Research Reports
International Development Cooperation Strategy in Agriculture and Forestry Sectors for Focus Countries
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AuthorHeo, Jang
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Publication Date2019.02.26
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Original
Background & Purpose of Research
This is the first year report of multi-year research. It is to provide policy suggestions for enhancing ODA effectiveness in agriculture and forestry sectors, especially through focusing upon the private sector’s roles, and applying analytical tools of value chains and stakeholders. The main purpose of the research is, therefore, to provide in-depth strategic suggestions by analyzing current situations and challenges of carefully selected focus countries, and digging out key development cooperation areas.
Research Method
The first year, 2018, is devoted to developing research methodologies for the next years, and, from the second year, it is planned to establish strategic policy directions for the selected focus countries.
With a comprehensive review of literature related with the research topics, statistical analysis process has been implemented to select focus countries. Out of databases, for instance, FAOSTAT, raw data on 143 developing countries were selected, weighted and aggregated. AHP analysis was adopted to decide weight of each category and indicator.
Experts from domestic and international—Bangladesh and Azerbaijan—research institutes were requested to undertake researches on areas of cooperation and value chains. Face-to-face interviews were also used for in-depth understanding of situations of agriculture and forestry sectors of Paraguay and Bangladesh.
Results and Implications
By utilizing data from FAOSTAT of FAO, Databank of the World Bank, and others, related statistics were gathered on four categories, government policy, areas in which development cooperation is required, readiness of cooperation, and business conditions. AHP analysis produced weights for categories and indicators, and ultimately lists of focus countries were derived on the agriculture sector, forestry sector, and agriculture-forestry sector.
For developing value chain analysis of the agricultural sector of developing countries, conceptual definition, points of difference from supply chain, methodology, analytical framework, and cases of USAID and the World Bank were reviewed and introduced. UNIDO’s five steps for value chain analysis were adopted to apply to agriculture and forestry sectors of developing countries: identification of objects, mapping, cost and benefit analysis, analysis on structural and dynamic factors, and strategy establishment.
With regard to stakeholder analysis, methodological cases of British ODA and DFID, and KOICA were provided. In applying to the agriculture and forestry sector analysis, it is suggested to proceed the following phases: understanding project types and features, identifying and listing key stakeholders, grouping stakeholders and grasping their interests, checking possibilities of cooperation from stakeholders and their capacities, and forming a matrix to indicate influence and importance of stakeholders.
Private sector development, PSD, is an emerging area for sustainable development cooperation and creation of new sources of fund. The level of support is classified as upper-stream (macro-level), mid-stream, and down-stream (micro-level), whereas areas of support are investment environment, infrastructure, and productive capacity. This research estimated current ODA budget assigned for PSD, which is 67 million USD in 2016 in terms of support level, and 81 million USD in terms of support areas; however, it was hard to find out any consistencies in yearly changes. The research also suggested potential areas of development projects for developing the private sector of partner countries.
Development policy experiences and areas of comparative advantages of Korea were introduced as parts of guidelines for development cooperation strategy. Eight areas were figured out including rice productivity improvement, agricultural technology R&D and extension, forestation, and so forth. Tables of contents of strategic documents from a few international organizations, JICA and KOICA, were compared and contrasted, to suggest some ideas on the formats and contents of strategic researches which will be undertaken from the next year.
Researchers: Heo Jang, Seok Hyundeok, Cha Wonkyu, Lee Yoonjung, Jeong Dongyeol
Research period: 2018. 1. ~ 2018. 12.
E-mail address: heojang@krei.re.kr
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