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This is an archived USAID document retained on this web site as a matter of public record.

Remarks by Andrew S. Natsios, USAID Administrator

Expanding Agricultural Productivity Through Science, Technology and Trade


March 27, 2003


Good Afternoon. Let me begin by making three points. First, there is no way that United States foreign assistance programs can exist without the support of the American people. Second, there is now a widely accepted principle that public-private partnerships are required if there is to be significant poverty reduction on the African continent. And third, the key to all success in development is that there be democratic environments. Therefore, the Africa Society of the National Summit on Africa’s primary objectives of educating Americans about Africa, building partnerships, and facilitating the Continent’s development and political transition to more open, democratic societies are very important objectives.

Thank you for all that you do and in particular thank you for highlighting this important topic – famine and drought in Africa.

I. The Food Crises in Southern Africa and Ethiopia

Persistent hunger and the risk of famine continue to pose significant development and humanitarian challenges to sub-Saharan Africa. Some 206 million Africans live below the poverty line; 33 million children are malnourished. Most of the hungry are farmers, who cannot produce or purchase the food their families need.

Long-term trends may be even worse: the U.S. Agriculture Department’s Global Food Security Report last month estimated the number of Africa’s hungry would grow to 427 million by 2012.

This past 12 months has been a particularly difficult period. Overlapping food crises in southern Africa, the Horn and parts of the Sahel have put nearly 40 million people’s lives at risk. Africa also faces what The Economist magazine calls the “double curse” of food insecurity and HIV/AIDS. The loss of so many farmers and farm workers cuts deeply into all aspects of food production and distribution.

One of the critical lessons we have learned from our past experiences is that food aid and humanitarian assistance by themselves do not prevent future crises from recurring.

A half century of study tells us that famine is a process. Early – or pre-famine – indicators can be identified. Indeed, information from USAID’s famine early warning system -- FEWS NET -- helped us anticipate the food crises in southern Africa and Ethiopia. The time we gained allowed us to ship hundreds of thousands of tons of grain and maize to these regions, and helped saved many thousand human lives.

It is not drought that causes famine -- not in this century, or we would be seeing hunger in the Midwest today. While drought may be a factor, the true roots of famine lie in poverty, unsound or dysfunctional policy, repressive government, corruption, failed markets, and violent conflict.

As the President’s Coordinator for International Disaster Assistance, I have visited many parts of the world where people lived on the edge of famine. Seeing that kind of hunger is not something you forget, but you learn how some societies scrape through and others fail and how people cope as the threat of famine approaches.

There are ways to approach these problems, and I am convinced that the best is to plan relief in such way that it contains the seeds for long-term economic growth and recovery within it.

Ethiopia’s present food crisis is an example of a supply-driven famine. The country simply does not produce enough food to feed its people, while it lacks the economic reserves to import enough to fill the gap. In such situations, food aid, and more specifically imported food aid, is the appropriate short-term response.

II. How the U.S. is Responding to the Food Crises

So the United States is providing more than $300 million of food aid to Ethiopia this fiscal year. The problem is that we only have $4 million to invest in the country’s agriculture. I dream of the day when the situation will be reversed. While the Ethiopian Government has played a positive role in responding to the famine, until very recently, it was reluctant to embrace the kind of policies that stimulate economic growth and investment in modern agriculture.

Food aid cannot be a solution to Ethiopia’s long-term problems. Today’s crisis is just the latest in a long series of such crises. We want to see that end. We want to bring a new Green Revolution to the people of Africa. But unless the donor community and the government work hand-in-hand to promote good government, sound economic growth and investments in science and increased agricultural productivity, this will not occur and the cycle will continue. This is precisely what our new agricultural strategy seeks to prevent.

The southern African food crisis is another example of a drought whose effects have been seriously exacerbated by government policy. This is particularly true in Zimbabwe. First, the government there set price controls for staples, such as corn, which had the effect of inhibiting production and imports. Second, it backtracked on the liberalization of the grain market, bringing corn back under the control of the grain marketing apparatus and creating a monopoly that inhibited open commercial trade. Third, it compounded the problem by expropriating land and destroying the most productive part of the country’s agricultural sector. In so doing, Zimbabwe’s ability to export surplus food to its neighbors collapsed.

While I understand the country’s colonial history, I do not understand how exposing millions of people to hunger and starvation contributes to anything but Robert Mugabe’s personal political agenda.

At the World Food Summit last year, the United States made a commitment to cut hunger in Africa in half by the year 2015. The goal is achievable. But it means changing the way things work. And it means building new partnerships with African leaders, other donors, and the private sector to accelerate agricultural growth, support strong political leadership, and invest in the health, education and economic growth the people badly need.

If this can be done – and we are working very hard to see that it does – I believe the future of rural African can be very promising.

Investing the necessary resources in agricultural growth and productivity will not only reduce hunger and add to rural incomes, it can save billions of assistance dollars, funds that can be put to other uses, but which now must be invested in emergency food assistance. Indeed, recent studies have shown that a one percent increase in agricultural productivity can result in six million people being lifted from poverty.

III. How Our New African Agricultural Strategy Will Work

Over the next five years, USAID’s new agricultural strategy will renew this country’s leadership in agricultural development assistance. The essence of this strategy is:

  • accelerating science-based solutions to agriculture and making particular use of biotechnology to improve productivity and reduce poverty and hunger;
  • developing international and domestic trade opportunities for farmers and rural industries;
  • providing more training for scientists and agronomists and increasing agricultural extension services for farmers and their families; and
  • promoting sustainable agriculture and sound environmental management.

These “new agriculture” initiatives provide the framework for our future action. Under each initiative, USAID will launch activities that will signal our return to international leadership and, we hope, leverage new commitments and funding from other sources.

This does not mean that we can abandon Africa’s short term needs. For the foreseeable future, significant levels of food aid will be needed to ensure that the world’s needy are provided a secure food safety net. That will not easy. The food crises I mentioned in Ethiopia and southern Africa are only part of the worldwide demand for food assistance. While the situation in Afghanistan may improve somewhat this year, the Afghan people will still need substantial food assistance from the United States. When you add to that the amount we are giving North Korea, and the amount which Iraq may need, the challenge is daunting.

Altogether these concomitant crises have pushed international food aid requirements to their highest level in history. According to some estimates I have read, global food aid requirements will exceed 12 million metric tons this year. The needs of sub-Saharan Africa alone are expected to top five million metric tons. Yet the amount of food aid available globally has dropped to its lowest level in more than five years, in part because worldwide cereal production fell more than three percent last year.

More ominously, global cereal consumption was 80 million metric tons more than what was produced.

Fortunately, the Administration’s commitment to use the agricultural abundance of this country to help the less fortunate is stronger now than ever. President Bush pointed specifically to this in his State of the Union address in January, when he said: “Across the earth, America is feeding the hungry; more than 60 percent of international food aid (to the World Food Program) comes as a gift from the people of the United States.” And I am pleased to say that our funding in Fiscal Year 2003 again makes this country the largest, most responsive food aid donor in the world.

As part of his Fiscal Year 2004 budget, the President announced a new $200 million humanitarian Famine Fund. This fund is designed to respond rapidly and effectively to crises that our early warning systems identify and support initiatives that encourage other donor support.

We are also addressing the longer-term picture. Under President Bush’s Initiative to End Hunger in Africa, USAID funding for agriculture in sub-Saharan Africa has grown from $113 million in Fiscal Year 2001, to $137 million in FY ’02, to $164 in FY ’03.

USAID’s programs support agriculture in 25 African countries. We are providing more than $10 million to the Consultative Group for International Agricultural Research (CGIAR) and its affiliated research centers to support their work in Africa. We are contributing more than $15 million to university partnerships that conduct research on improving African agriculture. We fund special Cochran Fellowships to train Africans in new methods, improved management, biotechnology and agricultural standards and harmonization.

At the same time, our Global Development Alliance secretariat is bringing new ideas, new partners, and new resources from the private sector to the problems of African agriculture. In 2002, for example, we helped put together 18 agricultural-based alliances, which leveraged more than $37 million in private funding from our partners.

We are also working to expand trade through the continent. In East Africa, for example, a new Regional Agricultural Trade Expansion Support program has been set up to new commercial opportunities for producers of maize, coffee, cotton, and livestock. In West Africa, we helped support the development of the West African Traders network, which has facilitated the trade of some 50,000 metric tons of cereals in the region. In Uganda, we are working with local dairy cooperatives. In Guinea, Kenya, Madagascar, Mozambique, Tanzania, and Uganda, we are funding rural road systems to help farmers get their produce to market. In Liberia, we distributed seeds and tools and helped the country get back to 90 percent of its prewar food production levels. We are fortifying basic foods in six countries and working with several others to upgrade their production standards and learn the rules-based system of the global economy so they can meet WTO standards and increase their exports.

Improving food security in Africa presents a series of complex challenges. There is no single approach that can solve every problem. Each crisis must be addressed in light of its particular causes.

USAID is well into the process of restoring this country’s leadership in international agricultural development. Our leadership is often followed by others in the international community, and so, perhaps, we can look forward to a time when Africa will have the resources and long-term strategies to the fight hunger, malnutrition, and famine.

Yet we have to recognize that there are limits to what this country can do alone. To be effective, Africa needs the sustained commitment of the international donor community to the health, education, honest government and economic policies that support growth and agricultural development. And most of all, Africans themselves must take the lead.

I am pleased that many of the African leaders I have spoken to have supported these ideas. I know we can make progress with them, and that gives me great hope for what the future holds for Africa and its people.

Thank you.

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