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FOOD SECURITY
 Concepts, Basic Facts,
and Measurement Issues

     June 26 to July 7, 2006
       Dhaka, Bangladesh
Rao 5a:
    The Choice of a Policy
          Strategy
Learning: Trainees will learn that while
strategies focused exclusively on supply or
entitlements or nutrition will almost never
be relevant, relative weights attached to
these pure strategies deserve careful
consideration. They will learn to identify
key elements of each pure strategy in any
such exercise.
Brief Contents
• policy strategies broadly classified: 1) supply, 2) entitlement
  promotion, and 3) utilization/nutrition approaches
• choice of strategy governed by dominant food deficit types
  coupled with major problems in utilization and stability
• key features of production and supply based approaches
• rationale & objections to self-sufficiency; self-sufficiency vs
  self-reliance
• general role of poverty reduction, safety nets
• food-based nutrition interventions: dietary
  improvement, food fortification
• micronutrient supplementation & related health
  interventions
Policy Strategies
• Corresponding to the 3 analytical approaches
  (availability, access, utilization), we distinguish 3
  broad policy strategies
   – availability and supply oriented [increase supplies]
   – access and demand oriented [increase demands]
   – utilization and outcomes oriented [improve nutrition]
• Clearly, ALL THREE are needed to assure FS
• Moreover, it is usually a mistake to assume D & S
  sides are "independent” of each other or that D
  & S are “independent” of utilization!
Complementarities
• Supply approaches have indirect effects on food
  demand (e.g. through lower prices inducing
  increase in quantity demanded, or even shifting
  the Demand Curve through actual-income
  changes of the producers, not just the real
  income effect of the price change)
• Demand-stimulation will usually also cause
  changes on the supply side (e.g., through higher
  prices inducing supply responses, or even
  shifting the Supply Curve through altering the
  capabilities of the producers)
Complementarities (contd.)
• Improved utilization/nutrition can be expected
  to alter both food supply and demand prospects
  significantly insofar as a better nourished
  population can both produce more food and
  have the capability to demand more food as well.
• A sensible approach to food security must
  therefore incorporate all 3 elements, aiming to
  augment food supplies, enhance food
  demands, and improve food utilization and
  nutrition by improving food quality and safety
  and dietary balance.
Choice of a Policy Strategy
• Which strategy? While “ALL THREE” is the correct
  answer, the emphasis will also depend on context
  i.e., the MAIN TYPE OF FOOD DEFICIT
  prevalent in the country.
  – If DEMAND DEFICIT is the main issue, THEN, focus on
    policies to increase domestic supply or F/E earnings
  – If SUPPLY DEFICIT is the main issue, THEN, focus on
    employment and income generation policies
  – If DIETARY IMBALANCE is the main
    issue, THEN, focus on policies for improved nutrition, food
    safety, health care, drinking water and sanitation
Choice of a Policy Strategy
    Figure 2.12: Food deficit types & priority approaches
                  to food security required
a) Large production/supply         b) Large demand deficits,
deficits: mainly supply-based      primarily demand-based
approaches required                approaches required
Production and Supply Based Approaches
 • Policies to increase food production and domestic
   supplies comprise:
    –   agricultural research, training and extension
    –   agricultural input supply
    –   mechanization
    –   irrigation
    –   rural infrastructure and institutions
    –   land reform
    –   agricultural marketing and pricing policies
    –   agricultural credits.

 • In short, , practically everything falling under
   agricultural sector development.
Table 2.2: Food production constraints
   and policy measures for their alleviation
Constraints on Food Production       e.g. of Policies to Overcome the Constraints
Technological constraints            - Agricultural research, extension and training, irrigation, rural
                                     credit, etc.
Manpower & management constraints    - Promotion of mechanisation

                                     - Agric. research and extension to promote technical change

Land constraints                     Measures to improve utilisation, e.g. by: irrigation,
                                     mechanization, research & extension, land reform

Infrastructural and institutional    - Improvements of roads, road maintenance, etc.
constraints
                                     - Improvements of input supply, extension, marketing services,
                                     and co-operative institutions
Marketing constraints                Improvement of agric. marketing system, e.g. by
                                     infrastructure investment, institutional reform, special
                                     subsidies, credits, etc.
Insufficient production incentives   Reducing production costs, e.g. by input subsidies, promoting
                                     technical change via extension services, improved marketing
                                     and rural infrastructure, etc.
Figure 2.13: Impacts of policy measures
 to reduce the costs of food production
Figure 2.14: Impacts of policy measures
to alleviate constraints to food production
Self-Sufficiency: Is There a Rationale?
• Food self-sufficiency refers to the extent to which a
  country can satisfy its food needs from its own
  domestic production
   – greater control or less political dependency on world markets
     or other nations
   – added risks of world markets (especially when they are "thin")
     for both consumers and producers
   – concern about maintaining the livelihoods of the poor and
     vulnerable
   – FS can be damaged due to "excessive" dependence on food
     imports
   – [PREBISCH] move away from primary sector specialization

• Self-sufficiency was a key aspect of the Lagos Plan
Self-Sufficiency: Is There a Rationale?
• Question: Can developed countries'
  agricultural policies be rationalized by SS?

• Example: India has considerably reduced its
  food insecurity through developing its domestic
  food production. Cereal production increased
  from 90 million tonnes in 1970 to 130 million in
  1985. To import this much additional grain
  would have cost $10,000 million per year.
Self-Sufficiency vs. Food Security?
•    1. Food self-sufficiency looks only at national
     production as the sole source of supply, while food
     security takes into account commercial imports and
     food aid as possible sources of commodity supply.

•    2. Food self-sufficiency refers only to domestically-
     produced food availability at the national level, food
     security brings in elements of stability of supply and
     access to food by the population
Self-Sufficiency vs. Food Security?
•    Evaluate: food self-sufficiency is linked to
     an emphasis on the need for self-reliance, an
     auto-centric approach, whereas food security
     incorporates international specialization and
     comparative advantage

•    Must we have to choose between the two?
Subsistence VS Market Integration:
    Household-Level Arguments
• The arguments, about risks of commercialisation
  and market dependence, have also been made at
  the level of the farm household. It is argued that
  food insecurity is increased when the poor
  become more dependent on markets for their
  food.

• One eminent economist argues that…
“the farther away from direct food cultivation a group is, i.e. the
    more markets it has to go through to convert endowments into
    actual consumption, the more liable to starvation it is.
    Thus, cattlemen of Sahel and Ethiopia, the fishermen of Bengal
    or tradesmen suffer more than agricultural labourers who suffer
    more than sharecroppers and peasant cultivators... Contrary to
    market intermediation bringing smooth and beneficient
    outcomes, it is those who do not have to go through a purchase
    or sale to convert their income into consumption who are least
    vulnerable to a decline in real grain wage. The direct producer of
    grain, either as landowner or sharecropper and the worker who
    receives a grain wage are safer than he who receives money rent
    or money wage.”
Desai, quoted in S. Devereux, 1993


Discuss: what are the pros and cons of the above argument?
Poverty Reduction, Safety Nets
         and Food Security
• Role of government:
  – provide institutional basis to prevent market failures,
    monopolization and malfunctioning
  – encourage supply growth
  – create a framework of rights and obligations:
    property rights vs right to life?
  – policies toward FS may be virtually the only MAJOR
    social security instrument available in many poor
    countries.
Box 2.4: The State and
            Food Security in History
• … long history of state action to protect subjects from starvation
  and extreme want … not just due to benevolence … but in order to
  … claim the right to power by enhancing food security. This
  function has often been central to the notion of state legitimacy.
• In ancient Egypt, the state undertook a form of buffer stock storage
• Grain and bread rations were distributed to the poor in Rome and
  ancient Greece when war or bad harvests created scarcity, or when
  there was fear of public unrest.
• In China, during the Manchu dynasty, emergency relief in the form
  of cash or food, low price grain sales and food loans were all
  employed … at times of crisis.
• Public employment schemes have also been used by various
  governments to enhance food security. They were introduced by
  Indian rulers as early as the fourth century B.C. Relief during the
  potato famines of the 1840s, in both Ireland and the Highlands of
  Scotland, was in the form of what would now be called food-for-
  work projects.
Food Security, Population,
             and Environment
• Race between population growth and food supply
  (paleo-Malthusianism)
• Race between population growth and food supply
  without causing environmental degradation (neo-
  Malthusianism)
• Population is growing fastest for the poorest people.
  Why?
   – because labour is their main asset and children are valued for
     their hands?
   – or because they have no other form of security to satisfy the
     precautionary or retirement motives?
• IS high population growth an important factor in
  immiserisation and FIS?
Food Security, Population,
              and Environment
• Question is: how to ensure a faster demographic transition
  (movement from a situation of high birth rates and high death
  rates to low birth rates and low death rates). Evidence shows
  keys are: overall prosperity and in particular the prosperity of the
  poorest in the country.

• As food security increases, and poverty decreases, fertility rates
  decline. This is to a large extent because of the decrease in
  uncertainty facing poor families. The infant mortality rate
  declines, so children are more likely to survive.

• Another element concerns the position of women in society. As
  women become more educated and have more power within the
  household, then fertility rates fall. Women’s options increase and
  they are no longer valued primarily for their fertility.

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Topic 20 anthropomeric indicators
Topic 20 anthropomeric indicatorsTopic 20 anthropomeric indicators
Topic 20 anthropomeric indicatorsSizwan Ahammed
 
Topic 20 anthro meaurement
Topic 20 anthro meaurementTopic 20 anthro meaurement
Topic 20 anthro meaurementSizwan Ahammed
 
Topic 19 inequality stata
Topic 19 inequality stataTopic 19 inequality stata
Topic 19 inequality stataSizwan Ahammed
 
Topic 18 multiple regression
Topic 18 multiple regressionTopic 18 multiple regression
Topic 18 multiple regressionSizwan Ahammed
 
Topic17 regression spss
Topic17 regression spssTopic17 regression spss
Topic17 regression spssSizwan Ahammed
 
Topic 15 correlation spss
Topic 15 correlation spssTopic 15 correlation spss
Topic 15 correlation spssSizwan Ahammed
 
Topic 13 con pattern spss
Topic 13 con pattern spssTopic 13 con pattern spss
Topic 13 con pattern spssSizwan Ahammed
 
Topic 12 gender technology interface
Topic 12 gender technology interfaceTopic 12 gender technology interface
Topic 12 gender technology interfaceSizwan Ahammed
 
Topic 7 stat inference
Topic 7 stat inferenceTopic 7 stat inference
Topic 7 stat inferenceSizwan Ahammed
 

Plus de Sizwan Ahammed (20)

Topic 21 evidence on diet diversity
Topic 21 evidence on diet diversityTopic 21 evidence on diet diversity
Topic 21 evidence on diet diversity
 
Topic 21 diet diversity
Topic 21 diet diversityTopic 21 diet diversity
Topic 21 diet diversity
 
Topic 21 diet diversity stata
Topic 21  diet diversity stataTopic 21  diet diversity stata
Topic 21 diet diversity stata
 
Topic 20 anthropomeric indicators
Topic 20 anthropomeric indicatorsTopic 20 anthropomeric indicators
Topic 20 anthropomeric indicators
 
Topic 20 anthro meaurement
Topic 20 anthro meaurementTopic 20 anthro meaurement
Topic 20 anthro meaurement
 
Topic 20 anthro stata
Topic 20 anthro stataTopic 20 anthro stata
Topic 20 anthro stata
 
Topic 19 inequaltiy
Topic 19 inequaltiyTopic 19 inequaltiy
Topic 19 inequaltiy
 
Topic 19 inequality stata
Topic 19 inequality stataTopic 19 inequality stata
Topic 19 inequality stata
 
Topic 18 multiple regression
Topic 18 multiple regressionTopic 18 multiple regression
Topic 18 multiple regression
 
Topic 17 regression
Topic 17 regressionTopic 17 regression
Topic 17 regression
 
Topic17 regression spss
Topic17 regression spssTopic17 regression spss
Topic17 regression spss
 
Topic 15 correlation spss
Topic 15 correlation spssTopic 15 correlation spss
Topic 15 correlation spss
 
Topic 15 correlation
Topic 15 correlationTopic 15 correlation
Topic 15 correlation
 
Topic 14 two anova
Topic 14 two anovaTopic 14 two anova
Topic 14 two anova
 
Topic 13 cons pattern
Topic 13 cons patternTopic 13 cons pattern
Topic 13 cons pattern
 
Topic 13 con pattern spss
Topic 13 con pattern spssTopic 13 con pattern spss
Topic 13 con pattern spss
 
Topic 12 gender technology interface
Topic 12 gender technology interfaceTopic 12 gender technology interface
Topic 12 gender technology interface
 
Topic 10 technology
Topic 10 technologyTopic 10 technology
Topic 10 technology
 
Topic 8 graphs
Topic 8 graphsTopic 8 graphs
Topic 8 graphs
 
Topic 7 stat inference
Topic 7 stat inferenceTopic 7 stat inference
Topic 7 stat inference
 

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Rao 5a the choice of a policy strategy

  • 1. FOOD SECURITY Concepts, Basic Facts, and Measurement Issues June 26 to July 7, 2006 Dhaka, Bangladesh
  • 2. Rao 5a: The Choice of a Policy Strategy Learning: Trainees will learn that while strategies focused exclusively on supply or entitlements or nutrition will almost never be relevant, relative weights attached to these pure strategies deserve careful consideration. They will learn to identify key elements of each pure strategy in any such exercise.
  • 3. Brief Contents • policy strategies broadly classified: 1) supply, 2) entitlement promotion, and 3) utilization/nutrition approaches • choice of strategy governed by dominant food deficit types coupled with major problems in utilization and stability • key features of production and supply based approaches • rationale & objections to self-sufficiency; self-sufficiency vs self-reliance • general role of poverty reduction, safety nets • food-based nutrition interventions: dietary improvement, food fortification • micronutrient supplementation & related health interventions
  • 4. Policy Strategies • Corresponding to the 3 analytical approaches (availability, access, utilization), we distinguish 3 broad policy strategies – availability and supply oriented [increase supplies] – access and demand oriented [increase demands] – utilization and outcomes oriented [improve nutrition] • Clearly, ALL THREE are needed to assure FS • Moreover, it is usually a mistake to assume D & S sides are "independent” of each other or that D & S are “independent” of utilization!
  • 5. Complementarities • Supply approaches have indirect effects on food demand (e.g. through lower prices inducing increase in quantity demanded, or even shifting the Demand Curve through actual-income changes of the producers, not just the real income effect of the price change) • Demand-stimulation will usually also cause changes on the supply side (e.g., through higher prices inducing supply responses, or even shifting the Supply Curve through altering the capabilities of the producers)
  • 6. Complementarities (contd.) • Improved utilization/nutrition can be expected to alter both food supply and demand prospects significantly insofar as a better nourished population can both produce more food and have the capability to demand more food as well. • A sensible approach to food security must therefore incorporate all 3 elements, aiming to augment food supplies, enhance food demands, and improve food utilization and nutrition by improving food quality and safety and dietary balance.
  • 7. Choice of a Policy Strategy • Which strategy? While “ALL THREE” is the correct answer, the emphasis will also depend on context i.e., the MAIN TYPE OF FOOD DEFICIT prevalent in the country. – If DEMAND DEFICIT is the main issue, THEN, focus on policies to increase domestic supply or F/E earnings – If SUPPLY DEFICIT is the main issue, THEN, focus on employment and income generation policies – If DIETARY IMBALANCE is the main issue, THEN, focus on policies for improved nutrition, food safety, health care, drinking water and sanitation
  • 8. Choice of a Policy Strategy Figure 2.12: Food deficit types & priority approaches to food security required a) Large production/supply b) Large demand deficits, deficits: mainly supply-based primarily demand-based approaches required approaches required
  • 9. Production and Supply Based Approaches • Policies to increase food production and domestic supplies comprise: – agricultural research, training and extension – agricultural input supply – mechanization – irrigation – rural infrastructure and institutions – land reform – agricultural marketing and pricing policies – agricultural credits. • In short, , practically everything falling under agricultural sector development.
  • 10. Table 2.2: Food production constraints and policy measures for their alleviation Constraints on Food Production e.g. of Policies to Overcome the Constraints Technological constraints - Agricultural research, extension and training, irrigation, rural credit, etc. Manpower & management constraints - Promotion of mechanisation - Agric. research and extension to promote technical change Land constraints Measures to improve utilisation, e.g. by: irrigation, mechanization, research & extension, land reform Infrastructural and institutional - Improvements of roads, road maintenance, etc. constraints - Improvements of input supply, extension, marketing services, and co-operative institutions Marketing constraints Improvement of agric. marketing system, e.g. by infrastructure investment, institutional reform, special subsidies, credits, etc. Insufficient production incentives Reducing production costs, e.g. by input subsidies, promoting technical change via extension services, improved marketing and rural infrastructure, etc.
  • 11. Figure 2.13: Impacts of policy measures to reduce the costs of food production
  • 12. Figure 2.14: Impacts of policy measures to alleviate constraints to food production
  • 13. Self-Sufficiency: Is There a Rationale? • Food self-sufficiency refers to the extent to which a country can satisfy its food needs from its own domestic production – greater control or less political dependency on world markets or other nations – added risks of world markets (especially when they are "thin") for both consumers and producers – concern about maintaining the livelihoods of the poor and vulnerable – FS can be damaged due to "excessive" dependence on food imports – [PREBISCH] move away from primary sector specialization • Self-sufficiency was a key aspect of the Lagos Plan
  • 14. Self-Sufficiency: Is There a Rationale? • Question: Can developed countries' agricultural policies be rationalized by SS? • Example: India has considerably reduced its food insecurity through developing its domestic food production. Cereal production increased from 90 million tonnes in 1970 to 130 million in 1985. To import this much additional grain would have cost $10,000 million per year.
  • 15. Self-Sufficiency vs. Food Security? • 1. Food self-sufficiency looks only at national production as the sole source of supply, while food security takes into account commercial imports and food aid as possible sources of commodity supply. • 2. Food self-sufficiency refers only to domestically- produced food availability at the national level, food security brings in elements of stability of supply and access to food by the population
  • 16. Self-Sufficiency vs. Food Security? • Evaluate: food self-sufficiency is linked to an emphasis on the need for self-reliance, an auto-centric approach, whereas food security incorporates international specialization and comparative advantage • Must we have to choose between the two?
  • 17. Subsistence VS Market Integration: Household-Level Arguments • The arguments, about risks of commercialisation and market dependence, have also been made at the level of the farm household. It is argued that food insecurity is increased when the poor become more dependent on markets for their food. • One eminent economist argues that…
  • 18. “the farther away from direct food cultivation a group is, i.e. the more markets it has to go through to convert endowments into actual consumption, the more liable to starvation it is. Thus, cattlemen of Sahel and Ethiopia, the fishermen of Bengal or tradesmen suffer more than agricultural labourers who suffer more than sharecroppers and peasant cultivators... Contrary to market intermediation bringing smooth and beneficient outcomes, it is those who do not have to go through a purchase or sale to convert their income into consumption who are least vulnerable to a decline in real grain wage. The direct producer of grain, either as landowner or sharecropper and the worker who receives a grain wage are safer than he who receives money rent or money wage.” Desai, quoted in S. Devereux, 1993 Discuss: what are the pros and cons of the above argument?
  • 19. Poverty Reduction, Safety Nets and Food Security • Role of government: – provide institutional basis to prevent market failures, monopolization and malfunctioning – encourage supply growth – create a framework of rights and obligations: property rights vs right to life? – policies toward FS may be virtually the only MAJOR social security instrument available in many poor countries.
  • 20. Box 2.4: The State and Food Security in History • … long history of state action to protect subjects from starvation and extreme want … not just due to benevolence … but in order to … claim the right to power by enhancing food security. This function has often been central to the notion of state legitimacy. • In ancient Egypt, the state undertook a form of buffer stock storage • Grain and bread rations were distributed to the poor in Rome and ancient Greece when war or bad harvests created scarcity, or when there was fear of public unrest. • In China, during the Manchu dynasty, emergency relief in the form of cash or food, low price grain sales and food loans were all employed … at times of crisis. • Public employment schemes have also been used by various governments to enhance food security. They were introduced by Indian rulers as early as the fourth century B.C. Relief during the potato famines of the 1840s, in both Ireland and the Highlands of Scotland, was in the form of what would now be called food-for- work projects.
  • 21. Food Security, Population, and Environment • Race between population growth and food supply (paleo-Malthusianism) • Race between population growth and food supply without causing environmental degradation (neo- Malthusianism) • Population is growing fastest for the poorest people. Why? – because labour is their main asset and children are valued for their hands? – or because they have no other form of security to satisfy the precautionary or retirement motives? • IS high population growth an important factor in immiserisation and FIS?
  • 22. Food Security, Population, and Environment • Question is: how to ensure a faster demographic transition (movement from a situation of high birth rates and high death rates to low birth rates and low death rates). Evidence shows keys are: overall prosperity and in particular the prosperity of the poorest in the country. • As food security increases, and poverty decreases, fertility rates decline. This is to a large extent because of the decrease in uncertainty facing poor families. The infant mortality rate declines, so children are more likely to survive. • Another element concerns the position of women in society. As women become more educated and have more power within the household, then fertility rates fall. Women’s options increase and they are no longer valued primarily for their fertility.