Dynamic Development, Shifting Demographics and Changing Diets: The Story of the Rapidly Evolving Food System in Asia and the Pacific and Why It Is Constantly on the Move
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Structural transformation of the economy has also changed the nature of the food security problem. Earlier, many governments thought that producing more staple food was sufficient to improve food security. However, today’s economy, increasingly based on human capital and less on physical strength, requires that policies and programmes promote healthy diets for healthy people. This need for improved nutrition will require shifts in agricultural production and trade patterns. Solving the malnutrition problem in urban areas will also require different solutions than in rural areas, due to the difference in urban and rural food environments. In line with the structural transformation of the economy, farm households also increasingly rely on non-farm income to support their livelihoods and risk management strategies, which has implications for the uptake of new technologies. The demographic shifts, urbanization and structural changes in the economy, coupled with climate change, have made the food security and nutrition problem more complex than it was in the past. Solutions require input from different stakeholders, both public and private, as well as a range of government ministries, including Health, Finance, Education, Environment, Trade and Social Welfare in addition to Agriculture.
Food and Agriculture Organization of the United Nations
An intergovernmental organization, the Food and Agriculture Organization of the United Nations (FAO) has 194 Member Nations, two associate members and one member organization, the European Union. Its employees come from various cultural backgrounds and are experts in the multiple fields of activity FAO engages in. FAO’s staff capacity allows it to support improved governance inter alia, generate, develop and adapt existing tools and guidelines and provide targeted governance support as a resource to country and regional level FAO offices. Headquartered in Rome, Italy, FAO is present in over 130 countries.Founded in 1945, the Food and Agriculture Organization (FAO) leads international efforts to defeat hunger. Serving both developed and developing countries, FAO provides a neutral forum where all nations meet as equals to negotiate agreements and debate policy. The Organization publishes authoritative publications on agriculture, fisheries, forestry and nutrition.
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Dynamic Development, Shifting Demographics and Changing Diets - Food and Agriculture Organization of the United Nations
CHAPTER 1
INTRODUCTION
The Asia-Pacific region is undergoing rapid change and the food systems¹ that produce and deliver food to its consumers are not exempt from these trends. Some of the challenges confronting these systems are longstanding and generally familiar, but remain important nonetheless. For example, regional and global populations continue to grow and concomitantly the demand for food, placing further stresses on our already heavily burdened natural resources.
But in addition to these challenges that have existed since at least the time of Malthus, rapid change has brought with it newer trends in regional food systems. Sustained economic growth has led to ageing populations, greater urbanization, increased international trade and a structural transformation of regional economies, all of which have profound implications for food systems. Ageing populations, especially in rural areas, have implications for labour supply and technology adoption. Greater urbanization has led to reduced physical activity and an increased demand for convenience that has increasingly important implications for nutritional outcomes such as obesity. This urbanization has also led to an increased reliance of farm households on remittances and in some cases, a feminization of farming. Increased international trade due to lower costs of transportation and communication and lower trade barriers has increased the variety of foods available to consumers and placed additional pressures on farmers to be competitive. Structural transformation towards other sectors of the economy (industry and services) has deeply affected the livelihood strategies of farm households and the time they spend on farming. All of these changes have taken place against a background of increased inequality, rapid growth in the spread of information and communication technologies and a changing climate.
Collectively, the above trends mean that food systems (and thus, food policy) are becoming substantially more complex compared to the past. Interactions between different components of the food systems are increasingly becoming more intricate and multidimensional, linking sectors and actors in unprecedented and sometimes novel ways. Agriculture is now just one part of an integrated, more science- and capital-intensive, globalized food system. The future will see further profound changes in what is grown, how it is grown, where it is grown and how it moves from one place to another. Given this reality, this publication considers interactions among different sectors and different spaces, the essence of the food systems approach.
Thus, food systems now fall within the purview of different line ministries and different stakeholders outside of government (e.g. academia, civil society organizations, the private sector). In order for food policies to be effective, it is important that all stakeholders are aware of and understand the trends not only within agriculture, but also across environmental, health and nutrition, urban planning, finance and trade domains.
The trends noted above do not take place in a sociocultural vacuum, so the implications of these trends depend upon the specific context in which they occur. This publication focuses on the Asia-Pacific region. While far from homogeneous, this region does have certain characteristics that distinguish it from other major world regions. First, it has a large population, accounting for more than half (55 percent) of the world’s total. The region now accounts for 41 percent of global gross domestic product (GDP) measured in purchasing power parity or ‘PPP’ terms, up from 25 percent in 1990. Further, most of the region’s population is concentrated in one or another of its larger countries – 92 percent of the population lives in a country with a population of more than 50 million people (these percentages are much lower in Africa, Latin America and Europe). Second, the growth of GDP per capita has been, by far, more rapid than elsewhere in the world. Since 1990, and despite the Asian financial crisis in 1997/1998, GDP per capita grew at an annual average rate of 6.5 percent, while no other region had a rate above 3 percent (Figure 1.1). Third, the pace of urbanization in Asia and the Pacific has been the most rapid in the world, increasing from 30 percent in 1990 to 47 percent in 2016 (Figure 1.2). The increase in urbanization is projected to remain the fastest of any continent in the world between now and 2050.
Natural resource endowments in Asia and the Pacific also differ from elsewhere in the world, particularly regarding land. Population densities are very high, and as a result, agricultural area per capita is lower in Asia than on any other continent, with that on the Pacific Islands being even lower (Figure 1.3). The low agricultural area per capita translates into small farm sizes and a preponderance of smallholder farmers. Similar to sub-Saharan Africa, about 95 percent of all farms in Asia and the Pacific are less than 5 hectares in size, compared to about 50 percent in Latin America and the Caribbean (Lowder, Skoet and Singh, 2014).
In terms of water, a recent report from the Organisation for Economic Cooperation and Development (OECD) names northwest India and north China as two of the world’s top three hotspots in terms of water-related risks to food production (OECD, 2017). At the same time, more than in other parts of the world, many countries tend to be reliant on irrigation systems, with a much larger percentage of cultivated area in Asia equipped for irrigation (41 percent) than in any other continent (Portmann, Siebert, & Döll, 2010) (Map 1.1). Indeed, North America ranks second at just 13 percent, far behind. Thus, the challenges for water management are substantially different in the region than in other parts of the world.
The Asia-Pacific region is also different from the rest of the world in another way – its linguistic and socio-economic diversity.² For example, economic growth has been rapid throughout Asia (and is projected to continue), while it has been much slower in the Pacific countries (Figure 1.1). In terms of urbanization (Figure 1.2), the increases have been the most rapid in East and Southeast Asia, with the pace being slower in South Asia and no trend being evident in the Pacific. Land is scarce throughout the region, but water scarcity is more variable. For example, in Southeast Asia and the Pacific, all countries (except for Singapore) have renewable water resources per capita that are above the median for the world (FAO, 2018a), so irrigation systems are generally less widespread than in East and South Asia (Map