1

Medium term plans for Agriculture and Growth

By Hon Anastase MUREKEZIMinister of Agriculture and Animal Resources

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Background of the Sector Importance of Agriculture for Growth and poverty

reduction in Rwanda For 90%: employment, incomes, food supply and multiplier effects

Growth strong but below PRSP target: 2002-2005: 4.2%

PSTA under implementation with institutional reforms underway

Agriculture and GDP Growth trends - 2002-05

-10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

2002 2003 2004 2005

Gro

wth

% Agriculture

GDP

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EDPRS Outcomes

Vision 2020 and LTIF Objectives and Targets align with EDPRS

Medium Term and EDPRS outcomes Agricultural growth of 6% annually Annual growth rate of agricultural

export revenues is 7% Average per capita real income in

agriculture increases by 5% from baseline

Halve the proportion of population below minimum food requirements

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Overview

Challenges and Opportunities

PSTA & Institutional FW

Seven Sector Priorities for 2007 and beyond

Cross cutting issues Conclusion

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Challenges for Agricultural growth

Low market access

Low skills and

capacity

Policy & Institutional

Challenges for Growth

Land pressure

Poor Soil & Water

ManagementLow Input

Supply & Use

Access to Rural Finance

Infrastructure energy crisis

Research and Extension

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OpportunitiesInstitutional Opportunities There is political will and commitment in the sector Existence of decentralised structures Land reform EDPRS provides the opportunity to guide and review

the targets

Agro Climatic Opportunities Availability of organic manure and travertine Rwanda rich volcanic soils in north and acidic soils for

quality tea. Two agricultural seasons and an mostly a third one in

the marshlands Abundance of water resources 165 000 Ha marshlands Diversity of agroclimatic zones

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PSTA 2005-2008 PROGRAMSNational Agricultural Policy

(NAP/PNA)

PROGRAMME 1: Intensification and development of sustainable production systems

PROGRAMME 2: Support to the professionalization of farmers

PROGRAMME 3: Promotion of commodity chains and development of agribusiness

PROGRAMME 4: Institutional development

Strategic Plan for Agricultural Transformation (SPAT/PSTA)

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PSTA priorities reflected in GoR spend

Programme % 2006 % 2007

1: Intensification and Development of Sustainable Production Systems

40 38

2: Support to the Professionalization of Producers

21 34

3: Promotion of Commodity Chains and Agribusiness Development

9 16

4: Institutional Development

30 13

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Actors in AgricultureWho is implementing our Priorities? Decentralized implementation

Next year 40% of recurrent Ministry budget to districts for implementation

The private sector, Cooperatives and NGOs MINAGRI Agencies

RADA RARDA ISAR RHODA

Other government Agencies and Ministries, i.e. OCIR-The and OCIR-Café; and Rwanda Bureau of Standards (RBS); MINITERE, REMA etc.

Donors

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Priorities1. Soil ConservationConservation of soil is the

foundation of sustainable agricultural growth

EDPRS target: 30,000 Ha Radical Terraces

Constructing radical and progressive terraces 13,000 Ha completed Dec.

2006 Decentralized implementation

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Priorities2. Development of the Marshlands

Increasing the land under cultivation relieves land pressure and increases productivity

EDPRS target: 26,000 Ha by 2012 Master Plan for the Marshlands

66,000 Ha by 2016 2006 (11,105 Ha) reclaimed as rice

fields Environmental Impact Assessment

Cash crops for Marshlands Rice and Maize fields Private sector pilot rice project in

Muvumba (2000 Ha) Increased mechanization

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Priorities3. Upland Irrigation

Development Reducing the dependence on rainfall and increasing stability of yields

EDPRS target: 10,000 Ha upland irrigation by 2012

Irrigation master plan to be developed in 2007 By 2006 approximately 200

Ha completed Upland: gravity, sprinklers

and drip irrigation Community based initiatives

Rain water catchment 500 microdams, 8 small dams, 10

large dams Cost of irrigation in Rwanda

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Priorities4. Enhancing Animal

ResourcesLivestock offers opportunities for rapid increase in income and economic growth.

EDPRS target outcomes Improving quality of stock Increased production of meat

and dairy through cattle and small animals

Increase diversification of animal resource produce (e.g. fish, honey)

Disease control improved Improved feed mainly through

zero grazing

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Support for Animal ResourcesProfessionalisation, Veterinary services, Animal Health and Feeding Professionalisation

Agribusinesses, zero grazing, increasing competitiveness

Veterinary Services Client score card pilot Training inseminators in cooperation with

private sector EDPRS: Three trained inseminator in each sector

by 2012 Animal Health

Disease control EDPRS: 80% of national herd immunised annually

against major epidemic diseases. Improved Animal Feeding

Natural and industrial fodder EDPRS- 2 Tns of improved forage seed

disseminated every year

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One Cow per poor Family ‘Girinka’ programme Goal: Poverty reduction and enhancing

productivity Economic benefits: dairy, meat and

manure Improving the social status of the poor

Criteria for selection < 0.75 Ha of land (communal grazing

possible) No cows at present Erosion control and fodder (20 Ares) Community approval and appraisal

Exemplary behaviour: ‘inyangamugayo’ Participation in community work:

umuganda and gacaca Stakeholders: Farmers, districts, ADB, IFAD

and other partners join please EDPRS target: 100% of 668.763 households

under the programme one cow one family by 2016

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Priorities5. Increasing use of Inputs

Increase in utilization of inputs to increase production quantity and quality and improve food security

EDPRS target: Increase from average of 4 kg per Ha to 20 Kg per Ha by 2012

Guidelines for national fertilizer strategy in use

Encouraging improved inputs Seed strategy with ISAR, RADA and private

sector EDPRS Increase use of improved seeds

from 10% to 30% by 2012. Extension Services: under development

Building farmers organisations Increased decentralised funding

Private sector involvement in distribution of inputs Revolving fund with BNR

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Priorities6. Ensuring Food Security

Ensuring food security in communities is a necessary condition for human development and any economic growth

EDPRS: At least halve the proportion of population below minimum food requirements

Production, Access and Nutritional aspects Calories: 2100 Kcal per day

Rwanda average intake is 83% for 2006 A

Sources: banana, tubers, cereals Proteins: 59g per day, in which 10%

should be from animals Rwanda average intake is 72% for 2006

A Sources: leguminous, milk, meat, eggs,

fish Lipids : 40g per day

Rwanda average intake is 30% for 2006 A

Sources: plant oil, animal products

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Priorities7. Promotion of Exports

Foreign earnings have positive macroeconomic impact as well as direct income impact on rural population. EDPRS: (by 2012) 80% of exported tea is good leaf

tea (By 2012) 80% fully washed coffee from 5% of

total production in 2006 Traditional crops

In 2005 (28 Mln US$ from tea), 30.000 employed In 2005 (38 Mln US$ from coffee), 400.000 farmers 4.7mln US$ from hides and skins 2005

New export crops Horticulture (vegetables, fruits, flowers) Alternatives: Macadamia, Moringa, essential oils,

sericulture Transformation into agri-businesses

EDPRS target: raise membership of farmers cooperatives by 50%

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Supporting Priority Programmes Capacity Building

To further increase absorptive capacity of the sector Build capacity in Districts for planning, budgeting, delivery

& M&E Promoting Professionalisation and Transformation from

subsistence towards commodity chain approach and agri-business

Building extension services and research for development Improved access to and quality of extension services Increased range of stakeholders and partnerships for

delivery Client oriented research

Capital investments and increasing access to credit Rural infrastructure Agricultural and Rural credit Microfinance

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Cross cutting issues

Environmental sustainability EIA guidelines Sustainable Agricultural

Practices Social Inclusion

Youth and vulnerable groups targeted in extension

Gender Skills, services and knowledge

for women in Agriculture HIV/AIDS

Special programs to ensure food security and support health

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Budget: Maputo and actual allocationGoR Recurrent funding, Maputo Target and execution trends

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

2002 2003 2004 2005 2006 2007

Ag

as

% o

f G

oR

Fu

nd

ing

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Bu

dg

et

ex

ec

uti

on

%

BO Agric as% of GoROrdinaryBudget

Maputo 2008target of10% ofGovernmentFunding

% Budgetexecution forMINAGRI(2006 to endOCT)

Execution to Oct 2006: (81%); 2005: (87%); 2004: (93%); 2003: (55.3%); 2002: (53.5%)

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Outputs Vision 2020 and Long term Strategy Agricultural sector grows 6% annually Population living on agriculture decreases

from 90% to 50% Ha of Modern farms increases from 3% to

50% Agricultural production kcal/pers/day from

1612 kcal to international standard (2100 kcal)

Availability of proteins g/pers/day increases from 35 to international standard

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Conclusion Reaching our Growth Targets

Sector priorities EDPRS investments planned in LTIF to achieve Vision 2020

Agriculture provides the foundation for sustained economic growth and poverty reduction in the medium term for Rwanda

Murakoze Cyane