1. 20 October 2003IFAPER WS 1 Agricultural Development in Cambodia and the IFAPER V. Bruce J. Tolentino Economic Policy Adviser ADB TA 3721-CAM Supreme National Economic Council (SNEC) Office of the Prime Minister, Cambodia

2. 20 October 2003IFAPER WS 2 What does IFAPER say re Cambodia’s agri sector performance? (1) Policy and Planning ExpenditureOutput/ Outcome Ag- ri- cul- tur e  Though NPRS makes progress in sector planning, sector lacks coherent pro- poor policy framework linked to budget.  Sector is under- funded.  Shift from wage spending to research has reduced allocative efficiency.  Sector spending not targeted to poor, regional depts. are resource-deprived.  Low levels of funding & inefficiency of spending constrain both broad-based econ growth, poverty reduction.  Lack of sector monitoring makes impact evaluation difficult.

3. 20 October 2003IFAPER WS 3 What does IFAPER say re Cambodia’s agri sector performance? (2)  IFAPER’s take is generally negative.  Summary assessment is quite sweeping.  Does not provide much in concrete recommendations on actions and policies.

4. 20 October 2003IFAPER WS 4 IFAPER does support RGC that agri sector dev’t crucial to growth, poverty reduction  Agri forms base of economy and employment.  Agri productivity & growth ensures food security, moderates wages, creates jobs & supports non-agri competitiveness.  Non-traditional agri products have good export potential.

5. 20 October 2003IFAPER WS 5 Crucial Challenge: PRIORITIES & FOCUS!  Out of all the many tasks, functions and duties of RGC, MAFF & MOWRAM, now & continuously, what are the essential services, interventions & expenditures to ensure sustained agri growth and productivity?

6. 20 October 2003IFAPER WS 6 Key lessons from international experience: The essential elements: 1. Farmers, fisherfolk, traders allowed to freely respond to market signals with minimal gov’t intervention. 2. Gov’t focus on crucial public goods in key geographical areas: peace, irrigation, roads, ports, production technology, liberal trade and macro policy. 3. Secure property rights.

7. 20 October 2003IFAPER WS 7 Implications of lessons 1. Must focus on key geographic area(s). 2. Key MAFF task: production technology and extension. 3. Key MOWRAM task: irrigation (esp. farmer-owned), flood control. 4. RGC role: peace & good governance, investments in key agri roads, ports & overall market-oriented, liberal economic policy.

8. 20 October 2003IFAPER WS 8 Recent initiatives along correct lines:  Agri Sector Devt Program: focus on extension, agri SMEs, land mgmt, privatization of rubber firms, KAMFIMEX, AIC.  Focus on Tonle Sap zone and fisheries R&D.  Continuing investments in roads, ports that support agribusiness.