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Agriculture and Rural Development

Distorted Prices in Commodity Markets

Otaviano Canuto's picture

The volatility in commodity prices continues. Sure, they have come down in the last few days on Eurozone crisis fears but, all in all, they remain volatile, and in the case of food, very high. One of the reasons for this is that world commodity markets–particularly those for agricultural commodities—have become highly distorted.

“So what?” you may ask. Well, distorted price levels and excess price volatility are detrimental to producers and consumers alike.

Sierra Gorda, Mexico: Where the Fight against Climate Change Goes Local

Myra Valenzuela's picture

From April 23-25, 2012, a DM team comprised of Ricardo Hernandez (Sr. Environmental Specialist), Angelica Calderon (Information Specialist), Douglas Jimenez (Information Assistant), and Myra Valenzuela (Consultant) visited DM2008 Project “Reducing Impacts of Ranching on Biodiversity.”

Photo Credit: Roberto Pedraza Ruiz - Sierra Gorda SilvestreWith the Rio+20 meetings less than 5 weeks away, climate change has once again taken center stage on the global agenda. Grupo Ecológico Sierra Gorda IAP (GESG), based in the state of Querétaro, Mexico, is combating climate change through its efforts to establish a conservation-based local economy in the Sierra Gorda Biosphere Reserve (Reserve). At almost 384,000 hectares, the Reserve covers 32% of the state’s territory, and it is jointly managed as a public-private partnership by the Comisión Nacional de Áreas Naturales Protegidas (CONANP) and GESG. 
 

As a member of UNESCO’s World Network of Biosphere Reserves, the Sierra Gorda Biosphere Reserve is one of the most ecologically diverse areas in Mexico and serves as a critical refuge for both migratory and threatened species. However, the practice of extensive cattle grazing by landowners throughout the Reserve poses a threat to the delicate ecosystem. GESG’s GEF-funded project with the Development Marketplace, “Reducing Impacts of Ranching on Biodiversity” addressed just that: financing payments for environmental services to local ranchers in exchange for excluding their cattle from the land and performing conservation activities (e.g. tree planting, soil regeneration, no lumber extraction, no hunting). The DM project also supported 5 pilot farms to showcase best practices for animal husbandry and land management. In addition, GESG pursued certification and verification of sequestered carbon captured in reforestation efforts through the Rainforest Alliance, developing a “gourmet” product of integrated environmental services.

Food and nutrition: How do we balance the equation?

Leslie Elder's picture

Although the world produces a surplus of food, we have yet to achieve the right balance between the production of food and achievement of good nutrition. A new World Bank-hosted knowledge platform will generate better understanding of the links between agriculture, food security and nutrition, to help countries reach the Millennium Development Goal on hunger (MDG 1). Read more on the SecureNutrition blog.

Using Radio to Reach Out to Small Farmers

Nnaemeka Ikegwuonu's picture

Farmers in rural Africa, especially where access to electricity is a problem, have difficulty to obtain information on modern farming techniques. Nnaemeka Ikegwuonu is the Executive Director of the Smallholders Foundation in Nigeria’s southern Imo State—whose radio station broadcasts 10 hours of agricultural programming daily, keeping locals up to date on everything from soil management to cassava prices at nearby markets. We spoke with him about his choice of radio as a way of reaching out to small farmers and the trials and tribulations of launching his enterprise.

Importance of Equal Inheritance Rights for Female Empowerment

Aparajita Goyal's picture

Policies that aim to improve the position of women relative to men are desirable not only on equity but also on efficiency grounds. While developing countries continue to improve economic opportunities for women, inheritance laws remain strongly biased against women in many societies. When the distribution of inherited wealth is highly unequal, the effect of this disparity on economic inequality is of considerable interest. Parental bequests of material wealth and human capital investments represent central forms of intergenerational transfers that affect long-term development in far reaching ways.

Why nutrition matters

Bénédicte de la Brière's picture

Three years from the deadline for reaching the Millennium Development Goals, two-thirds of countries will not reach MDGs 4 and 5 (child and maternal mortality, respectively). And now the second food price rise in three years is a wake-up call for the development community.

In this context, the Global Monitoring Report 2012: Food Prices, Nutrition, and the Millennium Development Goals examines some of the possible consequences of food price increases, such as a rise in poverty and undernourishment1. Households cope through a variety of mechanisms, including: eating less nutritious diets and then less food; making more household members work (women and children); and not seeking health care when ill. The most vulnerable (the poor, children, and pregnant women) bear the brunt of these adverse impacts.   Moreover, as countries seek to maintain food prices, some increase food price subsidies and cut into other services.

Inclusive Green Growth Is Smart Growth, as South Korea Is Proving

Rachel Kyte's picture

One of Asia’s fastest growing economies in the last 40 years, South Korea, has emerged as a manufacturing powerhouse that has virtually eliminated poverty.  Its resilient economy survived the 2008–2009 financial crises better than almost any other country, but it is far from complacent.  Korea spends a bigger percentage of GDP on research and development than Germany, the UK and the US.

Today, Korea is a global champion of green growth with a long-term plan for transitioning to green growth and a focus on exporting green tech, and it is moving away from energy imports and energy-intensive industries.  Korea’s journey is not complete, but its progress stands as an inspiration to developing countries wherever they are in theirs.

At the second Global Green Growth Summit, in Seoul on Thursday, President Lee Myung-bak reinforced Korea’s commitment to playing a leadership role on the global stage, restating Korea’s commitment to increasing official development assistance through to 2020 and announcing that 30 percent of that ODA will be green.

Launching our report in Seoul was an excellent opportunity to further strengthen our partnership with Korea and expand our inclusive green growth knowledge base.

Water: The Future We Want

Julia Bucknall's picture

Last week I was a speaker at a Global Water Intelligence summit in Rome. The organizers asked the panelists to imagine a perfect water future in 25 years and then re-engineer what is necessary to get there. I came up with a long list for an ideal water future, and gradually whittled it down to my personal four:

The Raw Material that is Waste

Parvathi Menon's picture

Plastic Waste - Photo credit: Innovation AlchemyIt is estimated that every Indian consumes approximately 8 kgs of plastic a year. If even 20% of the total plastic consumed gets into the waste cycle, that equals over a billion kilograms of plastic waste that will be generated in India just this year alone. The per capita figure usage has gone up from 4 Kgs per Indian in 2006 and is expected to grow to 25 Kgs of plastic used by every Indian per year by 2020. Imagine how much plastic waste we will be dealing with by 2020? Seriously alarming. Remember the film Wall E? *sigh*..

The United Nation’s Environment Program published an excellent study about Converting Waste Plastics into a Resource. Describing the pathways for Waste Plastic, the report traces most routes, which invaribly lead to a dumping site or a land fill.Dumping Cycle - Photo credit: Innovation Alchemy

If India alone is producing over a billion kilograms of plastic waste each year – the global figures are huge. While the world tries to figure out how to use less plastic – an equally important focus for Innovation will need to be: What to do with all the plastic that is already in the dumping grounds?

A Global Effort Is Building to Save Our Oceans

Rachel Kyte's picture

Imagine what the world’s leading ocean scientists, policy experts, private sector actors, and activists could accomplish if they united as a single force for ocean health.

We’re about to find out.


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