Patrus Ananias de Sousa Citizenship and Social Inclusion: Compromise to reduce social inequalities, poverty and hunger in Brazil Patrus Ananias de Sousa Minister of Social Development and Fight against Hunger Brazil International Conference “Taking Action for the World’s Poor and Hungry People“ Beijing, China October 17–19, 2007

BRAZIL Population: 186 million inhabitants Territory: 8.5 million km² 26 states and the Federal District / 5,564 municipalities GDP (2006): US$ 1.2 trillion Two problems that are historically persistent and related: High percentage of people living in poverty: Poverty rate: 19.3% (2006) Income concentration: Gini index (2006): 0.562

Zero Hunger Federal Government strategy which ensures the Human Right to Adequate Food: Articulates various programs and actions; Allows a better synergy among Public Policies; Creates the basis for promotion of food and nutrition security; Contributes for the eradication of extreme poverty and the promotion of citizenship sense for the population which is most vulnerable to hunger; Articulates structuring and emancipatory actions with urgent measures that ensure rights, facing the false dichotomy between structuring vs emergency policies; Encourages civil society’s participation and control on elaborating and monitoring social policies; Focuses on families, giving special attention to the territoriality issue;

The Ministry of Social Development and Fight against Hunger - MDS Implementation and consolidation of the Single Social Assistance System (SUAS) and the National System of Food and Nutrition Security (SISAN); Transfer of financial / income benefits to families living in poverty (Bolsa Família Program and Benefits to Elderly and Disabled People); Implementation and consolidation of a network for social assistance and food and nutrition security services to families; Creation of opportunities to families. Budget for 2007: US$ 13 billion

Implementation and Consolidation of the Single Social Assistance System (SUAS) Consolidation of Social Assistance as a State Policy with the implementation of the Single Social Assistance System – SUAS: New organization model for the social assistance services offered; Management of the social assistance policy in an unified manner all over national territory; System built upon different levels of complexity: Reference Centers for Social Assistance (CRAS) –- constitutes the basis which organizes the Basic Social Protection and articulates the actions targeted to poor families; At more complex levels, differentiated centers for cases of violation of rights, such as child labour and sexual exploration of children and adolescents, and for taking care of the most vulnerable population, such as elderly, disabled and homeless people, poor children etc.

National System of Food and Nutrition Security – SISAN The right to adequate food is institutionally ensured by joint actions undertaken by the three levels of government and civil society, enforced by the Organic Law of Food and Nutrition Security – LOSAN, which implements the National System of Food and Nutrition Security – SISAN; The National System of Food and Nutrition Security integrates policies which allow the Brazilian population to have access to quality food, regularly and in adequate quantity. The State has to be involved in food production, commercialization and storage, and has to promote food education e guarantee access to water and food, among other actions.

National System of Food and Nutrition Security – SISAN SISAN includes, among other actions: Policies targeted to strengthening family agriculture (financing, technical assistance and guarantee of purchase) Local installations to facilitate food and water access (popular restaurants, food banks, community kitchens, cisterns); Other policies, such as rural and food storage policy, rural reform, school meals, healthy food. It consolidates the participation of civil society by means of the National Council on Food and Nutrition Security – CONSEA (18 Ministers of State and government representatives, and 36 representatives of civil society) and the National Conferences on Food and Nutrition Security Partnership and integration among Ministries, federative entities, civil society and private enterprises.

Income Transfer for Elderly and Disabled People Continuous Benefit – BPC (SUAS and SISAN) The Continuous Benefit – BPC pays a monthly minimum wage (around US$ 190) to 2,5 million elderly people above 65 of age and disabled people who earn a per capita family income of less than US$ 47 and who are unable to work. The budget for 2007 is US$ 5,8 billion

Income Transfer to Poor Families Bolsa Família (SUAS and SISAN) Is a cash transfer program with conditionalities on health and education which benefits 11.1 million poor families, who have a monthly income less than US$ 60 per capita; Articulates the strategy for social development and fight against hunger, focusing on poor families all over national territory; Transfers, per family, a monthly average of US$ 36.00; After the extension of age limit for children of the benefited families (up to 17 years old), to be implemented in 2008, the benefit for each family can reach up to US$ 88.00 per month; Budget for 2007: 4.6 billion dollars.

Income Transfer to Poor Families – Bolsa Família (SUAS and SISAN) Ensures the access to “social minimums”, such as food and other basic goods (income); Counterparts on health and education help to break the intergenerational poverty cycle; Free resource utilization by the families promotes their development Integration with other actions, expanding families´ social rights

Results: Impacts on Food and Nutrition Security The benefit received by families is used mainly to purchase food: 9 in each 10 families reported improvement on their eating habits; 7 in each 10 said that they increased the variety of food consumed; 9 in each 10 beneficiary children eat 3 or more meals a day.

Results: Increase of Families’ Purchasing Power and Impacts on Local Development and Regional Inequalities Researches show positive impact on regional and local economies, creating new opportunities for work and income generation Bolsa Família increases the family income by 29.2 % (in Northeast region, 34.4%) 57% of the population living in the driest and poorest areas of the country are benefited by Bolsa Família Program.

Results: Reduction of Income Inequality Levels Evolution of per capita family income inequality in Brazil among years: Gini coefficient 0.650 0.640 0.634 0.630 0.623 0.620 0.612 0.615 0.610 0.604 0.602 Coeficiente de Gini 0.599 0.600 0.598 0.600 0.596 0.593 0.594 0.600 0.593 0.599 0.590 0.592 0.589 0.588 0.587 0.587 0.581 0.580 0.582 0.580 0.570 0.569 0.566 0.560 0.550 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 Fonte: Estimativas produzidas com base na Pesquisa Nacional por Amostra de Domicílios (PNAD) de 1976 a 2005, porém nos anos 1980, 1991, 1994 e 2000 a PNAD não foi a campo.

Results: Achieving Millennium Development Goals Brazil has already achieved the goal #1 (reducing extreme poverty by 50% until 2015), established by the Millennium Summit In 1992, 11.7% of the population earned less than 1 dollar a day In 2006, this percentage achieved 4.7% Between 2003 and 2006, poverty levels were reduced by 31.4% In 2003: 28.17% of the population were below poverty line; In 2006: 19.31% of the population were below poverty line; 14 million people overcame poverty during such period.

Results: Economic Growth with Justice and Social Inclusion Brazil’s economy has been growing, benefiting everyone, especially the poorest. In 2006, compared to 2005: The Brazilians’ income had an average 9.16% increase The poorest 40% had a 12% increase The richest 10% had a 7.85% increase

Challenges In Brazil, although the economy has been growing and benefiting everyone, and the percentage of poor people is the lowest in 15 years, the number of families in poverty is still high; According to 2006 Human Development Report (UNDP), Brazil was ranked among the 10 most unequal countries in the world, despite the improvements achieved; Thus, it is necessary to push forward economic growth with income distribution and social inclusion; In order to do so, we still need to progress towards institutionally consolidated policies, focused on families and territories, and try to achieve the goals of universalizing social protection and promotion, and ensure food and nutrition security. Poor people demand more investments. This requires more commitment when integrating social politics, clear goals, transparency, provision of accounts and program assessments.

Thank you! Patrus Ananias de Sousa Minister of Social Development and Fight against Hunger Brazil e.mail: ministro.mds@mds.gov.br www.mds.gov.br www.fomezero.gov.br + 55 (61) 3433-1241