New Directions for Agriculture in Reducing Poverty

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Livestock Sector Growth and Poverty



Dear colleagues

When considering the relationship between agricultural growth and 
poverty, it is important to take account of trends and prospects in 
the livestock sector. Projections made by IFPRI (already referred to 
by Andy Catley) suggest that by 2020 the livestock sector will 
account for more than half of total global agricultural output in 
financial terms. Rapid livestock sector growth is evident in many 
less developed countries. Professor Sattar Mandal, in his 
contribution, has already referred to this phenomenon in 
Bangladesh, and made specific reference to the poultry and dairy 
sub-sectors. I have posted a short paper on the website that 
makes particular reference to (similar) trends in India. Much of this 
increased output is destined for domestic markets, but there are 
opportunities for international trade (as Andy Catley mentioned).

This 'livestock revolution' presents both opportunities and threats for 
poverty reduction. In India and many other LDCs the majority of 
rural people, including the poor, own some livestock. These 
livestock may have productive uses and, as liquid assets, they also 
reduce people's vulnerability to shocks, such as drought or family 
illness. In principle, poor producers could benefit from the 
increasing demand through higher prices for their products. 
However, there has been a general trend towards industrialisation 
of the livestock sector and most of the growth until now seems to 
have been associated with larger-scale production units. If the 
products from these larger units are substantially cheaper this 
could represent a threat for poor livestock producers.

If the livestock revolution is to have a positive outcome in terms of 
poverty reduction, governments (with the support of donors such as 
DFID) need to ensure that there is a conducive enabling 
environment for pro-poor livestock development. This includes 
appropriate policies, laws, programmes and livestock services. 
(Andy Catley's contribution also points to the need for appropriate 
international health standards for trade in livestock products.) It is 
also important to strengthen the voice of poor livestock producers 
in policy-making processes.

In my paper on the website I briefly describe the livestock enabling 
environment in India, concluding that there is plenty of scope for 
making it more pro-poor. Livestock services tend to be biased in 
favour of better-off livestock producers. Relevant policies and 
programmes include forest policy and watershed development 
programmes, where there has been a tendency to restrict or ban 
grazing, which has had a negative effect on small ruminant 
production in particular. As goats and sheep (along with chickens) 
are species that are particularly important to poor people, these 
measures have been anti-poor.

Livestock research and development work in India by the Natural 
Resources Institute and others has demonstrated that there is 
considerable potential for improving the productivity and 
competitiveness of small-scale goat and poultry-keeping with 
simple low-cost technologies (see paper for further information). A 
pro-poor research and extension system geared to developing and 
disseminating such technologies, combined with more pro-poor 
policies and programmes, could make a significant contribution to 
poverty reduction in India, and probably in most LDCs. 

DFID should give all of these matters (policies, livestock services, 
programmes) high priority in its country programmes, and should 
ensure that its staff are aware of the contribution that livestock can 
make to development and poverty reduction. It should also continue 
to: (a) support the work of FAO's Pro-Poor Livestock Policy 
Initiative, and (b) fund its own pro-poor livestock research.

Czech Conroy
Czech Conroy
Reader in Rural Livelihoods
Livelihoods and Institutions Group 
Natural Resources Institute
University of Greenwich,
Central Avenue, Chatham Maritime, Kent, ME4 4TB
United Kingdom
[Direct line: 44 1634 883057]
[Direct fax:  44 1634 883377]  
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