Message-ID: <9605010014.AA22226@lan.vita.org> Date: Tue, 30 Apr 1996 20:14:37 EDT From: DevelopNet News <mailto:dnn@VITA.ORG> Subject: Your VITA newsletter for May. To: Multiple recipients of list DEVEL-L <mailto:DEVEL-L@AMERICAN.EDU>
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May 1996 Volume 6, No. 5
IN THIS ISSUE
NARCOTICS CONTROL
Crop Substitution and Alternative Development
LITERATURE REVIEWS
A War on Childhood Pneumonia
Building Technology: A One-Stop Source
ORGANIZATIONS
Systems Group on Forests
Water and Sanitation
VITA PROJECTS
Chad: Targeting Handicapped Borrowers
ANNOUNCEMENTS
Computers in Agriculture
Habitat II
* * *
DevelopNet News is published monthly by Volunteers in Technical
Assistance (VITA) in Arlington, Virginia, USA. For additional
information, please see the end of this newsletter.
* * *
N a r c o t i c s C o n t r o l
CROP SUBSTITUTION AND ALTERNATIVE DEVELOPMENT
Narcotics abuse and production have become international issues. A cou-
ple of decades ago people thought that narcotics were primarily produced
in developing countries but consumed in developed countries. We now know
this is false. Developing countries have been facing abuse problems for
some time. Iran, Pakistan, and Thailand have become importers of opium
produced in the neighboring countries of Afghanistan, Laos, and Myanmar.
The United States and some other developed countries are major producers
of marijuana and other illicit narcotics.
The notion that narcotics production and use bring local benefits has
also been proven wrong. Statistics show that the average coca or poppy
farmer lives in poverty without access to basic health, education, and
sanitation services. On a national level, coca cultivation and produc-
tion breed an environment of violence which directly harms communities
in coca growing areas as well as the narcotics producing countries on a
whole.
Can anything be done to stop the cultivation of illicit narcotics? Is
there an effective way to halt the adverse developmental, social, and
health effects that go hand-in-hand with narcotics production and
processing?
To answer these questions, we first need to appreciate the economic
importance of narcotics to the country that produces them. Consider
Peru, now the world's largest producer of coca leaf, supplying 70% of
the worldwide demand for cocaine. In 1994 the Peruvian government esti-
mated that the country grew 224,000 tons of coca leaf which it sold for
$313 million. Although there is no reliable information on the economic
impact of the industry, the US Agency for International Development
(USAID) estimates that in 1994 Peru generated between $700 (about 17% of
total exports) and $860 million in foreign exchange from the sale of
coca. Finally, it estimates that the coca industry employs 120,000 far-
mers to cultivate the plant and another 110,000 persons for processing,
trafficking, and financial operations, compared with the country's agri-
cultural labor force of three million. From the Peruvian example it is
clear that any interventions face a difficult task in helping producer
economies break their reliance on illegal drug production.
Over the last three decades such large donors as USAID and the UN Fund
for Drug Abuse Control have employed a number of techniques to reduce
illicit narcotics production and use. The best known are called crop
substitution and alternative development.
Crop Substitution
Crop substitution focuses on new or improved crop varieties which, at
the very least, must have an equal or greater net economic return rela-
tive to the illicit crop that they are intended to replace. The crop
plants must adapt to local conditions.
Growers choose illicit narcotics over alternative crops because of their
greater profitability and their lower labor requirements. In one area of
Pakistan in the mid 1970s, the average net profit from poppy cultivation
was Rs. 8,079 (around $700) per hectare. The suggested alternative crop
(sugarbeet) that came closest in profit yielded only Rs. 564. Further-
more, such crops as coca in Peru often can be harvested three or four
times a year, thus providing a continuous flow of income. Although some
crops can bring a higher average net profit (like cacao over coca) they
tend to be much more labor-intensive and have a lower turnover, making
them less attractive than coca or poppy. Only in Thailand did crop
substitution efforts find alternative crops (arabica coffee and certain
fruits) that met tests of profitability and income flow.
Alternative Development
Alternative development programs aim to reduce illicit narcotics culti-
vation by stimulating broader-based development opportunities. They
assume that (1) poverty and underdevelopment are the underlying reasons
for a farmer's decision to continue narcotics production, and (2) a sig-
nificant reduction of narcotics production and processing requires not
only the effective employment of crop substitution and marketing strat-
egies but also effective law enforcement and education efforts. Thus,
programs are usually made up of several components, including the erad-
ication of transitional and illegal coca and the suppression of proces-
sing and trafficking, incentives for farmers to eradicate their existing
stands, and drug awareness education programs. This approach comes clo-
ser to compensating a country for foreign exchange losses, assisting its
government in maintaining economic stabilization and reactivation of the
economy, and generating replacement jobs.
Such projects as the one USAID is currently implementing in Peru usually
have an employment and income generating component, an essential servi-
ces / community development component, and an environmental protection
and awareness component.
Lessons Learned
Unfortunately, most crop substitution and alternative development pro-
grams have fallen far short of expectations. Crop substitution programs
have failed to introduce crops that yielded an adequate financial return
or were easy to cultivate. Alternative development efforts have failed
to consider such factors as law enforcement or have failed to incorpo-
rate flexible project management that allows them to effectively respond
to unexpected local circumstances and have thus significantly compro-
mised their performance. In Bolivia, for example, where USAID has been
engaged in crop substitution and alternative development activities
since 1975, no significant progress was made until a decade later. Then,
crop substitution programs helped to increase coca eradication from
roughly 200 hectares in 1986 to 8,000 hectares in 1990. However, net
coca production increased by 37%! Similarly, in Pakistan, USAID's crop
substitution and alternative development efforts were successful within
the country's North West Frontier Province, but poppy production merely
migrated to bordering areas and no overall reduction was achieved.
Despite some disappointments, three decades of experience with crop sub-
stitution and alternative development projects have yielded lessons that
may improve future efforts to control illicit narcotics production and
use. The most important lessons are listed below:
-- Viable economic opportunities must be available outside of the coca-
growing areas for labor employed in the coca sector, along with alterna-
tive agricultural inputs to transitional coca growers who remain on the
land.
-- No crop can compete with the prices, markets, and added value of
poppy and coca unless the prices paid to primary producers are kept down
by effective law enforcement.
L i t e r a t u r e R e v i e w s
A WAR ON CHILDHOOD PNEUMONIA
B. R. Kirkwood, S. Gove, and others, 1995. "Potential Interventions for
the Prevention of Childhood Pneumonia in Developing Countries: A Syste-
matic Review." Bulletin of the World Health Organization, Volume 73, No.
6, pages 793-798.
Acute respiratory infections are the leading cause of death among young
children in developing countries. In 1993, 2.6 million children died of
acute lower respiratory infections. How can this massive problem be
solved? Kirkwood (London School of Hygiene and Tropical Medicine) and
his colleagues are developing a systematic plan to reduce the impacts of
pneumonia. They found 28 potential areas (categories) of treatment, each
with its benefits, risks, and costs. Each treatment area was then stud-
ied by international experts, who tried to predict its public health
effects.
The 28 areas fall into these groups: immunization, improving nutrition,
reducing environmental pollution, case management and chemoprophylaxis,
reducing transmission of pathogens, and improving child-care practices.
Child-care practices, for example, include care seeking, avoiding chil-
ling, maternal education, and child spacing.
The first set of review papers is now being completed. The next step
will be to publish the review papers to reach as wide an audience as
possible. The authors hope that this will focus attention on a small
number of preventive strategies which, in turn, will influence health
policy for developing countries and international organizations.
BUILDING TECHNOLOGY: A ONE-STOP SOURCE
Jeremy Ascough, 1995. "Buildings for Low Income-Earners in Zimbabwe."
Zimbabwe Science News, Volume 29, no. 1 (January / March), pages 5-7.
With many housing techniques readily available, how does an individual
person decide the best way to meet her or his basic shelter need? Jeremy
Ascough (University of Zimbabwe, Harare) says, "Over the centuries in
Zimbabwe, people have used caves, rock overhangs, dry stone walling,
thatched huts of poles and mud, brick houses and [now the] engineered
structures of the Harare central business area. Each technique in its
time satisfies a specific kind of user with their specific needs and
available research base."
But, in practice, adequate shelter is difficult to provide. In many pla-
ces, the cost is rapidly outstripping the income of ordinary people.
Fortunately, owner-built housing still uses affordable methods that can
be managed by the owner-builder.
How can the information on techniques be disseminated? In Zimbabwe, a
"Building Forum," established in 1948, is a permanent exhibition of
materials and information. Several colleges now include low-cost housing
in their courses of study. A "rural homestead," provided with Danish
collaboration, is a demonstration unit that combines traditional and
modern technology. And the nongovernmental organization Intermediate
Technology Zimbabwe has a workshop for women workers, in addition to
assisting in setting up production units for roof tile and building
blocks. Zimbabwe needs a nongovernmental organization that can coordi-
nate these efforts for the consumer, and campaign for better building
codes. Government can provide budgetary support such an effort, but
cannot easily do the developmental part.
O r g a n i z a t i o n s
SYSTEMS GROUP ON FORESTS
The group is a joint project of two nonprofit organizations: the Rocky
Mountain Institute (Old Snowmass, Colorado) and the Global Futures
Foundation (Sacramento, California). Its purpose is to define, assess,
and recommend ways to promote the most ecologically, economically, and
culturally sustainable ways to meet the human needs now met by forest
products. It aims to
-- identify the systemic roots that lead to the depletion of forest
resources, and to conflicts over forest utilization;
-- conduct independent research on existing and optimal forestry prac-
tices, taking into account both present and future needs;
-- design detailed and specific policies that can be readily adopted and
through which corporations and governments can adhere to those princi-
ples in practice; and
-- pinpoint specific investment and business opportunities to develop,
market, and use resource efficient practices, alternative fibers, infor-
mation systems and other substitutes that reduce consumption of wood
products.
Information: The Global Futures Foundation, 3090 Fite Circle, Suite 203,
Sacramento, California 95827; tel. +1 (916) 368-5200; fax +1 (916) 368-
5250; e-mail <mailto:sgforest@aol.com>.
WATER AND SANITATION
WaterAid is a nongovernmental organization that supports water, sanita-
tion, and hygiene education projects in developing countries. It works
with partner organizations to ensure that they take the lead in the
development process. Technology transfer to these organizations involves
not only sound engineering, financial, and management skills, but skills
in raising funds for their own work. WaterAid gets its funds through
public subscription, notably funding drives involving school and civic
organizations in the United Kingdom. It has an annual income of UKL 7.7
million.
Projects are located in Africa and South Asia. WaterAid's methods have
been admired and emulated by larger organizations, some of which have
assumed responsibility for efforts started by WaterAid.
Information: WaterAid, 1 Queen Anne's Gate, London SW1H 9BT; tel. +44
(171) 233-4800, fax +44 (171) 233-3161.
V I T A P r o j e c t s
CHAD: TARGETING HANDICAPPED BORROWERS
VITA's private enterprise development project in Chad, known as
VITA/PEP, has been addressing the credit needs of that African country's
medium, small and microenterprise sectors for twelve years. Project
clients have typically included market vendors, owners of small shops,
and small producers of goods and services.
Just two years ago the project began targeting certain entrepreneurs who
have even more difficulty getting credit from Chad's formal financial
sector: the handicapped. The opportunity came to VITA when the Chadian
government and a nongovernmental organization asked VITA/PEP to manage
an $8,000 fund for extending credit to handicapped persons.
What can be done with such a small fund? VITA/PEP's director, Evariste
Kebba, replies, "First of all, per capita income in Chad is $220, so
$8,000 can go a long way. Furthermore, the purpose of the fund is to
cover potential loan defaults. Based on an anticipated default rate of
ten percent, the fund's estimated coverage is ten times its actual
value; in 1994 it was $80,000. Today, with accumulated interest the
guaranty fund can cover about $88,000 worth of loans."
Commenting on the social value of the fund for handicapped businessmen
and women Kebba says "in countries like Chad it is very difficult for
small and microentrepreneurs to get any type of credit. It is almost
impossible for the handicapped to be independent business people. Prior
to VITA/PEP's intervention, there was no credit available to help them
get started and certainly no one to give them business advice tailored
to their level of activity."
Building on this experience, VITA/PEP now works with four nongovern-
mental organizations that oversee benefits, including training, for the
physically handicapped, the visually impaired, and the hearing impaired.
With their help, the project has been able to extend its outreach to
handicapped entrepreneurs even further.
"To date we have disbursed 193 loans for a total value of $23,244 to 15
groups of handicapped borrowers" says Kebba. "Three of these groups have
already obtained second loans. The borrowers are involved in many dif-
ferent activities including sewing, embroidery, making doughnuts and
spaghetti noodles, operating small restaurants, and selling grains, spi-
ces and various items in the market. All of the loan fund is provided by
the project which also absorbs all of the costs of training the borrow-
ers and disbursing the loans."
The project makes an entire group responsible for managing and repaying
the loan. Supervision of the loans rests with two of the project's loan
officers.
"The whole disbursement process is time-consuming and sometimes tests
the creativity of the loan officers," says Kebba. "Nonetheless, when all
the process has been finalized and these entrepreneurs receive their
loans, they are very excited at having been given this opportunity and
have frequently expressed how happy they are to be more independent, to
be able to contribute to their family income and to be relieved from
begging for a living. For them, operating their own business removes the
typical stigma of being handicapped and better integrates them into
society and the local economy. As for the project, we have found the
opportunity to work with these groups a rewarding experience, especially
as we watch these disadvantaged people gain confidence and experience."
Information: Vicki Tsiliopoulos <mailto:vickit@vita.org>
A n n o u n c e m e n t s
COMPUTERS IN AGRICULTURE
Food, and Biological Systems will host an international conference on
computers in agriculture in Cancun, Mexico. The event, which is cospon-
sored by the Instituto Mexicano de Tecnologia del Agua, is the seventh
in a series of conferences that provide for an exchange of information
on applications and use of computers in all agricultural disciplines.
The conference will include presentations on the use of computers in
agricultural engineering, farm management, dairy / animal science, and
aquaculture. It will also feature presentations on various information
delivery systems, geographic information systems, appropriate software
development, and knowledge-based systems.
Information: Susan J. Buntjer, Meetings and Conferences Manager, Society
for Engineering in Agricultural, Food, and Biological Systems, 2950
Niles Road, St. Joseph, Michigan 49085-9659; tel. +1 (616) 428-6327; fax
+1 (616) 429-3825; e-mail <mailto:buntjer@asae.org>.
HABITAT II
Today almost half of the world's population lives in cities; projections
for the year 2025 show that more than two-thirds will be city dwellers.
City dwelling can offer such significant advantages as economies of
scale in the provision of jobs, housing and services. But the rapid
urbanization that the world is experiencing puts tremendous stress on
urban infrastructures and results in poverty rates that often exceed
60%. Furthermore, despite growing investments in housing, more than a
third of the world's urban population lives in substandard housing.
Forty percent do not have access to safe drinking water or adequate
sanitation. These are all concerns of both developed and developing
countries.
In response to such problems, the UN will be holding Habitat II, a
Conference on Human Settlements, in Istanbul, Turkey, from 3 to 14 June
1996. It will address key issues facing the world's urban areas during
the next two decades with a special focus on remedial action in the next
five years. Participants will represent local governments, the private
sector, nongovernmental organizations, and the academic and scientific
communities.
Information: UN Centre for Human Settlements (Habitat), P.O. Box 30030,
Nairobi, Kenya; tel. +254 (2) 623033; fax +254 (2) 623080; e-mail
mailto:<Habitat2@unep.no>.
* * *
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DevelopNet News is an electronic newsletter published monthly by Volun-
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VITA specializes in information dissemination and communications tech-
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