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I.. MAJOR TRENDS AND POLICIES IN FOOD AND AGRICULTURE
I. PRINCIPALES TENDANCES ET POLITIQUES EN MATIERE D'ALIMENTATION ET D'AGRICULTURE
I. PRINICIPALES TENDENCIAS Y POLITICAS EN LA AGRICULTURA Y ALIMENTACION

7. World Food and Agriculture Situation
7. Situation mondiale de l'alimentation et de l’agriculture
7. Situación alimentaria y agrícola en el mundo

7.1. State of Food and Agriculture
7.1. Situation de l'alimentation et de l'agriculture
7.1. El estado de la agricultura y la alimentatción

CHAIRMAN: Agenda item 7.4, as I said, Forestry, Action Arising out of the Ninth World Forestry Congress, Mexico City , July 1985.

The Conference has agreed that these matters shall be debated on the afternoon of Thursday 21 November. In accordance with the decision of the November 1985 Council the Manifesto of Mexico is to be submitted to the Conference for its adoption by a Resolution. I am informed by the Secretary of the Resolutions Committee that a Draft Resolution has been drawn up and will be presented to the Resolutions Committee to examine that its formal presentation is appropriate, before presenting it for substantive consideration in Commission I. (Continues in French).

Vous avez pris note de cette annonce et maintenant je crois qu'on peut s'attaquer au premier point de notre ordre du jour. Il s'agit donc du point 7: Situation mondiale de l'alimentation et de l'agriculture; 7.1: Situation de l'alimentation et de l'agriculture. Ceci pour la séance de ce matin. Je vous rappelle que vous avez ces documents devant vous et, en deuxième séance, cet après-midi, nous avons toujours ce même point 7, Situation de l'alimentation et de l'agriculture (suite). Vous voyez pour aujourd'hui aussi que nous avons beaucoup de pain sur la planche et je propose de commencer tout de suite en demandant au Prof. Islam de faire une introduction concernant ce point.

N. ISLAM (Assistant Director-General, Economie and Social Policy Department): Mr Chairman, as in the past, discussion of this agenda item is based on two documents: The State of Food and Agriculture, C 85/2, and its supplement. The supplement updates the earlier document by giving FAO's first estimates of the food and agricultural production in 1985, data on agricultural trade in 1984 and recent changes in flows of development assistance and other sources of development financing.

The theme of this year's SOFA embraces a review and appraisal of the food situation and trends in agricultural and rural development in the early 1980s.

The first part of the document is devoted to analyzing the major changes that took place in the world economy during the early 1980s and the impact of supply and demand for agricultural products on agriculture in general. What emerges is that the early 1980s have been dominated by the economic recession. The burden of adjusting to this fell more on some countries than others and the recession affected agriculture depending on how it was integrated into the world economy. Trade in agricultural products was particularly adversely affected and hence those countries more dependent on agricultural trade for export earning were more seriously hit. The harsh economic environment of the early 1980s has underlined the need for pragmatic, flexible and consistent policies at the national level, both in agriculture and the economy at large, to enable economic growth to be maintained.

One very welcome feature of the early 1980s has been the spectacular growth in agricultural output achieved in China, largely through the policy reforms dealing with producer incentives, and the continued solid progress in the rest of Asia. On the other hand, these years tragically highlighted the precariously chronic situation - both in food and agriculture and in overall economic development - in much of Africa.

The document emphasizes the important roles that external factors - prices, exchange rates and interest rates - and financial issues, particularly debt and its servicing and capital flows, have played in determining the course of economic growth and agricultural growth as well.

Agricultural trade was particularly adversely affected by the recession of 1980-82 and the unit values of developing countries' agricultural exports declined by 18 percent. Furthermore, the dollar value of these exports declined by more than 1 percent a year during the 1979-83 period after having expanded by more than 7 percent a year during the 1970s. Imports, including those of food, have had to be cut back but declining export earnings have resulted in worsening trade deficits.

With some exceptions, the early 1980s have not been a very favourable period for food and agricultural production.

Growth in food production in the developing market economies slowed down compared to the 1970s notwithstanding the good progress made in the Far East. Output of food grew very slowly in Africa and hence the Least Developed Countries as a group. Overall, the exceptional performance in raising food production in China , referred to earlier, was responsible for maintaining the annual increases in world aggregate production in the early 1980s at their average rate of the 1970s.

Mr Chairman, the document before you explores in a modest way long-term changes in the use of production factors such as land and labour, and inputs such as fertilizers. Throughout the developing world, the amount of land per person of the agricultural labour force is declining, with the exception of Latin America, and land use is intensifying, as shown by increased usage of fertilizer and irrigation. It seems that productivity of the agricultural labour force actually declined in Africa in the early 1980s which somewhat explains the continuation of the rural exodus there. In contrast, productivity rose in the Far East to a rate that implies a doubling in output per worker in approximately one generation, a conclusion that may be viewed with some optimism. But the picture shown is very diversified.

Nevertheless, increased usage of fertilizers slowed quite dramatically in the 1980s compared to the 1970s. This was due to a combination of factors: weak commodity prices, difficulties in financing imports, the need to remove subsidies, and poor weather. It was not due to a lack of supply because fertilizer prices tended to fall during the early 1980s. Although the US dollar was appreciating during the same time, most importing countries were facing higher prices in terms of their currencies. In this context, the FAO Commission on Fertilizers has drawn attention to the importance of maintaining fertilizer aid to low income countries.

The strengthening dollar and falling rates of inflation also shielded the full effect of the slowing down in the growth of external assistance to agriculture (OCA). But there was a significant hardening in its terms and more recent data indicate slower growth and even a decline in commitments.

There has been progress in raising levels of food intake. In Africa, however, there has been barely any progress at all over more than a decade, and a regression during the latest few years has taken place. This has been accompanied by a growing dependence on food imports, including food aid.

Mr Chairman, I just want to add here and draw attention to the record catch of fish made in 1984, largely due to a recovery in Latin American fisheries.

The last section of the SOFA is devoted to a closer, regional examination of the development experience of the early 1980s. It has been some years since SOFA included a comprehensive regional review and it is hoped that this will once more become a regular, if not annual, feature.

In conclusion, I wish to draw attention to the supplementary document, C 85/2-Sup.1, the main contents of which I referred to earlier on. The main points to be highlighted are as follows:

Firstly, the economic recovery which appeared to be well under way in 1984 and early 1985 is by no means assured. There were signs of its faltering in recent months and the shadows of disequilibria in exchange rates, protectionism and debt continue to appear across the scene.

Secondly, in terms of food and agricultural output, the regional pattern in 1985 is proving to be rather better than last year, even though the increase for the world as a whole will be smaller. The drought in Africa has been largely relieved and crop output in the affected countries has greatly improved.

Thirdly, cereal production will again expand this year to record levels because of increased production of maize, particularly in the United States, but also in Africa and the USSR . However, trade in cereals will be reduced, stocks will rise to record levels and prices are likely to remain depressed.

Fourthly, in 1984 the volume of agricultural trade grew less than that of trade in other goods but because agricultural terms of trade were more favourable, its value kept pace with that of other

goods. Growth in the agricultural trade of developing countries in particular was buoyant in 1984, compared to the earlier years in the 1980s. However, serious problems in agricultural trade remain, problems which were discussed last month by the Committee on Commodity Problems.

Fifthly and, indeed lastly, total commitments to agricultural "broad" definition declined by 7 percent in 1983 compared to 1982. The decline was in reality less, about 3 percent, when allowance is made for the appreciation of the dollar. Nevertheless, the decline in concessional commitments was much more severe, approaching a decrease of one fifth. The decline in multilateral concessional commitments continued into 1984 as well.

CHAIRMAN: Thank you very much Dr Islam for this very clear introduction.

Je voudrais maintenant vous inviter à prendre la parole en ce qui concerne ces documents introductifs, qui sont C 85/2 et C 85/2-Sup.1

Avant de vous accorder la parole,je voudrais tout simplement encore donner quelques informations d'ordre général.

Premièrement, en ce qui concerne le Comité de rédaction, il se réunira au moment prévu dans la salle des Philippines .

Deuxièmement, en ce qui concerne les Vice-Présidents, je vous rappelle, pour ceux qui ne le savent pas, les deux noms: M. Ladan du Nigéria et M. Khaled de la République démographique populaire du Yémen.

En ce qui concerne le Comité de rédaction, on emploie pour celui-ci la formule habituelle, c'est-à-dire que des consultations sont en cours, et je voudrais vous inviter à les activer, en demandant aux groupements régionaux de donner les noms et de les signaler ici au secrétariat. Certains l'ont déjà fait et d'autres pas encore. Dès que ces noms seront connus bien sûr, je vous les communiquerai.

Après ces quelques détails d'un ordre général, je vais maintenant vous inviter à prendre la parole sur ce document.

Ms N. MORAD (Egypt\) (Original language Arabic): As you have said I will try and start by being brief. My comments will bear upon the documents which we have before us C 85/2, on the State of Food and Agriculture in 1985. The Egyptian delegation in its review of this document, especially paragraph 1.76 noted that this document shows that agricultural production in Egypt has been slowing down. The decline in agricultural production in Egypt is a fact, and has various causes. However, the cause indicated in this paragraph is not one of them and therefore I would prefer that this paragraph be amended to give a better reflection of the real situation in Egypt . I would hope that the Secretariat could use different terminology than that of "Sluggish Performances" which is used here for Egypt .

LE PRESIDENT: Je vous remercie de votre intervention. Est-ce que le secrétariat désire faire une intervention à ce sujet?

N. ISLAM (Assistant Director-General, Economic and Social Policy Department) : We would be very grateful to the distinguished delegate of Egypt if she would give specific comments on the paragraph, and suggestions, as she seemed to think there are alternative explanations of the decline of food production in Egypt .

Ms N. MORAD (Egypt) (Original language Arabic) : I will review all the causes in the reduction of agricultural performance in Egypt later, and will comment upon them.

WU TIANXI (China\) : First of all, please allow me to congratulate you, Mr Ladan and Mr Khaled on your election as Chairman and Vice-Chairmen of this Commission. I believe that under your guidance and in the spirit of friendship and cooperation, our deliberations will achieve fruitful results. I commend the Secretariat for the excellent documents they have prepared for our Commission. These documents facilitate our understanding of the current state of the world food and agriculture, and at the same time embody many thought-provoking recommendations. This is no doubt a guarantee of the successful proceedings at this Commission.

We have noted that the last two years witnessed economic recovery in a number of developed countries, better agricultural performance and improved food security in various countries. However, such progress is both unsteady and uneven. Africa and some other regions are still suffering from hunger and malnutrition.

Most of the developing countries have not yet shaken off the shackles of the economic recession and are afflicted by heavy debt burdens. Regarding access to the international market, prices and the terms of trade of agricultural products, not only have these problems not been properly solved, but some developed countries have also intensified their protectionist measures in trade. In addition, there have been obstacles in the transfer of technology and financial resources by developed countries to the developing countries. Faced with such a situation, we can not afford to slacken our efforts in the future development of food and agriculture.

For many years, both the positive and negative experience and lessons in the world agricultural development have taught us that agriculture is not only the economic foundation on which the developing countries depend for their advancement, but it cannot develop without the support of the entire national economy. It must be incorporated into the national programme for economic and social development. Moreover, it should be given priority and thereby enjoy the support of other sectors. The supply of agricultural inputs should, to the greatest extent possible, meet the needs of production development, and be provided to the small farmers in concessional terms. Special efforts should be made to improve the extension of agricultural techniques, marketing and credit. Government involvement is highly necessary in rendering policy support and protection to agricultural development.

Ample facts have proven that a sound agro-ecological environment is essential for agricultural development. At present, blind exploration and exhaustive use of agricultural resources have led to destruction of forestry resources and vegetation on grasslands. Deserts are expanding, land fertility is degrading, environment is being polluted and animal and plant genetic resources are not receiving deserved attention. If such a state of affairs is allowed to continue, agricultural development will be facing worrisome prospects. Although we still cannot be independent from nature in developing agricultural production, damages can be alleviated and production conditions improved by applying modern science and technology in the construction of water conservation works, water and soil conservation, tree and grass planting, cultivation of stress-tolerant variaties and other measures. We should draw useful lessons from past experience and further pursue the above-mentioned objectives at relevant international fora in an effort to find possible solutions.

Concerning other important questions in agricultural development, our chief delegate, Minister He Kang, has already spoken about them at the Plenary, I am not going to repeat them here.

Mr Chairman, in the document prepared by the Secretariat for the Conference, China 's agricultural development is mentioned several times. We are grateful to the Secretariat for its favourable comments on our agricultural achievements. Now, with your indulgence, I would like to give you some additional information.

The Chinese Government attaches great importance to agriculture. Since the beginning of the 80's, following the reform in the management and planning system in the rural areas, we have initiated reforms in the purchasing and marketing of agricultural products, prices, credit and servire trade that adapts to existing rural conditions to further promote agricultural commodity production in our country. We deeply feel that we can only achieve development through reforms.

On the basis of the rural reforms, we have also endeavoured to readjust the rural economic structure. The principle that guides the readjustment is "sparing no effort in developing grain production while actively promoting a diversified economy". The readjustment is being effected under the guidance of the national economic plan and in accordance with specific local conditions. The purpose is to ensure an all-round development of agriculture, forestry, animal husbandry, fishery and sideline occupations, so as to satisfy the growing consumption demand of our people by making full use of the superior conditions of different localities in production and of agricultural resources. Moreover, on the basis of the rational programming of land utilization, we have readjusted the structure of crop-planting by concentrating efforts on the establishment of commodity grain production bases and encouraging the farmers to grow cash crops where appropriate. We have transformed the irrational agricultural structure left over by history by developing mountainous areas, pastures and coastal shoals in a planned way. We have turned the land unsuitable for growing crops over to be used for the development of forestry, animal husbandry and fishery, resulting in their accelerated progress. In recent years, we have put more emphasis on developing rural enterprises to serve agricultural production, large-scale industries as complementing elements and consumption of the urban and rural people, by using abundant rural labour and raw materials. By doing so, not only have employment opportunities been generated but material supplies for the urban and rural areas as well as farmers' incomes have increased. Initial success has been achieved in readjustment. Over the past 5 years, the production of grains, cotton and oil-bearing crops in our country has registered remarkable progress. We have now basically solved the problem of providing food and clothing for our one billion people. At the same time, forestry, animal husbandry, sideline occupations (including rural enterprises) and fishery have been advancing at a faster speed. Their share in the total agricultural output value has gone up from 32.2 percent in 1978 to 41 percent in 1984.

This year, we have continued the structural readjustment in agriculture. The area for grain crops and cotton has been reduced in varying degrees, as against last year. Moreover natural calamities, such as drought in the south and floods in the north, will contribute to the fact that the output of grain and cotton will be less than last year. But this will be compensated by the increased production of oil- and sugar-bearing crops, meat, milk and aquatic products.

We have a large rural population and limited cultivated land Ninety percent of the country's population lives on the arable land which accounts for only ten percent of the total land area. Agricultural development has been uneven in different regions and the potential for farm production in the mountainous and remote areas needs to be further explores. There are still a samll number of regions which do not have sufficient food and clothing. The agricultural achievement already obtained still contrasts with the long term needs for our national economic development and the production and consumption level of the countries with advanced agriculture. There still exist considerable gaps. With ardous tasks of development lying before us, we are confident that we shall gradually attain the envisaged objectives.

J.S. NIELSEN (Denmark\) : Mr Chairman, you have asked us to go straight to the matter and avoid technicalities, so I will start with a question. What can we learn from this excellent survey? I would like to cite the optimistic statement on page 2 of the Report, according to which, and I quote, pragmatic, flexible and consistent policies are the keys to success, unquote. It is success in the meaning of enhancing implementation of national development strategies of agriculture in order to achieve equitable worldwide growth. In Commission II we have already been expressing our views on how the UN System and FAO in particular should contribute to this process in the future. With pragmatism, flexibility and consistency, we can cope with the still more frequent and sudden changes in the future.

Although the weather has given us some relief in the food situation this year, in particular in Africa, the volatility of markets and the economic environment in the first helf of the eighthies, as very well described in the Report, would hardly be an isolated phenomenon. Therefore, in the future we will be witnessing still sharper exposures of vulnerable parts of national economies. How do we turn such vulnerabilities to strengths? Let me give a couple of examples. Growth in population and in urbanization puts pressure on agricultural markets and requires more sophistication in market management and price policies. But such developments may also provide the basis for more well-structured markets, and there may be benefits from economies of scale in distribution and storage.

Another example is that local skills and crops haven not been given the representation that they deserve. Sometimes they have benn subject to neglect. If one emphasizes research, extension and market management for these local products, though not rewarding in the short-run, absorption of foreign crops, techniques and skills should, as a supplementary source, contribute to the robustness of local economies rather than undermining them.

This leads me to the following point: in formulating agricultural strategies, we have undoubtedly relied too much on experiences from the industrialized world. FAO is a service organization, and we should all put in focus the experience, skills and cultural traditions of the customers; i.e., the member countries concerned. This means further local involvement in project formation, implementation and evaluation. It also means reallocation of UN and FAO resources from pure project administration to the task of monitoring the integration of projects in the general development strategy for a given region or country.

It is not an easy task to combine pragmatism, flexibility and consistency with general and coordinated development strategies. It is, however, a challenge we have to cope with if we are to achieve in the future the self-sustained growth and conditions accepted by those who are supposed to benefit from the government assistance. This requires rethinking from all of us.

I. KABA (Guinée): La pertinence de l'analyse faite dans le document C 85/2 est incontestable. En particulier, nous le verrons en page 7 en ce qui concerne les effets sur l'agriculture, paragraphe qui nous intéresse particulièrement parce que concernant la production, donc le problème de l’autosuffisance alimentaire.

En effet, les facteurs de l'offre et de la demande, la situation de la conjoncture mondiale en ce qui concerne l'économie et les finances, ces facteurs ont une grande influence sur le système de production. En effet, la part de l'influence économique mondiale sur le ralentissement de la production agricole dans nos pays est fondamentale. Certes, les catastrophes naturelles ont beaucoup pesé sur notre agriculture; mais les obstacles que sont le bas prix de nos produits à l'exportation, le protectionnisme impitoyable des nantis, le prix élevé des intrants agricoles, tels que les engrais et les outils, qui sont volontairement orchestrés par les pays développés, ces facteurs ont un grand impact négatif, particulièrement en tout cas dans mon pays, malgré les changements de stratégies qui sont intervenus.

C'est pourquoi nous pensons que la communauté internationale devra se pencher avec plus de détermination sur les questions de l'endettement et du rétablissement des termes de l'échange qui doivent favoriser la coopération nord-sud, condition essentielle de l'équilibre économique mondial et de la garantie de la paix.

LE PRESIDENT: Je vous remercie également surtout pour la qualité de la brièveté de votre intervention; je crois que c'est un bon exemple que vous avez donné. Merci beaucoup, cher collègue et ami.

KYO EUN KIM (Republic of Korea\): According to document 85/2, the world food problem in recent years has been the result of not the lack of the world total food supply, but the increased regional inbalances between production and consumption browth. It is disheartening for us all to note that developing countries, especially in Africa are now battling against famine, while developed countries in some other parts of the world are struggling against the suprluses of agricultural products. At the same time, it is also our shame that the food crisis in Africa has been aggravated by, not only the drought itself, but also the lack of South-North cooperation, that is, the insufficient flow of investment and of advanced technology and the rising tide of protectionism of developed countries.

It is however an encouraging fact that since 1979 food production in the Asian centrally planned economies has recorded a high annual growth rate of 7.9 percent, primarily due to policy changes. I fully agree with the view that policy changes such as the introduction of the contracted responsibility system, decentralization of planning, and the increased transfer of resources by the government in support of agriculture may be the core element in the remarkable success of agricultural development in China . One of the most important factors for the success of Saemaul-Undong in the Republic of Korea is also decentralization of planning, which gives farmers the strong will to work hard and to cooperate more for their better living.

In this respect, my Government welcomes and supports the African countries' efforts to change their agricultural policies by democratizing the development process by having farmers adopt new development models instead of Western ones, namely development of small holder agriculture suited to the African conditions, and also improving and expanding their transportation and marketing system, etc.

In this context, I would now like to mention briefly the policy changes of my government in relation to the food and agricultural situation in Korea . Prior to the 1980s, the main objective of the agricultural policy on my Government had been focused on increasing food production and achieving self-sufficiency in staple food grains - rice and barley. Since the very beginning of the 1980s however, the main objective and direction of agricultural policy has been gradually shifted from increasing food production to improving farmers' living conditions because of the rapid change in food and agricultural situation in Korea .

Since 1982 self-sufficiency in rice has been achieved, and, furthermore barley, vegetable and fruits have entered into the stage of continued over-production. On the other hand, we have faced new problems such as a vicious circle of price fluctations in agricultural products, an ever-widening income disparity between rural and urban sectors, a growing sense of relative deprivation for farmers, and a continued flow of rural youth from rural to urban sector, and so on. This unfavourable development in the food and agricultural situation has forced us to change the direction of agricultural policy. In order to improve the quality of farmers' lives and to expand their life expectancy, my Government has implemented in recent years a series of income support-oriented policies such as the future farmers' support programme,increases in the replenishment of the agricultural price stabilization fund, development of new income sources for farmers and diversification of the rural economy, introduction of a property formation savings system in rural areas, etc.

However, the effects of those policy measures have been greatly limited because of the smallness of farmland area, which is approximately one hectare per farm-household on an average. Added to that, the increase demand of the developed countries for more access of their agricultural products to the market in Korea is now creating further difficulties in solving the structural problems of Korean agriculture.

For this reason, I strongly support the following view contained in the concluding part of the document.

Developed countries' efforts to promote agricultural free trade will make their exports of surplus products more accessible to importing countries in the short run. However, abundant import of cheap food will distort market and consumption patterns and eventually discourage domestic farming in importing countries, unless their farmers are strongly protected.

In closing, I would like to emphasize two things. First,if each Member Nation insists on protecting its own vested interest by reinforcing protectionism barriers or creating inordinate demands on free and fair trade, we all will be the losers and self-defeators. Second, if we cooperate in a spirit of interdependence and mutuality, solutions to the world food agricultural crisis are not beyond our grasp.

Sra. G. SOTO CARRERO (Cuba\): Muchas gracias, Sr. Presidente.

siguiendo su clara orientación, nuestra delegación obviará las felicitaciones, que usted sabe por demás las tiene de nuestra delegación.

Sr. Presidente, mi delegación ha estudiado con sumo interés el documento C 85/2 y su suplemento I, que nos ha preparado la Secretaría y que el Profesor Islam nos ha presentado de manera excelente en la mañana de hoy.

Consideramos que es un documento muy valioso por su contenido, tan completo y tan actual, ya que contempla de manera precisa los elementos más importantes en la situación actual de la 'economía mundial y de la agricultura y lá alimentación en particular y a los cuales también se refirió de manera muy clara y sincera el Director General en su alocución a la Conferencia cuando nos afirmó que "el estado de la economía mundial no es muy reconfortante y que la recuperación de la gran depresión de los primeros años 80 parece estar perdiendo impulso.

Sr. Presidente, usted bien conoce que la llamada crisis alimentaria no es un fenómeno correspondiente a los últimos años, aunque la profunda crisis económica actual contribuya a acentuarla. Para las mayorías del mundo subdesarrollado la crisis alimentaria debe entenderse como una condición secular y permanente de sus precarias vidas.

Para ellos no tiene apenas sentido la hipotética recuperación de las economías capitalistas desarrolladas, pues ni siquiera los más vigorosos auges económicos del sistema han sido capaces de evitar la presencia del hambre y la subalimentación en el tercer mundo. Para los centenares de millones de hambrientos que habitan en este mundo la crisis alimentaria no es una simple referencia conceptual, sino una presencia diaria y una afrontosa realidad para toda la humanidad.

Esta dolorosa situación se mantendrá por mucho tiempo. Según datos de la FAO, los precios mundiales de casi toda la gama de productos agrícolas han experimentado una tendencia a la baja, lo cual no sería tan grave, si se pudiera prever una recuperación de los mercados en un futuro próximo. Sin embargo, el estancamiento económico mundial continúa, ya que no se prevé un cese en la inflación, en el desempleo, en la inestabilidad monetaria, en las altísimas tasas de interés en la injusta relación de los intercambios, incluyendo el proteccionismo, y en general en las injustas relaciones económicas internacionales, que están muy lejos de modificarse.

Actualmente, Sr. Presidente, las estructuras económicas de nuestros países se ven más azotadas por los problemas derivados de la deuda externa. Este aspecto se encuentra bastante bien ilustrado en el documento que analizamos. Para nuestra región de América Latina y el Caribe se expresa muy claramente que los factores principales que dieron lugar a la crisis económica fueron la gran deuda externa y el aumento rápido de los tipos reales de interés.

Si el mundo subdesarrollado en su conjunto acumula una deuda externa de novecientos mil millones de dólares, la región de América Latina y el Caribe acumuló de esa deuda trescientos sesenta mil millones hasta 1984, y se estima que se ha elevado en seis mil quinientos millones más durante los primeros ocho meses de este año.

Sin embargo, las organizaciones financieras, como el Fondo Monetario Internacional, lejos de buscar la solución apropiada se niegan a discutir los problemas esenciales que afectan a los países deudores.

Toda esta situación ha tenido profundas repercusiones negativas en la producción, consumo y comercio de productos alimenticios y agrícolas, así como en el nivel de vida de las poblaciones más pobres.

Los productores agícolas padecieron también una reducción del margen entre precio y costo. Los precios agrícolas reales disminuyeron para una serie de productos,especialmente cultivos de exportación, y hubo un constante aumento de los precios de insumo. En nuestra región de América Latina y el Caribe el uso de fertilizantes por hectárea de tierra de labor se redujo aproximadamente al 20% entre 1980 y 1983, debido en gran medida a su costo más elevado. Asimismo se incrementaron los precios de la maquinaria agrícola, lo cual ocasionó que el empleo de tractores en la región en su conjunto fuera considerablemente menor entre 1980 y 1983 que el registrado en los cinco años anteriores.

Todos estos aspectos, que no son ejemplo sólo de nuestra región, sino de todo el mundo subdesarrollado, nos lleva a reiterar que los problemas alimentarios no pueden independizarse de los restantes elementos que conforman las relaciones económicas internacionales y que, por consiguiente, son parte integrante e indisoluble de todos los problemas que afectan económicamente a los países subdesarrollados.

En tal sentido sin los imprescindibles cambios estructurales y todas las medidas necesarias para cambiar el actual orden económico internacional por un nuevo orden justo y equitativo, no será posible resolver de manera plena los problemas del hambre y la malnutrición en el mundo.

Quisiera referirme finalmente al aspecto positivo señalado por el Director General con relación a la ayuda alimentaria; si bien mi delegación se congratula porque se haya logrado y superado la meta de diez millones de toneladas de cereales fijada en la Conferencia Mundial de la Alimentación. Debemos recalcar en la necesidad de modificar la misma, ya que actualmente resulta obsoleta ante las acuciantes necesidades del mundo subdesarrollado, que se incrementa constantemente.

El papel de la FAO en este sentido por tratar de solucionar estos problemas es digno de elogio. Su cuadragésimo aniversario, que conmemoramos este ano, nos obliga a todos a una meditación profunda sobre lo hecho y la demanda de los países subdesarrollados por la instauración del nuevo orden económico internacional y en particular el acceso a los alimentos como derecho fundamental de la comunidad.

N.V.K.K. WEREGODA (Sri Lanka\): Reading through document C 85/2, it is clearly evident that in the world community there has been a growing economic and financial interdependence, and that agriculture has become more integrated with the world economy. As a result, people dependent on agriculture have been seriously affected by world economic events. In this struggle, some countries have fared badly, while others have shown that progress is possible despite the hostile world of the economic environment. The successful countries have been able to achieve this by consistently following pragmatic and flexible policies.

In Sri Lanka we have been able to achieve a great degree of success through a package of policies introduced in 1979. Some of the policies which have enabled us to realize these achievements are the following: development of an integrated cropping system with supporting managerial services and provision of inputs at prices affordable to farmers to ensure higher productivity from a given unit of land; development of an appropriate agricultural pricing policy with compensatory flow price schemes to ensure marketing of produce; establishment of suitable parastate organizations to implement flow price schemes; systematic land development and land appropriation with fully-developed infrastructures; rehabilitation of irrigation base for harnessing rivers; improvement and repair of major and minor irrigation schemes; development of a system of efficient water management through farming institutions; establishment of an institutional base to create wider and well-informed peoples' organizations that can be harnessed for nation-building; decentralization of the administrative power structure to the lowest possible level and the harmonious planning of political leadership with the administrative power cells to enable the peoples' representatives to enter the arena of resources allocation, decision-making and actual implementation of those policies.

These policies have contributed in a big way to the overall economic development of Sri Lanka , resulting in an average growth rate in constant prices over the last five years of 5 percent. The growth contribution from the agricultural sector has been very significant, so much so that after about two hundred years, for the first time in 1984 we did not have to import rice, our staple food, to meet our needs.

R. PRESTIEN (Federal Republic of Germany) (orignal language German): My delegation welcomes the presentation of this year's report on the situation of food and agriculture. Document C 85/2 and document C 85/2-Sup.l contain in clear form a wealth of data and facts. In its structure, document C 85/2 differs from the reports on the situation of food and agriculture in previous years. The authors have started their report this year with an examination of the world economic situation in paragraph 4 to 24 and then they have considered the effects on agriculture of the world economic situation in paragraphs 25 to 75.

In connection with the situation of food and agriculture, it is undoubtedly correct to examine also the general economic data and to represent their interconnection with the agricultural sector. However, we should not forget that food and agriculture, with such forward linked and interrelated economic sectors as fisheries and forestry, are not just a function of the other economic and financial environments of the global economy. Food and agriculture are rather independent sectors of the overall economy and like any other sector, they are interconnected with the global economy. The structure chosen for this year gives, however, the impression that food and agriculture in fact are adjuncts, so to speak, of the overall economy, exposed to the effects of industrial and financial sectors, This does not take sufficient account of the independent and dynamic role of the food and agricultural sectors within the global economy and it does not meet above all the key role which agriculture plays in developing countries.

We welcome the presentation in Table 1 of document C 85/2 which shows an 8 percent increase in the export volume of developing countries. As compared with past years since 1980 this represents an enormous progress which indicates a certain recovery in the world economy. This applies more specifically to Asia which shows an increase of 14 percent with reference to its exports, a more than proportionate value which in fact exceeds the average of the industrialized countries. What is also gratifying is the increase in the import volume of industrialized countries of 12.2 percent, which also indicates a certain recovery of the world economy. As regards the terms of trade in world trade, the result is now more balanced than a year ago. In the industrialized countries they have worsened slightly, but there has been a slight improvement in the developing countries as a whole.

It is also gratifying to note the increase in the export volume of the African countries which amounts to 6.2 percent.

The documents stress to a large extent the problem of indebtedness of developing countries. The Federal Republic of Germany is making efforts to ease the difficulties which developing countries have arising out of their very high debt servicing. Recently, my country in fact has written off a total of DM 4.1 billion in debts from official development cooperation loans to a number of developing countries with a low gross national product. This, of course, is a very high amount in view of a still unfavourable economic development within the Federal Republic of Germany with which we are really at the very peak of the developed countries.

In paragraphs 47 and following document C 85/2 my delegation would have been grateful if one would have mentioned not only the average figures regarding development from 1980 to 1984, but also those figures which show the changes between 1983 and 1984. But we welcome the fact that this presentation gives us a longer term over-view regarding the development of past years. We agree with the statements in paragraph 49 of the document, whereby the declining growth rate of the agricultural production in Africa does give rise to great concern. That is why we welcome the fact that the African countries in the Harare Declaration, adopted by the Thirteenth Regional Conference of FAO for Africa in July 1984, agreed on a list of measures designed to give highest priority to food and agriculture in all development plans and budgets of the African countries.

We also welcome the fact that in the future 25 percent of public investments in Africa will benefit food and agriculture, as this has been decided by the African Heads of State and Government at this year's meeting of the OAU. An important role will, of course, be played by the price policies. We shall come back to this item under agenda item 7.3, Study of Agricultural Price Plicies.

Paragraphs 67, following document C 85/2, and paragraphs 71 following document C 85/2 Sup.1 show a decline of the official development aid and ODA pledges to the agricultural sector. This does not apply to the Federal Republic of Germany. Both the net overall contributions of my country in cooperation with the developing countries, and the share for rural development within the framework of official development aid in 1984 have increased again compared to previous years. The volume of the development cooperation of my country in 1984' amounted to DM 18.5 billion, representing 1.06 percent of the GNP. It has, therefore, as compared with last year, increased by DM 612 million. The share of the field of rural development rose from 22.8 percent of the ODA in the year 1983 to 26 percent in 1984.

My delegation very much welcomes the improvements which one can gather from Table 10 of document C 85/2 as regards the daily calorie intake in developing countries. As compared to the average years 1969-1971 the daily calorie intake in developing countries had, in fact, improved

by about 10 percent from 2 140 calories per day to 2 400 calories per day. We share the view expressed in paragraph 77. according to which this global improvement can vary from region and from time period. We also share the statements set out in paragraphs 84 following of the document. My country in 1984, in fact, contributed a very high amount, DM 709 million, for food aid.

We are aware of the problems linked to the granting of food aid, but we consider that it is a necessary instrument in order to meet immediate and acute emergency situations. We welcome the successes achieved in increasing the fishery yields in 1984 as set out in paragraphs 86 following document C 85/2 and para. 44 of C 85/2-Sup.1. As part of the ensuring measures after the World Fisheries Conference, it will be necessary to ensure that the fish population of the world will be used in an optimum way on a scientific basis. We share the views set out in paragraphs 97 and following document C 85/2 as regards Forestry. The World Forestry Congress which took place this year in Mexico City , had, in fact, given important orientation as to how to protect forests, and how to increase their contribution to rural development.

In the regional consideration, paras. 111 and following C 85/2, Africa gives rise to concern. We share the views expressed in the document in particular regarding ,the statement on centralized planning and management as well as price policies, as set out in paragraph 120 of the document. We also believe that the decision-making process should be less centralized within the framework of development. It is obvious that the price policy in various African countries has established stronger incentives for increased production. Success has been achieved in particular where it was possible to harmonize the growth rates of food production and population.

What is encouraging is the favourable development in the Far East (paragraph 145) and China (paragraph 182 and following). However, the statements in paragraph 205 of document C 85/2 regarding food and agriculture in the developed market economies are in our opinion, not correct. The import satistics of my country, and of the European Community, contradict the statement that the pressure is increasing to take protectionist measures.

Under item 8 of our agenda we shall go into the matter more closely.

We welcome that document C 85/2-Sup.1 which was submitted only in November and also shows the progress meanwhile achieved. In particular, this applies to the growth rate estimated for 1985 of 2.2 percent of the world food and agricultural production. In our opinion also, this progress consolidates the achieved significant production increase in 1984. As an encouraging sign we also recognize the indication set out in Table 1 of the document that the growth rates of developing countries, both as regards food and agricultural production in 1985, will be higher than those of developed countries.

We welcome the forecast increase, set out in paragraph 33 of document C 85/2-Sup.1, of world cereal stocks in 1985/86, to 21 percent of the presumable world consumption. World food security is thus enhanced. The increase of the export earning of Africa, the Far East, Latin America and of Asian centrally planned economies, as set out in paragraphs 57 and following, are an encouraging development. We believe that the world economic conditions could, in fact, develop in such a way as to maintain such a development and to enhance it.

We also welcome the improvement of the terms of trade which have improved favourably in particular for Africa as set out in para. 66 of the document before us.

In the opinion of my delegation, the world economic difficulties have not yet been eliminated. Many world economic indicators, however, meanwhile show a vigorous upward trend in particular in favour of developing countries. We welcome this and we feel that the international community can tackle now with greater confidence the tasks than it could two years ago.

DATO ALWI JANTAN (Malaysia): It is gratifying to note from the report the dramatic increase in world food production, especially with respect to cereals which are expected to reach a record level of 1 844 million tons this year. This would represent an increase of 39 million tons over the last year. Though most of the increase is expected from the US bumper crops of coarse grains and the improved USSR harvest, we are especially glad that developing countries like India, Zimbabwe, Malawi and Kenya have made remarkable progress in registering export surpluses.

The report would seem to indicate a trend where developing countries which used to be net exporters of agricultural produce, with a surplus of US$15 billion, became net importers for the first time in 1981, whereas developed countries which used to be net importers, with a deficit of US$6 billion in the 1970s, increased their production tremendously to churn in a surplus of US$25 billion.

This remarkable turn around achieved by developed countries augurs well for world food security. However, the means by which this surplus has been achieved is questionable in view of the negative effects on the Third World in terms of trade, depressed prices and dwindling export earnings. Protectionism through various means such as taxes on imports from developing countries, export subsidies or refunds and other policy inventions, has resulted in depressed prices in developing countries. Developing countries which were traditional producers of certain commodities have been edged out of the market and in some cases have ceased to produce these commodities altogether. This alarming shift has greatly affected many Third World countries whose incomes depend greatly on export earnings from their agricultural produce. This is further exacerbated by the strengthening of the dollar and heavy debt burdens. Essential inputs for agriculture such as fertilizers, seeds, machinery, pesticides, etc. became less affordable, thereby resulting in further lowered production.

Due to our country's dependency on agricultural exports such as rubber and palm oil, we are most vulnerable to changes in international markets. Now it looks like this particular earning is further threatened in view of the proposal by the EEC to levy taxes on oilseeds, oils and fats. We learn that this proposal, although not actively being pursued, is still very much alive. We have no recourse but to strongly urge the EEC to refrain from implementing such measures as proposed and to work towards a more liberalized trade.

We also urge this Conference to make a concerted appeal to all parties concerned to remove all restrictions in agricultural trade, and to allow for the free play of market forces.

N. MUMBA (Zambia\): I should be extremely brief since you have told us to do so. The documents before us C 85/2 and C 85/2-Sup.l are very clear. They give the reasons why growth in food production has been slowing down. In Zambia the situation is now different and it is therefore not necessary to enumerate the reasons. However there are a number of reasons why food production has not picked up at the anticipated rate. Some of these reasons are given in paragraphs 1.18 to 1.24 of the document. It is important that we recognize the need to improve the services to small-scale farmers and rural women if production is going to be sustained. It is necessary to initiate specific programmes and projects for these groups of farmers.

Many programmes and projects that have been developed in the past have not always been successful. This is because we have not always consulted the local beneficiaries as to what type of assistance they really need. We have usually relied on discussions with high government officials in the capital cities of the various countries. I wish to submit that these officers do not always represent the true situation at the local level.

In designing the future programmes and projects the involvement of the local beneficiaries should be an integral part of that programme. There should be local involvement in the setting of priorities in monitoring, and in evaluation I am sure that if we do this we would achieve greater success in accelerating food production.

Nguen SRISURAK(Thailand\): My delegation has attached great importance to the documents C 85/2 and C 85/2-Sup.1. This is a particularly appropriate time to review the world food situation from FAO developments during 1980 to 1984. Major changes have occurred during this development. I will emphasize five changes that have taken place yet there is still some uncertainty about how to deal with them.

Firstly, there is the swing from Asia to Africa as the area in which food production and shortages has caused the greatest concern.

Secondly, there is the extraordinary growth in food exports of the developed world.

Thirdly, there is continuing massive malnutrition and poverty, particularly in Asia, despite major improvements in food production growth rates.

Fourthly, the swing from the freer food trade flows to food trade restrictions is depressing international trade prices and creating a trade deficit,especially in the developing States that are exporting primarily agricultural products.

Fifthly, the swing from Latin America to Asia in net external borrowing and debt service payments caused is weakening the purchasing power for food.

All five changes drive home the extraordinary complexity of the present food, economic and social problems, and offer major challenges for FAO's strategy, priority and programme of work in dealing with them.

Table 13 of page 28, document C 85/2 indicates clearly the development experience of the early 1980s in the four regional reviews. The problems facing the region as well as the country clearly are under consideration in order to find ways and means of tackling them. Taking food production into account is the first task of this Organization, as well as the other agencies. Technology, in our opinion, is the key to successful development. Therefore, improved technology is essential to meet the region's immense problems. Technology used in any one region, or any one country, may not be suitable in another for many reasons.

My delegation, in this connection, strongly believes that exchange of technology among the regions and between countries is the first step in increasing food production.

My delegation also believes that it is a particularly appropriate time to announce "the year of technology" coinciding with FAO's 40th Anniversary.

Food policy is also important in sorting out the guidelines and in implementing food programmes and projects, that will feed the population and increase the income level of the poor. The problem which arises here is that of effectively and economically adopting the food policy to a workable programme/project so that funds from various donors will be forthcoming to implement the programme/ projects at the right time, at the right place, and for the right group of people. The policy implication reflects the needs of the regions as well as the country. In this connection, my delegation strongly believes that agricultural data in various fields is needed, and that strong political support should be directly and indirectly involved. Moreover, we should realize that the full participation of people, especially farmers, is very essential. The programmes, technicians and producers funded through FAO and other donors in the developing world are extremely useful. We should bear in mind, however, that no one can help us all the time, therefore, firstly, we must help ourselves.

L. POZO-MALO (Ecuador\): Nos complace, Sr. Presidente, verle dirigiendo nuestros debates y en atención a su llamada seremos breves y concisos.

Felicitamos a la FAO por el interesante estudio sobre el presente tema contenido en el documento C 85/2 y su suplemento tan inteligentemente presentado hoy por el Doctor Islam.

La delegación del Ecuador considera que la acción internacional destinada al incremento de la producción agrícola en las regiones deficitarias y deprimidas debe crecer sustancialmente y tomar el carácter de urgente para permitir que esas tierras, en el transcurso de plazos cortos, se conviertan en autosuficientes. Sólo así se garantizará, efectiva y permanentemente, la seguridad alimentaria de las poblaciones en ellas asentadas. Esta meta no podrá ser conseguida, sin embargo, si no convergen dos requisitos: una eficiente mecanización de los cultivos y un indispensable financiamiento internacional junto a que se prevea la transferencia de tecnología, base elemental para cualquier desarrollo agrícola.

Por otra parte, el comercio internacional de productos agrícolas debe ser considerado dentro de las necesidades de abastecimiento y guiado por unos términos equitativos en cuanto a los precios. El comercio debe, asimismo, estar libre de medidas restrictivas direccionales y del limitante proteccionismo que hoy pone enormes trabas a las relaciones comerciales. Con la aplicación pragmática de esos beneficiosos principios, podría lograrse la recuperación económica de los países en desarrollo.

Apoyamos decididamente el fortalecimiento de los mecanismos de financiamiento agrícola internacional. Respaldamos en este contexto el Fondo Internacional del Desarrollo Agrícola y a otros entes similares. El acceso a las fuentes de financiación para la producción agrícola'requiere de condiciones blandas y suficientes. Igualmente, la prestación de ayuda para el sector agrícola alimentario deberá considerar, necesariamente, el índice de crecimiento poblacional del país solicitado.

Srta. D. de VILLAMONTE (Panamá): Al analizar el tema relativo al estado mundial de la agricultura y la alimentación, contenido en el documento C 85/2 y C 85/2 Sup. 1, excelente trabajo presentado por la Secretaría, observamos que la producción de alimentos a niveles globales, se señala como satisfactoria, resaltándose muy especialmente que la misma sobrepasa ligeramente el aumento de la población, particularmente en las regiones del Lejano Oriente.

Sin embargo, también pone en evidencia que el ritmo de aumento de productos alimenticios y agrícolas ha disminuido y que el exceso de oferta ha contraído los precios del comercio internacional; al punto que hoy día, cada vez pagamos más caro por lo que importamos y nuestras exportaciones siguen en continuo descenso, producto de las injustas condiciones de intercambio imperantes, uniéndose a éstos proteccionismo creciente y asfixiante.

Esta situación se caracteriza por el ya conocido endeudamiento de nuestros países que trae consigo que un alto porcentaje de sus exportaciones, bienes y servicios estén dedicados al servicio de la deuda externa; debido en parte al aumento de las tasas de intereses reales que efectúa la comunidad financiera internacional para resolver problemas que confrontan economías desarrolladas consistentes en mantener altos déficits públicos dado el incremento en sus gastos militares.

De allí que el endeudamiento, las deformaciones de las modalidades del comercio, y el proceso inflacionario han provocado en los países en desarrollo una creciente escasez de recursos que les impide sufragar su desarrollo.

La transferencia neta de recursos de los países en desarrollo a los países desarrollados, como ya hemos señalado en oportunidades anteriores, es realmente dramática para mi región: América Latina y el Caribe. En efecto, el impacto de la crisis económica, según lo indican las cifras contenidas en los párrafos 130 y 133 del documento que nos ocupa, ha traído como consecuencia estancamientos de su crecimiento, no sólo en los campos de la producción y del comercio, sino que incluye también las repercusiones sociales derivadas de tal contracción.

Para Panamá, el aumento sólo de un punto porcentual en los intereses de su deuda externa, significa el pago de 16 millones de dólares más, y la transferencia anual neta de recursos viene a significar actualmente unos 250 millones de dólares. En Africa la situación es quizá más grave, a pesar de las políticas de desarrollo que varios países han adoptado para mejorar su rendimiento.

Es por ello, Sr. Presidente, que nuestra delegación considera que la crisis actual exige de la Comunidad Internacional respuestas que tiendan a proyectar el desarrollo permanente en búsqueda de la autosuficiencia alimentaria de cada pueblo efectuando una repartición más equitativa de los recursos disponibles, conforme a lo que prevé en un Nuevo Orden Económico Internacional

En su declaración el Director General señaló la necesidad de aplicar algunas medidas correctivas para solucionar los problemas del comercio, en especial de los países en desarrollo, aspectos que a juicio de nuestra delegación son positivos y constituyen propuestas concretas que podrían llevarnos a realizaciones adecuadas.

Finalmente, Sr. Presidente, consideramos pertinente que este Comité se pronuncie de manera positiva para salvar el FIDA, tal como fue concebido, quizá mediante consultas al más alto nivel, con miras a garantizar la continuidad del funcionamiento de este fondo, que con tanta esperanza fue creado.

H. da SILVEIRA SARDINHA PINTO (Brazil): My delegation wishes first to thank the Secretariat for the preparation of such a complete and deep study on the state of food and agriculture in the 1980's which has shown us the persisting of the negative effect of the world recession in the developing countries' economies and particularly in their agricultural sectors. The apparent economic recovery has not reached the developing countries. For the second half of the eighties, a difficult economic situation similar to the one the Third World faced in the last four years is likely to continue.

The world economic recession has forced developing countries to adopt strict adjustment measures of their economies against the hostile international economic environment. These policies had negative implications and high costs of all natures. Political instability and social tension are just two of the most serious ones. In Latin America, for instance, the overall economic crisis has severely affected the region as can be verified by the leading economic indicators mentioned in the document. The large external debt and the rapid increase in real interest rates became a heavy burden and led to the adoption of austerity measure with high developmental costs. The agricultural sector was certainly one of the most affected. Production, consumption and trade of agricultural products fell, directly influencing the standards of living of the rural population and especially the availability of food to the most needy people.

Moreover, natural calamities systematically hit the continent, destroying crops and rural infrastructure and hampering national efforts to overcome difficulties by investing in the agricultural sector.

Recovery became a more difficult and distant task to achieve as commodities prices experienced a sharp decline in the period 1980-84. Declining commodities prices, coupled with the debt service pressure and shortages in agricultural inputs, present a dim agricultural outlook for Latin America in the foreseable future.

In the face of this evidence, the Brazilian delegation could not avoid expressing its deep concern for the situation of food and agriculture in the developing world, especially by considering those factors that are beyond the developing countries' control, and those that depend particularly upon the developed countries' goodwill to take the necessary measures to correct such an uneven situation.

K.T. SALMAN (Iraq\) (original language Arabic): The document we have before us C 85/2, C 85/2-Sup.1, which reviews the world state of food and agriculture, is very important indeed. The document reports shortfalls in agricultural production for numerous reasons which I shall not repeat here. We would like to call for concerted efforts so as to counter these shortfalls in production, particularly in developing countries, through the formulation of agricultural policies conducive to raising the level of agricultural production. We call for the provision of assistance and aid to African countries so as to enable them to develop their economies and solve the problem of declining production. There is a fact which lies before us i.e. that each country has first of all to rely upon its own resources in the development of its economy, especially in the agricultural sector. As the President of the Republic of Iraq , Saddam Hussein, said: "He who is not able to stand on his own feet, cannot stand on borrowed feet".

Iraq , relying on its own resources, has progressed considerably in agriculture over the last few years and has increased plant production, particularly in food grain, vegetables and livestock production. Legislation has been enacted to promote agricultural production, including allocation of lands to graduates of agricultural and veterinary faculties ; and colleges to utilize their acquired knowledge in developing the agricultural sector in. Iraq . Good results have been achieved in this respect.

Another law was promulgated where unpopulated and unarable areas are rented out to those who are willing to attempt to develop them agriculturally.

Furthermore, the investment capital of the Cooperative and Agricultural Bank was raised from 10 million dinars to 300 dinars (approximately 1 000 million US dollars), in order to lend to cooperatives and farmers at nominal interest rates in purchasing the necessary agricultural inputs to increase agricultural production.

As a result of these measures, farmers' incomes have incresed, and the phenomenon has led to a retroexodus from the cities to the countryside in view of increasing returns. Further, all the institutions and structures which are necessary for the rural areas, namely schools, clinics, roads, drinking water, telephones, etc. ... have been developed and strengthened. Now land rent is an attractive venture due to the increase in the farmers' income.

This was a very brief statement on the agricultural situation in Iraq which I have made merely so that other countries would benefit from our experience.

Sra. O.C. FERNANDEZ (Colombia): Sr. Presidente, los delegados de Colombia se sienten muy complacidos de trabajar para su Presidencia en esta importante Comisión.

Sr. Presidente, este análisis, que corresponde a los años 80/84, se efectúa a mediados del tercer decenio de las Naciones Unidas para el Desarrollo, que, como los dos anteriores, han sido un fracaso y coincide con la evaluación que por fin se ha llevado a cabo en las Naciones Unidas con la estrategia internacional para el desarrollo y que demostró que no se alcanzó ninguno de los reales objetivos de la estrategia. Como dice el documento C 85/2, en la primera mitad de este decenio la agricultura quedó gravemente afectada por el ritmo de la economía global y por las dificultades de la deuda, de la inmensa deuda externa que soportan los países en desarrollo, particularmente los de Africa, América Latina y el Caribe. Sigue constituyendo el obstáculo más grave para nuestros países y agravado todo ello por la disminución de los recursos financieros de la agricultura. Además la crisis económica ha obligado a restringir nuestras importaciones, incluyendo los alimentos, como dice el párrafo 41.

Por todo ello, los Estados del tercer mundo se están viendo afectados, como se desprende de la lectura del documento 85/2 - Supl. 1, y esta situación es menos favorable en la actualidad que cuando se preparó el documento inicial. En efecto, las últimas estimaciones indican una mayor reducción en 1985, respecto al alimento logrado en 1984. El cuadro 4 del documento C 85/2 indica que en la región de América Latina y el Caribe el índice de las importaciones de alimentos pasó, de más del 8 por ciento en la década del 70 al 80, a menos del 7,3 por ciento en la del 80 al 83. Esa disminución en el aumento de la producción agrícola en nuestros países desgraciadamente se debe a los factores anteriormente señalados que tantos males vienen causando a los países de América Latina y el Caribe.

El párrafo 130 del documento señala la gravedad de la crisis económica, que durante los 80-84 arrojó los datos que se describen en este párrafo. Aumento de la deuda, disminución de las importaciones, aumento también de los precios al consumo, y para completar este cuadro tan desfavorable, se registró también un incremento del desempleo, así como la disminución de las importaciones particularmente.

La delegación de Colombia opina que la región de América Latina y el Caribe dispone de un gran potencial que estamos dispuestos a utilizar por todos los medios posibles. Los Gobiernos de nuestra región estamos dedicando recursos para la agricultura en gran medida y en nuestro plan de desarrollo estas actividades están recibiendo alta prioridad, como lo acaba de puntualizar el Viceministro de Agricultura en la Comisión Plenaria, quien, por voluntad del Presidente de la República ha venido a declarar en esta Conferencia la inquietud, la inquebrantable voluntad del Gobierno y de su pueblo de Colombia para aportar los mayores esfuerzos para el desarrollo de la agricultura.

No puede nuestra delegación pasar por alto el contenido de los párrafos III y siguientes sobre la situación de Africa. Desafortunadamente ese Continente sigue siendo víctima del estancamiento económico, del aumento de la deuda externa, la sequía y el hambre. La delegación de Colombia piensa que en el informe sobre este tema nuestra Comisión debe destacar los más sobresalientes objetivos negativos de la situación de la agricultura y de la alimentación en Africa, América Latina y el Caribe, Asia, Lejano Oriente y Medio Oriente; con la esperanza de que el próximo informe sobre la situación de las regiones del tercer mundo no sea tan lamentable y desafortunado como éste que se presenta en el documento.

M.I. MAHDI. (Kingdom of Saudi Arabia\) (original language Arabic): On behalf of Allah the merciful and compassionate, allow me to express the satisfaction of my country at seeing you in the Chair of this Commission. We trust your capacity and your usual wisdom. We shall endeavour to be as brief as possible in order to take into account your appeal. First of all we should like to thank the Secretariat for the contents of the document before us. This analysis is a very comprehensive one, and there is no doubt that the trend is towards the growth of world food production. This growth will even succeed the increase of the population. However, this growth is quite marginal in relation to all the developing countries. Production will show an increase in certain countries, but in certain other countries the situation will deteriorate.

There is no doubt that countries of the Third World must first of all, and above all, rely upon themselves by giving absolute priority to agricultural production and by increasing, in particular, food production, which should exceed the present rate of three percent.

In spite of the economic crisis which exists throughout the world, and especially in the developing countries, there is a will to grant priority to agricultural production.

However, national efforts alone for a very large number of developing countries, especially in the present economic situation, are not sufficient. The situation demands additional efforts at an international level , since it is possible for developed countries to contribute to the improvement of the agricultural situation of developing countries by stabilizing the market and by ensuring additional guarantees for agricultural supplies, as well as by providing access by developing countries to the markets of developed countries.

E. PARDO (Argentina\): Esta es mi primera experiencia en esta Organización, y hasta ahora eratodo tan perfecto que no me parecía muy humano. Ahora he comprendido que la FAO, además de ser una Organización, tiene también características humanas como las fallas técnicas.

Señor Presidente: Quisiera agradecerle a la Secretaría los excelentes documentos que tenemos hoy en análisis. En el documento C 85/2, el enfoque acerca de la recuperación desigual de los países industrializados respecto a los países en desarrollo, y el tratamiento del tema de la deuda externa para el crecimiento de los países en desarrollo, nos parece de suma corrección.

Una vez más, deseamos destacar que el tema de la deuda externa afecta y condiciona el tratamiento de problemas prioritarios en materia de desarrollo económico.

De esta manera, la brecha entre los países desarrollados y los países en desarrollo continúa ampliándose y se agrava por la masiva transferencia de recursos hacia el Norte.

Para los países en desarrollo, la disminución de la corriente de capital externo, las altas tasas de interés, la reducción en el comercio y el deterioro de la relación real del intercambio, están llevándolos a la imposibilidad de atender los servicios de la deuda externa.

Como el señor Presidente lo sabrá, nuestra posición, la posición de la Argentina, se inserta en el Consenso Regional de Cartagena y en la posición del Grupo de los 24, destacando a este respecto los siguientes parámetros: existe una estrecha vinculación entre la deuàa, el financiamiento y el comercio; el carácter básico central que asume la elevación de las tasas de interés; y por otra parte, el tratamiento político que debe darse al tema de la deuda externa.

Es sabido, señor Presidende, que la deuda externa de los países en desarrollo condiciona severa-mente su política exterior, pero con un peso específico irregular dependiente de las regiones. En el caso concreto de América Latina este peso es de suma gravedad.

Quisiéramos destacar, especialmente al respecto que en este documento, ya pasando al tema del comercio internacional de productos agrícolas, quisiéramos destacar la gravedad, tal vez no suficientemente explicitada en el mencionado documento, del tema del comercio y los subsidios a las exportaciones.

Al respecto, señor Presidente, nosotros estamos muy preocupados por la generalización de las exportaciones subvencionadas y las prácticas especiales de precios en materia de productos básicos, así como también la institucionalizacion de la asistencia crediticia derivada de las agresivas políticas comerciales de los principales países exportadores desarrollados. El uso habitual de estas prácticas ha traído como consecuencia, importantes desplazamientos en las corrientes comerciales obligando a los países con limitada capacidad de financiamiento, a colocar sus cosechas con fuerte reducción de precios.

En una importante reunión que tuvo lugar en la capital de mi país, en los días 12 y 13 de setiembre del corriente año, me refiero a la Novena Reunión de Países Productores de Carnes del Hemisferio Sur, se llegaron a una serie de conclusiones que creemos merecen un detenido y profundo análisis porque los países intervinientes, me estoy refiriendo a Australia, Nueva Zelandia, Uruguay, Brasil y la Argentina, se caracterizan por haber demostrado que han alcanzado la mayor eficiencia en la producción de carnes vacunas y ovinas.

En las Conclusiones de esa Reunión se expresa, y cito: "El análisis de la situación actual y las perspectivas de la producción, elconsumo y el comercio de carnes vacunas, pone de manifiesto que luego de la caída experimentada hasta 1984, la producción conjunta de carne vacuna en los cinco países permite esperar un leve crecimiento de alrededor del 2 por ciento en 1985, sin nirigún crecimiento adicional significativo previsto para 1986. La producción, el consumo, la exportación de carne vacuna se estima que se incrementará ligeramente también en un 2 por ciento en 1985 respecto a 1984, con un mayor crecimiento de las exportaciones de Australia y Nueva Zelandia, un descenso en las exportaciones del Uruguay y Brasil, y sin cambios significativos en las de Argentina". Fin de la cita.

En otro párrafo del mencionado documento se destaca lo siguiente: "El aumento en las disponibilidades exportables combinado con el impacto de crecientes exportaciones de carne vacuna subsidiadas por la Comunidad Económica Europea, han causado condiciones extremadamente dificultosas para la comercialización de las carnes bovina y ovina". Fin de la cita.

El deterioro de los precios internacionales se debe a la política de apoyo y subsidio a las exportaciones de carne instrumentadas por algunos países desarrollados, e impiden a los países eficientes llegar a los mercados, lo que constituye el factor principal de perturbación del mercado internacional, afectando principalmente los intereses de los países en desarrollo.

Para facilitar el intercambio comercial, se estima imprescindible que el mercado mundial, tanto en carnes como en granos, adquiera una correcta y sana transparencia con medidas de estímulo para los países productores y eficientes que estarán en condiciones de abastecer una mayor demanda con precios asequibles, y por supuesto, a precios más bajos que los que podrían alcanzarse en países que, por condiciones ecológicas desfavorables, provocan que sus precios internos superen notoriamente a los del mercado mundial.

Por ello, quisiera culminar esta exposición expresando nuestra espectativa ante la nueva Ronda de negociaciones comerciales multilaterales del GATT, donde esperamos una vez más que pueda concretarse además, la remoción de ciertas barreras no tarifarias como reglamentaciones sanitarias, concesión de licencias y procedimientos aduaneros. Muchas gracias.

U. TIN HLAING (Burma\): The document on The State of Food and Agriculture gives us clear information about global agriculture in the different regions of the world, and reflects that while there were increases in food production during the past biennium, millions of people are still suffering from hunger and malnutrition.

Burma as a developing agricultural country is mainly dependent in its national economy on agricultural production and exports. Accordingly, my government gives high priority to the agricultural sector and has laid down positive guidelines to boost production, both in quality and quantity.

During 1984 and 1985, an annual growth rate of 4 percent in the agricultural sector was achieved in Burma in spite of unfavourable weather conditions. Of the many crops grown in Burma rice is the most important for both domestic consumption and export. Efforts are being made in all respects to increase rice production. A special programme called the "Special High-yielding Paddy Programme" was launched in 1977/78. The main features of this programme are the use of high-yielding paddy varieties, the use of large doses of fertilizers and the correct cropping system practices which are conducive to the agroecological parameter of each region. Significantly successful results were achieved with the introduction of this programme. Our Ministry of Agriculture and Forests has accordingly expanded the programme to many towns and to other important crops.

In effectively implementing the crop production programme with the new extension strategy, the main constraints are the availability of chemical fertilizers and other important materials. While the Government of Burma has put much effort into supplying chemical fertilizers from all available sources, the major problem is the spiralling prices of these essential input materials. The disparity between the price of agricultural commodities and input materials is not in favour of the developing agricultural countries. We feel that this should be remedied immediately by concerted action so that the situation is not further worsened. In this respect, we are most grateful to FAO and the other multilateral agencies for their cooperation in our various crop production projects. I am also happy to express our sincere thanks to friendly agencies for their support and generous assistance in chemical fertilizers and special high-yielding crop production programmes. Burma has spared no effort in the direction of increased food production. Given the necessary import materials, we are still capable of producing more food.

M.A. SHEIKH (Somalia\): I am grateful for the opportunity of commenting on document C 85/2-Sup.1 in front of us, which has been well prepared by the Secretariat. We are happy to note that the year 1985 to some extent witnessed further expansion in food and agricultural output even though the result is somewhat less than for the year 1984. My country experienced very severe drought in 1983 and during the early part of 1984, which has necessitated the importation of large quantities of grain. This was a burden on our balance of payments. The grain harvest for the first half of 1985 is encouraging even though we are far from being self-sufficient in food commodities. If we are to achieve progress in production, like other developing countries especially in Africa, we require investment, mainly in agricultural inputs.

At this juncture I would like to thank FAO and the other donor countries. We would also like to point out that the Government of Somalia has embarked on a programme of agricultural activities. Some of the changes we have made so far are price liberalization in farm commodities, elimination of the grain marketing monopoly, providing encouragement for farmers to vigorously participate in food production by giving them credit facilities and providing inputs, land distribution of the former estate farms into smallholdings for tenants, rehabilitation of irrigation infrastructures, and construction of gravelled feeder roads to facilitate the marketing of products by farmers. It is not easy for developing countries to achieve their targetted goal of increasing agricultural output unless outside assistance is provided to cope with the different problems they face in achieving self-sufficiency.

M. BRZOSKA (Poland): Poland shares the general appraisals of the situation of world agriculture, contained in the document under discussion. The evaluation of changes in agriculture, against the background of the comprehensive economic situation of the world in the first half of the eighties is of particular importance. It provides more thorough estimates and primarily offers a chance to find effective ways of solving the world food problem in all its aspects.

The situation in world agriculture does not fill one with optimism, though recently there is to be noted some relief for world recession and drought in Africa. Three spheres in this image arouse particular concern, i.e. Africa, Latin America, and the Middle East.

The evaluation does not fully show the extremeness of the course of phenomena, the limitation of agricultural production in the developed countries, and the insufficient growth of agriculture in the major part of developing countries. But, primarily, it does not show the dilemma arising from the above - how the world community should act in the future so that it does not spend more money for limiting production than for development.

The general appraisals of the agricultural situation deserve appreciation. However, the part devoted to socialist countries is plainly poorer. It has become a tradition to analyse the situation in those countries not thoroughly enough. We are raising the matter since the evaluations concerning Polish agriculture are markedly casual. Meanwhile, Polish agriculture is undergoing thorough changes in economic and pricing systems, in land turnover, in supplying agriculture, in the functioning, of the self-management, and in social questions, according to the recommendations of WCARRD and Agricultural Adjustment. Information about this progress and the situation of Polish agriculture was sent to the Director-General. Those changes brought a well-marked activation of production. The final net output of agriculture and the GNP contained in it exceeded the pre-crisis level in the past year. In spite of restrictions, food consumption in Poland reached again the satisfactory European level, and the food market has been restored.

The Polish delegation moves that the document first under discussion be approved only after the completion of analyses of the changes in agricultural situation in the chapter "Regional Review", especially pages 46 and 47. The authors presumably expected such remarks, and that was why they left pages 47, 48 and 49 blank. This seems symbolical, but will allow for the improvement of the elaboration without increasing its volume.

E.B. SAMUEL (United States of America\): We will try to be brief. Our delegation considers that the Secretariat has presented a useful and generally well balanced review of the state of food and agriculture. We think it particularly commendable, that the Secretariat from time to time, as it has here, place short-term developments in a longer-term perspective. The review of regional agricultural developments is notable for its strong emphasis on the importance of appropriate agricultural policies, and its even-handed treatment of the shortcomings of domestic agricultural policies in both developed and developing countries.

As an aside, let me update the Secretariat's description of recent agricultural developments in the United States . US wheat stocks at the beginning of this July 1985 - June 1986 marketing year were up very slightly over 1984/85 levels, and were the second largest since at least 1970/71. US stocks compromised about one third of world wheat stocks, and matched the volume of US wheat exports in 1984/85. The 1985/86 crop just harvested is estimated to be about 7 percent below last season's harvest, reflecting a drop in both area harvested and yield.

US coarse grains production in the 1985/86 marketing year is about 10 to 15 percent larger than last season's harvest, and is the largest since 1970/71. Both yield and area harvested are up. Beginning stocks in the 1985/86 season are up almost 55 percent over last season and compromise more than half of world coarse grain stocks. We wish to note with special interest in the Secretariat's paper and in the statements of many delegates here, the report of the policy reforms instituted in many countries. Without appropriate agricultural policies, external assistance to agriculture may be ineffective. We are impressed by the Secretariat's statement that progress made by Far Eastern countries was "not the result of favourable weather conditions alone", and by the pursuit or exploration of agricultural policy reform in some Latin American and Near Eastern countries. We are also heartened that several countries are finding less centralized policies to be effective.

We certainly share the report's concern with the dangers inherent in the rise of protectionism in agricultural trade. The US Administration is doing everything it can to resist rising domestic pressures for trade restrictions, but its success in doing so will depend upon perceptions that progress is being made to ensure a freer and fairer trading environment.

In our view, the General Agreement on Tariffs and Trade is the appropriate forum for negotiating trade liberalization and it offers the best means of strengthening and improving the multilateral trading system and for expanding trade opportunities for developing countries.

As you know, the United States is in the process of developing legislation which will guide US agriculture over the next several years. While the House of Representatives has passed a Farm Bill, the Senate is still considering another Bill adopted by its Committee on Agriculture. When the Senate adopts its Bill, the House and Senate will reconcile differences in their versions and send an agreed-upon Farm Bill to the President for his signature.

The main objectives of the US Administration with respect to new farm legislation continue to be those contained in the bill the Administration introduced earlier this year: to move the US agricultural sector toward a "free market" environment while maintaining a safety net for US farmers during the transition phase; and to re-establish US competitiveness in world markets by allowing US loan rates to decline to market levels.

If I may briefly address some financial matters, we are encouraged by the generally positive reaction to Treasury Secretary Baker's address in Seoul . He proposed a bold and innovative Programme for Sustained Growth. The Programme encompasses three essential and mutually reinforcing elements: first, comprehensive growth-oriented reforms in the debtor countries; second, continued IMF support coupled with more effective and increased structural adjustment lending by the Multilateral Development Banks; and third, increased commercial bank lending in support of these comprehensive reforms.

In other areas of financial interest, the Administration has continued its attempt to reduce the budget deficit and has taken efforts to other nations to correct the level of the US dollar.

LE PRESIDENT : Ainsi donc, chers collègues je vous donne rendez-vous cet après-midi à 14 h 30 et je lève la séance.

The meeting rose at 12.45 hours
La séance est levée à 12 h 45
Se levanta la sesión a las 12.45 horas

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