Local factors only partially determine changing poverty and environmental conditions. Macroeconomic and sectoral conditions and policies play a significant role in defining the range of available livelihood options for local people (Barbier 1997) and in shaping the key factors discussed above (Table 3). The roles defined for agriculture in national development strategies will shape initiatives and opportunities to exploit existing and potential future comparative advantages in farming, and participation of the rural poor in such development.

National public investment policies will determine the distribution of physical and social infrastructure between rural and urban sectors, large- and small-scale farmers, and different agroecological regions, influencing their comparative and competitive advantage for economic activities and access to social services. Financial policies which influence the interest rate not only affect farmers' access to capital for production, but may nationally shift private and public incentives for long-term natural resource investments.