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Water agriculture and
        poverty
 …trying to unravel complexity
Simon Cook, Myles Fisher, Meike Andersson,
Jorge Rubiano, Mark Giordano and BFP teams
Linkages between water,
       agriculture & poverty

1. Why care?
2. What linkages do we know about?
  – Logical: what do we know from studies?
  – Evidence: which seem the most influential?

3. How    do these linkages work?
  – Identifying interventions to reduce poverty
  – Linking local, global and basin scales
1 Why do we need to know?…
Agriculture and water receive $bns
       (as separate sectors)
Aid by sector, 2002   Aid for water supply and sanitation,
                                   1973-2002
World food crisis

• Medium-term Impacts
  – Demand outstripping supply

  – Increasing food prices

  – Decreasing food security for
    poorest

  – Increasing costs of inputs
World Water Crisis:
 Declining per capita availability of water

‘000 m3
 16
 14       Africa
 12
 10
  8                           World
  6         Asia
  4
  2
      MENA
  0
  1960               1990               2025
Increasing demand by all users




Agriculture uses > 70% of water
In summary
• More people…more development…
• …need more food
  (already takes > 70% of water)
• …need more water
• …other demands also increasing
Agriculture greatest user:
    Demand increasing
               Volta




          Devaraj de Condappa
2 Drawing the links between
water, agriculture and poverty

           Warning!
        Complexity ahead
And how to go from   Global …
…to Local?
• The general picture
We know
•   That people use water in many ways




(Peden et al.
2007)
We know
•                                        That agriculture occupies PART of a development trajectory
Agriculture contribution to growth (%)




                                                                                           World Bank, 2007
We know
•   That the poorest tend to rely on agriculture



                                                                     Agriculture vs GNI

                                                    50,000
           Gross National Income ($/capita)



                                                    40,000

                                                    30,000

                                                    20,000                                                Size of bubble
                                                                                                    proportional to rural
                                                    10,000                                                   population



                                                         0
                                              -10             0        10          20          30          40           50
                                                    -10,000
                                                                  Agricultural contribution to GDP (% )

                                                                                                           World Bank, 2007
We know
•   That water availability is NOT the only, (or main) driver


                                                       Per capita income vs.
                                                            GNI vs Water
                                                         water availability
                                        50,000


                                        40,000
               GNI ($/cap PPP)


                                        30,000


                                        20,000


                                        10,000


                                             0
                                 -500             0          500        1000          1500      2000        2500
                                        -10,000
                                                  Size of bubble proportional to agricutlure contribution to GDP
                                                                                  3
                                                             Water availability (m /cap)

                                                                                                  World Bank, 2007
• What does this mean in basins?
  A few observations
São Francisco: Drought is one factor…of many
                            Drought




                                             Poor
                                             education




           Access to
           credit




Marcello Torres
et al., 2008
Karkheh: Farmers not the poorest
                       situation modified by politics

 0.40
 0.35
 0.30
 0.25
 0.20
 0.15
 0.10
 0.05
 0.00




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Poverty lines from household                                                       Karkheh BFP team
income and expenditure data
Basic concept: Need Water productivity to
       respond faster than demand

                             Demand
           response            line

   WP


                       crisis

                                time
Actual   Water-Productivity [the gain per m3 water
   consumed] much lower than      potential




         Volta
                      IRD, 2007

                 Potential= 1-2 kg/m3
Mekong:
           water productivity responding partially to demand

                           0.800
                                                                  Laos
3
Water productivity, kg/m



                           0.600                                  Thailand

                           0.400                                  Cambodia

                                                                  Vietnam
                           0.200
                                                                  Vietnam Central
                           0.000                                  highlands
                               1990   1995          2000   2005   Vietnam Mekong
                                                                  River Delta
                                             Year

                                                                         Mac Kirby, 2007
But.. Mekong
                What people do can affect (shared) assets




                                          Dam development
                                                                    Changing land use,
                                                                    shifting cultivation,
                                                                    sustainability,
                                                                    sedimentation
                                            Seasonal water
                                            shortage, poor soils,
                                            low rice productivity



                                              Fish &
                                              environmental
                                              impacts of            Salinisation, water
                                              upstream,             quality, highly
                                              competition land      developed
             Complex but understandable

Eric Kemp-Benedict, 2008
3 How do water and agriculture
    combine to influence
         livelihoods
3 Coupling water, agriculture and poverty
               alleviation

  Water
                 Improve collective
  availability
                 outcome by
                 distribution
             Increase collective gain    Non-poor
                 “Benefit-sharing
                 of multiple uses”




                            Developing / protecting
                                  NR assets
                                   ”Increasing
                                                 Improve
                                Water productivity”
                                                        outcome
                                               from a given use
                                                   Water productivity
    Poor
Global -to local links

                   GLOBAL
  water and food systems considered separately
           both impact on livelihoods


                                                 Basin scale
                                          Systems interact through
                                           (Unspecified) transfers




                   Local Scale
      Local systems considered individually
  Local impact not referenced to broader systems
Summary
• Water and food systems both impact on
  poverty:
  – Driven by development demand
  – Water productivity measure of response/activity
• At local scale, linkages between water,
  food & poverty are direct, non-crossing
• Cross-over between food and water
  occurs at basin-scale.
Thank you
• Volta                               Scenarios under climate change

                                     160
                                                                                                                 Comfortable
          Lake Volta storage (km3)



                                     140       Storage capacity (148 km3)

                                     120                                                                         Vulnerable
                                     100
                                                                                                                 Critical
                                      80
                                      60                                         Top of inactive (70 km3)
                                                      Wetter scenario
                                      40              Reference scenario
                                      20              Drier scenario
                                       0
                                           0      2     4    6    8    10   12    14    16   18    20       22
                                                                 Year of simulation


 De Condappa et al., 2008

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Water agriculture and poverty-trying to unravel the complexity

  • 1. Water agriculture and poverty …trying to unravel complexity Simon Cook, Myles Fisher, Meike Andersson, Jorge Rubiano, Mark Giordano and BFP teams
  • 2. Linkages between water, agriculture & poverty 1. Why care? 2. What linkages do we know about? – Logical: what do we know from studies? – Evidence: which seem the most influential? 3. How do these linkages work? – Identifying interventions to reduce poverty – Linking local, global and basin scales
  • 3. 1 Why do we need to know?…
  • 4. Agriculture and water receive $bns (as separate sectors) Aid by sector, 2002 Aid for water supply and sanitation, 1973-2002
  • 5. World food crisis • Medium-term Impacts – Demand outstripping supply – Increasing food prices – Decreasing food security for poorest – Increasing costs of inputs
  • 6. World Water Crisis: Declining per capita availability of water ‘000 m3 16 14 Africa 12 10 8 World 6 Asia 4 2 MENA 0 1960 1990 2025
  • 7. Increasing demand by all users Agriculture uses > 70% of water
  • 8. In summary • More people…more development… • …need more food (already takes > 70% of water) • …need more water • …other demands also increasing
  • 9. Agriculture greatest user: Demand increasing Volta Devaraj de Condappa
  • 10. 2 Drawing the links between water, agriculture and poverty Warning! Complexity ahead
  • 11. And how to go from Global …
  • 13. • The general picture
  • 14. We know • That people use water in many ways (Peden et al. 2007)
  • 15. We know • That agriculture occupies PART of a development trajectory Agriculture contribution to growth (%) World Bank, 2007
  • 16. We know • That the poorest tend to rely on agriculture Agriculture vs GNI 50,000 Gross National Income ($/capita) 40,000 30,000 20,000 Size of bubble proportional to rural 10,000 population 0 -10 0 10 20 30 40 50 -10,000 Agricultural contribution to GDP (% ) World Bank, 2007
  • 17. We know • That water availability is NOT the only, (or main) driver Per capita income vs. GNI vs Water water availability 50,000 40,000 GNI ($/cap PPP) 30,000 20,000 10,000 0 -500 0 500 1000 1500 2000 2500 -10,000 Size of bubble proportional to agricutlure contribution to GDP 3 Water availability (m /cap) World Bank, 2007
  • 18. • What does this mean in basins? A few observations
  • 19. São Francisco: Drought is one factor…of many Drought Poor education Access to credit Marcello Torres et al., 2008
  • 20. Karkheh: Farmers not the poorest situation modified by politics 0.40 0.35 0.30 0.25 0.20 0.15 0.10 0.05 0.00 KB ed r er k er ry r n ke ke er so nt ag rm oy or Cl r ou wo er an Fa pl w ep C m M d n e lle ad io Un ct ki Tr du ns o U Pr Poverty lines from household Karkheh BFP team income and expenditure data
  • 21. Basic concept: Need Water productivity to respond faster than demand Demand response line WP crisis time
  • 22. Actual Water-Productivity [the gain per m3 water consumed] much lower than potential Volta IRD, 2007 Potential= 1-2 kg/m3
  • 23. Mekong: water productivity responding partially to demand 0.800 Laos 3 Water productivity, kg/m 0.600 Thailand 0.400 Cambodia Vietnam 0.200 Vietnam Central 0.000 highlands 1990 1995 2000 2005 Vietnam Mekong River Delta Year Mac Kirby, 2007
  • 24. But.. Mekong What people do can affect (shared) assets Dam development Changing land use, shifting cultivation, sustainability, sedimentation Seasonal water shortage, poor soils, low rice productivity Fish & environmental impacts of Salinisation, water upstream, quality, highly competition land developed Complex but understandable Eric Kemp-Benedict, 2008
  • 25. 3 How do water and agriculture combine to influence livelihoods
  • 26. 3 Coupling water, agriculture and poverty alleviation Water Improve collective availability outcome by distribution Increase collective gain Non-poor “Benefit-sharing of multiple uses” Developing / protecting NR assets ”Increasing Improve Water productivity” outcome from a given use Water productivity Poor
  • 27. Global -to local links GLOBAL water and food systems considered separately both impact on livelihoods Basin scale Systems interact through (Unspecified) transfers Local Scale Local systems considered individually Local impact not referenced to broader systems
  • 28. Summary • Water and food systems both impact on poverty: – Driven by development demand – Water productivity measure of response/activity • At local scale, linkages between water, food & poverty are direct, non-crossing • Cross-over between food and water occurs at basin-scale.
  • 30. • Volta Scenarios under climate change 160 Comfortable Lake Volta storage (km3) 140 Storage capacity (148 km3) 120 Vulnerable 100 Critical 80 60 Top of inactive (70 km3) Wetter scenario 40 Reference scenario 20 Drier scenario 0 0 2 4 6 8 10 12 14 16 18 20 22 Year of simulation De Condappa et al., 2008