Executive Summary

Various analytical approaches have emerged during the past decade that help to capture the complexity and continuing importance of agriculture and assess its relationships with other sectors of the economy and society. In particular, the "Sustainable Agriculture and Rural Development" (SARD) approach aims to foster sustainable development (in the agricultural, fisheries and forestry sectors) that "conserves land, water, plant and animal genetic resources, is environmentally non-degrading, technically appropriate, economically viable and socially acceptable."

Evolving from SARD, the concept of the Multifunctional Character of Agriculture and Land (MFCAL) encompasses the entire range of environmental, economic and social functions associated with agriculture and related land-use. The concept is based on the assumption that agricultural systems are intrinsically multifunctional, and have always fulfilled more than just their primary aim of producing food, fibre and fuel. Analysis of the multifunctional character contributes to understanding the potential linkages, synergies and trade-offs that can help to achieve sustainability in agriculture and rural development. The MFCAL approach provides a policy-oriented analytical framework for the achievement of SARD goals.

In order to examine the relevance of the concept, a growing body of evidence has been reviewed concerning the multifunctional character of agriculture and land across developing and developed countries and at different scales. The three key sources of information on recent developments generated for the MFCAL conference to be held in September 1999 are:

• The 1999 FAO/Netherlands "Multifunctional Case Studies" (MCS) database, comprising 130 case studies based on questionnaires which covered: geographic location and agro-ecological zone, driving factors, types of agricultural systems, scale, monitoring and sustainability of impacts, replicability of the cases, lessons learned, contact addresses and follow-up material. The MCS database has proved to be a unique information source that has drawn on the wide range of global experiences at various levels, from farm to region, with broad coverage of many technical, social and economic areas.
• The 1999 FAO/Netherlands Electronic Conference, held in early 1999, which involved some 1300 participants from more than 80 countries sharing their experiences and perspectives. Contributions came from farms, universities, the private sector, NGOs, governments and international and other organisations. The majority of participants provided examples from the local and farm levels.
• An assessment of the National Reports to the United Nations Commission on Sustainable Development (CSD). Information at the regional level was obtained through questionnaires, regional studies and literature reviews.

THE CASE STUDIES

The MCS and other case studies have been analysed to explore the principal areas of impact of multifunctional agriculture and the factors that contribute to success. They have been arranged according to three categories of functions: environmental, social and economic. Despite this subdivision, all cases illustrate that the emphasised function exists in conjunction with the others.

The cases that relate more specifically to the environmental function show that:

• farmers can profit from soil and water conservation measures, especially when this involves and enhances their own local knowledge and skills;
• there is an increasing number of proven resource-conserving technologies for pest, nutrient, soil, water and energy management;
• inputs such as pesticides and fertiliser can be more efficiently used with precision farming and delivery techniques, low dose use, resistant varieties and breeds;
• replacing chemical inputs by recycling organic matter can help to maintain levels of production, reduce operating costs, help the land to perform functions other than food production, and provide additional income;
• prevention of harmful effects of agricultural production is usually much more cost-efficient than damage repair.

The cases that relate more specifically to the economic function show that:

• a key to progress in developing countries is the provision of affordable credit to poor families, with micro-finance institutions receiving particular prominence;
• diversification of revenue sources can help vulnerable social groups by opening opportunities to produce a greater range of goods and services, such as eco-tourism and environmental caretaking, as well as contributing to greater food security;
• besides financial capital, accumulation includes capital goods such as equipment, animals and land;
• innovations in farming systems have often had multiple benefits, including significant improvements to rural productivity and welfare, and to the natural resource base.

The cases that relate more specifically to the social function, including questions regarding culture and knowledge, show that:

• human capital is crucial to developing sustainable agriculture; it does so through a range of formal and non-formal processes that encourage people's capacity to learn about and act upon their own environments;
• propositions on innovations are more likely to be adopted when organisational capacity is present, and when local knowledge is sought and incorporated during planning;
• participatory learning is crucial to effective innovation, and imposed solutions are less likely to work;
• farmers are continuous adapters and inventors of technology, and their systems are rarely static from year to year, but effective innovation requires interactive collaboration between professionals, in scientific institutions for example, and farmers;
• recent years have seen an extraordinary expansion in collective management programmes throughout the world, in areas such as watershed and catchment, irrigation, forest, and integrated pest management.
• better community organisation can help to reduce poverty in rural areas and sustain cultural integrity and identity, as well as increasing food security.

THE ELECTRONIC CONFERENCE

The participants in the global Electronic Conference debated the characteristics and implications of MFCAL. The group included a wide representation of various stakeholders and had a broad geographical distribution.

The main findings of the Electronic Conference were that:

• emphasis on non-food functions of agriculture should not distract attention from the demands for food of six billion people;
• emphasis on local stakeholders does not mean that those at higher governmental and other institutional levels have no role to play;
• developing multiple functions in agriculture should help to restore the legitimacy and appeal of agriculture for future generations;
• a major requirement is to raise awareness among stakeholders of options for more sustainable farming systems;
• key factors for success include: effective engagement of all stakeholders, a "champion" to carry the process forward for each case, and the capacity to learn lessons from "disasters" as well as from "successes."
• impediments to success include: short-term pressures from prevailing market forces, lack of a longer-term investment horizon to preserve land for other future uses, policies that leave farmers with burdens but not benefits from change, and problems with integrating academic and local knowledge.

THE CSD NATIONAL REPORTS

Analysis of National Reports to the CSD revealed evidence of the contribution of multifunctional agriculture and land use to food security, improved policies and institutions, economic development, poverty reduction and equity, social cohesion, and protection, recovery, rehabilitation and enhancement of the environment. Progress towards sustainable agriculture and rural development (SARD) has been uneven, with problems resulting from an imperfect understanding of the links between environmental degradation and poverty. Other problems have included inadequate assessment of the relationship between population growth and migration and the prevalence of insufficient institutional capacity and political commitment. Another problem cited was the cumulative impact of government debt, leading to persistent reliance on natural resource-based exports based on unsustainable practices. The emergence of an effective constituency of consumers concerned with food and the environment was identified as a possible source of support for sustainability in the future.

GENERAL CONCLUSIONS

The case studies and other sources of information illustrate that the MFCAL concept can be used to identify the many potential private and public benefits of multifunctional agriculture and land use to farmers, rural communities and societies as a whole.

The major conclusions of the stock-taking are that:

• active participation and leadership by rural communities is fundamental to achieving sustainable agriculture and rural development;
• the progressive emergence of local and national institutions that mobilise farmers' associations, community groups, NGOs, the private sector and government agencies is a promising means of collectively addressing concerns about agriculture and land use;
• an enabling national policy environment is necessary, but, in many social and economic contexts, developing and implementing effective policies remains a major challenge;
• efficient and transparent flow of information, between all levels, from the individual land user to international bodies and institutions, is essential in order to promote participation in and ownership of innovation;
• there must be a wide availability of applied research results and locally relevant, adaptable scientific and technical information on agriculture and natural resources;
• there must be improvements in economic instruments, including rural credit and savings institutions, tools for valuation of the range of functions of agriculture, and longer-term assessments and perspectives for investment.

The overall challenge is to find new ways to exploit the multiple potential functions of agriculture and land use and understand the synergies and trade-offs between them. This, in turn, could lead to substantial benefits for national economies and peoples throughout the world.

Acknowledgements

The "Taking Stock" and "Issues" Papers are the two principal technical documents for the conference. The principal contributors to the preparation of these documents were Michel Griffon, Parviz Koohafkan, who guided an important part of the stock-taking process, Jules Pretty and Thomas L. Price, with Miguel A. Altieri, Nadine Azzu, Prem Bindraban, Hans Jansen, Ivo Morawski, Lawrence Smith and Leo van der Berg. Peter Saunders played an essential role as the Technical Editor.

Louise Fresco has supervised the process of preparation and finalisation of the papers. The overall support and guidance of H. Carsalade, J. de Leeuw and A. Sawadogo are gratefully acknowledged.

Important comments and suggestions have been received from many quarters. The extensive review process has included contributions within FAO from: Doyle Baker, Gustavo Best, Luis Botero, David Cooper, Jacques-Paul Eckebil, Louise Fresco, Kisan Gunjal, Lucas Janssen, Peter Kenmore, Kay Killingsworth, Eric Kueneman, Andrew MacMillan, Wendy Mann, John Monyo, Terri Raney, Dirgha Tiwari, Richard Trenchard, Loy Van Crowder, Niek Van Der Graaff, Annemarie VanZeijl and Jacques Vercueil. Special thanks are reserved for the extensive recommendations from the external reviewers: W.H.B. Aarnink, J.J. Neeteson, E.M.A. Smaling and G.G.J. Thissen in the Netherlands; Douglas Forno and his colleagues at the World Bank; Gérard Viatte and Wilfrid Legg at OECD and Tim Aldington and Robert Brinkman as consultants.

Constance Neely and Robert Hart at the University of Georgia (SANREM) were central to the success of the Electronic Conference to contribute to "taking stock.".

Thomas L. Price served as Secretary for the drafting and review process. His contribution was possible due to support from the Government of the United States of America.

The preparation of the documents was possible thanks to the financial contribution of the Government of the Netherlands.