1. Food security is defined as a situation that exists when all people, at all times, have physical, social and economic access to sufficient, safe and nutritious food that meets their dietary needs and food preferences for an active and healthy life. It is basically determined by household income, availability of food and diversity of food sources. This means that food security is influenced by among others, economic growth, equity in income distribution, diversification of production, import capacity, agricultural sustainability and incidence of natural and man-made disasters.

2. Food security can be examined at the household, national and international levels. At the household level, family income, access to public distribution assistance and diversity of food sources are of paramount importance. Any initiative and enterprise that raises the level of household earnings and extends the range of foods especially protein-rich foods in developing countries will alleviate poverty and improve food and nutrition security. The livestock sector in Asia and the Pacific present much potential for such employment and income generating enterprises. While there will be growth in capture fisheries, employment in the sector is not likely to expand. Additional employment will be created in the aquaculture sector, where growth will continue to be high.

3. In Asia, the livestock and fishery sectors are undergoing rapid changes due to population growth, rising incomes and urbanization. These sectors are increasing by 3.3 and 4.0 percent per annum respectively, compared with 1.4 percent per annum for crop production. Their growth rates in Asia as a whole, outpaces those of other regions of the world. But within the region, performances varied among countries and sub-regions. This is because of the varying availability of resources, agro-ecosystems, culture and climate among them.

4. Livestock and fisheries industries can have both a positive and a negative impact on food security at all levels of society within a country and internationally. It is predicted to grow with the unprecedented industrial development in Asia. A thorough understanding of the impacts is essential to enable elimination of the negative consequences and build on positive ones to achieve better nutrition and alleviate poverty. The major issues relating to development of the fisheries and livestock sectors for poverty alleviation and food and nutrition security are examined in this paper.

5. An analysis of aggregated statistics for food consumption in Asia and the Pacific and on a global scale gives an indication of the trends in its overall supply and demand. However, these figures are not able to show differences in the role and importance of various types of food to various population groups, such as the urban and rural, the wealthy and poor. An appreciation of these differences is crucial for developing appropriate national policies that balance competing needs such as the alleviation of rural poverty and feeding a rising urban population. As such, development and support strategies for smallholder production systems are diverse. They can range from supporting agricultural diversification in rural areas to enhancing industrial livestock and fish production for urban markets or for export.

6. Small-scale producers supply the vast majority of animal protein consumed in South Asia, and an estimated 235 million of the rural poor are dependent on the livestock sector for a living. Thus, it is of paramount importance that the region successfully translates the projected demand for this sector into genuine and sustained opportunities for economic development. Despite significant economic growth over the past decade, the Region saw an increase of nearly 75 million people who lived on less than one US dollar a day. It would, therefore, be unrealistic to assume that the mere involvement of the rural and landless poor in the livestock and fisheries sectors will be sufficient for them to achieve some degree of economic progress.

7. In 1990, 84 percent of the world's full-time fishers lived in Asia (9 million in China, nearly 6 million in India and 4 million in Vietnam, Indonesia, Bangladesh and the Philippines). In sparsely populated Oceania, the fishing sector provides employment for only about 1 percent of the world total, but they form a significant part of the economically active population engaged in agriculture, and fish harvested from the sea is crucial for ensuring the food security of the countries’ population. In this sub-region (e.g. Small Island States of the Pacific), increased dependence on imported canned meat products combined with insufficient attention to traditional small-scale fisheries has led to impoverished diets and increased vulnerability. It is important to note that these global figures represent only full-time fishers and there are, in fact, many more people for whom part-time fishing comprises a vital component of their livelihood.

8. For many, fishing is a seasonal or part-time occupation, peaking during months of the year when riverine, coastal and off-shore resources are more abundant or available, or when other occupations are incidental or unavailable. This is especially true of those who fish migratory species or are dictated by seasonal weather variations. In 1990, fishers represented more than 5 percent of the economically active population in agriculture in 38 countries, of which 15 had a higher than 10 percent figure. However, data for employment in fishing and fish farming cannot be taken as the sole indication of the importance of fisheries to the national economy. National statistics for both fishers and the economically active population in agriculture may often hide the real importance of fisheries and aquaculture in providing local employment opportunities and forming the backbone of the coastal livelihoods.

9. The role of fish in nutrition exhibits marked regional and national differences. For example, in 1997, the per capita fish supply in Oceania was 19.9 kg and in Asia it was 17.9 kg. Asia’s consumption comprised two-thirds of the world’s total of 93.8 million tonnes. Fish proteins are essential in the diet of some densely populated countries, where the absolute intake level may be small. For example, close to 50 percent of protein is derived from fish consumption in Bangladesh, the Democratic People's Republic of Korea, Indonesia, Japan, Cambodia and the Republic of Korea.

10. Nowhere is the demand-driven growth of intensive and industrialized livestock production systems more apparent than in East Asia. The most notable example can be seen in China’s pig sector and the associated feed industry. Trends in pig and poultry production in this country show expanding production, due largely to the increasing number of animals. Growth in the domestic production of red meat (beef and mutton) tends to lag behind that of demand, as reflected in the net import of these products. There is, however, a dramatic decline in milk import.

11. Following the 1997 economic crisis, many lower income countries were forced to cope with the state’s decreasing role in the economy, while at the same time, striving for enhanced regulation and competitiveness. FAO projections for the livestock sector foresee a sustained growth in the demand and production of this sector’s products over the next 30 years. Growth in its per capita consumption remains significant, with increases in the consumption of poultry, pork and dairy products, and in the case of China, beef, being the most notable.

12. Although parts of the Asia Pacific region saw substantial development of industrial livestock production, sizeable investment and policy-aided intervention to promote this industry, the demand for its products by large segments of the market continue to be met by a vast network of small-scale producers. In fact, a partial reduction of the number of people in the region living on less than one US dollar a day, was made possible by the ability of smallholder livestock producers to take advantage of existing market opportunities. These developments had, however, by-passed the majority of the poor, and an estimated 125 million livestock-dependent people in the region remain in abject poverty. It is thus the priority concern of Asia and the Pacific to adopt measures that translate the continued demand-led growth in the agricultural sector, in which the poor already has an extensive stake, into reality.

13. In South Asia, milk production dominates the livestock industry, while the per capita output of meat and egg is less. This reflects the cultural and religious influences of the industry’s production and consumption pattern that is reinforced by protective import policies. Most countries in the region have domestic policies that effectively favour the urban and manufacturing sector, rather than the rural and agricultural segments of the economy. Falling milk import as a proportion of its production since the 1980s, despite increasing demand, indicates strong growth in domestic production. Industrialization of the poultry sector has occurred at a relatively slow pace and previous increases in demand were met largely by a rise in animal numbers rather than in productivity. Although the production and import of coarse grain for feed is predicted to increase, the growing demand for poultry meat is likely to be met primarily by import.

14. Unlike the rest of South Asia, India was a net exporter of all animal products in 1996, particularly of beef and poultry meat, due largely to increasing animal numbers in the period from 1969/71 to 1979/91, and in the off-take rates from 1989/91 to 1997/99. Nevertheless, the decreasing reliance on milk import to meet domestic demand would, in all probability, be reversed because the tariff on dairy import is predicted to drop by 70 percent.

15. The need for sufficient and affordable supplies of animal products to urban centres is driving countries in the region to protect and subsidize larger scale livestock operations near cities. This practice constitutes a considerable stimulus for the development of urban income-generating aquaculture and livestock enterprises. However, it is the majority of the middle class who benefits from these increased market supplies. Consumption of livestock products by the lower income group has generally not expanded despite such expansion.

16. Close to one third of fish landed by capture fisheries worldwide is processed into fish meal and oil. During the 1990s each year between 25 and 30 million tons were so used. Small pelagic fish make up a large proportion of the fish used. Fish meal is not consumed directly as human food. It is used mainly to produce animal feeds, a large part of which is used by livestock and aquaculture industries. Considerable work is being done, particularly in the aquaculture and feed mill industries, to find replacements for fish meal and fish oil.

17. As individual livestock and aquaculture enterprises increase in size the employment per ton produced generally falls. However, at least in the aquaculture sector production growth is achieved more by a growing number of enterprises than by consolidation and growth of individual enterprises. So overall employment is likely to grow. In addition there will be creation of jobs in the processing and marketing industries. The technologies (genetics, feeding and animal health) required to boost livestock and aquaculture productivity are usually not scale neutral, as they provide higher returns per unit of input for larger size production enterprises. In addition, their location near or in urban centres reduces transaction costs, thus making it more difficult for remote smallholder farmers to compete.

18. A multi-crop livestock/farming system usually forms the basis of agricultural intensification. In many parts of Asia, it is also strongly integrated with fisheries (including aquaculture) activities. This is especially true where wet rice production is a central part of the farming system. Here, production of fish and crustaceans in rice fields and associated water systems are significant sources of food to the poorest sections of the community. The presence of livestock not only accelerates nutrient turnover, but also provides a mechanism to import and concentrate nutrients, which is essential to their sustainability and intensification.

19. Livestock rearing also helps to maintain the landscape and ecosystem. However, poverty-led degradation is occurring in semi-arid and humid areas where an increasing population, together with limited access to resources, markets and financial services are putting pressure on the land. Degradation reinforces poverty by reducing the productivity of shared resources and intensifying vulnerability. Extensive deforestation and overgrazing add to bio-diversity loss, and these are often linked to livestock production activities.

20. In East Asia in particular, they are responsible for pollution of land and water and it is reaching unprecedented levels. This pollution, besides causing direct damage to the environment, can become a major vehicle for disease transmission. Globally, livestock and their waste are a source of greenhouse gas emissions (methane, nitrous oxide, and carbon dioxide) and they are implicated in climate change.

21. Effluents from aquaculture do not reach the concentrations of those discharged from intensive livestock industries, but may nevertheless, cause some negative impact, when the density of operation exceeds the absorption capacity. This occurs when there is a high concentration of shrimp and fish culture in water bodies with restricted water exchange. The integration of aquaculture with livestock production and organic wastewater flow can ameliorate organic pollution prior to discharge.

22. Access to safe and healthy food products is an important consideration. Animal products, especially animal fat, have been linked with human health risks, but the danger is associated only with gross over-consumption. At low to moderate intakes, meat, milk and egg products are highly beneficial in providing essential amino acids, minerals and vitamins. Indeed, an increase in their consumption in Asia would be highly desirable in combating malnutrition. Fish is particularly important as a source of micro-nutrients, minerals, essential fatty acids and proteins, and thus makes a significant contribution to the diet of many fish-consuming communities in both the developed and developing world. It is also a rich source of lysine that may off set deficiencies in the rice based-diets of the rural poor in Asia. In the past, the diets of Pacific islanders consisted predominately of fresh fish, root crops, coconuts and leafy vegetables. Diets traditionally based on roots and tubers are shifting towards one based on cereal together with an increased consumption of animal products, fats and oils. These changes in nutritional habits have led to an increase of non-communicable diseases such as hypertension, heart disease, diabetes, strokes and obesity.

23. Increasing production densities, integration of species and feeding of fish and livestock on household and agricultural waste have led to a growing concern regarding the transmission of diseases and general food safety. This is particularly so in semi-urban and urban areas. Such concerns include traditional diseases (e.g. brucellosis, trichinellosis), Opisthorchis trematode infection caused by the consumption of raw and poorly preserved fish, microbial contamination of food (e.g. salmonella, E. coli) and emerging diseases that can affect both livestock and humans (e.g. Nipah virus, avian flu).

24. Changes in the production system as a result of specialization, intensification or diversification could intensify the risk and/or alter the pattern of disease transmission. The recent upsurge of human cysticercosis in eastern and southern Africa following the expansion of pork production, without parallel changes in veterinary regulations and their enforcement, caused the disease to reach alarming proportions. A related issue is feeding practices, and in particular, the safety of animal feed. The consumption of raw fish reared in areas that are exposed to or fertilized by human effluent causes Opisthorchis infection of humans.

25. Certain longstanding human diseases such as tuberculosis and those recently detected may originate from the livestock population. The potential dangers are clearly demonstrated by the emergence of BSE in cattle and its spread to humans (variant Creutzfeld-Jakob disease) and the industry as a whole. It is estimated that new diseases are detected at the rate of one a year over the last thirty years.

26. Biological and chemical contaminants also affect food safety. Aflatoxin, for example, thrives in humid and warm climates. Pesticide contamination of fish and animal feeds caused by pollution from various industries raises the question of environmental safety. The region continues to have problems with food adulteration and microbiological and chemical contamination. Diarrhoeal diseases and other food and water borne diseases, remain major causes of morbidity and mortality in the region. Of particular concern are the unhygienic conditions of food handling, the improper use of agricultural chemicals, the use of unauthorised and sometimes hazardous substances in food processing. Basic food quality control must evolve into quality assurance systems, which in turn become total quality management (TQM). Approaches such as the hazard analysis critical control point (HACCP) and the International Standardisation Organisation (ISO) 9000 quality management series are part of the felt need to improve food safety along the entire production and processing chain. This is of particular importance for farmers selling to exporters, who are required to furnish such information on the goods they intend to sell overseas.

27. Infectious and parasitic diseases of livestock remain important constraints to its production growth in many developing regions. Their occurrence not only brings considerable losses to both production and stock, but their control and prevention require financial commitments that could otherwise go into expanding the industry. Restrictions on exports frequently occur.

28. The increasing movement of both livestock and humans give rise to health problems for producers in all countries. As trade links between them spread, the ability to regulate diseases resulting from these trans-boundary activities becomes more difficult. To succeed, both international and private sector cooperation is required in the design and establishment of effective protection services. Although they can lead to more effective and efficient decision-making, the involvement of large numbers of stakeholders tends to complicate and slowdown implementation. Despite many setbacks, national considerations still continue to form the basis of decision-making for protecting various industries from pests and diseases, and such responsibility rests primarily with national agencies.

29. From a production viewpoint, resistance to drugs arising from their inappropriate use is another emerging problem. Diseases affecting reproductive performance or nutritional imbalance also surface with greater intensification of this industry. There is hope that biotechnology could solve some of the technical problems encountered in the prevention, diagnosis and treatment of animal diseases. Genomics, for example, may well contribute to the development of new generations of vaccines. A far wider range of effective, easy to use and less expensive ones can be expected in the future, while the development of cost-effective, robust diagnostics strengthens the veterinary services offered. These technological advances, however, need to be matched by enhanced epidemiological and logistical capacities as well as by improved co-ordination of all institutions, both internal and international, who are involved in animal disease control.

30. Biotechnological innovations could assist in improving the fisheries sector. However, the development cost involved is high. The tendency is to apply technology originating from the west, but it may not suit local conditions. The development of diagnostic tools for the rapid screening of fish prior to stocking will become increasingly standardized for some high-value species. The stringent requirements imposed by importing countries regarding the testing and certification of fish products, make it necessary for exporting countries of Asia to improve their standard of production if they wish to continue to export to markets in Europe, North America and Japan.

31. Small-scale livestock and aquaculture production presents one of the few rapidly growing markets that the poor could enter without the need for substantial resources or training. However, the majority of the rural populations are incapable of taking advantage of the demand-led growth for animal products. To date, the main beneficiaries are a relatively small number of large producers in areas with good market access and where processors, traders and relatively wealthy urban consumers exist. A combination of global, regional and national policies, regulations, norms and values that determine access to and control of capital assets and influence political and economic interests are responsible for this scenario. The manner in which these factors ultimately shape overall economic development via public institutions both nationally and internationally could either facilitate or constrain the cause of the impoverished.

32. Many barriers within the livestock and fisheries sectors prevent the poor from taking advantage of their development potential. They could be either financial, technical, social and cultural or a combination of some or all of these. The creation of a favourable environment in the two sectors that allows the poor to benefit from their industries can be achieved through a variety of mechanisms. They include greater production efficiency, increasing and improving credit flow, strengthening property rights, promoting greater product uniformity, developing infrastructure for preserving perishable produce, increasing negotiation powers of small production units (particularly if these are sited far away from consumption centres), paying greater attention to the requirements of potential buyers and reducing social and cultural barriers to asset, goods and services access (due to ethnic grouping, class, gender, language, education or lack of property rights). An integral part of poverty alleviation would be to implement measures that empower the most vulnerable groups and ensure their equitable participation in all development projects in both sectors.

33. Production costs are usually higher in small-scale enterprises, outweighing the advantages derived from the discounted value of family labour. In urban areas, hidden and overt subsidies facilitate the supply of cheap animal products, and objective data is needed to quantify the consequences of this imbalance on small-scale producers, public health and the environment. This information must also be made available when formulating policies and public action plans to protect the interest of small-scale producers and permit them to benefit from the advantages of large-scale production.

34. Transaction costs can be prohibitively high for rural producers whose output of marketable produce is limited. This is aggravated by the absence of adequate physical infrastructure in remoter areas, lack of negotiating power or access to market information and their dependency on middlemen. Corrective measures by the public sector include the provision of market infrastructure and appropriate information systems to enable such producers to make informed marketing decisions, for example, through producers’ associations or co-operatives.

35. Reducing risk and mitigating its effects on the livestock-dependent poor population are some of the prerequisites for any successful poverty reduction programme. The risk aversion of this group is an important reason why traditional technology transfer, which has been taken up by wealthier producers, had such a limited impact on the rural poor. Small-scale industries are associated with a mixture of both market and production risks, however strategies that require significant additional investment to minimize them, are unlikely to be adopted.

36. Development programmes of the livestock and aquaculture sectors have, generally, not succeeded in uplifting the economic status of the rural poor. Undoubtedly, inappropriate technologies and the failure to deliver services to poor farmers have contributed greatly to the mediocre performance. However, even in cases where the technologies were appropriately adopted and the focus was distinctly pro-poor, technical projects have often failed to improve living standards. Analyses of these issues clearly indicate the need for a favourable institutional and political environment and minimizing market and production risks.

37. The poor whose livelihoods are directly or indirectly dependent on livestock or fisheries production have barely any influence on political and institutional change in most national and international arenas. In the private sector, national and transnational pharmaceutical and agribusiness companies support political and institutional reforms that favour their investment priorities. In the public sector, bilateral aid programmes influence policies and the establishment of institutions that implement and enforce legal, political and institutional reforms. Apart from FAO, international organizations such as the United Nations (UN), World Trade Organization (WTO), Office International des Epizooties (OIE), Consultative Group on International Agricultural Research (CGIAR), and World Bank play an influential role. They advise Member Nations, and assist in the formulation and enforcement of international standards and codes, conditional grants and lending programmes. Other players are civil society groups (non-governmental organizations, academia, churches and producer and consumer groups) which create awareness, represent public opinion, and advice national governments and international organizations.

38. Other than the varying degrees of influence these outfits have on political and institutional change, they also represent different and, at times, opposing perspectives and interests. These can range in time and space from ‘here and now’ for individual farmers to ‘global and future’ for environmental groups. The divergent interests and main concerns of the ‘North’ and ‘South’ are also evident. The ‘North’, for example, is concerned with food safety and quality, animal health and welfare, bio-diversity and breed conservation, safeguarding the environment and protecting international markets. The focus of the ‘South’ is on food quantity and affordability, increase in productivity through technological changes in animal health, genetics and nutrition and gaining access to international markets.

39. To effectively surmount the constraints that currently prevent the poor from taking advantage of the available development potential in the livestock and fisheries sectors, it is necessary to target priority policy changes and institutional reforms required under different sector dynamics. To accomplish this, issues relating to market demand and production potential must be considered. In many countries of the Asia Pacific region, economic growth is accelerating demand for animal products with a correspondingly dynamic production response. Here, the principal issues are related to equity, environmental pollution, animal and public health, including the risk of emerging diseases. Policies and institutions need to assist small producers compete on a more equal footing. In situations where economic growth is slow, the rising demand for animal products, where it exists, still offers substantial opportunities for small producers to participate and benefit by it. However, in such a situation, a number of technical, infrastructure and institutional impediments prevent any appropriate production response to the increased demand.

40. In parts of Asia and the Pacific, economic growth is weak and is thus not contributing to any expansion in the demand for animal or fish products. Large numbers of highly vulnerable rural poor are found in this region and for them, livestock or aquaculture – and to a more limited extent capture fisheries – represent one of the few opportunities to support and enhance their livelihoods. Therefore it is important to improve the access to and control of capital assets (natural, social, human, physical and financial) to not only reduce malnutrition, deprivation and risk, but also allow resource-poor producers to benefit from any upturn in the economy and demand for animal products, should it occur.

41. International policy making for the livestock and fisheries sectors currently suffers from three major weaknesses, namely, the participation gap, the incentive gap, and the knowledge, information and communication gap. This is due to the lack of unbiased information, assessment and advice, and the absence of stakeholders where such international public policy issues can be negotiated. This causes individual perspective and priorities to become overriding factors guiding decision-making.

42. To correct the current under-provision of public goods and services to small farmers, governments have to adjust to changing realities and address these gaps by adopting strategies that formally combine stakeholder engagement and negotiation with research and analysis. Assisting policy makers in efficiently tackling poverty problems requires innovation in the approaches and attitudes of organizations that influence global norms and behaviour. Implementation within countries calls for a profound understanding of social, political and economic issues and facts. This, in turn, necessitates information and tools to analyze the impact of norms and institutions on the various strata of livestock and fishery dependent poor people, and mechanisms to catalyze the required change.

43. Providing appropriate guidance to implement measures that ensure the right political and institutional reform is essential to any initiative that aims at improving poor farmers’ livelihoods. They will, in turn, play a central role in encouraging and facilitating the conceptual shifts in policy objectives that create and strengthen the capacity of the poor to act for themselves, by engaging them as partners in sharing rights and responsibilities, creating incentives to mobilize their resources, helping forge the formation of a people’s organization, and protecting their assets to reduce vulnerability, especially in connection with the livestock/public goods and services sectors.

44. Public policy networks that incorporate the participation of governments, national and international organizations, civil societies and the corporate sector are in the process of being established. There is discussion on selective issues to achieve some balance that enhances the choices and rights of the poor through interventions that increase their equity and efficiency. Governments are always confronted with important trade-offs, where the pursuance of one policy objective is to the detriment of others. They, however, need to be made in favour of the poor, so that markets can be made more accessible to them, and a political environment created that allows them to build up their assets and diversify their livelihoods. These changes, in turn, will further facilitate and stimulate grass-root organizations, empower marginalized groups, and make state institutions, services and civil society organisations more responsive to the needs of the livestock and fisheries dependent poor. The overall desire is to reduce their vulnerability to external and largely uncontrollable events such as natural disasters, diseases and economic crisis.

45. For the procedures to succeed, it may be necessary to provide for more informal channels of consultation that are outside the ‘established’ order. Thus, a partnership is required where planning and identification of effective, affordable and sustainable linkages are made. At the national level, this may lead to the establishment of so-called ‘service networks’, in which there is a sharing of responsibilities among local organizations, local government, private agencies and the state, instead of having defined institutional divisions of labour. Such approaches increase awareness of national policy-makers in the realities of local living conditions and strengthens ties between the market, government and civil society. The functioning of a mixture of innovative solutions will determine the relative effectiveness of policies and institutions in addressing the needs and opportunities of the rural population.

46. In conclusion, food requirements, and therefore food security, must be viewed from various angles, namely, global, regional, national, household and individual. Food security relates to economic development, poverty alleviation, income distribution, self-sufficiency, diversity in agricultural production and sustainable development. The livestock and fisheries sectors can have both positive and negative impact on food security at all levels and both these sub-sectors are showing enormous growth. There is now a pressing need to amend policy for the benefit of the poor so that they too can be part of this growth.