
onset of trade liberalization in Cameroon, improvements in product quality and
the entry of some600 local exporters reductions in product losses were
resulted in a fragmented private export achieved, leading to increased sales of
sector for cocoa that proved less competitive higher-quality milk. Working with a
on world markets and resulted in not only a Kenyan processor, milk sales increased
loss of Cameroon’s quality premium, but by 15 percent through new trade
also a discount for its cocoa, ultimately linkages. Supply linkages with
reducing smallholder incomes. technology-packaging industries
resulted in the introduction of new
To lessen market risks, USAID works with yogurt packaging and increased exports.
producer organizations to help farmer In Uganda, processing plants were
members aggregate their demand for inputs reopened and farmers formed secondary
and sale of outputs. These organizations also cooperatives.
reduce rural financial intermediate risks and
costs, speed technology adoption, and • Eureka Chickens in Lusaka, Zambia,
spread marketing transaction costs across requested International Executive
farmers, traders and processors. Private and Service Corps (IESC) assistance and
public partnerships spring up, resulting in expertise to help develop and expand its
the joint management of trade risks and markets. IESC worked with the company
opportunities, with the ultimate result being to develop new marketing strategies for
more agricultural exports, more revenue, branded products in urban areas and
and more jobs. better management structures and
financial management. Overall, these
Activities supporting increasing market improvements have helped Eureka
volumes and market access opportunities are compete at the high end of the market
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and increase its market share by 4 resulting in world class products.
percent and its sales by over $21,000 in
less than six months. The company was • Close to 60 Nicaraguan onion producers
able to hire five more employees and sent medium, large, jumbo, and colossal
train its management staff in modern sweet onions to Keystone Marketing,
management practices. Inc. of Pennsylvania, which supplies
produce to Wal-Mart and other U.S.
Forestry stores. These producers shipped more
than 56,000 cartons of sweet onions,
• The Armenia Agribusiness Small and linking small agricultural cooperatives
Medium Enterprise (ASME) project in northern Nicaragua to international
facilitated over $1 million in sales of markets, thereby raising their incomes.
value-added wood products to China
through an Armenian/American • A large Zambian agribusiness,
Investors Conference. Held in New York Agriflora, has been linked with250 small
in June2001, the conference brought in farmers through USAID’s Zambian
dozens of U.S. investors to meet with Agribusiness Technical Assistance
ASME client firms in the processed food, Center. These small farmers produce
beverage, and dairy industries. high-quality vegetables that are exported
to Europe by Agriflora. The result is an
• Bolivia became the global leader in the increase in these farmers’ incomes of at
management of tropical forests, with least $2000 per year. An assessment of
884,980hectares certified as sustainably donor programs by the British
managed. The value of certified forest Commonwealth described this USAID
product exports surpassed $12 million, project as a leading model of “wealth-
up61 percent since 1999, and exceeded creating” activities.
the 2000 target by26 percent. In FY
2001, USAID supported six local Food and Export Commodities
producer groups and three indigenous
groups in the development of forest • Over 30,000 Haitian farmers are now
management plans for over 285,000 exporting high-quality mangoes, coffee,
hectares and helped them enter into and cocoa, surpassing USAID project
strategic alliances with the forestry targets. In addition, nearly 250,000
industry to sell their products. farmers are using conservation
measures to preserve the environment
Horticulture and regain the use of unproductive land.
• Egyptian export earnings from four • In response to a long-term drought in
major crops (French beans, table Umutara, Rwanda, USAID provided
grapes, strawberries, and cut flowers) seeds, tools, fertilizer, and training to
topped$60 million during FY community associations. The results of
2001,compared with less than the first two harvest seasons were
$10million at project startup in1996. remarkable—lands once considered
Export development assistance through useful only for grazing now produce up
the Agricultural Technology Transfer to two metric tons of maize per season.
Project provided training on cold Many households are earning over $400
storage, grading, and standards, per harvest in a region where herder
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households are fortunate to earn half the agribusiness investment climate in
that amount. selected regions via the development of
policies and institutions that are
• Farmers in Malawi are adopting conducive to investment and trade-in
improved varieties of sweet potatoes and agriculture. In addition, this activity is
cassava with superior disease resistance identifying viable investment
and drought tolerance. These new opportunities at the regional level and
varieties were developed by the Southern facilitating partnerships between U.S.
Africa Root Crops Research Network and Russian private agribusinesses.
(SARRNET) through USAID support.
Increased sweet potato and cassava NEW PRODUCT DEVELOPMENT AND AGRO-
production from these varieties has SERVICES
created off-farm employment and small
enterprise development. In one instance, Developing countries heavily dependent on
a Malawian trader delivers a daily load a few traditional agricultural export crops
of1.5 metric tons of cassava to a street are vulnerable to commodity price
food market, generating work for a fluctuations. During2000 and 2001, for
driver and two assistants at the market, example, coffee prices dropped to their
while at the farm level, six men and four lowest levels in 30 years due to a worldwide
women are employed on a seasonal oversupply. In many cases, prices
basis. plummeted below the cost of production,
causing serious hardships to farmers. The
Market Capacity Building coffee crisis critically affects rural poverty,
since unlike other commodity plantation
• Expanded market linkages for producers
crops such as sugar or oil palm, the bulk of
of highland and jungle crops and
coffee producers are smallholders living in
selected manufactured products have
remote rural areas. USAID is enabling
resulted in a $14 million increase in
affected smallholders to compete in the
sales by Peruvian micro-entrepreneurs
high-quality segments of the coffee market
and farmers.
by supporting activities to enhance coffee
quality and productivity, improve business
• In Bolivia, USAID is supporting The
practices and linkages, and promote value
Amazonian Center for Sustainable
added transformation. USAID is assisting
Forest Enterprise (CADEFOR). This
those farmers who cannot compete to
local NGO enables businesses and local
diversify into other agricultural and non-
communities to make business contacts
agricultural alternatives including value-
and seek markets for mostly certified
added niches (e.g., fruits and vegetables)
forest products, provides technical
and environmental services when the
assistance covering production and
potential for producing quality coffee is
administrative processes, and helps
lacking.
disseminate forest product and market
information. Moving from traditional crops to value-
added niche production can be complex. A
• In Russia, USAID continues to
1993competitiveness study found that
implement the Program to Revitalize
Morocco had a comparative advantage in
Agriculture through Regional Investment
strawberry production and export.
(PRARI). This activity seeks to improve
Unfortunately, poor product quality and
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expensive planting material constrained fertilizer technology. IFDC provides
export profitability and growth. The problem engineering drawings to interested
lay with farmer access to good planting merchants who purchase the briquetting
material. Spanish plant material suppliers machines to produce and sell briquettes
refused to pay royalties to improved plant locally. The project creates a self-
variety patent holders. As a result, these sustaining fertilizer market in numerous
suppliers provided Moroccan producers with developing countries in a sector
second-quality stock. USAID-supported previously under government control.
technical assistance put Moroccan producer
and export associations and agriculture • Cowpea-based convenience foods for
ministry staff in contact with high-quality children and adults are being developed
plant material suppliers in California and by Bean/Cowpea CRSP food scientists at
Florida, developed pre-shipment quality the University of Georgia and the
control procedures, and lined up export University of Ghana-Legon. The target
financing for U.S. suppliers. The first markets for these new foods are West
shipment of 5million strawberry plants Africa and the United States. Initial
arrived with almost 100 percent survival, consumer testing of a nutritious cowpea-
and Morocco was on its way to increased based product resembling pork rinds
strawberry production and improved quality. indicates a potential market among
Improved quality and productivity, access to certain ethnic groups. A private U.S.
improved varieties, and marketing assistance food processor has expressed interest in
moved Morocco from near-zero export licensing and marketing the product.
market share to major player status in the
European fresh strawberry market. TARGETING INPUT MARKETING
CONSTRAINTS
USAID support for new product
development and agro-services covers a Technology is an important source of farm
wide variety of activities. The examples productivity in all developing countries.
below illustrate the scope of Agency Even in the poorest and most remote rural
interventions. areas, global technical change can have a
significant impact on daily life. One of the
• Smallholder farmers in South Africa most difficult challenges that USAID faces
have supplied markets with 45 tons of is the growing gap in technology innovation
export quality honeybush tea under the and adoption between developed and
Agribusiness in Sustainable Natural developing countries.
African Plant Products Project
(ASNAPPP). The delivery systems that provide physical
and financial inputs to farm families
• Urea briquettes are being produced by determine whether productivity-enhancing
simple briquetting machines, which local technologies result in lower-cost farm
machine shop operators can products and whether farm families earn
manufacture. The International higher profits. Delivery systems are not
Fertilizer Development Center (IFDC), standalone chains; they are affected by a
through its Adapting Nutrient country’s macroeconomic management
Management Technologies (ANMAT) (interest rates on trade and product credit),
project, involves the private sector in the laws (plant variety protection), land tenure
production and marketing of this new (securing availability of land), information
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dissemination (extension, post-harvest improved bean varieties. The
handling), infrastructure quality, identification of these market constraints
agroclimate, and ability to adopt technology. will allow USAID to design appropriate
Moreover, in deciding whether to adopt interventions for resource-poor farmers.
technology, farmers weigh an array of
climatic, social, economic, and cultural • Under a new loan scheme, Zambian
risks. smallholder households procure
irrigation equipment for year-round
USAID’s approach incorporates input production of vegetables for the
systems within the commodity chain. In European market. In only three months
many cases, USAID encourages output of operation, and while learning the
processors to lend inputs to farmers, with technology, farmers marketed
eventual “in-kind repayment” at harvest $124,000worth of baby corn, peapods,
time. This approach has yielded success but and runner beans. This activity is part of
entails significant contract enforcement the Zambia Agribusiness Technical
risks. USAID, in partnership with U.S. Assistance Center (ZATAC) and the
cooperative development associations, has Cooperative League of the USA
also developed techniques for linking (CLUSA) horticultural project.
producer organizations with commercial
sources of production and trade finance. • USAID Africa Bureau’s quest to bring
This has often occurred as part of a longer- new input technologies to rural
term NGO-farmer relationship that includes communities resulted in a grant to
technology dissemination, business training, Stellenbosch University, South Africa, to
democratic group decision-making, and develop low capital input hydroponic
linking farmers with exporters and production technologies for small-scale
processors. Longer-term NGO-farmer black South African farmers.
technology dissemination relationships have Collaborating with the Intensive
been identified as an essential element in Agriculture Producers Association of
USAID’s agribusiness development South Africa, the Department of
strategy. Agronomy is focusing on developing the
technology for the production of herbs,
The activities below illustrate the range of fruits, and vegetables.
activities that the Agency has supported in
targeting input marketing constraints:
DEVELOPING MARKET INFORMATION
SYSTEMS AND AGRIBUSINESS AND
• Many resource-poor farmers in
PRODUCER ASSOCIATION NETWORKING
Honduras were found not to be adopting
OPPORTUNITIES
improved varieties because they had not
heard of them or could not access the Market information systems collect and
seeds, according to surveys conducted disseminate price and supply information to
by Bean/Cowpea CRSP researchers at traders, analysts, and policymakers. Traders
Michigan State University in employ market information in deciding
collaboration with the Escuela Agrícola where to source and sell a commodity.
Panamericana-Zamorano. The Analysts and policy makers employ price
Honduran bean seed system turns out to and supply information to determine if
be highly underdeveloped and continues liberalization is having its intended impact
to be a constraint for the diffusion of on consumers. Frequently, national
15
governments threatened with weather- Marketing information systems are
induced transitory food insecurity use necessary, but not sufficient, to enable
market information to identify where food small-scale producers to participate in these
insecurity is most prevalent and food crop emerging market and trade opportunities. To
prices most volatile. Farmers are probably encourage rural household and private firm
the most neglected participants in the market involvement in local, regional, and, to an
information network. Although innovative increasing extent, international governance
radio dissemination programs have (through such mechanisms as the WTO and
succeeded in some countries, rural bilateral and regional trade agreements),
household access to useful market USAID encourages business and producer
information is stymied by illiteracy and association development and the
innumeracy, sparse media coverage, participation of business and producer
misunderstandings on price determinants, associations in public sector-private sector
unstandardized packaging, lack of policy dialogue.
negotiating capacity, inadequate storage
facilities, and other factors. Most developing country firms must
cooperate to compete profitably in
Against this backdrop of incomplete international markets. Cooperation can
national market information systems, the increase technology use, speed market
importance of regional and international penetration, attract investment, facilitate
market information has grown. USAID has contract enforcement, and achieve more
pioneered some forms of regional market favorable policies. Business and producer
information, such as the Famine Early associations foster this cooperation. Public
Warning System (FEWS) and dissemination sector-private sector forums, where farmer
of consumer market prices in southern and representatives, NGOs, business and
eastern Africa. Individual projects, such as producer associations, governments, and
the Kenya Export Development Support donors talk about lessons learned,
Project, also try to impress upon local investment ideas, and domestic and
business associations and policy makers the international policy, are also encouraged.
importance of international, high-value crop
market information. Nonetheless, widely Zambia’s Agricultural Consultative Forum
available and accurate domestic, regional, is a good example of public sector-private
and international market information is still sector alliances. Formed in 1998,the forum
an important goal. As trade liberalization is co-chaired by Zambia’s agriculture
integrates developing-country producers and ministry and the national farmers union.
consumers into global markets, additional Participants include business and producer
market information will be required. Market association representatives, donors, and
information needs range from consumer national NGOs. Demand-driven policy
preferences for production practices that research and analysis, to inform consultative
follow certain environmental, labor, genetic forum deliberations, is provided by
modification, or organic standards to fair Michigan State University. The forum
trade and niche markets. The risk that mobilizes and coordinates investments,
developing country market information recommends policies, fosters new public
systems will not keep up with evolving sector-private sector-donor partnerships, and
global markets is real and an important shares information. It has resulted in greater
investment challenge for USAID. understanding among investors interested in
rural economic growth and market
16
competitiveness. established eight agricultural trade
associations.
During 2001, USAID supported the
following market information system and • Trade of approximately 50,000metric
agribusiness and producer association tons of cereals within West Africa and
networking activities: the export of500 head of Malian
livestock to Guinea was facilitated by the
• Pastoral herders in East Africa began West Africa Traders Network, a business
receiving critical market and climate forum for exchanging market
information through the Global information, assessing the food
Livestock Collaborative Research situation, and initiating commercial
Support Program (GL CRSP) Livestock negotiations. The network reduces
Early Warning System (LEWS) led by transaction costs and other impediments
Texas A&M University. The system to trade. It represents a major step
reduces drought and market induced risk forward in regional economic
to livestock producers and improves integration.
production efficiencies.
• Improved agricultural marketing in Peru
• Advisory councils were established in is the goal of PRISMA, an NGO
Mexico and Uganda to promote supported by USAID. PRISMA creates
agriculture as a vehicle for trade and farmer organizations and establishes
economic growth through strengthened market information systems to provide
ties between higher education and the farmers with Internet access to market
agribusiness sector. Agribusiness degree pricing, packaging, and buyer
programs are being developed to meet information. In FY 2001,PRISMA
local needs. The advisory councils work assisted 793 farmer organizations,
with the Association Liaison Office for facilitating market participation by over
International Development and the Ohio 13,000 food-insecure farmers, resulting
State University in partnership with in productivity gains and price increases
Makerere University in Uganda and averaging30 percent.
Mexico’s Colegio de Posgraduados en
Ciencias Agrícolas. • Working closely with African businesses,
the Africa Trade and Investment
• Decision makers in Albania believe that Initiative (ATRIP) has helped create
agribusiness is critical to the country’s many promising agribusiness trade
economic future and that Albanian linkages. ATRIP also supports the
products can compete with imported creation of a business environment
products and in selected export markets. conducive to economic growth in the
The Assistance to Albanian Agricultural private sector.
Trade Associations (AAATA) project,
sponsored by the International Fertilizer • Connecting agricultural and
Development Center (IFDC), aims to environmental research networks
strengthen the Albanian agribusiness together using Internet technologies is
sector by increasing agricultural supported by AfricaLink. In 2001, 521
production and processing, helping scientists and researchers were
trade associations, and increasing connected, for a total network of 2,083.
exports. The project has successfully Information management and exchange
17
were enhanced through a website supported activities to establish process and
development workshop to assist ten production methods; testing, inspection,
national agricultural research systems certification, and approval procedures;
(NARS) in getting their research statistical methods and sampling procedures;
information online. risk assessment methods; and quarantine
treatment.
STANDARDS AND QUALITY
Illustrative activities supporting standards
Small-scale agricultural producers can and quality capacity building include:
increase their production incomes in the
long run through increased sales of high- • Reducing insecticide treatments, and,
value commodities such as higher-quality thereby increasing farmers’ ability to
livestock, dairy products, fish, fruits, meet critical marketing standards for
vegetables, spices, and ornamentals. onions and other produce, is being
Products such as these are typically researched by the Integrated Pest
perishable, must meet high standards of Management Collaborative Research
quality, and are increasingly sold through Support Program (IPM CRSP) in the
specialized markets with direct links to Philippines. Results to date show that
consumers. Access by small-scale producers the amount of insecticide applied against
to these markets is increasing rapidly. the onion cutworm (Spodoptera litura)
However, these markets are also becoming was substantially reduced when
vertically integrated, requiring small-scale insecticide sprays were properly timed
producers to meet the same quality standards using sex pheromone-baited traps. A
as larger, commercial farms. USAID and its single application at the proper time
Title XII partners are helping to address produced the same yield as weekly
these emerging constraints by increasing sprays.
assistance to rural producers and developing
countries. • An international sanitary and phyto-
sanitary standards awareness and
In addition to quality standards, the capacity building project in East, West,
Agreement on the Application of Sanitary and South Africa was implemented
and Phyto-Sanitary (SPS) Measures ensures under the Africa Trade and Investment
that scientific measures are used to protect Initiative (ATRIP) using $1.2 million in
human, animal, and plant health. Sanitary leveraged funds and $200,000 from
and phyto-sanitary measures protect against USDA. During 2001, a training
risks associated with plant or animal-borne workshop in pest risk assessment
pests and diseases, additives, contaminants, brought together over100 African policy
toxins and disease-causing organisms in and technical officials.
food, beverages, and feed stuffs. Meeting
these requirements of import markets is an • Gall midge interceptions at Jamaica’s
important first step that producers and two ports of exportation decreased from
countries must take to sell agricultural over100 cases in 1998 to just one case in
commodities in export markets. USAID 2000. Gall midge is a pest of hot peppers
provided $12.3 million between 1999 in the Caribbean, and infestations have
and2001 to strengthen sanitary and phyto- disrupted exports to the United States
sanitary measures in developing and and other countries in recent years. This
transition countries. This assistance success was made possible by the
18
Integrated Pest Management utilizes a country’s comparative advantages;
Collaborative Research Support allows producers to exploit economies of
Program’s (IPM CRSP) research and scale; opens production to international
training on gall midge control. competition, thereby stimulating innovation;
and provides consumers with access to a
• Standard operating procedures were greater variety of products at lower prices.
created for sending, receiving and USAID recognizes that increased
analyzing plant materials from Africa to multilateral trade liberalization via a rules-
the U.S. market. Natural product small- based trading system must be coupled with
scale commercial farmers were trained trade capacity-building measures.
in Ghana and South Africa as part of the Agriculture is a large part of the national
Agribusiness for Sustainable Natural economy of many developing and transition
African Plant Products Project countries, and agricultural trade is
(ASNAPPP). correspondingly important to their economic
growth.
• Tanzania’s Sokoine University of
Agriculture provided training facilities Local, regional and international trade has
for 16 people on phyto-sanitary services. expanded dramatically in countries where
This short course on strengthening trade liberalization has occurred and has
phyto-sanitary services and distributing stalled in those countries that maintain tariff
disease-free cropseed was organized in and other non-tariff barriers to trade for
collaboration with the UN Food and import or export. In tandem with trade
Agriculture Organization (FAO) and the expansion and removal of trade barriers,
Tanzanian Ministry of Agriculture. It conditions in developing countries are
used a biotechnology laboratory at indeed improving: the total food available
Sokoine equipped by the Bean/Cowpea has increased 27percent worldwide since
Collaborative Research Support 1960and the number of malnourished
Program (CRSP). children (under 5) has dropped by 37 million
since the 1970s,representing a decrease
• The first strategic plan for the Guyana from47 to 31 percent in the fraction of
National Bureau of Standards, a key young children who are malnourished. 3
institution for helping Guyana meet While food in developing countries still
sanitary and phyto-sanitary comes predominantly from local production,
requirements under the WTO and the domestic, regional and international food
planned Free Trade Area of the trade are now instrumental in reducing or
Americas (FTAA), was developed with eliminating chronic seasonal food shortages.
USAID assistance. The expansion of trade has significantly
reduced the cost of purchased food for all
TRADE-RELATED CAPACITY BUILDING2 segments of society.
USAID is committed to working in USAID activities focus on trade capacity
partnership with developing countries and building with a particular emphasis on the
transition economies to remove obstacles to World Trade Organization (WTO)
development, among which are barriers to Agreement on Agriculture, bilateral and
trade. Trade positively affects economic regional trade agreements and trade
growth because it provides access to facilitation.
imported inputs and new technology;
19
WTO Agreement on Agriculture realm of agriculture, where a new round of
international agriculture negotiations has
Agricultural trade issues played a central been launched.
role in the GATT Uruguay Round of trade
negotiations. Each signatory country made a Bilateral and Regional Trade
number of commitments on market access, Agreements
reduced agricultural support levels and
reduced export subsidies. WTO members The African Growth and Opportunity Act
also agreed to reduce the value of direct (AGOA)-First implemented in May
export subsidies. In the case of developing 2000,AGOA provides select sub-Saharan
countries, the reductions are two-thirds those African countries with duty-free, quota-free
of developed countries over a ten-year access to the U.S. market for a wide variety
period, with no reductions applying to the of commodities.
least developed countries.
• In 2001, African exports related to
• USAID provided $15.6 million to assist AGOA reached over $7.5 billion.
developing countries in complying with Imports of textiles and apparel from sub-
their commitments under the WTO Saharan Africa grew by more than25
Agreement on Agriculture between 1999 percent, although benefits were confined
and 2001.Assistance supported data to only a few countries (Nigeria, South
gathering and analysis critical to Africa, Angola, and Gabon).
determining levels at which tariffs
should replace nontariff barriers and • In 2001, USAID worked closely with
aided in the crafting of national regional organizations such as
legislation on agricultural imports and COMESA and ECOWAS to significantly
exports that is WTO-consistent. increase awareness of AGOA and the
potential of tapping into U.S. markets.
• In 2001, the U.S. government undertook
a survey of its FY 1999-2000 programs • At the annual AGOA consultation in
and activities that promote trade-related Washington in September 2001,
capacity building in developing President Bush announced that USAID
countries and transition economies would establish three regional trade
around the world. Details of survey “hubs” for improving competitiveness in
findings were presented at the4th WTO Africa. These hubs are to enable many
Ministerial in Doha, Qatar, in November sub-Saharan Africa countries to address
2001. This report dramatically outline the constraints that keep them from
show building the capacity of developing taking full advantage of opportunities
and transition countries to address trade such as AGOA: poor access to finance,
issues has a significant impact not only lack of market intelligence, and limited
on agricultural performance but also on capacity for exporting non-traditional
overall economic performance. goods.
As a result of commitments made by U.S. There has been a significant push to expand
and other international donors at Doha, the AGOA’s application to African agriculture.
need for current trade capacity-building data The real impact on poverty of increased
and a focus on trade for development has trade with the U.S. will be seen only after
become dramatically clear, especially in the such changes are in place, since most of the
20
poor depend predominantly on agriculture. facilitation seeks to reduce the constraints
that limit a country’s competitiveness.
Free Trade Area of the Americas (FTAA)--
Progress has continued on drafting the text Working with both the public and private
for the FTAA chapters. When fully sectors, USAID programs strengthen the
implemented in 2005, the FTAA will capacity of public agencies to design and
include over 34 countries and 800 million implement sound policies that promote
people. In FY 2000, USAID approved a economic growth and to provide reliable and
Special Objective to assist developing timely market information and statistics;
countries in maintaining their participation foster representation of private trade
in the FTAA process. In FY 2001, USAID associations; build linkages between
launched activities funded under this Special developed country enterprises and
Objective. companies and associations in developing
countries and transition economies; bring
• In FY 2001, the FTAA approved information technology within reach of
guidelines aimed at promoting the small entrepreneurs; and promote
participation of smaller and less technology transfer and adoption of
developed countries in the free trade standards.
process. The FTAA Consultative Group
on Smaller Economies works to ensure Illustrative trade facilitation activities
that the concerns and interests of include:
smaller economies are addressed and
included in all negotiations, determines • An analysis of the impact of rice tariffs
small economies’ needs for FTAA trade- on the rural and urban poor in
related technical assistance, and Indonesia, undertaken by the Indonesia
facilitates the mobilization of donor, Food Policy Support Project, provided
public, and private support for trade the Government of Indonesia with
capacity building under the FTAA information to support the reduction of
Hemispheric Cooperation Program. The tariffs.
Group has also established publicly
accessible databases on its findings and • In Mali, the USAID Office of
has created a Trade Education Database Development Credit, the Banque
(TED) of training opportunities. International pour le Commerce et
l’Industrieau Mali (BICIM) and Bank of
Trade Facilitation Africa (BOA) set up a Portfolio
Guarantee system. Partial guarantees
The trade and investment environment made available to BICIM and BOA
comprises trade and investment institutions, assist immobilizing credit for medium
processes, personnel, and policies; trade and large agribusinesses operating in
support infrastructure, such as customs; Mali. The guarantee stimulates the
transportation infrastructure; the tax system; growth of lending in the agricultural
the financial sector; standard-setting sector by demonstrating that lending to
organizations; land and labor policies; and agribusiness can be profitable when risk
the general commercial and regulatory is prudently managed.
environment. In various ways, and to
varying extents, this environment constrains • The Integrated Pest Management (IPM)
the competitiveness of producers. Trade CRSP is working on institutionalizing
21
Guatemala’s certified pre-inspection sustainable programs for fortification;
program for trade expansion in the develop recommendations, guidelines,
NTAE sector. Activities include the and standards for export food
development of performance protocols, commodities; develop legislation,
source tracking, and enforcement regulations, policies and regulatory
policies; technology transfer; and control programs for food fortification,
grower training. Research undertaken both locally and cross-border; train
by IPM CRSP scientists has reduced local food companies in fortification
reliance on chemical pest control, processes and business practices;
improved economic returns to growers, provide quality control and monitoring
and enhanced the incomes of non- systems; develop monitoring systems for
traditional agricultural export sector fortified foods; and support social
households. marketing activities to promote
consumer acceptance.
• Country-level programs are
encouraging private firms to make use of In 2001, USAID Launched the Partnerships
programs such as USAID’s Global for Food Industry Development (PFID), a
Technology Network (GTN) and collaborative assistance program between
providing training at the firm level on U.S. universities and the food industry
basic export practices and marketing designed to strengthen food industries in
strategies. developing countries and promote their
producers’ effective participation in the
• The Market Access Program (MAP) global trading system. These partnerships
provides support for policy development provide a range of specific tools to help
in areas affecting the private sector. farmers, fishermen, herders, and other
Support activities include strengthening USAID beneficiaries better meet the
institutions, increasing adherence to challenge and reap the benefits of
international product standards, participation in global trade.
establishing internationally accepted
trade data collection procedures, and Louisiana State University and Michigan
supporting advisory services to develop State University are partnering with the
and implement a policy agenda for the private sector and non-governmental
private sector. In the West Bank/Gaza, organizations to help small-scale producers
one of Map’s focuses is wood products access markets in meat and seafood and fruit
and agriculture. and vegetables, respectively. Michigan State
University has been particularly successful
• Through the newly launched Global in identifying market opportunities via retail
Alliance for Improved Nutrition (GAIN), and supermarket chains. The extremely
local food manufacturers will be more rapid rise of supermarkets in developing
competitive in domestic and export food countries in only a single decade represents
markets. Working in all regions, GAIN is a sea change with profound implications for
assisting local industry in building poor rural households and small farms and
capacity to produce nutritionally firms. Linking small farms and firms to
enhanced and thus more competitive supermarket chains is an ongoing activity in
food products. Specific GAIN Latin America, East/Southeast Asia,
fortification activities include helping Eastern/Southern Africa, and
countries to implement commercially Central/Eastern Europe.
22
23
MARKETS AND TRADE: FUTURE DIRECTIONS
USAID programs have been effective in • Support technologies and practices that
addressing the trade and marketing reduce food waste and post-harvest
constraints faced by agricultural producers losses and that improve efficient storage
and rural industries in developing and and distribution systems.
transition countries. However, there is still
much work to be done. At the World Food • Encourage value-chain analysis for
Summit: Five Years Later, the United commercial markets.
States committed to expand farmers’
commercial opportunities to ensure adequate • Provide policy analysis and project
returns and to improve international trade assistance to governments and to the
opportunities. In partnership with other business development sector as well as
countries, USAID committed itself to agricultural producers to strengthen
improving domestic market and market and trade capacity to respond to
international trade opportunities in the domestic, regional, and global trade
following ways: opportunities.
• Promote the effective functioning of Over the next year, USAID intends to
markets for inputs and products by expand on the directions of the draft interim
agriculture strategy with stakeholder
• facilitating free entry and exit of consultations with its Title XII partners.
firms to markets; These consultations will provide guidance to
• supporting interventions to the Agency as it refines the strategic themes.
strengthen women’s participation in The next Title XII report will focus on
markets; theme four: Promoting sustainable
• ensuring honest weights and agriculture and sound environmental
measures and other standards of management. The report will also highlight
commerce; USAID’s World Summit on Sustainable
• facilitating accurate, prompt, and Development (WSSD) commitments in the
open exchange of price and other Water Initiative, the Initiative to End
market information; and Hunger in Africa (IEHA), and the
• expanding technical assistance to Geospatial Information for Sustainable
address sanitary, phyto-sanitary Development (GISD) Partnership.
(SPS), and hazard analysis and
critical control points (HACCP)/food
safety issues.
24
TABLE 1. USAID SUPPORT (US$) TO AGRICULTURE RELATED TRADE CAPACITY BUILDING BY COUNTRY AND REGION1
Country 1999 2000 2001
Albania 42,600
Armenia 101,000 5,040,000 1,760,000
Azerbaijan 0 2,400,000 0
Bangladesh 0 1,300,000 896,500
Bolivia 0 0 1,200,000
Bulgaria 224,280 160,500 155,870
Ecuador 56,000 50,000 65,000
Egypt 133,000 8,928,000 8,162,000
El Salvador 0 0 1,742,180
Georgia 0 0 1,308,000
Ghana 7,215,448 7,010,510 1,081,713
Guatemala 220,000 180,000 225,000
Haiti 6,800,000 7,500,000 5,800,000
Honduras 359,946 2,884,508 3,332,423
Indonesia 137,246 232,183 334,695
Jamaica 156,000 96,000 309,390
Kenya 0 550,000 50,000
Lebanon 0 4,910 72,160
Macedonia 0 12,000 45,000
Madagascar 377,500 433,300 301,000
Mali 2,407,050 5,144,000 1,437,000
Moldova 0 0 50,000
Mongolia 0 0 132,131
Mozambique 2,492,200 2,205,000 0
Nepal 15,000 15,000 15,000
Philippines 483,800 1,289,000 5,123,250
Romania 399,707 699,816 699,989
Russia 383,000 350,000 0
Senegal 0 250,000 1,037,600
Serbia 0 0 161,000
South Africa 67,500 84,000 96,050
Sri Lanka 16,400 124,800 10,000
Uganda 36,000 39,000 517,500
Ukraine 0 0 50,000
West Bank/Gaza 0 0 669,450
Windward Islands 200,004 75,946 0
1
Source: 2001 USG TCB Survey, Development Information Services.
TCB Database: http://qesbd.cdie.org/tcb/index.html.
Reported in US dollars.
25
Zambia 1,200,000 1,200,000 1,720,480
REGIONAL PROGRAMS 1999 2000 2001
Andean Pact 0 0 290,094
COMESA 80,000 720,000 0
Caribbean 0 0 185,345
Global 500,000 647,840 561,600
Sub-Saharan Africa 5,461,372 6,068,000 3,351,500
Western Africa 0 0 735,520
USAID Totals
Agreements on Agriculture 2,245,878 9,315,602 4,000,709
Sanitary and Phyto-Sanitary Measures 962,522 4,888,706 6,462,141
Agriculture 26,314,052 41,490,005 33,264,190
TOTAL 29,522,452 55,694,312 43,727,041
26
ANNEX ONE
BIFAD REPORT: ACTIVITIES AND RECOMMENDATIONS
society.
The Board for International Food and
Agricultural Development (BIFAD) is a
FOOD SECURITY ADVISORY
White House-appointed board authorized by
Title XII of the Foreign Assistance Act, as COMMITTEE (FSAC)-FSAC met twice
amended. The Board’s responsibilities during 2001, in March and September, in
include participating in the planning, preparation for the World Food Summit:
development, and implementation of, five years later (WFS:fyl).
initiating recommendations for, and
monitoring the activities of Title XII. Recommendations from the Meeting of
BIFAD advises and assists the the Food Security Advisory Committee,
Administrator of USAID as requested. September 19, 2001
BIFAD members are selected from The U.S. Food Security Advisory
universities, agribusinesses, private Committee (FSAC) met on the above date in
voluntary organizations and foundations. the expectation that there was to be a
The Board normally meets at least twice a meeting of the Interagency Working Group
year. The single meeting of 2001 (the 134th) (IWG) shortly thereafter. That meeting was
was held March 29-30, with the cancelled, but the events leading to its
Collaborative Research Support Programs cancellation added importance to the issue
(CRSPs) to discuss globalizing university of global food security.
contributions to a “new agriculture”.
Chairman G. Edward Schuh’s remarks and On September 19, FSAC members heard the
summary of Board recommendations were results of the recently completed study
printed in the 2000 Title XII Report, assessing the U.S. government’s follow-up
Agriculture in the New Century. to the 1996 World Food Summit. The study
identified a number of limitations with the
USAID’s recommendations for a new U.S. follow-up to the Summit. In addition,
BIFAD were sent to the White House by the the Committee heard the results of a second
Administrator late in 2001. When the study identifying the costs and benefits of
President’s appointments are announced, food security measures. FSAC
BIFAD will resume its role. recommended that the results of these two
studies be considered when the IWG
BIFAD committees have remained active. prepared the U.S. Action Plan on Food
They are the Strategic Partnership for Security.
Agricultural Research and Education
(SPARE) and the Food Security Advisory Strategic Partnership for Agricultural
Committee (FSAC), which was created to Research and Education (SPARE)
advise the Interagency Working Group
(IWG) on Food Security on its policies and SPARE is a recently created subcommittee
positions in preparing the U.S. Action Plan of BIFAD that reports to both BIFAD and
on Food Security. FSAC is comprised of the National Association of State
BIFAD members and representatives of civil Universities and Land Grant College’s
(NASULGC) Board on Agriculture (BOA).
27
This arrangement provides a direct linkage University); Dennis Weller (Africa Bureau,
for NASULGC member institutions to USAID). David Sammons was elected Chair
USAID on issues of concern to the U.S. of SPARE and Terry Hardt was elected Vice
university community with respect to its Chair for 2000-2001.
relationship to the Agency.
SPARE MET FIVE TIMES DURING FY
The primary objectives of SPARE are to 2001:
improve communication and broaden the
basis for involvement of the U.S. university • In October 2000 and January 2001,
community in the activities of USAID SPARE held organizational meetings to
through BIFAD. SPARE collaborates with develop SPARE review guidelines for
USAID staff and BIFAD to recommend CRSP reviews and identify future
priorities, review ongoing CRSPs and other SPARE agenda items and activities.
activities, and provide reports to USAID and
BIFAD on those reviews. The scope of the • In February 2001, SPARE held a two-
partnership’s activities includes food day meeting to review the BASIS CRSP
security, agricultural modernization, for a five-year extension and receive a
nutrition, rural development, natural briefing from the Agency on non-CRSP
resources, food systems, agribusiness, USAID agricultural and related
agricultural trade, intellectual property activities.
rights, and sustainability.
• In March 2001, SPARE held a two-day
The Charter for SPARE was signed in June meeting to review the INTSORMIL
2000after extensive review in the Agency. CRSP and Peanut CRSP for five-year
The USAID Administrator made initial extensions.
appointments to the six-member SPARE in
September 2000. The following individuals • In August 2001, SPARE held a two-day
were founding members of SPARE: meeting to review ongoing agricultural
Emmanuel Acquah (University of Maryland, activities in USAID and discuss new
Eastern Shore); David Atwood (Office of challenges and opportunities for the U.S.
Agriculture and Food Security, USAID); university community and the proposed
Robert Evenson (Yale University); Terry Agency response. SPARE forwarded its
Hardt (Office of Agriculture and Food recommendations for improving the
Security, USAID); David Sammons (Purdue Agency response to BIFAD.
28
ANNEX TWO
FY 2001 AGRICULTURAL OBLIGATIONS
OVERVIEW
address the objectives of the1961 Foreign
Agricultural activities at USAID are carried
Assistance Act and Title XII, through the
out in accordance with the strategic
Development Assistance (DA), Child
priorities of its regional and functional
Survival and Development (CSD),
bureaus. The four regional bureaus are
Development Fund for Africa (DFA),
Africa, Latin America and the Caribbean,
Economic Support Fund (ESF), Assistance
Asia and the Near East, and Europe and
for Eastern Europe and the Baltics (AEEB)
Eurasia. The functional bureaus include the
and the Freedom Support Act (FSA)
Global Bureau, the Bureau of Humanitarian
accounts. Recorded obligations for
Response, and the Bureau of Policy and
agriculture programs in the last four years
Program Coordination. The relevant
remained relatively stable. Development
activities of the Global Bureau, the Bureau
Assistance accounted for about 53.4 percent
of Humanitarian Response, and the four
of the total, and the Economic Support Fund
regional bureaus in FY 2001 are
provided 29.2 percent, with the balance
summarized in the following subsections.
coming from the special Europe and Eurasia
The Bureau for Policy and Program
regional accounts. Title II (P.L. 480)
Coordination’s funds are used for food
obligations were funded separately through
security and agricultural research and
the Farm Bill.
analysis. During FY 2001, USAID invested
approximately $303million in activities that
29
TABLE 2USAID AGRICULTURE OBLIGATIONS BY BUREAU, 1995-2001 (THOUSAND $)2
Bureau3 FY 95 FY 96 FY 97 FY 98 FY 99 FY 00 FY 01
AFR4 111,734 80,123 80,186 77,912 83,161 97,734 102,187
ANE 114,329 93,569 56,828 131,906 130,420 113,710 86,122
E&E 60,983 32,109 31,525 34,200 40,938 32,432 48,800
5
LAC 50,182 32,682 28,958 27,478 34,867 34,341 24,864
6
G 85,016 64,040 42,663 37,738 38,777 29,518 35,171
7
BHR 12,286 5,302 2,736 4,239 1,941 2,083 5,957
PPC 0 0 1,858 2,300 3,100 406 414
Total 434,530 307,825 244,754 315,773 333,204 310,224 303,515
2
Data for FY 1995 through FY 2000 are from FY 2000 Title XII Report to Congress. Data for FY 2001 are from the bureaus. Obligations include
new obligating authority from Development Assistance and other appropriations, carryover, and recoveries. The table does not include
International Narcotics Control funds, funds for sustainable agriculture activities coded as environment activities, funds obligated under Title
II(P.L. 480) or funds from the International Disaster Assistance account.
3
AFR- Africa, ANE-Asia and Near East, E&E-Europe and Eurasia, LAC-Latin America and the Caribbean, G-Global, BHR-Bureau for
Humanitarian Response and PPC-Policy and Program Coordination.
4
FY 1999 updated figures
5
FY 1998, 1999 and 2000 updated figures.
6
Global Bureau began obligating for sustainable agriculture activities coded as environment activities in FY 1992. In FY 1995, the Global
Bureau’s obligations for sustainable agriculture activities coded “environment” were $23,563,000; in FY 1996, $16,195,000; in FY 1997,
11,457,359; in FY 1998, $15,478,017; in FY 1999, $13,161,056; in FY 2000, $27,880,711; and in FY 2001, $25,470,000. These amounts are not
included in the table above.
7
Not included are BHR obligations under P.L. 480 (see table 7), which was re-authorized in the 1996 Farm Bill, or obligations from the
International Disaster Assistance account, which funds OFDA agricultural activities.
30
GLOBAL BUREAU
research programs on behalf of the Agency:
The Global Bureau houses a number of
the Consultative Group on International
USAID’s technical offices. While most of
Agricultural Research (CGIAR) and the
the Agency’s agricultural programs are
Collaborative Research Support Programs
carried out by the Office of Agriculture and
(CRSP). These programs have a significant
Food Security (AFS) in the Center for
impact on the development of improved
Economic Growth and Agriculture
crop and livestock technologies globally and
Development (EGAD), the Center for the
contribute materially to scientific advances
Environment and the Center for Human
in agriculture and natural resource
Capacity Development also house a few
management. AFS works in close
agricultural activities, as do the Office of
partnership with the U.S. university and
Microenterprise Development and the Office
agribusiness communities, the international
of Development Credit in EGAD.
agricultural research system, and interested
AFS provides technical leadership to the NGOs.
Agency and field support to USAID
Funding obligations for agricultural
missions worldwide on all aspects of
activities carried out in the Global Bureau
agricultural development, including
amounted to approximately$60.6 million in
technology development and dissemination,
FY 2001, including sustainable agriculture
agribusiness development, trade and
activities coded as environmental activities.
marketing, and overall food security, in
Over 80 percent of these resources, managed
support of one of EGAD’s three strategic
by AFS, supported agricultural research and
objectives: increased productivity,
education collaboratively through the
efficiency, and sustainability of agricultural
CGIAR and the CRSPs. These two major
and food systems. The overarching objective
programs represent the Global Bureau’s
is the alleviation of hunger and enhancement
partnerships with the international
of global food security through increased
agricultural research centers, the university
agricultural productivity and linking
community and other private and public
smallholders to markets.
organizations within the United States and in
AFS manages two major global agricultural developing countries.
31
TABLE 3. GLOBAL BUREAU’S OFFICE OF AGRICULTURE AND FOOD SECURITY, OBLIGATIONS FY 1999-2001
(THOUSAND $)8
Program FY 1999 FY 2000 FY 2001
Consultative Group on International Agricultural Research 26,450 26,600 26,650
(CGIAR)10
Collaborative Research Support Programs (CRSPs) 18,050 20,050 21,246
International Fertilizer Development Center (IFDC) 2,100 2,000 2,300
Biotechnology and Biodiversity Interface Program (BBI) 0 0 2,000
Postharvest Collaborative Agribusiness Support Program (CASP) 250 0 0
Partnerships for Food Industry Development (PFID) 0 0 1,000
Agricultural Biotechnology for Sustainable Productivity (ABSP) 869 39 2,377
Food Security II (FSII) 527 400 400
Agricultural Policy Analysis Project III (APAP III) 33 114 61
Rural and Agricultural Incomes with a Sustainable Environment 207 252 281
(RAISE)11
Program Support12 1,340 1,772 1,728
13
BIFAD Support [150] [150] [150]
Child Survival Initiative 1,128 872 0
Utah State Directive 0 0 1,000
Dairy Directive 0 800 1,598
Sub-Total 50,954 52,899 60,641
14
Additional Dairy 984 4,500 0
Total 51,938 57,399 60,641
(Minus sustainable agriculture activities coded as environment -13,161 -27,881 -25,470
activities)
Total 38,777 29,518 35,171
8
This table includes obligations coded as environmental activities.
9
Updated figures
10
Includes $2 million from the Africa Bureau for CGIAR research activities
11
Includes Environment Center contribution to joint financing of this activity
12
Increased in FY 1999 due to CRSPs line item exclusion for staff support funding.
13
Included in Program Support
14
Funds transferred from Management Bureau’s Budget Office.
32
AFR
AFRICA BUREAU
standards raised.
Through its 23 bilateral and 3 regional field
missions, the Africa Bureau continues to Also in FY 2001, the U.S.-based Partnership
promote and manage programs that address to Cut Hunger and Poverty in Africa pressed
food security, hunger and poverty in Africa. for renewed emphasis on revitalizing
Partnerships with U.S. universities, investments in agriculture and pro-poor
international organizations, local and sub- growth strategies. As an indication of this
regional organizations, NGOs, renewed U.S. leadership, poverty and
entrepreneurs, and governments have helped agriculture, particularly in Africa, were on
to strengthen USAID’s capacity to the agenda of the summer2001 meeting of
effectively implement various programs and the G-8 in Genoa.
activities related to developing technology
and market systems, rural enterprises, and Under a broad coalition of U.S. universities
producer support services. and organizations and African partners, the
Partnership witnessed the passage of the
Hunger and malnutrition continue to plague Hunger to Harvest Resolution in the U.S.
much of sub-Saharan Africa. To make House of Representatives (H. Con.Res.
matters worse, this region is the only one 102). Drafted by Bread for the World, the
where hunger is projected to rise over the resolution asks the President to develop a
next 20 years. The problem of hunger in plan to increase poverty-focused programs
Africa can be directly traced to poverty, in Africa. In response to the new
particularly to low per capita incomes from Administration’s focus on agriculture, an
agriculture, a principal source of operational plan was formulated that will
employment and income growth. refocus attention on rural-based agricultural
growth as a first step to reducing hunger and
In response to the challenge of fighting
poverty in Africa. Congress allocated an
hunger in Africa, several new African and
additional $18.5 million to help finance
U.S.-led initiatives were drafted in FY 2001.
some start-up activities of the new initiative
The year witnessed a renewed spirit of
in FYs 2001 and 2002.Included is a new
optimism and commitment among African
capacity-building component, which will
governments, donors, U.S. universities, and
begin developing both short- and long-term
the private sectors in the United States and
training programs for African
Africa to revitalize agricultural growth in
agriculturalists.
order to reduce hunger, food insecurity, and
poverty in Africa. In July, the African-led Science and technology applications are also
New Partnership for African Development an important part of this refocus. Investment
(NEPAD) was formed, which stressed the in biotechnology in Africa more than tripled
need to achieve food security in African in FY 2001. This includes assessing the
countries by addressing the problem of benefits and risks associated with
inadequate agricultural systems so that food biotechnology development and its potential
production can be increased and nutritional for alleviating hunger and poverty in Africa.
33
TABLE 4. 1999-2001 AGRICULTURE OBLIGATIONS FOR AFRICA (THOUSAND $)15
Bilateral FY1999 FY 2000 FY 2001
Angola 4,620 0 1,443
16
Congo (DROC) 0 500 3,000
Eritrea 1,850 2,500 3,528
Ethiopia 7,764 3,000 5,694
Ghana 4,248 7,000 3,775
Guinea 0 0 500
Kenya 2,000 6,700 6,797
Liberia 1,589 2,399 3,270
Madagascar 0 349 500
Malawi 10,211 7,885 4,493
Mali 7,562 5,391 6,179
Mozambique 9,200 10,715 11,798
Nigeria 1,000 7,349 4,700
Rwanda 3,000 4,900 3,884
Senegal 1,263 0 762
Sierra Leone 0 0 1,000
South Africa 2,400 3,699
Tanzania 2,000 2,000 0
Uganda 7,500 12,500 5,867
Zambia 2,000 5,500 4,181
Zimbabwe 1,500 699 0
Regional
REDSO/ESA & GHAI17 3,147 3,300 3,297
18
SA Regional 2,820 3,100 0
19
WARP 1,470 2,000 2,559
20
Africa-Wide (AFR/SD & DP) 6,417 7,546 21,261
21
CGIAR 2,000 0 0
Total 83,161 97,733 102,187
15
Data for FY 1999 and FY 2000 are from FY 2000 Title XII Report to Congress. Data for FY 2001 are from the Africa Bureau. This table does
not include Title II (P. L. 480) funds, which can be significant for some countries (see Table 7).
16
Democratic Republic of the Congo.
17
Regional Economic Development Support Office/East and Southern Africa; Greater Horn of Africa Initiative.
18
Southern Africa Regional
19
In FY 2001, the West Africa Regional Program (WARP) was established, absorbing and expanding the activities of the Sahel Regional
Program.
20
Africa Bureau, Office of Sustainable Development and Office of Development Planning.
21
Consultative Group on International Agricultural Research.
34
ANE
ASIA AND THE NEAR EAST
supporting rural development, including
Funding for agriculture in the ANE Region
rehabilitation of agricultural infrastructure
(excluding food aid) has steadily declined
(farm to-market roads, irrigation), assistance
from$300 million in the early 1980s to
to agricultural cooperatives, and livestock
under $100million today. The ANE Bureau
improvement. The Global Bureau also funds
is currently engaged in a variety of
research in biotechnology and integrated
agriculture-related activities. It obligated$86
pest management in selected ANE countries.
million to agriculture in FY 2001, of which
$75.6million was funded from ESF (Egypt,
$53.0 million, Jordan, $14.5 million, and
East Timor, $8.1 million.) In Egypt, these TABLE 5. ANE BUREAU AGRICULTURAL
resources support agricultural policy reform, OBLIGATIONS BY COUNTRY (THOUSAND $)22
agribusiness development, and increased Country FY1999 FY 2000 FY 2001
export competitiveness for agricultural Bangladesh 2,800 3,303 2,050
products. Funding in Jordan supports East Timor 0 0 8,072
improved water resource management. In Egypt 100,142 72,291 53,019
East Timor, USAID is funding the India 0 0 337
development of coffee cooperatives. Indonesia 2,412 4,093 4,975
Development Assistance (DA) funding for Jordan 20,000 27,390 14,469
agriculture is more limited because of the Laos 1,500 0 0
overall scarcity of economic growth funds. Lebanon 0 2,250 0
In Asia, DA funding is used for improving Mongolia 0 1,596 0
agricultural policy in Indonesia, supporting Nepal 1,000 23
500
growth of agribusiness and improved Philippines 0 500 1,000
management of aquatic and tropical forest Regional 1,566 0 1,700
resources in Bangladesh, encouraging Program
adoption of higher value farming/fishing Sri Lanka 1,000 0 0
products and techniques in Mindanao, West 0 2,287 0
Philippines, and supporting increased Bank/Gaza
sustainable production of forest and high- Total 130,420 113,710 86,122
value agricultural products in Nepal.
Other programs not strictly coded as
agricultural nevertheless deal with
agricultural issues in ANE. For example,
USAID/Philippines’ Coastal Resource
Management Program is improving local
food security by helping communities
manage their fish and other seafood
resources sustainably. In Morocco, water 22
Data for FY 1999 and FY 2000 are from the FY 2000 Title XII
management programs classified as Report to Congress; data for FY 2001 are from the bureau. This
environmental benefit mainly the agriculture table does not include Title II (P. L. 480) funds, which can be
significant for some countries (see table 7).
sector. In Lebanon, ESF resources are 23
Funds for agricultural activities in Nepal are coded under
environment.
35
E&E
EUROPE AND EURASIA BUREAU
The primary focuses of USAID’s TABLE 6. E&E BUREAU AGRICULTURE
agricultural assistance to the countries of the OBLIGATIONS BY COUNTRY (THOUSAND $)24
Former Soviet Union (FSU) and Central and Country FY2001
Eastern Europe (CEE) remain land reform, Albania 2,300
agribusiness and trade development, and the Armenia 10,300
improvement of quality standards of Azerbaijan 700
products for both local and export markets. Bulgaria 800
Agricultural extension, agricultural reform FRY & Serbia 1,000
and agricultural credit are being supported to Georgia 3,500
a lesser degree. Kazakhstan 1,300
Kyrgyzstan 1,500
Agricultural programs in several countries Macedonia 3,200
enhance the management of agricultural and Montenegro 500
urban land through improved titling and Moldova 5,500
registration systems. These systems enable Romania 1,600
farmers and landowners to consolidate Russia 6,800
productive land holdings, transfer them by Tajikistan 400
sale or leasing, or use their land for Turkmenistan 100
collateral. Land privatization and titling Ukraine 4,800
programs are being implemented in Ukraine, Uzbekistan 1,200
Moldova, Georgia, Armenia and the Kyrgyz CEE Regional 2,600
Republic. In Albania, the University of Eurasia Regional 700
Wisconsin’s Land Tenure Center will soon Total 48,800
complete a seven-year land market
development program. As part of this effort,
detailed maps of all privately owned and
registered land parcels were prepared.
24
FY 2001 data provided by the E&E Bureau.
36
LAC
LATIN AMERICA AND CARIBBEAN BUREAU
USAID’s core program in the LAC region is TABLE 7. LAC BUREAU AGRICULTURAL
based on the objectives established at the OBLIGATIONS BY COUNTRY (THOUSAND $)25
Summit of the Americas, agreed to by Country FY 1999 FY 2000 FY 2001
President Bush and the other leaders of the Bolivia 400 0 1,575
Western Hemisphere. The most important Ecuador 0 550 0
objective is reducing poverty in Latin El Salvador 3,205 2,533 2,105
America. In spite of concerted efforts to Guatemala 8,525 8,175 4,180
address poverty, income distribution in the Haiti 10,154 6,826 7,900
LAC region remains the worst in the world Honduras 2,333 978 1,943
and became even more skewed during the Jamaica 0 2,170 0
1990s in some countries. Nearly 40percent Nicaragua 5,500 5,929 5,165
of the population lives in dire poverty on Peru 1,535 5,920 1,396
less than $2 per day. In order to reduce Caribbean 0 500 0
poverty, the United States must help Regional
accelerate growth rates substantially through LAC 3,215 760 600
Regional
hemispheric trade and increase participation
Total 34,867 34,341 24,864
by the poor in growing economies. USAID’s
agricultural efforts seek to promote trade as
an engine of growth for LAC, and protect
the region’s environment and natural
resources in order to enhance income for the
poor and LAC’s competitiveness. USAID’s
agricultural assistance portfolio is currently
focused on expanding access and
opportunities for the poor by linking their
production to higher-value markets. As the
Free Trade Agreement of the Americas
(FTAA) moves forward under the Summit
of the Americas process to create a
hemispheric free-trade area by 2005, USAID
is providing support for the integration of
smaller economies. For example, assistance
has been provided to help LAC countries
meet World Trade Organization
requirements. A substantial portion of
USAID’s environmental efforts is also
focused on protecting and enhancing 25
*Data for FY 1999 and FY 2000 are from FY 2000 Title XII
agriculture as a source of income for the Report to Congress; data for FY 2001 are from the LAC Bureau.
poor. This table does not include Title II (P. L. 480) funds, which can be
significant for some countries (see table 7), or International
Narcotics Control (INC) funds currently coded as Economic
Support Fund (ESF).
37
BHR
BUREAU OF HUMANITARIAN RESPONSE
The Bureau of Humanitarian Response To ensure sustainability, Title II grantees
(BHR) carries out agricultural activities implement their programs in partnership
through its Office of Food for Peace (FFP) with local communities, governments,
and Office of Foreign Disaster Assistance national NGOs, and research institutions.
(OFDA). Partners also include IARCs and
universities. Michigan State University,
Tufts University, and the Academy for
OFFICE OF FOOD FOR PEACE: Educational Development provide ongoing
P.L. 480, TITLE II FOOD FOR PEACE, assistance in targeting and measuring the
NON-EMERGENCY PROGRAM impact of food aid programs.
The P.L. 480 Title II program is one of the In FY 2001, food assistance programs,
main sources of funding for agricultural and including Title II, accounted for 22 percent
food security activities in the Agency. of U.S. foreign assistance. Of the $915.2
Priority is given to activities that improve million channeled through Title II programs,
household nutrition and agricultural $468.8 million was for non-emergency (i.e.,
productivity. Title II activities promote more development) activities and $446.4 was for
productive and diversified farming systems, emergency activities. The development
improve postharvest management and activity budget was divided as follows:
marketing, provide microfinance credit, and $170.5 for Africa, $161.6 for Asia/Near
improve natural resource management. Title East, and $111.9 for Latin
II programs are integrated and involve America/Caribbean. Nearly two-thirds of the
activities to address access, availability, and 38countries receiving Title II development
utilization of food, in accordance with the funding in FY 2001 were in sub-Saharan
Agency’s Food Aid and Food Security Africa. In FY 2000 and 2001, the same 20
Policy Paper (1995) countries were the largest recipients of Title
(http://www.usaid.gov/hum_response/ffp/fsp II assistance (Table 8).
olicy.htm).
38
TABLE 8. P.L. 480 TITLE II EMERGENCY AND NON-EMERGENCY FUNDING: 20 LARGEST RECIPIENT
COUNTRIES IN FY 2001 (THOUSAND $)26
Country Emergency Non-Emergency Total
Ethiopia 79,423 27,439 106,862
India 0 79,192 79,192
Bangladesh 0 68,805 68,805
Kenya 40,283 9,342 49,625
Peru 0 42,797 42,797
Sudan 40,976 0 40,976
Angola 28,531 5,697 34,228
Balkans 33,978 0 33,978
Sierra Leone 33,449 0 33,449
Uganda 14,425 17,765 32,190
Afghanistan 30,318 0 30,318
Tanzania 28,322 934 29,256
Mozambique 0 25,539 25,539
Haiti 0 23,986 23,986
Ghana 0 19,012 19,012
Bolivia 0 17,071 17,071
Guatemala 480 15,958 16,438
Congo 14,525 0 14,525
Tajikistan 13,148 0 13,148
Indonesia 0 12,144 12,144
27
Other 88,550 103,079 191,629
Total 446,407 468,762 915,169
26
Data are from the U.S. International Food Assistance Report 2001, September2001.
27
Includes other countries, Institutional Strengthening Assistance (ISA) grants, unallocated preposition, plus other unallocated
39
OFDA
OFFICE OF FOREIGN DISASTER ASSISTANCE
The mandate of the USAID Office of TABLE 9. FY 2001 OFDA OBLIGATED FUNDS
Foreign Disaster Assistance (OFDA) is to ALLOCATED TO AGRICULTURE AND RELATED
ACTIVITIES (THOUSAND $)28
save lives and reduce human suffering.
While the majority of its international AFRICA
disaster assistance funding supports Angola 700
response to natural and human-caused Burundi 4,351
disasters, a portion of its resources is spent Chad 52
on mitigation and preparedness. Maintaining Democratic Republic of the Congo 5,752
food security during times of crisis is a Ethiopia 336
critical component of disaster prevention Guinea 196
and mitigation. Through direct funding to Kenya 663
international agricultural research centers Republic of the Congo 463
(IARCs), OFDA improves food security in Sierra Leone 5,094
disaster-prone areas of the world by Somalia 78
enabling researchers within individual Sudan 9,632
countries to ascertain immediate needs of ASIA & NEAR EAST
farmers during crises and to respond using Afghanistan 4,992
suitable technologies and methodologies. Bangladesh 625
Cambodia 361
Disaster preparedness can be increased China 100
dramatically by developing strategies in India 3,394
advance to mitigate and prevent loss of food Indonesia 1,779
security. In arid regions, for example, Laos 99
programs that provide drought-resistant, Mongolia 2 5
locally adapted cultivars of staple crop Philippines 423
plants can keep productivity at an acceptable EUROPE & EURASIA
level during times of water stress, reducing Kosovo 400
the need for foreign food aid. The Macedonia 975
development of early warning systems and Tajikistan 734
regional strategies for coping with drought LATIN AMERICA/CARIBBEAN
can also reduce food insecurity in arid Guatemala 25
zones. Honduras 175
Nicaragua 500
In FY 2001, OFDA supported a range of GLOBAL PROGRAMS 1,700
agricultural activities, focusing primarily on TOTAL 43,624
crop productivity and small farmer seed
systems in Africa. As a result, the
sustainability of many smallholder farms has
been significantly improved.
28
Data are from the Office of Foreign Disaster Assistance
40
ANNEX THREE:
NEW ACTIVITIES IN FY 2001
PARTNERSHIPS WITH U.S. UNIVERSITIES,
INTERNATIONAL AGRICULTURE RESEARCH CENTERS,
GOVERNMENTS, AND THE PRIVATE SECTOR41
2001,awards totaling $1.879 million were
World Irrigation Information Network made to the University of Minnesota; the
(IRRINET) International Rice Research Institute (IRRI),
USAID launched the World Irrigation Philippines; Washington University, St.
Information Network (IrriNet) at the Louis; Cornell University; and the
International Irrigation Center (IIC) at Utah International Center of Insect Physiology
State University in FY2001. IrriNet is a and Ecology (ICIPE), Kenya.
prototype activity to develop and test a new
Biofortification of Crops -USAID initiated
methodology to provide access to irrigation
two programs to address micronutrient
technology without requiring mission-level
malnutrition in developing countries in FY
investment in facilities and personnel. The
2001:
network will facilitate integrated,
interactive, and participatory electronic • In India, the Agriculture Biotechnology
collaborations from anywhere in the world. Support Program led by Michigan State
University in collaboration with
New Directions in Biotechnology Monsanto is developing beta carotene-
Research enhanced mustard oil.
In response to the Congressional
• A collaborative effort involving U.S.
biotechnology directive specified in the FY
universities, international agriculture
2001 Foreign Operations appropriations
research centers (IARCs), and possibly
legislation, the Agency initiated several new
U.S. industry will improve the
programs:
nutritional value of staple foods in
Biotechnology and Biodiversity Interface Africa via genetic engineering and plant
(BBI)-BBI is a five-year competitive grants breeding. In particular, the program
program in biosafety research designed to seeks to increase the amount of vitamin
address the interface between the use of A, zinc, and iron in rice, wheat, maize,
agricultural biotechnology, particularly cassava, sweet potatoes, and beans.
genetically engineered crops, and natural
Research and Technology Development in
biodiversity in developing countries. It
Africa -USAID is supporting a number of
brings together agricultural and
research initiatives using biotechnology as a
environmental organizations and promotes
tool for addressing disease and pest
the use of biotechnology in an
resistance in cassava, cowpea, cocoa and
environmentally responsible manner. In FY
other tree crops (West Africa), papaya
41
(Tanzania), and banana (Uganda). To build vegetable sectors to improve quality and
leadership in biotechnology, the Agency is safety standards in the context of a global
engaging governments in South Africa, marketplace. Louisiana State University
Nigeria, Zambia, Kenya and Uganda leads a public-private sector partnership that
through bilateral assistance. will focus on the meat and seafood sectors to
develop support systems, business networks
Enhancing Food Industry Trade and high standards of quality for food
Capacity industry competitiveness. In 2001, these two
university-led partnerships were awarded
Food industries are increasingly global, four-year cooperative agreements to support
integrated, and responsive to consumer field operations that strengthen food
demands for high quality, safe and industries in USAID host countries and
responsibly produced food products. promote competitive participation in the
Recognizing the new environment, in global trading system.
2001USAID launched the Partnership for
Food Industry Development (PFID) to PFID’s Food industry partners and
mobilize both private sector and public collaborators include international industry
sector expertise to promote competitive associations such as the World Food
participation by developing and transition Logistics Organization and the Produce
economy countries in the new global food Marketing Association, as well as individual
trading system. PFID’s objectives are: to food companies. PFID partner firms include
promote science-based legal, regulatory and specialty product wholesalers like Melissa’s
policy frameworks for international trade in World Variety Produce in California, and
food products, to adapt and apply food retail food businesses like Royal Ahold,
processing and marketing technologies to with over 9,000 food retail and service units
create value-added projects, and to improve on four continents, including 1,600 in the
food product safety and quality. United States. Regardless of their size, all of
PFID’s private sector partners are
Leading this effort are U.S. universities in enthusiastic and engaged—sharing a
partnership with international food common vision of establishing long-term
industries, a development alliance that collaborative relationships with developing
represents a new direction in university-led country food producers and processors to
foreign assistance. Michigan State improve the quality of food products and the
University leads a public-private sector quality of life in these countries.
partnership that will focus on the fruit and
42
ANNEX FOUR
HIGHLIGHTS OF FY 2001 ACCOMPLISHMENTS
Highlights of FY 2001 accomplishments are • BASIS researchers studied rural
presented in the areas of access to assets, households in Nicaragua, where laws
agribusiness and marketing, agricultural regulating use, ownership, and
policies, agricultural research and transferability of rural land have
technology transfer, and agriculture and the undergone major changes. They found
environment. Successes in these areas have that gaining access to land improves the
come through partnerships with U.S. quality of life of the rural poor in many
universities, with the International ways. Data analysis confirmed that
Agricultural Research Centers, and through providing land titles to women promotes
other types of Agency activities. Notable household expenditures on food and
throughout these programs is the application education. Research results were
of new approaches to address major incorporated into the World Bank’s
problems faced by agriculturalists in Policy Research Report on land policy.
developing countries.
• In Tanzania, BASIS case studies
ACCESS TO ASSETS demonstrated the importance of village-
level training in financial management
Poverty reduction and economic growth in and reporting for leaders of irrigators’
developing countries depend on improving organizations. The research findings
access to assets. A critical component of influenced the Traditional Irrigation and
Agency development programs is improving Environmental Development
access to land, credit, information about best Organization’s decision to emphasize
farming practices, and other services that financial management in its training
will enable an individual or family to program.
generate income and wealth. Three
programs focused specifically on access to • In Ethiopia, a BASIS case study found
assets: the BASIS Collaborative Research that limited involvement of local
Support Program, the Development Credit informal institutions was a key
Authority, and the Broadening Access and constraint to participatory natural
Strengthening Input Market Systems resource management and the reduction
(BASIS) Indefinite Quantity Contract (IQC). of conflict in managing forest, pasture
and irrigation lands. A policy brief was
Partnerships with US Universities distributed to policy makers, the
government and NGOs.
The Broadening Access and Strengthening
Input Market Systems (BASIS) • BASIS research in Eastern Europe and
Collaborative Research Support Program the former Soviet Union tested the
(www.basis.wisc.edu)-BASISCRSP viability of an index to measure land
identifies policies and strategies to promote privatization, for use by national policy
economic growth through improved access makers and international development
to and efficient use of land, water, labor and agencies. BASIS methodology is being
financial markets. In FY 2001: used in the USAID Center for
43
Development Information and Agroindbank fully used its guarantee
Assessment’s study on land markets and limit during the first year of operations.
property rights. In Georgia, the USAID- The program was crafted as a follow-on
funded Land Market Development activity to USAID’s privatization effort
Project is developing indicators based in Moldova, which resulted in the
on land price, type of transaction, and successful privatization of over 90
location. percent of the country’s collective farms.
• In El Salvador, BASIS research showed The Broadening Access and Strengthening
that remittances do not change the Input Market Systems (BASIS) Indefinite
structure of consumption for households Quantity Contract (IQC) During FY 2001,
and have positive impacts on schooling BASIS IQC provided the Agency with
and education. BASIS work also resulted specialized services to improve the
in the establishment of the Sustainable accessibility, efficiency and integration of
Rural Roads Program, which has markets for land, water, labor and financial
enabled children to receive more capital in order to alleviate poverty and
education and provided greater access contribute to broad based, environmentally
to income-earning opportunities. sustainable economic growth. Task orders
included:
Other Agency Activities
• an Albania Land Market Project
Development Credit Authority: Supported Evaluation, which assessed the first
by USAID’s Office of Development Credit, registration process and the institutional
the Development Credit Authority (DCA) capacity of the local registration
allows USAID missions overseas to partner agency;
with lending institutions to make resources
available for investments that support • the Mali Communes Analytical Study,
development objectives. The goals of DCA which measured the effectiveness of
are to mobilize private capital to finance village communes to carry out
development initiatives abroad and decentralized activities, including local
demonstrate the economic viability of such resource management, and to develop a
investments to local banking and other monitoring system to measure commune
sources of private capital. In FY 2001: effectiveness;
• Agroindbank SA is one of three local • assistance to the Georgian Ministry of
banks participating in a loan guarantee Agriculture with reorganization and
program in Moldova designed to assist policy development. Stage I, consisting
agricultural producers, processors and of the Ministry assessment,
other trade-related businesses in reorganization strategy, and policy
securing financing to purchase inputs advice on land taxation, was
and make capital improvements. Banks implemented..
in Moldova had resisted lending to the
agricultural sector because of the AGRIBUSINESS AND
inherent risks. The USAID guarantee
improved their comfort level and MARKETING
enabled them to offer loans to rural Agribusiness and marketing play a critical
credit and savings associations. role in promoting the sustainable, broad-
44
based income opportunities that people need managers of six cooperatives, raised
to overcome poverty. They also hold the key awareness among self help group
to making cheaper, safer and more healthful members on the need to market milk
food available to the world’s neediest collectively, and conducted planning
consumers. While many Agency programs workshops for farmers. Baseline surveys
address agribusiness and access to markets, were conducted to provide data for
highlighted here is one activity that draws monitoring and evaluation and to design
upon the business and market experience of farmer-training programs. The project
the U.S. dairy industry to address the needs also held meetings on marketing and
of dairy farmers and the dairy industry in participatory planning for cooperatives.
developing countries.
AGRICULTURAL POLICY
Dairy Enterprise Initiative (Dairy
Directive)-The Dairy Enterprise Initiative Agricultural policy cuts across all the
partners the U.S. dairy industry with dairy categories of programs highlighted in this
producer groups and processors in annex. USAID supports the development of
developing countries. In FY 2001: agricultural and environmental policies,
regulations, and institutions that foster good
• Partners of the Americas, together with governance, promote the adoption of
the Caribbean Research and technologies that improve productivity in
Development Associates(CARESDA), is the agricultural sector, and result in
building the capacity of the Guyanese environmentally sustainable rural growth.
dairy industry to address poverty, food The two projects highlighted here illustrate
insecurity and malnutrition. The project USAID’s commitment to addressing policy
is targeting approximately 5,000 small issues at multiple levels (national, regional,
and medium-size milk producers. It will and international).
train 800 farmers per year in sustainable
dairy farming practices, identify Partnerships with US Universities
10model farms, and establish 6 regional
dairy farm organizations. A baseline of The Food Security II (FS II) Cooperative
industry information was developed to Agreement with Michigan State University
measure project effectiveness. The -The Food Security II program carries out a
project provides training and technical broad array of applied food and agricultural
support to dairy farmers, enhances policy research, outreach, and capacity-
elementary education, provides milk building activities throughout Africa. In FY
through the schools, studies nutrition 2001:
and milk consumption in Guyana, and
strengthens the infrastructure of • FS II country-level researchers and
agencies and associations providing host-country collaborators in Kenya,
services to dairy farmers at all levels Zambia, Mozambique and Rwanda
through outreach and capacity building. integrated findings from their outreach
work on input and output market reforms
• Land O’Lakes conducts monitoring and and on the relationships between
evaluation for strategic action plans smallholder income and land access into
developed by cooperatives and self-help country-level poverty reduction strategy
groups. The project delivered a papers (PRSPs).
management course for officials and
45
• FS II provided substantial assistance to the Food Summit Target” (September 2001),
the Partnership to Cut Hunger and included the extent to which instability and
Poverty in Africa through contributions conflict could be avoided if the targets were
to the Partnership’s Diagnostic met and what the cost savings would be in
Assessment, Strategic Framework and terms of reduced humanitarian interventions,
Action Plan. FS II also assisted in emergency food aid, and costs stemming
organizing an intensive review process from reduced deployments of military,
by African and U.S. members of the peacekeeping and humanitarian
Partnership. These activities culminated interventions, as well as costs of foregone
in the June 2001 Partnership agricultural and economic production, and
Conference, which brought together health-related costs of malnutrition and food
high-level African and U.S. political insecurity.
leaders and representatives of business,
university, NGO and foundation The APD Project also commissioned a
communities from both continents. FS II White Paper by John Mellor entitled
researchers helped develop a short video “Meeting the OECD Poverty Targets – An
on the conference that is being widely Approach Paper for USAID”. This paper
distributed in Partnership countries and confirms the efficacy of focusing Agency
throughout Africa. efforts on stimulating rural agricultural
growth in order to meet international
• As part of a continuing effort to foster poverty-reduction targets.
improved market information and
related policy analysis services in AGRICULTURAL
selected African countries, host-country RESEARCH AND
staff from Mozambique and Zambia
attended the West African Regional TECHNOLOGY TRANSFER
Agricultural Market Outlook Conference Without agricultural research and
in March in Bamako, Mali and visited technology transfer, the constraints to
the Mali market information system in increasing agricultural productivity in
Bamako and Segou. This prompted team developing countries will never be
members to work more effectively with overcome. Highlighted in this section are
their own Ministry colleagues to seek programs engaging an international
ways to achieve sustainability and community of scientists in projects that
improved design of market information generate (1) crop varieties for improved
systems and to build linkages to private nutrition, better pest resistance, and reduced
sector farm and market-level users. stressful abiotic conditions(drought, heat, or
low soil fertility), (2) management plans that
Other Agency Activities use limited natural resources more wisely
Agricultural Policy Development (APD) and sustainably, and (3) vaccines and other
Project-During FY 2001, the APD Project methods to reduce disease in animals. An
initiated a study to update the September integral part of these programs is technology
1998 estimate of the costs of meeting the transfer, including the development of
Rome Food Summit target of cutting world human resources and institutional capacity
hunger in half, and assessed the economic within developing countries.
opportunity costs of not doing so. The
assessment, “Costs and Benefits of Meeting
46
Partnerships with US Universities Bean/Cowpea CRSP scientists and
collaborators at the Universities of
COLLABORATIVE RESEARCH SUPPORT California-Riverside and Davis, and at
PROGRAMS the University of Virginia. The map will
facilitate the development of marker
One mechanism by which USAID partners assisted selection protocols that will
with the U.S. university community in significantly enhance the efficiency of
research and technology transfer is through cowpea breeding and the cloning of
Collaborative Research Support Programs resistance genes to facilitate their use
(CRSPs). These collaborations involve U. S. through genetic engineering. A CRSP
universities, developing-country National cowpea breeder at the Institut
Agricultural Research Systems (NARS), Sénégalais de Recherches Agricoles
International Agricultural Research Centers (ISRA) is preparing to use molecular
(IARCs), U.S. agribusiness, private markers to screen for important traits.
voluntary organizations (PVOs),
developing-country colleges and • Three cowpea lines (IT93-K503-1,
universities, private agencies, IT93K-2046and UCR 779) were found
USAID/Washington, USAID Missions, and by researchers at the University of
other U.S. federal agencies such as USDA. California-Riverside to possess strong
Through collaborations among these recovery resistance to cowpea aphid.
partners, the CRSPs address issues of This is the first case of an induced type
agricultural productivity and sustainability, of resistance to cowpea aphid, and the
food quality, and natural resource resistance is strong enough to be of
management in programs that benefit both considerable agronomic value in
developing countries and the United States. California. CRSP host-country
collaborators will test the utility of this
Bean/Cowpea Collaborative Research resistance against various aphid
Support Program biotypes in Africa.
(http://www.isp.msu.edu/scripts/CRSP.pl)-
The Bean/Cowpea CRSP seeks to overcome • Research by Bean/Cowpea CRSP
malnutrition, stimulate economic growth, scientists at Clemson University and the
promote environmental stewardship, and Savanna Agricultural Research Institute
improve the well-being of people, especially in Ghana showed that Neemix, a
women and the poor, by generating commercial formulation of neem,
technologies and knowledge that enhance effectively reduces feeding and survival
the production, commercialization, and of the Southern green stinkbug, Nezara
utilization of beans and cowpeas. viridula, while increasing cowpea yields
Bean/Cowpea CRSP scientists use cutting- by 30 percent. Neem inhibits damage to
edge research and teaching technologies, pods and seeds and is less harmful to
including molecular tools of biotechnology natural enemies of pests than many
to address production and utilization chemical insecticides.
constraints in Latin America and Africa. In
FY 2001: • Collaborative bean-breeding efforts
between Bean/Cowpea CRSP scientists
• An updated genetic linkage map for at the University of Puerto Rico and the
cowpea containing more than 400 Escuela Agrícola Panamericana-
genetic markers was developed by Zamorano resulted in several advanced-
47
generation small red lines, which were improvements in cognitive function,
tested and validated throughout Central physical activity, positive behaviors,
America, Panama and Haiti. The most classroom attention, physical growth
promising lines were selected under and biochemical micronutrient status.
moderate to severe disease and abiotic The study also showed that meat and
stress factors, which often reduce bean milk interventions are not equivalent in
yields in Latin America. effects.
• Molecular techniques, polymerase chain • The GL-CRSP Pastoral Risk
reaction(PCR) and nucleic acid Management Project created a pilot
hybridization were developed for the project under the auspices of the
detection and identification of five bean- Southern Tier Initiative developed by
infecting begomo viruses through USAID/Ethiopia to promote a
collaborations between Bean/Cowpea sustainable capacity for risk-
CRSP scientists at the Cellular and management intervention in the southern
Molecular Biology Research Center, rangelands of Ethiopia. Forty-one
University of Costa Rica, and the development agents from government
University of Wisconsin. These detection and NGOs were trained in Participatory
methods were used to evaluate tissue Rural Appraisal (PRA), 30 communities
samples of plants from Central America, were visited, and six community
Mexico, the Caribbean, Brazil and demonstration-project proposals were
Florida. They will assist in the submitted.
understanding of the epidemiology and
diversity of gemini viruses and facilitate • Carbon flux measurements from Central
resistance breeding, cultivar selection Asian rangelands are being compared
and the development of control with the carbon fluxes of steppe and
strategies. semi-desert rangelands of the western
United States and used to inter-validate
Global Livestock (GL) Collaborative flux models•
Research Support Program
(http://glcrsp.ucdavis.edu) The GL CRSP • Integrated assessment techniques and
aims to increase food security and improve analyses supported by the GL-CRSP are
the quality of life for people in developing currently being applied in the western
countries while bringing an international United States. Problems similar to those
focus to the research, teaching and extension researched in East Africa involving
efforts of U.S. institutions through conflicts between wildlife and livestock
collaboration between U.S. land-grant production systems are now being
institutions and national and regional addressed using the GL-CRSP
institutions abroad that are active in integrated assessment approach at
livestock research and development. In FY Yellowstone National Park and Rocky
2001: Mountain National Park.
• Analysis of data collected by the GL • The U.S. Grazing Lands Conservation
CRSP Child Nutrition Project in Kenya Initiative will benefit from the
showed that adding a small amount of nationwide application of the GL-CRSP
animal-source foods to the diet of school Livestock Early Warning System(LEWS).
children leads to statistically significant The system will reduce drought- and
48
market-induced risk to U.S. livestock for tomatoes. Under field conditions,
producers and improve production eggplant grafts produced 40-63percent
efficiencies, both objectives of the new and tomato grafts 7-14 percent higher
Farm Bill and the Funds for Rural yields than the non-grafted plants.
America Program.
• IPM CRSP research in the Philippines
Integrated Pest Management (IPM) showed that the amount of insecticide
Collaborative Research Support Program applied against the onion cutworm
(http://ww.ag.vt.edu/ipmcrsp)-The IPM (Spodoptera litura) was substantially
CRSP utilizes collaborative and reduced when insecticide sprays were
participatory methods to develop and properly timed using sex pheromone-
implement economically and baited traps. A single application at the
environmentally sustainable crop protection proper time resulted in the same onion
technologies. In FY2001: yields as weekly sprays. This has great
potential for reducing insecticide
• In Uganda, powdered fish bones used as treatments on onions.
bait increased predatory ant activity by
90 percent and suppressed termite Peanut Collaborative Research Support
damage to maize by 54percent compared Program
to untreated control plots. Fish bone bait (http://www.griffin.peachnet.edu/pnutcrsp.
is inexpensive to produce, can be html)-The Peanut CRSP seeks to increase
prepared locally, is easy to apply, and the global production and use of peanuts. It
does not require high-input technology. focuses on food safety, production
efficiency, postharvest technology and
• In Mali, experimental trials on a CRSP- marketing, and socio-economic research to
designed IPM treatment (neem extract enhance economic development. In FY
and colored traps) proved more 2001:
profitable for green bean cultivation
than the use of chemical pesticides. The • The 2001 BIFAD Chair’s Award for
cost of the IPM treatment is estimated at Scientific Excellence was awarded to Dr.
15,780F CFA ($22.29)/ha with an Timothy Phillips, based on his discovery
additional net profit of3,704,000 F CFA of aflatoxin-binding clays. The simple
($5,224.26)/ha on trial plots. addition of low levels of hydrated
sodium calcium aluminosilicate
• In Ecuador, impacts of changes in pest (HSCAS) clays to aflatoxin-
management technologies in potato were contaminated feed adsorbs aflatoxinin
measured. In the Central Region of the digestive tract of animals and
Ecuador, the net present value of IPM removes it through the feces without
control of the Andean weevil is estimated affecting vitamin A metabolism. All other
at $357,000. solutions to aflatoxin so far have
involved costly technologies not feasible
• The IPM CRSP/Bangladesh site for developing countries; therefore
explored grafting of susceptible plants aflatoxicosis leads to lost productivity
onto resistant rootstocks to overcome and the collapse of export industries.
bacterial wilt. Grafting efforts had This technology, and its local
success rates of more than 91 percent adaptations, is now used to treat 10
for cultivated eggplants and 98 percent percent of all commercially produced
49
animal feeds on a world scale. U.S. areas and will be useful in predicting the
farmers, as well as farmers in South limitations of pond soils in developing
America, Asia, Africa, Europe and countries and in pond aquaculture in
Australia all exploit this discovery. The general.
benefits to farmers of all scales as well
as its contributions to food security and • PD/A CRSP collaborators in Mexico
development rank this as a major and the United States identified over 100
achievement that satisfies completely the genes not previously identified in tilapia.
vision of the framers of the Title XII They also announced a research
legislation. breakthrough, showing induction of an
Mx gene, which is important to tilapia
• In a collaborative effort involving the immune system functions. This result
International Crops Research Institute may be useful for investigating the
for the Semi-Arid Tropics(ICRISAT), the health of this important aquaculture
Malawi Ministry of Agriculture, and the species. Additionally, cDNA libraries
University of Georgia, a variety with were established, and the researchers
early maturity and resistance to identified other important biomolecules
groundnut rosette disease was released involved in sex differentiation.
in Malawi. A similar activity is
underway in Uganda, where lines with • In a test of sex-reversal technologies,
resistance are being multiplied with PD/ACRSP researchers in Thailand
CRSP support to accelerate the impact used ultrasound to increase the
of ICRISAT-developed materials. In transport of three synthetic hormones
Nigeria, lines with rosette resistance from water into tilapia. This immersion
(SAMNUT21 and SAMNUT 22) were technique resulted in a more consistent
released from lines developed as a result and higher rate (98 to 100 percent) of
of earlier collaboration between the masculinization of tilapia fry, and
CRSP, Amadou Bello University, and the decreased the amount of time needed for
Institute for Agricultural Research successful sex reversal (two
(IAR),Nigeria. hours).Ultrasound may replace the
costly, inefficient, and risky technique of
Pond Dynamics/Aquaculture (PD/A) feeding synthetic testosterone for sex
(PD/A) Collaborative Research Support reversal of tilapia. Ultrasound also
Program (http://pdacrsp.orst.edu) The lowers the amount of hormones needed,
PD/A CRSP works to enhance the which benefits both hatchery workers
development and sustainability of and the environment.
aquaculture production systems to improve
food supplies and human nutrition. In FY • PD/A CRSP research in Peru led to the
2001: development of diet recommendations
for captive gamitana and paco, two
• A pond soil classification system was Amazonian fish species troubled by
developed with data from five years of inconsistent spawning due to inadequate
PD/A CRSP pond soils research at 12 nutrition. The guidelines recommend
sites. This system, which will be feeding the fish less protein and
integrated into the existing system of soil supplementing Vitamins C and E,
taxonomy, establishes a uniform method imitating their natural diets. Making
of describing pond soils from different these changes should not only increase
50
spawning success and the quality of tradeoffs between key sustainability
resulting fry but should also be more indicators under alternative policy and
economical for farmers in the Amazon technological scenarios, links data and
region. models in a geographic information
system(GIS) framework, utilizes
• Nine tilapia farmers on Luzon Island in minimum data, can be adapted to a wide
the Philippines participated in PD/A range of applications, and extrapolates
CRSP on-farm trials. This research in a GIS framework. A participatory
activity demonstrated that reducing feed process ensures that the data collected
rations by one-third can effectively and the results are of value to decision
lower tilapia grow-out costs without makers.
compromising growth or yield.
• In field trails conducted in 16 countries
Soil Management (SM) Collaborative by 20 collaborators, a new liquid
Research Support Program inoculant of the symbiotic nitrogen
(http://tpss.hawaii.edu/sm-crsp/)-The SM fixing B. japonicum performed better
CRSP works to improve soil fertility by than the conventional peat carriers of
helping to resolve nitrogen and phosphorus this microorganism. The best liquid
deficiency, soil acidity, water deficiency, inoculant increased soybean grain yield
and soil erosion and degradation. In by 760 kg/ha above the uninoculated
FY2001: control and 102 kg/ha above the peat
carrier. High-performance liquid
• Models for predicting landslide hazards inoculants are needed in Africa and Asia
were developed and validated using pre- where the conventional peat-based
and post-Hurricane Mitch data in inoculum is generally unavailable or too
Honduras. Geographic information expensive.
system analysis of the post-Mitch aerial
photos showed that incidences of The Sorghum/Millet (INTSORMIL)
landslides are highest in cultivated fields Collaborative Research Support Program
with little or no ground cover. Landslide (http://intsormil.unl.edu)-The INTSORMIL
incidence also increased sharply when CRSP supports mutually beneficial
slopes attained steepness of 12 to30 collaborative research of scientists in the
percent or more. These models enable national agricultural research system
policymakers and farm households to (NARS) and U.S. land-grant universities to
minimize soil loss by choosing practices remove constraints to sorghum and millet
that reduce erosion and by selecting production and to develop sorghum and
sites that are not susceptible to millet research capabilities and products that
landslides. alleviate hunger. The goal of this research is
to increase sorghum and millet productivity
• An existing decision support system for while conserving and sustaining the value
assessing tradeoffs between agricultural and diversity of natural resources. In FY
production and environmental impacts 2001:
of agriculture was converted to a new,
more generic version. The new software • Purdue University released three Striga
was renamed the Trade Off Analysis resistant varieties in Ethiopia, Texas A
(TOA) Model. This model provides & M University released an improved
decisionmakers with information on food quality sorghum variety in Mali,
51
and breeding lines with resistance to program of collaborative adaptive research
midge, greenbug, and downy mildew and technology transfer activities involving
were released in Zambia, Botswana, and CRSP scientists from the United States and
South Africa. researchers from Cape Verde, Senegal, The
Gambia, Mali, Burkina Faso, Niger, Chad,
• INTSORMIL food scientists in Niger and Cameroon, and Ghana. In FY
the United States (Purdue University 2001InterCRSP principal investigators from
and Texas A &M University) the United States and across the region met
collaborated on pilot-plant production of in Mali to prepare a synthesis document
high-quality flour, couscous, and degue describing the results of four and a half
(a breakfast food) from NAD-1 hybrid years of fieldwork. Achievements include:
sorghum, a hybrid sorghum now
commercially produced in Niger as a • Establishment of a well-functioning
result of INTSORMIL plant breeding regional research and technology
research. transfer infrastructure. In creating this
infrastructure, the InterCRSP
• In Central America, Kansas State complemented and supported the
University scientists and collaborators development of other regional
identified the main diseases of sorghum institutions and programs, notably the
as anthracnose and rust and initiated NRM regional programs of the Sahel
research to develop strategies and Institute(INSAH) and the NRM Research
tactics to reduce crop losses to these two Pole. Researchers and technology
pathogens. transfer agents in nine West African
countries are involved in the project.
• Research supported by INTSORMIL
University of Nebraska scientists in • Development of three distinct models for
Niger demonstrated the potential to use facilitating regional NRM research and
a profusely tillering variety of millet to technology transfer activities. The
produce both grain for human relative efficacy, achievements, and
consumption and forage for livestock. lessons learned from these models will
Tillers can be harvested for livestock be valuable in the future as West Africa
feed without reducing grain yield, thus and other regions seek to stimulate and
providing Sahelian millet farmers with support regional research and
amore economically rewarding cropping technology transfer programs.
system.
University/International Agricultural
West Africa National Resource Research Centers Linkage (UNIARCL)
Management (NRM) InterCRSP Program-In 1998, seven U.S. land-grant
(http://filebox.vt.edu/admin/internatinoal/r universities began projects with seven
esdev/entry.html)-The broad-scale transfer international agriculture research centers
of appropriate NRM technologies in West (IARCs) on eight identified constraints to
Africa is complicated by the harsh attaining African Food Security initiative
biophysical and socioeconomic realities and goals of increasing incomes and improving
the limited research and technology transfer child nutrition. Three of the projects
resources of the region. The West Africa completed their work in FY2001. These
NRM InterCRSP is responding to these were: Clemson University and the
constraints through an integrated regional International Center for Tropical Agriculture
52
(CIAT) project to develop tools for isolating the vaccine was completed. Antigen was
and cloning cassava genes for resistance to produced for the diagnostic kits and
African cassava mosaic virus and white scientists continued to work on optimizing
flies; Tuskegee University and the the kits. A workshop was held in Senegal
International Potato Center (CIP) project to where the diagnostic kit was tested, with
develop cultivars for resistance to sweet good results. Plans for expanded field-
potato feathery mottle virus; and testing at the Kenyan Agricultural Research
Washington State University and the Institute (KARI) are proceeding.
International Livestock Research Institute
(ILRI) project to develop vaccines against Partnerships with the International
babesiosis. Results of these collaborative Agricultural Research Centers
projects include the following:
The international agricultural research
• Five regenerable South African sweet centers (IARCs) have been instrumental in
potato cultivars were identified that making improved crop varieties available to
could either form embryogenic calli or poor farmers, thus improving food security
embryos that subsequently regenerated and reducing poverty. The IARCs work to
into plantlets. develop new varieties to address constraints
to agricultural production, such as poor
• A protocol was developed to make soils, pests and drought. Research is also
Bacterial Artificial Chromosome (BAC) focusing on developing new crop varieties
clones from cassava. Using the protocol, that can provide important micronutrients
a BAC library containing73,728 clones and thereby improve nutritional status of the
was constructed using the world’s poorest citizens, including children.
strainMECU72 that carries resistance to The IARCs are committed to increasing crop
the white flypest Aleurothachellus production in conjunction with
socialis. A second BAC library is now environmentally sound natural resource
under construction for cassava using the management. Research on the biological
clone NGA2 that contains resistance to control of pests and the development of
the African cassava mosaic virus. disease-resistant plant varieties has helped to
reduce pesticide use in developing countries.
• The genetic characterization of babesial
parasite loci enables the development of Consultative Group on International
new strategies to control babesiosis, the Agricultural Research (CGIAR)-The 16
most prevalent of the tick borne international agricultural research centers of
protozoal diseases of livestock, through the CGIAR continue to make significant
the targeting of genes required for contributions to improving food security and
invasion, replication, and transmission reducing poverty. Farmers in developing
of the disease. countries are now growing more than 300
CGIAR-developed varieties of wheat and
The Recombinant Rinderpest Vaccine rice and more than 200 varieties of maize.
Project-This project supports University of Future success in developing new crop
California-Davis scientists in the varieties with higher yields and other
development of a diagnostic test and a valuable traits depends on access to plant
vaccine for rinderpest, a scourge of cattle, genetic resources. The CGIAR holds in trust
buffalo and some species of wildlife. In FY the world’s largest collection of plant
2001, the production and quality testing of genetic resources comprising over 600,000
53
accessions of more than 3,000 crop, forage, hole with the seed. This technique has
and pasture species. The genetic resources been tested on 5,000 small farms.
held in trust are used to continually improve
crops to respond to changes in the growing • Reducing pesticide use has become an
environment, such as pests and diseases. urgent issue in many rice-growing
countries. Scientists at the CGIAR’s
American scientists (the largest single International Rice Research Institute
nationality grouping at the CGIAR centers) (IRRI) have developed innovative and
are active researchers in the CGIAR successful approaches to the problem.
systems. Fifty U.S. universities and other Already successful in Vietnam and now
institutions engage in nearly 90 cooperative being extended to Thailand, the program
research and development programs with the uses billboards, handouts and humorous
centers. Each center allocates 8 percent of its radio programs to discourage farmers
annual USAID core funding to support from applying pesticides when they are
research collaboration with the U.S. research not necessary. The goal is to reduce
community. Another important mission of pesticide use by one-half.
the CGIAR is to assist developing countries
in strengthening national agricultural • The Rice-Wheat Consortium for the
research capacities. More than 75,000 Indo-Gangetic Plains, which includes
scientists and technical personnel from scientists from CIMMYT and IRRI as
developing countries have received training well as partners from the national
at the CGIAR centers. FY 2001highlights agricultural research programs of South
include: Asia, has developed a low-till planting
method for wheat following rice.
• Two new maize varieties developed by Farmers in Bangladesh, India, Nepal,
the CGIAR’s International Maize and and Pakistan are taking advantage of
Wheat Improvement Center (CIMMYT), low-till’s numerous benefits, including
in collaboration with southern African saving water, increasing harvests, and
researchers, will provide grain when reducing greenhouse gas emissions. The
other varieties fail. Named “Grace” area sown to low-till has increased from
and“ZM521,” they have qualities a modest 3,000-plus hectares in 1998-99
especially valued by smallholder to more than 100,000 hectares in 2000-
farmers. In trials stretching from 2001.
Ethiopia to South Africa, ZM521
produced on average34 percent more • The Agricultural Research Service (ARS)
grain than currently grown varieties, of USDA cooperated with the
and its advantage under stress International Livestock Research
conditions was as high as 50 percent. Institute (ILRI) to understand genetic
relationships and disease resistance in
• New research at the International Crops sheep. This research has shown that
Research Institute for the Semi-Arid Native American breeds have an African
Tropics (ICRISAT) has shown that genetic background. This points to the
applying small doses of fertilizer at the importance and uniqueness of the native
right time can boost yields by 50 to 100 African sheep and the need to protect
percent. Using a commonly found and conserve them for their disease-
object–a soda bottlecap–farmers drop resistant traits.
six grams of fertilizer into the planting
54
• Thousands of people confronting nutritious crop a more attractive
drought and crop failures in Ethiopia, economic choice for farmers. Mungbean
India, and Pakistan face permanent is an important source of iron in a
paralysis from eating grasspea, a region where 70 percent of women are
legume crop typically fed to animals. anemic. AVRDC’s work with Indian
Grasspea is typically the last plant nutrition institutes has demonstrated
standing in times of drought. While that cooking mungbean and tomato
harmless to humans in small quantities, together more than doubles iron
a steady diet of grasspea seeds over a bioavailability. A program to increase
three-month period causes a nutritional awareness among low-
neurological disorder that frequently income consumers is being carried out.
results in paralysis. Researchers at the
International Center for Agricultural International Fertilizer Development
Research in the Dry Areas (ICARDA) Center (IFDC)-IFDC, an IARC that works
have developed grasspea lines that are closely with the CGIAR, receives an
completely safe for human consumption. institutional support grant from USAID.
The improved grasspea lines will be Under the grant, IFDC works to improve
distributed to countries most in need. household food security, achieve sustainable
agricultural production systems, improve
• Mahogany is one of the world’s most resource utilization, and stimulate market-
valuable timber species, but it is based agroenterprise development in
threatened by mismanagement and developing and emerging market countries.
overexploitation. Through research FY 2001 highlights include:
performed at the Center for
International Forestry Research • As part of its West African Program,
(CIFOR), much has been learned about IFDC extended the Integrated Soil
the silviculture of mahogany. Mahogany Fertility Management(ISFM) initiative
depends on periodic natural designed to reverse soil-nutrient mining
catastrophes that open the canopy. The and environmental degradation. ISFM
best technique for mahogany technologies are now being tested in
regeneration was found to be slash and seven countries covering 15 pilot sites in
burn, which yielded a 49 percent 70 villages involving more than 1,500
survival rate. The findings are being farmers. Initial results indicate that the
applied in Mexico, where Mayan Indians farmers have nearly tripled their yields
are being encouraged to plant with ISFM technologies
mahogany in their slash and burn fields.
• IFDC completed a fertilizer-sector
• Research on mungbean at the Asian assessment in Uganda in collaboration
Vegetable Research and Development with the Sasakawa Africa Association.
Center (AVRDC), an independent The study recommended that, because of
international research center, has led to the small Ugandan market, the Uganda
new, high-yielding types, which are fertilizer dealers source supplies in
being rapidly adopted in Pakistan, Kenya rather than globally. This has
northern India and Bangladesh. The new resulted in a 35 percent reduction of
mungbean can produce over 2 tons per fertilizer prices to smallholder farmers.
hectare, more than doubling current
yields and helping to make this • IFDC provided Engro Chemical
55
Pakistan, Ltd. with on-site technical AGRICULTURE AND THE
assistance on capacity, environmental
issues, energy consumption, raw ENVIRONMENT
materials usage, and safety in the Globalization, trade liberalization, and
startup of its new urea-based nitrogen- demographic shifts are transforming
phosphorus-potassium(NPK) plant. agriculture, creating challenges and
opportunities for maintaining the healthy
• A study was completed by IFDC on natural resource base on which sustained
“Implications of the Uruguay Round productivity depends. Population growth
Agreements for Agriculture and creates increased demand for food, while
Agribusiness Development in urban demographic shifts and higher
Bangladesh.” Among the report’s incomes generate markets for more diverse
conclusions was that Bangladesh should and higher quality products. To remain
strengthen its institutional capacity in competitive, small producers in developing
developing market information and countries must acquire the capacity to meet
infrastructure. food safety and product quality standards.
• The Information and Decision-Support Population growth in rural areas drives poor
System(IDSS) was extended, providing a farmers to convert forest to farms and to
mechanism to assess the socioeconomic cultivate fragile hillsides to meet increasing
and environmental impacts of food needs. Erosion depletes soil fertility,
agricultural research investments. The leading to a downward spiral toward
IDSS permits long-term sequential poverty. At the same time, pockets of
cropping simulations at different natural forest and wildlife are isolated,
technology levels to be compared with further threatening the natural resource base,
the biophysical sustainability of a and there is an increasing competition for
system. Economic information is water. Approximately 80 percent of the
generated to support decision makers in world’s freshwater supply is used in
designing and implementing agricultural agricultural production, often in irrigated
policy. systems that are inefficient and
environmentally unsustainable, while
• In greenhouse studies on the use of low- demand for potable water continues to
cost calcined iron-rich phosphate rocks expand. Three interdisciplinary USAID
as phosphorus(P) and iron (Fe) teams, water, biodiversity, and forestry,
fertilizers for grain crops grown on offer in-house technical capability in
alkaline soils in which P and Fe strategy formulation, program design,
nutrients are limiting crop growth, grain evaluation, and implementation support for
Fe density was increased by 17 percent agricultural and environmental activities.
for wheat and 21-35 percent for barley
having low phytic acid traits. Thus, Partnerships with U.S. Universities
combined plant breeding programs and
the use of Fe-rich P fertilizers can be Coastal Resources Management II
effective in increasing grain yield and Fe Cooperative Agreement (CRMII)-In 1985,
density of food crops grown on alkaline USAID began a cooperative agreement with
soils. the Coastal Resources Center at the
University of Rhode Island to assist
developing nations in implementing CRM
56
projects. The activity launched integrated canals for the presence of fecal coliform
coastal management (ICM) pilots in Asia bacteria. High levels of coliform
and Latin America (Ecuador, Sri Lanka, and bacteria, a significant health hazard,
Thailand) to identify principles for were found in most sites. Communities
developing workable coastal management made changes based on the data,
programs in different economic, social and leading to the reduction or elimination
political settings. ICM was recognized as a of coliform bacteria. Water quality is
promising response to environmental now being monitored in other cantons in
deterioration of the world’s coasts at the Ecuador and Peru. Partners include
1992 U.N. Conference on the Environment Auburn University, Pontificia
and Development(UNCED). After UNCED, Universidad Católica del Ecuador
many donors, governments, NGOs, and (PUCE), the Union of Indigenous and
universities added coastal management to Peasant Organizations of
their research, policy and program agendas. Cotocachi(UNORCAC), Yanapai Group
Following UNCED, many international (Peru), and Urpichallay Group (Peru).
agreements now identify ICM as one
mechanism to address critical coastal • An International Centre for Research in
degradation issues. Agroforestry(ICRAF) and SANREM
partnership developed and tested tree-
A follow-up cooperative agreement (CRM based agroforestry systems and
II) was approved in 1995. A second component technologies that have
generation of projects was begun in contributed to the sound management of
Indonesia, Kenya, Mexico and Tanzania that the buffer zone of the Mt. Kitanglad
addressed the following issues: integrated, Nature Park in the Philippines. The
transparent, participatory governance; partnership trained and worked with
destruction of critical habitats, including farmers in nurseries established under
mangroves, marshes, coral reefs, and the Landcare Approach and with
lagoons; over-fishing of fish and shellfish; farmer-based tree seed associations.
degradation of water quality; loss of Farmers are maintaining over 62,500
aesthetic quality important to both residents seedlings of a variety of timber and fruit
and tourists; loss of access to commonly tree species. This decentralized
held resources; and escalating conflicts approach has increased income and
among user groups. improved living standards in rural
communities, reduced dependence on
The Sustainable Agriculture and Natural nature regenerants as planting material
Resource Management (SANREM) and on forests for timber and wood,
Collaborative Research Support Program diversified the species base for use on
(www.sanrem.uga.edu)-The SANREM idle lands, and heightened awareness
CRSP supports the development and about soil conservation. Other partners
adoption of sustainable agricultural include Kitanglad Integrated, a
production and natural resource community-based organization; the
management practices. In FY 2001: National Integrated Protected Area
System; and the University of the
• In the Ecuadorian canton of Cotocachi, Philippines, Los Baños. ð• SANREM-
citizen volunteers in 46 communities trained water quality monitors presented
monitored surface and drinking water evidence of increasing watershed
from streams, springs and irrigation degradation to public officials and
57
decision makers at a meeting hosted by in CBNRM activities.
the mayor of Lantapan, Philippines. The
findings were presented by a delegation • The Gaza-Kruger-Gonarezhou Trans-
of Tigbantay Wahig (Water Watcher) boundary Natural Resource
Association volunteers and a member of Management Initiative is working to
Heifer Project International. The improve the management of protected
presentation resulted in the creation of a areas straddling the boundaries between
Lantapan Watershed Management Task South Africa, Mozambique and
Force, which identified concrete Zimbabwe. The project is identifying and
solutions to the problems discussed at implementing practices for sustainable
the meeting. Other project partners management of shared resources,
include Auburn University and Central working to resolve impediments to
Mindanao University in the Philippines. collaborative management of the
protected areas, and strengthening
Other Agency Activities capacity to manage the trans-boundary
park.
Rural and Agricultural Incomes with a
Sustainable Environment (RAISE) Integrated Water and Coastal Resources
Indefinite Quantity Contract (IQC)-RAISE Management, Indefinite Quantity Contract
is an innovative field support program that (Water IQC)-The Water IQC mechanism
harnesses the skills of over 30 partners, provides technical expertise to design and
including environmental NGOs, private carryout strategies and programs in
sector businesses, consulting firms, and U.S. integrated water and coastal resources
universities, to promote environmentally management via three alliances of business
sound development of agriculture and associations, environmental foundations,
natural resource based enterprises. In FY U.S. universities, and consulting firms. In
2001: FY 2001:
• USAID’s Agribusiness Development • Urban water demand in Jordan is
Assistance Program (ADAR) in Rwanda placing increasing pressure on irrigated
is facilitating a revitalization of the agriculture and the sustainability of
agribusiness sector as it shifts from water resources. The Jordan Water
reliance on international relief to more Resource Policy Support activity
sustainable agricultural production. In promotes the successful reform and
addition to initiating exports of Irish implementation of water policies that
potatoes and passion fruit, ADARhas will improve the sustainability of
developed a tool to identify quality, irrigated agriculture through the reuse
environment, health and safety of treated waste water and a reduction
challenges that limit the competitiveness in the over-extraction of groundwater.
of Rwandan agribusinesses.
• The Honduras Upper Watershed
• Following an analysis of 30 years of rehabilitation Project worked with
community based natural resource communities in the upper watershed
management (CBNRM)in Africa, a tool areas of the Ulua, Augan and Choluteca
was developed to assist decisionmakers rivers to mitigate the ecosystem
in evaluating potential micro and degradation and human devastation that
macroeconomic returns on investments occurred during Hurricane Mitch.
58
Activities focused on the rehabilitation development of water quality and water
of infrastructure, the implementation of management policies to address
integrated watershed management incomplete environmental legislation,
practices, forest management, fire water contamination, over-extraction of
control, soil conservation, improvements water from Lake Sevan, and unsafe
in hillside agriculture, and pesticide practices.
improvements in cattle ranching
practices. • Bolivia’s Cleaner Production Program
conducted audits of a tannery, a
• In Armenia, USAID is using an slaughterhouse, and quinoa processors
Integrated Water Resources and several training programs in energy
Management approach to foster the efficiency and cleaner production.
59
ANNEX FIVE
FY 2001 ACTIVITIES TO BRIDGE THE KNOWLEDGE DIVIDE
farmers and training offered by the private
TRAINING sector.
Education and training through degree and
The Collaborative Research Support
nondegree programs are critical elements of
Programs (CRSPs) continue to play an
capacity building in developing countries. In
important role in human capacity building.
the past three years, the number of
During FY 2001:
agricultural specialists and technicians
trained through the CRSPs and IARCs has • The Global Livestock CRSP assisted 62
been increasing. In FY 2001, over 5,000 students in degree training programs
participants received degrees or shorter-term and trained 514 participants from 11
technical training (Table 10). There is a countries and 120 organizations in non-
growing trend toward non-degree training degree short courses and workshops.
and dissemination of technical information
through sabbaticals, post-doctoral studies
and workshops, as well as field days for
TABLE 10 DEGREE AND NON-DEGREE TRAINING PROGRAMS29
FY 1999 FY 2000 FY 2001
Degree training completed (Ph.D., M.S., B.S./B.A.) 120 80 88
Degree training in progress (Ph.D., M.S., B.S./B.A.) NA 30 30 218
NA
Non-degree (sabbatical, post-doctoral, workshops, etc.) 1,226 1,910 4,787
Total 1,346 1,990 5,093
• Twelve Albanian specialists from the • The Pond Dynamics/Aquaculture CRSP
Plant Protection Institute, Fruit Tree assisted19 international graduate and 29
Research Institute and Agricultural undergraduate students, as well as seven
University of Tirana participated in an graduate and 12 U.S. undergraduate
Integrated Pest Management CRSP- students, with funding, training, and
organized statistical short course research opportunities. Researchers and
February 26-March 2,2001, with students gave 32 presentations in nine
Pennsylvania State University taking the countries to disseminate CRSP results to
lead role. over 130 host country agencies,
researchers, farmers, and students. Two
29
Data from CRSPs, IFDC, RAISE, USAID TraiNet/HAC Reports. Figures are best estimatesfrom several sources.
30
Data collection on the number of students continuing in a degree-training program was started in FY 2001
60
technical workshops were given to 35 cooperative development partnerships with
Honduran fingerling producers and colleges and universities overseas. UNCFSP
NGO representatives to discuss supports capacity building in Africa through
production techniques and analyze its Tertiary Education Linkages
fingerling demands. Five short courses Project(TELP) and its International
were given to Kenya Fisheries Development Partnerships(IDP). In FY
Department personnel 2001, one IDP and six TELP partnerships
had an agricultural component. During FY
• A Sustainable Agriculture and Natural 2001, ALO supported 11 ongoing
Resource Management CRSP project in partnerships with an agricultural focus with
Ecuador is enhancing both cultural and a total of $945,320 in Agency funding and
genetic conservation using the “memory initiated four new partnerships with a strong
banking” methodology, which agriculture focus:
documents cultural knowledge and plant
materials (especially seeds) of • Iowa State University (ISU) and the
traditional food crops and medicinal Universidad Nacional Agraria “La
plants. Conservation priorities were Molina” (UNALM) in Peruare
identified in consultation with local partnering to strengthen institutional
people. Women and youth were targeted capacity in sustainable agriculture and
for greater involvement in conservation the building of sustainable rural
activities. Two hundred and fifty communities. Faculty and student
children participated in biodiversity and exchanges and other collaborations are
water quality training, 16 attended centering on a new Master’s program in
workshops on biodiversity gardens, and agricultural innovation and development
16 attended workshops on Andean at UNALM and a new Master’s and
tubers. Ph.D. program in sustainable
agriculture at ISU.
• Two scientists from the National
Veterinary Institute and the Regional • To create a high altitude-adapted
Veterinary Reference Lab in Cote milking cow for the impoverished
D’Ivoire received training at UC-Davis altiplano region of Peru, researchers
through the Recombinant Rinderpest from the University of Wisconsin-
Vaccine Project. Madison and the Universidad Nacional
del Altiplano have established a
The Center for Human Capacity partnership to crossbreed yaks with
Development (HCD)-The Global Bureau’s cows. This partnership involves capacity
Center for Human Capacity Development building in the areas of in vitro embryo
(HCD) supports higher education and production and transfer and has an
training programs in developing countries ultimate goal of increasing employment
with competitive grants administered opportunities in the rural altiplano
through United Negro College Fund Special region.
Programs (UNCFSP) and the Association
Liaison Office for International • Texas A&M University System’s Texas
Development (ALO). ALO assists the Agricultural Experiment Station and the
nation’s six major higher education three member institutions of the
associations build partnerships with USAID Consorcio Técnico del Noreste de
and helps their member institutions foster México are collaborating to develop
61
sustainable grazing land production Bank, USAID,DFID, EU, GTZ, FAO,
systems in northeast Mexico and south IFC, AusAid), academics and experts on
Texas. Faculty and student exchanges land issues attended the donor
will bolster ongoing bi-national consultative meeting. The event
research, education, and development facilitated a discussion of approaches to
efforts. land issues and ways to incorporate
them effectively into a policy agenda and
• The focus of the partnership of Montana assistance programs. It also produced a
State University-Bozeman with the paper synthesizing best practices in land
University of Zagreband Osijek use. Six BASIS CRSP researchers played
University is fostering and sustaining key roles in the consultations and the
Croatia’s economic development regional follow-up meetings that were
through the cooperative business held in March and April 2002.
movement in the agricultural sector.
• An international workshop in Dakar,
WORKSHOPS/FORUMS Senegal on the “Genetic Improvement of
Cowpea”, held January 8-12, 2001, was
• In April 2001, USAID, USDA, and the organized by Bean/Cowpea CRSP
U.S. university community held a one- scientists from Purdue University and
day forum in Washington to discuss attended by 48 scientists and
implementation of the recently amended administrators from nine African
Title XII. The workshop focused on countries. The purpose of the meeting
addressing the impacts of globalization; was to review the state of the art in
partnerships between U.S. universities, genetic improvement in cowpeas and to
USDA, and USAID; economic develop coordinated work plans to
cooperation; market development versus address constraints to the development
subsidy; federal-state cooperation in and deployment of genetically improved
international trade and development; (including transgeneic) cowpeas in
and reversing the decline in long-term Africa.
training. The forum produced a concept
note entitled “University Alliance to • The Global 2000 Sorghum and Pearl
Eliminate World Hunger,” which is Millet Conference, organized by the
under discussion in the university INTSORMIL CRSP and co-sponsored by
community. the Instituto Nacional de Investigaciones
Forestales, Agrícolas y Pecuarias
• A joint consultation by USAID and the (INIFAP), Mexico and the International
World Bank’s Land Policy thematic Crops Research Institute for the Semi-
group took place during FY 2001. An Arid Tropics(ICRISAT), India, was held
electronic discussion was first held over in Guanajuato, Mexico. The conference
a four-week period throughout March, reviewed the status of sorghum and
during which 527 registered participants millet diseases nationally, regionally,
from more than 65 countries exchanged and globally. Participants from 21
271messages. This electronic discussion countries discussed diseases such as
framed the agenda for the donor ergot and grain mold, population
consultative meeting in April. Over 100 biology of selected pathogens, integrated
representatives of bilateral and management of disease, and effects of
multilateral donor agencies (World disease management on the crop
62
ecosystem. Crops Research Institute (CRI) and the
Savannah Agriculture Research Institute
• A regional workshop on “Bean Seed (SARI) in Ghana conducted
Multiplication, Dissemination, participatory integrated pest
Entrepreneurship and Quality Concerns management(IPM) technology testing
in East Africa: Current Status and and adoption activities utilizing Farmer
Future Needs” was held in Arusha, Field Schools and Participatory Action
Tanzania, January 12-14, 2001. The Research Trials. Over 250 people
workshop was attended by CRSP participated in these programs. The
scientists from Malawi, Tanzania and programs emphasized integrated crop
the United States, NGOs, and bean management, diagnostic and record-
breeders from Tanzania, Malawi, keeping skills, alternative management
Mozambique, and the Centro practices for cowpea production, and
Internacional de Agricultura Tropical marketing. Studies in West Africa
(CIAT). It explored issues surrounding indicate that farmers can expect at least
seed multiplication and dissemination. a 30 percent yield increase in cowpea
The Proceedings from the meeting are when IPM approaches are adopted.
posted on the East Africa Bean/Cowpea
CRSP website • Bean/Cowpea CRSP scientists in
(http://sustainableseedsystems.wsu.edu/p Tanzania and Malawi, in collaboration
roceedings/index.html). with Washington State University and
Michigan State University, promoted
• Participants of GL-CRSP Project PLAN seed dissemination and planting of
(Planificación Local Agropecuaria y de improved bean varieties to small
la Naturaleza),University of Wisconsin farmers. The project is working with
personnel, and local Madison-area commercial seed companies and farmers
farmers exchanged ideas, strategies and to expand seed production. In Malawi,
experiences related to improving the Bean/Cowpea CRSP supported the
livestock management in a workshop production of 6 metric tons of high-
with collaborators from Mexico, Bolivia quality seed, which was given to
and Ecuador Concern International for further
multiplication and distribution. An
• Forty-five participants from Africa additional 7.2 metric tons were
attended a regional workshop organized distributed to smallholder groups in
by the Peanut CRSP on “The Detection central Malawi.
and Management of Aflatoxinin Food”
at the University of Botswana. The • In collaboration with Honduran NGOs
workshop focused on improving food and the Sustainable Development
safety since people throughout the Network-Honduras(RDS-HN), Pond
continent are chronically exposed to this Dynamics/Aquaculture (PD/A)CRSP
toxin. scientists developed and launched a
website(http://acuacultura-ca.org.hn)
INFORMATION designed to provide information to
DISSEMINATION extension workers and farmers on fish
culture and connect them with NGOs
• Bean/Cowpea CRSP scientists at the and decision makers. In its first five
months of operation, the website
63
received 6,800 hits, and more than 300 • In Bolivia, Peanut CRSP researchers
people registered to receive information produced, published and distributed a
The site features over 100 documents, an handbook on best practices in peanut
Excel-based pond design model, a chat production to farmers in the Santa Cruz
room, and a page from which users can region. A seed supply system is being
send questions to aquaculture experts. established to ensure that adequate
supplies of the yield-increasing varieties
• PD/A CRSP research yielded four will be available. Processing
technical manuals and several training arrangements are being investigated.
modules. The Thailand Project
developed a manual with simple • The Sustainable Agriculture and Natural
guidelines on fertilization, supplemental Resource Management (SANREM)
feeding, and pond management, as well CRSP partnered with the U.N. Food and
as basic extension materials. The Peru Agriculture organization(FAO) and the
Project produced a manual on Global Forum for Agricultural Research
broodstock preparation and selection, to design and implement an
ovulation and spawning, and hormonal internationale-conference on
treatment for inducing reproduction in “Integrating Sustainable Food Security
two Amazonian fish species. The Dimensions into the Research Agenda of
Honduras Project developed a 37- the National Agricultural Research
pagebooklet that describes methods of System (NARS)”. This effort resulted in
tilapia production on Central American a publication of guidelines that can be
farms. The Mexico Project produced a used by the NARS to broaden their
manual on masculinization of Nile participatory research agenda while
tilapia fry and safe handling procedures. addressing food security. This
The Kenya Project developed modules publication, “Integrating Food Security
for training Fisheries Department Issues into Agricultural Research”, can
extension officers and undergraduates in be accessed from the FAO Corporate
the Moi University Department of Document Repository
Fisheries. (http://www.fao.org/documents).
64
ANNEX SIX
FUTURE DIRECTIONS FOR AGRICULTURE
USAID INTERIM AGRICULTURAL STRATEGY
profitably to a broader range of consumers.
In the developing world, more than 800
million people go to bed hungry each night. Knowledge—and the capacity to harness its
Most of these individuals live in Sub- opportunities—is now recognized as a major
Saharan Africa and South Asia, although driver of the development process in the
there are groups in all regions vulnerable to global economy. Those without knowledge
undernutrition, either continuously or during or skills to participate and compete in this
specific seasons. Many of the hungry are economy are excluded from the potential
farmers, but they are unable to produce benefits associated with greater information,
adequate food and income to ensure their commodity, and resource exchange. It is no
household’s well-being. Even for the urban surprise, then, that the capacity to
poor, safety nets are crisis-oriented, innovate—to develop new knowledge and
although a limited amount of donor-financed apply it productively—defines the countries
assistance is sometimes available to address that are most competitive in global markets.
the needs of the most vulnerable.
Fortunately, there is currently a convergence
More than two billion children will be born of many elements that could enable
over the next 20 years, and more than 95 agricultural producers and rural industries in
percent of them will live in the developing USAID-assisted developing and transition
world. To provide diets adequate for a countries to better meet the dual challenges
healthy and active population, agricultural of food production (for reducing hunger)
producers in developing countries must be and globalization (for promoting long-term
able to more than double the current income growth):
productivity of their land, labor, and water
resources. • The development of agricultural science
and technology, especially in the United
But agricultural4 producers cannot do this on
States, has fostered extraordinary
their own. Science, training, credit,
advances in biotechnology,
infrastructure, and external investments
bioinformatics, and expanded
must all come together to achieve the
applications of geospatial and modeling
needed agricultural transformation at the
tools
production level and the sector level. Also,
increased integration into global markets is
• Recent analyses of economic
critical for developing and transition development confirm the importance of
countries. Not only will such integration agricultural productivity as a critical
contribute to making available new stimulus to broad-based, rural-led
production and processing technologies, but economic growth. These analyses have
it will also expand the opportunities for led to new appreciation of the power of
developing country agricultural producers those multipliers to translate
and rural industries to market higher value agricultural growth into rural
crops and products competitively and
65
development. through training, outreach, and adaptive
research at the local level; and
• Non-governmental organizations
(NGOs) have collaborated with farmers • Promoting sustainable agriculture and
and farmer organizations in developing sound environmental management.
new approaches to transferring
technologies, accessing markets, and Providing leadership in promoting a “new
tapping new sources of finance. agriculture” implies significantly increased
investments in agriculture but also renewed
• Embracing the call for improved commitments from other donors. However,
democratic governance and responding this will not happen automatically. USAID
to the potential of the growing global will build on its comparative advantages to
marketplace, many developing and provide the needed leadership in restoring a
transition country governments have commitment to agriculture and hunger
begun to put in place the economic, reduction. These comparative advantages
legal, and regulatory systems that include our potential to mobilize significant
facilitate greater engagement of grant financing resources; our ability to
agricultural producers in local and engage multilateral and bilateral partners in
regional as well as global markets. common agendas; our capacity to mobilize
the U.S.-based, high-quality network of
• Finally, USAID has been provided with scientific and technological expertise and to
a new and more positive legislative partner with the interests and experience of
framework that supports the emergence the most competitive entrepreneurial and
of a “new agriculture” in developing corporate system in the world; our
and transition countries. Revised Title organizational knowledge, accumulated
XII legislation passed in FY 2000 over50 years of implementing development
restates the United States’ commitment programs; and our strong field presence.
to the goal of preventing famine and
freeing the world from hunger. Many of USAID’s programs already
respond to these challenges individually.
Over the next five years, USAID will renew However, in order to improve the Agency’s
its leadership in the provision of agricultural effectiveness as a key foreign policy
development assistance. This will be framed instrument, the Administration has begun to
by a new agricultural strategy that will coordinate and focus Agency resources and
reflect adaptations to major emerging capabilities to address hunger and poverty.
opportunities including: The new central bureau of Economic
Growth, Agriculture, and Trade will provide
• Accelerating agriculture science-based a new emphasis on the Agency’s total
solutions, especially using portfolio of agriculture programs and
biotechnology, to reduce poverty and activities with the ultimate goal of creating
hunger; and cultivating viable market oriented
economies. This central bureau will
• Developing global and domestic trade highlight environmental sustainability, the
opportunities for farmers and rural development of human capital and the
industries; interdependence of economic growth and
agricultural development.
• Bridging the rural knowledge divide
66
No development effort is sustainable Even within individual regions and
without economic growth and food security. countries, rural populations are highly
The Agency will seek to increase support for heterogeneous. To be cost effective, the
economic growth and agriculture programs activities identified must be capable of being
that reduce poverty and hunger, while scaled up, either by private or public sector
finding better ways to mobilize and to organizations. Risk is also important, but as
partner with the private sector. One the microfinance experience has shown us, it
mechanism the Agency would like to pursue cannot serve as an excuse to avoid reaching
is Global Development Alliances (GDAs). down to the poorest.
GDAs could become a fundamental
reorientation of USAID’s role in providing Equally important, agricultural development
international development assistance. Using is now seen as part, not the whole, of the
the GDA approach, the Agency could serve solution. Investments in infrastructure,
as a catalyst to mobilize the ideas, efforts, health, and education both reinforce and are
and resources of the public sector, corporate made more viable by investments in
America, the higher education community, agricultural growth.
and non-governmental organizations in
support of shared objectives. USAID’s Over the next year, we intend to lay a
extensive field presence and technical stronger intellectual foundation for USAID
expertise give the Agency the ability to agriculture sector programming by
integrate, coordinate, and facilitate a public- developing a new strategy. We assume that
private alliance among different U.S. actors. the formation of specific Global
Development Alliances, the public-private
Under each “new agriculture” theme, the partnership modality that has characterized
Agency also proposes to launch a set of part of our current agricultural portfolio, will
activities that broadly signal a shift in be significantly expanded. Highlights of this
USAID leadership in this sector and may new strategy will be included in next year’s
leverage new commitments and funding Title XII Report to Congress.
from others. Selecting the activity most
appropriate for a given region, set of
households, or group of producers will
involve participatory approaches to both
research and technology transfer.
67
ANNEX SEVEN
ACRONYMS
AAATA Assistance to Albanian Agricultural Trade Associations
ABSP Agricultural Biotechnology for Sustainable Productivity Project
ADAR Agribusiness Development Assistance Program
AEC Agro-Enterprise Center
AFR Africa
AFSI Africa Food Security Initiative
AGOA African Growth and Opportunity Act
ALO Association Liaison Office
AMIS Agribusiness and Marketing Improvement Strategies Project
ANE Asia and the Near East
ANMAT Adapting Nutrient Management Technologies Project
ARS Agriculture Research Service, USDA
ASME Agribusiness small and medium enterprise
ASNAPPP Agribusiness and Sustainable Natural African Plant Products Project
ATRIP Africa Trade and Investment Initiative
AVRDC Asian Vegetable Research and Development Center
AusAID Australian Government Overseas Aid Program
BASIS Broadening Access and Strengthening Input Marketing Systems CRSP
BBI Biotechnology and Biodiversity Interface
B/C Bean/Cowpea CRSP
BHR Bureau of Humanitarian Response
BIFAD Board for International Food and Agricultural Development
BOA Board of Agriculture, NASULGC
CADEFOR Amazonian Center for Sustainable Forest Enterprise
CARESDA Caribbean Research and Development Associates
CASP Collaborative Agribusiness Support Program
CBNRM Community-based Natural Resources Management
CEE Central and Eastern Europe
CGIAR Consultative Group on International Agricultural Research
CIAT International Center for Tropical Agriculture
CIFOR Center for International Forestry Research
CIMMYT International Maize and Wheat Improvement Center
CIP International Potato Center
CLUSA Cooperative League of the USA
CMD Cassava Mosaic Disease
68
COMESA Common Market of East and Southern Africa
CRM II Coastal Resources Management Cooperative Agreement II
CRSP Collaborative Research Support Program
CSD Child Survival and Development
DAC Development Assistance Committee
DBMC Dominica Banana Marketing Corporation
DCA Development Credit Authority
DEI Dairy Enterprise Initiative
DFA Development Fund for Africa
DFID Department for International Development (United Kingdom)
E&E Europe and Eurasia
EGAD Center for Economic Growth and Agricultural Development, USAID
ESF Economic Support Fund
EU European Union
FAO Food and Agriculture Organization of the United Nations
FEWS Famine Early Warning System
FS II Food Security II
FSA Freedom Support Act
FSAC Food Security Advisory Committee
FSR/E Farming Systems Research and Extension
FSU Former Soviet Union
FTAA Free Trade Area of the Americas
FY Fiscal Year
G Global
GAIN Global Alliance for Improved Nutrition
GATT General Agreement on Tariffs and Trade
G/EGAD/AFS Global Bureau/Center for Economic Growth and Agricultural Development/Office of
Agriculture and Food Security, USAID
GIS Geographical Information System
GISD Geospatial Information for Sustainable Development
GL Global Livestock CRSP
GTN Global Technology Network
GTZ German Technical Cooperation Society
HACCP Hazard Analysis of Critical Control Points
HCD Center for Human Capacity Development
IARC International Agricultural Research Center
ICRAF International Center for Research on Agroforestry
ICLARM International Center for Living Aquatic Resources Management
ICM Integrated Coastal Management
69
ICRISAT International Crops Research Institute for the Semi-Arid Tropics
IEHA Initiative to End Hunger in Africa
IESC International Executive Service Corps
IFC International Finance Corporation
IFDC International Fertilizer Development Center
IIC International Irrigation Center
IITA International Institute for Tropical Agriculture
ILRI International Livestock Research Institute
IMAS Integrated Management and Assessment System
INRM Integrated Natural Resources Management
INTSORMIL Sorghum/Millet CRSP
IPM Integrated Pest Management
IRRI International Rice Research Institute
IQC Indefinite Quantity Contract
ISFM Integrated Soil Fertility Management
IWMI International Water Management Institute
KARI Kenya Agricultural Research Institute
KIS Knowledge Information Systems
LAC Latin America and the Caribbean
LEWS Livestock Early Warning System
MAMA Macedonian Agribusiness Marketing Activity
MAP Market Access Program
MIS Market Information System
NARS National Agricultural Research Systems
NASULGC National Association of State Universities and Land Grant Colleges
NEPAD New Partnership for African Development
NGO Non-governmental organization
NTAE Non-traditional agricultural exports
OECD Organization for Economic Cooperation and Development
OFDA Office of Foreign Disaster Assistance
PD/A Pond Dynamics/Aquaculture CRSP
PFID Partnership for Food Industry Development
PPC Policy and Program Coordination
POA Partners of the Americas
PRARI Program to Revitalize Agriculture through Regional Investment
PRN Poverty Reduction Network
PRSP Poverty Reduction Strategy Paper
PVO Private Voluntary Organization
RAISE Rural and Agricultural Incomes with a Sustainable Environment
70
SANREM Sustainable Agriculture and Natural Resource Management CRSP
SARRNET Southern Africa Root Crop Research Network
SCAA Specialty Coffee Association of America
SPARE Strategic Partnership for Agricultural Research and Education
SPS Sanitary Phyto-Sanitary
TED Trade Education Database
TELP Tertiary Education Linkages Project
UNCED United Nations Conference on the Environment and Development
UNCFSP United Negro College Fund Special Programs
USAID U.S. Agency for International Development
USDA U.S. Department of Agriculture
WFS:fyl World Food Summit: five years later
WHO World Health Organization
WSSD World Summit on Sustainable Development
WTO World Trade Organization
The Title XII Report was prepared by the Office of Agriculture and Food Security, Center for
Economic Growth and Agricultural Development, Global Bureau, USAID with the assistance of
Leslie Hunter, Anne Green, and Barbara Negley.
United States Agency for International Development, Washington, DC 20523 • 202-712-0000 •
www.usaid.gov
1
FAOSTAT data, 2002, www.fao.org/waicent/portal/statistics_en.asp
2
The table at page 26 provides a breakdown by country of USAID funding to trade-related capacity building. This
list is not comprehensive. Other trade capacity-building activities not coded as agricultural activities may also be
important for agricultural trade.
3
Diaz-Bonilla and Thomas, “Trade and Food Security”, 2020 Focus 8:4/13, Aug 2001, IFPRI.
4
As used in Title XII, as amended, “agriculturists” includes farmers, herders, and livestock producers, individuals
who fish and others employed in cultivating and harvesting food resources from salt and fresh waters, individuals
who cultivate trees and shrubs and harvest non-timber forest products, as well as the processors, managers, teachers,
extension specialists, researchers, policymakers, and others who are engaged in the food, feed, and fiber system and
its relationships with natural resources.
71
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