1 Science and Technology in Agriculture – Creating new synergy and stronger partnerships between the World Bank, CGIAR, and NARS Sushma Ganguly, The World Bank, Washington D.C.

2 Presentation Outline: Why Science and Technology? The context is changing: Global integration Societal demand Shift in financing: public and private Issues for consideration

3 Science and Technology - for What? Agricultural productivity and income growth Important component of rural poverty reduction Food security and nutrition — global, national Availability Access Utilization Natural resources conservation

4 Changes in Societal Context for Food and Agriculture Globalization of food systems: Food safety Product quality and post-harvest issues Trade, IPRs, International Standards. Environmental concerns Biosafety, Biodiversity “ Green trading ” Social and ethical concerns Animal welfare, bio-piracy

5 The Context of Agricultural Technology Key role of agricultural productivity growth - engine of growth, poverty reduction, competitiveness, environment Agricultural production more knowledge- and skill-intensive => changing technological needs Rapid advances in science, especially the new biotechnologies and information technologies

6 Changes in the Societal Context of Science Globally Shifts in the funding and organizations for agricultural R&D Private sector involvement growing rapidly Pluralistic R&D systems with much agricultural R&D outside of the sector Stagnant and irregular public funding Traditional role of CGIAR – based primarily on staple crops – what about high value-added products? – production for the market?

7 Context: Agricultural Research Systems in Developing Countries Lack of financial sustainability Critical shortage of operating costs Complete dependence on public budget Low salaries and loss of quality scientists Supply Driven Lack of stakeholder participation and accountability Impacts narrowly based Weak in focusing on the needs of poor farmers Unable to respond to change New science, new agenda, new actors

8 Agricultural Research Requires a Mix of Approaches Agro-ecological approaches Social science and policy research Conventional breeding Biotechnology (with IT)

9 Why Should the Bank be Concerned? Largest donor/investor in agricultural R&D Modest support to biotech in lending Increasing requests for support Largest supporter to CGIAR IFC support to new industries in several countries Role in global partnerships

10 Total Loan Commitments in the Research and Extension Portfolio, 2002

11 Regional Distribution of Total Research and Extension Portfolio In FY02

12 Trends in Lending for Agricultural Research and Extension

13 Trends in Lending for Research and Extension,

14 Types of Organizations in a Research System Public Ministries--Agric., S&T, Environment Agricultural research institutes Federal, national, or local Universities--General and agricultural Private for profit Agri-business Private not-for profit Foundations, NGOs, Universities

15 The Growing Role of Private R&D Determinants of Private R&D General economic policies Policies on technology importation and release Regional integration Strong public sector R&D Strengthening of the legal environment (e.g. IPRs)

16 Public and Private Agricultural R&D Investment,

17 Agricultural Research Intensity by Region: Public Sector Only Source: Pardey and Beintema, 2001

18 Intensity of Investments in Agricultural R&D, 1995 Source: Pardey and Beintema, 2001

19 Major Issues for Future Partnerships in R&D Facilitate private investment in R&D Focus of public funding on public goods Focus public research on natural resources, less favorable areas, and neglected crops Institutional pluralism in research execution Allocate funding through competitive grants Diversification of funding sources for public institutes Increase client participation

20 The Future: Increased Focus on Poverty Integrate socio economic knowledge in designing technology for poverty alleviation Establish database for monitoring change in rural space - Rural development is more than growth in agriculture Link research on agriculture with other scientific services: health, education, and infrastructure Remove boundaries between research disciplines Integrate universities in NARS Increase focus on farm incomes and not just production

21 The Future: Knowledge-Based Agricultural and Rural Growth Natural resources – finite Growing scarcity of land and water Diminishing returns to external inputs Human ingenuity – unlimited? Substitution of knowledge for resources and inputs How to secure an enabling environment to unleash the potential of S&T in agriculture?

22 CGIAR/WB Collaboration Bank loans for agricultural research to support country membership in the CGIAR (Brazil) Several countries used loans to contract CGIAR centers for TA or collaborative research, for e.g. In Africa ISNAR for capacity building In Asia CIMMYT, IRRI research programs with NARS on rice-wheat systems In Latin America, national organizations and a CG center successfully obtained competitive grants set up with Bank loans IFPRI, ICRISAT, ICAR, Bank study of rainfed agriculture in India

23 CGIAR/WB Collaboration Future collaboration Staff exchanges between the Bank and CG centers Joint agriculture sector analysis Sharing of knowledge, information and data on rural poverty, crop productivity and diversification Is the current structure/focus of CGIAR ready for new challenges?