Agricultural incentives, growth and poverty in Latin America and the Caribbean: cross-country evidence for the period 1960-2005. Did trade liberalization increase the incomes of the poorest?

Includes bibliography

Two decades of adjustment and agricultural development in Latin America and the Caribbean

Includes bibliography

Two decades of adjustment and agricultural development in Latin America and the Caribbean

Includes bibliography

Application of the concepts of agro-tourism, agricultural diversification and food and nutrition for the development of Caribbean communities with reference to standards and priority setting

Introduction There is a renewed call for a new approach to development with emphasis on community empowerment or participation, with the belief that more sustainable activities will be undertaken in those communities. Much of that call, however, is coming not from within the communities, but primarily from advocates of change who may have little to do with those communities. What then will the new approach bring apart from a change in who are the decision-makers? And how do we ensure that the change that is called for will, in fact, bring added benefits to the communities themselves? To be sure, there are some successful stories of a community approach to problem solving. However, there are also many more stories of project failures. Serious analytical work, therefore, needs to be done to determine the factors that promote a successful community-based approach; when this approach should be used; and the methodology that should be employed. In an attempt to determine these factors, a brief analysis will be made of some of the governing structures in the subregion and their possible impact on the proposed new approach. Some of the earlier efforts at stakeholder and community approach to projects will also be examined as well as the new development strategy that is prompting the call for this new paradigm. The new paradigm focuses to a large extent on decision-making and community empowerment. With few exceptions, it is short on the promotion of tangible activities that are based on the resource inventory of the communities. This is not surprising, since, as noted before, the advocates of community empowerment may have very little connection with the communities and, in most cases, are unfamiliar with the resource base. Hence, a theoretical case is made, suggesting more style than substance. Another obvious shortcoming of this new paradigm is its continued over- dependence on assistance from the outside to build communities. Externally funded projects, seminars and meetings outside of the communities and foreign technical assistance continue to dominate these projects. While, of course, all communities have basic common needs such as water, health, education and electricity, there is sufficient diversity within communities to allow for tailoring of activities and programmes such that their differences become assets. It is in that context, that agro-tourism activities, standards, agricultural diversification, food and nutrition and priority setting have been chosen as aspects and activities for promoting community development, drawing on the various strengths of communities, rural or urban.

Information and communication technologies for agricultural development in Latin America: trends, barriers and policies

Includes bibliography

The impact of climate change on the water sector in the Caribbean

This study econometrically analyses the projected impact of climate change on the water sector of nine Caribbean countries to 2100: Aruba, Barbados, Dominican Republic, Guyana, Montserrat, Jamaica, Netherlands Antilles, Saint Lucia, and Trinidad and Tobago. Overall, all countries, with the exception of Trinidad and Tobago, are expected to suffer aggregate losses as result of climate change in the early periods ca. 2020 under one or more scenarios. Over time, some countries experience declining negative impacts, as in the case of Guyana under the B2 scenario. Some countries, such as the Dominican Republic, is projected to suffer increasing losses under the B2 scenario and, for others, the impacts do not follow a defined trend. The A2 scenario offers the best outcome for all countries, except Jamaica (where BAU is most desirable), Montserrat (which performs most poorly under the A2 scenario), and the Netherlands Antilles, which does best under the B2 case. Overall, relative to 2006, the total demand for water in the Caribbean is expected to fall by 2030 by 11.3% to approximately 12,967 million cubic meters. This is due to the expected fall in agricultural water demand by approximately 36% in that period. However, by 2050, total water demand for the Caribbean will again exceed the 2006 level by approximately 4% to 14,896.33 106 m3. By 2100, water demand will increase almost fivefold to approximately 69,233.69 106 m3. Climate change is expected to affect all countries in the Caribbean. In some cases, there will be positive impacts that may continue to increase over time and, in other cases, the impact will be negative and worsen over time. Overall, the agricultural sector is expected to suffer the worst losses over any scenario, whilst growth in the industrial sectors is expected to be significant and contribute the most to increasing water demand over time.

An assessment of the economic impact of climate change on the Agriculture, Energy and Health sectors in Trinidad and Tobago

This report analyses the agriculture, energy, and health sectors in Trinidad and Tobago to assess the potential economic impacts of climate change on the sectors. The fundamental aim of this report is to assist with the development of strategies to deal with the potential impact of climate change on Trinidad and Tobago. It also has the potential to provide essential input for identifying and preparing policies and strategies to help advance the Caribbean subregion closer to solving problems associated with climate change and attaining individual and regional sustainable development goals. Some of the key anticipated impacts of climate change for the Caribbean include elevated air and sea-surface temperatures, sea-level rise, possible changes in extreme events and a reduction in freshwater resources. The economic impact of climate change on the three sectors was estimated for the A2 and B2 IPCC scenarios until 2050. An exploration of various adaptation strategies was also undertaken for each sector using standard evaluation techniques. The study of the impact of climate change on the agriculture sector focused on root crops, green vegetables and fisheries. For these sectors combined, the cumulative loss under the A2 scenario is calculated as approximately B$2.24 and approximately B$1.72 under the B2 scenario by 2050. This is equivalent to 1.37% and 1.05% of the 2008 GDP under the A2 and B2 scenarios, respectively. Given the potential for significant damage to the agriculture sector a large number of potential adaptation measures were considered. Out of these a short-list of 10 potential options were selected by applying 10 evaluation criteria. All of the adaptation strategies showed positive benefits. The analysis indicate that the options with the highest net benefits are: (1) Building on-farm water storage, (2) Mainstreaming climate change issues into agricultural management and (3) Using drip irrigation. Other attractive options include water harvesting. The policy decisions by governments should include these assessments, the omitted intangible benefits, as well as the provision of other social goals such as employment. The analysis of the energy sector has shown that the economic impact of climate change during 2011-2050 is similar under the A2 (US$142.88 million) and B2 (US$134.83 million) scenarios with A2 scenario having a slightly higher cost (0.737% of 2009 GDP) than the B2 scenario (0.695% of 2009 GDP) for the period. On the supply side, analyses indicate that Trinidad and Tobago’s energy sector will be susceptible to the climate change policies of major energy-importing countries (the United States of America and China), and especially to their renewable energy strategies. Implementation of foreign oil substitution policy by the United States of America will result in a decline in Trinidad and Tobago’s Liquefied Natural Gas (LNG) export (equivalent to 2.2% reduction in 2009 GDP) unless an alternative market is secured for the lost United States of America market. China, with its rapid economic growth and the highest population in the world, offers a potential replacement market for Trinidad and Tobago’s LNG export. In this context the A2 scenario will offer the best option for Trinidad and Tobago’s energy sector. The cost-benefit analysis undertaken on selected adaptation strategies reveal that the benefit-cost ratio of replacing electric water heaters with solar water heaters is the most cost-effective. It was also found that the introduction of Compact Fluorescent Light (CFL) and Variable Refrigerant Volume (VRV) air conditioners surpasses the projected cost of increased electricity consumption due to climate change, and provides an economic rationale for the adoption of these adaptation options even in a situation of increased electricity consumption occasioned by climate change. Finally, the conversion of motor fleets to Compressed Natural Gas (CNG) is a cost-effective adaptation option for the transport sector, although it has a high initial cost of implementation and the highest per capita among the four adaptation options evaluated. To investigate the effect of climate change on the health sector dengue fever, leptospirosis, food borne illnesses, and gastroenteritis were examined. The total number of new dengue cases for the period 2008 to 2050 was 204,786 for BAU, 153,725 for A2 and 131,890 for the B2 scenario. With regard to the results for leptospirosis, A2 and B2 seem to be following a similar path with total number of new cases in the A2 scenario being 9,727 and 9,218 cases under the B2 scenario. Although incidence levels in the BAU scenario coincided with those of A2 and B2 prior to 2020, they are somewhat lower post 2020. A similar picture emerges for the scenarios as they relate to food-borne illnesses and to gastroenteritis. Specifically for food-borne illnesses, the BAU scenario recorded 27,537 cases, the A2 recorded 28,568 cases and the B2 recorded 28,679 cases. The focus on the selected sources of morbidity in the health sector has highlighted the fact that the vulnerability of the country’s health sector to climate change does not depend solely on exogenously derived impacts, but also on the behaviour and practices among the population. It is clear that the vulnerability which became evident in the analysis of the impacts on dengue fever, leptospirosis and food-borne illnesses is not restricted solely to climate or other external factors. The most important adaptation strategy being recommended targets lifestyle, behaviour and attitude changes. The population needs to be encouraged to alter their behaviours and practices so as to minimise their exposure to harmful outcomes as it relates to the incidence of these diseases.

An assessment of the economic impact of climate change on the Agriculture, Health and Tourism sectors in Saint Lucia

This report analyses the agriculture, health and tourism sectors in Saint Lucia to assess the potential economic impacts of climate change on the sectors. The fundamental aim of this report is to assist with the development of strategies to deal with the potential impact of climate change in Saint Lucia. It also has the potential to provide essential input for identifying and preparing policies and strategies to help advance the Caribbean subregion closer to solving problems associated with climate change and attaining individual and regional sustainable development goals. Some of the key anticipated impacts of climate change for the Caribbean include elevated air and sea-surface temperatures, sea-level rise, possible changes in extreme events and a reduction in freshwater resources. The economic impact of climate change on the three sectors was estimated for the A2 and B2 IPCC scenarios until 2050. An evaluation of various adaptation strategies for each sector was also undertaken using standard evaluation techniques. The key subsectors in agriculture are expected to have mixed impacts under the A2 and B2 scenarios. Banana, fisheries and root crop outputs are expected to fall with climate change, but tree crop and vegetable production are expected to rise. In aggregate, in every decade up to 2050, these sub-sectors combined are expected to experience a gain under climate change with the highest gains under A2. By 2050, the cumulative gain under A2 is calculated as approximately US$389.35 million and approximately US$310.58 million under B2, which represents 17.93% and 14.30% of the 2008 GDP respectively. This result was unexpected and may well be attributed to the unavailability of annual data that would have informed a more robust assessment. Additionally, costs to the agriculture sector due to tropical cyclones were estimated to be $6.9 million and $6.2 million under the A2 and B2 scenarios, respectively. There are a number of possible adaptation strategies that can be employed by the agriculture sector. The most attractive adaptation options, based on the benefit-cost ratio are: (1) Designing and implementation of holistic water management plans (2) Establishment of systems of food storage and (3) Establishment of early warning systems. Government policy should focus on the development of these adaption options where they are not currently being pursued and strengthen those that have already been initiated, such as the mainstreaming of climate change issues in agricultural policy. The analysis of the health sector placed focus on gastroenteritis, schistosomiasis, ciguatera poisoning, meningococal meningitis, cardiovascular diseases, respiratory diseases and malnutrition. The results obtained for the A2 and B2 scenarios demonstrate the potential for climate change to add a substantial burden to the health system in the future, a factor that will further compound the country’s vulnerability to other anticipated impacts of climate change. Specifically, it was determined that the overall Value of Statistical Lives impacts were higher under the A2 scenario than the B2 scenario. A number of adaptation cost assumptions were employed to determine the damage cost estimates using benefit-cost analysis. The benefit-cost analysis suggests that expenditure on monitoring and information provision would be a highly efficient step in managing climate change and subsequent increases in disease incidence. Various locations in the world have developed forecasting systems for dengue fever and other vector-borne diseases that could be mirrored and implemented. Combining such macro-level policies with inexpensive micro-level behavioural changes may have the potential for pre-empting the re-establishment of dengue fever and other vector-borne epidemic cycles in Saint Lucia. Although temperature has the probability of generating significant excess mortality for cardiovascular and respiratory diseases, the power of temperature to increase mortality largely depends on the education of the population about the harmful effects of increasing temperatures and on the existing incidence of these two diseases. For these diseases it is also suggested that a mix of macro-level efforts and micro-level behavioural changes can be employed to relieve at least part of the threat that climate change poses to human health. The same principle applies for water and food-borne diseases, with the improvement of sanitation infrastructure complementing the strengthening of individual hygiene habits. The results regarding the tourism sector imply that the tourism climatic index was likely to experience a significant downward shift in Saint Lucia under the A2 as well as the B2 scenario, indicative of deterioration in the suitability of the island for tourism. It is estimated that this shift in tourism features could cost Saint Lucia about 5 times the 2009 GDP over a 40-year horizon. In addition to changes in climatic suitability for tourism, climate change is also likely to have important supply-side effects on species, ecosystems and landscapes. Two broad areas are: (1) coral reefs, due to their intimate link to tourism, and, (2) land loss, as most hotels tend to lie along the coastline. The damage related to coral reefs was estimated at US$3.4 billion (3.6 times GDP in 2009) under the A2 scenario and US$1.7 billion (1.6 times GDP in 2009) under the B2 scenario. The damage due to land loss arising from sea level rise was estimated at US$3.5 billion (3.7 times GDP) under the A2 scenario and US$3.2 billion (3.4 times GDP) under the B2 scenario. Given the potential for significant damage to the industry a large number of potential adaptation measures were considered. Out of these a short-list of 9 potential options were selected by applying 10 evaluation criteria. Using benefit-cost analyses 3 options with positive ratios were put forward: (1) increased recommended design speeds for new tourism-related structures; (2) enhanced reef monitoring systems to provide early warning alerts of bleaching events, and, (3) deployment of artificial reefs or other fish-aggregating devices. While these options had positive benefit-cost ratios, other options were also recommended based on their non-tangible benefits. These include the employment of an irrigation network that allows for the recycling of waste water, development of national evacuation and rescue plans, providing retraining for displaced tourism workers and the revision of policies related to financing national tourism offices to accommodate the new climate realities.

An assessment of the economic impact of climate change on the Agriculture Sector in Jamaica

The agricultural sector‟s contribution to GDP and to exports in Jamaica has been declining with the post-war development process that has led to the differentiation of the economy. In 2010, the sector contributed 5.8% of GDP, and 3% to the exports (of goods), but with 36% of employment, it continues to be a major employer. With a little less than half of the population living in rural communities, agricultural activities, and their linkages with other economic activities, continue to play an important role as a source of livelihoods, and by extension, the economic development of the country. Sugar cane cultivation has, with the exception of a couple of decades in the twentieth century when it was superseded by bananas, dominated the agricultural export sector for centuries as the source of the raw materials for the manufacture of sugar for export. In 2005, sugar cane itself accounted for 6.4% of the sector‟s contribution to GDP, and 52% of the contribution of agricultural exports to GDP. Production for the domestic market has long been the larger subsector, organized around the production of root crops, especially yams, vegetables and condiments. To analyse the potential impact of climate change on the agricultural sector, this study selected three important crops for detailed examination. In particular, the study selected sugar cane because of its overwhelming importance to the export subsector of agriculture, and yam and escallion for both their contribution to the domestic subsector as well as the preeminent role yams and escallion play in the economic activities of the communities in the hills of central Jamaica, and the plains of the southwest respectively. As with other studies in this project, the methodology adopted was to compare the estimated values of output on the SRES A2 and B2 Scenarios with the value of output on a “baseline” Business As Usual (BAU), and then estimate the net benefits of investment in the relevant to climate change for the selected crops. The A2 and B2 Scenarios were constructed by applying forecasts of changes in temperature and precipitation generated by INSMET from ECHAM inspired climate models. The BAU “baseline” was a linear projection of the historical trends of yields for each crop. Linear models of yields were estimated for each crop with particular attention to the influence of the two climate variables – temperature and precipitation. These models were then used to forecast yields up to 2050 (table1). These yields were then used to estimate the value of output of the selected crop, as well as the contribution to overall GDP, on each Scenario. The analysis suggested replanting sugar cane with heat resistant varieties, rehabilitating irrigation systems where they existed, and establishing technologically appropriate irrigation systems where they were not for the three selected crops.

An assessment of the economic impact of climate change on the Agriculture Sector in Guyana

Climate change is anticipated to have potentially disastrous impacts on the economic viability of the agricultural sector, insomuch as traditional agricultural practices render the agricultural sector climate-dependent. Increased temperatures and increased intensity, timing and occurrence of hydro events are expected to challenge plant and animal viability. Under such circumstances, vector control is expected to become more difficult, which may further prejudice the prosperity of plant, livestock and fisheries growth. The impact is expected to be on the quality of agricultural produce and thereby, indirectly, on human health outcomes. The key threat mechanisms are debilitated plant vitality and increased propagation of pests, as drought periods increase the breeding of vectors through water pooling and soil erosion associated with the increased intensity of hydro events. In addition, climate change is likely to affect crop productivity in specific geographical areas through its impact on growing seasons and crop patterns, to the extent that crop varieties cannot adapt.

An assessment of the economic impact of climate change on the agriculture sector in Trinidad And Tobago

The economic impact of climate change on root crop, fisheries and vegetable production for Trinidad and Tobago under the A2 and B2 scenarios were modeled, relative to a baseline ―no climate change‖ case, where the mean temperature and rainfall for a base period of 1980 – 2000 was assumed for the years up to 2050. Production functions were used, using ARMA specifications to correct for serial autocorrelation. For the A2 scenarios, rainfall is expected to fall by approximately 10% relative to the baseline case in the 2020s, but is expected to rise thereafter, until by the 2040s rainfall rises slightly above the mean for the baseline case. For the B2 scenario, rainfall rose slightly above the mean for the baseline case in the current decade, but falls steadily thereafter to approximately 15% by the 2040s. Over the same period, temperature is expected to increase by 1.34C and 1.37C under A2 and B2 respectively. It is expected that any further increase in rainfall should have a deleterious effect on root crop production as a whole, since the above mentioned crops represent the majority of the root crops included in the study. Further expected increases in temperature will result in the ambient temperature being very close to the optimal end of the range for most of these crops. By 2050, the value of yield cumulative losses (2008$) for root crops is expected to be approximately 248.8 million USD under the A2 scenario and approximately 239.4 million USD under the B2 scenario. Relative to the 2005 catch for fish, there will be a decrease in catch potential of 10 - 20% by 2050 relative to 2005 catch potentials, other things remaining constant. By 2050 under the A2 and B2 scenarios, losses in real terms were estimated to be 160.2 million USD and 80.1 million USD respectively, at a 1% discount rate. For vegetables, the mean rainfall exceeds the optimal rainfall range for sweet peppers, hot peppers and melongene. However, while the optimal rainfall level for tomatoes is 3000mm/yr, other vegetables such as sweet peppers, hot peppers and ochroes have very low rainfall requirements (as low as 300 mm/yr). Therefore it is expected that any further decrease in rainfall should have a mixed effect on individual vegetable production. It is expected that any further increase in temperature should have a mixed effect on individual vegetable production, though model results indicated that as a group, an increase in temperature should have a positive impact on vegetable production. By 2050, the value of yield cumulative gains (2008$) for vegetables is expected to be approximately 54.9 million USD under the A2 scenario and approximately 49.1 million USD under the B2 scenario, given a 1% discount rate. For root crops, fisheries and vegetables combined, the cumulative loss under A2 is calculated as approximately 352.8 million USD and approximately 270.8 million USD under B2 by 2050. This is equivalent to 1.37% and 1.05% of the 2008 GDP under the A2 and B2 scenarios respectively by 2050. Sea Level Rise (SLR) by 2050 is estimated to be 0.255 m under A2 and 0.215 m under B2. GIS estimation indicated that for a 0.255 m sea level rise, combined with a 0.5 m high tide, there would be no permanent inundation of agricultural land in Trinidad. The total inundation area is 1.18 km2. This occurs only in the Caroni Watershed, on the western coast of Trinidad, and the areas are outside the Caroni Swamp. Even with an additional rise of 0.5 m to simulate a high rainfall event, the estimated inundated area is 4.67 km2, but with no permanent inundation, though likely to be subject to flooding. Based on eleven (11) evaluation criteria, the top potential adaptation options were identified: 1. Use of water saving irrigation systems and water management systems e.g. drip irrigation; 2. Mainstream climate change issues into agricultural management; 3. Repair/maintain existing dams; 4. Alter crop calendar for short-term crops; 5. Adopt improved technologies for soil conservation; 6. Establish systems of food storage; 7. Promote water conservation – install on-farm water harvesting off roof tops; 8. Design and implement holistic water management plans for all competing uses; 9. Build on- farm water storage (ponds and tanks); 10. Agricultural drainage; and 11. Installation of greenhouses. The most attractive adaptation options, based on the Benefit-Cost Ratio are: (1) Build on- farm water storage such as ponds and tanks (2) Mainstreaming climate change issues into agricultural management and (3) Water Harvesting. However, the options with the highest net benefits are, (in order of priority): (1) Build on- farm water storage such as ponds and tanks, (2) Mainstreaming climate change issues into agricultural management and (3) Use of drip irrigation. Based on the area burnt in Trinidad and Tobago between 2005 and 2009, the average annual loss due to fires is 1717.3 ha. At US$17.41 per carbon credit, this implies that for the total land lost to forest fires on average each year, the opportunity cost of carbon credit revenue is 74.3 million USD. If a teak reforestation programme is undertaken in Trinidad and Tobago, the net benefit of reforestation under a carbon credit programme would be 69 million USD cumulatively to 2050.