Ethiopia - Agriculture and Rural Development Policy - GAFSP

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RURAL-AND AGRICULTURE-CENTERED DEVELOPMENT AS A MEANS OF .... Agricultural Development not Driven by Market Forces Cannot be Rapid and ...
GOVERNMENT OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA

RURAL DEVELOPMENT POLICY AND STRATEGIES

Ministry of Finance and Economic Development Economic Policy and Planning Department Addis Ababa April, 2003

GOVERNMENT OF THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA

RURAL DEVELOPMENT POLICY AND STRATEGIES

Ministry of Finance and Economic Development Economic Policy and Planning Department Addis Ababa April, 2003

Contents

'Ethiopia's $(}ira( (Development (Policy «£Strategies

FOREWORD ............................................................................................................... 1 INTRODUCTION......................................................................................................... 3 PART ONE.................................................................................................................. 4 THE RURAL DEVELOPMENT POLICY AND STRATEGIES IN THE CONTEXT OF ETHIOPIA'S OVERALL DEVELOPMENT ..................................................................... 4

1. RURAL-AND AGRICULTURE-CENTERED DEVELOPMENT AS A MEANS OF ENSURING RAPID ECONOMIC GROWTH ................................................................. 4 2. RURAL-AND AGRICULTURE-CENTERED DEVELOPMENT AS A MEANS OF ENHANCING BENEFITS TO THE PEOPLE..................................................................... 6 3. RURAL-AND AGRICULTURE-CENTERED DEVELOPMENT AS A MEANS OF ELIMINATING THE COUNTRY'S FOOD AID DEPENDENCY ............................................ 8

4. RURAL-AND AGRICULTURE-CENTERED DEVELOPMENT AS A MEANS OF PROMOTING THE DEVELOPMENT OF A MARKET-ORIENTED ECONOMY ......................... 10 SUMMARY ................................................................................................ 11 PART TWO ............................................................................................................... 12 RURAL AND AGRICULTURAL DEVELOPMENT POLICIES AND STRATEGIES ETHIOPIA ................................................................................................................ 12

1.THE BASIC DIRECTIONS OF AGRICULTURAL DEVELOPMENT ................. 12 1.1.The Labor-intensive Strategy ......................................................... 12 1.2.Proper Utilization of Agricultural Land. ....................................... 13 1.3.A Foot on the Ground. ................................................................... 14 1.4.Taking Different Agro-Ecological Zones into Account ................. 15 1.5.An Integrated Development Path ................................................... 15 2. STRENGTHENING THE AGRICULTURAL LABOR FORCE ....................... 16 2.1.Ensuring Industriousness and Work Preparedness ................... ... 16 2.2.Improving Farming Skills ...... ................. ..................................... 18 2.3.Ensuring the Health of Farmers .................................................... 21 2.4.Dissemination of Appropriate Technology .................................... 25 3. PROPER USE OF LAND ........................................................................ 30 3.1.Land Ownership ............................................................................. 30 3.2.Land Use Policy ............................................................................. 39 3.3.Water Resources Utilization .......................................................... 40 4. PREPARING AREA COMPATIBLE DEVELOPMENT PACKAGES ...............44 4.1.Combining Efforts towards Diversification and Specialization .... 44 4.2.Development Efforts in Drought-Prone Regions........................... 47 4.2.1.

Emergency Assistance .........................................................47

4.2.2.

Land Settlement as Part of the Solution...............................48

November, 2002

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'Ethiopia's Q^iraC (Development (Policy Market sensitive: We also aim to build a free market economy. This applies as much to the agriculture as to any other sectors of the national economy. Thus, agricultural technologies promoted should be those which will enable farmers (a) to produce products which are in demand on the market, (b) to sell these product at competitive prices, (c) to benefit from the sales proceeds and (d) in the process to widen their market. If output with little demand is produced simply because related technology happens to be available, there will be nothing in it that can serve as a foundation for our future growth. Furthermore, if the technology applied does not allow production that fulfills basic quality requirements and that can be sold at competitive prices, it cannot serve as a foundation for sustained growth even if, generally, the products are demanded on the market. Therefore, the technologies that we promote should focus on marketable products and should help

November, 2002

MdsAhaba

'Ethiopia's RitraC (Development