FEATS ProjectMalawi: Draft Terms of Reference for Second Phase Research Study

A Policy Study of the linkages between Agricultural Productivity and Rural Livelihoods on the one hand and Trade in Agriculture and Trade Facilitation on the other: Recommendations for Poverty Reduction and

Development for a Landlocked Country like Malawi

By Atul Kaushik

Director, CUTS Geneva Resource Centre

ak@cuts.org

www.cuts-international.org/GRC

Findings of phase one study affirm the importance of agriculture in Malawi’s economy◦ Agriculture sector contributes substantially to GDP, provides bulk of

employment, foreign exchange earnings and export diversification efforts focused in agriculture

◦ Yet, rural areas have high poverty rates and substantial informal sector employment

◦ Livelihood and employment concerns must be included in development of the agricultural sector

Criteria for topic◦ Within “trade in agriculture”, important for livelihoods and employment,

and an area where further research and analysis can add real value Feedback from Malawi National Reference Group

◦ Desire a topic in agriculture within the context of larger development constraints of Malawi (rural poverty, livelihoods, landlockedness, under developed trade facilitation..etc.)

◦ This study will provide valuable insight into these complex relationships

Collect information and analyze recent trends in agricultural productivity, agricultural trade, livelihoods, and trade facilitation measures

Examine the complex relationships involved using a holistic framework

Generate new insights and knowledge that carry practical implications

To contribute to the finding of solutions through a coherent policy framework that will assist Malawi in meeting the objectives of Vision 2030

Role of and constraints faced by the agricultural sector with focus on rural livelihoods, productivity, and trade

Trade facilitation needs and measures with a focus on those directly related to landlockedness

Linkages and relationships among various issues with focus on identifying areas for synergetic action

Policy frameworks related to agriculture, trade, and trade facilitation

Development of coherent thinking and practice in the areas under study to advance poverty reduction and development objectives.

Principles◦ Pooling of knowledge and expertise on agricultural

productivity, rural livelihoods, agriculture trade, and trade facilitation

◦ Cross-fertilization of ideas and experiences during the study process through involvement of national and international experts

◦ Facilitation of buy-in of the research and its findings by the relevant stakeholders in the country by involving them through MNRG and meetings etc.

Plan◦ Literature search to expand and annotate research questions◦ Data collection, fact finding and testing of hypotheses through

MNRG consultations, other meetings, on-line collaboration with national, regional and international experts and partners, and targeted surveys

◦ Consultation with the Project Advisory Committee◦ Presentation of draft findings to another National Stakeholders

Dialogue for validation and finalization

Introduction Analysis Recommendations

Brief economic, trade and social profile of agriculture sector: trends in total and main crop-wise production, agricultural exports and imports, formal and informal employment in agriculture, rural poverty, and land tenure system (annual time series for last ten years or so)

Trends in agricultural productivity: developments in the productivity of main crops in the last ten years

Landlockedness and trade facilitation issues: identification of main constraints due to landlockedness and under-developed trade facilitation measures particularly as they relate to agriculture sector; description of key corridor projects

Policy framework: key features of development, trade, agriculture and trade facilitation policies and their linkages

A. ) Agricultural productivity, trade and livelihoods

◦  What is the relationship between agricultural productivity and agriculture trade performance?

◦ What is the relationship between agricultural trade performance and rural livelihoods and employment?

B.) Landlockedness, trade facilitation, and trade in agriculture

◦  What are the main constraints for trade in agriculture resulting from landlockedness?

◦ What are the past, present, and planned trade facilitation measures that attempt to address the identified constraints?

◦ What are the main corridor schemes and how do they address the identified constraints?

C.) National, regional and international policy dimensions, and the role of stakeholders

o What are the key features of national policies related to agriculture, trade and trade facilitation?

o What is the impact of regional (e.g., SADC and COMESA) and international (under the WTO) rights and obligations on national policies on trade, agriculture and trade facilitation?

o Who are the main domestic stakeholders? What is the level of their respective capacities and involvement in relevant policy making and implementation?

o What is the role of international donors with focus on agricultural productivity and corridors development?

D.) Synthesis of linkages

• What are the existing positive and negative linkages among agricultural productivity, trade facilitation and landlockedness, and rural livelihoods? How well are these linkages understood? How can understanding of these linkages be improved among policy makers?

• How do relevant policies (e.g., related to agriculture, trade, and trade facilitation) take these linkages into account? What are the gaps?

• What are the positive and negative impacts of regional and international commitments under the relevant trade agreements?

• How can the positive linkages be strengthened and the negative linkages addressed? What an be a holistic framework for comprehensive analysis and coherent responses?

• What are the main capacity building needs?

 To the government

 To the development partners

 To the CSOs, particularly farmers organizations

 To the private sector and business organizations

Research Advocacy Networking

Sept. 2009:

June 2010:

Sept. 2010:

Oct.-Dec. 2010:

Jan. – March 2011:

Detailed ToR to be finalized

First draft shared with PAC and peers for review

Revised draft research studies ready

Present draft to National Dialogues in all project countries

Share research results at international conference in Geneva

Thank You. Looking Forward to Your Comments and

Suggestions to Finalize the ToR.