An introduction

1. An introduction By Julien Grollier PACT EAC PROJECT: AN INTRODUCTION

2. The PACT EAC project • PACT EAC stands for “Promoting Agriculture-Climate-Trade linkages in the East African Community” • It will build the capacity of EAC stakeholders to implement sound policies to harness the potential of trade in reducing poverty and hunger in the face of climate change. • A 3-year project (2011-2014) undertaken by CUTS International Geneva and regional partners in the five EAC member countries, i.e. Burundi, Kenya, Rwanda, Tanzania and Uganda. • Two separate but synergetic segments for human and institutional capacity building of EAC stakeholders. • A Project Advisory Committee (PAC) will supervise the implementation of the project and provides guidance and feedback . Implemented by In partnership with With funding support from PACT EAC PROJECT: AN INTRODUCTION

3. Structure 1. Why this project ? 2. Segment One : Capacity Building for adaptation • Objectives • Policy Research • Training • Advocacy 3. Segment Two : EAC Geneva Forum • Objectives • Implementation 4. Networking: Building a critical mass of actors 5. Work plan PACT EAC PROJECT: AN INTRODUCTION

4. WHY THIS PROJECT? 1. PACT EAC PROJECT: AN INTRODUCTION

5. EAST AFRICANS: HUNGRY FOOD PRODUCERS • Rain-fed agriculture is the mainstay of EAC countries’ economies • 80% East Africans rely on agriculture for their living, mainly smallholders • Countries dependent on agriculture sector for revenue, employment and food security • The region has a huge potential and capacity to produce enough food for regional consumption and a large surplus for export to the world market • Paradoxically, about 4 in 10 East Africans are undernourished.

6. EAST AFRICANS: HUNGRY FOOD PRODUCERS • Some reasons: • Climate-reliant, low agricultural productivity: High variability in production due to high variability of weather; frequent extreme weather events; • Markets and Trade: Low producer prices making agriculture less remunerative; Uncertainty in income flows due to price volatility in agricultural commodities; Inadequate food trade between surplus and deficit areas • Infrastructure & Technology: Low levels of technology adoption by smallholder farmers (fertilizer, improved seeds etc.) ; Inadequate infrastructure such as transport, communications, storage and processing facilities leading to high post harvest losses etc. • Policy & Institutions:Inadequate and weak farmer’s institutions incapable of supporting a vibrant agricultural sector; Inadequate institutional support to livestock and fisheries • Information: Inadequate flow of information on the adverse climate change impacts and actions to the producers

7. 1. WHY THIS PROJECT? Projected EFFECTS of climate change in EAST AFRICA Sub-Saharan Africa is likely to face above average global warming, leading to dryer dry months and wetter wet months. Climate change will change the pattern and magnitude of precipitation leading to changing patterns of agricultural production and trade. This will worsen the food security situation CLIMATE CHANGE VULNERABILITY INDEX 2011 Source: Maplecroft

8. Projected EFFECTS of climate change in EAST AFRICA • Unpredictable rainfalls: more floods and droughts destructing crops or reducing productivity, leading to food shortages. Increased extreme weather events. • Water shortages: Kilimanjaro glacier will disappear by 2020; sea-level rise leading to changed ecology of coastal areas; river flow declining; all this leading to water scarcity for drinking, irrigation and hydropower ; • Less food production: Less supportive conditions for the production of current staple food crops; warmer lake waters altering eco-systems and unsuitable for many fish species. • Food insecurity: lower and unpredictable production and productivity; higher food prices due to shortages ; • Changing production patterns and increased relevance of trade: Trade patterns will change as production patterns change; East Africa will probably have to import more food as a result of climate change. Need for adaptation and mitigation policies to cope with these challenges

9. ADAPTATION Measures: the potential of Trade • Reducing Climate-induced Food insecurity • Freer trade in goods: greater production efficiencies; lower prices ; • Freer trade in services: affordable acquisition of technology, infrastructural services and knowledge that can improve competitiveness • Food imports: Increased availability and affordability of staple food, but poses other challenges • Export-led growth: Increased livelihood options and demand for labour and business opportunities in transport, processing, trading, etc; Generation of export revenue from non-food products will facilitate food imports for food scarce regions; Niche export crops are labour intensive and create new livelihoods for poor producers despite climate change • Multilateral rules: WTO Agreement on Agriculture (AoA) allows expenditure by developing country governments to maintain food security stocks (not treated as a subsidy)

10. Mitigation Measures: the potential of Trade • Contributing to climate change mitigation • Encouraging trade in organic products, • Facilitated access to energy-efficient transportation, • Reducing GHG emissions by increasing regional trade • Increase the availability of resources and technologies to plan and implement mitigation and adaptation policies • Etc. • Need to increase knowledge of trade-climate change linkages in the region

11. Trade: RELATED RISKS • Effects of increased trade • Increased exports can disproportionately affect subsistence farmers, mostly women • Lower revenues through customs duties might reduce resources to deal with food security and climate change challenges • Trade liberalization measures might lead to immediate increase in imports rather than exports • Can directly contribute to larger greenhouse gas emissions

12. Trade: POLICY challenges • Multilateral rules • Subsidized food production in OECD countries are allowed by the WTO Agreement on Agriculture (AoA) and can depress international food prices • discourages investment in EAC food production • cheap food imports can displace domestic production, particularly by small and subsistence farmers. • No mandatory provision against export prohibitions in AoA, whereby a country willing to ensure domestic food security impacts that of other countries negatively • Strict global standards for patents and lack of protection of bio-diversity, genetic resources and traditional knowledge under the TRIPs Agreement • can potentially impede the transfer of required mitigation/adaptation technologies to EAC countries at affordable prices. • EAC countries need to participate effectively in the WTO to redress these challenges.

13. EAC Institutional and Policy framework EAC countries have strived to develop regional policies to deal with these challenges, including: • EAC Common Market Protocol, which entered into force in July 2010. It provides for free movement of labour, goods, services, capital, and the right of establishment within the EAC. • Preparations towards the establishment of an East African Monetary Union by 2012 • The EAC Food Security Action Plan (2011-2015), which serves as a guide to the implementation and actualization of the regional food security objective • The EAC Climate Change Policy, which is being implemented • A Climate Change Master Plan and Strategy is being prepared

14. Remaining gaps Lack of holistic policies • No regional policy addresses all three issues in an inclusive manner • Limited capacity of the EAC Secretariat to comprehensively examine climate change, food security, and trade issues, and hence to develop adequate and holistic policy responses in consultation with relevant stakeholders Knowledge and advocacy gaps • Trade-climate change linkages in the region are little understood and need to be investigated • Existing information about the interface between food security-climate-trade need to be better disseminated to stakeholders in the EAC

15. Remaining gaps Lack of multi-stakeholder participation • Region-wide, multi-stakeholder networks that are crucial for this endeavour have not been fully developed Lack of coordination at the WTO • Although EAC countries are active participants in international trade and are members of the WTO, they do not formally coordinate their negotiating positions • Geneva-based delegates lack direct connections to the grassroots in their countries

16. ADDRESSING THE GAPS PACT EAC PROJECT: AN INTRODUCTION

17. Segment One 2. Building the capacity of EAC stakeholders to cope with the challenge of climate change on food security through trade PACT EAC PROJECT: AN INTRODUCTION

18. Activitiesat a glance • 6 research studies • Training manuals and materials • 3 regional training workshops • 10 national training workshops • 12 Policy Briefs • 30 advocacy messages targeted at key stakeholders • Media releases Policy research on issues related to trade, food security and climate change in the EAC, including on trade policy and trade politics to fill the current knowledge gaps Trainingof stakeholders to build their capacities to understand and deal with climate change impact on food security including through tailored trade policies and measures Awareness-raising and advocacy to disseminate knowledge and information among the stakeholders on the issue with a view to persuading them regarding the need to adopt adequate and holistic policies and strategies  Networking among stakeholders PACT EAC PROJECT: AN INTRODUCTION

19. Policy Research Why ? to fill the knowledge gaps on climate change-food security-trade linkages among the stakeholders in the EAC. How ? 6 teams of 3 national researchers, experts in all the three areas, will build upon and synthesise existing research, before undertaking field research in collaboration with relevant research institutions (e.g. FARA, CCAFS) • Research Outputs • 5 country studies • 1 regional study on trade policy and trade politics and its relationship with climate change and food security issues in the EAC. • SynergiesThe research outputs will be used for other outputs: • short advocacy documents to increase the understanding of all stakeholders; • training materials for the training workshops PACT EAC PROJECT: AN INTRODUCTION

20. Policy Research : OBJECTIVES Identify • negative and positive elements of climate change that hamper or enhance food security in the countries • negative and positive elements of trade in goods and services that hamper or enhance adaptation to climate change • positive linkages where trade can minimize the negative impacts of climate change on food security Analyse • interactions of climate-trade-food-security policies currently in place in the EAC countries Recommend • concrete policy recommendations that help to adapt and to mitigate climate change-induced food security challenges by employing trade

21. Training Why ? to increase the technical capacities of a critical mass of stakeholders to deal with these issues, including through appropriate policy formulation and implementation. How ? Expert partners will develop training materials, with inputs from project research. These will be used in national and regional training workshops conducted in collaboration with local partners. Training materials will also be made available to other organizations for use in their respective training programmes. • Training Outputs • 3 regional training workshops • 10 national training workshopswith help from local partners • Training Manuals and Materials PACT EAC PROJECT: AN INTRODUCTION

22. Advocacy • Advocacy Outputs: • 12 Policy Briefs • Action alerts • Media releases • Why? • to disseminate knowledge and information about climate change-food security-trade linkages among the stakeholders • to persuade about the need to adopt adequate and holistic policies and strategies. • To communicate about relevant aspects of the research findings • To target the right stakeholders with the right messages • How? • Short publications based on research outputs disseminated through local partners and the project networks to ensure greater outreach and impact. PACT EAC PROJECT: AN INTRODUCTION

23. Segment TWO 3. A Bi-Monthly Forum for Substantive Support at the WTO and Grassroots Linkages

24. An eac forum in geneva • Agenda item 1 • Substantive issue under discussion / negotiation at the WTO identified by EAC delegates • 1 analytical note by CUTS on a substantive issue under discussion at the WTO • Agenda Item 2 • Update from the region focusing on latest developments regarding EAC regional integration and other relevant issues issues. • 5 Country update notes by project partners with grassroots consultations • 1 Regional Update note by CUTS ARC Nairobi  Any issue identified by stakeholders  Identification and follow-up of action points PACT EAC PROJECT: AN INTRODUCTION

25. FORUM OBJECTIVES PACT EAC PROJECT: AN INTRODUCTION

26. Principles PACT EAC PROJECT: AN INTRODUCTION

27. VISITS OF REGIONAL STAKEHOLDERS • Delegates from the region, including from the EAC Secretariat, will be invited to the Forum meetings around key WTO events • Better participation of regional and national policy-makers in international events • Better understanding of on-going work in Geneva • Opportunity to meet directly with their delegates and other stakeholders based in Geneva PACT EAC PROJECT: AN INTRODUCTION

28. NETWORKING 4. Building a critical mass of actors for dealing with the challenges

29. Building a critical mass of concerned actors • Networks involving all stakeholders for: • Wider impact of advocacy • Reflecting the concerns of all actors in all project activities • Building ownership over project recommendations • Effective information-sharing among them • Creating a platform that connects policy-makers with the grassroots • Regular events: • Regional Annual Meetings • NRG meetings • National & Regional Training workshops • Final International conference in Geneva PACT EAC PROJECT: AN INTRODUCTION

30. NATIONAL REFERENCE GROUPS (NRGs) A multi-stakeholder NRG will be constituted in each project country, coordinated by the respective country partner • NRGs will be involved at all stages, including in: • 2 NRG meetings per year in each country • Identifying research gaps and capacity building needs • Designing and reviewing research studies • Reviewing training programmes and materials • Participating in training workshops • Disseminating advocacy outputs and media releases • Networks composed of representatives from Academia, Business associations, Civil Society Organizations, Diplomatic missions in Geneva, EAC Secretariat, Farmers associations, Governments, Intergovernmental Organizations, Media, Public Sector PACT EAC PROJECT: AN INTRODUCTION

31. JOIN PACT EAC ONLINE! www.cuts-geneva.org/pacteac • NRG members can meet on this interactive website and: • Create a profile • Find potential partners • Share documents • Create and participate in discussions • Create and participate in events • Advertise their work • Find the latest information about the project • Etc. PACT EAC PROJECT: AN INTRODUCTION

32. WORK PLAN 5. Work undertaken so far and milestones for 2012 PACT EAC PROJECT: AN INTRODUCTION

33. Progress as of February 2012 PACT EAC PROJECT: AN INTRODUCTION

34. 2012 MILESTONES 01 02 03 04 05 06 07 08 09 10 11 12 5 country studies start 5 country studies finalised RegionalStudystart Project Inception Meeting 5 NRG Meetings Regional Annual Meeting 5 NRG Meetings PAC meeting PAC meeting Training Programme Finalised EAC Forum EAC Forum EAC Forum EAC Forum EAC Forum EAC Forum PACT EAC PROJECT: AN INTRODUCTION

35. THANK YOU | ASANTE SANA www.cuts-geneva.org/pacteac WITH FUNDING SUPPORT FROM SWEDISH INTERNATIONAL DEVELOPMENT AGENCY