1. Armenia's agriculture sector faces challenges including low productivity, lack of innovation and investment, and vulnerability to climate change impacts. Most of the country's poor live in rural areas and depend on agriculture for their livelihoods.
2. To respond to food security demands and maximize agricultural performance, the government needs to shift from an input-based model to knowledge-based, innovative practices. It must strengthen training, research, and extension systems while improving market infrastructure, food availability, and the regulatory environment.
3. The main challenges for Armenia's food industry are developing market and regulatory systems, increasing productivity through new technologies and management practices, and improving access to financing while conserving genetic resources and the environment. National agriculture
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MTBiz is for you if you are looking for contemporary information on business, economy and especially on banking industry of Bangladesh. You would also find periodical information on Global Economy and Commodity Markets.
Signature content of MTBiz is its Article of the Month (AoM), as depicted on Cover Page of each issue, with featured focus on different issues that fall into the wide definition of Market, Business, Organization and Leadership. The AoM also covers areas on Innovation, Central Banking, Monetary Policy, National Budget, Economic Depression or Growth and Capital Market. Scale of coverage of the AoM both, global and local subject to each issue.
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Robert Johansson
SPECIAL EVENT
Discussion on the Key Findings of FAO’s 2019 State of Food Security and Nutrition in the World Report
Co-Organized by FAO North America and IFPRI
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9th march,2015 daily global rice e newsletter by riceplus magazineRiceplus Magazine
Riceplus Magazine shares daily International RICE News for global Rice Community. We publish daily two newsletters namely Global Rice News & ORYZA EXCLUSIVE News for readers .You can share any development news for readers.
Share your rice and agriculture related research write up with Riceplus Magazine contact riceplus@irp.edu.pk , mujahid.riceplus@gmail.com
For Advertisement & Specs mujahid.riceplus@gmail.com
Presentation by Mark W. Rosegrant at the event, “2013 AAEA & CAES Joint Annual Meeting” which took place on August 4-6, 2013 in Washington, DC. It offers AAEA members, CAES members, and other applied economists a chance to interact and learn over the course of the three day meeting.
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2018 armenian agriculture policy development notes
1. 1
Armenian Agriculture Policy
Development Notes
27 November 2018
Drafted by A. Mehrabyan
Independent International Expert on
Agriculture Crisis and Rural Agriculture Development
Background
The Republic of Armenia is a small landlocked country covering an area of approximately 27 753
square kilometers. With population of 2,9 million, where three out of five or about 37%1 (1,080
mln people) of the people in Armenia live in rural areas, where 42% (458.000 people) are pensioner
and depend on agriculture and related activities for their livelihoods. While at independence, the
Republic of Armenia classified as a middle-income country with high density of population in CIS
and the region.
Despite its economic growth observed in recent years, poverty is geographically widespread and
persistent in the country. This is particularly the case of rural areas where about 74% (800.000 out
of 1,08 mln) of the country’s poor live (economically non active) and out of which 42% are
pensioner, about 5,6% disable2.
Many live on ecologically fragile areas depend on vulnerable sectors for their livelihoods such as
agriculture, livestock and forestry. Armenia endowed with rich agricultural land and a temperate
climate, thus the agricultural account for about 19,6 % of the country’s GDP3. Entire with agro-
processing these sectors generate about 26% of gross industrial product of Armenia , and provide
employment for roughly 45% of the labor force4.
Non-profitable agriculture dramatically increased the rural poverty and affection on agricultural
laborers.
Poverty in the rural areas rising up to 44 percent where agriculture being the main source
of informal employment and income for many households.
In 2017, the poverty rate in Armenia was 25.7%, meaning that 4-th out of every 10 residents
of the country fell below the upper poverty line of AMD 41 612. In comparison to the year
2016, the national poverty rate dropped by 3.7 percentage points5.
One out of five poor people live in rural areas, where the rate of unemployment is
approximately 18% , while the rural population employment rate is about 51%6.
Tree out of ten children under the age of ten live in extreme poverty, about 33% of children
under age of 5 do not receive adequate food to meet their proper health and development
needs and number of total infant mortality per 100 ill-born or diseased children is 9,1
persons7.
1 Table 1.2. Food Security in Armenia, NBS, 2017
2 Table 1.6. Food Security in Armenia, NBS, 2017
3 https://www.gfmag.com/global-data/country-data/armenia-gdp-country-report
4 https://www.export.gov/article?id=Armenia-agribusiness
5 https://www.armstat.am/file/doc/99511188.pdf
6 https://www.armstat.am/en/
7 Food Security in Armenia, NBS, 2017
2. 2
There is a trend towards feminization of the rural population and the future measurements
are likely to show that women severely affected by poverty than man.
Poverty and lack of opportunities explain the unprecedented levels of migration in search
for job opportunities.
Unemployment affects the young people in a very disproportionate way, as nearly one out
of two of the total unemployed are represented by people between the ages of 16 and 29.
The yields and productivity of agricultural crops in 2017 were the lowest of the last three years
and this prompted a crumple throughout the whole sector. Out of 446 thousand hectare of arable
land only 51% or 295 thousand hectare were used in 2017, and compare to 335 thousand hectare
of last three year average (2013-2016) its decries about 14%. But the main problem is that out of
those 295.000 hectare about 53% (155.000 ha) used under cereals and without crop rotation. These
had a particularly devastating effect on the livelihoods of the rural population, and more
importantly the small independent private farmers, which are the backbone of the country’s
agricultural sector, producing around 89% of the agricultural GDP8.
Land Used and Structure
Indicators 2013 2014 2015 2016 2017
Decalin % in
compare to avarage
of previous years
Total sown area
318.1 324.2 337.5 353.4 294.5 17%
Grains and
leguminous plants 178.4 185.5 193.1 198.1 155.2 53%
Industrial crops 3.5 3.2 3.1 3.2 2.5 1%
Potatoes
30.7 30 27.8 28.9 25.3 9%
Vegetables
25.4 26.4 28.4 30.2 28.3 10%
Water-melons
5.4 5.8 6.8 7.3 6.8 2%
Forage crops
74.7 73.3 78.2 85.6 76.3 26%
Gross output of main crops and level of yield
Crops Measures 2013 2014 2015 2016 2017
Cereals
Outputs 000 tons 548.8 580.1 601.5 604.2 302.5
Area 000 ha 178.4 185.5 193.1 198.1 155.2
Yield t/ha 3.08 3.13 3.11 3.05 1.95
Potato
Outputs 000 tons 660.5 696.1 607.7 606.3 547.4
Area 000 ha 30.7 30 27.8 28.9 25.3
Yield t/ha 21.51 23.20 21.86 20.98 21.64
Vegetables
Outputs 000 tons 876 954.6 1007.6 968.6 861
Area 000 ha 25.4 26.4 28.4 30.2 28.3
Yield t/ha 34.49 36.16 35.48 32.07 30.42
8 Statistical Yearbook of Armenia 2018
3. 3
Melons
Outputs 000 tons 208.1 245.8 286.8 236.1 215.8
Area 000 ha 5.4 5.8 6.8 7.3 6.8
Yield t/ha 38.54 42.38 42.18 32.34 31.74
Fruits
Outputs 000 tons 338.1 291 377.1 242.6 361.6
Area 000 ha 35.5 36 36.4 36.6 38.7
Yield t/ha 9.52 8.08 10.36 6.63 9.34
Grape
Outputs 000 tons 240.8 261.3 309.2 178.8 210
Area 000 ha 16.1 16.3 16.4 16.2 14.8
Yield t/ha 14.96 16.03 18.85 11.04 14.19
According to the several reports the steeple food prices in Armenia increase up to 75% during last
7 years. Form spring 2017 to autumn 2018 the food prices increase up to 22,1%, non-food product
price – up to 10,2% and service prices – 8,5%, when inflation rate from 0,9% increase up to
3,03%. In November 2018, the prices for basic foods in compare to the same period of 2017 are
increase as follow: beef meat up to 40%, pork – 36%, butter – 68% and dairy products - up to
40%9.
There have been continuing reforms in agriculture and the rural sector in recent years, but only
limited improvements of agricultural performance. The main reasons underlying the poor
performance of the sector include lack of knowledge and innovation, lack of investment, limited
access to financial resources, limited organization of markets for outputs, and low levels of
managerial experience. To this list must be add the vulnerability of the sector to natural disasters
that further complicates the process of agricultural recovery.
Rural livelihoods development, particularly in the context of food security and soaring food prices,
is very important. Climate changes hits the poorest and most vulnerable people hardest. There is
clearly an economic, social and moral imperative to help poor rural people, by providing the
technical assistance and financial support to develop agriculture system and adapt to climate
change in a sustainable way.
It needs to be underlined that there is a need to design and implement a set of measures to build
up the necessary coping mechanisms, and make more resilient the existing system of agriculture
production and marketing to improve rural livelihoods and make it sustainable.
We need an approach to agriculture that truly addresses the different dimensions of
sustainability: economic, environmental and social, and allows us to work much more across
sectors, objectives and interests
Many lessons learned from previous year’s, but today it is very important to reflect our exposure
and to reiterate our commitment to advocate for and to promote measures in support of the
Government of Armenia and the rural population, to increase the country’s technical and
scientific capacity to adopt knowledge based agriculture development instead of input based
9 Aggregated data of NSB, CIA, WB, research and monitoring June 20017- July 2018.
4. 4
activities, as well as empower adaptive capacity to mitigate natural disasters and crisis for
sustained agriculture and rural development.
We should support Government of Armenia in making evidence-based decisions in the
management of production systems and natural resources based on integrated knowledge to
support the transition to sustainable agriculture, particularly:
i) provide capacity-building on statistics and geospatial information, and qualitative
information to underpin the extent, quality, use and productive capacity of land, water,
and forests;
ii) assess the impacts of agriculture, forestry and fisheries on these resources;
iii) monitor climate related variables and evaluate how practices improve agriculture
production and productivity by adapting to climate change;
iv) and support the provision of strategic knowledge products (data, information, tools and
analyses) developed at global and regional level to be used by national and regional
institutions in order to make evidence-based decisions.
That’s why, we need to answer to following tree fundamental questions:
a) How can Armenia's agriculture sector respond to the current world/ regional
demand for food security?
b) What are the key steps that the government needs to take to ensure it maximizes the
performance of the agricultural sector with minimum effort?
c) What are the main challenges faced by but also the opportunities in the food making
industry in Armenia?
1. How can Armenia's agriculture sector respond to the current world/ regional demand for
food security?
Transforming agriculture production systems (including crops, livestock, fisheries and
forestry) in ways that contribute to favorable nutritional outcomes will target
diversification of food production through nutrition-sensitive agriculture while respecting
and managing the environment and promoting local biodiversity.
by shifting from input based homogeneous model of agriculture production to integrated
knowledge based, innovative agro-prctice by considering location-specific farming
systems;
Developments in food systems can also provide employment opportunities and increased
incomes, affording value chain actors the ability to access more nutritious food;
by realistic policy development, priority identification and capacity building
by technology revolution especially in the areas of molecular biology, biotechnology,
ecology and management.
by improvement and diversification of crop variety or species;
by development agriculture calendar according to the seasonal changes caused by climate
changes;
new crop varieties with high value;
increasing the quality and quantity of cattle breeding production, applying biotechnologies
in the zootechnics sector, using non-polluting growth stimulators, active biological and
veterinary substances.
by improvement of irrigation system and water supply management;
inputs management (fertilizer, tillage methods, grain drying, other field operations);
by promotion of agro forestry, adaptive management with suitable species and silvicultural
practices
5. 5
2. What are the key steps that the government needs to take to ensure it maximizes the
performance of the agricultural sector with minimum effort?
identifying present vulnerabilities;
increased training and education;
adjusting agricultural research priorities;
protecting genetic resources and intellectual property rights;
strengthening agricultural extension and communication systems;
adjustment in commodity and trade policy;
reduction of food security risk;
identification and promotion of (micro-) climatic benefits and environmental services of
trees and forests
development of short/immediate, medium term and long term strategies, objectives and
road map
supporting public-private partnership development progrmms
Linking country program framework (CPF/FAO) and regional initiatives10
3. What are the main challenges faced by but also the opportunities in the food making
industry in Armenia?
The need of the Government of Armenia that are presented in Agriculture Strategy for the period
2017-202511: 1.Development of market infrastructures and improvement of forms of economic
activity; 2. Increase in level of physical and economic availability of food, taking the following
issues into account: food safety and minimum level of self-sufficiency of basic food; 3. Food safety
system development; 4. Implementation of land reclamation complex measures; 5. Creation of
conditions and legal basis for Organic Production; 6.Crop production development-application of
advanced agro-technologies; cultivation of crops ensuring high level of added value; development
of seed production and breeding, introduction of operational control mechanisms in seed quality;
implementation of plant protection and quarantine measures; crop genetic diversity, including crop
wild relatives conservation; 7. Livestock production development-support to inter-correlation of
livestock sub-sectors and their rational operation; implementation of pedigree breeding
development complex measures; improvement of animal health sector and increase of efficiency
of veterinary activities; development of fodder system; support to commercial livestock production
organizations; ensuring conservation of agricultural animals genetic diversity; 8.Development of
the agro-processing sector - application of progressive technologies; 9. Improvement of tax and
credit systems in the agrarian sector-improved access to agricultural credit mechanisms;
10.Improvement of research activities and extension services in agrarian sector; 11.Improvement
of the agricultural registration system through implementation of agro-census and development of
relevant legislation for the legal status of entities dealing with agriculture and measures regulating
legal relations.
The strategies and programs developed in this area are well grounded, but the objectives and
the tasks are impossible to be achieved, since the real possibilities of the State Budget,
managerial capacity of the Ministries , professional capacity of Technical Staff, integrated
knowledge of farmers, absence of innovation, as well as easy access to the financial resources
and credit of commercial banks not taken into account.
10 www.fao.org/sustainability
11 The state policyinagriculture for the period2017-2025, Agricultural Sustainable Development Strategy, MoA, Yerevan, 2017
6. 6
Often, actions provided in programs cannot be carried out because of the insufficiency of
organizational activity of institutions in this area of state and local state authorities.
The Main Message
There is an urgent need to develop realistic National Agriculture Policy for Anemia which should
accelerate all-round development and economic viability of agriculture in comprehensive terms.
Policy development and formulation, including investment strategies, planning and resource
mobilization need to be strengthened to foster transition to sustainable agriculture, forestry and
fisheries; multi-stakeholder policy dialogue and platforms across sectors will be facilitated to raise
awareness and achieve consensus, with particular regard to supporting countries in the
implementation of the sustainable development goals (SDG) in a coherent way.
We need strengthening capacities of institutions to promote adoption of cross-sectoral practices to
sustainably increase production, address climate change and environmental degradation, trough:
Innovative practices and technologies piloted, tested or scaled-up by producers, to
sustainably increase productivity, address climate change and environmental degradation
Capacities of institutions are strengthened to promote the adoption of more integrated and
cross-sectoral practices that sustainably increase production, address climate change and
environmental degradation
Countries developed or improved policies and governance mechanisms to address
sustainable production, climate change and environmental degradation in agriculture,
fisheries and forestry
Revolution in informatics and communication and the opportunity of linking farmers, extension
workers and scientists with the national and international databases should be a foundation of
nowadays Agriculture Policy development that must base on three main-stones: Innovation,
Motivation and Market.
Farmers must be provided the necessary support, encouragement and incentives by the
Government. Agriculture Policy Document must focus on both income and greater on-farm and
off-farm job and livelihood opportunities.
The Agriculture Policy document must articulate a clear vision on following few basic parameters
of the agricultural sector around which a policy framework must be developed.
1. Organization of agriculture: A clear long-term vision where inter-sectoral linkages are
explicit.
2. Sustainability and natural resource management: Prescription must lie in the domain of
political economy. Otherwise, allocating funds for crop production intensification,
watershed development, agroforestry, soil conservation, and so on will not produce desired
results.
3. Institutional change: Policy document must spell out new approaches and new institutions
free from the shackles of bureaucratic and self-help framework.
4. Investment priorities: There is a need to develop a consensus on investment themes,
priorities and policies. Policy document must lend strength to the claim for greater
investment in rural areas, and also re-examine its programs in the light of
complementarities.
7. 7
Vision
Armenian Agriculture should contribute to improving the living standards of all, especially the
poorest, in an economically, socially and environmentally sustainable manner trough
intensification of crop production and sustainable management and utilization of natural
resources (including land, water, air, climate and genetic resources) for the benefit of present
and future generations.
Mission
As a small landlocked country we must strengthen our capacity to shifting from input based
homogeneous model of agriculture production to knowledge based agriculture by considering
location-specific farming systems.
Main Goals
1. Elimination of poverty and enhancing rural livelihoods
2. Sustainable used and management of natural resources
3. Increasing food production to moving forward economy and social progress
Strategic Objectives
In addressing the above issues, a policy statement on agriculture must take note of the following
strategic objectives:
Crop production intensification and value add agriculture chain development.
Vast untapped potential of our soil and water resources, and farming systems.
Conservation of natural resources and protection of environment.
Technology revolution especially in the areas of molecular biology, biotechnology, space
technology, ecology and management.
Major areas of work
1) Sustainable food and agriculture
SFA indicators on sustainable agriculture, forestry and fisheries
Development of policy tools: assessment; cross-sectoral, multi-stakeholder policy
dialogues; vision exercises, scenario building
2) Integrated approach to efficient resources use
Focus on practices on the ground
Participatory approaches, FFS
Integration forestry, fisheries, agriculture at farm level
3) Climate smart agriculture
Mainstream climate change in agriculture policies and programmes
Link with international governance and financing mechanisms
Focus on practices for adaptation and mitigation
4) Ecosystem services and biodiversity
Valuation of ecosystem services
Incentives for ecosystem services in the framework of SFA
Focus on a landscape approach
8. 8
5) Blue growth
Fisheries and aquaculture
6) Linking country programs and regional initiatives
Increasing national demand for approaches to sustainable agriculture
Increasing demand for cross-sectoral work
Centrality of agriculture in rural development
Agriculture as main channel for investments
Offer specific response, by discipline, within a broader Sustainable Agriculture
framework
National Priority Areas
On the base of the main goals and strategic objectives of national priority setting, the following
recurring and emerging issues for sustainable agricultural development and poverty alleviation
must be considered:
(i) Value-add chain development and access to the market.
(ii) Sustainable Crop Production Intensification tailored with Integrated Crop and
Livestock production systems; Identification most valuable crops that drought resistant
and tolerant to pest and diseases.
(iii) Development of complex approach to enhance Food Security, Food sovereignty and
Biosecurity;
(iv) Resource base degradation and water scarcity;
(v) Empower and support to research, modern science and technology development; and
(vi) Investment in agriculture, structural adjustment and impact on the poor;
Core Functions
In the frame of above mentioned priorities the following core functions are identified:
Develop and establish a normative and standard setting instrument, codes of conduct and
Management system
Improve statistic and data information system to make possible to assemble, analyze and
monitor priority area related activities
Promote and support policy dialogue and cross-cutting themes at local, regional and
national level
Improve and disseminate knowledge, technologies and good agriculture practice
Improv agricultural productivity to meet increasing demand;
Developing the tools to making food systems more efficient, inclusive and resilient;
Improving income earning opportunities in rural areas and addressing root causes of
migration;
Building resilience to protracted crises, disasters and conflicts;
Preventing transboundary and emerging agriculture and food system threats;
High Level Government Officials Competencies
Competencies are demonstrated behaviors of a decision maker or high level person that facilitate
effective performance of work tasks, meaning:
Make thinks simple, clear, easy to implement and measurable
Provide minimum effort to reaching maximum result
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Focus on more value based objective and build success on success.
It’s also not just about what we do, but how we do it, and is can build on three main individual
capacity points:
Result Focus
Takes accountability for the delivery of agreed results in service of strategic framework
Leading, Engaging and Empowering others
Coordinates, directs, facilitates and recognizes team efforts; creates an enabling environment and
assists others to realize and develop their potential
Strategic thinking
Makes informed and coherent decisions aligned with broader goals and strategies
MoA