CCAFS Climate-Smart Agriculture Learning Platform, South Asia

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May 2014 | CSALP South Asia, Quarterly Newsletter | 08

CCAFS Climate-Smart Agriculture Learning Platform, South Asia

CSALP South Asia, Quarterly Newsletter | 3

Improved rainfall indices help insure more than 50,000 farmers in IndiaCCAFS assisted the Agriculture Insurance Company of India Limited with technical guidance on developing rainfall triggers for weather-based insurance products in two states in India.

PRAMOD K AGGARWAL, REGIONAL PROGRAM LEADER, CCAFS SOUTH ASIA

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burden of uncertainty.

Sixty-eight percent of the net sown area in the country falls under rainfed land, and the livelihoods of millions of smallholder farmers are intricately linked to the rains.

Climate change is altering rainfall intensity and patterns in the country. The Fifth Assessment Report of the IPCC projects an increase in extreme rainfall events over central India and an increase in mean and extreme precipitation in the summer monsoon. Even when a farmer has taken every measure to ensure a healthy harvest, a bad spell of weather can destroy all hopes.

One way for farmers to deal with these changes is to manage their risks and insure themselves against losses arising from weather shocks.

Insurance also allows farmers to continue to invest in inputs and technology that can increase their average yields and income, without worrying about suffering losses and slipping into debt.

Nearly 32 million farmers are insured in India, with 12 million under weather-based index insurance schemes. Weather-based index insurance is in many ways a more fair, transparent and quick way to assess crop loss as it uses weather indices, such as rainfall and temperature, rather than a possible consequence of extreme weather, such as crop failure, to determine payouts.

Although these numbers seem massive relative to other parts of the world, the full potential of weather-based index insurance remains untapped because of technical and operational bottlenecks. This sector is bogged down by lack of transparency, poor

awareness about insurance and delays in processing claims.

WHY DETERMINING ACCURATE WEATHER INDICES MATTER

Identifying how weather-based insurance can serve farmers better is among CCAFS South Asia’s priority research areas. We work closely with the largest agriculture insurance company in the country, the Agriculture Insurance Company of India (AIC) Limited, to develop improved rainfall indices that can result in better insurance products.

By studying the correlation between historical crop yields and weather parameters, researchers can generate ‘triggers’ or weather thresholds beyond which crops begin to suffer. Payouts are structured against these triggers to compensate farmers for their losses. Determining accurate weather triggers is therefore extremely important when designing insurance products.

Last year, CCAFS worked with the AIC on crop yield loss against rainfall indices in two states in India- Andhra Pradesh and Bihar.

Rainfall thresholds that trigger yield loss in different areas and at different stages of crop growth were estimated using spatial databases. In the absence of long-term reported yield data, crop models such as InfoCrop and DSSAT were used to simulate relationship between crop yields and historical weather data.

The AIC was able to incorporate the CCAFS-developed indices into their existing weather-based index insurance products. These refi ned insurance products were implemented in 32 unit areas in Bihar and Andhra Pradesh for paddy,

maize, groundnut, cotton and redgram. According to their fi gures, in all, 56,623 farmers were insured against weather losses in Nawada district in Bihar, and Karimnagar and Mehboobnagar in Andhra Pradesh.

PROPOSED: AN ATLAS OF WEATHER TRIGGERS

In April 2014, CCAFS organised a workshop to identify action points for the proposed National Crop Insurance Program of the Government of India. The high-level meeting brought together senior government offi cials, insurance industry representatives and scientists. Among the key recommendations was the need to develop an atlas of thresholds for critical weather elements that trigger crop yield losses in different crop growth periods for different agro-climatic regions. These can be used by the government and the insurance industry as benchmarks when designing insurance products and schemes. The workshop also called for data on historical yields and weather to be available on the public domain to facilitate better research in this area.

The AIC has welcomed CCAFS' guidance and hopes to incorporate improved weather-based indices into several other insurance products targeted at specifi c crops. There are also plans to experiment options to bundle insurance along with other services in Climate-Smart Villages and to pilot these under the Government's Modifi ed National Agriculture Insurance scheme.


Strategising a new approach to crop insurance in IndiaAt a recent workshop, senior government offi cials, researchers and industry representatives brainstormed about how crop insurance can serve farmers better.

DHARINI PARTHASARATHY, COMMUNICATIONS SPECIALIST, CCAFS SOUTH ASIA

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our desired results: to protect farmers against crop losses. We need to fi x the bottlenecks that have persistently plagued agriculture insurance for decades, said PK Mishra, Director General, Gujarat Disaster Management Authority. He delivered the opening talk at the workshop on ‘National Crop Insurance Program (NCIP): Challenges and Opportunities’ organised by CCAFS and International Food Policy Research Institute (IFPRI), in New Delhi on April 1, 2014.

The Chairperson of the meeting, A Bahuguna, Secretary, Ministry of Agriculture, noted that the workshop coincided with the release of the Intergovernmental Panel on Climate Change report.

“The report shows the increasing vulnerability of South Asian countries to climate change. We must feel compelled to act not only to safeguard livelihood and incomes, but lives. Climate risk management is no longer an option but a necessity.”

NEW INSURANCE PROGRAM

In November 2013, the Government of India proposed a National Crop Insurance Program (NCIP) that will merge existing insurance schemes, such as the National Agricultural Insurance Scheme (NAIS), Pilot Weather Based Crop Insurance Scheme (WBCIS) and Pilot Modifi ed National Agricultural Insurance Scheme (MNAIS). It aims to streamline insurance services to farmers and stabilise incomes, particularly during climatic shocks arising from extreme and unexpected weather events.

A Bhuttani, Joint Secretary, Ministry of Agriculture, said the scheme wants to get buy-in from all stakeholders and the

workshop was a good opportunity to iron-out details and clarify key points.

During the discussions, a number of challenges came to the fore. Chief among them was the lack of access to credible data and the need to adopt technology.

“In order to design demand-driven insurance products and undertake research for stronger scientifi c basis linking weather to yield, we need to be able to access historical data on weather and yield,” said SK Goel, Additional Chief Secretary, Government of Maharashtra.

He also called for better coordination among government agencies disbursing disaster relief funds and providing insurance. Farmers continue to view insurance as an investment and a lot more needs to be done to build awareness on insurance as a risk-mitigation strategy.

Industry representatives from Agriculture Insurance Company, HDFC, ICICI Lombard, Swiss RE, Bajaj Alliance and others, said developing a single portal to access data could be a game changer in the sector, making it possible for companies to carry out high-quality research and tailor their products for rural markets. The use of technology such as 3D imaging, remote sensing and crop simulation modelling can increase accuracy in the measurement of weather and crop yields and in reporting and verifi cation.

J Plappallil, CEO, Agriculture Insurance Company of India Ltd. noted that: nobody appears happy with insurance as it stands - neither farmers, nor insurance agencies or the government. “While fi nding acceptance of all stakeholders can be challenging, it is important to ensure that processes are transparent and fair,” he added.

Key recommendations for policymakers from the workshop: Identify and apply appropriate

technologies such as remote-sensing, simulation modelling, 3D imaging, and information and communications technologies (ICT) tools to improve accuracy and objectivity of weather related crop yield loss assessment.

Create a single data repository where all insurance-related data on weather and crop yield data is easily and equally accessible to all stakeholders.

Develop an atlas of thresholds for critical weather elements that trigger crop yield losses during different crop growth periods for different agro-climatic regions which could be used by the government and insurance industry as benchmarks.

Quantify the optimal number of crop-cutting experiments that must be done for NCIP using appropriate scientifi c techniques such as Geographical Information Systems and remote sensing.

Develop innovative schemes by bundling insurance with other fi nancial services such as loans, sale of inputs, and other risk management strategies to reduce cost of transaction and for long-term viability.

Strengthen and standardize regulatory and monitoring systems and grievance redressal mechanisms.

Raise the capacity of farmers to understand details on crop insurance.

Promote innovation and learn lessons from innovative pilot projects on agriculture insurance by local NGOs and companies.


A toolkit to help policymakers make better decisions on climate-smart agriculture The CCAFS prioritisation toolkit can recommend interventions in the short, medium and long term, under varying climate scenarios

ALEX DUNNETT AND PARESH B. SHIRSATH, CCAFS SOUTH ASIA

V ery often policymakers have to make decisions based on highly

complex and rapidly evolving information. Information is often variable and interpreting it requires careful analysis of the social, economic and scientifi c aspects.

As we know, climate-smart agriculture is a package of interventions best suited to a specifi c local context to make farmers resilient to climate change and extreme weather events. Each one of these interventions has varying costs and benefi ts based on a variety of factors.

Decision-support tools bring analytical rigour to policy and planning by generating results that weigh the cost-benefi ts and trade-offs that accompany different interventions. This can help policymakers understand how different components inter-relate and where investment and resources should be targeted to receive the most optimum results. Depending on the scale of implementation- an entire state, district or a farm- different interventions can be recommended.

THE NEED FOR DECISION SUPPORT TOOLS

The guidelines on National Adaptation Programmes of Action (NAPA) and National

Adaptation Plans (NAP) emphasise the importance of these decision-support tools in locating vulnerability to climate-change and in targeting adaptation strategies.

Recognising the need for these tools in the South Asia region, the CGIAR Research Program on Climate Change Agriculture and Food Security (CCAFS), South Asia, together with the International Food Policy Research Institute (IFPRI) has developed a Climate-Smart Agriculture Prioritisation (CSAP) Toolkit.

THE WHICH, WHERE AND WHEN?

The CSAP toolkit is based on a comprehensive dataset that consists of location-specifi c data on soil, crop varieties, areas planted, agronomic practices, irrigation and historical weather information along with socio-economic data. This specifi c toolkit was developed for Bihar in India.

This database is then set within a spatially-explicit modelling framework that is capable of handling a wide range of constraints and scenarios. Future crop yields, water-use and emissions are then forecast for different climate-scenarios using crop-modelling techniques and empirical evidence.

Importantly, the toolkit allows the user to identify robust decisions, that is, the best possible decisions under a set of uncertain circumstances. It is then possible to carry out trade-off analysis of alternative climate smart agriculture development pathways.

Based on the dynamic pathways, the toolkit can support decisions on:

Which climate-smart agricultural technologies and practices to invest in;

Where to target that investment , and

When those investments should be made

The toolkit prioritises investment decisions for the short-term (e.g. to 2020), while locating those priorities within a medium- (2050) and long-term (2080) agricultural growth pathway.

DEVELOPING A GENERIC TOOL

Case studies are targeted for Bangladesh, Nepal and Sri Lanka to demonstrate its potential in supporting national-scale adaptation planning. Researchers will continue to work on these country-specifi c case studies to apply the toolkit and develop strategies for sharing scenarios and recommendations with policymakers.


Village shopkeepers spread the word on climate-smart agriculture By engaging with local entrepreneurs and tapping into the reach of mobile phones, CCAFS South Asia hopes to reach out to as many farmers in Bihar.

VINAYNATH REDDY, VIDOCS AND DHARINI PARTHASARATHY, CCAFS

For many farmers in Bihar, a mobile phone is usually the only piece of

technology they own. According to mobile phone shop owner Sanjay Kumar Singh:

“People here now prefer mobile phones with video players. These phones are available for about 1,500 Rupees (24 $US). And it’s not just for entertainment but to stay informed on new issues.”

As an enterprising kiosk owner in Bochaha village in Muzaffarpur district, in Bihar in north-eastern India, Singh should know the popular models with the most sought after features. He is one of 40 kiosk owners in Vaishali and Muzaffarpur districts in Bihar who is sharing CCAFS videos on climate-smart agriculturewith his customers. He stores the short videos, about 15 in all, on his computer and can upload them on a customer’s phone in just a few minutes.

Mobile phone shops are typically a one-stop-shop for all basic ICT needs in a village. Often run by local entrepreneurs, they stock mobile phones and accessories, offer internet browsing and printer-scanner facilities. They are an important communication hub at the local level, and a link to the outside world.

By using existing services and engaging with local entrepreneurs, CCAFS is working with partner organisation ViDocs to scale out this model of video dissemination among resource-poor communities. The videos are an important communication tool in highlighting our work on Climate-Smart Villages.

USEFUL EXTENSION MATERIAL

Filmed in Hindi, they highlight best practices in conservation agriculture and include farmers’ testimonials from villages in Bihar and Haryana. But hosting these videos online on our YouTube channel will in the end not reach farmers or local extension workers who can benefi t the most from them.

A YAWNING DIGITAL DIVIDE

Only 12 percent of India’s population have access to internet. Of the 200 million internet users, there is a stark digital divide between urban and rural areas.

According to a National Sample Survey Organisation (NSSO) report in 2012, only 3 households per 1,000 families have access to the internet in rural areas. Going by these numbers, many farmers in rural Bihar are excluded from the Internet revolution. Putting the fi lms on farmers’ mobile phones lets them ‘own’ the videos and view them at their convenience.

As pointed out by Singh, many of his customers are not literate and videos remain a powerful and engaging way to communicate in his community. Kiosk owners say they have received six to eight requests a day for the climate-smart fi lms.

“I went to the shop and noticed he had these new videos on agriculture. I thought they could be quite useful to me, so I got them uploaded on my phone,” says Dhashan Kumar Paswan, a farmer from Vaishali district in Bihar.

SEEING IS BELIEVING

The fi lms are also shown in community settings like busy markets and village fairs. They have been screened in 180 villages in Muzaffarpur, Jamui and Vaishali districts in Bihar to create awareness on the advantages of zero-tillage, agroforestry, laser-land levelling and weather advisories, among other practices. The idea is to highlight how these technologies and practices can work in combination to build resilience to climate change. Sanjeev Kumar, a farmer, who attended one screening said:

“I had heard about a zero-till machine and seen advertisements in the newspaper but this is the fi rst time I saw it in operation, through the fi lm.”

As more and more farmers like Dhashan Kumar and Sanjeev fi nd the videos informative and want to learn more about climate-smart agriculture, we hope to build knowledge and awareness around these agriculture practices and highlight the long-term benefi ts farmers can reap from adopting them.

CCAFS South Asia will undertake a more detailed analysis of which farmers are able to access information this way and whether and how it really impacts farming activities.


Fertilizer tool used in Climate-Smart Villages wins ‘best innovation technology’ titleNutrient Expert® offers a ‘nutrient smart’ approach to fertilizer use, by increasing effi ciency and reducing emissions.

ML JAT, INTERNATIONAL MAIZE AND WHEAT IMPROVEMENT CENTRE (CIMMYT)

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Nutrient Expert® for South Asia, launched in India last July, was selected as the 'best innovation' in the Information and Communications Technology Solutions category at the Bihar Innovation Forum II, according to a press release from the International Plant Nutrition Institute (IPNI). The toolkit has been developed by IPNI in collaboration with International Maize and Wheat Improvement Center (CIMMYT) and validated in close collaboration with National Agricultural Research and Extension Systems (Indian Council of Agriculture Research, Agriculture Universities, Departments of Agriculture), private sector (seed and fertilizer industry representatives) and farmer organisations.

The tool is being used as part of a ‘nutrient smart’ approach to fertilizer use in CCAFS project of Climate Smart Villages in India to increase effi ciency in nutrient use and reduce emissions.

Nearly 90 percent of small-holder farmers do not have access to soil testing facilities and the tool can provide location-specifi c fertilizer recommendation to individual farmers.

The Bihar Innovation Forum is a one-of-a-kind platform that aims to identify, celebrate and scale-up innovations for the betterment of rural livelihoods in the State.

WHAT ARE CLIMATE-SMART VILLAGES?

Climate-Smart Villages are models of local actions that ensure food security, promote adaptation and build resilience to climatic stresses. Researchers, local partners, farmers’ groups and policy makers collaborate to select the most appropriate technological and institutional

interventions based on global knowledge and local conditions to enhance productivity, increase incomes, achieve climate resilience and enable climate mitigation.

Climate information is an important part of Climate-Smart Villages and consideration is always given to integrating village developmental and adaptation plans together with local knowledge and institutions (Figure 1) into the project. There is no fi xed package of interventions or a one-size-fi ts-all approach. The emphasis is on tailoring a portfolio of interventions that complement one another and that suit the local conditions.

CCAFS Climate-Smart Villages are located in regions considered climate change ‘hotspots’. These are currently in East Africa, West Africa and South Asia. New sites will be developed in Latin America and Southeast Asia.

CLIMATE SMART

VILLAGE

Climate Information Services

Local knowledge and institutions

Climate Smart Technologies

Village Development Plans

Key features of a Climate-Smart Village

CCAFS Climate-Smart Villages and UNDP’s Millennium Villages: what’s the difference?

The Millennium Villages, a project of United Nations Development Programme (UNDP) and its partners, is an integrated approach to rural development for ending extreme poverty and meeting the targets of Millennium Development Goals in Africa. Key interventions relate to access to clean water, sanitation, education, food production and basic health care. The project makes considerable fi nancial investment in these villages.

CCAFS Climate-Smart Villages, on the other hand, focus on climate change hotspots in Africa, Asia and Latin America and work solely on sustainable agricultural development. This is achieved through strengthening the capacity of farming communities using targeted agricultural technologies, climate information services and by engaging with institutions and policy makers. Only limited fi nancial support is provided to facilitate the project.


Growing rice with less water: case studies from India Agriculture already faces uncertainty due to increasing regional variations in rainfall and temperature. In India, innovative practices can help grow rice, the main staple of some river-basins, using less water

K PALANISAMI AND KRISHNA REDDY, INTERNATIONAL WATER MANAGEMENT INSTITUTE

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in just one of the river basins in India, the Godavari Basin, could be lost to climate change affecting millions of people. A new book titled Climate Change and Agriculture in India: Studies from Selected River Basins brings together years of research to provide a quantitative assessment of how agricultural systems will be affected on account of climate change, and suggests adaptation strategies in three of India’s river basins- the Krishna, the Godavri and the Cauvery.

Future food production systems hinge on the sustainable management of water resources. Climate change, in the absence of adaptation strategies, could prove particularly devastating to smallholder farmers many of whom subsist on rainfed agriculture.

Speaking at the book's launch in Chennai, India, last month, Prof. M.S. Swaminathan, reiterated the need for joint efforts among researchers and farmers:

“Climate change needs interdisciplinary research to develop appropriate adaptation mechanisms. Research fi ndings through such books and training manuals can help scale up strategies. It is important to educate farmers and develop a cadre of climate risk managers, who can adopt these practices to tackle climate change."

Combining theory with application, this book provides an overview of the likely impacts of climate change and takes into consideration the socio-economic

vulnerability along with climate variables such as rainfall and temperature at a river basin level. This makes them more relevant than the earlier models that were limited to the national or state level. The book has used Just-Pope production function model which accounts for both mean and variability in rice yield. The multi goal linear programming model used with adaptation strategies help in both maximizing gross income and minimizing the water use.

Agriculture already faces uncertainty due to increasing regional variations in rainfall and temperature. Innovative practices can help grow rice, the main staple of these river-basins, using less water.

Some of the methods include: direct seeding of rice, Modifi ed System of Rice Intensifi cation and Alternate Wetting and Drying.

Direct seeding of rice was practiced during early 1950s when rainfall was more uniform across crop seasons. This method lost its popularity due to advent of new canal systems which provided assured water supply. But now with climatic variability, this techniques is on its way back along with a few supplemental irrigation methods. This approach has reduced production costs by INR 4000 (USD 65) per acre. Less labour is needed and water use can be reduced by up to 30 percent. For instance, in 2012, the drought hit Krishna River Basin saw a massive increase in the area under direct seeding rice from 200 ha to 35,000 ha.

Modifi ed system of rice intensifi cation (MSRI) is another approach that we tested. It reduces labour demand due to improved mechanisation. It also improves water utilisation by about 10-15 percent. However, levelling of fi elds is required with some additional cost and timely sowing. But the cost is insignifi cant considering the additional yield and income.

Finally, we looked at the alternate wetting and drying in rice to reduce water use and improve effi ciency. This process increases aeration to the plant roots and improves nutrient supply.

There is no one-size-fi ts-all solution to the challenges thrown up by climate change. The methods highlighted here are just a few among several adaptation strategies. The bigger focus should be on scaling up adaptation strategies through community groups or farmers’ organisations. Farmers, agriculturalists and irrigation experts need to coordinate better to ensure sustainable success at scale following cluster approach. Developing public-private partnership will also ensure successful scaling out. India which is believed to be a “subsidy state” needs to better target its interventions to ensure that incentives are established now in order to secure food production for the future.


Study fi nds Nepal’s food security to be at high risk as climate changes

MARTA MILLERE, BIOVERSITY INTERNATIONAL

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change on livelihoods and food security in Nepal. Findings suggest that Nepal needs to take strong measures to safeguard its food production against climate variability.

When the monsoon arrives in full strength in Nepal, farmers have a lot to be concerned about. While trying to fi nd shelter, they also have to fi nd ways to protect their crops from the winds and rain. Now, something is changing in the monsoon patterns. Farmers are witnessing heavier and more erratic rainfall during the monsoon period, fl ooding their rice fi elds as a result. These extreme weather changes put a lot of stress on farmers' already fragile livelihoods and food security.

The impact that climate change has on national food security in Nepal was recently addressed in a Working Paper published by the CGIAR Research Program on Climate Change, Agriculture and Food Security (CCAFS). The paper “Climate risk and food security in Nepal – analysis of climate impacts on food security and livelihoods” analyses the impacts that climate variability and extremes might have on the Nepalese food and agriculture system.

The authors conclude that when looking at food security indicators such as crop yields, food prices and livestock products, it is clear that these indicators have in fact been infl uenced by recent climatic trends - threatening food security in the country.

Nepal is a country of extremes. It is divided in three physiographic areas, which slices across the country from east to west. More than half of its population lives in hill and mountain regions, where socioeconomic and agricultural development have both been neglected. Some farmers need weeks to get to the closest city.

The mountainous regions, more specifi cally the mid and far-western areas, are also particularly sensitive to climate trends as more than 2 million of its inhabitants have been impacted by increasingly erratic rainfall over more than a decade. Rainfall – and the lack of thereof – is one of the key climatic variables affecting Nepalese food production and its agriculture predominantly relies on monsoon rains for irrigation.

In 2008-09, Nepal was hit by the effects from a major drought, which had an impact on more than 3.4 million people. This illustrates the potentially damaging effects that climate variability could have on the country’s food production, access to markets and livelihoods.

During their analysis, the authors discovered that the food security problem was of a regional and seasonal kind. They learned that winters, especially, put pressure on the households who already live in the highly vulnerable area of mid and far-western Nepal. Currently, one household out of three is suffering from poverty and is highly food insecure, the authors conclude.

Throughout the winter months, households

are highly dependent on purchased food and contributions. Many spend up to 78 percent of their income on agriculture imports during winter. Results showed that as rainfall becomes even more erratic and declines over the long term, more and more people will be forced to give up their farms and spend even more of their already limited income on food.

Melting glacier tops are also a big threat to crop production and to the families living in these regions.

As part of their study, the authors worked with national experts to identify several recommendations to enhance Nepal’s food security and resilience, and manage climate-related risks.

Highlights of these recommendations include:

(a) adaptation to drought through better water management systems;

(b) capacity building at the government and community levels and

(c) strategies for livelihood and income diversifi cation.

Read more about the impact that the climate has on Nepalese food security in the Working Paper "Climate risk and food security in Nepal – analysis of climate impacts on food security and livelihoods", by Krishna Krishnamurthy, Christina Hobbs, Astrid Matthiasen, Siemon Hollema, Richard Choularton, Krishna Pahari, and Mariko Kawabata on the CCAFS website.

About CCAFS

The CGIAR Research Program on Climate Change, Agriculture and Food Security (CCAFS) is a research initiative seeking to overcome the threats to agriculture and food security in a changing climate. CCAFS invests in research to address the crucial tradeoffs between climate change, agriculture, and food security and works to promote more adaptable and resilient agriculture and food systems in fi ve focus regions, South Asia, Southeast Asia, West Africa, East Africa, and Latin America.

The CCAFS South Asia offi ce is hosted by International Water Management Institute (IWMI) in New Delhi, Indiahttp://ccafs.cgiar.org/where-we-work/south-asia

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© CCAFS 2014

Led by: Strategic partner:

CCAFS research is supported by:

Fund

South Asia Regional Program LeaderPramod K. AggarwalE: [email protected]

South Asia Communications SpecialistDharini ParthasarathyE: [email protected]

South Asia Science Offi cerArun Khatri-ChhetriE: [email protected]

Documents

CCAFS Climate-Smart Agriculture Learning Platform, South Asia