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cul� vators who live in complex, diverse and risk prone niches adop� ng<br />

mul� ple livelihoods por� olios. Therefore, food security challenge is not to<br />

just produce enough food but ensure required level of food energy intake<br />

at household level. Food insecurity is a ques� on of mal distribu� on of<br />

resources and inequality.<br />

Paras Kharel presents “A cri� cal assessment of Third Global Review of<br />

Aid for Trade.” The Aid for Trade (AfT) ini� a� ve, launched under World Trade<br />

Organiza� on (WTO) in 2005, aims to integrate developing countries into the<br />

global trading system and also takes an account of the several unsuccessful<br />

trade-related technical assistance issues in Least- Developed Countries<br />

(LDCs). The monitoring and evalua� on of AfT is steered under three<br />

mechanisms. First, the WTO and the Organiza� on for Economic Coopera� on<br />

and Development (OECD) publishes an annual report � tled “Aid for trade at<br />

a glance” and evaluate the project at the global level based on the OECD’s<br />

Creditor Repor� ng system (CRS). Second, a sec� on on AfT is included from<br />

both donors and partners in their respec� ve trade policy review documents.<br />

Third, the Periodic discussions on AfT issues occurs within the trade and<br />

development commi� ee of the WTO.<br />

Realizing the shortcomings of the present monitoring and evalua� on<br />

system, South Asia Watch on Trade, Economics and Environment (SAWTEE),<br />

Kathmandu and the Interna� onal Centre for Trade and Sustainable<br />

Development (ICTSD), Geneva developed a methodological framework for<br />

conduc� ng research on assessing the eff ec� veness of AfT in six developing<br />

countries: Cambodia and Nepal in Asia, Malawi and Mauri� us in Africa and<br />

Jamaica and Peru in the America. The research made use of both primary<br />

and secondary informa� on. Data source from Overseas Development<br />

Assistance (ODA) was used for extrac� ng informa� on on AfT. The major<br />

fi ndings of research in Nepal showed the Aid for Trade has been more or less<br />

growing in Nepal since 2002, in line with the global growth; and the growth<br />

has been higher in the recent period (2006-09) compared to the base period<br />

(2002-05). The distribu� on of AfT fl ows across recipient countries is highly<br />

unequal, slightly more so than the distribu� on of overall ODA.<br />

Most of the analyses in the Report are based on commitments rather<br />

than disbursements. In terms of commitment, AfT has become addi� onal<br />

but not on disbursement from ODA. Sustainability of AfT is doub� ul mainly<br />

because of the lack of government’s contribu� on to the project and<br />

predic� on of a large number of donors to hire their own consultants rather<br />

than building capacity of the local ins� tu� ons and experts. Hong Kong<br />

WTO Ministerial Declara� on in 2005 recommended four pillars on AfT. The<br />

First pillar is, Addi� onality, predictability and sustainability. Second is the<br />

Eff ec� veness pillar where ownership, alignment, donor coordina� on and<br />

impact are considered. Coherence is the third pillar where South-South AfT<br />

and the coherence of AfT and climate funding is focused. Three addi� onal<br />

aspects are considered under the forth pillar: emphasis on grant than a loan,<br />

bridging the gap of demand-supply and the countries’ absorp� on capacity.<br />

While trade has been mainstreamed by half of the partner countries it is<br />

XXVII

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