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Crop Diversification in the Asia-Pacific region - United Nations in ...

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Table 3. Estimated Value of Paddy Fields Accord<strong>in</strong>g to <strong>the</strong> Substitutive Cost Method(Billion Yen)Function Benefits Estimated Value (Yen)Function of Prevent<strong>in</strong>g Flood Mitigat<strong>in</strong>g <strong>the</strong> damages caused by floods 1,952.7Function of Foster<strong>in</strong>g WaterResourcesFunction of Prevent<strong>in</strong>g SoilErosion and LandslideFunction of Soil PurificationFunction of Preserv<strong>in</strong>g RuralLandscape and RecreationalAmenitiesFunction of Air PurificationSupport<strong>in</strong>g steady water flow and<strong>in</strong>expensive ground water supplyMitigat<strong>in</strong>g <strong>the</strong> damages caused by soilerosion and/or landslidesReduc<strong>in</strong>g <strong>the</strong> cost of waste treatmentsuch as food leftoversValue of visits by urban <strong>in</strong>habitantsAbsorb<strong>in</strong>g contam<strong>in</strong>ants and purify<strong>in</strong>g<strong>the</strong> air739.847.24.51,711.6171.7Total Environmental Externalities 4,627.5The values of Table 3 are based upon "Research on <strong>the</strong> Environmental Externalitiesof Paddy Fields", Mitsubishi Research Institute, March 1991, and estimated aga<strong>in</strong> with aconsideration to changes of <strong>the</strong> unit cost and <strong>the</strong> o<strong>the</strong>r data after <strong>the</strong> publication of <strong>the</strong> abovementionedresearch.5. CHALLENGES, OPPORTUNITIES AND PROSPECTS OF CROPDIVERSIFICATIONDur<strong>in</strong>g <strong>the</strong> last decades, policy makers and agricultural scientists have struggled todevelop policies and technologies to meet Japan’s transformation <strong>in</strong> its socio-economicstructure. A forward-look<strong>in</strong>g strategy for crop diversification is needed for this evolv<strong>in</strong>gsociety and rapidly <strong>in</strong>tegrat<strong>in</strong>g world economy.5.1 Food IndustryAn overview of <strong>the</strong> food supply system from farmers to food <strong>in</strong>dustries <strong>in</strong>dicates that<strong>the</strong> agriculture and fisheries market of 16.2 trillion Yen recorded 80.4 trillion Yen <strong>in</strong> <strong>the</strong> f<strong>in</strong>alconsumption stage after gradually add<strong>in</strong>g to its value over <strong>the</strong> course of time from <strong>the</strong>process<strong>in</strong>g stage to <strong>the</strong> distribution stage. In more specific terms, 20 percent went toperishable foods, 50 percent to processed foods, and 30 percent to eat<strong>in</strong>g out meals. While<strong>the</strong> percentage of perishable foods has been decl<strong>in</strong><strong>in</strong>g, those of processed foods and eat<strong>in</strong>gouthave been <strong>in</strong>creas<strong>in</strong>g.The food <strong>in</strong>dustry and agriculture have been closely <strong>in</strong>ter-l<strong>in</strong>ked through <strong>the</strong> supplyand demand flow of raw agricultural products. In recent years, however, food imports for <strong>the</strong>56

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