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    A tale of two institutes

    Asia is home to 600 million rural poor subsisting on less than $1 a day. Three of every four poor people live in rural areas, dependent on agriculture for a livelihood.

    In the Philippines two out of five people live off the land. Agriculture produces a fifth of the national income and almost 40 percent of the total employment. A vast majority of the poor belong to the rural sector—very much mimicking the rest of Asia.

    The Philippines hosts the command center of two prominent international organizations, the International Rice Research Institute (IRRI) and the Asian Development Bank (ADB).

    The Senate last week strengthened the international status of the IRRI, formally conferring upon it the privileges and immunities usually accorded to diplomatic stations. The IRRI was founded through partnership and collaboration among the Philippine government, the USAid and the Rockefeller and Ford foundations. It is the flagship of 14 international agricultural-research institutes located throughout the world under the umbrella of the Consultative Group of International Rice Research (CGIAR).

    The IRRI’s groundbreaking research on rice during the 1960s produced the miracle rice—a high-yield, short-gestating and drought-tolerant rice variety. This brought about bountiful rice harvests worldwide for over three decades and filled the rice bowls of almost half of the world’s population. Its collection of rice germplasm is the largest in the world, with more than 100,000 rice varieties, some near extinct and many endangered.

    To help the Philippines absorb the research breakthroughs in the IRRI, Dr. MS Swaminathan, one of India’s top plant breeders and the IRRI’s then-director general, together with Dr. Ricardo Lantican of UP Los Bańos, helped me set up the Philippine Rice Research Institute in the mid-1980s. Philrice is now one of the better rice-research centers in Southeast Asia.

    The other international institution based in Manila is the ADB. From where I sit, the ADB’s contribution to agriculture has been marginal.

    Although the ADB’s loan portfolio to the Philippines has been increasing, these are unduly biased toward urbanization and fiscal consolidation. In 2006 the ADB approved $650 million loans—its highest lending since 1998—geared toward the energy and fiscal sectors. These are, of course, important to economic development. But its lending and technical assistance to agriculture has slipped since its peak in the 1980s, sliding from $666.5 million to $371.7 million in the 1990s, and $405.1 million from 2000 to 2007. Accounting for inflation, lending from 2000 to 2007 actually decreased by a quarter from the 1990s lending level.

    For a development bank whose mandate includes helping eliminate poverty in Asia, it has virtually turned a blind eye to Asian poverty’s rural face. This neglect is a towering failure of the ADB, comfortably ensconced in its plush offices and high-end residences, a luxury partly subsidized by Filipino taxpayers.

    During this first decade of the 21st century, we are witnessing the tragic result of this unforgivable underinvestment in agriculture. According to the International Rice Commission, the productivity of farm lands in Asia has been declining. With rice consumption and population growth continuing to outpace food production, and climate change threatening to reduce our capability to produce food, the first global food crisis since World War II is all upon us.

    The IRRI’s presence in the Philippines is providential to the Asian agriculture sector, but so can the ADB’s. It is high time the ADB started recognizing what its global counterpart, the World Bank, has recently realized—that growth in agriculture is the most effective means to combat poverty and attain true economic development, one that will lift everybody’s boats. Through the IRRI at the helm of rice research and the ADB in financing, Asia, in general, and the Philippines, in particular, can make the most out of the two international institutes it houses.   

    E-mail: edgardo_angara@hotmail.com. Web site: www.edangara.com.

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