Rice Production Conflicts in the

Tempisque-Bebedero Watershed

Charlie NealisElise KarpinskiGentry ManderNalowa Malafa

Cultural Significan

ce

Payment for EcosystemServices

International

Trade

Environment

and Agriculture

National/Local

Economy

Incoherence with International Trade Policy

•o Neoliberalism v. Protectionism

COMEX CONARROZ

Ideological difference

CONARROZ

•a public entity, created by law, privately funded and administered

•protect and promote rice industry

•recommends the price controls to MEIC

•sole authority to import rice, tariff free, when supply is not met

•sells imported rice at domestic price

COMEX-Ministry of Foreign Trade

•promote involvement in global economy

•ensure compliance with trade obligations

•developing infrastructure and adopting technology to increase competitiveness

•correct any measures that prevent implementation of trade obligations

World Trade Organization

•Agreement on Agricultureo Green Box - not trade-distorting

subsidieso Amber Box - trade-distorting

subsidies price supports tariffs

•Aggregate Measure of Supporto $15.95 milliono 2010 = $109.7 million

Allowed AMS v. Actual AMS

CAFTA-DR

•o elimination of tariffs

phase out process for rice

•Costa Rica liberalized everything BUT rice

Free Trade Agreement

Why the incoherence?

•

•CAFTA-DR: FTA is not fair because the US has not stopped subsidizing their rice farmers

WTO: AMS is outdated and unreasonable

Cultural Significan

ce

Payment for EcosystemServices

International

Trade

Environment

and Agriculture

National/Local

Economy

Socioeconomic Overview

• 40% of Costa Rica's rice producers produce 80% of domestic rice

• Heavy dependency on price control benefits

• 25% of Guanacaste is employed in agriculture

Incidence of Expenditures

Year Per Capita Income Quintiles

I Quintile II Quintile III Quintile IV Quintile V Quintile

2008 5.76% 2.99% 1.95% 1.20% 0.45%

2007 5.99% 3.05% 1.99% 1.22% 0.44%

2006 6.77% 3.27% 2.09% 1.27% 0.47%

2005 6.84% 3.34% 2.09% 1.28% 0.52%

2004 6.55% 3.09% 1.93% 1.18% 0.47%

Source: Calculations based on: INEC, (2009); CONARROZ (2009)

Opposition to Free Trade

Rice: A Cultural Identity

Food Security

• FAO Definition• Costa Rican Constitution• Counterarguments• ICESCR• CESCR• Food Sovereignty and its benefits

Cultural Significan

ce

Payment for EcosystemServices

International

Trade

Environment

and Agriculture

National/Local

Economy

Oryza sativa communis

•Several varieties for Costa Rica•4 stages of development–Seedling –Vegetative –Flowering–Ripening

Field Management

•Flooding regime–Different heights, different stages –Total requirement: 5-9 acre-feet•Irrigated fields 24% more productive than rainfed

Rice in the Tempisque Basin

•2 cropping cycles a year-January to May, July to November•Harvest time 110-140 days•Fertilizer: 184 kg/Ha? N, P, K, Zn-Application timing and records?•Clay Soils, pH 7, stable 30 degrees C•Herbicides, Pesticides, Fungicides•Rice straw management

Why is rice here important?

• 45% national rice production• Yield: 7.66 t/Ha vs. 3.52 t/Ha

nationwide• 60% rice consumed in CR is from CR

What should rice producers do?

•Fertilizer–Application rates based on soil tests and

recommendations•100lbs initial then 45 lbs N/acre, 50lbs

P/acre (US)–Water level management•More than 1-2” season long

Effects of Agriculture on Palo Verde

•Little to no nutrients in effluent from Rice•Little to no agrochemicals in effluent from

Rice•What about tilapia, melons, sugarcane,

etc?•So everyone should grow rice… right?

Sustainable Rice Production

•For profit and for environment•Leave the straw on the field•Apply agrochemicals as needed•Base fertilization on water/soil test•Rotate crops for production, pest, and disease management•Proper water management

What does this mean for Tempisque?

•Because of their location in the basin, rice paddies can:

–Offer alternative habitats/buffer zones–Increase biodiversity–Control flooding and erosion–Increase GW recharge–Be nutrient sinks for drainage canal

water•Remove 56% TN, 68%TP (Bhandari, 2011)•Treat a lot of water!

Recommendations

1. Soil and water testing in field, in incoming water, and in effluent2. Use drainage canals for water and provide proper irrigation and flooding regimes3. Incorporate BMPs and NMPs while involving CONARROZ in the training and reevaluation process

Cultural Significan

ce

Payment for EcosystemServices

International

Trade

Environment

and Agriculture

National/Local

Economy

Payment for Ecosystem Services

PES is:A voluntary transaction in which a well-defined environmental service (ES), or a form of land use likely to secure that service is bought by at least one ES buyer from a minimum of one ES provider if and only if the provider continues to supply that service (conditionality)

-Sven Wunder

A Four Step Plan

Step One: Identifying Ecosystem Service Prospects & Potential BuyersChecklist:

Define, measure, and assess the ecosystem service being provided in a particular area

Determine marketable value Identify potential buyers who benefit from

the service Consider whether to sell as individuals or

as a group

A Four Step Plan

Step Two: Assessing Institutional & Technical Capacity

Step Three: Structuring AgreementStep Four: Implement PES Agreement

Questions?