Presentation from the Livestock Inter-Agency Donor Group (IADG) Meeting 2010. 4-5 May 2010 Italy, Rome IFAD Headquarters The event involved approximately 45 representatives from the international partner agencies to discuss critical needs for livestock development and research issues for the coming decade. [ Originally posted on http://www.cop-ppld.net/cop_knowledge_base ]

1. LIVESTOCK AND THE PUBLIC GOOD NEXUS
Jimmy W. Smith
World Bank
IADG Annual Meeting
IFAD, Rome, Italy
May 4-5, 2010

2. Ways to think about the Public Good nexus
The status quo
Increasing the Public Good contributions

4. Thinking about Public Goods –Based on
Economic Principles
Pure Public Goods share two qualities:
Nonexcludability --which means that when
provided to one party, the public good is
provided to all.
Nonrivalary --which means that the
consumption of the Public Good by one party
does not reduce the amount available to
others.

5. High
Rivalry
Common Pool Goods
Communal rangelands Private Goods
Water (volume and quality) On-farm production, processing,
Air quality (including and distribution (quality standards)
protection against climate Most clinical veterinary and
change) breeding services
Animal genetic resources and Most input supplies (feed, seed,
other sources of biodiversity etc.)
High excludability
Pure Public Goods
Poverty reduction Club Goods
Border quarantine Standards and certification
Food safety inspection systems
Protection against Face-to-face advisory services
contagious diseases Collective action in disease (tick
Animal health intelligence dips) control
Disease data systems

6. SOME EXAMPLES -- PUBLIC GOOD, ROLE & RESPONSIBILITY
Funding Responsibility Oversight
For Imp.
Pure Public Goods
Veterinary health
• Border quarantine Public sector Public sector Mainly national Veterinary
Services (VS)
• Surveillance of Public sector Preferably in Mainly district service, with
main contagious subcontract with clear lines to national VS, with
diseases private operators international support in
developing countries and
international coordination
among all countries
• Early alert and Public sector Preferably in Mainly national VS with
response for main subcontract with international support
contagious private operators
diseases
• Vaccination Public/private Mostly private sector Mainly national VS with
partnership international support
• Vaccine Public/private Mostly private sector National or regional public
development partnership institutions
• Disease data Public/private Mainly public sector Mainly national VS with
systems partnership international support
Food safety and human Public/private Preferably in Mainly local, within overall
public health partnership subcontract with guidelines of national and,
private operators eventually, international buyers
Research and Public/private Preferably private with Public/private at corresponding
education partnership subcontracts levels

8. Eradicate extreme poverty and hunger
At least 50 % of income, food and
arable farming inputs for 700 million
poor, even in middle income
countries:
Indonesia: Only 3 percent
poultry meat from large farms
India: 5.5 percent of national
workforce in dairy sector
Achieve universal education
Critical cash to pay school fees
Promote gender equality
Sole source of income and
inheritance transfers for women

9. Reduce Child Mortality
Critical cash to pay health expenses
Essential mineral and vitamin source
to supplement poor basal diets
Improve maternal health
Milk to supplement breast feeding and
enhance overall maternal health
Combat HIV/AIDS, malaria and other
diseases
Traction to reduce drudgery of labor
of weakened farming population
Opportunities to combine health
services

10. Ensure environmental sustainability
Organic Fertilizer for about half
total nutrient needs
Traction for about one-third of the
world’s total arable land
Income to buy inputs for crops
Develop a global partnership
Responding to critical research
needs
Opportunity for global action on
emerging zoonotic diseases
Opportunities to act collectively to
control GHG from livestock

12. Early 1980s
Official development assistance
(ODA): 17%
World Bank lending: 30% World Bank lending
Early 1990s is recovering …..
Official development assistance
(ODA): 12%
World Bank lending: 15%
Early 2000s
Official development assistance
(ODA): 4%
World Bank lending: <10%
…but overall
ODA has not
recovered

13. Challenges
AGRICULTURE OFFICIAL
DEVELOPMENT
WORLD POOR
4% ASSISTANCE
AGRICULTURE PUBLIC SPENDING
(Sub-Saharan Africa)
RURAL
4%
75%

14. Investment at the national level is limited:
Only 3 countries had PRSPs with detailed strategy and budget for livestock
and poverty reduction
None had specified investments under Poverty Reduction Strategy Credits;
and
Low investment from national budgets (estimated 15-20 percent of
Agricultural budget)
For example, Mali: Livestock about 35 percent of Ag. GDP but MinAg. budget: 91.6
% arable farming, 3.6 % livestock and 1% for fisheries
14

15. Increasing the Public Good
Contributions

16. Poverty Reduction
Global extreme poverty 2002, $1.08 a day
Global extreme poverty 2002, $1.08 a day
– 2.5 billion people
depend directly on
agriculture
Global
Urban poor
287 mill. South – 800 m smallholders
Asia rural
407 mill. – 75% of poor are rural
MENA rural
5 mill. and the majority will
be rural to about 2040
ECA rural East Asia
5 mill. rural Sub-Saharan
218 mill. Africa rural
LAC rural
27 mill. 229 mill.

18. Important user of natural resources: Mitigating the effects of livestock
Mitigating the effects of livestock
70-75% of fresh water resources on the environment
on the environment
40% of land area
25-30% of greenhouse gas emissions Mitigating the effects of climate
Mitigating the effects of climate
change on livestock
change on livestock
Contributions to Greenhouse
Gas Emissions
Developing
country
agriculture &
deforestation
21%
Developing
Industrialized country
countries other
64% sources
15%
18

19. Agriculture’s share in growth 1990-2005
Three Worlds of Agriculture
80%
Agriculture based countries
Mainly SS-Africa
417 million rural people
20%
Urbanized countries Transforming countries
Mainly Latin America Mainly Asia, MENA
0 255 million rural people 2.2 billion rural people
0 50% 100%
Rural poor/total poor, 2002

20. 20

21. Operation Flood in India
Cooperative movement now with about 130,000 member
coops, serving 14 million farmers, including 3.7 million women
processing about 20 million ton milk annually
Pastoral development in East Africa
Ethiopian and Kenyan pastoral development projects working
for the poorest group of society rated moderately satisfactory
or better for outcomes

22. Support research for “technologies for the poor”
Develop remedies to “livestock diseases of the poor”
Develop alternative feeds resources
Support better integration of smallholders in the
value chain
Promote, where needed, exits from the sector

23. Public health:
Six major zoonotic disease scares over last decade with economic
losses over US $ 200 billion (direct and indirect) over the last decade
Of 1415 known pathogens, 62 percent of animal origin
1.6 million annual TB fatalities of which 2-15 percent of bovine
origin
Food borne pathogens important contributor to diarrheal diseases
Contribution to obesity and other food related health risks
23

24. Building on the HPAI efforts to promote the “One
Health” concept:
At the international
level seek to promote:
Permanent global
Coordination mechanisms
Sustainable funding
Mechanisms
At the national level
seek to promote:
Permanent coordination mechanisms
Horizontal communication
Facility and skill sharing

25. Prevent and control the ‘lingering’ zoonotic diseases
whih mostly affect the poor
Further strengthen veterinary public health
services/mechanisms.

26. Livestock sector is major contributor to greenhouse gas emission, important
eroder of bio-diversity; cause of land degradation and water pollution
Use one quarter of total terrestrial land and one third of total crop
land
Contribute to 20 percent rangeland degradation
Emit 18 percent of anthropogenic Greenhouse Gasses
Use 15 percent of global agriculture water
Pose a threat to bio-diversity in 306 of the 825 eco-regions
Changing climatic effects on feed & water resources, pathogens and
disease dynamics
26

27. Continue to work on payment for environmental services:
Use PES to reduce deforestation of hunid tropical forest;
Shift pastoralists in arid areas from livestock herders to stewards of
the landscape
Expand work on environmental mitigation of intensive
livestock production systems;
Promote innovation in livestock waste management
Increase attention to livestock and Global Climate Change
Reducing GHG emission
Adapting livestock systems to GCC

28. THANK YOU