VZCZCXYZ0005
RR RUEHWEB

DE RUEHOR #0948/01 3281203
ZNR UUUUU ZZH
R 241203Z NOV 09
FM AMEMBASSY GABORONE
TO RUEHC/SECSTATE WASHDC 6180
INFO RUEHSA/AMEMBASSY PRETORIA 5502
RUEHRC/DEPT OF AGRICULTURE WASHDC

UNCLAS GABORONE 000948 
 
SIPDIS 
 
STATE FOR AF A/S CARSON FROM AMBASSADOR NOLAN 
STATE ALSO FOR AF/S, AF/EPS 
STATE PLEASE PASS USAID 
PRETORIA FOR USAID 
 
E.O. 12958: N/A 
TAGS: EAGR EAID PGOV PREL KHIV BC
SUBJECT: Botswana Merits Inclusion in Food Security Initiative 
 
¶1.  Botswana is Africa's most stable democracy and our closest, most 
reliable friend in southern Africa.  Though Botswana is a 
middle-income country, according to the UNDP about half of its 
citizens still live on less than two dollars per day.  According to 
the United Nations Food and Agricultural Organization's 2009 report, 
over a quarter of Botswana's citizens lack food security.  Botswana 
is one of the southern African nations most affected by hunger; the 
FAO puts it in "Category 4" for food security, along with Malawi, 
Kenya, Congo, Senegal and Sudan.  While Botswana receives little 
"traditional" donor assistance, it invests its own money 
productively and is a star performer when using USG public health 
funds.  Botswana offers the Food Security Initiative the likelihood 
of early success. 
 
¶2. The GOB is committed to diversifying Botswana's economy 
(currently dependent on minerals and tourism), and President Khama 
has emphasized agricultural development as an important tool for 
poverty reduction and economic growth -- most recently in his 
November 13 "State of the Nation" address.  In several recent 
high-level meetings with U.S. officials, the GOB has asked for our 
assistance with agriculture and food security.  Embassy Gaborone 
strongly supports this request.  We note that Botswana's investments 
in infrastructure, health, and education and its low corruption rate 
mean that even modest U.S. investments in Botswana would go far and 
have a real and lasting impact on poverty reduction.  In addition, 
support for Botswana would be an example of the USG "rewarding 
success" in a visible and concrete fashion. 
 
GOB Agriculture Plans, Programs 
-------------------------------- 
¶3. The GOB's overall strategy for agriculture and food security is 
described in its 2002 "National Master Plan in Arable Agriculture 
and Dairy Development."  The plan sets goals through 2012 to improve 
food security at both household and national levels, diversify 
agricultural production, increase crop yields and farm productivity, 
increase employment opportunities, and conserve scarce 
agricultural/land resources for future generations.  The GOB has 
demonstrated its commitment to agricultural development and food 
security through numerous ongoing programs, including: 
 
--ISPAAD:  In June 2008, the GOB began its "Integrated Support 
Program for Arable Agriculture Development" (ISPAAD) to encourage 
farming in arable regions and extend agriculture into shoulder 
regions. Through ISPAAD, the government supports farmers by 
improving access to seeds, fertilizer, and credit, establishing 
agricultural extension centers, and assisting with fencing and 
mechanized plowing.  To date, the GOB has invested 136 million pula 
(19 million USD) on ISPAAD.  Over 587,092 acres of land have been 
planted under ISPAAD, and 78,000 farmers have been issued with 
seeds, totaling 2,227 tons.  A yield of over 103,000 tons of cereal 
is expected this year. 
 
--Zambezi Agro-commercial Integrated Development Project:  The GOB 
plans to use this program to develop large-scale commercial farming 
in northeast Botswana.  Potential activities include aquaculture, 
poultry and dairy farming, food oil production, and fruit and 
vegetable processing. To support this activity, the GOB is improving 
its water infrastructure in the region, including dam projects and a 
580 kilometer pipeline extension that will aid with irrigation. 
 
--Young Farmers Fund:  Though the parastatal Citizens 
Q--Young Farmers Fund:  Though the parastatal Citizens 
Entrepreneurial Development Agency (CEDA), the GOB has created a 
"Young Farmers Fund," which provides subsidized loans and 
entrepreneurial training.  To date, 251 projects have been funded 
totaling more than 97 million pula (14.47 million USD). 
 
-- Livestock Management and Infrastructure Development Project 
(LMID): The LMID project supports production of poultry, guinea 
fowl, and small stock (sheep and goats) through breeding and feeding 
programs, improved access to well water, and development of 
cooperative abattoirs. The program is expected to improve food 
safety/hygiene and increase rural food security. 
 
--Foot and Mouth Disease:  The GOB has invested more than 50 million 
pula (7.5 million USD) to combat foot and mouth disease, which is 
often introduced from neighboring countries like Zimbabwe.  To 
protect its vital cattle industry, the GOB has constructed 
veterinary fences and instituted checkpoints at strategic locations 
along major transport corridors.  In order to adequately contain the 
disease, the GOB called upon resources from the military and other 
ministries to help monitor and restrict movement of meat/animals. 
 
GOB Funding for Agriculture/Rural Development 
--------------------------------------------- 
¶4. Botswana's overall budget for fiscal year 2009/10 is 37.92 
billion pula (5.66 billion dollars).  The government divides its 
spending into two categories: the recurrent budget, which includes 
routine funding for staff, overheads, and ongoing programs, and the 
development budget, which is funding for specific and usually medium 
term projects or activities.  The Ministry of Agriculture received 
913.1 million pula (136.28 million USD) in the recurrent budget and 
464.8 million pula (69.37 million USD) in the development budget. 
Programs administered by other Ministries also have a major impact 
on agriculture and rural development.  The Ministry of Local 
Government is investing 362.9 million pula (54.16 million USD) on 
village infrastructure, water and sewer projects, while the Ministry 
of Minerals, Energy, and Water Resources will spend 725.98 million 
pula (108.36 million USD) on major rural water projects (including 
dams, pipelines and sanitation projects). These projects will 
strengthen rural infrastructure, not only improving the lives of 
rural dwellers (many of whom rely on subsistence agriculture) but 
also increasing access to irrigation in this semi-arid country. 
 
¶5. We estimate that the Government of Botswana will spend 
approximately 6.76 percent of its overall 2009/10 budget on 
agricultural programs, including projects administered by both the 
Ministry of Agriculture and other ministries/parastatals.  This 
calculation does not/not include other vital GOB spending on 
infrastructure (roads and transport corridors, vocational training 
centers, abattoirs) nor does it include the tremendous GOB response 
to the AIDS epidemic and overall health spending.  We would note 
that the GOB spends 1.58 billion pula (235.82 million USD) on the 
health sector, 838.8 million pula (125 million USD) of which is 
exclusively for HIV/AIDS.  This large investment in public health 
enables Botswana to maintain a productive labor force despite one of 
the world's highest HIV infection rates. 
 
Comment/Action Request 
---------------------- 
¶6. Comment: Embassy Gaborone suggests that Botswana merits inclusion 
in the Food Security Initiative.  Botswana has requested our help, 
and their need is real.  Unlike many other developing countries, 
Botswana receives little "traditional" donor assistance, but the 
country spends its own resources well, investing in health, 
infrastructure, education, agriculture, and other public goods.  Our 
experience with PEPFAR demonstrates that Botswana will be a true 
partner, more than matching any USG assistance with its own efforts 
and resources, and will use our aid effectively.  The Administration 
has noted publicly that we must reward successes in Africa.  We have 
the opportunity in Botswana to "reward" a true partner with 
agricultural assistance that literally could be a game-changer for a 
country anxious to diversify from its heavy dependence on diamonds, 
estimated to run out in about 15 years.  This "reward" will not only 
demonstrate our support for Botswana's political and economic 
policies, but will also help improve the lives of up to one million 
Batswana who remain poor and hungry in this "middle income" country. 
 End comment. 
 
HAMILTON