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THE World Bank
Minding the Stock
Bringing Public Policy to Bear on Livestock Sector Development
rEPorT no. 44010-GlB
Minding the Stock: Bringing Public Policy to Bear on Livestock Sector Development
Report No. 44010-GLB
THE WORLD BANK
AGRICULTURE AND RURAL DEVELOPMENT DEPARTMENT
© 2009 The International Bank for Reconstruction and Development/The World Bank 1818 H Street NW
Washington, DC 20433
Telephone (202) 473-1000
Internet www.worldbank.org/rural Email ard@worldbank.org
This volume is a product of the staff of the International Bank for Reconstruction and Development/The World Bank. The findings, interpretations, and conclusions expressed in this paper do not necessarily reflect the views of the Executive Directors of the World Bank or the governments they represent. The World Bank does not guarantee the accu-racy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of the World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.
The material in this publication is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law. The International Bank for Reconstruction and Development/The World Bank encourages dissemination of its work and will normally grant permission to reproduce portions of this work promptly.
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Cover photos:
Arne Hoel, Cattle grazing, Akagera National Park, Rwanda
Simone D. McCourtie: Poultry farmer has taken precautionary measures against avian flu. Ha Tay Province, Vietnam.
Trinh Quang Vinh: Pig feeding in Son La province, Woman Union Microcredit Program Vietnam
Table of Contents
FOREWORD vii
ACKNOWLEDGMENTS ix
ACRONYMS AND ABBREVIATIONS xi
EXECUTIVE SUMMARY xiii
1 A Changing Livestock Sector in a Changing World 1 The Opportunities 1
The Challenges 2
2 Public Goods and the Scope for Intervention in the Livestock Sector 5 Public Goods and Scope for Intervention in the Livestock Sector 6 Public and Private Goods 6
Global, National, and Local Public Goods 7 Willingness to Fund Global Public Goods 10 Collective Action 12
3 Livestock Externalities in Land and Water Use 15 The Arid Tropics 16
The Humid Tropics 20 Water 25
4 Livestock Externalities, Crop–Livestock Interaction, and Nutrient Cycling 27
Nutrient Flows 28 Collective Action 30
Public Policies and Investments 31
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Table of Contents
5 Livestock-Sector Externalities Relating to Greenhouse Gases and Global Climate Change 35
Livestock in the Carbon Cycle: Trends and Impacts 35 Livestock in the Nitrogen Cycle 38
Summary: Emissions 40 Mitigation 42
Policy and Investment Options 43
6 Livestock and Public Health Externalities 47 Livestock–Public Health Interactions 48 Livestock, Public Health, and Public Goods 50 Defining the Institutional Architecture 50
Collective Action in Managing Animal and Public Health 52 Public Sector Interventions 53
The Role of the Private Sector 54 Policy and Investment Options 54
7 The Exclusion of Smallholders 57 Equity 58
Institutions, Policies, and Investments 59
8 Funding Implications 63 The Road Ahead 65
Funding Needs and Mechanisms 66 Summary 67
Appendix:
Overview of Main Policy Instruments 69
Bibliography 71
Tables
1.1 Past and Projected Trends of Consumption and Production of Livestock Products 2
2.1 Distribution of Responsibilities for Implementation, Funding, and Oversight of Selected Key Services in the Livestock Sector 8
2.2 Indicators to Prioritize Measures Related to Global Livestock-related Threats 11
2.3 Key Factors Affecting Priority of Global Threats 12
3.1 Technological Progress: Comparison of Key Technical Parameters in the Beef Industry in the Amazon Area of Brazil, 1985–2003 23
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