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<strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong><br />
<strong>Assessment</strong> <strong>and</strong><br />
<strong>Analysis</strong><br />
Workshop Report<br />
Rome, 29 - 31 July 2008
<strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong> <strong>and</strong> <strong>Analysis</strong><br />
-Workshop Report-<br />
Rome, 29 - 31 July 2008<br />
Table of Content<br />
Executive Summary 2<br />
1. Background 3<br />
2. Objectives, Achievements <strong>and</strong> Process of the Workshop 3<br />
2.1 Objectives 3<br />
2.2 Achievements of the workshop 4<br />
2.3 Process of the workshop 4<br />
3. Overview – Setting the Context 4<br />
3.1 Introduction <strong>and</strong> relevance for programming 5<br />
3.2 Overview of <strong>WFP</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong>s 5<br />
3.3 Overview of global trends <strong>and</strong> programming responses 6<br />
4. Cross-Cutting Issues <strong>and</strong> Recommendations Emerging from <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong>s 6<br />
4.1 Issues <strong>and</strong> recommendations around the use of secondary data analysis <strong>and</strong> monitoring systems (Day 1) 8<br />
4.2 Issues <strong>and</strong> reccommendations around assessments based on primary data analysis (Day 2) 9<br />
5. Recommendations –What Needs to be Followed Up? 11<br />
6. Planned Activities <strong>and</strong> Implementation of Recommendations 12<br />
7. Next Steps 15<br />
Annex 1: Workshop Agenda 16<br />
Annex 2: Participants List 19<br />
Annex 3: Workhop Evaluation Sheet 21<br />
Annex 4: Note for the Record: Follow up meeting after the <strong>High</strong> <strong>Price</strong> <strong>Assessment</strong> Workshop 22<br />
Annex 5: Workshop Presentations 23<br />
1
Executive Summary<br />
Since the price crisis, <strong>WFP</strong> has been undertaking extensive consultations with partners to set up mitigation responses<br />
based on analyses findings. <strong>WFP</strong> has been joining with a range of partners, including among others, Governments,<br />
FEWS NET, Oxfam, SCF-UK, FAO, the World Bank, IFAD to conduct field missions or more in-depth local<br />
analysis of the impact of price rises on local populations.<br />
The stock-taking workshop on the impacts of high prices, the fifth of a series of consultative meetings undertaken by<br />
<strong>WFP</strong> since the beginning of 2008, focused on ways to improve price impact analysis for programming decisions. It<br />
was funded by a DFID institutional strenghening grant. The meeting was attended by 27 staff from partners<br />
(Governments, UN Agencies <strong>and</strong> NGOs) <strong>and</strong> 27 from <strong>WFP</strong> (Headquarters <strong>and</strong> Field Offices). The specific objectives<br />
of the workshop were to:<br />
• Share analyses findings <strong>and</strong> key lessons learned<br />
• Identify minimum set of information to meet information needs under different settings (rapid versus in-depth<br />
analyses)<br />
• Strengthen the interface between assessment findings <strong>and</strong> programming responses.<br />
A series of presentations made on the first two days, focussed on the use of existing monitoring systems, secondary<br />
information sets <strong>and</strong> primary data collection <strong>and</strong> analysis to inform on the impacts of the food price crisis on<br />
households’ food security. Discussions of issues that emerged from these presentations were prioritized during plenary<br />
sessions <strong>and</strong> recommendations on how to address these issues are summarized in sections 4, 5 <strong>and</strong> 6. A number of<br />
urgent <strong>and</strong> important recommendations that need to be followed-up were identified (section 5). Each agency or<br />
organisation briefly presented its ongoing or planned activities <strong>and</strong> suggested where they could undertake to<br />
implement or address some of these recommendations (section 6).<br />
In conclusion, it was suggested that organisations look for areas where they can work in bilateral / multilateral<br />
partnerships to implement recommendations. In order to carry the work forward, a small committee composed of<br />
SCUK, OXFAM, OCHA, ANLP, FAO <strong>and</strong> <strong>WFP</strong> was set up to start discussions to identify an approach by which<br />
lessons learnt can be shared.<br />
2
1 Background<br />
Recent high food <strong>and</strong> fuel prices are cause of major concerns among governments <strong>and</strong> the humanitarian community<br />
because of their potential negative effects on vulnerable households <strong>and</strong> their nutritional <strong>and</strong> health status.<br />
Notwithst<strong>and</strong>ing the potential positive impacts on agricultural production, the negative impacts of high food <strong>and</strong> fuel<br />
prices may jeopardize the prospects for the achievement of the Millennium Development through their impacts on<br />
hunger <strong>and</strong> poverty across the world. Recent unrests across the world, particularly in developing countries (e.g.<br />
Indonesia, Burkina Faso, Cameroon, Senegal, Mauritania, Cote d’Ivoire…) against the high cost of living suggest that<br />
countries are under the pressure of food insecurity.<br />
Since the crisis, <strong>WFP</strong> has been undertaking extensive consultations with partners to set up mitigation responses based<br />
on analyses findings. This stock-taking workshop of July 29-31 is held as a follow-up of the informal consultation with<br />
partners on February 13, the technical consultation with partners on May 12, the NGO <strong>and</strong> regional programme<br />
advisors programming consultation on June 23, the in-house consultation with <strong>WFP</strong> Country Directors on July 10 <strong>and</strong><br />
several external meetings in Brussels, London <strong>and</strong> Washington between April <strong>and</strong> May. This workshop was triggered<br />
by these consultations which recommended continued information sharing, possible joint analysis <strong>and</strong> monitoring;<br />
open communication <strong>and</strong> dialogue with <strong>WFP</strong>’s major operational partners on implications of <strong>and</strong> responses to rising<br />
food prices.<br />
2 Objectives, Achievements <strong>and</strong> Process of the Workshop<br />
The two-<strong>and</strong>-half-day meeting was conveined by <strong>WFP</strong>’s <strong>Food</strong> Security <strong>Analysis</strong> Service (OMXF) to discuss, with<br />
partners, assessments of the impact of higher food (<strong>and</strong> fuel) prices on households’ food security.<br />
2.1 Objectives<br />
The main objective was to gauge the extent to which assessments, analyses <strong>and</strong> monitoring systems are<br />
providing adequate information on the impacts of price rises for programming decisions. See annex 1 for<br />
the original agenda.<br />
The sub-objectives were the following:<br />
• Share analyses findings <strong>and</strong> key lessons learned<br />
• Identify minimum set of information to meet information needs under different settings (rapid versus in-depth<br />
analyses)<br />
• Strengthen the interface between assessment findings <strong>and</strong> programming responses.<br />
Participants: The workshop was attended by 54 representatives from governments, NGO partners <strong>and</strong><br />
donor Agencies: Action contre La Faim, Care, CILSS, FAO, Fewsnet, OCHA, Oxfam, Save the Children,<br />
ECHO, USAID, ALNAP, the Mozambique Government, the Lesotho Government, <strong>WFP</strong> VAM <strong>and</strong><br />
regional VAM officers, <strong>WFP</strong> staff members from the Policy, Planning <strong>and</strong> Strategy Division (OEDP) <strong>and</strong><br />
from the Programme Design Service (OMXD). See annex 2 for the full list of participants.<br />
2.2 Achievements of the workshop<br />
In responding to the end of workshop evaluation, the workshop was considered satisfactory by the<br />
majority of the participants (annex 3). The workshop was rated as good by 50% of the participants <strong>and</strong><br />
very good by 20% of them. A minority of participants (20%) felt that the meeting had achieved the<br />
objectives given above. However, 69% of participants felt that the workshop contributed to their own<br />
work. The achievements of the sub-objectives can be summarized as follows:<br />
• The findings <strong>and</strong> key lessons learned from the assessments were found very informative <strong>and</strong> led to useful<br />
discussions according to 96% of the participants. In particular, the findings help identify what is different about<br />
the current price increases at country-level, compared to previous country contexts. They also point out few<br />
challenging:<br />
3
- Getting a rigorous answer to the impact of prices without a comprehensive set of new information is difficult.<br />
- Building scenarios to capture the future impacts of prices on household food security is difficult, given the<br />
increased volatility of prices.<br />
• Identifying a minimum set of information to meet information needs under different settings proved to be of high<br />
interest for the workshop participants. Two working groups addressed this issue, involving a third of<br />
participants. However, the working groups found it difficult <strong>and</strong> challenging to identify a minimum set<br />
of information. A tiered approach was therefore recommended (see section 4, key issue #2 for details).<br />
• The agenda was adjusted. Instead of discussing a pre-identified topic such as the third sub-objective, i.e. strengthen<br />
the interface between assessment findings <strong>and</strong> programming responses, the approach of defining important issues based on<br />
presentations was largely adopted by participants. As a result, the 2.5 day discussions produced the following<br />
outputs:<br />
- Identification of 28 issues emerging from recent experience <strong>and</strong> current work related to the collection,<br />
analysis <strong>and</strong> use of information in the current context.<br />
- Identification of 9 Key issues from among this set of 28: 4 issues identified on day 1 <strong>and</strong> 5 issues on day 2.<br />
- A description of the current situation with regard to each of these 9 key issues.<br />
- A set of recommendations as to how each of these 9 key issues should be addressed.<br />
- A list of current activities, by agency, where these recommendations can be put to use, <strong>and</strong> where<br />
collaboration between agencies may be possible.<br />
The details of these outputs are presented in the rest of the report.<br />
2.3 Process of the workshop<br />
On day 1, the presentations focussed on the use of existing monitoring systems <strong>and</strong> secondary<br />
information sets in addressing the food price crisis. Day-2 presentations focussed on assessments based<br />
mainly on primary data collection <strong>and</strong> analysis to inform on the impacts of the food price crisis on<br />
households’ food security. Day-3 focussed on the prioritisation of issues <strong>and</strong> recommendations <strong>and</strong> the<br />
way forward.<br />
The following process guided the workshop:<br />
• Overview – setting the context<br />
• Inputs – presentations on ongoing work, highlighting successes, challenges, <strong>and</strong> what is being learnt<br />
• Identification of common themes <strong>and</strong> challenges emerging from the presentations<br />
• Identification of key issues from among these common themes <strong>and</strong> challenges<br />
• Establishing recommendations as to how these key issues might be addressed.<br />
• Prioritisation <strong>and</strong> re-grouping of issues <strong>and</strong> recommendations<br />
• Identification of programmes where recommendations can be integrated <strong>and</strong> tested<br />
• Plans for sharing information between programmes on the results of integrating recommendations.<br />
3 Overview – Setting the Context<br />
3.1 Introduction <strong>and</strong> relevance for programming<br />
(by Valerie Guarnieri, Director <strong>WFP</strong> Progamme Design <strong>and</strong> Support Division - OMX)<br />
• <strong>High</strong> food prices are exacerbating structural <strong>and</strong> acute vulnerability, leading to i) a deterioration of<br />
the situation of people who already receive <strong>WFP</strong>’s assistance, ii) an increase in the number of<br />
people at risk of food insecurity, iii) a real challenge for <strong>WFP</strong>’s responses as costs are increasing<br />
<strong>and</strong> less food is available on the markets, iv) governments’ policy measures that may not be<br />
sufficient to mitigate the impacts of price rises.<br />
4
• <strong>WFP</strong>’s new strategic plan re-affirms the importance of assessments <strong>and</strong> analysis. Hence, <strong>WFP</strong> is<br />
conducting country-level analyses in countries flagged as high risk from rising food <strong>and</strong> fuel prices, to<br />
determine impacts on communities/households.<br />
• <strong>Assessment</strong>s need to provide timely information to design programmes. However often assessments will also<br />
help adjust the first interventions that have been already implemented to answer urgent needs.<br />
• In collaboration with FAO, IFAD <strong>and</strong> the World Bank, rapid project identification missions are conducted to<br />
provide an indicative overview of needs, <strong>and</strong> to identify most appropriate programmes. On the basis of<br />
needs assessments <strong>and</strong> project identification missions, a strategic action plan has been established,<br />
in line with national processes.<br />
• <strong>High</strong> food prices are likely to be long lasting. Therefore, food security monitoring needs to<br />
continue to guide the response <strong>and</strong> adapt programmes to changing situations.<br />
3.2 Overview of <strong>WFP</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong>s<br />
(by Joyce Luma, Chief <strong>WFP</strong> <strong>Food</strong> Security <strong>Analysis</strong> Service -OMXF)<br />
• <strong>WFP</strong>’s analysis of the impact of higher food prices is based on a two step approach. The first step was to<br />
identify the high risk countries, ranking the most vulnerable <strong>and</strong> estimating the total population affected<br />
globally. In parrallel, country-level analysis is being conducted using three approaches:<br />
• Secondary data analysis – e.g. Ug<strong>and</strong>a, Pakistan, Guatemala, El Salvador, Nicaragua,<br />
Honduras<br />
• <strong>Food</strong> security monitoring systems data analysis -e.g. Niger, Haiti, Guinea-Bissau,<br />
Burundi, Nepal, Southern Africa<br />
• Primary data collection <strong>and</strong> analysis through household <strong>and</strong> trader surveys e.g. Nepal,<br />
Liberia, Ethiopia, Burkina Faso, Guinea, Tajikistan.<br />
• Objectives of the analyses are to: determine the magnitude <strong>and</strong> future outlook of food price<br />
increases, assess the impact of higher prices on household food security, determine the proportion<br />
of the population affected, recommend immediate, medium <strong>and</strong> long-term response - in rural <strong>and</strong><br />
urban settings.<br />
3.3 Overview of global trends <strong>and</strong> programming responses<br />
(by Henk Jan Brinkman, Chief, <strong>WFP</strong> <strong>Food</strong> Security Policy & Markets -OEDP)<br />
• <strong>Food</strong> prices are higher <strong>and</strong> more volatile. They will peak, but stay high;<br />
• There is an agreement on the causes of higher food prices but not on their relative weight. The list<br />
is the following:<br />
• On the dem<strong>and</strong> side: emerging markets, changing dem<strong>and</strong> patterns, oil-exporting<br />
countries, biofuels, depreciating dollar, institutional investors.<br />
• On the supply side: weather-related shocks, slowing productivity growth, oil price leading<br />
to high cost inputs such as fertilizers, transport costs, export restrictions.<br />
• The transmission from international prices to national markets is not a one-for-one relation. The<br />
transmission depends on government policy <strong>and</strong> is larger if food imports represent a significant percentage of<br />
domestic supplies, if transportation costs <strong>and</strong> trade barriers are lower, exchange rate is depreciating, food<br />
taxes <strong>and</strong> subsidies are reduced <strong>and</strong> markets are competitive.<br />
• The most at risk are: rural l<strong>and</strong>less, pastoralists, agro-pastoralists, small-scale farmers, urban poor, children<br />
under 2 <strong>and</strong> under 5, pregnant <strong>and</strong> lactating mothers, the sickly.<br />
• The risk of severe <strong>and</strong> potentially lifelong negative consequences is high, even if prices come<br />
down.<br />
• There is a need for a broad response with: i) emergency interventions such as vouchers <strong>and</strong> cash, mother<strong>and</strong><br />
child nutrition programmes, school feeding, food or cash-for-work interventions, ii) agricultural supply<br />
response, iii) social protection systems.<br />
5
4 Cross-Cutting Issues <strong>and</strong> Recommendations Emerging from <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong>s<br />
On the basis of presentations made the participants worked on establishing the cross cutting issues<br />
emerging from the <strong>Price</strong> <strong>Impact</strong> assessments conducted so far. A copy of the presentations is attached in annex<br />
5.<br />
The work was organised in two phases:<br />
- Analyses using existing systems (monitoring systems <strong>and</strong> modelling based on secondary data)<br />
to generate <strong>and</strong> analyse information in response to the food crisis (day 1).<br />
- <strong>Assessment</strong>s triggered by the food price crisis <strong>and</strong> based mainly on primary data collection<br />
<strong>and</strong> analysis(day 2).<br />
4.1 Issues <strong>and</strong> recommendations around the use of secondary data analysis <strong>and</strong> monitoring systems (Day 1)<br />
The group discussions were based on the following presentations:<br />
o FAO <strong>Price</strong> impact analyses using household income <strong>and</strong> expenditure surveys, <strong>and</strong> the Rural Income<br />
Generating Activities (RIGA) datasets<br />
o FAO Cross-Country <strong>Analysis</strong> of the Effects of Soaring <strong>Food</strong> <strong>Price</strong>s on Undernourishment<br />
o <strong>WFP</strong> <strong>Food</strong> Security Systems in Afghanistan, Haiti, Niger<br />
o <strong>WFP</strong> Community <strong>and</strong> Household Surveillance (CHS) in Southern Africa / Potential applications for<br />
monitoring prices at country level, <strong>and</strong><br />
o Points presented by Fewsnet on price monitoring <strong>and</strong> household food security.<br />
Through working group discussions around these presentations the following 19 issues were identifed<br />
(here grouped under 5 headings).<br />
Collaboration / partnerships / linkages between assessment exercises<br />
- There is a proliferation of information available, often available on different websites. At the<br />
same time, datasets are often difficult to access or obtain.<br />
- Available data should be used more.<br />
- There is a lack or inadequate linkage between the national sample surveys (HIES/ LSMS,<br />
MICS, DHS, census, CPI, CVSVAs).<br />
- <strong>Food</strong> security question modules are missing in national sample surveys.<br />
- Coordination / partnerships need to be strengthened.<br />
- Partners should join their analyses <strong>and</strong> develop a more comprehensive underst<strong>and</strong>ing of the<br />
situation.<br />
- Better linkages are needed between secondary data analysis <strong>and</strong> process of primary data<br />
collection.<br />
- The integration across information systems <strong>and</strong> linkages between early warning <strong>and</strong><br />
monitoring systems, vulnerability <strong>and</strong> need assessments should be strengthened.<br />
Indicators, analysis <strong>and</strong> reporting<br />
- Information on food security would be needed to identify useful proxy indicators for rapid /<br />
emergency assessment (calibration / validation).<br />
- Supply <strong>and</strong> Dem<strong>and</strong> <strong>Analysis</strong> should be used to develop context specific indicators.<br />
- There is a need to validate models for assessing the consequences of changes in food prices<br />
on households; more analytical tools are needed to link high food prices <strong>and</strong> households.<br />
- <strong>Analysis</strong> available doesn’t always answer the question of who <strong>and</strong> where the people affected<br />
are?<br />
- A better balance between quantitative <strong>and</strong> qualitative information is necessary.<br />
- Reports provide a breadth of data <strong>and</strong> observations, but need to report more on the<br />
“meaning”.<br />
<strong>Food</strong> Security Monitoring Systems<br />
- The ability of existing food security information systems to timely detect <strong>and</strong> analyse the<br />
impact of shocks such as price increases should be strengthened.<br />
6
- <strong>Food</strong> security monitoring systems should look beyond food security indicators.<br />
- The regularity of monitoring is limited <strong>and</strong> systems within one country often incompatible.<br />
Urban assessments<br />
- Appropriate tools for urban analysis are missing, <strong>and</strong> data on urban situations is limited.<br />
- There may be a rural bias in primary data collection for urban areas.<br />
The group merged some of these issues, <strong>and</strong> in doing so created four key issues that they felt needed to be addressed.<br />
Four working groups were established, each one covering a specific key issue. Each group had to establish<br />
what the current situation is <strong>and</strong> make recommendations to improve the situation.<br />
Key issue#1: Distinguising between urban <strong>and</strong> rural situations<br />
The current situation: Urban vulnerability is still very unknown. There is an acknowledgment that it is<br />
different from rural vulnerability. Urban vulnerability is more difficult to apprehend because the<br />
environment is much more heterogenous <strong>and</strong> specific livelihoods are not specifically understood. There is<br />
a lot of data on markets <strong>and</strong> prices available, however it is not always understood clearly. In an urban<br />
environment the difference between poor <strong>and</strong> food insecure is often a fine line. There is a lack of<br />
partners <strong>and</strong> entry points to help underst<strong>and</strong> vulnerability in urban areas <strong>and</strong> implement interventions.<br />
Recommendations:<br />
1) The situation analysis, the indicators to be monitored <strong>and</strong> the programme planning need to be<br />
strengthened for urban assessments.<br />
2) The analysis of price data needs to be improved.<br />
3) There is a need to start building up networks <strong>and</strong> explore potential partners, in particular churches,<br />
<strong>and</strong> social groups.<br />
4) Programmes need to include a strategy to build government capacity <strong>and</strong> phase out.<br />
5) Complementary strategies are needed to avoid creating more disparities between urban groups.<br />
Questions raised <strong>and</strong> points made:<br />
• It is assumed that there is more heterogeneity in urban areas than in rural ones: is it really the case?<br />
• It is sometimes difficult to define urban areas.<br />
• There is a need to better underst<strong>and</strong> the dynamics of secondary markets.<br />
Key issue #2: Establishing a minimum set of indicators to assess the impact of high food prices<br />
Situation: Establishing a minimum set of indicators is difficult <strong>and</strong> remains a key challenge. Two working groups<br />
discussed this issue:<br />
On day 2, the group considered the minimum set of indicators required to assess the impact of high food prices. This<br />
group suggested two possible indicators for early warning, namely dietary diversity <strong>and</strong> coping<br />
strategies. The group did not recommend that this should be the maximum number of indicators. For<br />
instance, the group discussion indicated that it is also important to track data on prices <strong>and</strong> food<br />
expenditures. Less than the number of indicators in itself, the group felt that the ease of the data<br />
collection <strong>and</strong> relevance for decision-making is more important.<br />
On day 3, a group addressed the issue of information required in order to determine (<strong>and</strong> potentially plan)<br />
adequate programmatic responses. The group proposed a long list of indicators required for action. While<br />
recommending that it was important to achieve response analysis, the group advised that clarity about the<br />
assessment objectives should preceed the identification of a list of relevant indicators to meet the needs.<br />
Plenary discussions suggested that the difficulties in identifying a minimum information set could have<br />
been the result of the following factors:<br />
• The wide variety of uses for which information is required: from forecasting, through situation<br />
analysis, to targeting <strong>and</strong> response analysis. Minimum information sets would be different in each<br />
case.<br />
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• Extreme variety in the availability of information from one context to another.<br />
• The inevitable difficulty in reconciling the approaches of the different disciplines that need to<br />
collaborate to fully underst<strong>and</strong> the impact of the current economic situation: economics; nutrition;<br />
sociology; anthropology, etc.<br />
• The complexity <strong>and</strong> scope of the situation, <strong>and</strong> so of information required to fully underst<strong>and</strong> the<br />
current problem (<strong>and</strong> opportunities). In the current context, participants identified greatly enhanced<br />
requirements for information on, inter alia: types of food consumed; non-food expenditures; regional /<br />
cross border food flows <strong>and</strong> trade; Differences in urban/rural livelihoods <strong>and</strong> food prices <strong>and</strong><br />
relationships between urban <strong>and</strong> rural markets. While many of the analyses which were presented at<br />
the workshop were addressing some of these areas, very few could look at them all.<br />
Recommendations:<br />
1) A tiered approach is necessary with: i) an early warning mechanism, based on a small number of indicators that<br />
enable monitoring household food security, ii) rapid assessments, <strong>and</strong> more in-depth analyses when time <strong>and</strong><br />
resource permit.<br />
2) Identify <strong>and</strong> agree on a small number of key indicators for use in an early warning system.<br />
Key Issue #3: Analytical methods: how to establish the link between prices <strong>and</strong> households?<br />
Situation: Different methods exist <strong>and</strong> have different implications. Hypothesis for the global analysis <strong>and</strong><br />
estimates conducted are often not clear <strong>and</strong> need to be tested. At country level, several methods are used<br />
such as the FAO modelling <strong>and</strong> simulation, the food security monitoring tools <strong>and</strong> other methods such as<br />
primary data analysis tools. Often the impact of higher food prices is not necessarily measurable.<br />
Recommendations:<br />
1) Global risk or vulnerability analysis needs to be validated <strong>and</strong> should be informed by country level<br />
analysis.<br />
2) Country level methods need validation to verify the modelled impacts;<br />
3) Outcome indicators (such as nutrition <strong>and</strong> dietary diversity <strong>and</strong> frequency) should be looked at for<br />
validation;<br />
4) There is a need to better use qualitative information to underst<strong>and</strong> the likely impacts of the food price<br />
increases.<br />
Questions raised <strong>and</strong> points made: The hypotheses are not yet validated. There is a need to further<br />
elaborate <strong>and</strong> test them. It was noted that it is difficult to build up a conceptual framework to assess the<br />
impact of high food prices, as this phenomena is difficult to isolate from other causes of food insecurity.<br />
This is particularly difficult in urban areas.<br />
Key issue #4: Compatibility <strong>and</strong> integration of secondary data<br />
Situation: there is a proliferation of information available. However the challenge is the discrepancy of<br />
data sets at national levels. Data is rarely compatible <strong>and</strong> comparable. It is often a challenge to establish<br />
links between all surveys <strong>and</strong> analysis done. The willingness to share data is often missing. This is an<br />
institutional problem.<br />
Recommendations:<br />
1) National sampling frameworks need to be developed.<br />
2) Partners should coordinate the timing of assessments to facilitate comparisons.<br />
3) Publications <strong>and</strong> reports should clearly document the process, the methology <strong>and</strong> constraints.<br />
4) Previous surveys should be updated <strong>and</strong> modified when administrative boundaries change to facilitate<br />
comparison over time.<br />
5) Partners should seek to collect data together.<br />
6) Data sharing between organisations should be encouraged.<br />
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4.2 Issues <strong>and</strong> reccommendations around assessments based on primary data analysis (Day 2)<br />
Inputs - the presentations<br />
The following presentations, attached in annex 4, were made:<br />
o Initiative on Soaring <strong>Food</strong> <strong>Price</strong>s, Inter-agency project identification missions<br />
o Nepal urban <strong>and</strong> rural case study<br />
o Liberia urban case study<br />
o Ug<strong>and</strong>a case study<br />
o Pakistan case study<br />
Outputs - the issues<br />
Through discussions after the presentations, the following 8 issues emerged:<br />
- How to best model future outlooks?<br />
- How to estimate caseloads?<br />
- What is the best way to target identified caseloads?<br />
- What are the programming implications from assessments?<br />
Are new responses coming from assessments?<br />
Are assessments giving the information required?<br />
- How should we separate price effects from other shocks?<br />
- Multi-agency partnerships: who to include, how to make it work?<br />
- How to capture cross border trade issues?<br />
- Capturing national price variations.<br />
The group decided to concentrate on five of these as key issues.<br />
Outputs – key issues <strong>and</strong> recommendations<br />
Key issue #5: How do we best model future outlook?<br />
Situation: the group looked at the assessment conducted in Pakistan. In this specific case, the assessment<br />
team built senarios for the next 6 to 12 months, using the current data as the projection basis.<br />
Recommendations:<br />
1) There is a need for continuous ground thruthing (using MUAC, dietary intake) <strong>and</strong> reajustment of the<br />
models’ parameters.<br />
2) The assessment team should not only focus on diet diversity <strong>and</strong> food consumption, but should look<br />
at other sectors, such as education (school’s attendance rate), health, etc.<br />
3) Exclusion errors should be explored.<br />
4) Team should work with scenario building when modeling.<br />
5) The following indicators should be watched: inflation, incomes, nutrition, labour markets, livelihoods<br />
groups <strong>and</strong> expenditure, availability of food supplies <strong>and</strong> access to food.<br />
Questions raised or points made: Donors have been asking for a better <strong>and</strong> continuing adjustment of<br />
programmes for years. However some participants mentioned the fact that donors are sometimes not<br />
comfortable with estimates <strong>and</strong> changes of number of beneficiaries.<br />
Key issue #6: What is the best way to target in urban settings?<br />
Situation: the group discussed how urban targeting was done in the <strong>WFP</strong> assessment in Ethiopia. A<br />
multi-tiered approach was used: i) mapping out existing programmes, ii) using the survey to measure the<br />
problems, iii) using focus groups. These sources were then used to identify the vulnerable groups.<br />
Inclusion <strong>and</strong> exclusion errors were established. It was decided then to scale up existing programmes,<br />
target traditional vulnerable groups, <strong>and</strong> target newly affected groups (which are not amongst the<br />
traditionally affected). Targeting criteria vary according to programmes.<br />
9
Recommendations:<br />
1) Use institutional <strong>and</strong> self targeting.<br />
2) There is a need to look at the targeting of existing programmes <strong>and</strong> who benefits from what already.<br />
3) Caution is needed to avoid attracting rural populations into cities.<br />
4) There is a need to use both formal <strong>and</strong> informal sources.<br />
Key issue #7: How should the price increase be separated from other shocks in assessments?<br />
Situation: It is a challenge to attribute causality specifically to the price increase. The quantification of<br />
the impact is often impossible. Rapid assessments can only give a general sense of the situation. However<br />
it is important to underst<strong>and</strong> the impacts of higher prices to formulate the responses. It is important to<br />
have some information on the initial situation <strong>and</strong> the percentage of insecure food <strong>and</strong> work on the basis<br />
of scenarios.<br />
Recommendations:<br />
1) It is important to use contextual information, in particular i) qualitative <strong>and</strong> descriptive information<br />
<strong>and</strong> ii) information on macro-economy, trade <strong>and</strong> policy measures.<br />
2) For comprehensive <strong>and</strong> in-depth surveys, the sample size should be big enough to allow for<br />
multivaritae analysis (detailed expenditure models, food consumption, shock, coping strategies,<br />
nutrition data <strong>and</strong> changes in income <strong>and</strong> sources of food).<br />
Question raised: the complexity of comprehensive surveys, time <strong>and</strong> resource requirements were raised<br />
as a challenge for timely mitigation responses.<br />
Key issue #8: Recommending responses as a result of assessments<br />
Situation: The group looked at the Nepal assessments <strong>and</strong> concluded that the recommendations were<br />
broad <strong>and</strong> mainly at macro-level.<br />
Recommendations: generally there is a need for more detailed information for decision-making <strong>and</strong><br />
operational roll out (area specific)<br />
1) There is a need to conduct proper <strong>and</strong> detailed response analysis.<br />
2) More information on existing institutional (UN agencies, NGOs, Governments) capacity is needed.<br />
3) It is important to include information on partners’ ongoing or planned interventions.<br />
Question raised: the question of how many functions an assessment needs to fulfill <strong>and</strong> the question of<br />
whether a <strong>Price</strong> <strong>Impact</strong> assessment should, in addition to the analysis of the situation, also provide a full<br />
range of information on responses <strong>and</strong> capacity to implement interventions were raised.<br />
Key issue # 9: Multi-agency partnerships: who to include, how to make it work?<br />
Situation: A comprehensive framework for action (CFA) exists. However it covers the macro / global<br />
levels <strong>and</strong> now needs to go into country specifics. The CFA needs to cover the short term, medium term<br />
<strong>and</strong> long term solutions <strong>and</strong> the approach of various agencies. The CFA is about providing information to<br />
allow for the wider underst<strong>and</strong>ing, it is a stock taking exercise, that won’t replace the assessments that<br />
each agency needs to carry. Participation is not inclusive enough <strong>and</strong> the private sector, new ministry<br />
players, farmers associations, regional organisations are not necessarily participating.<br />
Recommendations:<br />
1) Additional Governmental focal points responsible for economic crisis are needed.<br />
2) The link between Governments <strong>and</strong> the international humanitarian community (not UN specific or<br />
NGO specific) needs to be strengthened.<br />
3) There is a need to map out existing monitoring.<br />
4) There is a need to build the ownership of the CFA (design, process <strong>and</strong> outcomes).<br />
5) The FS working groups should be used <strong>and</strong> their inclusion reviewed (farmers organisations, nutrition<br />
groups, etc).<br />
6) The <strong>Food</strong> security group should organise regular briefing for decision-makers.<br />
10
7) An “objective” partner should organise <strong>and</strong> communicate outcomes <strong>and</strong> underst<strong>and</strong>ing.<br />
8) One coordinator should be appointed for all international agencies, with the responsibility to<br />
coordinate also with non international community partners, <strong>and</strong> regional entities.<br />
9) There is a need for more transparency <strong>and</strong> information sharing.<br />
Point made: The issue of setting up a coordination mechanism was disucssed but participants raised<br />
concern about having a ‘central comm<strong>and</strong>’ type of mechanism. Instead, it was suggested that partnership<br />
can be envisaged in areas in which partners can work together, acknowledging the fact that there are areas<br />
where agreement to disagree without being disagreable do exist.<br />
5 Recommendations –What Needs to be Followed Up?<br />
The participants prioritized the recommendations as discussed <strong>and</strong> presented by the working groups.<br />
The most important <strong>and</strong> urgent recommendations are the following:<br />
Strengthen analytical tools<br />
o Modelling future outlook: food security analysis needs to provide for an outlook of the situation.<br />
- Scenarios should be built on the basis of a model.<br />
- The model should be readjusted on the basis of ground-truthing, through monitoring systems <strong>and</strong><br />
assessments.<br />
- Indicators to watch are: inflation, income, nutrition, labour market, livelihood groups, expenditure, food<br />
availability <strong>and</strong> access to food.<br />
o<br />
Separation of the price effect from other shocks: use contextual information in particular qualitative <strong>and</strong><br />
descriptive information <strong>and</strong> information on macro-economy, trade <strong>and</strong> policy.<br />
Minimum set of indicators: Further work is needed to develop a core <strong>and</strong> minimum set of indicators.<br />
o A tiered approach is necessary with: i) an early warning mechanism, based on a small number of indicators<br />
that enable monitoring household food security, ii) rapid assessments, <strong>and</strong> more in-depth analyses when time<br />
<strong>and</strong> resource permit.<br />
o There is a need to look at other sectors, in particular health <strong>and</strong> education.<br />
Information sharing <strong>and</strong> multi-agency partnerships<br />
o Organisations <strong>and</strong> institutions need to be more transparent <strong>and</strong> share information.<br />
o The food security groups should regularly brief key decision makers.<br />
o The link between Governments <strong>and</strong> the international humanitarian community (not UN specific<br />
or NGO specific) needs to be strengthened.<br />
o An “objective” partner should organise <strong>and</strong> communicate outcomes.<br />
Urban analysis<br />
o <strong>Assessment</strong>s should explore urban-rural linkages.<br />
o Urban assessments have to include a situation analysis, indicators to monitor <strong>and</strong> programming responses<br />
(including targeting <strong>and</strong> numbers of people affected).<br />
o There is a need to rationalise urban programmes currently implemented.<br />
o Programme design should include a h<strong>and</strong>over strategy upfront <strong>and</strong> complementary strategies to avoid<br />
imbalances.<br />
o Existing networks <strong>and</strong> potential partnerships in urban settings need to be explored.<br />
Improve linkages <strong>and</strong> integration of existing data<br />
o Timing of assessments should be better coordinated to facilitate comparison.<br />
o Partners should seek to collect information jointly to ensure compatibility <strong>and</strong> integration of data sets.<br />
o National sampling frames should be set up.<br />
o There is a need to increase the willingness to share data <strong>and</strong> analysis.<br />
o Older surveys should be updated with new administrative boundaries information.<br />
11
o<br />
Reports <strong>and</strong> data available need to be made widely available, methods <strong>and</strong> constraints should be clearly<br />
documented.<br />
Response analysis<br />
o It needs to be more detailed <strong>and</strong> inform the operational roll out. It should include information on other<br />
actors’ interventions <strong>and</strong> on institutional capacity.<br />
Targeting<br />
o A multi tiered approach is recommended looking at people already targeted through existing programmes, the<br />
traditionally vulnerable <strong>and</strong> the newly affected.<br />
The important but less urgent recommendations are:<br />
Strengthen analytical tools<br />
o Linking prices to households:<br />
- Global risk or vulnerability analysis needs to be validated <strong>and</strong> should be learned by country level analysis.<br />
- Country level methods need validation to verify the modelled impacts.<br />
- Outcome indicators should be looked at for validation.<br />
- There is a need to better use qualitative information to underst<strong>and</strong> the likely impacts.<br />
o Separation of the price effect from other shocks: The sample should be big enough to allow multivariate<br />
analysis ( expenditure, nutrition, food consumption, shock, coping strategies, changing income)<br />
o Modelling future outlook<br />
- Exclusion errors should be explored.<br />
Design <strong>and</strong> implementation of responses<br />
o Targeting in urban environment:<br />
- Inclusion / exclusion criteria should be used.<br />
- Look at traditional vulnerable groups.<br />
- Self targeting / institutional targeting should be used.<br />
- Both formal <strong>and</strong> informal information sources can be used.<br />
- Caution should apply to avoid attracting rural populations to cities.<br />
Information sharing <strong>and</strong> multi-agency partnerships<br />
o The comprehensive framework for action needs to be rolled out to the field.<br />
Appointing a coordinator for all international agencies was considered a less urgent <strong>and</strong> less important<br />
recommendation.<br />
6 Planned Activities <strong>and</strong> Implementation of Recommendations<br />
Each agency or organisation briefly presented its ongoing or planned activities <strong>and</strong> explained where they could<br />
undertake to implement or address some of the recommendations.<br />
OCHA<br />
Under the leadership of the UN Secretary General, the Comprehensive Framework for Action (CFA) has been<br />
adopted by all UN organisations <strong>and</strong> Bretton Woods’s institutions. OCHA provides support to the process <strong>and</strong> will<br />
work with Country teams to take stocks of what is happening in terms of assessments, analysis <strong>and</strong> programming.<br />
OCHA will continue its advocacy work with countries <strong>and</strong> regional organisations. OCHA will:<br />
- Support partnerships at country level.<br />
- Work on exp<strong>and</strong>ing the country team beyond strictly a UN membership.<br />
- Work on linking beyond humanitarian issues to development issues.<br />
- Work on linking food <strong>and</strong> non food sectors, <strong>and</strong> indicators in particular.<br />
CILSS<br />
In the coming months, CILLS will provide technical support to its member countries. Support will aim towards:<br />
- Timely publication of information, in particular of the results of a survey in Banjul <strong>and</strong> Ouagadougou<br />
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- Widening the focus on urban areas<br />
- Assisting countries to adapt their agricultural policy, <strong>and</strong> agricultural investments policy.<br />
European Commission<br />
- The European executive has recently published a Communication on Soaring <strong>Food</strong> <strong>Price</strong>s, which is largely<br />
converging with the UN Common Framework for Action. The Communication covers the short term<br />
emergency responses (food aid <strong>and</strong> help for agricultural regions) <strong>and</strong> the medium term interventions<br />
(boosting agricultural productivity <strong>and</strong> safety nets).<br />
- Possible funding for development interventions is being discussed with the Development Directorate General<br />
<strong>and</strong> partners.<br />
- Joint Research Centre: Results of the Ethiopia cereal availability study will be presented at a workshop with<br />
IFPRI in September. The model used, which is 15 years old, will also be adjusted.<br />
Government of Mozambique<br />
- The next round of the <strong>Food</strong> Security Monitoring System, done with <strong>WFP</strong> will take place in October. It<br />
monitors 25 markets covering prices, transport costs, <strong>and</strong> products flows.<br />
- A market survey is planned for October to exp<strong>and</strong> beyond the 25 markets already monitored.<br />
- A household survey (with income <strong>and</strong> expenditure indicators) will take place this year.<br />
Government of Lesotho<br />
- Monthly monitoring of vulnerability <strong>and</strong> prices takes place.<br />
- Training on the IPC is taking place in August. Scenarios will be built in August.<br />
- An urban vulnerability survey is planned, the tools are being developed.<br />
- Community <strong>and</strong> Households Surveillance <strong>and</strong> nutritional surveillance systems are in place.<br />
Save the Children (SC-UK)<br />
- An urban assessment was recently conducted with <strong>WFP</strong> in Burkina Faso; it is likely that a voucher<br />
programme will be implemented as a response to the situation.<br />
- On the IPC, Save will help better link situation <strong>and</strong> response analysis.<br />
- Scenario modelling is being done for the last 15 years though the Household Economy Approach.<br />
- Save will build a hunger safety net with Care <strong>and</strong> Oxfam in Northern Kenya.<br />
ACF<br />
- A number of assessments are ongoing (Haiti, Liberia, Central African Rep, Chad, Nepal)<br />
- ACF is developing guidance on urban assessments, which are now being tested in Burkina Faso.<br />
FAO<br />
- In the framework of the Initiative on Soaring <strong>Food</strong> prices, about 10 missions to identify a plan for response<br />
are taking place.<br />
- The IPC east Africa Group is using the IPC to analyse the impact of high food prices.<br />
- FAO will make additional efforts to model the impact of high food prices.<br />
- In Sudan, Somalia <strong>and</strong> Bangladesh, teams are conducting <strong>Impact</strong> assessments.<br />
<strong>WFP</strong><br />
- <strong>WFP</strong> conducted or is conducting assessments (including through CFSVAs <strong>and</strong> FSMS) in about 20 countries.<br />
Upcoming are primary data collection exercises in Madagascar, Cote d’Ivoire, Cameroon, Central African<br />
Republic, Lesotho, Senegal, Haiti, Benin <strong>and</strong> Malawi. CFSVA, which will include HFP impact are planned in<br />
Zambia, Burundi (urban), DRC (urban) <strong>and</strong> Swazil<strong>and</strong> (urban). <strong>WFP</strong> propose to implement<br />
recommendations made on urban targeting.<br />
- Urban assessment guidelines have been developed <strong>and</strong> will be further refined. The Technical Guidance Sheet<br />
(TGS) on Urban <strong>Assessment</strong>s is posted on <strong>WFP</strong> website at:<br />
http://documents.wfp.org/stellent/groups/public/documents/ena/wfp185842.pdf<br />
- Urban programming tools are being developed. <strong>WFP</strong> will share them.<br />
- Existing monitoring systems will be strengthened to make them more price sensitive (Afghanistan, Niger,<br />
Ug<strong>and</strong>a, Opt, Sudan, Southern Africa, Nepal, Burundi, Liberia <strong>and</strong> Haiti).<br />
- <strong>WFP</strong> will add future outlook in its analysis.<br />
13
- <strong>WFP</strong> will further share information, in particular the tools it developed for price impact assessment. It was<br />
initially shared with FAO.<br />
- All ongoing or planned assessments are done in partnership.<br />
OXFAM<br />
- The emergency market analysis tools are being finalised <strong>and</strong> piloted in Myanmar.<br />
- Oxfam will make a clear distinction between situation <strong>and</strong> response analysis<br />
- A series of assessments is planned: Afghanistan (mainly rural), build on the <strong>WFP</strong> Nepal assessment, Ug<strong>and</strong>a<br />
(Karamoja) <strong>and</strong> Kenya.<br />
FEWSNET / USAID<br />
- FEWSNET is monitoring the situation through the publication of a price watch bulletin.<br />
- Two market monitoring trainings will take place (Mauritania <strong>and</strong> Nigeria)<br />
- Additional market guidance is being prepared.<br />
- A scenario building workshop will take place in South Africa. A guidance note will be developed.<br />
<strong>Food</strong> for Peace (FFP/USAID)<br />
- A set of guidance on urban programming (food aid) is being prepared.<br />
- Financial support is being provided for assessments <strong>and</strong> country planning process.<br />
ALNAP<br />
- Lessons paper for relief managers <strong>and</strong> planners facing rising food prices being prepared (September 2008).<br />
- Lessons paper on urban disasters being prepared (November 2008).<br />
- ODI HPG meeting bringing together researchers, practitioners <strong>and</strong> policy makers in preparation for<br />
September or October (tbc).<br />
CARE<br />
- Second version of the Decision Tree Framework for response analysis to be rolled-out (December 2008).<br />
- Collaborating with Cornell University on food security research.<br />
- Working with Fintrac on a new approach to USAID Bellmon Determinations.<br />
- Revising tools for response analysis to better assess the needs of pastoral communities.<br />
Ongoing activities <strong>and</strong> implementation of recommendations per theme<br />
Urban analysis /<br />
urban programming<br />
Operational rollout/response<br />
Modelling future<br />
outlook<br />
<strong>WFP</strong> - Analyses ongoing or planned in Ethiopia, DRC, Swazil<strong>and</strong>, Burundi, Haiti, Senegal<br />
- Developing <strong>and</strong> refining urban assessments guidance <strong>and</strong> generic tools for price<br />
impact assessments.<br />
SC-UK - Implementing a voucher based programmes for response in Burkina Faso<br />
FFP - Developing guidance on urban programming<br />
ALNAP/APG - Urbanization & disasters. With urbanization experts<br />
CILSS – will increase focus on urban areas<br />
ACF - testing guidance on urban assessments in Burkina Faso.<br />
Lesotho Govt. – planning urban vulnerability survey, tools being developed.<br />
SC-UK – Implementing hunger safety net with Care <strong>and</strong> Oxfam in Northern Kenya.<br />
CILSS – Providing technical support on policy<br />
CARE – Developing a decision tree for response<br />
ALNAP – Preparing lessons for operational managers<br />
ACF – Learning from assessments<br />
FAO – 10 identification missions to develop plan for joint responses<br />
OXFAM – Separating situation <strong>and</strong> response analysis<br />
SC-UK – Scenario modelling through the Household Economy Approach<br />
FEWS - Scenario building workshop, guidance to be developed<br />
FAO - project analysis – 10 countries + <strong>WFP</strong><br />
<strong>WFP</strong> – Will include future outlook in its analyses,<br />
Govt. Lesotho - Scenario building (August)<br />
14
Analytical tools<br />
Minimum indicators<br />
Information sharing /<br />
partnerships<br />
OXFAM - MHM analysis<br />
- Piloting Emergency market tools in Myanmar<br />
Fewsnet - Developing additional guidance on markets<br />
CARE - Developing tools to better underst<strong>and</strong> pastoralists/agro pastoralists<br />
JRC - Adjusting model further to the cereal availability survey in Ethiopia<br />
FAO - Continuing work to model the impact of HFP<br />
<strong>WFP</strong> – Strengthening existing FSMS to make them more sensitive to prices<br />
OCHA/CFA - Linking food & non-food indicators<br />
CILSS - Timely publication of survey results<br />
ODI/ALNAP - 2-day conference in the autumn<br />
<strong>WFP</strong> – will share data, reports, guidance <strong>and</strong> tools<br />
OCHA (CFA) - Providing support to partnership at country level, <strong>and</strong> will work on<br />
exp<strong>and</strong>ing UNCTs<br />
7 Next Steps<br />
The next steps are for:<br />
- Organisations to implement these recommendations in their individual programmes.<br />
- Organisations to look for areas where they can work in bilateral / multilateral partnerships to<br />
implement recommendations.<br />
Discussions took place on how to carry the work forward <strong>and</strong> ensure that organisations can learn from<br />
each others on the implementation of the recommendations, progress made <strong>and</strong> progress on<br />
methodologies <strong>and</strong> processes.<br />
A small committee composed of SCUK, OXFAM, OCHA, ANLP, FAO <strong>and</strong> <strong>WFP</strong> was set up to start<br />
discussions to identify an approach by which lessons learnt can be shared. The following tasks have been<br />
suggested:<br />
• Identify <strong>and</strong> set up groups by thematic areas.<br />
• Prepare Terms of Reference for the convenor on each thematic area.<br />
• Terms of reference to include:<br />
- Identification if networks already exist for each thematic area<br />
- Identification of members<br />
- Identification of relevant technological support to share information if needed (but<br />
note that the groups should not be ‘tool driven’)<br />
- Consideration of what might motivate people to contribute to, <strong>and</strong> use, groups.<br />
<strong>WFP</strong> agreed to act as the ‘convenor of last resort’ if no other agency stepped forward.<br />
The committee met in the week following the workshop. The NFR of the first conference call is attached in<br />
annex 4.<br />
15
Annex 1: Workshop Agenda<br />
Facilitator: Paul Clarke<br />
Rapporteur: Caroline Chaumont<br />
Day Sessions Topics Lead /<br />
Presenter<br />
Objectives<br />
Day 0: Monday 28/07/08: Arrival of External Participants<br />
Outcomes<br />
Session 1 Introduction, Setting the Stage,<br />
Secondary Data <strong>and</strong> Monitoring<br />
Systems<br />
Session 1.1 08:30 – 09:30 • Welcome remarks<br />
• Relevance of the meeting for<br />
programming<br />
• Objectives, Expected Outputs,<br />
Agenda review,<br />
Session 1.2 09:30 – 10:00 Overview of global trends <strong>and</strong><br />
programming responses<br />
Day 1: Tuesday 29/07/08<br />
• V. Guarnieri<br />
• J. Luma<br />
Seek agreement <strong>and</strong> common<br />
underst<strong>and</strong>ing on the expected<br />
outputs of the meeting<br />
‣ Complementarities with primary data<br />
‣ Challenges<br />
‣ Gaps<br />
‣ Use for programming<br />
Clarity on scope, utility <strong>and</strong> process of the<br />
meeting<br />
H-J. Brinkman Setting the stage • Overview of global price patterns<br />
• Why is country-based analysis needed<br />
• Possible programming responses <strong>and</strong><br />
information required<br />
All Possible programming response options<br />
<strong>and</strong> required information identified<br />
Session 1.3 10:00 – 10:45 Plenary session on programming<br />
responses <strong>and</strong> information needs<br />
10:45 – 11:00 Coffee/Tea Break<br />
Session 1.4 11:00 – 11:30 Secondary Data <strong>Analysis</strong><br />
B. Davis/L. Alinovi <strong>Price</strong> impact analyses using household Key findings, challenges, gaps <strong>and</strong> use for<br />
(HIES/LSMS)<br />
income <strong>and</strong> expenditure surveys programming<br />
Session 1.5 11:30 – 12:00 FSMS (Niger, Haiti, Afghanistan, L. Subran/ E. Monitoring of household food security Key findings, Challenges <strong>and</strong> Gaps in<br />
Nepal, Burundi) <strong>and</strong> CHS in Kenefick<br />
indicators<br />
informing impacts of prices on households’<br />
Southern Africa<br />
food security<br />
Session 1.6 12:00 – 12:15 <strong>Price</strong> monitoring <strong>and</strong> household P. Bonnard Monitoring prices <strong>and</strong> food security Suggested information requirements<br />
food security<br />
Session 1.7 12:15 – 13:15 Round table discussions All Key emerging issues Identification of common key<br />
themes/issues <strong>and</strong> presented in plenary<br />
13:15 – 14:30 Lunch Break<br />
Session 1.8 14:30 – 16:00 Working group sessions All Emerging common themes addressed<br />
in working groups<br />
Suggested working groups (WG):<br />
• Minimum set of information needed<br />
for the variety of programming<br />
16
16:00 – 16:20 Coffee Break<br />
Session 1.9 16:20 – 17:20 Plenary: feedback from working<br />
groups (10’ each)<br />
18:00 – 19:00 Welcome Cocktail All<br />
responses (food <strong>and</strong> non-food in<br />
short, medium <strong>and</strong> long-terms)<br />
• Minimum set of monitoring<br />
information<br />
• Optimizing the use of secondary data<br />
<strong>and</strong> ground truthing to meet info<br />
needs<br />
Other groups, to be added depending on<br />
themes<br />
All Main recommendations presented<br />
Session 2 Stock-taking of country<br />
assessments<br />
Day 2: Wednesday 30/07/08<br />
Session 2.1 09:00 – 09:30 Agenda review Facilitator Wrap-up of WG feedback, agenda of<br />
day 2, miscellaneous <strong>and</strong> pending<br />
issues<br />
Session 2.2 09:30 – 09:45 ISFP programme identification<br />
assessments<br />
Session 2.3 09:45 – 10:00 Nepal Urban/Rural Case Study S. Hollema Draw lessons from primary data<br />
collection <strong>and</strong> analysis<br />
Session 2.4 10:00 – 10:15 Liberia Urban Case Study C. AhPoe Draw lessons from primary data<br />
‣ Achievements<br />
‣ Challenges<br />
‣ Gaps<br />
‣ Use for programming<br />
C. Amaral/G. Diriba ISFP joint assessment missions UN Inter-Agency programme<br />
reconnaissance missions<br />
Key findings, challenges, gaps <strong>and</strong> use for<br />
programming<br />
Key findings, challenges, gaps <strong>and</strong> use for<br />
collection <strong>and</strong> analysis<br />
programming<br />
Session 2.5 10:15 – 10:30 Ug<strong>and</strong>a Case Study T. Benson/D. Ground-truthing of secondary data Key findings, challenges, gaps <strong>and</strong> use for<br />
Bhattacharyya analysis findings<br />
programming<br />
10:30 – 10:45 Coffee/Tea Break<br />
Session 2.6 10:45 – 11:00 Pakistan Case Study W. Herbinger/L. Ground-truthing of secondary data Key findings, challenges, gaps <strong>and</strong> use for<br />
Balbi, C. Feng analysis findings<br />
programming<br />
Session 2.7 11:00 – 12:00 Panel discussion on presentations All<br />
Session 2.8 12:00 – 13:00 Round table discussions All Key emerging issues Identification of common key<br />
themes/issues from country assessments<br />
<strong>and</strong> presented in plenary<br />
13:00 – 14:30 Lunch Break<br />
Session 2.9 14:30 – 16:00 Working group sessions All Emerging common themes addressed<br />
in working groups<br />
Suggested working groups (WG):<br />
• Minimum set of information for<br />
country assessments<br />
17
16:00 – 16:15 Coffee Break<br />
Session 2.10 16:15 – 17:15 Plenary: feedback from Day 2<br />
working groups (10’ each)<br />
19:00- Group Diner (optional)<br />
• Refining information needs for<br />
programming responses (Rolling<br />
review)<br />
• Partnerships arrangements <strong>and</strong><br />
countries of focus for future<br />
assessments<br />
Other groups, to be added depending on<br />
themes<br />
All Main recommendations presented<br />
Day 3: Thursday 31/01/08<br />
Session 3 Way forward <strong>and</strong> Closing<br />
sessions<br />
Session 3.1 09:00 – 09:30 Agenda review Facilitator Wrap-up of WG feedback, agenda of<br />
day 2, miscellaneous <strong>and</strong> pending<br />
issues<br />
Session 3.2 09:30 – 10:30 Plenary: Action planning All Work out an action plan based on<br />
working groups’ recommendations<br />
10:30 – 10:45 Coffee/Tea<br />
Session 3.2 10:45 – 12:00 Plenary: Action planning All Continuation of action planning<br />
(Cont’d)<br />
Session 3.3 12:00 – 12:30 Main conclusions/achievements of Facilitator/Rapporteu Wrap-up<br />
Action plan based on main<br />
recommendations<br />
the meeting <strong>and</strong> outst<strong>and</strong>ing issues r<br />
Session 3.4 12:30 – 12:45 Way forward J. Luma How recommendations <strong>and</strong> pending<br />
issues will be h<strong>and</strong>led?<br />
Session 3.5 12:45 – 13:00 Concluding remarks V. Guarnieri<br />
13:00 – 14:30 Lunch Break/Closure Departure of participants<br />
Note: It is worth noting that this agenda was adjusted following discussions with participants.<br />
18
Annex 2: Participants List<br />
Name Organization Contact<br />
GOVERNMENT AND PARTNER ORGANIZATIONS' PARTICIPANTS<br />
Antonio Paulo Mozambique Govt. antmpaulo@yahoo.com<br />
Matseliso Mojaki DMA Lesotho Govt. mojakim@dma.gov.ls/dce@dma.gov.ls<br />
Hanna Mattinen Action contre la faim hmattinen@actioncontrelafaim.org<br />
Ben Ramalingam ALNAP B.Ramalingam@alnap.org<br />
Erin Coniker Lentz CARE/Cornel ecl4@cornell.edu<br />
Catherine Chazaly CLSS/IRD catherine.chazaly@cilss.bf<br />
Nanna Skau ECHO nanna.skau@ec.europa.eu<br />
Nick Maunder ECHO nick.maunder@ec.europa.eu<br />
Thierry Negre EC Thierry.Negre@ec.europa.eu<br />
Henri Josser<strong>and</strong> FAO/ESTG henri.josser<strong>and</strong>@fao.org<br />
Liliana Balbi/Feng Chang FAO/ESTG Liliana.Balbi@fao.org, cheng.fang@fao.org<br />
Luca Alinovi FAO/ESAF Luca.Alinovi@fao.org<br />
Benjamin Davis FAO/ESAE Benjamin.Davis@fao.org<br />
Alberto Zezza FAO alberto.zezza@fao.org<br />
Gustavo Anriquez FAO gustavo.anriquez@fao,org<br />
Jacques de Graaf FAO/ES jacques.degraaf@fao.org?<br />
Katia Covarrubias FAO/ES katia.covarrubias@fao.org<br />
Mtendere Mphatso FAO Sudan Mtendere.Mphatso@fao.org<br />
Patricia Bonnard FEWSNET pbonnard@fews.net<br />
Aimee Wielechowski OCHA wielechowski@un.org<br />
Camilla Knox Peebles OXFAM CKnox-Peebles@oxfam.org.uk<br />
Alex Rees Save the Children A.Rees@savethechildren.org.uk<br />
Gary Eilerts USAID GEilerts@usaid.gov<br />
Hope Sukin USAID HSukin@usaid..gov<br />
Michelle Snow (observer) USAID SnowMS@state.gov<br />
Paul Clarke Facilitator paulclarke.consulting@gmail.com<br />
<strong>WFP</strong> COUNTRY OFFICE AND REGIONAL BUREAU PARTICIPANTS<br />
Claudia AhPoe Liberia claudia.ahpoe@wfp.org<br />
Dipayan Bhattacharyya Ug<strong>and</strong>a dipayan.bhattacharyya@wfp.org<br />
Caterina Galluzzi <strong>WFP</strong>/OPT caterina.galluzi@wfp.org<br />
Wolfgang Herbinger Pakistan wolfgang.herbinger@wfp.org<br />
Siemon Hollema Nepal siemon.hollema@wfp.org<br />
Eric Kenefick <strong>WFP</strong>/OMJ eric.kenefick@wfp.org<br />
Naouar Labidi <strong>WFP</strong>/OMD naouar.labidi@wfp.org<br />
Hebert Lopez El Salvador hebert.lopez@wfp.org<br />
Daniel Molla Sudan daniel.molla@wfp.org<br />
Robinah Mulenga Swazil<strong>and</strong> robinah.mulenga@wfp.org<br />
Michael Sheinkman <strong>WFP</strong>/OMB michael.sheinkman@wfp.org<br />
Elliot Vhurumuku Ethiopia elliot.vhurumuku@wfp.org<br />
<strong>WFP</strong> HQ STAFF<br />
Henk-Jan Brinkman <strong>WFP</strong>/OEDP henk-jan.brinkman@wfp.org<br />
Ludovic Subran <strong>WFP</strong>/OEDP ludovic.subran@wfp.org<br />
Ugo Gentilini <strong>WFP</strong>/OEDP ugo.gentilini@wfp.org<br />
Vallerie Guarnieri <strong>WFP</strong>/OMX valerie.guarnieri@wfp.org<br />
19
Volli Carucci <strong>WFP</strong>/OMXD volli.carucci@wfp.org<br />
Guillaume Foliot/Kate Newton <strong>WFP</strong>/OMXD guillaume.foliot@wfp.org/kate.newton@wfp.org<br />
Tina van den Briel/Acharya Pushpa <strong>WFP</strong>/OMXD tina.v<strong>and</strong>enbriel@wfp.org/acharya.pushpa@wfp.org<br />
Ram Saravanamuttu <strong>WFP</strong>/OMXD ram.saravanamuttu@wfp.org<br />
Caroline Chaumont <strong>WFP</strong>/OMXF caroline.chaumont@wfp.org<br />
Agnes Dhur/Kathryn Ogden <strong>WFP</strong>/OMXF agnes.dhur@wfp.org, kathryn.ogden@wfp.org<br />
Arf Husain <strong>WFP</strong>/OMXF arif.husain@wfp.org<br />
Wanja Kaaria <strong>WFP</strong>/OMXF wanja.kaaria@wfp.org<br />
Getachew Diriba <strong>WFP</strong>/OMX getachew.diriba@wfp.org<br />
Joyce Luma <strong>WFP</strong>/OMXF joyce.luma@wfp.org<br />
Issa Sanogo <strong>WFP</strong>/OMXF issa.sanogo@wfp.org<br />
20
Annex 3: Workhop Evaluation Sheet<br />
Question Question/Issue Strongly agree Agree<br />
Neither agree nor<br />
disagree<br />
Disagree Strongly disagree No answer Total<br />
1 The Agenda was well planned 0.0 25.0 25.0 45.8 4.2 0.0 100<br />
2<br />
The Level of technical discussion was suitable<br />
for my background <strong>and</strong> experience<br />
11.1 74.1 3.7 11.1 0.0 0.0 100<br />
3 The meeting was well-paced 14.8 40.7 18.5 22.2 3.7 0.0 100<br />
4<br />
The presentations were informative <strong>and</strong> led to<br />
useful discussions<br />
33.3 63.0 3.7 0.0 0.0 0.0 100<br />
5<br />
Participants were encouraged to take an active<br />
part<br />
55.6 29.6 7.4 7.4 0.0 0.0 100<br />
6 The meeting met my individual expectations 0.0 25.9 44.4 25.9 3.7 0.0 100<br />
7 The meeting contributed to my own work 15.4 53.8 23.1 7.7 0.0 0.0 100<br />
8 The meeting achieved the desired outputs 0.0 18.5 40.7 33.3 7.4 0.0 100<br />
9 Facilitation team was excellent 22.2 40.7 22.2 11.1 3.7 0.0 100<br />
10 The meeting space was adequate 18.5 44.4 11.1 22.2 3.7 0.0 100<br />
11 Meals/refreshments were satisfactory 59.3 37.0 3.7 0.0 0.0 0.0 100<br />
12 The overall organization was efficient 25.9 63.0 3.7 7.4 0.0 0.0 100<br />
Correct Too short Too long No answer<br />
13 Was the meeting length? 76.9 15.4 0.0 0.0 0.0 7.7 100<br />
Just enough Too few Too many No answer<br />
14 Was the number of participants? 64.0 0.0 36.0 0.0 0.0 0.0 100<br />
Excellent Very good Good Fair Poor No answer<br />
15 What is your overall rating of this workshop? 0.0 19.2 50.0 23.1 7.7 0.0 100<br />
21
Annex 4: Note for the Record: Follow up meeting after the <strong>High</strong> <strong>Price</strong> <strong>Assessment</strong> Workshop<br />
(Friday 08/08/2008)<br />
Participants<br />
1. Ben Ramalingam (ALNAP)<br />
2. Camilla Knox-Peebles (OXFAM)<br />
3. Joyce Luma (<strong>WFP</strong>)<br />
4. Arif Husain (<strong>WFP</strong>)<br />
Aimee Wielechowski (OCHA) <strong>and</strong> Alex Rees (SCUK) apologized for missing the conference call due to colliding schedules. Luca<br />
Alinovi (FAO), on leave could not make it.<br />
The purpose of the meeting was to discuss setting up a mechanism for the follow-up on the workshop recommendations. It was<br />
agreed that:<br />
1) Explore the possibility of using the "<strong>Food</strong> <strong>and</strong> Nutrition Security Coordination Mechanism" an NGO led initiative, with<br />
CARE International <strong>and</strong> OXFAM leading the process.<br />
Action Points:<br />
a) Check the implementation time-frame for the mechanism<br />
b) See if its ToRs meet our specific requirements<br />
c) See what would be the financial implications--explore possibilities of pooled funding.<br />
2) In the mean time continue to use the informal communication channels--mailing lists, e-mails etc.<br />
3) Check the status of Community of Practitioners<br />
Specific action points:<br />
1. Complete the workshop report <strong>and</strong> share with partners<br />
2. Contact "<strong>Food</strong> <strong>and</strong> Nutrition Security Coordination Mechanism" leaders<br />
3. Check the status of Community of Practitioners (<strong>WFP</strong>)<br />
Arrange another meeting early next month when most people are back from the summer break.<br />
22
Annex 5: Workhop Presentations<br />
DAY 1<br />
Objectives <strong>and</strong> Agenda<br />
<strong>Price</strong> <strong>Impact</strong> <strong>Analysis</strong> Workshop<br />
29-31 July 2008<br />
Rome<br />
Joyce Luma<br />
<strong>WFP</strong>/OMXF<br />
<strong>Price</strong> <strong>Analysis</strong> Consultations<br />
• Partners Consultative meeting in Feb 2008<br />
Coordinated information sharing <strong>and</strong> advocacy<br />
• ED consultative meeting on March 13<br />
• Consultative meetings with EC, DFID, WB<br />
FEWSNET/USAID,IFPRI, FAO Save <strong>and</strong><br />
OXFAM April/May<br />
<strong>Assessment</strong>s in priority countries<br />
Stock-taking for lessons learning in June/July<br />
Additional <strong>Analysis</strong>/Monitoring – July/Dec<br />
• Response Options Workshop - June<br />
Overview of Analyses at <strong>WFP</strong><br />
• Two-Step Approach:<br />
‣ First Step: Global data analysis to identify high risk countries – ranking<br />
of the most vulnerable <strong>and</strong> estimate of total affected population globally.<br />
‣ Second Step: Country-level analysis using three approaches:<br />
• Secondary Data analysis – e.g. Ug<strong>and</strong>a, Pakistan, Guatemala, El<br />
Salvador, Nicaragua, Honduras<br />
<strong>Food</strong> security monitoring systems data analysis -e.g. Niger, Haiti,<br />
Guinea-Bissau, Burundi, Nepal, Southern Africa<br />
• Primary data collection <strong>and</strong> analysis through household <strong>and</strong> trader<br />
surveys e.g. Nepal, Liberia, Ethiopia, Burkina Faso, Guinea, Tajikistan<br />
23
• Objectives of the analyses:<br />
‣ Determine the magnitude <strong>and</strong> future outlook of food price increases<br />
‣ Assess the impact of higher prices on household food security<br />
‣ Determine the proportion of the population affected<br />
‣ Recommend immediate, medium <strong>and</strong> long-term response - in rural<br />
<strong>and</strong> urban settings.<br />
Completed or Preliminary Results Ongoing<br />
Planned<br />
Nepal (Rural/Urban)<br />
Lesotho<br />
Senegal (Urban)<br />
Tajikistan (Rural)<br />
Tajikistan (Urban)<br />
Haiti (Urban)<br />
OPT (Urban/Rural)<br />
Ethiopia (Urban)<br />
Madagascar<br />
Guinea (Rapid Urban)<br />
Bangladesh**<br />
Cote d’Ivoire<br />
Ug<strong>and</strong>a (Urban/Rural)*<br />
Yemen<br />
Cameroon<br />
El Salvador*<br />
Niger (Urban/Rural)<br />
Malawi<br />
Guatemala*<br />
Senegal (Rural)<br />
Mozambique (Urban)<br />
Honduras*<br />
Sierra Leone<br />
Nicaragua*<br />
Swazil<strong>and</strong>**<br />
Zimbabwe**<br />
Pakistan (Urban/Rural)<br />
Liberia (Urban)<br />
Cambodia (Urban/Rural)<br />
Kenya<br />
Burundi (Urban)<br />
Burkina Faso (Urban)<br />
*Completed through secondary data analysis; **Through CFSAM<br />
Why are we here?<br />
• Determine the extent to which the assessments<br />
<strong>and</strong> monitoring systems are providing adequate<br />
information for programming decisions.<br />
• key lessons learned emerging from the analyses<br />
• Identify a core set of information for programming<br />
response options<br />
• Recommendations to feed into future analyses,<br />
countries of focus <strong>and</strong> partnership arrangements<br />
All these assessments have used primary or secondary data or both<br />
What will we talk about?<br />
• What information is required for programming a range of<br />
response options?<br />
• Lessons learned but less on methods<br />
• How to strengthen links between secondary <strong>and</strong> primary<br />
data?<br />
• How to strengthen monitoring<br />
• Planning for the next set of analyses<br />
How can it be done to maintain a broad number of agencies<br />
What can be done together?<br />
what need not be done together<br />
How have we organised the two<br />
<strong>and</strong> half days?<br />
Day One: Secondary Data <strong>and</strong> Monitoring<br />
What are we learning from these analysis?<br />
How to ground truth the secondary data analysis?<br />
How to strengthen monitoring<br />
Day Two: Country <strong>Assessment</strong><br />
Minimum set of information for programming options<br />
Partnership arrangements<br />
Day Three<br />
Way forward<br />
24
Overview<br />
Key messages<br />
I. International prices<br />
o <strong>Food</strong> prices will peak, but stay high<br />
<strong>High</strong> food prices<br />
Henk-Jan Brinkman<br />
<strong>WFP</strong>/OEDP<br />
Stock-taking workshop<br />
29-31 July 2008<br />
II. Transmission to domestic prices<br />
III. <strong>Impact</strong> on households<br />
IV. Responses<br />
2<br />
o Risk of severe <strong>and</strong> potentially lifelong<br />
negative consequences is high, even<br />
if prices come down<br />
o Risk is not the same as impact<br />
o Need for broad response<br />
3<br />
I. <strong>High</strong>er & more volatile food prices<br />
Index 1998-2000=100<br />
350<br />
300<br />
MEAT<br />
DAIRY<br />
CEREALS<br />
250<br />
OILS<br />
SUGAR<br />
200<br />
150<br />
100<br />
50<br />
0<br />
1990<br />
1991<br />
1992<br />
Source: FAO<br />
1993<br />
1994<br />
1995<br />
1996<br />
1997<br />
1998<br />
1999<br />
2000<br />
2001<br />
2002<br />
2003<br />
2004<br />
2005<br />
2006<br />
2007<br />
2008<br />
4<br />
Causes: Agreement on list, but<br />
not on relative weight<br />
o Dem<strong>and</strong><br />
• Emerging markets, changing dem<strong>and</strong> patterns<br />
• Oil-exporting countries<br />
•Biofuels ( link between output <strong>and</strong> oil price)<br />
• Depreciating dollar<br />
• Institutional investors<br />
o Supply<br />
• Weather-related shocks<br />
• Slowing productivity growth<br />
• Oil price ( inputs: fertilizer, transport costs)<br />
<strong>Price</strong>s will peak, but remain high<br />
Average of forecasts of EIU (2008), FAPRI (2008), IFPRI (2008),<br />
OECD/FAO (2008), USDA (2008) <strong>and</strong> World Bank (2008) (2000=100)<br />
80<br />
• Export restrictions 5<br />
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017<br />
6<br />
Maize Wheat Rice Soybean Sorghum Soybean oil<br />
260<br />
240<br />
220<br />
200<br />
180<br />
160<br />
140<br />
120<br />
100<br />
Forecasts<br />
25
II.<br />
From int’l to domestic food prices<br />
Transmission is larger if:<br />
Risk = hazard x vulnerability<br />
o Not one-for-one relation<br />
o Relationship depends on policies<br />
o <strong>Food</strong> imports as % of domestic supplies<br />
are larger<br />
o Transportation costs are lower<br />
o Trade barriers are lower<br />
o Exchange rate is depreciating<br />
o <strong>Food</strong> taxes & subsidies are reduced<br />
o Hazard = <strong>Price</strong> increase<br />
o Vulnerability:<br />
• Government response capacity<br />
• Imports as % of consumption<br />
• Foreign exchange reserves<br />
• Existing socio-economic conditions<br />
7<br />
o Markets are more competitive 8<br />
9<br />
Vulnerable countries<br />
III. From int’l to national to household<br />
Vulnerability at household level:<br />
o <strong>High</strong> % of income spend on food<br />
o Buy more food than sell (net-buyer)<br />
o Few coping mechanisms<br />
<strong>High</strong><br />
vulnerability<br />
Low<br />
vulnerability<br />
10<br />
11<br />
12<br />
26
People most at risk<br />
Rapid deterioration of nutritional<br />
status<br />
<strong>Impact</strong> of child nutrition is life long<br />
oRural l<strong>and</strong>less<br />
o Pastoralists, agro-pastoralists<br />
o Small-scale farmers<br />
oUrban poor<br />
o Children under 2 <strong>and</strong> under 5<br />
o Pregnant <strong>and</strong> lactating mothers<br />
oSickly<br />
Livelihood<br />
<strong>Food</strong>/Nutrtion<br />
Diversify<br />
incomes<br />
Cheaper<br />
food<br />
Spend<br />
less on<br />
nonessentials<br />
Selling<br />
some<br />
assets<br />
Less<br />
nutritious<br />
food<br />
Source: <strong>WFP</strong>/Chiara Brunelli<br />
Drop out<br />
of school<br />
Child<br />
labor<br />
Migration Borrow<br />
Reduce<br />
size /<br />
number<br />
of meals<br />
Consume<br />
wild<br />
foods,<br />
seeds<br />
Selling<br />
of<br />
productive<br />
assets<br />
Begging<br />
for food<br />
Selling<br />
of all<br />
assets<br />
Entire<br />
day<br />
without<br />
eating<br />
Spend<br />
less on<br />
essential<br />
items<br />
Eat ab<br />
normal<br />
items<br />
(e.g.<br />
plants<br />
<strong>and</strong><br />
insects)<br />
Health<br />
threatening<br />
activities<br />
Child<br />
malnutrition<br />
1. <strong>High</strong>er productivity<br />
2. Cognitive development & education<br />
3. Better health & lower health costs,<br />
including of next generation<br />
13<br />
14<br />
15<br />
Risk analysis vs <strong>Impact</strong> assessment<br />
Risk analysis in Liberia<br />
Rice price nutritional status<br />
Risk analysis<br />
oEx ante<br />
oSecondary data<br />
o Isolate price effect<br />
oNo coping<br />
<strong>Impact</strong> assessment<br />
oEx post<br />
oPrimary data<br />
oAll factors<br />
o Incorporate coping<br />
o Monitor!<br />
16<br />
% of rice % rice in food Rice price<br />
bought consumption increase (%)<br />
Percentage change 100<br />
<strong>Food</strong> crop farmers 64.1 16.4 -4.2<br />
Palm oil seller/producer 81.7 14.0 -4.6<br />
Petty traders 85.7 16.0 -5.5<br />
Hunters 77.4 13.6 -4.2<br />
Contract labourers 81.6 16.1 -5.3<br />
Rubber tappers 84.0 17.6 -5.9<br />
Charcoal producers 85.5 15.9 -5.4<br />
Fisher folk 90.7 14.2 -5.2<br />
Employees 90.3 16.4 -5.9<br />
Skilled labourers 78.3 15.6 -4.9<br />
Cash <strong>and</strong> food crop producers 64.0 16.4 -4.2<br />
Palm oil <strong>and</strong> food crop produce 66.1 16.4 -4.3<br />
Other activity 85.7 16.6 -5.7<br />
Total 78.0 15.8 -4.9<br />
Source: Liberia, CFSVA Elasticity of dem<strong>and</strong> for rice -0.4<br />
17<br />
Underweight children<br />
(% )<br />
Underweight children <strong>and</strong> rice expenditure in rural<br />
Bangladesh (1992-2000)<br />
76<br />
71<br />
66<br />
61<br />
56<br />
1992 1993 1994 1995 1996 1997 1998 1999 2000<br />
Underweight Children (%)<br />
Rice Expenditure<br />
0.6<br />
0.5<br />
0.4<br />
0.3<br />
0.2<br />
Weekly expenditure<br />
on rice (per capita in<br />
$)<br />
18<br />
27
IV. Response: 6 A’s<br />
A broad-based response<br />
a coherent global response<br />
o<br />
o<br />
o<br />
o<br />
o<br />
Assess <strong>and</strong> analyse<br />
Adjust existing programmes (nutrition)<br />
Add activities (monitor) + programmes<br />
Advise Governments on policies<br />
Assist Governments<br />
1. Emergency<br />
• Vouchers <strong>and</strong> cash<br />
• Mother- <strong>and</strong> child nutrition<br />
• School feeding<br />
• <strong>Food</strong> or cash-for-work<br />
2. Agricultural supply response<br />
3. Social protection systems<br />
o Advocate for funding <strong>and</strong> response 19<br />
20<br />
policy<br />
reform<br />
increased<br />
agriculture<br />
production<br />
12 months +<br />
(Long term)<br />
agricultural inputs<br />
(seeds, fertilizer)<br />
cash & vouchers<br />
community works<br />
programmes<br />
6 – 12 months<br />
(Medium term)<br />
Balance of payments/financial support<br />
emergency<br />
food<br />
& safety nets<br />
(child nutrition,<br />
school feeding)<br />
urgent agriculture inputs<br />
0 – 6 months<br />
(Immediate)<br />
21<br />
<strong>WFP</strong>’s Strategic Plan 2008-11<br />
o From food aid to food assistance<br />
o Broader, flexible <strong>and</strong> nuanced toolkit<br />
o Tools not new, but exp<strong>and</strong> to new<br />
scale:<br />
• Cash <strong>and</strong> vouchers<br />
• Purchase for Progress<br />
• Policy dialogue <strong>and</strong> advocacy<br />
• No one-size fits all school feeding<br />
• New nutrition <strong>and</strong> food products<br />
Thank you<br />
22<br />
28
Household level impact of high<br />
food prices<br />
Insights from multitopic household surveys<br />
Agricultural Development Economics Division<br />
FAO<br />
Alberto Zezza<br />
Main messages<br />
• Importance of expenditure, assets, inputs,<br />
livelihoods in characterizing welfare<br />
gains/losses<br />
• Multitopic surveys offer a unique tool to do<br />
that<br />
• Can they be better linked to other data<br />
sources to improve analysis for response<br />
<strong>and</strong> action?<br />
Outline<br />
• Data <strong>and</strong> methodology<br />
• Cross-country analysis<br />
• Elements of a country profile: Nepal<br />
Rome, 29 July 2008<br />
Data <strong>and</strong> methodology<br />
Some formulas...<br />
2<br />
Expendtiture quintiles<br />
Cross-country analysis<br />
Poorest 2 3 4 Richest<br />
• Data: Rural Income Generating Activities<br />
(RIGA) dataset<br />
• Methods<br />
– Measure of immediate impact (compensating<br />
variation)<br />
– Bivariate analysis over hh characteristics<br />
– Multivariate analysis – correlates<br />
Three effects: <strong>Price</strong>, labour, supply response:<br />
F dw ∂Q<br />
dA dpx<br />
F dpz<br />
g ≡[ Q−q]<br />
+ [ L−L<br />
] + p −X<br />
+ [ Z−Z<br />
]<br />
dp ∂A<br />
dp dp dp<br />
∆w<br />
x<br />
∆p<br />
∆p<br />
p<br />
c<br />
i r<br />
r<br />
= PR<br />
p ir<br />
−<br />
c<br />
0i<br />
∆p<br />
0r<br />
∆p<br />
0r<br />
CR<br />
We just focus on the first, which depends on the share of<br />
the staple in the hh production <strong>and</strong> consumption<br />
ir<br />
% chang e in welfare<br />
1<br />
0<br />
-1<br />
-2<br />
-3<br />
-4<br />
Bangladesh<br />
Pakistan<br />
Rural<br />
Nepa l<br />
Nepal<br />
Tajikistan<br />
Vietnam<br />
G uatemala<br />
Nicaragua<br />
Panama<br />
Ghana<br />
% chang e in w elfare<br />
2<br />
1<br />
0<br />
-1<br />
-2<br />
-3<br />
-4<br />
Malawi<br />
Albania<br />
Bangladesh<br />
Pakistan<br />
Nepal<br />
Nepal<br />
Tajikista n<br />
Vietnam<br />
Urban<br />
Guatemala<br />
Nicaragua<br />
Panama<br />
Urban<br />
Ghana<br />
Malawi<br />
Albania<br />
29
A country profile: Nepal<br />
Expenditure quintiles<br />
Expendtiture quintiles Poorest 2 3 4 Richest<br />
2<br />
L<strong>and</strong><br />
A country profile: Nepal<br />
Livelihoods<br />
A country profile: Nepal<br />
% chang e in w elfare<br />
1<br />
0<br />
-1<br />
-2<br />
-3<br />
-4<br />
Rural<br />
Nepal<br />
% change in welfare<br />
2<br />
1<br />
0<br />
-1<br />
-2<br />
-3<br />
-4<br />
Nepal<br />
Urban<br />
% change in welfare<br />
Nepal<br />
4<br />
3<br />
2<br />
1<br />
0<br />
-1<br />
-2<br />
-3<br />
-4<br />
-5<br />
L<strong>and</strong>owners<br />
0 1 2 3 4 5 6<br />
Expenditure quintiles<br />
L<strong>and</strong>less<br />
% chang e in w elfare<br />
Nepal<br />
4<br />
3<br />
2<br />
1<br />
0<br />
-1<br />
-2<br />
-3<br />
-4<br />
-5<br />
Other<br />
0 1 2 3 4 5 Specialized 6<br />
Expenditure quintiles<br />
in agriculture<br />
A country profile: Nepal<br />
A country profile: Nepal<br />
A country profile: Nepal<br />
Large welfare losses by region<br />
35%<br />
30%<br />
25%<br />
20%<br />
15%<br />
10%<br />
5%<br />
0%<br />
Mountain Hill Tarai<br />
Incidence<br />
Mountain,<br />
8.5%<br />
Tarai,<br />
59.8%<br />
Concentration<br />
Hill,<br />
31.7%<br />
Assets typologies (combining l<strong>and</strong>, education<br />
<strong>and</strong> infrastructure)<br />
• 2 winners in 3 are ‘high l<strong>and</strong>’ types<br />
• Most large losers (70%) have little l<strong>and</strong> AND<br />
education<br />
4. Assets typologies (L<strong>and</strong>, Educ., Infrastruc.)<br />
Household<br />
grouping by<br />
asset<br />
combination<br />
Average Welfare<br />
Change<br />
Group Share of<br />
Winners<br />
Group Share of Group Share of<br />
Moderate Losers Extreme Losers<br />
WITH 1 E, L, I 0.72 26.02 14.42 3.36<br />
LAND 2 NE, L, I 0.54 12.12 7.36 4.48<br />
3 E, NL, I -0.27 8.15 13.75 5.45<br />
4 E, NL, NI -0.55 3.66 5.81 3.64<br />
5 E, L, NI 0.81 11.39 6.87 2.52<br />
6 NE, NL, I -0.65 7.63 10.45 13.99<br />
7 NE, L, NI 0.29 15.99 11.52 6.57<br />
8 NE, NL, NI -1.10 10.03 17.33 26.85<br />
NO 9 E,I -1.02 1.25 5.32 3.08<br />
LAND 10 NE, I -2.30 1.36 3.39 12.73<br />
11 E, NI -1.09 0.42 0.97 1.40<br />
12 NE, NI -2.38 1.99 2.81 15.94<br />
Total<br />
-0.39 100.00 100.00 100.00<br />
30
A country profile: Nepal<br />
Descriptives by welfare gain/loss category<br />
variable Gainer Mod. Los. Ext. Los.<br />
hhlabor 3.2 2.6 2.4<br />
flaborshare 55.2% 56.4% 58.0%<br />
femhead 15.1% 21.4% 23.6%<br />
agehead 47.3 44.9 44.4<br />
Non Hindu 15.4% 17.3% 26.9%<br />
Education (head) 2.9 2.8 1.2<br />
L<strong>and</strong> 1.0 0.6 0.3<br />
% Irrigated 47.3% 28.5% 17.0%<br />
Livestock (TLU's) 2.1 1.6 1.0<br />
ag wealth 0.457 -0.104 -0.602<br />
fertilizers 81.8 57.1 30.9<br />
pesticides 22.9 12.3 3.7<br />
distroad 509.4 768.8 657.9<br />
A country profile: Nepal<br />
RURAL<br />
changew Coef. Std. Err.<br />
hhsize -0.07 0.02 ***<br />
dependency 0.67 0.19 ***<br />
flaborshare -0.64 0.16 ***<br />
femhead 0.01 0.11<br />
agehead -0.03 0.02<br />
emphead -0.39 0.08 ***<br />
nonhindu -0.17 0.09<br />
educhead 0.05 0.03<br />
educhead2 0.00 0.00<br />
l<strong>and</strong>own 0.53 0.09 ***<br />
l<strong>and</strong>own2 -0.05 0.01 ***<br />
irrigated 0.86 0.12 ***<br />
TLU_total 0.17 0.05 ***<br />
agwealth 0.40 0.08 ***<br />
fertil 0.01 0.00 ***<br />
R2 0.3186<br />
N 2705<br />
Multivariate: OLS<br />
of welfare gain<br />
over correlates<br />
Conclusions <strong>and</strong> discussion<br />
• Importance of ag assets/inputs, livelihoods<br />
(<strong>and</strong> demographics)<br />
• Asset typologies powerful in identifying<br />
likely losers<br />
• Multitopic data can give depth to analysis<br />
• Opportunities for integrating with other<br />
sources<br />
31
Outline<br />
Nutritional <strong>Impact</strong>: Methodology<br />
A Cross‐Country <strong>Analysis</strong> of the<br />
Effects of Soaring <strong>Food</strong> <strong>Price</strong>s on<br />
Undernourishment<br />
Gustavo Anríquez<br />
FAO –ESA<br />
(Agricultural <strong>and</strong> Development<br />
Economic Division)<br />
• Methodology to asses the effects of soaring<br />
food prices on undernourishment.<br />
• Cross country results.<br />
• Malawi country case study.<br />
Cross‐Country Sample<br />
<strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> on Caloric Intake<br />
<strong>Impact</strong> on Undernourishment<br />
• Bangladesh 2000<br />
• Guatemala 2000<br />
• Kenya 2005<br />
• Malawi 2004<br />
• Nepal 2003<br />
• Peru 2003<br />
• Tajikistan 2003<br />
• Vietnam 2002<br />
• Sample designed to<br />
cover heterogeneity in<br />
diets (food staples, <strong>and</strong><br />
their relative<br />
importance), income,<br />
<strong>and</strong> agricultural<br />
production profiles.<br />
% Change in Average Caloric Intake<br />
-3 -2.5 -2 -1.5 -1 -.5 0<br />
Bangladesh Guatemala Kenya Malawi Nepal Peru Tajikistan Vietnam<br />
Poorest<br />
2nd Quintile<br />
3rd Quintile<br />
4th Quintile<br />
Wealthiest<br />
Change in Undernourishment<br />
0 2 4 6<br />
Bangladesh Guatemala Kenya Malawi Nepal Peru Tajikistan Vietnam<br />
Poorest<br />
2nd Quintile<br />
3rd Quintile<br />
4th Quintile<br />
Wealthiest<br />
32
Results not correlated with income.<br />
Importance of diversification of diets.<br />
Results country‐specific<br />
Determinants: 1) share of staple in diet<br />
2) distribution of farm income 3)<br />
Preferences 4) Distribution of food<br />
calories<br />
Malawi Case Study<br />
Who are the Undernourished<br />
Prevalence of<br />
Undernourishment<br />
No<br />
Yes<br />
Rural 22.0 31.4<br />
Southern Region 27.3 33.9<br />
Head >8 yrs Education 32.4 19.6<br />
Female Head 29.9 32.0<br />
Own L<strong>and</strong> 23.4 31.4<br />
Diversified Income HH 28.8 32.7<br />
Where are the<br />
Undernourished<br />
Located<br />
Prevalence of<br />
Undernourishment<br />
Change in<br />
Undernourishment<br />
(% points)<br />
33
Probability of Being Undernourished<br />
Elasticity<br />
Expenditures -0.77<br />
HH Size 0.48<br />
% HH Members < 15 yrs 0.15<br />
Farm Specializers -0.08<br />
Diversified -0.05<br />
Significant 99%<br />
79% of observations predicted correctly.<br />
Probability of Being Vulnerable<br />
Elasticity<br />
Expenditures -1.00<br />
HH Size 0.76<br />
L<strong>and</strong> Owned -0.14<br />
Farm Specializers -0.15<br />
Urban 0.09<br />
Definition Vulnerable: Among the initially not<br />
undernourished, falls into hunger as a result of soaring<br />
food prices.<br />
Significant 99%<br />
66% of observations predicted correctly.<br />
Conclusions<br />
• It is not straightforward to determine ex ante<br />
who are the most vulnerable groups to food<br />
price hikes.<br />
• Relevance of country case‐studies.<br />
• In Malawi, for example, farmers <strong>and</strong> l<strong>and</strong><br />
owners are better equipped than urban<br />
households to deal with the costs of soaring<br />
food prices.<br />
<strong>Price</strong> impact analyses using household<br />
income <strong>and</strong> expenditure surveys –<br />
taking advantage of the RIGA dataset<br />
Benjamin DAVIS<br />
FAO-ESA<br />
<strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong> <strong>and</strong> <strong>Analysis</strong> Workshop<br />
Rome<br />
29-31 July 2008<br />
RIGA<br />
Rural Income Generating Activities<br />
The RIGA dataset<br />
<br />
<br />
19 countries, 35 datasets<br />
Objectives: consistency & comparability across countries<br />
• Focus on income aggregates<br />
• household/individual level variables<br />
Africa<br />
• Ghana (1992, 1998)<br />
• Madagascar (1993, 2001**)<br />
• Malawi (2004)<br />
• Nigeria (2004)<br />
• Kenya (2005*)<br />
Asia<br />
• Bangladesh (2000, 2005*)<br />
• Indonesia (1993, 2000)<br />
• Nepal (1996, 2003)<br />
• Pakistan (1991, 2001)<br />
• Vietnam (1992, 1998, 2002*)<br />
• Cambodia (2004*)<br />
Eastern Europe<br />
• Albania (2002, 2005)<br />
• Bulgaria (1995, 2001)<br />
• Tajikistan (2003, 2007*)<br />
Latin America<br />
• Ecuador (1995, 1998)<br />
• Guatemala (2000, 2005**)<br />
• Nicaragua (1998, 2001, 2005**)<br />
• Panama (1997, 2003)<br />
• Bolivia (2005*)<br />
Income Aggregates: Sources of Income<br />
Crop<br />
Livestock<br />
On-Farm<br />
Wages<br />
• agricultural<br />
Off-Farm<br />
• non-agricultural<br />
Self Employment<br />
Transfers<br />
• public<br />
• private<br />
Other<br />
34
Bread<br />
Cereals<br />
Roots<br />
Dairy<br />
Pulses<br />
Meat & Eggs<br />
Other <strong>Food</strong><br />
Oil <strong>and</strong> Fat<br />
Veg. & Fruits<br />
Sugar<br />
<strong>Food</strong><br />
Transport<br />
Tobacco<br />
Soap<br />
Taxes<br />
Debts<br />
Medical<br />
Celebrations<br />
Education<br />
Non <strong>Food</strong><br />
Other Non <strong>Food</strong><br />
House<br />
Clothing<br />
Total<br />
Cereals<br />
Roots<br />
Bread<br />
Dairy<br />
Pulses<br />
Meat & Eggs<br />
Oil <strong>and</strong> Fat<br />
Ve g. & F ruits<br />
Other <strong>Food</strong><br />
Sugar<br />
<strong>Food</strong><br />
Transport<br />
Tobacco<br />
Soap<br />
Taxes<br />
Clothing<br />
House<br />
Medical Debts<br />
Non <strong>Food</strong><br />
Celebrations<br />
Education<br />
Other Non F ood<br />
Total<br />
300<br />
250<br />
200<br />
150<br />
100<br />
50<br />
0<br />
Rounds<br />
1 2 3 4 5 6 7<br />
1 2 3 4 5 6 7<br />
Riz Maize Wheat Bread Sugar Milk Noodles Oil Potato Banana Chicken FCS<br />
120<br />
100<br />
80<br />
60<br />
40<br />
20<br />
0<br />
Three examples of linking<br />
household food security<br />
<strong>and</strong> high food prices<br />
<strong>Food</strong> Security Monitoring Systems<br />
<strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong> <strong>and</strong> <strong>Analysis</strong><br />
Workshop, 29-31 July, 2008<br />
Ludovic Subran, <strong>WFP</strong>/OEDP<br />
Afghanistan: Urban<br />
programming in response to<br />
high food prices<br />
<br />
2.5mn extra caseload, TFD<br />
• Steep increase in wheat<br />
prices <strong>and</strong> particularly harsh<br />
winter entailed deteriorated<br />
‘tot’ for unskilled labourer<br />
• Seasonally-adjusted<br />
difference needed<br />
• Confronting primary data<br />
<strong>and</strong> monitoring system:<br />
methodology,<br />
responsiveness of FSMS are<br />
at stakeExpenditures Breakdown in 2006<br />
Afs<br />
50<br />
45<br />
40<br />
35<br />
30<br />
25<br />
20<br />
15<br />
10<br />
5<br />
0<br />
<strong>Price</strong>s are up, Terms of Trade are down<br />
Kabul Retail <strong>Price</strong>s, <strong>WFP</strong>/AFG<br />
Jan-05<br />
Mar-05<br />
May-05<br />
Jul-05<br />
Sep-05<br />
Nov-05<br />
Jan-06<br />
Mar-06<br />
May-06<br />
Jul-06<br />
Sep-06<br />
Nov-06<br />
Jan-07<br />
Mar-07<br />
May-07<br />
Jul-07<br />
Sep-07<br />
Nov-07<br />
Bread (1kg) Fuel (1L) ToT Casual Labour/Wheat Flour (Right axis)<br />
Expenditures Breakdown in 2007<br />
16<br />
14<br />
12<br />
10<br />
8<br />
6<br />
4<br />
2<br />
0<br />
Haiti: Riots or in-depth analysis,<br />
what drives programming?<br />
<br />
1.5 mn extra<br />
caseload, TFD<br />
• Northeast of Haiti<br />
SAPSAP (Jan06-<br />
Feb08)<br />
• Lack of evidence of<br />
impact either on food<br />
budget share, or on<br />
FCS/CSI: volatility?<br />
• No econometric<br />
evidence controlling<br />
for idiosyncratic<br />
shocks<br />
Prix (gourdes)<br />
Grisom Garde<br />
FCS<br />
Niger: Sustainability <strong>and</strong>…<br />
Catchment areas!<br />
<br />
Backdrop<br />
• Panel data: 4,376<br />
households in 357<br />
Nigerien villages; usual<br />
food security indicators<br />
(DD, anthropometric<br />
measures e.g.)<br />
• Rounds: monthly from<br />
June to December ’07<br />
because of a lack of<br />
funding<br />
• Finding matching markets<br />
as sentinel sites data are<br />
gathered separately<br />
<strong>Food</strong> for thought<br />
Framework?<br />
• <strong>Price</strong> determinants intrinsically play a role in the strength of the<br />
impact (persistence of the shock e.g.), what to really expect from<br />
monitored indicators<br />
<strong>Analysis</strong>?<br />
• In-depth econometric analysis not possible; different needs to<br />
inform targeting e.g.; New monitoring tools: cost of a food basket<br />
approach? Triggers?<br />
Reconciliation?<br />
• Proved hard to link prices to household level data, tap into other<br />
monitoring indicators <strong>and</strong> fields (education,…)<br />
Innovations?<br />
• New set of indicators might be used in the monitoring systems<br />
when covering other livelihoods (urban settings e.g.); coping<br />
without a proper baseline<br />
Sharing?<br />
• Hard access to data<br />
Community <strong>and</strong><br />
Household Surveillance<br />
(CHS) in Southern Africa<br />
Potential applications for monitoring prices at<br />
country level<br />
<strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong> <strong>and</strong> <strong>Analysis</strong><br />
Workshop, 29-31 July, 2008<br />
Eric Kenefick, <strong>WFP</strong>/OMJ<br />
35
Background<br />
Where?<br />
• Seven southern African countries: Mozambique, Zambia,<br />
Zimbabwe, Lesotho, Malawi, Swazil<strong>and</strong> (10 Rounds);<br />
Namibia (2 rounds)<br />
Who?<br />
• Data collected from <strong>WFP</strong> beneficiaries <strong>and</strong> non-beneficiaries<br />
(non beneficiaries as control group)<br />
When?<br />
• Twice-year (Feb/Mar & Sept/Oct) approach allows accounting<br />
seasonality issues <strong>and</strong> variations in food assistance<br />
How?<br />
• Teams composed of <strong>WFP</strong> staff <strong>and</strong> partners (including<br />
government), using PDAs. For nutrition, we partner with<br />
National nutrition bodies within Government plus UNICEF<br />
CHS for Monitoring HP Issues<br />
<br />
Three countries have used the CHS to<br />
cover the entire country:<br />
• Lesotho: With DMA, covers all 10 districts in<br />
March/Oct 2007 <strong>and</strong> March 2008<br />
• Swazil<strong>and</strong>: All four regions covered for last 3<br />
rounds<br />
• Mozambique: The GAV used the CHS tool<br />
for their annual assessment to cover all 10<br />
provinces<br />
• Main limitation: Only used in rural areas<br />
CHS – Monitoring food expenditures<br />
share m onthly expenditure<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
Trends in monthly food expenditures - Lesotho<br />
Oct 06 Mar 07 Oct 07 Mar 08<br />
Share food<br />
Per capita food<br />
60<br />
50<br />
40<br />
30<br />
20<br />
10<br />
0<br />
p/c m o nthly expenditure -<br />
Maluti<br />
Monitoring Transport Expenditures<br />
share m onthly expenditure<br />
12%<br />
10%<br />
8%<br />
6%<br />
4%<br />
2%<br />
0%<br />
Trends in monthly transport expenditures - Lesotho<br />
Oct 06 Mar 07 Oct 07 Mar 08<br />
Share t ransport<br />
Per capit a t ransport<br />
12<br />
10<br />
8<br />
6<br />
4<br />
2<br />
0<br />
p/c m onthly expenditure -<br />
Maluti<br />
Types of Markets - Mozambique<br />
<br />
<br />
<br />
The markets were then assessed for various items<br />
including: whole maize, maize meal, rice, beans,<br />
groundnuts, oil, sugar salt <strong>and</strong> soap.<br />
From this information households were grouped<br />
together using statistical analyses to create 5 market<br />
access groups, including those without any market<br />
access.<br />
The five types of household access include:<br />
1. Markets with all items (22%)<br />
2. Markets with oil, sugar, salt <strong>and</strong> soap; sometimes, whole<br />
maize, beans <strong>and</strong> groundnuts (18%)<br />
3. Markets with rice, oil, sugar, salt, soap <strong>and</strong> sometimes milled<br />
maize (18%)<br />
4. Markets with a mix of these items but not all (6%)<br />
5. No market access (36%)<br />
Types of Market Access by Province<br />
All items<br />
Basics plus whole maize, beans <strong>and</strong> gnuts<br />
Basics plus rice <strong>and</strong> milled maize<br />
Mix of everything but not all<br />
No market<br />
100%<br />
90%<br />
80%<br />
70%<br />
60%<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
Niassa Cabo Nampula Zambezia Tete Manica Sofala Inhambane Gaza Maputo<br />
Delgado<br />
36
Coping, Consumption <strong>and</strong> Markets<br />
60<br />
50<br />
40<br />
30<br />
20<br />
10<br />
0<br />
23.5<br />
47.7<br />
All items<br />
FCS significantly<br />
higher than the<br />
other groups<br />
28.1<br />
41.7<br />
CSI<br />
25.2<br />
FCS<br />
44.3 43.5 43.8<br />
30.5<br />
Oil, sugar, salt, soap; Rice, oil, sugar, salt, Mix of different items<br />
some whole maize, soap <strong>and</strong> some maize but not all<br />
beans <strong>and</strong> gnuts<br />
meal<br />
25.7<br />
No market<br />
Source of Consumption <strong>and</strong> Markets<br />
production gifts purchase food assistance hunt/gather other<br />
100%<br />
90%<br />
80%<br />
35%<br />
31%<br />
70%<br />
47%<br />
49%<br />
39%<br />
60%<br />
6%<br />
7%<br />
5%<br />
50%<br />
6%<br />
5%<br />
40%<br />
30%<br />
56%<br />
57%<br />
51%<br />
20% 43%<br />
43%<br />
10%<br />
0%<br />
All items Oil, sugar, salt, soap; Rice, oil, sugar, salt, Mix of different items No market<br />
some whole maize,<br />
beans <strong>and</strong> gnuts<br />
soap <strong>and</strong> some maize<br />
meal<br />
but not all<br />
Mozambique Stock Taking<br />
Systems<br />
SIMA -<br />
Agricultural<br />
Market<br />
Information<br />
System<br />
INFOCOM -<br />
Ministry of<br />
Commerce <strong>and</strong><br />
Industry<br />
VAC -<br />
Vulnerability<br />
<strong>Analysis</strong><br />
Committee<br />
CHS –<br />
Community &<br />
Household<br />
Surveillance<br />
Frequency<br />
weekly<br />
weekly<br />
twice a year<br />
(April/October)<br />
twice a year<br />
(April/October)<br />
Tool<br />
Quantitative<br />
Quantitative<br />
Quantitative <strong>and</strong><br />
Qualitative<br />
Quantitative <strong>and</strong><br />
Qualitative<br />
Process<br />
Questionnaire to<br />
traders (retail<br />
<strong>and</strong> wholesales)<br />
Questionnaire to<br />
Supermarkets<br />
Questionnaire to<br />
households <strong>and</strong><br />
focus group<br />
(using PDA)<br />
Questionnaire to<br />
households <strong>and</strong><br />
focus group<br />
(using PDA)<br />
25 markets, including provincial<br />
capitals <strong>and</strong> at least 1 district with<br />
high potential in production <strong>and</strong> trade<br />
66 Supermarkets in all provincial<br />
capitals<br />
rural areas<br />
Place<br />
Areas with <strong>WFP</strong> activities<br />
Combined with VAC in April 2008<br />
Mozambique<br />
System<br />
SIMA - Agricultural<br />
Market Information<br />
System<br />
INFOCOM - Ministry<br />
of Commerce <strong>and</strong><br />
Industry<br />
VAC - Vulnerability<br />
<strong>Analysis</strong> Committee<br />
CHS – Community<br />
& Household<br />
Surveillance<br />
Questions related<br />
to markets<br />
prices, availability,<br />
flows <strong>and</strong> transport<br />
cost of commodities<br />
prices of maize meal,<br />
rice, sugar, eggs <strong>and</strong><br />
fish<br />
<strong>Food</strong> availability in<br />
communities, selling<br />
prices of agricultural<br />
products <strong>and</strong><br />
livestock, <strong>High</strong> price<br />
shock <strong>and</strong> coping<br />
Same as VAC<br />
Analyses<br />
price <strong>and</strong> food<br />
availability dynamic,<br />
products flows <strong>and</strong><br />
transport cost<br />
price dynamic<br />
Analyses of food<br />
availability <strong>and</strong> prices<br />
in communities, <strong>and</strong><br />
access to markets by<br />
producers<br />
<strong>Analysis</strong> of food<br />
availability <strong>and</strong> prices<br />
<strong>and</strong> comparisons of<br />
food <strong>and</strong> livestock<br />
prices across places<br />
Missing Tools<br />
Quest. to millers<br />
Questionnaire to<br />
traders <strong>and</strong> millers<br />
Trader questionnaire<br />
Missing Analyses<br />
a) food price impact<br />
on households<br />
income, b) price<br />
transmission, c) food<br />
price policy<br />
a) food price impact<br />
on households<br />
income, b) price<br />
transmission, c)<br />
customs regulation<br />
impact on food price<br />
a) Deeper income<br />
<strong>and</strong> expenditure<br />
analysis; b)<br />
elasticity/substitution<br />
of foods<br />
Discussion points<br />
<br />
<br />
<br />
Successes<br />
• Widely accepted in most countries<br />
• Full coverage in 3 countries<br />
• Some seasonal aspects covered<br />
• Southern Africa has fluid borders<br />
Challenges<br />
• No urban coverage; Rural coverage can be limited<br />
• Costs <strong>and</strong> Time<br />
• Linking with other systems/identifying complementarities<br />
Urban opportunities<br />
• Churches <strong>and</strong> outreach programmes<br />
• Government safety nets<br />
• Health/nutrition centres (surveillance)<br />
Thank you!<br />
37
DAY 2<br />
Inter Agency <strong>Assessment</strong> Missions in the<br />
context of Soaring <strong>Food</strong> <strong>Price</strong>s<br />
Jacques de Graaf<br />
FAO/ES<br />
Brief Background<br />
Under CAADP Framework, the AU <strong>and</strong> NEPAD<br />
launched an Initiative to assist countries to<br />
address SFP through acceleration of CAADP<br />
country roundtable process.<br />
Workshop held in Pretoria (20-23 23 May)<br />
19 countries, including key institutions (CILLS,(<br />
CILLS,<br />
UKZN, REC, other CAADP Pillar Lead Institutions,<br />
CGIAR,WB,<strong>WFP</strong>,IFAD,FAO,USAID,DFID, GTZ, NORAD)<br />
Workshop led to draft country action plans<br />
<strong>and</strong> roadmaps for short, medium <strong>and</strong> long<br />
term<br />
As part of this process some inter-agency<br />
assessment missions were foreseen<br />
38
Objectives<br />
Overall Objective is to develop a Country<br />
Action Plan that will include a<br />
Government/UN Appeal for short term<br />
assistance though consultative process<br />
with all involved (AU.....etc.)<br />
Country Action Plans<br />
Several dimension included in Plans:<br />
1) Humanitarian assistance: social safety<br />
nets<br />
2) Boost agricultural production (short term<br />
leading to longer term solutions)<br />
3) Policies to respond to high food prices<br />
4) Budget adjustment (assist countries)<br />
African countries: Burkina Faso,<br />
Mauritania, Sierra Leone, Madagascar<br />
(completed)<br />
(Ongoing), Somalia, Gambia<br />
others completed: Pakistan, Cambodia,<br />
Haiti, DPRKorea)<br />
Some under discussion<br />
Some lessons learned<br />
Very important to have presence of members of<br />
all partners to ensure maximum synergy<br />
Government commitment crucial<br />
Share information with all partners of findings of<br />
missions<br />
Challenge: how to merge CAADP process with<br />
ongoing actions of e.g. IFI ?<br />
Follow up in country essential<br />
Flexible <strong>and</strong> integrated in on-going<br />
programmes<br />
Thank you!<br />
39
NEPAL<br />
Market <strong>and</strong> <strong>Price</strong><br />
<strong>Impact</strong> <strong>Assessment</strong><br />
Siemon Hollema<br />
Nepal facts<br />
• Political perspective:<br />
- Emerging after a 10 yr conflict<br />
- Weak <strong>and</strong> ineffective government structures<br />
- Serious law <strong>and</strong> order problems<br />
- UNMIN mission<br />
• Economic <strong>and</strong> Development perspective<br />
- Heavily reliance on food <strong>and</strong> oil imports<br />
- Export restrictions imposed by India<br />
- <strong>High</strong> level of chronic food insecurity (41% undernourished) <strong>and</strong><br />
poverty (31%)<br />
- <strong>High</strong> share of expenditure on food (average 59%, poorest 73%)<br />
- Recurrent national disasters<br />
- Constraints in agricultural (accessibility, underinvestment,<br />
mechanization, seed <strong>and</strong> fertilizer use, irrigation)<br />
Objectives of the analysis<br />
Market <strong>and</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Analysis</strong><br />
• To quantify the magnitude of the<br />
recent increase in food prices.<br />
• To assess the future outlook in<br />
different parts of the country<br />
• To underst<strong>and</strong> the likely impact<br />
on household food security.<br />
• To make recommendations for<br />
government <strong>and</strong> humanitarian<br />
interventions.<br />
Methodology<br />
• Primary data:<br />
- FSMAS field monitors <strong>and</strong> NDRI enumerators<br />
- Market survey: 406 retailers <strong>and</strong> 193 wholesalers<br />
- Household survey: 611 households in market catchment areas<br />
- Rapid urban survey (216 households - 10 slum households <strong>and</strong> 2 relative<br />
better off households, 90 urban traders)<br />
• Secondary data:<br />
- Department of Agriculture, FNCCI, Nepal Rastra Bank <strong>and</strong> Ministry of<br />
Finance<br />
• Geographical coverage<br />
- 40 districts<br />
- 6 urban cities (Biratnagar, Birgunj, Nepalgunj, Dhangadhi, Kathm<strong>and</strong>u <strong>and</strong><br />
Pokhara)<br />
• 6 month recall<br />
- Prior to October 2007, food price increases were marginal<br />
- Pre-harvest period for paddy (highest prices of key commodities)<br />
- India introduced the export ban<br />
Findings<br />
• Seasonal price variation normally show a 11% <strong>and</strong> 5% drop in the<br />
price of rice <strong>and</strong> wheat flour during this time of year.<br />
• More substantial increase in wholesale prices.<br />
• Change on farm gate prices between 13 to 24% for paddy.<br />
• Immediately following the survey, fuel prices were increased by 25% or<br />
more.<br />
• Indian ban has pushed up prices in Nepal.<br />
‣ Substantial further price rise expectations,<br />
especially in urban areas.<br />
Wheat flour<br />
Lentil<br />
Coarse rice<br />
Cooking oil<br />
6 % 17 % 19 % 26 %<br />
Change in real (1995/96) retail prices<br />
<strong>Impact</strong> on household food security<br />
• Household food purchasing power has declined (term of trade ↓).<br />
• Shift in consumer purchasing behaviour.<br />
• Negative relationship between consumption intake, coping intensity<br />
<strong>and</strong> price increase.<br />
• Development of a food price vulnerability index:<br />
- L<strong>and</strong> access index<br />
- <strong>Food</strong> expenditure index<br />
- Income source index<br />
• Those with already unacceptable low consumption intake were<br />
identified for immediate support (2.5 million rural <strong>and</strong> 67,000 urban)<br />
Nepal: Rural urban<br />
Significant losers 42.2 % 9.7 million 525,000<br />
Marginal losers 41.2 % 9.5 million<br />
Marginal winners 14.3 % 3.3 million<br />
Significant winners 2.3 % 0.5 million<br />
40
Rural populations most at risk<br />
Recommendations <strong>and</strong> next steps<br />
• Set-up of joint market monitoring<br />
system (MoAC, <strong>WFP</strong>, FNCCI <strong>and</strong> CIPF)<br />
• <strong>Food</strong> security phase classification at<br />
district level<br />
• Targeted food assistance to 2.5<br />
million rural poor<br />
• Introduction of emergency nutrition<br />
programme in collaboration with<br />
UNICEF<br />
• Ensuring regular petroleum supply,<br />
address road obstructions <strong>and</strong><br />
resolve transportation syndicate<br />
dispute.<br />
• Address constraints in improving<br />
agricultural production, particularly in<br />
remote areas.<br />
‘Real-time’ programming<br />
• B/R for ongoing PRRO (<strong>Food</strong> Assistance to <strong>Food</strong> Insecure <strong>and</strong><br />
Conflict Affected Populations)<br />
- Budget increases from $54 million to $104 million<br />
- Caseload from 1.25 million to 2.5 million (CP <strong>and</strong> PRRO)<br />
- Expansion of area coverage<br />
• MoAC/<strong>WFP</strong> assessment <strong>and</strong> response in drought affected areas in<br />
Far- <strong>and</strong> Mid-West (caseload 286,000)<br />
• Pilot study on the implementation of a cash/voucher system in the<br />
Terai.<br />
• Provision of improved seeds through partnership with FAO<br />
• Targeted nutrition interventions with UNICEF (plumpy nut for acute<br />
malnutrition <strong>and</strong> supplementary feeding)<br />
• Addition of pulses into the food basket<br />
Lessons learned<br />
• Review of methodologies for<br />
impact of food prices on<br />
household food security <strong>and</strong><br />
estimation of caseload.<br />
• Guidance required on<br />
geographic targeting for food<br />
price hike responses (which<br />
areas? <strong>and</strong> who?)<br />
• FSMAS invaluable for<br />
preparedness <strong>and</strong> monitoring<br />
the ongoing situation.<br />
41
Liberia Joint <strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Assessment</strong><br />
Key Findings <strong>and</strong> Lessons Learnt<br />
<strong>High</strong> <strong>Food</strong> <strong>Price</strong>s <strong>Impact</strong> <strong>Analysis</strong> Workshop,<br />
Rome, 29-31 July 2008<br />
Claudia AHPOE<br />
Background<br />
• Liberia is in a recovery phase <strong>and</strong> still<br />
volatile to political instability<br />
• <strong>Food</strong>-deficit country national<br />
production only meets about one third<br />
of the consumption requirements<br />
• 49% of imports are for food <strong>and</strong> fuel<br />
• Rice is the number one staple food,<br />
followed by cassava<br />
• 66% of rural <strong>and</strong> 52% of urban<br />
incomes are spent on food<br />
• 25% of rural <strong>and</strong> 17% of urban<br />
incomes are spent on rice<br />
• Poverty rate: 63.6% (2007) If the<br />
rice price increases by 20%, rate<br />
increases to 67.9%<br />
100%<br />
90%<br />
80%<br />
70%<br />
60%<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
Locally produced versus imported rice<br />
58%<br />
42%<br />
44%<br />
56%<br />
92%<br />
8%<br />
99%<br />
1%<br />
National<br />
Rural<br />
Urban<br />
Monrovia<br />
Imported<br />
Locally<br />
produced<br />
• Objectives<br />
<strong>Assessment</strong> methodology<br />
– Analyze food price trends <strong>and</strong><br />
assess impact on HH food security<br />
– Identify response options<br />
• Focus of the analysis<br />
– Poor neighbourhoods in Greater<br />
Monrovia<br />
– Specific rural livelihood groups<br />
across Liberia<br />
• Timeframe<br />
– Mid June to mid July 2008<br />
• Stakeholders<br />
– Ministries of Commerce <strong>and</strong><br />
Agriculture, LISGIS, FAO, UNICEF,<br />
UNDP, <strong>WFP</strong>, ACF, Concern, DRC,<br />
GAA, SC UK<br />
• Team composition<br />
– Market specialist, VAM Officer,<br />
<strong>Food</strong>/cash/voucher expert<br />
– Representatives from MOA, LISGIS,<br />
FAO, DRC, SC UK<br />
• Methodology:<br />
– Secondary data analysis<br />
– Rapid HH survey in Greater Monrovia<br />
– Focus group discussions<br />
– Key informant interviews/group<br />
discussions<br />
– Trader interviews<br />
Key findings – Macro-level 1<br />
• Inflation is high <strong>and</strong> increasing: 13.4%<br />
in 2008<br />
• Trade balance is highly vulnerable to<br />
the price shock: It will deteriorate by<br />
16% of GDP Liberia is the single<br />
most affected economy in sub-Saharan<br />
Africa<br />
• The price for a 50 KG bag of ‘butter’<br />
rice has increased by 36% from May<br />
2007 to May 2008<br />
• Rice purchased by cup is 32% more<br />
expensive than by bag<br />
• Rice is 56% more expensive in the<br />
South-East due to high transport costs<br />
• At Nzerekoré, a 50 KG bag costs US$47<br />
compared to US$31 in Greater<br />
Monrovia (May 2008)<br />
• World market prices have not yet fully<br />
passed through to the consumer<br />
Key findings – Macro-level 2<br />
• An estimated 50,000 MT of butter<br />
rice is in stock bought at 490<br />
US$/MT FOB able to supply the<br />
market until mid Sep 2008<br />
• The current FOB price for the main<br />
used exporter is 800 – 825<br />
US$/MT FOB<br />
• 80,000MT of Chinese butter rice<br />
has been earmarked by the<br />
Chinese Government for Liberia at<br />
a reduced rate of 615 US$/MT<br />
FOB<br />
60.00<br />
50.00<br />
40.00<br />
30.00<br />
20.00<br />
10.00<br />
0.00<br />
26.05<br />
Nominal price development <strong>and</strong> projections<br />
(US$ per 50KG bag in Monrovia)<br />
28.31<br />
27.42 28.23 27.42<br />
31.61<br />
38.70<br />
Dec'07<br />
Jan'08<br />
Feb'08<br />
Mar'08<br />
Apr'08<br />
May'08<br />
Chinese negotiated price<br />
50.90<br />
Global market price<br />
Key findings – Micro-level 1<br />
• Absolute per capita<br />
cash expenditures<br />
have increased by<br />
about one-third<br />
compared to<br />
December 2006<br />
• Almost all<br />
households reported<br />
an increase in<br />
expenditure – mainly<br />
on food <strong>and</strong> fuel<br />
100%<br />
90%<br />
80%<br />
70%<br />
60%<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
6% 2%<br />
91% 96%<br />
Total<br />
Expenditure 2008 compared to 2007<br />
<strong>Food</strong><br />
8%<br />
90%<br />
Transport<br />
9% 12% 9%<br />
23%<br />
25%<br />
59%<br />
68%<br />
Education<br />
Expenditure<br />
64%<br />
Health<br />
31%<br />
Housing<br />
Decrease<br />
No<br />
change<br />
Increase<br />
42
Key findings – Micro-level 2<br />
• Households spend more on transport <strong>and</strong> basic<br />
food commodities <strong>and</strong> less on higher quality food<br />
commodities, health, education <strong>and</strong> housing<br />
100%<br />
80%<br />
60%<br />
40%<br />
20%<br />
0%<br />
-20%<br />
-40%<br />
-60%<br />
86%<br />
% Change in Key <strong>Food</strong> Expenditure (2007-2008)<br />
75%<br />
59%<br />
54%<br />
50%<br />
Fish Oil Rice Pulses Cassava Eggs Veg &<br />
fruit<br />
-16%<br />
-29%<br />
Other<br />
meat<br />
-40%<br />
Bush<br />
meat<br />
-55%<br />
140%<br />
120%<br />
100%<br />
80%<br />
60%<br />
40%<br />
20%<br />
0%<br />
-20%<br />
-40%<br />
-60%<br />
% Change in Key Non-<strong>Food</strong> Expenditure (2007-2008)<br />
113%<br />
Transport Education Health Housing<br />
-11%<br />
-18%<br />
-33%<br />
Key findings – Micro-level 3<br />
• Based on a food<br />
consumption/dietary<br />
diversity analysis, the<br />
proportion of households<br />
with poor or borderline<br />
consumption has increased<br />
• Households consume<br />
slightly more staple<br />
commodities but less<br />
protein sources, fruits,<br />
vegetables <strong>and</strong> oil<br />
0.5<br />
0.3<br />
0.1<br />
-0.1<br />
-0.3<br />
-0.5<br />
-0.7<br />
-0.9<br />
-1.1<br />
-1.3<br />
-1.5<br />
Greens<br />
Rice<br />
Bulgur<br />
100%<br />
90%<br />
80%<br />
70%<br />
60%<br />
50%<br />
40%<br />
30%<br />
20%<br />
10%<br />
0%<br />
<strong>Food</strong> consumption groups<br />
64%<br />
20%<br />
13%<br />
4%<br />
40%<br />
30%<br />
23%<br />
8%<br />
Dec 2006 Jun 2008<br />
Change (number of days eaten)<br />
Cassava/tubers<br />
Vegetables<br />
Beans, peas, lentils<br />
Fish<br />
Fruits<br />
Oil, fats<br />
White flour/bread<br />
Sugar<br />
Bush meat<br />
Good<br />
Fairly good<br />
Borderline<br />
Poor<br />
Other meat<br />
Eggs<br />
Key findings – Micro-level 4<br />
• Households with fewer<br />
sources of income<br />
• Households with<br />
debts/loans<br />
• Households with low<br />
asset ownership<br />
• Consume fewer meals<br />
per day<br />
• Skip days without eating<br />
• Purchase food on credit<br />
Lessons, gaps <strong>and</strong> recommendations<br />
Data collection, tools, expertise, coordination<br />
• Good baseline very important, ideal is a functioning FSMS<br />
• For “quantification” of impact, HH survey using r<strong>and</strong>om sampling most appropriate<br />
• Focus group discussion useful to assess general trends, perceptions <strong>and</strong><br />
mitigation strategies<br />
• Combination of VAM, market specialist <strong>and</strong> programme expert was successful<br />
• Partnership with Gov, UN <strong>and</strong> NGO partners key for coordinated response<br />
Response analysis<br />
• SWOT analysis <strong>and</strong> stakeholder validation workshop highly recommended<br />
• More guidance on intra-urban targeting<br />
• Chronically food insecure versus population more vulnerable to price shocks<br />
More/different analytical tools<br />
• Tools identified/st<strong>and</strong>ardized to “project” likely future impact of increasing prices<br />
• ToT analysis to be improved (“contextualization”)<br />
• Focus group discussion guide to be improved based on lessons learned<br />
43
Likely impact on Ug<strong>and</strong>an<br />
households of rising global food<br />
prices<br />
Dipayan Bhattacharyya<br />
1<br />
Total Population<br />
Population Growth<br />
rate<br />
Poverty Headcount<br />
P(1): Country Fact sheet<br />
3.4%<br />
Per capita GDP at<br />
Market <strong>Price</strong>s<br />
GDP growth rate at 9%<br />
current market<br />
prices<br />
Per capita GDP 5.5%<br />
growth rate at<br />
current market<br />
prices<br />
Contribution of 21%<br />
agriculture to GDP<br />
at market prices<br />
Inflation rate<br />
29.6 million<br />
Rural–32.4%<br />
Urban–13.7%<br />
UGX 21,000<br />
(USD 13)<br />
12.4% (food<br />
15 4%)<br />
• Surplus producer of maize; primary importer of<br />
rice <strong>and</strong> wheat; exporter of maize in the region<br />
• Main staples – Matoke (plantains), maize,<br />
cassava, sorghum <strong>and</strong> beans<br />
• Rice <strong>and</strong> breads are mainly consumed in urban<br />
areas<br />
LIVELIHOOD ZONES OF UGANDA<br />
N<br />
0 50 Kilometers<br />
LEGEND<br />
Fishing<br />
Maize-Pineapple<br />
Fishing-Tourism Maize-Gnuts<br />
Fishing-Salt Extraction Tea-Livestock<br />
Tea-Annual Crops<br />
Fishing Cassava<br />
Livestock<br />
Tobacco-Coffee<br />
Sorghum-Livestock Tobacco-Sugarcane<br />
Cassava-Livestock Tobacco-Cassava<br />
Maize-Livestock Horticultural<br />
Millet-Livestock Sugarcane<br />
Livestock-Rice Crop Production<br />
Livestock-Banana Mixed Farming<br />
Pastoral<br />
Arabica-Coffee<br />
Banana-Coffee<br />
Cotton-Simsim<br />
Banana-Annuals<br />
Banana-Maize The <strong>High</strong>l<strong>and</strong> Plateau<br />
Cassava-Coffee<br />
Protected Areas<br />
Cassava-Livestock-Cereal<br />
Pulses-Cassava Urban/Peri-urban<br />
Root Crop<br />
Rice-Millet<br />
Rice-Tobacco<br />
Rice-cotton<br />
2<br />
Sorghum-Pigeon peas<br />
Potato-sorghum<br />
P(2): Objectives of the analysis<br />
• Triggers - reports in the media, traders defaulting <strong>WFP</strong> tenders <strong>and</strong><br />
asking for higher prices An interagency team was formed that<br />
recommended that expressed the need for an assessment.<br />
The assessment has three objectives<br />
• Analyze current food prices in Ug<strong>and</strong>a <strong>and</strong> the future outlook<br />
• Assess the current <strong>and</strong> foreseen impact of high market prices on<br />
food security <strong>and</strong> welfare at the household level<br />
• Consider immediate, mid-term, <strong>and</strong> long-term response options to<br />
any negative impacts of rising global food prices on household<br />
welfare <strong>and</strong> food security<br />
The study was mainly national analysis of secondary<br />
data with some ground-truthing from HH <strong>and</strong> market<br />
surveys<br />
Time period – 1.5 months; Budget – USD25,000<br />
3<br />
P(3): Overview of the analysis<br />
• IFPRI led the study with support from <strong>WFP</strong>, FAO<br />
<strong>and</strong> UNICEF.<br />
• Governments participation was limited to one<br />
formal meeting, key informant interviews, data<br />
analysis (PMA secretariat worked with IFPRI)<br />
• Core research team was led by <strong>Food</strong> Security<br />
Analyst, with support from market specialist <strong>and</strong><br />
statistical analyst.<br />
• Data used – Ug<strong>and</strong>a National Household Survey<br />
2006, price data (Monthly-2000-08; weekly<br />
2007-08); Market Survey (traders interviews at 7<br />
regional markets); HH survey (in Northern<br />
Ug<strong>and</strong>a IDP areas)<br />
4<br />
EF(1): Determinants of high food<br />
prices, food availability<br />
• Rising global food prices should not directly affect<br />
access of Ug<strong>and</strong>an households to most important<br />
staples or significantly alter consumption<br />
patterns.<br />
– Should not see sustained, general significant food<br />
price rises in Ug<strong>and</strong>a.<br />
– However since January 2008, there has been a sharp<br />
upturn in prices, most notably for bean <strong>and</strong> maize<br />
– Ug<strong>and</strong>a is isolated from most global food markets.<br />
• Regional market more important than global market.<br />
• Several key staples for Ug<strong>and</strong>a are only traded locally.<br />
– Government does not need to act now to enhance<br />
access to food for Ug<strong>and</strong>an households.<br />
5<br />
• Karamoja <strong>and</strong> IDP population are important exceptions.<br />
• Adopt an alert wait <strong>and</strong> see stance<br />
EF(1): Why rising food prices in<br />
Ug<strong>and</strong>a<br />
• Rising fuel costs.<br />
– <strong>Food</strong> transport <strong>and</strong> processing costs have risen.<br />
• Kenya’s post-election turmoil.<br />
– Sharp reduction in planted area for long rains in<br />
Kenya.<br />
– Significant dem<strong>and</strong> now <strong>and</strong> expected for coming<br />
year.<br />
– Maize, in particular.<br />
• Southern Sudan <strong>and</strong> DR Congo are new<br />
sources of dem<strong>and</strong> for food from Ug<strong>and</strong>a.<br />
• Localized production problems.<br />
– Sequence of poor cropping seasons in Karamoja;<br />
6<br />
44
EF(2): Household Data <strong>Analysis</strong>:<br />
Net-buyers <strong>and</strong> net-sellers of food<br />
• Conceptually, food price rises benefit net-sellers<br />
of food; net-buyers are harmed.<br />
• Considering all foods:<br />
– Net-sellers: 16.2%<br />
– Net-buyers: 82.9%<br />
• Staples only:<br />
– Net-sellers: 29.9%<br />
– Net-buyers: 62.5%<br />
• These figures comparable to those found in other<br />
sub-Saharan African countries.<br />
7<br />
– However, need to be clear on definitional <strong>and</strong> data<br />
issues arising<br />
EF(2): Household Data <strong>Analysis</strong>: Sources of<br />
calories consumed – market or home<br />
production<br />
• Provides a different viewpoint from considering market transactions<br />
for food.<br />
– Less pessimistic with regards to food price rises.<br />
• For rural Ug<strong>and</strong>an households, access to calories primarily is<br />
through own production.<br />
– Urban households will see access to calories decline with higher prices.<br />
• Poor receive important amounts of food as in-kind transfers.<br />
Household Home<br />
grouping production<br />
National 49.2<br />
Rural 56.1<br />
Urban 11.4<br />
Poor 50.9<br />
Non-poor 48.7<br />
Purchased,<br />
consumed<br />
at home<br />
43.4<br />
37.0<br />
78.8<br />
37.7<br />
45.0<br />
Purchased,<br />
consumed<br />
elsewhere<br />
1.4<br />
0.8<br />
4.7<br />
0.3<br />
1.7<br />
Received Inkind,<br />
free<br />
6.0<br />
6.1<br />
5.1<br />
11.0<br />
4.6<br />
8<br />
EF(2): Household Data <strong>Analysis</strong>:<br />
Maize-consumers are vulnerable<br />
• Dem<strong>and</strong> from Kenya for<br />
Calories<br />
Prop. maize<br />
maize has depleted Ug<strong>and</strong>a’s<br />
from<br />
calories<br />
maize stocks.<br />
maize as<br />
from home<br />
– Stocks may recover with Population prop. all<br />
production<br />
coming harvest.<br />
group calories<br />
– However, Kenya dem<strong>and</strong> will National 16.1 36.2<br />
persist until 2009.<br />
Rural 16.3 41.0<br />
• Maize provides significant<br />
Urban 15.0 7.5<br />
share of calories for three<br />
Northern rural<br />
groups.<br />
(not IDP)<br />
8.4 42.5<br />
– <strong>WFP</strong> clients.<br />
IDP camp<br />
– Institutional populations.<br />
residents<br />
41.3 2.3<br />
• Schools, military, prisons,<br />
hospitals, etc.<br />
Karamoja 31.1 17.6<br />
– Urban poor.<br />
Poor 19.7 30.8<br />
• These groups require<br />
Urban poor 26.1 11.0 9<br />
continued & exp<strong>and</strong>ed Non-poor 15 1 38 0<br />
EF(2): EFSA Data <strong>Analysis</strong>: Net buyers <strong>and</strong><br />
net sellers of food among vulnerable HH’s<br />
• Vulnerable households<br />
surveyed in May 2008.<br />
– <strong>WFP</strong> client populations.<br />
– Asked to compare value<br />
(UShs) of food produced (not<br />
food aid) <strong>and</strong> sold in the<br />
market to value of food<br />
purchased in market, from<br />
traders, or in shops.<br />
• Largest proportion by far are<br />
net buyers.<br />
• However, higher proportion of<br />
net food sellers than seen in<br />
the general Ug<strong>and</strong>an<br />
population in 2006 Ug<strong>and</strong>a<br />
National Household Survey.<br />
– Puzzling finding.<br />
60%<br />
1%<br />
20%<br />
19%<br />
Significant net food sellers<br />
Similar levels of food sales & purchases<br />
Significant net food buyers<br />
10<br />
Did not sell or purchase<br />
EF(2): EFSA Data <strong>Analysis</strong>: Comparing food<br />
sales between 2008 <strong>and</strong> 2007<br />
• Respondents asked:<br />
– “Compared to last year at this<br />
time (March to May 2007), is<br />
the amount of food you<br />
produced (not food aid) <strong>and</strong><br />
sold this year:”<br />
• Lower sales, in spite of higher<br />
market prices for food.<br />
– May reflect poor harvest in<br />
some areas.<br />
– Or poor productivity as<br />
formerly Internally Displaced<br />
households restart their<br />
farming activities. Little<br />
marketable surplus.<br />
percent of households<br />
40<br />
35<br />
30<br />
25<br />
20<br />
15<br />
10<br />
5<br />
0<br />
Much less<br />
Somewhat less<br />
About the same<br />
Somewhat more<br />
Much more<br />
11<br />
EF(2): EFSA Data <strong>Analysis</strong>: Disaggregated<br />
net-buyers & net-sellers<br />
Kitgum - food secure<br />
Kitgum - borderline<br />
Kitgum - food insecure<br />
Kitgum - Transit<br />
Kitgum - Mother<br />
Kitgum - all<br />
Gulu - food secure<br />
Gulu - borderline<br />
Gulu - food insecure<br />
Gulu - Transit<br />
Gulu - Mother<br />
Gulu - All<br />
Pader - food secure<br />
Pader - borderline<br />
Pader - food insecure<br />
Pader - Transit<br />
Pader - Mother<br />
Pader - A ll<br />
National<br />
0% 20% 40% 60% 80% 100%<br />
Significant sellers<br />
Similar levels sales & 12<br />
net food of food purchases<br />
Significant net food buyers Did not sell or purchase<br />
45
EF(3): Recommendations<br />
• Be alert. Monitor for effects on households due to secondary price rise<br />
due to high regional dem<strong>and</strong> for Ug<strong>and</strong>a’s food crops.<br />
– Exp<strong>and</strong> vulnerability monitoring to poor urban <strong>and</strong> other marketdependent<br />
households.<br />
• But no restrictions on trade in food.<br />
– Producers can realize substantial benefits by supplying regional markets.<br />
– <strong>Food</strong> security of Ug<strong>and</strong>a’s neighbors dependent to some degree on trade<br />
in food from Ug<strong>and</strong>a.<br />
– Ug<strong>and</strong>a’s provision of part of its neighbors’ food requirements unlikely to<br />
significantly affect food security of most Ug<strong>and</strong>an households.<br />
• Address key data deficiencies:<br />
– Detailed agricultural production estimates. Critical for assessment,<br />
planning. Ug<strong>and</strong>a must collect this data.<br />
– Exp<strong>and</strong> trade monitoring to more closely consider DR Congo & southern<br />
Sudan trade flows.<br />
13<br />
• Possibility of adverse effects from rising food prices highlights lack of<br />
broad social protection systems in Ug<strong>and</strong>a.<br />
R(1): Lessons <strong>and</strong><br />
recommendations for future<br />
analyses <strong>and</strong> follow-ups<br />
• More time needed for the study a primary<br />
survey should be integral part of the assessment<br />
• Ug<strong>and</strong>a EFSA tool needs improvement<br />
• For P4P need to exp<strong>and</strong> FSMS to areas<br />
beyond <strong>WFP</strong> operations<br />
• Need to sit with other agencies doing similar<br />
study (possibly with smaller geographic focus)<br />
<strong>and</strong> undertake joint response analysis<br />
• Enhancing government’s capacity to collect,<br />
analyze, predict <strong>and</strong> respond to emerging crises<br />
because of rising prices<br />
16<br />
M(1): ‘Real-time’ programming<br />
• The study partially fulfilled the<br />
expectations of the programme staff.<br />
• While contextualizing the overall situation,<br />
the report fell short of highlighting the<br />
geographic <strong>and</strong> economic priorities <strong>and</strong><br />
number of people at risk of hunger due to<br />
rising prices.<br />
• Based on the recommendation of the<br />
study the CO proposes to pilot a social<br />
protection project, targeting low-income<br />
M(2): What worked <strong>and</strong> what<br />
didn’t?<br />
• The main need was to do a rapid national analysis <strong>and</strong><br />
underst<strong>and</strong>ing the linkages of the rising prices in Ug<strong>and</strong>a<br />
with that of the global trend <strong>and</strong> also to underst<strong>and</strong> the<br />
possible impacts on households the study adequately<br />
addressed these queries<br />
• A national primary survey could not be taken up, given<br />
time constraint possibly urban vulnerability is not well<br />
captured.<br />
• EFSA complimented the study with findings from the<br />
North (only IDP areas)<br />
• The study was presented in several forum <strong>and</strong> many<br />
agencies using the report (e.g., World Bank)<br />
• <strong>Food</strong> Security <strong>and</strong> Agricultural Livelihood Cluster is<br />
mobilizing a team from agencies <strong>and</strong> government to set<br />
a minimum st<strong>and</strong>ard for price/market monitoring for<br />
14<br />
15<br />
small holder farmers. information integration.<br />
THANK YOU!<br />
17<br />
46
<strong>High</strong> <strong>Food</strong> <strong>Price</strong> <strong>Impact</strong> <strong>Analysis</strong> Workshop<br />
Rome, 29-31 July 2008<br />
Pakistan Country Facts<br />
<strong>Food</strong> Insecurity <strong>and</strong> <strong>Food</strong> <strong>Price</strong> Hikes by Province<br />
Pakistan Country Facts<br />
<strong>Food</strong> Availability<br />
UN inter-agency food crisis<br />
assessment in Pakistan<br />
Methodology, Findings, Recommendations,<br />
Lessons Learned<br />
Presented by<br />
Cheng Feng, Liliana Balbi, Wolfgang Herbinger<br />
• Increasing wheat import gap (national balance sheet)<br />
– Biggest factors: informal flows across border, substitution effect<br />
– Government underestimated import gap<br />
• Declining capacity to import<br />
• Drastic increase in inter-provincial disparities<br />
– Supply problems in western provinces<br />
Pakistan Country Facts<br />
<strong>Food</strong> Access<br />
• Increasing food poverty levels - from 23% to 28%<br />
• <strong>Food</strong> price hikes perceived as shock, particular urban areas,<br />
however most vulnerable are rural poor<br />
• Increasing regional disparities in terms of trade (wheat/wage)<br />
Pakistan Country Facts<br />
<strong>Food</strong> Utilization <strong>and</strong> Non <strong>Food</strong> Expenditures<br />
• Declining diet diversity<br />
• Declining access to health<br />
• Pressure on education<br />
= Squeezing of non-food<br />
expenditures<br />
70.0<br />
2.8 4.1 7.4<br />
5.3<br />
4.6<br />
3.0<br />
3.4<br />
Energy for cooking<br />
Electricity<br />
Health<br />
Education<br />
Transport<br />
Clothing <strong>and</strong> shoes<br />
Other non-food expenses<br />
<strong>Food</strong> Expenditure<br />
• Inter-agency:<br />
<strong>Assessment</strong> approach<br />
<strong>WFP</strong> (lead), FAO, UNICEF, WHO, UNDP, UNESCO<br />
• Objective:<br />
Assess impact of food price hikes on food security, nutrition <strong>and</strong> health<br />
<strong>and</strong> recommend response for affected population, agriculture <strong>and</strong> trade<br />
• Data collection <strong>and</strong> analysis:<br />
– Rapid survey (18 districts, 322 households, 39 traders, markets …)<br />
– Key informants, mission briefing meetings with stakeholders<br />
– Modeling of secondary data<br />
• SEE DETAILED FAO PRESENTATION<br />
47
Determinants of high food prices<br />
<strong>Impact</strong> on Household <strong>Food</strong> Access<br />
Recommended responses<br />
• Wheat prices up by 53-98 percent compared to 2007<br />
• Global market pass-through effect initially mitigated (heavy<br />
Government role in wheat market)<br />
• However policy of low domestic prices not sustainable<br />
(need to move from general subsidies to targeted safety nets)<br />
• <strong>Price</strong> shock made worse by inter-provincial export bans<br />
• Wheat price expected to rise further<br />
• Regional disparities likely to stay high<br />
(until supply situation in Afghanistan improves)<br />
• Increasing population share =28% below lowest food<br />
security poverty line 1,700kcal/day<br />
• Poor households cope by reducing food<br />
intake/diversity, less expenditure on health<br />
• <strong>Food</strong> sales <strong>and</strong> credit for retail traders fell while<br />
wholesale trade/millers profit margins increased<br />
• Most affected by price hikes are agricultural workers,<br />
petty traders <strong>and</strong> service sector employees<br />
• Protect livelihoods of most food insecure households<br />
(approx. seven million)<br />
• Cash transfers, emergency food assistance,<br />
peoples work programme<br />
• Prevent deterioration of nutritional situation <strong>and</strong><br />
educational gains<br />
• Targeted input subsidies for small farmers<br />
• Wheat procurement at competitive market prices<br />
<strong>and</strong> domestically non-restricted movement of wheat<br />
“Real-time” programming<br />
– Main findings <strong>and</strong> recommendations accepted by<br />
Government <strong>and</strong> will contribute to shape national<br />
food crisis response (wheat import plans, wheat price policy,<br />
targeting of safety net)<br />
– <strong>Assessment</strong> process triggered response planning<br />
of UN agencies <strong>and</strong> one donor<br />
ASSESSMENT – PROGRAMME RELATIONSHIP<br />
IS NOT LINEAR BUT INTER-ACTIVE AND MESSY!!!<br />
– Based on assessment findings <strong>and</strong> recommendations<br />
one major donor earkmarked funds for <strong>WFP</strong> safety<br />
net intervention<br />
What worked? What didn’t?<br />
• Methodology:<br />
– Inter-Agency <strong>Assessment</strong> enhanced credibility <strong>and</strong> attention<br />
– Mix of rapid household/market survey <strong>and</strong> modeling secondary<br />
data gave more robust <strong>and</strong> representative results<br />
– <strong>Analysis</strong> enables district level but not household targeting<br />
• Support/Partners:<br />
– HQs support providing competent mission leader was critical<br />
– Partnership with FAO allowed modeling of secondary data<br />
– Partnership with six agencies was painful but still worthwhile<br />
Lessons <strong>and</strong> recommendations for future<br />
• Data sources, sampling, collection, analysis, partners:<br />
– Access to/use of national statistics (HIES, prices) critical for<br />
secondary analysis <strong>and</strong> modeling<br />
– Trained team of enumerators enhances speed <strong>and</strong> data quality<br />
– Sensitization/engagement of stakeholders critical for ownership<br />
<strong>and</strong> acceptance of assessment … (process important!)<br />
– Still missing: tool for household targeting other than means test<br />
• Response analysis:<br />
– Most essential: Magnitude <strong>and</strong> cause of need, forecast next 6-12<br />
months, geographic area, demographic/livelihood status<br />
– Response options: take stock <strong>and</strong> evaluate existing plans,<br />
review responses nobody thought of (rare), attention to power <strong>and</strong><br />
institutional dynamics (efficiency not only criterion)<br />
• <strong>Price</strong> impact analysis:<br />
– Modeling essential for representative findings <strong>and</strong> forecasting<br />
– Rapid survey for groundtruthing/assessment of coping behaviour<br />
48
Follow-up<br />
• Monitoring:<br />
– Quarterly sentinel site based monitoring of food security/<br />
nutrition/ health/ school retention (inter-agency)<br />
– Enhanced market analysis through monitoring of rural market<br />
prices <strong>and</strong> cross-border trade (Afghanistan)<br />
– Output monitoring of planned <strong>WFP</strong>/UN agencies interventions<br />
• Next steps:<br />
– <strong>Assessment</strong> of medium- to long-term response needs with<br />
major focus on agricultural <strong>and</strong> trade policies (lead FAO)<br />
– Refinement <strong>and</strong> testing of price impact model (inclusion of a<br />
non-cereal food items, non-food expenditure?)<br />
49