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Presented at Climate Change Symposium: Latest Scientific Knowledge on Climate
Change and Actions on Climate Change Impacts in Japan. 26 March 2014, 15:30 – 18:15, Pacifico Yokohama Conference Center,
Yokohama, Japan. MOEJ and IGES.
Outline
• Agriculture livelihoods in Asia and underlying
key vulnerabilities
• Climate change impacts: Observed and
projected
• Adaptation options
• Concluding remarks
Agriculture an Important Livelihood
• “Livelihood is a means of making a living. It
encompasses people’s capabilities, assets,
income and activities required to secure the
necessities of life. (IFAD). Livelihood activities are
what we do to make a living every day!
• In Asia, 58% of total population is living in rural
areas out of which 81.8% are dependent on
agriculture for their livelihoods (FAOSTAT, 2011)
• Agriculture employs 24.7% of total population in
Asia and contributes to 15.3% of total value
added GDP (FAOSTAT, 2011; World Bank, 2011a).
Climate Change and Livelihoods
• In general, people dependent on agriculture and natural
resources are more vulnerable to climate change, but vary
depending on location, socio-economic conditions and level
of preparedness (Begam et.al, 2011).
• The negative impacts are pronounced after 2050 due to
severe negative impacts on rice production with significant
economic costs (Zhai and Zhuang, 2009).
• These negative impacts on agriculture productivity would
have significant impact on the aggregated household
welfare, food security and poverty in the region.
Key Vulnerabilities: Agriculture and Rural
Poverty
• Rural areas are largely excluded from economic
growth story in Asia:
– To begin with, high levels of rural poverty compared
to the urban poverty, with relatively higher poverty
incidence in the least developing countries in the
region (FAOSTAT, 2011).
– Burgeoning small holding and peasant farmers
– Large areas under rain-fed agriculture, poor
infrastructure development and poor access to
markets
– Land use changes including increasing deforestation
and resultant decline in ecosystem services
Key Vulnerabilities in Asia
• Unsustainable water use and dense population with high
dependence on agriculture (Indo-Gangetic basin), inherently low
precipitation (e.g. Karkheh basin, Iran), and high population
combined with intensive agriculture (Yellow River) (Mulligan et al.,
2011)
• In arid central Asia: deserts, relative underdevelopment due to
focus on monoculture agricultural exports, and social, economic,
institutional upheavals (Lioubimtseva and Henebry, 2009)
• Projected:
– Farmers cultivating winter maize in India: relatively more vulnerable
than wheat farmers due to high reduction yields with climate change
in the already highly irrigated maize (Knox et al., 2011)
– High vulnerability of fisheries based livelihoods in Bangladesh,
Cambodia, Pakistan and Yemen: Predicted warming, coastal salinity
intrusion, and limited capacity to adapt to potential impacts (Allison et
al., 2009)
Observed impacts of climatic vagaries
on livelihoods
Observed change / Impact Country/ Region References
Poor are disproportionately impacted
by climate related hazards
East and South
Asia
Kim, 2011
Increased migration due to
environmental (e.g. rapid onset
disasters), social and economic
reasons
Mekong region Warner, 2010;
Black et al., 2011
Farmers leaving farming due to
repeated droughts
South Asia Kulkarni and Rao,
2008
Loss of crops, income and fallows Cambodia Nguyen et al.,
2009
Projected Impacts on Agriculture
Livelihoods
Projected Impacts Country/Re
gion
Projection Details References
Negative impact on rice
crop, increase in food
price and cost of living,
increased poverty
Asia GTAP Model, projections for
2030, scenarios: Impacts
resulting low, medium and
high productivity
Hertel et al.,
2010
Significant decline in
crop yields of rice
(25%) and wheat (40%)
with resultant impacts
on livelihoods
Asia Climate impact projections for
2050
Knox et al.,
2011
Loss of livelihoods to
indigenous people
from declining alpine
biodiversity
Tibet/Himal
ayas
Qualitative observations Salick et al.,
2009; Xu et
al., 2009
Adaptation Options
• Overarching observations:
– Greater need for technologies and policy options
providing sustained income generation potential
and mitigation potential in a changed climate
(Bhandari et al., 2007; Rosenzweig and Tubiello,
2007; Paul et al., 2009).
– Hidden and unexpected livelihood opportunities
can be maximized by simple interventions (Xu et
al., 2009)
Adaptation Options: Asia
Aspect/
Issues
Country/
Region
Recommended/ Potential
Adaptation strategies
Benefits/ Co-Benefits References
General
(droughts,
floods etc)
General Weather index insurance,
cattle insurance, seed
banks, credit facilities,
assisted migration, cash
for work
Poverty cantered adaptation,
creation of assets and access to
resources
Barrett et al.,
2007; Tanner
and Mitchel,
2008; Jarvis et
al., 2011
General Asia Community based
adaptation
Capture information at the
grassroots, help integrating disaster
risk reduction, development, and
climate change adaptation, connect
local communities and outsiders,
and addresses the location specific
nature of adaptation.
Aalst et al.,
2008; Heltberg
et al., 2010;
Rosegrant, 2011
General Asia Improved forest
management
Resilient livelihoods, buffer from
shocks
Chhatre and
Agrawal, 2009
General Asia Securing rights to
resources, community
forest tenure rights
Resilient livelihood benefits to the
poor indigenous and traditional
people
Macchi et al.,
2008; Angelsen
et al., 2009
General General Assisted migration Build financial, social and human
capital
Barnett and
Webber, 2010
Adaptation Options: Specific Countries
Aspect/
Issues?
Country/
Region
Recommended/ Potential
Adaptation strategies
Benefits/ Co-Benefits References
Delay and
shortfall in
rainfall
Indonesia Access to credit and public works
projects
Able to protect food
expenditure in the face
of weather shocks
Skoufias et
al., 2011b
Droughts
and floods
Philippines Bundling of improved varieties
and agronomic practices and
combination of production and
market support
Economic benefits and
social learning
Acosta-
Michlik and
Espaldon,
2008
Biodiversit
y loss
Tibet Greater involvement of
traditional and indigenous
people in climate change
adaptation decision making
Indigenous knowledge
from the years of living
in close harmony with
nature
Byg and
Salick, 2009;
Salick et al.,
2009
General Vietnam Yield growth and improving
agriculture labour productivity
Rural poverty reduction
and livelihood
diversification
Janvry and
Sadoulet,
2010
Conclusion
• Livelihoods have to be made
– Sustainable: Contributes to the wellbeing without
impacting the environment and future generations (IFAD)
– Resilient: Enables people to maintain stability during
sudden shocks (e.g. natural disasters) (Leach, 2008)
– Robust: Enables people to change strategy before it is too
late, especially in stresses lasting long-term as in the case
of slow onset events (Pain and Levine, 2012)
• For this to happen, there is a need for creating a
bundle of capitals (natural, social, physical, human
and financial capital) and certainly bring people out
of poverty.
Conclusion
• Greater investment is needed for agriculture growth in Asia:
GDP growth from agriculture will have four times impact on
poverty reduction than GDP from non-agriculture sectors.
• Securing rights to resources is essential for greater livelihood
benefits to the poor indigenous and traditional people.
• Low-risk liquidity options such as microfinance programs and
risk transfer products can help lift rural poor from the poverty
by providing buffer from shocks.
• We should not ignore the importance of managed migration
that would be critical for areas with limited livelihood options
and areas that have reached limits to adapt.
Thank You!
prabhakar@iges.or.jp

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Climate change adaptation and livelihoods in Asia

  • 1. Presented at Climate Change Symposium: Latest Scientific Knowledge on Climate Change and Actions on Climate Change Impacts in Japan. 26 March 2014, 15:30 – 18:15, Pacifico Yokohama Conference Center, Yokohama, Japan. MOEJ and IGES.
  • 2. Outline • Agriculture livelihoods in Asia and underlying key vulnerabilities • Climate change impacts: Observed and projected • Adaptation options • Concluding remarks
  • 3. Agriculture an Important Livelihood • “Livelihood is a means of making a living. It encompasses people’s capabilities, assets, income and activities required to secure the necessities of life. (IFAD). Livelihood activities are what we do to make a living every day! • In Asia, 58% of total population is living in rural areas out of which 81.8% are dependent on agriculture for their livelihoods (FAOSTAT, 2011) • Agriculture employs 24.7% of total population in Asia and contributes to 15.3% of total value added GDP (FAOSTAT, 2011; World Bank, 2011a).
  • 4. Climate Change and Livelihoods • In general, people dependent on agriculture and natural resources are more vulnerable to climate change, but vary depending on location, socio-economic conditions and level of preparedness (Begam et.al, 2011). • The negative impacts are pronounced after 2050 due to severe negative impacts on rice production with significant economic costs (Zhai and Zhuang, 2009). • These negative impacts on agriculture productivity would have significant impact on the aggregated household welfare, food security and poverty in the region.
  • 5. Key Vulnerabilities: Agriculture and Rural Poverty • Rural areas are largely excluded from economic growth story in Asia: – To begin with, high levels of rural poverty compared to the urban poverty, with relatively higher poverty incidence in the least developing countries in the region (FAOSTAT, 2011). – Burgeoning small holding and peasant farmers – Large areas under rain-fed agriculture, poor infrastructure development and poor access to markets – Land use changes including increasing deforestation and resultant decline in ecosystem services
  • 6. Key Vulnerabilities in Asia • Unsustainable water use and dense population with high dependence on agriculture (Indo-Gangetic basin), inherently low precipitation (e.g. Karkheh basin, Iran), and high population combined with intensive agriculture (Yellow River) (Mulligan et al., 2011) • In arid central Asia: deserts, relative underdevelopment due to focus on monoculture agricultural exports, and social, economic, institutional upheavals (Lioubimtseva and Henebry, 2009) • Projected: – Farmers cultivating winter maize in India: relatively more vulnerable than wheat farmers due to high reduction yields with climate change in the already highly irrigated maize (Knox et al., 2011) – High vulnerability of fisheries based livelihoods in Bangladesh, Cambodia, Pakistan and Yemen: Predicted warming, coastal salinity intrusion, and limited capacity to adapt to potential impacts (Allison et al., 2009)
  • 7. Observed impacts of climatic vagaries on livelihoods Observed change / Impact Country/ Region References Poor are disproportionately impacted by climate related hazards East and South Asia Kim, 2011 Increased migration due to environmental (e.g. rapid onset disasters), social and economic reasons Mekong region Warner, 2010; Black et al., 2011 Farmers leaving farming due to repeated droughts South Asia Kulkarni and Rao, 2008 Loss of crops, income and fallows Cambodia Nguyen et al., 2009
  • 8. Projected Impacts on Agriculture Livelihoods Projected Impacts Country/Re gion Projection Details References Negative impact on rice crop, increase in food price and cost of living, increased poverty Asia GTAP Model, projections for 2030, scenarios: Impacts resulting low, medium and high productivity Hertel et al., 2010 Significant decline in crop yields of rice (25%) and wheat (40%) with resultant impacts on livelihoods Asia Climate impact projections for 2050 Knox et al., 2011 Loss of livelihoods to indigenous people from declining alpine biodiversity Tibet/Himal ayas Qualitative observations Salick et al., 2009; Xu et al., 2009
  • 9. Adaptation Options • Overarching observations: – Greater need for technologies and policy options providing sustained income generation potential and mitigation potential in a changed climate (Bhandari et al., 2007; Rosenzweig and Tubiello, 2007; Paul et al., 2009). – Hidden and unexpected livelihood opportunities can be maximized by simple interventions (Xu et al., 2009)
  • 10. Adaptation Options: Asia Aspect/ Issues Country/ Region Recommended/ Potential Adaptation strategies Benefits/ Co-Benefits References General (droughts, floods etc) General Weather index insurance, cattle insurance, seed banks, credit facilities, assisted migration, cash for work Poverty cantered adaptation, creation of assets and access to resources Barrett et al., 2007; Tanner and Mitchel, 2008; Jarvis et al., 2011 General Asia Community based adaptation Capture information at the grassroots, help integrating disaster risk reduction, development, and climate change adaptation, connect local communities and outsiders, and addresses the location specific nature of adaptation. Aalst et al., 2008; Heltberg et al., 2010; Rosegrant, 2011 General Asia Improved forest management Resilient livelihoods, buffer from shocks Chhatre and Agrawal, 2009 General Asia Securing rights to resources, community forest tenure rights Resilient livelihood benefits to the poor indigenous and traditional people Macchi et al., 2008; Angelsen et al., 2009 General General Assisted migration Build financial, social and human capital Barnett and Webber, 2010
  • 11. Adaptation Options: Specific Countries Aspect/ Issues? Country/ Region Recommended/ Potential Adaptation strategies Benefits/ Co-Benefits References Delay and shortfall in rainfall Indonesia Access to credit and public works projects Able to protect food expenditure in the face of weather shocks Skoufias et al., 2011b Droughts and floods Philippines Bundling of improved varieties and agronomic practices and combination of production and market support Economic benefits and social learning Acosta- Michlik and Espaldon, 2008 Biodiversit y loss Tibet Greater involvement of traditional and indigenous people in climate change adaptation decision making Indigenous knowledge from the years of living in close harmony with nature Byg and Salick, 2009; Salick et al., 2009 General Vietnam Yield growth and improving agriculture labour productivity Rural poverty reduction and livelihood diversification Janvry and Sadoulet, 2010
  • 12. Conclusion • Livelihoods have to be made – Sustainable: Contributes to the wellbeing without impacting the environment and future generations (IFAD) – Resilient: Enables people to maintain stability during sudden shocks (e.g. natural disasters) (Leach, 2008) – Robust: Enables people to change strategy before it is too late, especially in stresses lasting long-term as in the case of slow onset events (Pain and Levine, 2012) • For this to happen, there is a need for creating a bundle of capitals (natural, social, physical, human and financial capital) and certainly bring people out of poverty.
  • 13. Conclusion • Greater investment is needed for agriculture growth in Asia: GDP growth from agriculture will have four times impact on poverty reduction than GDP from non-agriculture sectors. • Securing rights to resources is essential for greater livelihood benefits to the poor indigenous and traditional people. • Low-risk liquidity options such as microfinance programs and risk transfer products can help lift rural poor from the poverty by providing buffer from shocks. • We should not ignore the importance of managed migration that would be critical for areas with limited livelihood options and areas that have reached limits to adapt.