The Bill & Melinda Gates Foundation Strategy for Animal Health

1. Livestock Program of the Bill & Melinda
Gates Foundation
Animal Health Investment Asia
Nick Juleff

2. © Bill & Melinda Gates Foundation | 2
OUR HISTORY
2006
Warren Buffett
pledges Berkshire
Hathaway stock to
foundation valued at
$31 billion.
2008
Bill joins Melinda
full-time at the
foundation.
1997
Bill and Melinda
read an article
about rotavirus and
are inspired to act.
2000
The Bill & Melinda
Gates Foundation is
created, with a focus
on health, education,
and libraries.
1994
Bill Gates Sr. starts
a small philanthropic
foundation at his
son’s request.
2011
The foundation
moves to its new
permanent home
in Seattle.

3. © Bill & Melinda Gates Foundation | 3
GLOBAL REACH AND PRESENCE
1900+2014 active grantees
1,3692014 employees worldwide
$36.7BThrough Q4 2015Ethiopia
Europe and
Middle East Office
China
Washington, D.C.
India
Nigeria
South Africa
Seattle

4. What we focus on
 What affects the most people with the most urgent needs.
 Where can we make the greatest impact.
How we focus
 Form critical partnerships - Collaboration
 Find scalable, sustainable solutions - Results
 Leverage science and technology - Innovation
 Make big bets – taking Risks
FOUNDATION STRUCTURE
Global Development, Global Health, United States Program, Global Policy & Advocacy
Belief
 All lives have equal value.

5. © Bill & Melinda Gates Foundation | 5
AGRICULTURAL DEVELOPMENT
Enable development
and adoption of
improved crop and
livestock products
Foster breakthrough
discoveries in
scientific research
and technology
Provide better data,
analytics and evidence
Strengthen global and
national agriculture
policies and systems
By advancing
agricultural
transformation, we
are improving rural
economies and
reducing poverty
Our partners make
crops and livestock
more productive,
improve nutrition, and
help empower women
farmers
Boost the productivity
of crops and livestock
Vision Challenges Objectives OutcomesApproaches
Agricultural
transformation led by
countries to support
smallholder farmers
Farmers are
empowered with the
knowledge, tools and
technologies to improve
their livelihoods and lift
themselves and their
families out of poverty
Low yields and
productivity
A changing climate
Systems and policies
that fail to meet the
needs of farmers and
ensure nutritious food
for the world’s poor.
Lack of opportunity and
resources for women
Increase safe and
affordable access to
nutrient-rich foods
Empower women
farmers

6. WHY IS LIVESTOCK IMPORTANT?
► There are nearly 1 billion livestock keepers.
Number of livestock owners in sub-Saharan Africa and South Asia who earn less than $2 a day:

7. How do they
benefit?
Who
benefits?
• Income: an average 30% – 45% of annual
income comes from livestock, with a maximum of
70% from dairy farmers
• Nutrition: livestock products provide
micronutrients not found in other crops (e.g., zinc)
that have been proven to improve school
performance
• Capital accumulation: given high contribution of
livestock as an asset, it helps develop financial
security
• The poor: with nearly 60% of population
living with <$2 / day own livestock
• Smallholders: the majority of livestock
production comes from smallholders in both
SSA and SA
• Women: there are numerous livestock
interventions and opportunities that benefit
women specifically (e.g., evening milk)
• Through livestock, we
have a significant
opportunity to address
its target populations in
both SSA and SA
• Livestock also has the
potential to go beyond
simply increasing
income in helping
smallholder farmers
develop both financial
security and food
security
1
2
LIVESTOCK CAN BE A SUSTAINABLE SOLUTION TO THE FINANCIAL AND FOOD
NEEDS OF THE POOR IN SSA AND SA

8. “Smallholder”, in the context of livestock, can
be denoted by space or by number of
animals:
• Dairy farmer <=6 milking animals and / or
less than three hectares of land
• Pastoralist with less than 10 mature cattle
• Farmer keeping less than 30 small
ruminants
• Farmer keeping less than 200 birds
East Africa India Bangladesh
Percent of production by smallholders
Majority
High majority1
Chicken
(meat)
Eggs
Dairy
Beef
Sm Rum
All data above was collected from a number of case studies
(published between 1997 and 2007); for this study, West Africa
was not included as a region of research
TARGETING LIVESTOCK REACHES SMALLHOLDERS, WHO ACCOUNT
FOR THE MAJORITY OF PROTEIN PRODUCTION
1 High majority denotes >75% production
Source: ILRI (2008) based on Peeler and Omore(1997), India National Sample Survey Organization (2007) and Bangladesh Bureau of Statistics (1999)

9. DONOR FUNDING FALLS FAR SHORT OF THE OPPORTUNITY
FOR LIVESTOCK
Official Development Assistance to Africa
for Agricultural Development
Amount disbursed 2003-2007 (US$ Million)
Livestock has been a small and reducing share of
agricultural aid funding
0
200
400
600
800
1000
1200
2003 2004 2005 2006 2007
Other AG
Livestock
Livestock
% of total:
3.6% 3.3% 2.7% 2.9% 2.5%
560
582
660
854
1,112
Sources: OECD Statistics, ILRI 2008 report, World Bank Project Database. Reported data from 23 members of the OECD’s Development Assistance
Committee (DAC), international organizations, and countries that are not part of the DAC. Covers aid from government aid agencies as well as international
organizations such as UN, EU, IMF, World Bank and regional development banks, and multilateral and international organizations
4367
892
723
637
232
206
162 38
597
Total Project Approved Lending 2003-2007
In one donor example, crops receive over 20 times more
direct funding than livestock
General Education
Crops
General Agriculture
Extension & Research
Irrigation & Drainage
Central Govt Admin.
Livestock
Other
Agricultural Project Funding by Sector Impacted
US$ Millions
Total = $7,854
Other Social Services

10. Priority Functions
Livestock
Health
Livestock
Genetics and
Reproduction
Production
and
Markets
Priority Geographies
Burkina Faso
Ethiopia
Ghana
Mali
Nigeria
Tanzania
Uganda
Bangladesh
India (Bihar,
Odisha, Uttar
Pradesh)1
Priority Species
Cattle1 Small
Ruminants
(Goats &
Sheep)
Poultry
1 For South Asia, we are also exploring water buffalo.
OVERVIEW OF GATES FOUNDATION LIVESTOCK STRATEGY

11. Potential productivity Lack of improved breed
adoption
Morbidity and mortality due
to disease
Poor nutrition Losses due to poor
husbandry
Realized productivity
Productivitypotential%
ILLUSTRATIVE

12. Research and
Development
Inputs and
Farmer Services
Post-Harvest Handling and
Access to Markets
Policies
and Data
Discovery/
basic
research
Genetics
and repro-
duction
Vaccine/
drugs/
diagnostics
Animal
health
systems
Animal
genetics
systems
Other input
systems
Livestock
production
mgmt.
Knowledge
exchange
Aggregation,
quality and
storage
Processing Infra-
structure,
trade
Value-chain
specific
regulations
Multi-value
chain
national
policies
Data
systems
Health and genetics deliveryVaccines, drugs and genetics
Reproductive technology
Diagnostics
Global health partnerships
(innovation)
Reg. Harmonization
Manufacturing
Aggregation and processing
Community animal health workers
Productivity data systems
Livestock Master Plan
Veterinary services
Sustained demand

13. Demonstrating
Impact
Product Goals Sustainability
Goals
System Goals
ANIMAL HEALTH: PATHWAY TO IMPACT
• LMP
• Disease impact assessments
• Country teams
• Veterinary services
• Regulation
• Policy and advocacy
Productivity
• ↓mortality
• ↑milk productivity
• ↑egg production
Potential productivity
• Proof of concepts
• X products developed
• Y products registered
Market Assessment
Monitoring and Evaluation
Private Sector
(Global Animal
Health)
Private Sector
(National
Animal Health)
Private Sector
(Regional
Animal Health)
Government
Sustainable
Product/Service
Development and
Delivery
Viral
• FMDV
• LSD
• ND
• PPR
• RVF
• SGP
Parasitic
• AAT
• ECF
• Endo/Ectoparasites
Transformational platforms and
technologies
Bacterial
• Bovine TB
• Brucellosis
• CBPP
• CCPP
ILLUSTRATIVE
• Transformational platforms and
technologies
• Priority diseases
• Animal Health product portfolio

14. © Bill & Melinda Gates Foundation | 14
Completed
On-Going
Discontinued
Completed Prior to BMGF InputO
Animal Health R&D
• The opportunity to access
new technology through
Global Health is unique, we
will expand our portfolio of
collaborative projects to
accelerate product
development
PRODUCTS DISEASES
Disc. PoC Dev. Reg. Com.
Vaccines AAT Vaccines AAT
Ben-1 CBPP o
CBPP T1/44 o
CCPP Live Vaccine CCPP o o
TSOL18 o o
TSOL18 (Delayed Release)
ECF-ITM o o o
ECF Sub-Unit
Tick Vaccines Ecto, Endoparasites o
Vaccine Seed for East Africa
mRNA Vaccines
LSD Live Vaccine o o
LSD Inactivated Vaccines o
ND I-2 o
ND I-2 o
ND Lasota
ND Pelleted Vaccine o
Combined ND-Fowlpox ND/Fowlpox
PPR Liquid Formulation PPR o o
Combined PPR-SGP PPR/SGP
RVF Clone 13 RVF o o
Combined RVF-LSD RVF/LSD o o
Drugs Therapeutic
Therapeutic (back-up)
Prophylactic
CBPP Antimicrobial CBPP o
Oxfendazole Cysticercosis o o
Long-acting Ivermectin Ecto, Endoparasites
Diagnostics AAT Penside AAT
Bovine Estrus N/A
Bovine Estrus N/A o o
Bovine Pregnancy N/A
RVF Penside RVF o
ND
AAT
STAGES OF PRODUCT DEVELOPMENT
CBPP
Cysticercosis
ECF
FMDV
LSD

15. • China brings relevance to ag development
in Africa having recently experienced rapid
development; strong South-South
collaboration
• Major investment: China-Africa
Development Fund and private investments
• Strong relationships – Chinese foreign
policy focus; high level visits
• Wealth of people and knowledge
exchange
CHINA IS A KEY PARTNER
© 2012 Bill & Melinda Gates Foundation | 10
Leading Investor in
agriculture
Key Innovations for
smallholder farmers
Significant Influence in Africa
ROUGH ESTIMATES
Note: % of tropical agriculture spent calculated based on % of tropical and subtropical land in country based on Koppen Classification system
Source: SAGI—Secretariat of Evaluation and Information Management; US Census Bureau; IFPRI; ASTI; Team analysis; Census of India; Brazilian Ministry of
Social Development (MDS); secondary research; Chinese Embassy.
• Strong extension systems/digital
technologies for information and
commerce across value chains
• Large scale adoption of technologies for
SHF
• China lifted unprecedented # of people out of poverty; b/w 1981-2008, proportion of the population <$1.25/day fell from 85% to 13.1%
(~600 million ppl). Rural & agricultural development played large part, providing recent, relevant and valuable experience for Africa
• Driven by ag technology improvements and policy, from 1978-1997, Chinese grain productivity increased by 2.6%/yr; farmer per capita
net income increased 15x; ag industry employed 130M surplus laborers

16. © Bill & Melinda Gates Foundation | 16
FUNDING MECHANISMS
Push Mechanisms
• Programmatic grants
• Grants to companies
• Centers/organizations
• GALVmed
• Product development
partnership
• $100m
• CTLGH
• Roslin, SRUC, ILRI
Pull Mechanisms
• Prizes
• Milestone-driven
research
• AgResults
• Brucellosis vaccine
pilot
• $30m
RFP
• Foster innovation
• High-risk, high-reward
• Grand Challenges
• More than 1900
Awards in 87
Countries
• Over 60,000
Applications Reviewed
• Over US $1B Invested
• LVIF
• Global Affairs Canada/
IDRC
• CA$57m
Program Related
Investments
• Catalyze “for-profit”
• PRI
• Equity
• Loans below market
rate
• De-risk investment