Rome, Italy
September 25, 2007
Most households forced to sell
livestock due to lack of forage and to meet higher food prices
Severe drought has drastically reduced crop yields in Moldova,
driving up food prices and reducing access to food for poor
households, according to a joint report issued today by the
UN Food and Agriculture
Organization (FAO) and the World Food Programme (WFP).
Cereal production is down by 63 percent compared to last year,
and is about 70 percent lower than the average of the past five
years, according to the report, which was based on a joint
mission to Moldova in August by the two UN agencies. The report
estimates 2007 wheat output at 464 000 tonnes, maize at 276 000
tonnes, and barley at 86 000 tonnes.
Dry trend
“Moldova’s 2007 drought has been the most severe in living
memory and represents the extreme manifestation of a trend
towards drier weather conditions in the country,” said Henri
Josserand, Chief of FAO’s Global Information and Early Warning
System.
Moldova has recorded nine significant dry periods or droughts
since 1990. This year’s drought can be compared with that of
1946, during which many Moldovans starved to death. The FAO/WFP
mission observed that many lakes and rivers, usually full to
capacity at this time of year, were dry, and that the water
table in some areas had receded by almost two meters.
Making ends meet
“Reduced yields not only affected overall production, but
drastically reduced returns on leased land and on labour,
hitting small farmers, who usually receive in-kind payments of
wheat, corn and oil, particularly hard,” Josserand said.
Household production from home gardens, a mainstay of food
supply for most rural families, which comprise 70 percent of the
population, was also down sharply, the report said.
Lack of pasture and fodder, and the need to purchase
increasingly expensive food have forced the majority of
households to sell a substantial share of their livestock, a key
component of household financial and food security.
While lending to Moldova’s agricultural sector is relatively
small, debt outstanding is on the order of US$30.5 million for
small farms and farmers’ associations, and over US$100 million
for private agricultural enterprises. Unless these loans are
re-scheduled, the report predicts that the current failed
cropping season may be followed by a delayed or sharply
curtailed one due to producers’ inability to afford inputs.
To maintain the national food balance, commercial wheat imports,
including for emergency stock build-up, are expected to reach
about 237 000 tonnes this year, according to the report. Maize
imports are likely to reach 500 000 tonnes, most of it to feed
what is left of the livestock.
Prices to remain high
Even with adequate overall supply, food prices will remain high
or rise further, the report said. In some markets vegetable
prices have more than doubled compared with the same period last
year, while bread prices have increased by nearly 40 percent in
some areas. With household budgets already stressed, food access
is likely to decrease for poorer households.
“Government-funded social assistance programmes, such as
allowances to vulnerable groups, expanded school canteen
programmes and cash-for-public-work programmes, urgently need to
be stepped up,” said Asif Niazi, Regional Assessment Officer for
WFP. He added that WFP “stands ready to provide technical
support” to the government from its regional office in Cairo, as
WFP does not have an office in Moldova.
Other urgent measures recommended by the report include the
provision of agricultural inputs for October planting, subsidies
for livestock feed in order to prevent further sell-off of
animals, and relief on land taxes and essential food import
duties. Given the prevalence of anaemia in the country, the
report said that imported wheat should be fortified.
Medium-term measures should consist of a rebuilding of the
national herd, improved seed production and multiplication,
appropriate crop mix and water resources for home gardens, and
an upgrade in food security monitoring and early warning tools,
the report said.
The longer term will require a more sustainable strategy for the
agricultural sector, and greater and less expensive access to
credit and to agricultural insurance, including weather-indexed
risk management instruments.
FAO/WFP Crop and Food Supply Assessment Mission report (pdf)
ftp://ftp.fao.org/docrep/fao/010/ah871e/ah871e00.pdf |
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