Ag research and economic development oecd

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  • 1. AGRICULTURAL R&D AND ECONOMIC DEVELOPMENTTracking agricultural R&D investments and capacitiesin developing countriesNienke Beintema and Gert-Jan StadsASTI program | International Food Policy Research InstituteOECD, Paris | 28 March 2012
  • 2. Outline presentation• Why track agricultural R&D indicators?• A short overview of ASTI• Some of ASTI’s key findings• Linkages and complementarities with OECD
  • 3. Agricultural R&D is crucial to food security • Extensive evidence demonstrates that agricultural R&D has greatly contributed to agricultural development, economic growth, and poverty reduction (World Development Report 2008; International Assessment for Agricultural S&T for Development 2010) • But… given the central role of food in human welfare and national stability, it is shocking how little money is spent on agricultural research globally (Bill Gates 2012) • Greatly increased institutional, human, and financial resources are needed to address global food production challenges (2010 Global Conference on Agricultural Research for Development— GCARD roadmap)
  • 4. Importance of agricultural R&D indicators (1)• Agricultural R&D is a long-term commitment requiring sufficient and sustained funding for well-functioning R&D agencies• Stakeholders need to be able to identify trends in agricultural R&D investments and capacity, as well as gaps and neglected areas to set future investment priorities, and to better coordinate and harmonize research• R&D indicators are essential to measure, monitor, and benchmark the inputs, outputs, and performance of agricultural R&D systems
  • 5. Importance of agricultural R&D indicators (2) • Key to understanding the contribution of agricultural R&D to agricultural productivity growth and economic growth • Importance of S&T indicators has increasingly been recognized by policymakers (e.g., African Ministerial Conference on S&T, 2003) • Recent initiatives on food security emphasize the need to track investments, including those in agricultural R&D (G8, G20, L’Aquila Food Security Initiative) • This will require a sustainable and long-term commitment from national stakeholders, international organizations, and donors
  • 6. Outline presentation• Why track agricultural R&D indicators?• A short overview of ASTI• Some of ASTI’s key findings• Linkages and complementarities with OECD
  • 7. Agricultural Science and Technology Indicators (ASTI) • Collection of national-level investment and human resource capacity data on agricultural R&D: – Focus on low– and middle–income countries (coverage ± 60) – Through institutional survey rounds (primary data) • Through a large collaborative network of national, regional and international partners; facilitated by IFPRI • Aim is to provide: – Trends over time at country / regional levels; within countries – Comparisons across countries / regions; within countries
  • 8. Objectives of ASTI • Provide up-to-date and high quality datasets on agricultural R&D investment, capacity, and institutional trends • Conduct further analysis based on datasets to improve the relevance of ASTI to a variety of stakeholders • Enhance the dissemination and use of ASTI outputs for policy formulation and advocacy • Strengthen capacity for data collection and analysis and stimulate the use of ASTI as an information and analysis tool
  • 9. ASTI’s Challenges• Need to establish an institutionalized data collection system at regular intervals• Need to expand geographical coverage• Need to expand analysis beyond the descriptive examination of national and regional capacity and investment trends.• Focused on input indicators, not output, performance, and outcome indicators; covering research not the agricultural innovation system• Building the capacity to improve long-term sustainability of ASTI, and increase the reach, advocacy, and policy relevance of the data• Such a sustainable, broad system will need sustainable funding
  • 10. Challenge: Measuring R&D Outcomes/Impact• Monitoring outcome/results of agricultural R&D investment has become increasingly important (accountability, especially of donor commitments)• However, attributing a causal relationship between research inputs and outputs is challenging• In the past, the focus has been mostly on ex-post return on investment assessments of successful technologies• Measurement challenges: – Attribution problem – Output metrics difficult to define (bridge from output to outcome) – Unavailability of data and high costs of generating such data – Harmonization of M&E efforts: institutional, national, regional, global
  • 11. Outline presentation• Why track agricultural R&D indicators?• A short overview of ASTI• Some of ASTI’s key findings• Linkages and complementarities with OECD
  • 12. Global agricultural R&D spending Total public spending = Intensity of agricultural R&D $25 billion (2005 PPPs, 2000) investments (latest year available) 2.5 Agricultural R&D spending as a share of AgGDP (%) Low- and middle income Sub-Saharan countries = 46% Africa 2.0 China Rest of Asia- 1.5 Pacific Latin 1.0 America- Caribbean High income 0.5 Middle East- Eastern North Africa Europe- High income Former 0.0 SSA average Brazil Developing India Developed Global Chinacountries = 54% Soviet Updated global data for 2008 will be released later this year
  • 13. R&D spending since 2000 • Agricultural R&D has been the engine 4.4 of productivity growth in China • High growth in R&D spending is onespending (in billion 2005 PPP $) China Total public agricultural R&D 3.3 of the main reasons why China India outperforms India in agriculture 2.2 • High commitment to R&D of Chinese and Indian governments continues Sub-Saharan Africa 1.1 • Commitment of Brazilian government Brazil to agricultural R&D has been high, albeit somewhat unsteady 0.0 2001 2002 2003 2004 2005 2006 2007 2008 2009 • Role of private sector in agricultural R&D has substantially increased in all three countries
  • 14. Africa’s investment challenge: Uneven growth 20% growth in SSA public agricultural R&D spending, 2000-08 2.0 • Growth driven by only a few countriesSSA Agricultural R&D spending 1.5 • Growth not always sustainable (biilion 2005 PPP $) 1.0 • Region-wide growth masks severe declines in many other (mainly 0.5 francophone West African) countries 0.0 1971 1979 1983 1987 1991 1995 1999 2003 1975 2007
  • 15. Africa’s investment challenge: Underinvestment• Common target: Allocation of at least 1 % of GDP to R&D• In 2008, Africa spent $0.61 for every $100 of AgGDP on agricultural R&D• Despite an overall increase in recent years, Africa is widely underinvesting in agricultural R&D
  • 16. Africa’s investment challenge: volatility 40 Burkina Faso • Agricultural R&D spending in 30 20 Africa has been more volatile Agricultural R&D spending (miilion 2005 PPP $) 10 0 than in other regions 1981 1985 1989 1993 1997 2001 2005 440 330 Nigeria • Volatility more pronounced in 220 110 donor-dependent low-income 0 1981 1985 1989 1993 1997 2001 2005 countries 4 3 Gabon • Stable and sustainable 2 1 government funding is key, 0 1991 1994 1997 2000 2003 2006 not just towards salaries but 40 30 Niger also to enable necessary 20 10 nonsalary expenditures 0 1981 1985 1989 1993 1997 2001 2005
  • 17. Africa’s investment challenge: donor dependency • Many countries are 100 extremely dependent Share in total funding, 2001-08 (%) on donor funding and 80 development bank Spread of 60 donor share loans • Donor funding is 40 generally short-term 20 Average donor share and ad-hoc, adding to the volatility 0 • Increased funding Madagascar Togo Mauritania Eritrea Benin Tanzania Zambia Mauritius Namibia Senegal Gambia Mali Kenya Niger Côte dIvoire Burundi Uganda Botswana Burkina Faso South Africa Ghana Guinea from World Bank (loans) in recent years
  • 18. Africa’s human capacity challenges• Many countries face rapidly aging pools of scientists due to public sector recruitment restrictions• Large influx of young BSc-qualified scientists after years of recruitment restrictions in some countries• High staff turnover / brain drain: Many researchers have left agencies due to low salaries and conditions of service• Limited in-country postgraduate training opportunities• Female scientists severely underrepresented• Small countries lack required critical mass of agricultural R&D capacity
  • 19. Outline presentation• Why track agricultural R&D indicators?• A short overview of ASTI• Some of ASTI’s key findings• Linkages and complementarities with OECD
  • 20. Linking ASTI data with OECD S&T data• Developing countries do not operate in isolation; OECD countries have been a major source of agricultural technologies and new varieties• In addition, universities in OECD countries still play an important role in training scientists from developing countries• Consequently, investments in agricultural R&D in OECD countries have an important (indirect) impact on productivity growth in developing countries• It is therefore important to closely monitor agricultural R&D spending in OECD countries• However, quality of agricultural R&D indicators of OECD countries has deteriorated steadily over time
  • 21. Towards a truly global dataset… Developing OECD countries countries Weak Private sector data Compiled by ASTI Compiled by OECD Weak link CGIAR centers Global dataset
  • 22. Linking ASTI data with OECD DAC data• More attention to accountability of donor funding as well as more coordination across donors• DAC data: incomplete information on donor contributions towards agricultural R&D; recent efforts to improve• ASTI: role of donor funding from receiving country perspective• Linking ASTI and DAC data will provide a more complete picture of donor contributions towards agricultural R&D in developing countries
  • 23. Linking ASTI and OECD• Recognize the importance of agricultural R&D to food security, poverty reduction, and economic growth in developing countries• Recognize the importance of global agricultural R&D indicators to policymakers, donors, and other stakeholders• Recognize the need to improve agricultural R&D indicators for OECD and developing countries building on ongoing efforts (OECD S&T and DAC data, ASTI)• Recognize the need to track results of investments (outcome/output indicators)
  • 24. THANK YOU