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INTERNATIONAL FOOD
POLICY RESEARCH INSTITUTE
sustainable solutions for ending hunger and poverty




              Food, Nutrition, Agriculture
                 and the Millennium
                 Development Goals
                                                      Joachim Von Braun
                                         Director General
              International Food Policy Research Institute
                                      IICA, May 28th 2004
Overview of Presentation

      1. Millennium Development Goals
         (MDGs) origin, concept and pitfalls

      2. The role of Agriculture on MDGs

      3. Challenges and disruptions on path
         to achieving MDGs


INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 2
Origin and concept of MDGs

        Millennium Declaration Goals

        Strong international commitment

        Eight Millennium Development Goals
         (MDGs), and one or more targets for
         each.

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 3
Millennium Development Goals
    1. Eradicate extreme hunger and poverty
    2. Achieve universal primary education
    3. Promote gender equality and empower
       women
    4. Reduce child mortality
    5. Improve maternal health
    6. Combat HIV/AIDS, malaria and other diseases
    7. Ensure environmental sustainability
    8. Develop a global partnership for development
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 4
Towards achieving MDGs: Trend of
           undernourished people
                                                              Developing World
                                  950
                                        920                   Developing world without China
        Millions Undernourished



                                  900
                                  850
                                  800             817
                                  750                          780               798
                                  700
                                  650
                                                                             663
                                  600    616            624      635
                                  550
                                  500
                                        1979-81    1990-92     1995-1997    1999-2001



INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                                             Page 5
Problems facing MDG achievement
       Theoretical problem: for efficient
        achievement of goals you need at least
        as many instruments as goals
        (Tinbergen)
       A goal by goal approach may lead to
        inefficient instrument portfolios (e.g.
        agriculture, infrastructure neglected)
       Roadmap to reach MDGs is missing
       Lack of country and regional strategy

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 6
Agriculture and MDGs

     Agriculture is important in stimulating
      sustainable economic growth and rural
      employment, and it can be the
      cornerstone for food security and poverty
      reduction

     Agriculture serves many of the MDGs


INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 7
MDG 1: Eradicate extreme hunger
                    and poverty
    Agriculture plays a crucial role in poverty
              and hunger eradication
                              Agriculture employment and undernourishment,
                                               1996 - 2000

                            < 2. 5
        undernourished
        % of population




                          2. 5 - 4

                           5 - 19

                          20 -3 4

                            > 35

                                     0%    10%     20%      3 0%     40%     50%      60%      70%
                                      Agr icultur e emp loyment as a % of total emp loyment ( %)

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                                                         Page 8
                                                                                    Source: FAO, 2003
MDG 1: Eradicate extreme hunger
                   and poverty
                    DIRECT EFFECTS
       1. Agricultural productivity growth
          increases food availability and raises farm
          income improving consumption levels
       2. Improves asset levels to enhance
          production and diminishes effects of
          shocks in the future
       3. Increased production will decrease prices,
          improving purchasing power of the poor

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE       Page 9
MDG 1: Eradicate extreme hunger
                   and poverty
                   INDIRECT EFFECTS
       1. Households depending on rural non-farm
          economy and agro-industrial sector will:
                  Increase income
                  Lead to more diversified and resilient economies
                  Increase demand for agricultural products
                   (virtuous cycle)
       2. Agriculture as engine of growth across all
          other national economies


INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                 Page 10
MDG 2: Achieve Universal Primary
                  Education
      1. Use of labor saving agricultural technology,
         reduces opportunity cost of farmer’s children
         attending school.

      2. Broad economic growth will demand
         increasingly skilled labor, increasing returns
         of investing in children’s education

      3. Agriculture-led economic growth should free
         more public resources to invest in education
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE       Page 11
MDG 3: Promote gender equality
             and empower women
          Improving agricultural productivity and
          empowering women works both ways:
       1. Women’ s principal productive activities
          are in agriculture in developing world.
          Improving agriculture institutions in
          which women participate will promote
          economic opportunities for women.

       2. Gender equality is a precondition for
          agriculture and rural development
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE      Page 12
MDG 4: Reduce child mortality
      1. Agriculture assures food and nutrition
         security, decreasing child mortality

      2. Women as caregivers: agricultural labor
         and time saving innovations will free time
         to care for their children

      3. Dynamic agricultural sector will free
         resources for health spending

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE      Page 13
MDG 5: Improve maternal health
      1. Agriculture can improve the quality
         of diets of women, improving
         maternal health

      2. Increasing micronutrient content in
         food crops, declines prevalence of
         micronutrient deficiency among
         women, making maternal mortality
         rates drop.

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 14
MDG 6: Combat HIV/AIDS,
                malaria and other diseases
      1. Good nutrition achieved though a dynamic
         agriculture will help mitigate impacts of
         HIV/AIDS
      2. Improved agricultural productivity
         reduces risky behaviors, e.g. labor
         migration exposes population to new
         diseases.
      3. Agricultural technology can create labor
         saving techniques for HIV affected
         households facing loss of labor power.
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE   Page 15
MDG 7: Ensure environmental
                    sustainability
   1. Agriculture is the biggest user of water. Need
      for an efficient and sustainable agricultural
      sector and the public revenues that accrue
      from it that will enable greater levels of public
      provision of safe drinking water and
      improved sanitation.
   2. A productive and sustainable agricultural
      system requires less land, leaving marginal
      agricultural lands to other uses (forests and
      other critical habitats)

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE      Page 16
MDG 7: Ensure environmental
                sustainability (Cont’d)
    3.      Population pressures in urban slums can be
            alleviated with profitable agriculture systems

    4. Proper agricultural policies have the
       potential of allowing full costs of agricultural
       technologies to be considered:
          •     reducing the scope for excessive nutrient run-off
                from agriculture
          •     providing incentives for efficient energy use in the
                sector
          •     ecologically sustainable use of a range of
                technologies
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                  Page 17
MDG 8: Develop a global
               partnership for development
      1. International agriculture institutions are
         ahead in terms of global partnership. MDGs
         could learn from this experience (e.g. CGIAR,
         GFAR)
      2. Need for a harmonized and rationalized
         global agricultural trade that will benefit poor
         agricultural producers
      3. PRSPs should target agriculture as its the
         economic foundation for most poor people
      4. Effective agricultural development will help
         decrease youth unemployment.
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE       Page 18
Challenges to MDGs?
                         Decreasing World Cereal Stocks
                                                  World Cereal Stocks

                       700

                       600

                       500
        million tons




                       400

                       300

                       200

                       100

                         0
                             1960   1965   1970   1975    1980     1985   1990   1995   2000


INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                                               Page 19
Challenges to MDGs?
                  Increasing World Cereal Prices
                                 Maize and Wheat International Prices

                  165
                               Maize
                  155          Wheat
                  145
                  135
        U$S/Ton




                  125
                  115
                  105
                  95
                  85
                        1998       1999    2000     2001    2002        2003   2004

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                                          Page 20
Projections to 2015

     Progressive Policy Actions Scenario:
          New Focus on Agricultural Growth and
           Rural Development
     Policy Failure Scenario:
          Trade and Political Conflict, Rise in
           Protectionism Worldwide
     Technology and Resource Management Failure
     Scenario:
          Adverse Technology/Natural Resource
           Interactions
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE       Page 21
World Cereal Production

                                     Progressive Policy Actions
                    3,500            Policy Failure
                                     Technology and Resource Management Failure
                    3,000
       million mt




                    2,500


                    2,000


                    1,500
                              1997                    2015          2030          2050

INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                                             Page 22
Number of Malnourished Children
                 in the World

                           200


                           160
        Million children




                           120


                           80
                                 Progressive Policy Actions
                           40
                                 Policy Failure

                                 Technology and Resource Management Failure
                            0
                                  1997              2015           2030       2050



INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE                                         Page 23
Contribution of Agriculture to MDGs
     Direct and Indirect contribution of        : strong
                                                : medium
     agriculture to MDG achievement              : low
     1. Eradicate extreme hunger and poverty   
     2. Achieve universal primary education    
     3. Promote gender equality and empower    
        women
     4. Reduce child mortality                 
     5. Improve maternal health                
     6. Combat HIV/AIDS, malaria and other     
        diseases
     7. Ensure environmental sustainability    
     8. Develop a global partnership for       
        development
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE           Page 24

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Food, Nutrition, Agriculture and the Millennium Development Goals

  • 1. INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE sustainable solutions for ending hunger and poverty Food, Nutrition, Agriculture and the Millennium Development Goals Joachim Von Braun Director General International Food Policy Research Institute IICA, May 28th 2004
  • 2. Overview of Presentation 1. Millennium Development Goals (MDGs) origin, concept and pitfalls 2. The role of Agriculture on MDGs 3. Challenges and disruptions on path to achieving MDGs INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 2
  • 3. Origin and concept of MDGs  Millennium Declaration Goals  Strong international commitment  Eight Millennium Development Goals (MDGs), and one or more targets for each. INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 3
  • 4. Millennium Development Goals 1. Eradicate extreme hunger and poverty 2. Achieve universal primary education 3. Promote gender equality and empower women 4. Reduce child mortality 5. Improve maternal health 6. Combat HIV/AIDS, malaria and other diseases 7. Ensure environmental sustainability 8. Develop a global partnership for development INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 4
  • 5. Towards achieving MDGs: Trend of undernourished people Developing World 950 920 Developing world without China Millions Undernourished 900 850 800 817 750 780 798 700 650 663 600 616 624 635 550 500 1979-81 1990-92 1995-1997 1999-2001 INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 5
  • 6. Problems facing MDG achievement  Theoretical problem: for efficient achievement of goals you need at least as many instruments as goals (Tinbergen)  A goal by goal approach may lead to inefficient instrument portfolios (e.g. agriculture, infrastructure neglected)  Roadmap to reach MDGs is missing  Lack of country and regional strategy INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 6
  • 7. Agriculture and MDGs  Agriculture is important in stimulating sustainable economic growth and rural employment, and it can be the cornerstone for food security and poverty reduction  Agriculture serves many of the MDGs INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 7
  • 8. MDG 1: Eradicate extreme hunger and poverty Agriculture plays a crucial role in poverty and hunger eradication Agriculture employment and undernourishment, 1996 - 2000 < 2. 5 undernourished % of population 2. 5 - 4 5 - 19 20 -3 4 > 35 0% 10% 20% 3 0% 40% 50% 60% 70% Agr icultur e emp loyment as a % of total emp loyment ( %) INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 8 Source: FAO, 2003
  • 9. MDG 1: Eradicate extreme hunger and poverty DIRECT EFFECTS 1. Agricultural productivity growth increases food availability and raises farm income improving consumption levels 2. Improves asset levels to enhance production and diminishes effects of shocks in the future 3. Increased production will decrease prices, improving purchasing power of the poor INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 9
  • 10. MDG 1: Eradicate extreme hunger and poverty INDIRECT EFFECTS 1. Households depending on rural non-farm economy and agro-industrial sector will:  Increase income  Lead to more diversified and resilient economies  Increase demand for agricultural products (virtuous cycle) 2. Agriculture as engine of growth across all other national economies INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 10
  • 11. MDG 2: Achieve Universal Primary Education 1. Use of labor saving agricultural technology, reduces opportunity cost of farmer’s children attending school. 2. Broad economic growth will demand increasingly skilled labor, increasing returns of investing in children’s education 3. Agriculture-led economic growth should free more public resources to invest in education INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 11
  • 12. MDG 3: Promote gender equality and empower women Improving agricultural productivity and empowering women works both ways: 1. Women’ s principal productive activities are in agriculture in developing world. Improving agriculture institutions in which women participate will promote economic opportunities for women. 2. Gender equality is a precondition for agriculture and rural development INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 12
  • 13. MDG 4: Reduce child mortality 1. Agriculture assures food and nutrition security, decreasing child mortality 2. Women as caregivers: agricultural labor and time saving innovations will free time to care for their children 3. Dynamic agricultural sector will free resources for health spending INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 13
  • 14. MDG 5: Improve maternal health 1. Agriculture can improve the quality of diets of women, improving maternal health 2. Increasing micronutrient content in food crops, declines prevalence of micronutrient deficiency among women, making maternal mortality rates drop. INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 14
  • 15. MDG 6: Combat HIV/AIDS, malaria and other diseases 1. Good nutrition achieved though a dynamic agriculture will help mitigate impacts of HIV/AIDS 2. Improved agricultural productivity reduces risky behaviors, e.g. labor migration exposes population to new diseases. 3. Agricultural technology can create labor saving techniques for HIV affected households facing loss of labor power. INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 15
  • 16. MDG 7: Ensure environmental sustainability 1. Agriculture is the biggest user of water. Need for an efficient and sustainable agricultural sector and the public revenues that accrue from it that will enable greater levels of public provision of safe drinking water and improved sanitation. 2. A productive and sustainable agricultural system requires less land, leaving marginal agricultural lands to other uses (forests and other critical habitats) INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 16
  • 17. MDG 7: Ensure environmental sustainability (Cont’d) 3. Population pressures in urban slums can be alleviated with profitable agriculture systems 4. Proper agricultural policies have the potential of allowing full costs of agricultural technologies to be considered: • reducing the scope for excessive nutrient run-off from agriculture • providing incentives for efficient energy use in the sector • ecologically sustainable use of a range of technologies INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 17
  • 18. MDG 8: Develop a global partnership for development 1. International agriculture institutions are ahead in terms of global partnership. MDGs could learn from this experience (e.g. CGIAR, GFAR) 2. Need for a harmonized and rationalized global agricultural trade that will benefit poor agricultural producers 3. PRSPs should target agriculture as its the economic foundation for most poor people 4. Effective agricultural development will help decrease youth unemployment. INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 18
  • 19. Challenges to MDGs? Decreasing World Cereal Stocks World Cereal Stocks 700 600 500 million tons 400 300 200 100 0 1960 1965 1970 1975 1980 1985 1990 1995 2000 INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 19
  • 20. Challenges to MDGs? Increasing World Cereal Prices Maize and Wheat International Prices 165 Maize 155 Wheat 145 135 U$S/Ton 125 115 105 95 85 1998 1999 2000 2001 2002 2003 2004 INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 20
  • 21. Projections to 2015 Progressive Policy Actions Scenario: New Focus on Agricultural Growth and Rural Development Policy Failure Scenario: Trade and Political Conflict, Rise in Protectionism Worldwide Technology and Resource Management Failure Scenario: Adverse Technology/Natural Resource Interactions INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 21
  • 22. World Cereal Production Progressive Policy Actions 3,500 Policy Failure Technology and Resource Management Failure 3,000 million mt 2,500 2,000 1,500 1997 2015 2030 2050 INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 22
  • 23. Number of Malnourished Children in the World 200 160 Million children 120 80 Progressive Policy Actions 40 Policy Failure Technology and Resource Management Failure 0 1997 2015 2030 2050 INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 23
  • 24. Contribution of Agriculture to MDGs Direct and Indirect contribution of  : strong  : medium agriculture to MDG achievement  : low 1. Eradicate extreme hunger and poverty  2. Achieve universal primary education  3. Promote gender equality and empower  women 4. Reduce child mortality  5. Improve maternal health  6. Combat HIV/AIDS, malaria and other  diseases 7. Ensure environmental sustainability  8. Develop a global partnership for  development INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE Page 24