Volume 13, Number 3 Seminal Article Series

The Changing Role of Agricultural Extension in a Global Economy

Burton E. Swanson Professor Emeritus of Rural Development University of Illinois at Urbana-Champaign 452 Mumford Hall, 1301 West Gregory Drive Urbana, IL 61801 E-mail: [email protected]

Abstract This paper outlines the elements of a decentralized, market-driven extension strategy that has been tested and proven effective in increasing the income of small- and medium-scale households in China and India. The impetus and development of this strategy occurred in different ways in each country, but common themes emerged in both nations. First, extension needs to shift some of its focus from food security to increasing farm income and rural employment. This change in national policy requires that extension focus more attention on increasing the production of high-value crops, livestock and other value-added enterprises. In making this policy shift, it is essential that extension become more market-driven. This requires that extension allocate more resources to identifying markets where small-scale farmers can be competitive and to assist them with learning how to build value-chains that will effectively link these farmers with markets. Another essential element is that farmers must become organized into groups to achieve economies of scale in supplying these high-value markets. These farmer organizations will become the basic building blocks of democratic institutions and will enable farmers to participate more fully in the political process. Finally, for market-driven extension systems to be effective, decision-making must be decentralized. In addition, for a decentralized extension system to be effective there must be formal stakeholder involvement in decision-making to increase accountability. It is recommended that this extension strategy be carefully considered by extension leaders in other developing countries.

Keywords: Extension, Strategy, Decentralize, Market-Driven, Social Capital, China, India

Acknowledgment: This paper was developed and refereed under special invitation from the JIAEE Editorial Board for continuation of the annual Seminal Article Series.

Editor’s Note: This paper summarizes the author’s efforts from the past 15+ years in helping transform the national agricultural extension systems in China and India. Working with extension colleagues in both countries, the author completed more than 25 trips to prepare, supervise, and evaluate major donor projects that sought to implement the strategies outlined in this paper. After observing significant changes in extension strategy and performance, the author believes that national agricultural extension systems play a vital role in alleviating rural poverty, reducing hunger, and enabling small-scale farm households in developing countries to improve their livelihoods. However, this outcome is unlikely to happen unless there is a major change in the extension strategy currently being pursued by most developing nations. Fall 2006 5 Volume 13, Number 3 Introduction maintain political support for public The purpose of this paper is to research and extension systems. Given that outline policy issues facing national multi-national life-science companies are agricultural extension leaders in response to rapidly replacing the traditional role of the rapid globalization of national and public agricultural research and extension international food and agricultural systems. systems, the underlying proposition is that if In response to these challenges, specific these national systems are going to survive, options being pursued by different countries then they must refocus on getting farmers are outlined for consideration and possible organized and on helping them increase implementation. This paper begins by farm income and rural employment through outlining the growing dominance of multi- a new, decentralized, market-driven national firms at both ends of the food chain; extension strategy. this phenomenon is resulting in the progressive expansion of large-scale, Background commercial farming worldwide. A basic The global food system has been assumption of this paper is that globalization undergoing a major transformation over the is and will continue to negatively impact past two or three decades, first in Europe, small- and medium-scale farmers, especially North America, Japan and Oceania, and in developing countries. In the process, more recently, in developing countries small- and medium-scale farmers will (Harl, 2000). First, large-scale, multi- become increasingly marginalized, with national supermarket chains (e.g., Wal-Mart, major human and social implications. Carrefour, Tesco, Ahold, and Metro) and The primary premise of this paper is meat processing (e.g., Tyson, Smithfield, that government policy makers, agricultural and ConAgra) and commodity firms (e.g., extension leaders and extension scholars Cargill, ADM, Bunge, and Zen Noh) need to consider the implications of dominate the worldwide food industry. globalization on the agricultural sector and Second, the major life-science companies the implications for public extension (e.g., Syngenta, Monsanto, BASF, Dow, systems in developing countries. One option DuPont, and Bayer) dominate the input would be to continue focusing on the supply industry, including seed and agro- “supply-driven” extension strategy that was chemicals. Third, these changes at both ends successful in increasing the productivity of of the global food supply chain are bringing basic food crops during the second half of about the steady commercialization of the 20th century. The problem is that multi- production worldwide. As a national, life-science firms are becoming the result of these changes, prices for the major dominant source of crop production food commodities are declining and these technologies worldwide. As a result, the changes are having a direct, negative impact traditional role of public research and on small- and medium-scale farmers, extension systems is rapidly becoming especially those in developing countries redundant. (Fritschel, 2003). Alternatively, these public extension In 2006, there were an estimated organizations can follow the example of 1.32 billion farmers in developing countries, other countries and shift to a more market- and due to the continuing increases in driven strategy that focuses more directly on population growth, this number is expected increasing farm income and employment, to gradually expand during the foreseeable especially among small- and medium-scale future (FAOSTAT, 2006). Most of these farmers. This approach could have a positive farmers have very small economic and social impact on low-resource , very limited resources and excess farm households, and at the same time, family labor; these farm households

6 Journal of International Agricultural and Extension Volume 13, Number 3 comprise the majority of the rural poor in are the large-scale, commercial growers, developing countries. While cropping who have ready access to the most intensities are continuing to increase in most productive, proprietary technologies as well nations, such as China and India, unless as market protection. Therefore, the incomes these small- and medium-scale farmers shift of small- and medium-scale farmers to higher-value crops and/or enterprises, worldwide are declining as they become farm income will, at best, remain stable. increasingly marginalized within a global However, in most cases farm income is economy. declining as world commodity prices decrease. In addition, due to the increasing Purpose and Objectives role of the private sector in supplying The purpose of this paper is to proprietary technologies, plus the increasing address the policy issues outlined above and demands on national governments for health to outline the elements of a new extension and education services, these changes can be strategy that has been tested and proven expected to negatively impact government effective in several countries, including commitment to public agricultural research China and India. The thrust of this paper is and extension systems. In many countries, that if national agricultural extension because of increasing pressure to reduce systems in developing countries are to government spending, the extension system survive as effective institutions, they must is being downsized and/or most resources (a) refocus on getting farmers organized are being spent on staff salaries, with too (i.e., build social capital), (b) increase farm few funds available to support extension income and rural employment and (c) programs. thereby help to alleviate rural poverty. If national extension organizations adopt these Problem proposed policy changes and aggressively Most agricultural extension leaders pursue this new strategy, they will not only are still operating on the basis of the 20th receive increased public support, but they century agricultural development strategy may also become prime candidates to when food security was the national priority receive financial support from donor (Swanson, Samy, & Sofranko, 2003). agencies. On the other hand, if national Therefore, most national extension systems agricultural research and extension continue to focus on increasing the organizations continue focusing on the productivity of the major food crops (e.g., major food crops, they will be quickly rice, wheat, maize, etc.) and other outpaced by the private sector and will be of commodities, even though multi-national diminished economic value to the country. life-science companies are becoming the As a result, these public institutions may be primary source of new technologies for progressively downsized. these crops (e.g., new varieties/hybrids and agro-chemicals) worldwide. In addition, as Major Elements of a Proposed New mentioned above, due to these productivity National Extension Strategy increases, the world now has a surplus of Based on the experience of China, these basic commodities and prices are India and other countries, the following falling. Also, farmers in North America, elements are proposed for consideration in Europe and East Asia continue to receive developing a national agricultural extension farm subsidies and/or tariff protection, strategy that would help meet the needs of making it difficult for developing country small- and medium-scale farmers during the farmers to effectively compete for these first two or three decades of the 21st century. international markets. The winners in the Each of these proposed changes will be competition for global commodity markets described in this paper, with examples being

Fall 2006 7 Volume 13, Number 3 given to illustrate each element. Also, in farm households (SFHs). This transition was pursuing this new strategy, extension leaders not easy, since the average farm size was will need to develop new areas of technical, only about the equivalent of one-half acre of market and social expertise, so this irrigated land/farm and each farmer was reorganized extension system can more required to sell a specific amount of a staple effectively serve small- and medium-scale food crop (e.g., 600 kg of wheat, rice, farm households throughout their country. maize) to the government at a fixed price. These strategic elements follow. Therefore, depending on the farm’s size and proximity to urban markets, some SFHs Shifting to High-Value Crops or Enterprises concentrated on livestock enterprises (e.g., As outlined in the introduction, pigs, ducks, etc.), while others grew public extension can no longer focus its horticultural crops (vegetable and fruit primary attention on increasing the crops) or other high-value products (e.g., productivity of major food staples, but must mushrooms). These growers then used some shift some of its focus to those higher-value, of their profits from the sale of these high- labor-intensive crops, or enterprises where value crops/products to buy the required small- and medium-scale farm households amount of food staple crop from other can successfully increase their incomes peasant farmers. These farmers then resold and/or employment, thereby improving their these food staples to the government to meet livelihoods. The process of identifying and its mandatory requirement. evaluating potential high-value Since this new generation of Chinese crops/products will likely differ from farmers was very entrepreneurial, it did not country to country, depending on national take long for them to begin expanding the policy and local circumstances. In addition, production of these high-value products. For the production of specific crops or products example, while cereal crops increased an is very location specific and is highly average of 2% annually from 1980 to 2005, dependent on several factors, including: vegetable crop production increased an agronomic conditions; access to specific average of 27% annually from 55 million domestic and international markets, tons in 1980 to 435 million tons in 2005. including specific windows of opportunity Fruit production expanded even more in different markets (i.e., market timing); rapidly at 35% annually from 8.4 million and the transportation and supply chain tons in 1980 to 82.5 million tons in 2005. infrastructure requirements needed to supply The increase in livestock production was different markets. In addition, the catalyst similar with (a) pork production increasing for change can come from the farmers at 12.5% annually from 12.7 million tons in themselves, private sector firms, public 1980 to 50 million tons in 2005; (b) duck extension or all three groups working meat increasing at 27.4% annually from together in a public-private partnership 299,505 tons in 1980 to 2.35 million tons in (Swanson & Samy, 2004b). For example, 2005; and (c) chicken meat increasing 30% the shift to high-value crops/products in annually from 1.17 million tons in 1980 to China was very different from the approach 10.15 million tons in 2005 (Source of all used in India. data: FAOSTAT, 2006). By the 1990s, as more and more farmers learned how to China. Following the economic produce and market high-value reforms that started during 1979 in China, crops/products, if one product became less better educated, younger farmers began profitable, many SFHs would quickly shifting from basic food crops to high-value diversify or shift to other more profitable crops and livestock enterprises; in the crops and livestock products. In other cases, process they became known as specialized as farmers and processors became more

8 Journal of International Agricultural and Extension Education Volume 13, Number 3 vertically integrated, such as in the case of total of 24% across all 28 project districts, in apples, Chinese farmers soon began to contrast with only a 5% increase in farm dominate the world market for apple juice, income/household in non-project districts which has become a core component of (Tyagi & Verma, 2004). most blended juice drinks in North America and Europe. Becoming Market-Driven In order for extension to advise India. The transition of small-scale small- and medium-scale farmers about farmers from producing staple to high-value alternative high-value crops or products that crops or products in India has been far they might be able to successfully produce slower, due to socio-cultural and economic and market, it is essential that extension factors. Real progress did not occur until become more market-driven. The challenge different donor-funded projects began to for extension leaders is to determine how to demonstrate that women’s Self-Help Groups bring about this strategic change in program (SHGs) and Farmers Interest Groups (FIGs) focus. To begin, there are four essential could be organized to produce and market axioms that must be followed as an high-value crops/products. For example, two extension system shifts to high-value crops, World Bank financed projects—Diversified livestock and other enterprises (Singh & Agricultural Support Services Project Swanson, 2006): (DASP) in Uttar Pradesh and the National • The first axiom is: If there isn’t a Agricultural Technology Project (NATP)— market, don’t encourage farmers to were specifically designed to decentralize produce a specific crop or product. extension, organize farmers, and through a Therefore, the first task to be carried strategic planning process, help different out is to assess the potential markets village-level FIGs identify one or more for different high-value crops or potential crops or products that could be products that can be successfully successfully produced and profitably produced in different marketed. townships/blocks within each county For example, in the NATP project or district. involving 28 project districts in 7 states, the • The second axiom is: If the crop (or following shifts in actual crop area occurred product) cannot be successfully between 1999 and 2003 due to the grown or produced within a introduction of a decentralized, market- county/district, due to unfavorable driven extension system: (a) horticultural agro-ecological conditions, then look cropping area increased from 12 to 16 for more promising crops or products percent; (b) oilseeds increased from 3 to that are better suited to that 11%; (c) herbs, medicinal and aromatic county/district. crops increased from 1 to 5%; and (d) the • The third axiom is: If farmers cannot area planted to cereal crops (wheat and rice) easily transport the product to declined from 55 to 47%. However, yields market, while maintaining quality, increased by 14% resulting in no appreciable look for more promising products loss in staple food production (Singh & that can be successfully marketed. Swanson, 2006). In addition, there were • The fourth axiom is: Diversify into a introductions of many other high-value sufficient number of different high- products including livestock, aquaculture value crops/products that are suitable and other enterprises, such as mushrooms for the different farmer associations and vermi-composing, produced by landless (FAs) within each county/district. rural women. During this 4-year period, This approach will mitigate risk by average farm income/household increased a not saturating the market with one or

Fall 2006 9 Volume 13, Number 3 two crops/products, thereby driving enterprises. For example, during the 1990s, down prices. these different CAs began using township extension classrooms for their planning, In India, under both the DASP and organizational and training meetings. In NATP projects, the first step was to carry addition, they requested help from CATEC out a Participatory Rural Appraisal (PRA). specialists to provide technical advice and In each district, local research and extension training. However, as these CAs became leaders would systematically identify a more sophisticated, they began using paid range of “success stories” that were consultants from research institutions, generally the result of entrepreneurial universities and private sector firms. The farmers who had already identified a market objectives of these CAs were clear—to gain on their own, worked out a successful access to more reliable market and technical production technology for local growing information that would increase their profits. conditions and then developed the necessary In short, it was the Chinese farmers that took transportation and logistics to successfully the lead in developing value-chains for market the product. These district research different high-value crops and livestock and extension teams then assessed each enterprises, and it was their technical success story in the process of developing a demands that helped refocus the extension Strategic Research and Extension Plan system and make it more market-driven. (SREP) for the district. They determined In addition to developing technical whether each success story was merely a expertise about different high-value crops very small, limited niche market that could and livestock enterprises, the field extension only be served by a few farmers or whether staff needs to have access to up-to-date there was considerable scope to expand the market information and to make this production and marketing of this information readily available to farmer crop/product. If the latter were the case, then associations. First, the extension system these entrepreneurial farmers who had needs access to information on growing already developed these value-chains were domestic markets for different high-value approached to determine if they would be crops and products. As urban workers in willing to work with extension as a key both China and India continue to gain access resource person in training other farmers. In to more disposable income, then their many cases, these producers decided to demand for higher-value food products will become farm leaders in helping to organize continue to increase. For example, per capita other interested farmers into a Farmer income is increasing at an annual rate of 8% Interest Group (FIG) and then in training in India and 10% in China. Therefore, these new FIG members in how to produce domestic markets for these different high- this particular crop/product. value food products will continue to grow In China, due to government policy rapidly as these nations continue to directives, the County Agro-Technical experience rapid economic growth. The key Extension Centers (CATECs) were still is to first identify these emerging markets focusing on increasing the productivity of and then determine if farmers in each staple food crops (i.e., food security) during particular district would be competitive in the 1980s. In fact, the transition to a more producing specific crops/products for market-driven extension system did not different markets due to (a) superior occur until the 1990s when specialized farm growing conditions, (b) proximity to households (SFHs) and their respective markets and (c) a suitable transportation Commodity Associations (CAs) began system or supply chain in supplying these making technical demands on extension markets. about different high-value crops or

10 Journal of International Agricultural and Extension Education Volume 13, Number 3 While county/district extension staff other groups who share a common interest. may be able to assess local and district In this paper the concern is with both types markets on an ad hoc basis, extension of social capital, but especially in linking marketing specialists will be needed to producer groups to external markets or develop market information systems (MISs) processing firms that can open up new at the state/provincial and national levels to market opportunities. In the process, increase price and market transparency at examples of farmer organizations from the provincial and national levels. In China and India will be described, including addition, where opportunities exist for how these producer groups were organized possible export crops or products, then the to pursue both new markets and sources of national research system or trade technology. associations will need to develop a MIS(s) As China moved toward a market that will regularly up-date market economy, the structure of its agricultural information about potential export markets sector began changing to reflect new market for different crops or products. For example, opportunities. As noted earlier, specialized the Moldova extension system was rebuilt farm households (SFHs) have formed to around the development of a MIS (see: focus on different higher-value crop and http://www.agravista.md/en.html), so livestock enterprises, such as vegetables, farmers are able come to the local extension apples, pigs, ducks, mushrooms and so forth. office to obtain current price information, Most of these new SFHs have been initiated identify potential buyers, and eventually by younger (<40 years of age), better- enter into marketing contracts (Bondari, educated farmers (many with nine years of 2006). In the process, they also seek help technical education) who have specific from extension in developing farm interests in different high-value enterprises. management plans and in gaining access to In most cases, these specialized commodity production technologies needed to produce associations (CAs) started at the village for specific markets. and/or township level with a “bonding” type of social capital. Given the legacy of the Building Social Capital communal system within rural China, Building social capital is another key organizing these village and township CAs element of an extension strategy aimed at was not difficult. However, since these increasing farm income and rural local-level CAs were interested in marketing employment. Social capital is the ability to their products, they soon affiliated or facilitate collective action for mutual benefit merged with other CAs at the county, through the organization and participation of prefecture, or provincial level (i.e., bridging farmers and rural people. Putnam (2000) has social capital), to develop commodity- differentiated social capital into two primary specific value-chains that could supply categories: bonding and bridging. different urban markets. By 2001, the “Bonding” is the process of creating a Ministry of Agriculture estimated there were network of people who come together for a over 100,000 CAs throughout China common purpose, for example, a self-help (Swanson, Nie, &Feng, 2003). group or a farmer association. The focus is India has been especially successful on group formation, building trust or a type in creating social capital among rural of glue that holds a group of people women. The process generally begins by together. “Bridging” social capital is the organizing rural women into self-help process of creating linkages with outside groups (SHGs). These SHGs are a type of groups for a common purpose. In short, “savings club” whereby each member bridging social capital is externally oriented contributes an agreed upon amount monthly and seeks to add value through linkages with to the club’s account so that individual

Fall 2006 11 Volume 13, Number 3 members can take out a small loan to start group purchased dairy cows that improved some type of economic activity. These nutrition within the family, with the excess SHGs would be a bonding type of social milk being processed into cheese and sold in capital. Once organized, these SHGs can be the local market. Other groups leased land to effectively trained by extension to produce produce horticultural crops, thereby new products, such as dairy, poultry, diversifying into different high-value sericulture, mushrooms and vermi-compost, vegetable crops. Finally, as some groups and then to link these new Women’s Interest gained experience, they diversified into Groups (WIGs) to new market opportunities. polyculture fish production, resulting in the Organizing women farmers is production of other higher-value products, particularly critical in alleviating rural such as freshwater shrimp, for high-end poverty since they utilize the additional urban markets (Swanson, personal income to improve family nutrition, pay observation, 2003). school fees, especially for their girls, and for Another essential reason for health services. Another important factor is organizing farmers into groups is to that women’s groups organize vertically overcome the highly exploitive role that across socio-economic lines, while men traders play in most developing countries, typically organize horizontally within socio- such as India. Small-scale farmers cannot on economic groups. Therefore, higher-level their own, supply district and regional socio-economic women, with some markets, nor do they have up-to-date market education, can deal with external agencies, information. Once organized, however, they such as banks, markets, and training can begin achieving “economies of scale” in institutions and are willing to share this producing specific high-value information with the other group members, crops/products and in supplying regional, most of whom are illiterate. The most national and even export markets. Therefore, effective means of reaching the rural poor building social capital is a critical element in is through women’s groups. an overall agricultural development strategy The following success story is aimed at reducing rural poverty (Swanson, illustrative of how women’s groups can be 2004). Also, extension is well positioned to mobilized to produce high-value implement this strategy by: (a) helping crops/products. In the Khurda District of farmers get organized, (b) determining their Orissa State in India, most village ponds lay interests based on accessible market idle, serving largely as a watering hole for opportunities, (c) training these groups in village livestock. After landless women in how to produce specific crops/products and 16 villages had been organized into self-help (d) working with them to develop supply groups by extension, these groups were chains in marketing their products. assisted by the fisheries extension officer Finally, to illustrate the number of (FEO) in leasing their respective village village-level farmer groups that can be ponds from the village Panchayat for successfully organized by extension in a conversion into a fish tank. These different relatively short period of time, under NATP, women’s groups worked under the guidance 10,825 farmer interest groups (FIGs) were of the FEO to clean, prepare, and fill these organized and under DASP 17,906 FIGs tanks with water. In addition, the FEO were organized, with 35% being female. For arranged for the purchase and delivery of a detailed explanation of how extension can fingerlings from a reliable fish nursery. Four implement this process, see Singh and months later, these groups began selling Swanson (2006). their first crop of fish. Next, the profits from the sale of fish were used to diversify into other high-value products. For example, one

12 Journal of International Agricultural and Extension Education Volume 13, Number 3 Moving to a Decentralized Extension were integrated into new CATECs that Structure delivered extension programs through Another critical element in Township Agro-Technical Extension implementing an extension strategy aimed at Stations (TATES). This new integrated increasing farm income and rural approach created efficiencies and focused employment is the need to decentralize the more resources on extension priorities national extension system. First, in planning within each county. This approach was pilot market-driven extension programs, the field tested in 29 counties during the early 1980s extension staff must focus on high-value and subsequently expanded throughout the crops/products that are suitable for different country during the 1990s. By 2001, over locations within the country, state/province, 80% of all counties in China had adopted the county/district and township/block, CATEC model (Swanson, Nie, & Feng, especially noting proximity to markets and 2003). agronomic conditions. Second, in addition to A second part of the decentralization organizing farmers into groups, extension process was enacted in 1993 when the “Law programs must reflect the different levels of of the People’s Republic of China on the farm resources within each county or district Agricultural Techniques Extension” was (e.g., availability of land and labor passed. This law made each level of resources) as well as farmer interests, government (national to the township levels) including gender considerations. In addition fully responsible for funding its own level of to these operational issues, decentralization the extension system, including the of the extension system can also lead to provision of capital support for facilities and greater stakeholder participation in equipment, plus operating funds to cover extension planning and more efficient and staff salaries and program costs (Nie, equitable service delivery (Swanson & Swanson, & Feng, 2002). In addition, other Samy, 2002a). Finally, it has been shown county-level government offices began that decentralized extension systems can collaborating with CATECs to allocate improve resource mobilization, reduce the funds for development projects and/or to strain on central finance and create greater provide training for farmers. For example, accountability within the extension system CATECs began submitting proposals to the (Bird, 1994). China and India have used County Department of Science and different models and mechanisms to Technology (Nie, et al., 2002). If these decentralize their respective extension proposals focused on promising systems and each system will be briefly technologies, addressed real problems and described here. had the political support of farmers within Decentralization of the Chinese the county, then they were likely to be Agro-Technical Extension System. In China, funded. CATECs also cooperated with other prior to the economic reforms that began in government offices, such as the County 1979, there were many separate agricultural Women’s Federation (CWF), in providing development agencies serving farmers at the training for women farmers. By partnering county and township levels, including the with these different government offices, Extension Station, Agro-Research Institute, CATECs were able to gain access to new Crop Cultivation Station, Plant Protection sources of operating funds and to build Station, Seed Station, Soil and Fertilizer strategic alliances within the county for the Station, and the Agro-Technical School. benefit of rural farm households. (Swanson These individual agencies were weak, they et al., 2003). duplicated efforts and they were generally inefficient. To develop a strong, grassroots extension system, these different stations

Fall 2006 13 Volume 13, Number 3 Decentralization of the Indian research and training activities that the GB Extension System. In India, under the considers a priority within the district. Training and Visit (T&V) Extension Program planning and System, most extension activities were implementation is largely carried out at the carried out by the Department of Agriculture block level by an integrated Block (DOA, covering cereal crops, oilseeds and Technology Team (BTT). The staffing pulses) through its extension service. Other composition of these BTTs reflects those line departments, including the Departments subject-matter areas that are important of Animal Husbandry, Horticulture, Soil within each block, with agriculture (field Conservation, Forestry, Fisheries, and crops) and animal husbandry officers being Sericulture, had extension responsibilities, common to all teams. All BTT officers have but lacked the field staff at the block and a minimum of a university degree and some village levels to carry out these duties. officers have post-graduate education. In Under NATP, the Government of India addition, Farmer Advisory Committees (GOI) pilot-tested a new, decentralized, (FACs) have been successfully established farmer-centered, market-driven approach of in each block to ensure full stakeholder organizing research and extension (R&E) involvement in program planning and to programs. In each district, an Agricultural increase accountability. The composition of Technology Management Agency (ATMA) these FACs is clearly specified to ensure was established as a registered society, so that all socio-economic groups of farmers, that program decision-making would be including women, schedule castes, and tribal decentralized and controlled by stakeholder groups are represented in the program representatives, including rural women and planning process. For example, each BTT disadvantaged groups. This decentralized develops an annual Block Action Plan extension model was pilot-tested in 28 pilot (BAP) and these plans are reviewed, districts across 7 states with the goal of modified, and then approved by block-level helping farmers organize and to establish FACs before being sent to the ATMA GB value chains for many different types of for final approval and funding. (Sharma, high-value crop and livestock systems, Swanson, & Sadamate, 2001). depending on the interests and resources of After this ATMA model was each group (Singh, Swanson, & Singh, successfully pilot-tested under NATP, the 2006). Government of India decided to expand this A detailed description of the ATMA decentralized extension system to 252 model is described elsewhere (see: Singh, districts under the 10th five-year plan which Swanson & Singh, 2006), so only key ends in 2006 (Reddy & Swanson, 2006). In features will be outlined here. First, all 2007, it is expected that this new policy decisions, concerning extension decentralized extension model will be priorities and financial decisions, were under expanded to all 600 rural districts the direct control of the ATMA Governing throughout India during the 11th five-year Board (GB), which is composed of a cross- plan period. As a part of this section of stakeholder representatives from decentralization process, the Ministry of across each district. Second, the heads of all Agriculture is expected to discontinue 27 line departments and research centers within centrally funded DOA programs and the district make up the district ATMA reallocate these funds directly to each management committee. Therefore, in ATMA district throughout the country. addition to funding extension programs at the district and block level, the ATMA also provides modest financial support for those

14 Journal of International Agricultural and Extension Education Volume 13, Number 3 Conclusions, Recommendations, and have the opportunity to refocus and make a Implications major, long-lasting contribution to The agricultural sector in developing improving the incomes and livelihoods of nations will continue to face important, if small- and medium-scale farm households. not daunting, challenges during the early In the process, these national systems can part of the 21st century. As noted earlier, make a sustainable contribution to national there are currently 1.32 billion farmers in development. However, to make this change developing nations and this number is not will require sustained leadership and expected to decline over the next decade or commitment to a new extension strategy for longer. At the same time, the world’s food the 21st century. system is being increasingly dominated by This paper outlined the basic multinational companies, on both ends of elements of a new agricultural extension the supply chain, with large-scale strategy that has been tested and proven commercial farmers capturing increasing effective in two major developing nations, market share, especially for the major food China and India. Each nation has developed commodities. The questions addressed in key elements of its agricultural extension this paper are what role can small- and strategy in a different way, but the bottom medium-scale farmers play in this global line is essentially the same in both countries. food system, and can public agricultural Both nations are developing decentralized, research and extension systems play a market-driven extension systems that focus positive role in helping these small-scale on getting farmers organized and linking farm households improve their livelihoods, them to markets for high-value crops and and for many rural families, make the products. Making this transition has not transition out of production agriculture? been easy. In China, the impetus for change National agricultural extension primarily came from younger, systems in developing countries are at an entrepreneurial farmers who responded to important crossroads. As outlined in this opportunities in the marketplace. In paper, continuation of the dominant 20th addition, China shifted more of the cost of century extension strategy of increasing the extension to the farmers themselves; productivity of the major food crops or therefore, it became imperative for extension improving national food security will lead to leaders to respond to the type of services declining farm incomes among small-scale being demanded by this emerging cadre of farmers, increased hunger, forced rural- progressive farmers and their commodity urban migration, and further environmental associations. degradation. In examining trends to date, it Changing the extension strategy in seems clear that public agricultural research India was a more significant challenge, due and extension systems cannot compete to (a) the top-down nature of the extension effectively with major multi-national life- system; (b) the complex structure of science companies that are supplying large- extension, which was operated by separate scale commercial farmers with highly line departments as parallel extension productive, proprietary technologies. If systems; (c) the resulting entrenched national extension leaders continue to bureaucracy; and d) the fact that pursue this strategy, these national extension administering subsidies and distributing low systems will likely follow the pattern of cost inputs became the top priority for most agricultural extension systems in Europe, line departments, rather than planning North America and Oceania, either in being effective extension programs. In this case, progressively downsized or disbanded the stimulus for change came from donor altogether. Rather, public agricultural organizations that focused on pilot-testing extension systems in developing countries different approaches as part of an overall

Fall 2006 15 Volume 13, Number 3 agricultural development strategy. The References Government of India, recognizing the urgent Bird, R. (1994). Decentralization need to assist the rural poor, assessed these infrastructure: For good or ill? different models and is now moving to Policy Research Working Paper implement a decentralized, market-driven 1258. Washington, D.C.: The World extension strategy that can increase farm Bank. income and bring about sustained rural Bondari, A. (February, 2006). Establishing a development. successful on-line marketing To conclude, the move to a information system. Paper presented decentralized, market-driven extension at the Regional Consultation on strategy has important implications to the Linking Farmers to Markets, Cairo, long-term human development of both Egypt. Retrieved September 4, 2006, farmers and extension workers. First, by from working to establish new value-chains that http://www.globalfoodchainpartners link farmers to markets, both groups learn hips.org/cairo/papers/AureliaBondari new business and management skills. Moldova.pdf Second, in organizing farmers into groups, FAOSTAT. (2006). All longitudinal farmers learn new leadership skills and how production and population data. to work effectively together for the common Retrieved September 4, 2006, from good. These new leadership skills are http://faostat.fao.org/ particularly important in the case of rural Fritschel, H. (2003). Will supermarkets be women and other disadvantaged groups. super for small farmers? IFPRI Also, creating these grassroots, farmer Forum, December 2003. organizations become the basic building Washington, D.C.: International blocks of democratic institutions; therefore Food Policy Research Institute. getting farmers organized is important to the Harl, N. E. (2000). The structural long-term political development of the transformation of the agricultural country and ensuring that the interests of sector. In M. C. Stumo (Ed.), A Food rural people are not neglected. Finally, as and Agriculture Policy for the 21st extension workers see that they are making a Century. Retrieved September 4, real difference in the lives of rural people, 2006, from they gain both professional and personal http://www.competitivemarkets.com/ satisfaction, and these feelings of a job “well books/booksonline.html done” become the collective stimulus for Nie C., Swanson, B. E., & Feng, Y. improving the performance of the extension (November, 2002). Financing of system. extension: Lessons from China. Paper presented at the Extension and Rural Development Workshop, USAID/The World Bank, Washington, D.C. Putnam, R. D. (2000). Bowling alone: the collapse and revival of American community. New York: Simon & Schuster, 541p.

16 Journal of International Agricultural and Extension Education Volume 13, Number 3 Reddy, M. N., & Swanson, B. E. (2006). Swanson, B. E. (2004). Extension strategies Strategy for up-scaling the ATMA for poverty alleviation in a global model in India. In J. R. Vreyens economy. Proceedings of the 2nd (Ed.), Proceedings of the 22nd International Conference on Annual Meeting of the Association and for International Agricultural and Environment (pp. 67-97). Extension Education (pp. 561-569). Swanson, B. E., & Samy, M. M. (2002a). Retrieved October 4, 2006, from Decentralization of agricultural http://www.aiaee.org/2006/index.ht extension systems: Key elements for ml success. Paper presented at the Sharma, R., Swanson, B. E., & Sadamate, V. Extension and Rural Development V. (2001). Field-testing new Workshop, USAID/The World Bank. methodologies for planning and Swanson, B. E., & Samy, M. M. (2002b). implementing extension programs: A Developing an extension partnership comparison of innovative extension among public, private, and projects in India and the United nongovernmental organizations. States. In J. R. Lindner (Ed.), Journal of International Agricultural Proceedings of the 17th Annual and Extension Education, 9(1), 5-10. Meeting of the Association for Swanson, B. E., Nie, C., & Feng, Y. (2003). International Agricultural and Trends and developments within the Extension Education (pp. 339-348). Chinese agro-technical extension Retrieved October 4, 2006, from system. Journal of International http://www.aiaee.org/2001/index.ht Agricultural and Extension ml Education, 10(2), 17−24. Singh, J. P., Swanson, B. E., & Singh, K. M. Swanson, B. E., Samy, M. M., & Sofranko, (2006). Developing a decentralized, A. J. (2003). The new agricultural market-driven extension system in economy: Implications for extension India: The ATMA model. In A. W. programs. In J. E. Christiansen, J. R. van den Ban, & R. K. Samanta Linder, & G. J. Wingenbach (Eds.), (Eds.), Changing Roles of Proceedings of the 19th Annual Agricultural Extension in Asian Meeting of the Association for Nations. Delhi: B. R. Publishing. International Agricultural and Singh, K. M., & Swanson, B. E. (2006). Extension Education (pp. 641-647). Developing a market-driven Retrieved October 4, 2006, from extension system in India. In J. R. http://www.aiaee.org/2003/index.ht Vreyens (Ed.), Proceedings of the ml 22nd Annual Meeting of the Tyagi, Y., & Verma, S. (2004). Economic Association for International rate of return of the innovations in Agricultural and Extension technology dissemination component Education (pp. 627-636). Retrieved of national agricultural technology October 4, 2006, from project. Report submitted to National http://www.aiaee.org/2006/index.ht Institute for Agricultural Extension ml Management (MANAGE). Hyderabad, India.

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