Notes for remarks by Aileen Carroll Minister of International Cooperation at Canadian Food Security Policy Group Conference: Sustainable Farm Livelihoods, North and South Ottawa, Ontario May 16, 2005 (CHECK AGAINST DELIVERY) Good afternoon everyone. Let me begin by offering greetings from the Government of Canada to all the participants, but especially to the partners from the South who are here today. I'm glad you're here. It's absolutely vital that Southern voices are heard in global debates about agriculture, food security, and trade. Civil society organizations from both North and South working in this sector have increasingly been finding their voice. You've become a major player in influencing government policy and private sector investments, which affects food security and agriculture. And you've led the way in innovative and socially responsible approaches to such areas as food safety, biotechnology, and trade. In short, you've carved a niche for yourselves. I want to commend you for your hard work, and to assure you that I value that work immensely. As some of you may know, I was in Saskatchewan a few weeks ago, where I announced new funding for the Canadian Foodgrains Bank. So the issue of food security and agriculture is very much on my mind. As it should be. Of the 1.2 billion people who live on less than one US dollar per day, three-quarters live in rural areas, with a high percentage of their very meagre income coming from agriculture. For far too many of them, it's a very difficult living. Many farmers must plant crops in soil that's already fragile or worn out from overuse or erosion. They battle drought, floods, and natural predators. And if, against all odds, they manage a successful harvest, they must travel down poor roads in the hope of finding a market. Given these facts, it's not surprising that hunger and malnutrition affect people in rural, more than urban, areas. When you add the staggering impact of HIV/AIDS, malaria, and other endemic diseases, it's a tremendous load for anyone to carry. Women in rural areas bear the heaviest burden of all. Of all the regions in the world, sub-Saharan Africa is the hardest hit. And the numbers are heart-wrenching. Compared to 15 years ago, 89 million more people in the region are living on less than a dollar a day. If these trends persist, the outlook is stark for Africa. Canada recognizes that improving agricultural and rural development is vital to achieving the Millennium Development Goals. Canada's recent International Policy Statement identified five priority sectors for our development program: basic education, health (including HIV/AIDS), governance, private sector development, and environmental sustainability. Gender equality will be systematically and explicitly integrated across all programming within each of the five sectors. Some of you may be concerned that CIDA's focus on these five priorities means the Agency is somehow less committed to agriculture. I want to assure you that this is not the case. Our policy on promoting sustainable rural development through agriculture, which we released just over two years ago, still guides our work. We are still committed to Sustainable Livelihoods and Ecosystems approaches to agriculture. And, yes, we are still funding projects and programs related to agriculture and food security. On that note, I am very pleased to announce that CIDA will provide $20 million for two complementary agricultural projects in Vietnam. These projects will improve both the quality, safety, and marketability of agricultural and food products, as well as the quality of herds and crops. Ultimately, this will lead to greater incomes in rural areas, where most of Vietnam's poor live. In addition, we are providing more than $13 million in annual core funding to the Consultative Group for International Agricultural Research. As you know, through its research and capacity-building, the CGIAR directly contributes to better governance, private sector development, and ultimately poverty reduction in developing countries. Taken together, this represents more than $33 million for agriculture. Over the past four years, CIDA's support for agriculture has been steadily rising — from under $85 million in 2001-2002 to nearly $180 million in the year just past (2004-2005). It's quite possible that — through the implementation of the International Policy Statement — we can further scale-up our approach to agriculture and sustainable livelihoods. Let me explain. Over the past few years, we've been pursuing an increasingly integrated approach to agriculture. In other words, we've been consciously trying to make the links between agriculture and other sectors such as education, health, the environment, governance and the private sector. Our focus on these five priority sectors creates many opportunities to support agriculture — an approach that can be mutually reinforcing. In most instances, the links between agriculture, and health and education, are intricate and binding. An adequate supply of food can drastically help reduce malnutrition in both adults and children. Improving crop yields can also contribute to generating surpluses that will help pay for children's school fees and the family's health care needs and expenses. As a specific example, CIDA is currently funding more than $150 million in agriculture programming in Ghana. Much of this support is focused in the 34 northern and poorest districts, where CIDA is helping local communities take greater ownership of district development plans. Increasingly, civil society is determining its own priorities in these districts, whether it's a new grain silo, a new classroom, or a new health clinic. As the main user of natural resources such as water, land, and biodiversity, agriculture is intimately linked with environmental sustainability. Land degradation is a cross-boundary challenge that threatens the basic livelihoods of vulnerable populations. It is frequently a root cause of social conflict. Given that so many people are suffering because of degraded land and water resources, CIDA will give particular attention to sustainable land and natural resource management. This could take the form of developing drought-resistant crops and more effective cultivation techniques. Private sector development, good governance and agriculture are also mutually reinforcing. Small farmers in rural areas are often the backbone of the private sector in developing countries. But often they don't reach their potential due to poor policies, inadequate markets and infrastructure, and generally weak institutions. In Ghana, CIDA is supporting a Farmer-Based Organization Development Fund that is improving food security in the country's three poorest regions. The fund is building the capacity of farmers and their organizations at the local, regional and national levels in a range of different areas, such as access to financial management. Support for governance in an agricultural context, of course, takes many forms. As we all know, global trade organizations have a direct impact on agriculture and local economies. Canada is committed to helping developing countries build the necessary capacity to negotiate effectively, to develop national policies that meet domestic priorities, and to meet international obligations. Between 2001 and 2004, Canada committed $316 million (Canadian) in technical assistance so that developing countries could better take advantage of reforms to the global trading system. I know that both Northern and Southern producers are concerned about the WTO's next Ministerial meeting in Hong Kong this December. I too have concerns. Canada's primary objective in the current round of negotiations is to level the playing field. We want Canadian producers and processors to compete effectively with their counterparts in other countries and not against the treasuries of foreign governments. Specifically, Canada wants action in three key areas: better market access for all agriculture and food products; the elimination or substantial reduction of trade-distorting domestic support; and the complete elimination of export subsidies as quickly as possible. We believe that developing countries will benefit from these measures: levelling the playing field is good for all the players. Developing countries, other than Least Developed Countries, will need to take on new obligations. However, for our part, CIDA would like to see flexibilities for developing countries so they can reduce their tariffs over a longer period of time and with lower cuts. This can help them pursue agricultural policies that support their development objectives, poverty reduction strategies, food security, and livelihood concerns. We also support a special safeguard mechanism and the protection of special products by developing countries. Both of these mechanisms should be flexible enough to address food security, livelihood security, and rural development needs. Achieving these goals will help developing countries address the challenges posed by an unfair international trading system. It will allow them to use agriculture and trade as tools for development and poverty reduction, which is exactly what they should be. Ladies and gentlemen, CIDA remains committed to supporting agriculture and sustainable livelihoods in the South. Our recent focus on five priorities through the International Policy Statement will create a new lens for CIDA to view agriculture. It will help us see, and build, new linkages that can strengthen our overall programming. I am very excited at the rich potential to support sustainable farm livelihoods, and I hope you are too. Thank you.
