Report No. 30394LSO FILE COPY Lesotho: Agricultural Sector Review (In Two Volumes) Volume II: Annexes January 27, 1981 Eastern Africa Region Southern Agriculture Division FOR OFFICIAL USE ONLY Document of the Wbrld Bank Thts document has a restricted distribution and may be used by recipierts only in the performance of their official duttes. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENT Currency Unit = Rand, although in 1979 the government issued a national currency, the Maloti, at par with the Rand and circulating jointly with it. US $1.00 = R 0.7791 (June, 1980) US $1.2835 = R 1.00 WEIGHTS AND MEASURES 1 kilogram (kg) = 2.2 lb 1 metric ton (t) = 2,204.6 lb 1 litre (1) = 2.116 US pints 1 hectare (ha) = 2.471 acres ABBREVIATIONS BASP - Basic Agricultural Services Program CCPP - Cooperative Crops Production Program IDA - International Development Association IFAD - International Fund for Agricultural Development LAC - Lesotho Agricultural College LADB - Lesotho Agricultural Development Bank LDTC - Lesotho Distance Training Center LMC - Livestock Marketing Corporation MOA - Ministry of Agriculture PMC - Produce Marketing Corporation RSA - Republic of South Africa TSRP - Training for Self Reliance Project This report is based on the findings of a mission which visited Lesotho in October/November 1979 comprising Messrs. P. Duane and S. J. Carr and Mrs. G. L. Scott (of the Bank) and Messrs. A. Blair Rains, W. David, and R.G.B. Jones (Consultants). Early drafts of their report were provided to Government in March 1980. Subsequently, a f-ull draft report was forwarded to Lesotho in July and discussed with Government in September. An advance copy of the present report was circulated at the Donor's Conference on Agriculture which was held in Maseru in October 1980. FOR OFFICIAL USE ONLY ANNEX 1 LESOTHO AGRICULTURAL SECTOR REVIEW Agriculture and the Economy Table of Contents Page No. I. Introduction .................................................... 1 II. Agriculture and Macroeconomic Trends. 1 III. Rural Incomes and Poverty. 2 Trends in Rural Incomes. 2 Rural Income Distribution. 3 Distribution of Land Holdings .7 Distribution of Cattle Ownership. 7 Incidence of Rural Poverty. 8 IV. Food and Nutrition .............................................. 10 Nutritional Status ......................................... 10 Nutritional Programs and Policy ............................. 11 V. Agricultural Trade, Prices, and Markets ...... ................... 12 Agricultural Trade . ........................................ 12 Major Agricultural Exports ......... ........................ 14 VI. Effects of Customs Union Arrangement ....... ..................... 14 VII. General Conclusion .............................................. 19 Appendix Tables 1.1-1.19 I This document has a restricted distribution and may be used by recipients only in the performance ofl their official duties. Its contents may not otherwise be disclosed without World Bank authorization. ANNEX 1 Page 1 I. Introduction 1. Agriculture, in terms of its size and as a generator of domestic employment, is the most important economic sector in Lesotho. Together with mining employment in South Africa, it provides the principal means of live- lihood for about 90% of the country-s rural population. Crop production provides slightly more than 50% of total agricultural output, the remainder being derived from livestock production (Appendix Table 1.1). An estimated one-third of agricultural output, in particular livestock products, enters the market, with the larger proportion going to household subsistence. The sector is dominated by smallholders who, by and large, are unable to meet their subsistence requirements on account of the adverse conditions facing agriculture in general, the poor quality of technology, and the small size of agricultural holdings. However, there is a small minority of successful farming households who are making a reasonable living from agricultural pursuits. 2. The country's economic opportunities are constrained by its topographical and political geography and reflect a relatively heavy economic dependence on South Africa. The close links with the South African economy derive in part from an historical association as well as from the constraints just mentioned. The potential for agricultural development for instance, is affected by competition between farming in the domestic economy and migrant employment, in South Africa. By comparison with the rewards from migrant employment, farming is relatively unattractive to the Basotho, who have consequently reduced the time, organization, and other of their resources devoted to it. 3. Against the above background, this Annex considers the role of agriculture in the context of national development, with special reference to the following aspects: (a) a comparison of agricultural and related macro-economic growth trends; (b) the behavior of rural incomes and the inci- dence of poverty; (c) the nutritional status of the population; (d) issues relating to agricultural trade, and markets; and (e) the effects on the agricultural sector of Lesotho's membership in the Southern African Customs Union. The employment phenomenon is treated in Annex 2. II. Agriculture and Macroeconomic Trends 4. The domestic economy continues to be dominated by the agricultural sector which still remains the largest contributor to GDP at factor cost (Table 1 and Appendix tables 1.2 and 1.3). However, the past few years have witnessed a relative decline in the sector. Over the twelve year period between 1966/67 to 1977/78 agriculture's contribution to GDP at current market prices averaged over 40%, with the sector share in total value-added fluctuat- ing around a downward trend - from 45% in 1966/67 to 36% by 1977/78. 1/ The 1/ According to some estimates in Lesotho, the sector share declined by as much as 15% during these two time periods. -2- ANNEX 1 Page 2 relative decline in agriculture can be partly attributed to the faster growth of other sectors of the domestic economy, particularly construction, tourism, and the public sector. 5. The major causes of decline seem to be the following: reduction in the area under cultivation; declining soil fertility and continuing erosion; poor cultivation and management practices; inadequate transport and marketing infrastructure; difficulties in identifying an appropriate mix of policies and programs to generate significant farmer motivation; and, with the majority of males temporarily absent in South Africa, the unavoidable dependence on women and children for agricultural labor. 6. Table 1 shows that Lesotho's Gross National Product (GNP) is con- siderably larger than its Gross Domestic Product (GDP), with the former aggregate representing a more accurate picture of the financial resources available to the country. The difference is due primarily to migrant remit- tances. In 1966/67 migrant remittances stood at R 7.8 million (current prices) compared to a figure for agricultural GDP at current factor cost of R 17.6 million, or agricultural GDP at current market prices of R 18.8 million. Thus in 1966/67 migrant remittances accounted for over 20% of Lesotho-s GDP at factor cost compared to the agricultural sector-s contribution of over 45% in that year. Thus, during the latter part of the 1960s, agriculture-s contri- bution to the country-s Gross Domestic Product was twice as large as migrant remittances, reflected by an agricultural GDP/remittances ratio of 2.3:1 in 1966/67. By 1977/78, migrant remittances had registered a fifteenfold increase to R 117.4 million (current prices) compared to a threefold increase for agriculture which had reached R 51.8 million, and the agricultural GDP/ remittances ratio had fallen to 0.40:1. The marked reversal in the relative sizes of the agricultural sector and remittances is also reflected in their respective contributions to Gross National Product. Over the time period being discussed, agriculture's contribution to GNP was declining from 34% to 18% compared to a dramatic increase from 15% to 42% for remittances. 7. Table 2 compares the behavior of these aggregates in real terms. Over the 1966/67 - 1977/78 period, the real growth rate of the agricultural sector stagnated around 1.1% per annum compared to 4.0% for GDP and 10.9% for GNP. Expressed in per capita terns, agricultural GDP registered a negative growth rate of -1.1%, compared to 1.1% for total GDP, and 6.6% for GNP. III. Rural Incomes and Poverty Trends in Rural Incomes 8. Rural households in Lesotho derive their income from three major sources: (i) the agricultural sector, (ii) domestic off-farm employment; and (iii) migrant remittances. With domestic off-farm employment as a relatively insignificant source of income, the relative importance of agriculture and migrant employment as sources of household income should more or less parallel their respective contributions to the measures of national output in para. 6. TABLE 1; LESOTHO: Selected Macro-Indicators GDP at GDP at GNP at Agri. at Migrant Agric./ Agric./ Remit./ Remit./ current Current current current Remit. GDP Factor GNP GDP GNP Agric.d market factor market factor Net Cost(%) (%) Factor Cost % Remit. prices cost prices cost % _ (Ratio) --Rand million…--------------- --------------------- 1966/67 40.5 38.7 51.3 17.6 7.8 45.4 34.3 20.2 15.2 2.3 1967/68 42.3 40.1 52.9 16.8 10.6 41.9 31.8 26.4 20.3 1.6 1968/69 43.9 41.7 55.6 18.5 11.7 44.4 33.3 28.1 21.0 1.6 1969/70 47.1 43.4 59.6 18.9 12.5 43.5 31.7 28.8 21.0 1.5 1970/71 49.1 42.5 63.2 17.3 14.1 40.8 27.4 33.3 22.3 1.2 1971/72 54.7 48.5 70.2 20.1 15.5 41.3 28.6 32.0 22.1 1.3 1972/73 62.2 55.1 82.9 26.0 20.7 47.2 31.4 37.6 25.0 1.3 1973/74 76.3 68.9 112.5 35.5 29.9 51.4 31.6 43.4 26.6 1.2 1974/75 86.5 77.5 139.6 35.2 59.9 46.4 25.2 77.3 42.9 0.6 1975/76 104.8 87.6 181.3 38.0 90.0 43.3 21.0 102.7 49.6 0.4 1976/77 137.2 110.8 224.8 48.1 102.7 43.4 21.4 92.7 45.7 0.4 1977/78 176.7 142.2 277.2 51.8 117.4 36.5 18.7 82.5 42.4 0.4 Source: Annex Tables 1.2 and 1.3. obj| (Q, (D -4- ANNEX 1 Page 4 TABLE 2: REAL GROWTH IN SELECTED MACRO ECONOMIC INDICATORS (1966/67 PRICES) Real Per Capita Price GDP at GNP at Agri. GDP Agric. GDP GNP Index market market GDP at 1966/7=100 prices prices market prices - -------R million-------- ----------R---------- 1966/67 100 40.5 48.3 18.8 41.4 19.2 49.4 1967/68 103 41.0 51.3 17.5 41.0 17.5 51.3 1968/69 105 41.8 53.0 19.4 40.9 19.0 51.8 1969/70 108 43.6 55.1 18.6 41.7 17.8 52.7 1970/71 114 43.1 55.5 16.7 40.3 15.6 51.8 1971/72 121 45.2 58.1 16.6 41.4 15.2 53.1 1972/73 129 48.3 64.4 - 43.2 - 57.6 1973/74 144 49.5 70.1 24.6 43.2 21.5 61.3 1974/75 163 48.1 84.9 21.6 41.2 18.4 72.5 1975/76 186 41.6 90.0 19.7 34.8 16.5 75.3 1976/77 207 50.7 100.4 21.1 41.4 17.2 82.0 1977/78 240 58.1 106.6 - 46.4 - 85.2 Compound Growth Rates 4.0 10.9 1.1 1.1 -1.0 6.6 Source: Computed From Unpublished Data Provided by LASA. 5- ANNEX I Page 5 This is confirmed by the results of household survey data (Appendix Table 1.4) which show an erratic and declining contribution by the agricultural sector in contrast to the contribution from migrant remittances which doubled between 1967 and 1976. Migrant remittances can therefore be considered the major source of sustenance for the rural economy. It is estimated that the average rural household was receiving about R 400 in remittances during the early 1970's, but over the 1975-80 plan period, this figure had grown (according to Lesotho's CPDO) to around R700 per family. 9. Aggregate agricultural incomes increased from R 26 million in 1972/73 to R 36.8 million in 1977/78, i.e. by 47% (Appendix Table 1.5). By contrast, urban incomes have registered a more than threefold increase paralleling the consistent and at times dramatic increases in the unskilled wage. Wages for unskilled labor in Lesotho registered a fourfold increase from R 0.38 in 1972/73 to R 1.54 by 1978 compared to a near sixfold increase in the mine workers- daily wages from R 0.49 to R 2.95 during the same period. Rural Income Distribution 10. There has been a widespread belief that incomes in Lesotho are relatively equally distributed. This was the conclusion drawn, for example, in a 1975 World Bank Country Economic Report. According to the evidence then available, Lesotho had "a remarkable equality of incomes . a degree of equality which is not matched in any other country known to the mission". 1/ The basis of this viewpoint was that (a) there was a relatively equal dis- tribution of asset ownership including land and livestock and (b) a large proportion of migrant remittances was channelled to the poorer families. However, evidence from the 1970 Census of Agriculture as well as from surveys of agricultural projects in Lesotho suggests that such beliefs are misleading. 11. A contrary picture of a not-so-equal distribution of income is borne out by the Gini coefficients for income, land and cattle distribution drawn from different surveys (see Appendix Table 1.6 and the Lorenz curves given in the JASPA Report.) 2/ The survey evidence suggests that there was a shift to a more unequal income distribution profile between 1967/69 and 1975/76. Table 3 shows the changing relative shares between the different income groups over this period. The most striking development is a major decline in the share of the bottom 25% of households, with proportionately smaller increases in the shares of the two top quartiles. Those at the bottom of the income scale have been getting progressively poorer. The most likely explanation of this lies in the distribution of migrant incomes which are concentrated among rural families in the middle and upper ends of the income distribution. 1/ World Bank, Lesotho: A Development Challenge 1975, p.21. 2/ ILO, Jobs and Skills Program for Africa, Options for a Dependent Economy: Development, Employment and Equity Problems in Lesotho. Addis Ababa, 1978 (draft). -6- ANNEX I Page 6 TABLE 3: RELATIVE SHARES OF DIFFERENT RURAL Income Groups Income Group Shares of Total Income 1967-69 1973-74 1975-76 Bottom Quartile 15 5 2 Second Quartile 19 17 14 Third Quartile 21 26 29 Top Quartile 45 52 55 100 100 100 Top Decile 20 21 22 Sources (1) Lesotho: Rural Household Consumotion and Expenditure Survey, 1967/69 (2) Survey Data from Thaba Bosiu and Phutsiatsana Rural Develooment Projects (3) A.C.A. Van Der Wiel: Migrant Wage Labor: Its Role in Lesotho / -7 ANNEX 1 Page 7 12. This becomes clearer when the source of income is examined (Appendix Table 1.7). The data reveal three types of rural households in Lesotho. Small households tend to predominate in the lowest income strata. In the middle income range are nuclear families for whom remittances form the major source of income. The top income brackets consist of larger families with the most significant incomes from remittances. The evidence confirms the previous observation that the distribution of migrant remittances is the dominant determinant of rural incomes distribution. In the case of rural areas, the major break in the income distribution coincides roughly with the division between households with and without migrant laborers. 13. By contrast, the urban distribution shows a considerable income concentration in the top quartile with a relatively more equitable distribution in the lower three quartiles. 1/ The apparent reason for this lies in the limited opportunities for high income employment in the formal sector and the equalizing effect of public service employment in Maseru. Distribution of Land Holdings 14. The available evidence on arable land distribution (Appendix table 1.8) reveals that the distribution of land holdings is much more unequal than previously believed. At the bottom of the land distribution profile, the lowest 50% of households held about 23% of the land, with the bottom 20% having access to only 5%. By contrast, the top 20% of households held about 50%. Appendix Table 1.9 reveals the following: (i) the bottom 25% of farm households, with a mean family size of 4.8, hold 7% of the land, the mean size of holding for this group is 0.6 hectares, (ii) at the other end of the distribution, the top 25% of households hold over 50% of the land, with a mean size of holdings seven times as large compared to the bottom 25%. Adjusting the distribution for size of household -- i.e. putting it on a per capita basis--tends to improve- the distribution of land. 15. The above discussion of the land distribution profile does not take into account landlessness which seems to be on the increase in Lesotho. The results of the last three agricultural censuses consistently show that there has been a steady increase in the number of landless from around 7% of house- holds in 1949/50 to around 13% during the early 1970s. There is reason to believe that the situation has worsened during the past few years. The picture of increasing landlessness reflects increasing population pressure on a limited land base. Distribution of Cattle Ownership 16. Livestock in Lesotho, as in some other parts of Africa, serve at least four important economic functions: (i) as a store of wealth, (ii) as a means of generating income; (iii) as a guarantee to rights in marriage; and (iv) as an agricultural input. The wealth motive for holding livestock connotes asset accumulation for security, prestige, and status. This is 1/ Lesotho, 1972-73 Urban Household Budget Survey: Lesotho, Survey of Peri-Urban Areas 1978. - 8- ANNEX 1 Page 8 distinct from the income motive which provides the means of attaining wealth and for supporting current consumption. The evidence suggests that Basotho migrants to South Africa regularly invest their surplus earnings in cattle. 17. The experience of holding cattle as an end in itself and to sell them to meet immediate cash needs is common in other parts of Eastern and Southern Africa: As DeWilde states, "The widespread reluctance to market cattle regularly stems not so much from an emotional attachment to these animals as from a concept that cattle are a store of wealth or a savings account from which withdrawals are made only for special social or ceremonial occasions or for emergency needs such as payments for education." 1/ 18. The factors mentioned above help to explain the importance of cattle accumulation and distribution in Lesotho. The evidence on cattle and other livestock distribution reviewed in Annex 8 suggests that livestock distribution is more unequal than arable land distribution. Incidence of Rural Poverty 19. A large number of rural households in Lesotho face a serious problem of absolute poverty due partly to their relatively low agricultural incomes and partly to their limited access to migrant income. The proportion of rural households with no migrant income was around 40% during the Second Plan period. Based on forecasts of possible falling migrant job opportunities in South Africa, the CPDO in Lesotho estimates that this figure could approach 70% by 1985. 20. While there are many complexities surrounding the estimation of poverty, some idea can be gained from estimates of what a typical household requires to satisfy its basic needs for food, clothing, shelter,and health, with some provision for primary education and basic household goods. Defining basic needs in Lesotho's case, however, poses a special problem because of the heavy involvement of Basotho in the South African economy and the ready availability of sophisticated consumer goods from across the border. As a result of this involvement, the level of income at which basic needs are actually satisfied under existing consumption patterns is significantly higher than a level of income related to patterns of expenditure based on traditional consumption needs. 21. The minimum income necessary to satisfy basic needs is usually referred to as the Poverty Datum Line (PDL). According to Lesotho's CPDO estimates, the rural PDL in 1979 for a typical household of five amounted to R 1240 for accessible areas and R 1420 for inaccessible areas compared to an urban PDL of R 1570 (Appendix Table 1.10). Because of the nature of 1/ J. C. DeWilde, Experiences with Agricultural Development in Tropical Africa (Baltimore: Johns Hopkins University Press, 1967), Vol. 1, pp. 55-56; also Uma Lele, The Design of Rural Development: Lessons from Africa (Baltimore: Johns Hopkins University Press, 1975). -9- ANNEX 1 Page 9 consumption patterns noted above, the CPDO considers these figures to be as much as 50% higher than would be the case with traditional consumption patterns. The close approximation of the rural PDL to its urban counterpart (in contrast to the typical developing economy) can be explained by Lesotho's heavy involve- ment in the cash economy - because of remittances. 22. The extent of poverty can be seen from a comparison of the PDL esti- mates and income distribution data. Table 4 compares changes in the mean incomes of rural households over three time periods for which survey data are available (the data should be interpreted with caution since they are drawn from different surveys using methodologies which are not necessarily similar). The estimates show that: (i) the proportion of rural households in absolute poverty has declined substantially over the past ten years; (ii) the real incomes of the poorest group - the bottom quartile - has shown a significant rate of decline, pointing to their increasing destitution; (iii) while the middle group seems to have maintained its ground, the real gains seem to have occured at the top of the distribution. Table 4. CHANGES IN REAL INCOME MEAN INCOME OF HOUSEHOLD GROUPS AT 1979 PRICES AND iNDICES 1967/69 = 100 (Rand per annum) Mean Income Mean Income Mean Income Income Group 1967/68 Index 1973/74 Index 1976 Index Bottom Quartile 580 100 237 41 1ll 19 2nd Quartile 734 100 805 110 778 106 3rd Quartile 811 100 1232 152 1650 203 Top Quartile 1739 100 2240 142 3235 190 Average 966 100 1183 123 1388 144 Proportion Below PDL 79% 66% 55% Note: ln calculating proportion in absolute poverty, allowance has not been made for variation in household size across income strata. Source: CPDO. 23. As previously discussed, migrant incomes provided the major source of income gains over the 1967-76 period. The poorest groups who, by and large, have no migrant income to draw on, are almost totally dependent on agricultural income. While migrant remittances have helped raise living standards, a significant proportion of households with migrants are also in absolute poverty. Although there is room for considerable disagreement over what level of income defines absolute poverty, the trends in rural income and its distribution and the growing poverty of the poorest groups clearly point to the need for an increasing emphasis on target-group, poverty-oriented strategies in future planning. ANNEX 1 Page 10 IV. Food and Nutrition Nutritional Status 24. The absence of adequate national food consumption data makes it difficult to assess the nutritiona:L status of the population with any degree of confidence. However, data from various surveys show that the country has had a long history of undernutrition. For example, a WHO nutrition survey 1/ conducted during 1956-60 throughout 29 villages in eight of the nine districts in Lesotho revealed the following: (1) over 30% of all children and young persons aged between 2-20 years were under "normal" height; (2) over 30% of all children were underweight for their age; (3) there was a 15-20% prevalence of goitre, with a higher incidence among adolescents and adults than in young children; (4) a prevalence of pellagra among 15% of the population during October to February; and (5) the mean calorie intake for children aged 1-15 was approximately 75% of the "normal" and protein 70% of the "normal" requirements. Most of the protein intake came from poor biological sources such as maize. The mean caloric intake of adult males was 75% of the normal requirement, and for lactating mothers 60% of the normal protein and caloric requirements. 25. The results of a Nationa:L Nutrition Survey conducted by a UCLA Assessment Unit in 1976 showed that: while there was a general improvement in the nutritional status of the population between 1956 and 1976, certain features of malnutrition were still prevalent, viz. (i) over 30% of all families experience some shortfall in their basic energy requirements, in part correlated with low incomes. During 1976 this group of households, with a mean household size of 4.3 persons, received monthly incomes in cash or in kind of R 40 per month; (ii) 5% of mothers were suffering from goitre compared to the 15% shown in the 1956-60 survey; a further 5% of such mothers were undernourished, and 20% were obese; (iii) 20% of children under five were chronically malnourished and below their full growth potential. 2/ 26. Household budget calculations carried out by the LASA team 3/ show that the average Mosotho's diet contains about 2100 k/cal and 41 grams protein. 1/ J.A. Munoz and M. M. Anderson, Report on a Nutritional Survey Conducted in Basutoland from 1956 to 1960, WHO Regional Office for Africa, AFR/ NUT/12, June 1962. 2/ Kingdom of Lesotho, National Nutrition Survey, Revised Final Report - 1977. 3/ Lesotho's Agriculture, LASA Research Report No. 2, October 1978. - 11 - ANNEX 1 Page 11 This implies that it is more than adequate in terms of energy requirements and near adequate in terms of proteins. 1/ However, there are substantial varia- tions around the average. As stated above, the most serious deficiencies seem to be concentrated among children under five years of age, expectant mothers, and poor rural families. In this context, certain correlates of malnutrition among Basotho children are noticeable - their concentration among mountain dwellers, in households headed by women, or in other poor families with household incomes of less than R 40 per month. Part of the problem, therefore, needs to be addressed within the framework of programs designed to reach poverty groups. 27. A rough estimate of how the country satisfies its food needs from domestic sources and imports, including food douated through food-for-work programs, is provided by the Food Balance Sheet (FBS) for 1972-74 (Appendix Table 1.11). The data show that cereals provide about 80% of calories, sugar 5%, oils and fats another 2%, with only 13% provided by other caloric sources, e.g. meat, milk, eggs, fruits, and vegetables. The fact that the basic diet is limited in terms of the variety of foods is also confirmed in other studies. 2/ However, in terms of overall dietary composition, Lesotho seems to be in a relatively favorable position compared to the majority of African countries where starchy roots and tubers provide the main caloric source. 28. The FBS data further reveal that the country provided just under two-thirds of its food requirements from domestic production. Because cer- eals dominate the diet, any likely deficit in food availability can be attributed to shortfalls in their availability. During the period under consideration, imports of wheat amounted to 51%, maize 33% and sorghum 18% of caloric requirements. In aggregate terms, therefore, about 34% of the calories derived from wheat, maize and sorghum had to be imported. Besides cereals, Lesotho also suffers from shortfalls in sugar, meat and vegetable oils but presumably this is more or less offset by the country's self- sufficiency in non-beef meat products, animal fats, and to some extent fruit and vegetables. As a result, during the 1972-74 period, the overall shortfall in food production was about the same as for cereals, with the country having to import about 40% of its food requirements from outside sources-mainly from South Africa. 29. The data in Appendix Table 1.12 compares Lesotho with other countries in Southern and Eastern Africa in terms of daily per capita calorie supply as a percentage of calorie requirements. The data show that in contrast to the other countries (except South Africa and Zimbabwe), the country was able to meet nearly 100% of its daily calorie requirements. Nutritional Programs and Policy 30. There are more than fifty separate organizations or instititutions in Lesotho which deal in one way or another with the nutrition problem. 1/ Based on a model average diet for Lesotho of 1800 k/cml and 42 grams protein. 2/ See National Nutritional Survey; and University of Colorado, University of Lesotho, The Food System of Lesotho, 1978. - 12 - ANNEX 1 Page 12 Coordination of these public and private efforts is the responsibility of the Lesotho Food and Nutrition CouIncil (LFNC), and its Secretariat, the Food and Nutrition Coordinating Office (FNCO) which were established in 1977 with a mandate for formulating an appropriate nutritional policy, coordinating, planning and implementing nutrition programs, and evaluating the effectiveness of such programs. 31. While it is too early to judge the effectiveness of the above- mentioned institutional arrangements, the Government of Lesotho faces a number of policy issues relating to nutrition that also have implications for the agricultural sector. First, there is the need to continue to focus attention on the nutritionally deprived target groups - young children, expectant mothers, poor families - and to integrate such programs with national efforts for poverty redressal and the provision of basic needs. 32. Second, a careful assessmaent will have to be made of the nutritional implications of alternative agricultural production systems, e.g., subsistence versus commercial production. The evidence suggests that the country's incre- mental comparative advantage over the longer term may lie in the production of certain commercial crops. 33. Third, and linked to the above, is the choice related to food self- sufficiency either through increased domestic production, increased food import capacity via enhanced export: earnings, or a combination of both. In this regard, a crucial problem concerns the extent to which the country can reduce its food import dependence on South Africa through a reorganization of domestic consumption patterns, and possibly import substitution. A shift in policy towards agro-industrial dlevelopment can enhance the local manufacture of food products, and in particular, those which can contribute significantly to improvements in the nutritional status. 34. Finally, there is the issue of food aid. Lesotho receives food aid from two major sources - the World Food Program and the Catholic Relief Services - totalling over US$8 million annually. Even if it is accepted that the various programs continue to make a significant contribution to the country's nutritional status, they should complement national efforts to meet nutritional needs from domestic sources through increased agricultural production. V. Agricultural Trade, Prices, and Markets Agricultural Trade 35. Lesotho has a heavy structural dependence on external trade which accounts for a significant share of its national income. During the 1970-77 period recorded merchandise imports accounted, on average, for about 57% of GNP (Appendix Table 1.13). It is estimated that this proportion rose to about 80% in 1977 and 1978. The country's high propensity to import is a reflection of its small domestic production base relative to its propensity - 13 - ANNEX 1 Page 13 to spend. As a result, most goods are imported, including a large proportion of food items. It should also be mentioned that the value of Lesotho's imports to a large extent determines the country's share of the Customs Union revenue pool (discussed below in part E). 36. The major -export' from Lesotho is migrant labor to South Africa. Merchandise exports remain small in size. During the 1970s the ratio of merchandise export values to GNP averaged about 7%. By contrast, the ratios of exports to GNP for both Botswana and Swaziland averaged 60 and 63% respec- tively for the late 1970s. 37. Lesotho's recorded merchandise exports constitute a small but declining proportion of the country's external transactions, with agricul- tural products accounting for nearly two-thirds of total merchandise exports (Appendix Table 1.14). Prior to 1975, the overwhelming proportion of Lesotho's merchandise exports went to countries within the Southern African Customs Union (mainly to South Africa), with a mere 13% destined to countries outside the Customs Union. However, the period 1975-78 witnessed a marked change in this situation. By 1978 only 37% of the country's merchandise exports were destined for member countries of the Customs Union (Appendix Table 1.15). 38. The country's external trade is dominated by imports. The unusually rapid growth in imports is largely accounted for by three groups of commodities - food and beverages, manufactured goods (mainly consumer items), and mineral and petroleum products (Appendix Table 1.16). Further, about 75% of the growth in imports can be traced to increases in the imports of consumer goods in large part induced by the income effect of escalating migrant remit- tances. To some extent, the growth in imports also reflects the higher prices of imported foodstuffs resulting from the removal of subsidies on certain food items by South Africa. Prior to 1977, South Africa operated a grain subsidy through its marketing boards which purchased wheat and corn for resale to domestic dealers at lower, subsidized prices. Until January 1977 the BLS countries (Botswana, Lesotho and Swaziland) as part of the Customs Union with South Africa were treated as domestic markets for subsidy purposes. However, in 1977 the South African government terminated its subsidy on wheat, corn and products thereof moving to Lesotho. The subsidies on these products moving to Swaziland and Botswana were continued. The South African authorities estimated that the annual values of the subsidies lost amounted to some R 2.5 million, or about R 2.00 per head of Lesotho's total population. 39. The merchandise export/import imbalance is reflected in the large and acute merchandise trade deficit which grew from R 18.7 million in 1970 to R 164.8 million by 1977, a nine-fold increase. The merchandise trade deficit as a percentage of GNP averaged about 50% during this period, showing a three-fold increase from 30% of GNP in 1970 to 73% by 1977. 40. The large deficit in merchandise trade is partly offset by the high level of exports of factor services, mainly in the form of migrant labor "exports." Thus, the chronic imbalance in merchandise trade is funded largely by substantial inflows of migrant remittances and official transfers. The magnitude of the migrant labor phenomenon relative to domestic production in Lesotho is unparalleled. - 14 ANNEX 1 Page 14 Major Agricultural Exports 41. We now consider briefly some of the factors influencing the export performance of the country's major agricultural products. These commodities have shown considerable year-to-year fluctuations in their performance. This is of particular significance in the case of wool and mohair exports which together have traditionally accounted for between 75% and a high 95% of total export earnings. However, over the past few years the poor performance of these two commodities have been mainly responsible for the overall declining trend in recorded merchandise exports. 42. Table 5 presents data on the volume, value, and average price of mohair exports. The volume of expcrts declined by nearly two-thirds between 1970 and 1977, from over 1,017,000 kg to 397,000 kg. By contrast, export values registered a more than twofold increase, from R 838,000 in 1970 to R 1,929,000 in 1977. Thus, the decline in export volume has been occuring during a period which witnessed a near fivefold increase in the average unit price. The decline in export volume can be traced to difficulties in production, quality control, smuggling, and marketing arrangements. Of the four main mohair producers in the world, Lesotho accounts for 5% of total production -- South Africa 33%, Turkey 33%, and the US 29%. This implies that Lesotho should have no difficulty in substantially increasing its share in world markets. 43. After 1974, exports of livestock (cattle, sheep, and goats) to South Africa showed a marked decline (Appendix Table 1.17), and imports, particularly of cattle, rose sharply. Falling export values are reflected in the declining share of the livestock subsector in GDP from 24% in 1973/74 to around 16% in 1977/78. 44. Beans and peas taken together constitute Lesotho's fastest growing export crop. They are also an important item in the local diet. They are fourth in area planted among the field crops - after maize, wheat, and sorghum - and acreage has been increasing. Even though they account for less than 20% of the gross value of field crops, they bring better returns per acre. 45. An asparagus cannery was recently established as a means of increasing exports and gainful employment for Basotho. Asparagus is con- sidered a speciality product, with sales aided by a substantial tariff advantage in EEC markets under the terms of the Lome Convention. Cases of canned asparagus have been selling at over $25.00 delivered Hamburg, Germany. However, since asparagus canning utilizes the cannery for only two months a year, other products are being considered. These include beans in tomato sauce, peaches, corn on the cob, and strawberries. V. Effects of the Customs Union Arrangement 46. The South African Customs Union Agreement (SACUA) between Botswana, Lesotho, Swaziland, and South Africa dates back to 1910 but was subsequently revised in 1969 and 1977. Both the 1910 and 1969 Agreements merely served to - 15 - ANNEX I Page 15 LESOTHO TABLE 5: Mohair Exports. 1970-77 Year Volume Index Value Index Average Price Index (000 KG) 1970=100 000 Rand 1970=100 Per KG 1/ 1970=100 1970 1,017 100 838 100 82.34 10( 1971 867 85 654 78 75.38 92 1972 767 75 1,254 150 163.54 199 1973 567 56 1,691 202 298.26 362 1974 678 67 1,589 190 234.39 285 1975 616 61 2,291 273 371.63 451 1976 418 41 1,989 237 476.22 578 1977 397 39 1,929 230 485.39 5&9 SOURCE: South African Mohair Board. 1/ Average price computed from unit prices of 17 different grades of mohair marketed. 26 ANNEX 1 Page 16 formalize and regulate economic relationships which existed at the time. Further, the regional arrangement represents a classic case of unequal partnership and polarized development. South Africa with over 25 times the combined resources of the three smaller BLS partners, completely dominates the Union. An important feature of the Union is that while the product market remains relatively open, labor movements are covered under separate bilateral agreements between the supplier states and South Africa which restricts such flows. 47. The customs union arrangement has both direct and indirect effects on the agricultural sector through (i) revenue allocations under SACUA, which determine the size of the Lesotho government s budget (for agriculture); and (ii) the pattern of trade flows which in turn affects the export potential of agricultural products as well as imports of consumer and investment goods and hence the pattern of domestic production. 48. The revenue sharing arrangements under SACUA are of the most critical importance to the smaller BLS countries. The Agreement apportions revenue to Lesotho according to the following formula: 1/ LR x TR x 1.42 where LR = Lesotho's revenue accrual. Ll = Total imports to Lesotho together with local dutiable production and consumption. CA = Total imports (CIF) to SACUA from outside the Customs area together with dutiable production and consumption. TR = Total revenue, i.e. all duties raised in SACUA which fall under the Agreement. These include customs duties (including surcharges), excise and sales duties (excluding the general sales tax). 49. The multiplying factor of 1.42 is a means of providing a fiscal transfer to offset some of the disadvantages which are likely to be faced by a small developing country tied to a customs union with a much more highly developed partner. In particular, it attempts to offset the disadvantages arising from: (a) the price raising effect of South African Import Control measures; (b) the price raising effect of South Africa-s policy of protection to industries by means of the customs tariff; (c) the polarization of develop- ment effect which usually characterizes a situation in which less developed countries are linked to relatively much more developed countries in a customs union; and (d) the loss of fiscal discretion. I/ The full formula is a complicated one, and for simplicity of presentation, the various adjustment factors, lags, and the stabilization factor are omitted here. - 17 - ANNEX 1 Page 17 50. To the extent that Lesotho's dutiable production and imports attract duties at the overall average rate for the customs area as a whole, the formula implies, prima facie, that Lesotho would receive revenues 42% above its actual contribution to the revenue pool by way of duties. In effect, this represents a transfer or compensation element equal to 42% of Lesotho's duty incidence, or the equivalent of 29.6% (0.42/1.42) of the revenue accrual. However, since the LI component of the formula reflects the average rate of duties prevailing in the customs area, the duty incidence in fact depends on whether Lesotho consumes or imports above or below the average for the customs area as a whole. 51. Estimates provided by the Lesotho authorities for the 1970-78 period show a duty incidence for Lesotho of 6.2% compared to an average of 16.5% for the entire customs area. There are two basic reasons for this: (i) a sub- stantial proportion of Lesotho's imports for dutiable purposes (about 80%) originate in South Africa, with only a small proportion attracting duties; and (ii) such imports comprise a high proportion of food items (about 20%) which are only partially dutiable. 52. Lesotho's receipts under the revenue sharing formula are shown in Appendix Table 1.18. The data reveal a dramatic increase in revenue accruals to Lesotho from R 4.7 million in 1970/71 to R 32.8 million by 1977/78. How- ever, this rapid growth rate has been accompanied by severe year-to-year fluctuations. During this period, Lesotho's share of Pool Revenue receipts rose from 0.63% in 1970/71 to 1.43% in 1977/78. This is a reflection of Lesotho's faster import growth relative to Pool revenue receipts. 53. Lesotho's membership of the Rand Monetary Area implies that there is no foreign exchange control impeding the growth of imports, but rather a budget constraint defined by a combination of the country's different sources of purchasing power. The main sources of such purchasing power are: (i) incomes derived from domestic production as reflected in the country's GDP; (ii) earnings of Basotho migrant workers; (iii) Lesotho's SACU net revenue receipts; (iv) commodity export earnings; and (v) external private capital and aid flows. Of these sources, the growth rates of real GDP and commodity export earnings have been relatively slow compared to the rapid growth of migrant earnings, customs revenue receipts, and external capital inflows. The implication is that the growth of customs revenue receipts tends to be determined in large part by the purchasing power from migrant labor earnings and external injections of capital. 54. The interdependence between the Customs Union revenue receipts and the migrant labor system are shown in Table 6. Migrant remittances induced 40-51% of total customs revenues over the period 1977/78-79/80. - ;L8 - ANNEX 1 Page 18 TABLE 6: Effect of Migrant Earnings on Customs Revenue (Current Prices) (1) (2) (3) (4) Contribution to Customs Revenue Total Customs Induced by Migrant Year Revenue Remittances (3) t (2) ---------million Rands---------- % 1977/78 32.8 16.7 50.9 1978/79 56.1 24.8 44.2 1979/80 71.5 28.9 40.4 Source: Kingdom of Lesotho: Thirdi Plan Preview, October 1979, Table IV-6. 55. The heavy dependence of customs revenues on migrant remittances and the latter's future uncertainty has important implications for future patterns of domestic investment and, therefore, for agricultural growth potential. The implications for agricultural development by and large depend on the extent to which revenue funds are spent on specific agricultural programs and projects. In Lesotho, customs union revenues are used to finance the general budget, with a high proportion being allocated to the recurrent budget. As indicated in Table 7, such revenues contributed around 62% of the country's total revenues during the past six years, rising from 59% in 1974/75 to 74% by 1979/80. Other evidence shows (Appendix Table 1.19) that the proportion of total revenue spent directly on the agricultural sector has remained relatively constant - from 10.3% in 1975/76 to 11.2% in 1979/80. While the agricultural sector also benefits indirectly from other types of recurrent expenditures, e.g. education, transport, and health, the overall picture which emerges is one of limited emphasis on the sector in terms of recurrent expenditure. TABLE 7: Customs and Recurrent Revenues. 1974-1980 (Current Prices) Customs Revenues Total Total Customs as % of Year Revenues Revenues Total Revenues --------million Rands---- % 1974/75 29.3 17.3 59 1975/76 28.9 15.3 53 1976/77 30.0 16.5 55 1977/78 53.8 32.8 61 1978/79 77.9 56.1 72 1979/80 96.5 71.4 74 Source: Kingdom of Lesotho: Third Plan Preview, October 1979, Table IV-5. - 19 - ANNEX 1 Page 19 56. A final question concerns the effects of SACUA membership on Lesotho-s trade relations, and therefore its potential for increasing domestic production. This is of particular significance to the agricultural sector. Because of the country's limited market, the prospects for agricultural development are ultimately bound up with the possibilities for export promotion of agricultural and related products both in SACUA and extra-regional markets, especially the EEC. Marketing possibilities within SACUA are relatively favorable, but their full exploitation depends on the extent to which Lesotho's agricultural exports can be made more competitive. The experience to date shows that Lesotho's membership of the customs union has not been accompanied by any significant increases in production for export to the SACUA market. 57. In the case of the EEC, Lesotho's membership of the Customs Union does not necessarily impede her from deriving benefits available under the Lome Convention. Lesotho's exports receive duty-free access into the EEC providing they meet the definition of the concept of "originating" as laid down in Annex A, Lists A and B and Protocol No. 1 Title 1 of the Convention. These provisions inter alia, define: (i) originating products as those wholly produced in any one or more ACP countries; (ii) consider all ACP states as an exporting territory; and (iii) outline transport requirements if products of any ACP country have to go through non-member States. This suggests that Lesotho's ability to benefit from these provisions is somewhat constrained by its close integration with the South African economy, and by the fact that its physical and economic linkages with other ACP States remain limited. VII. General Conclusion 58. The overall picture which emerges is one of an agricultural sector stagnating in relation to national income and output. The agricultural sector has declined because of several factors, but in particular, the com- petitive nature of the relationship between farming in the domestic economy and migrant employment in South Africa. Thus, although agriculture still remains the most important sector in Lesotho's domestic economy, farming has become a relatively unattractive and high risk occupation. 59. Because of the factors noted above, the sector has been contributing a declining share of rural incomes, with migrant remittances providing the major source of income for the majority of the rural population. While the proportion of rural households in poverty has declined substantially over the past 10 to 12 years, the real incomes of the poorest group - the bottom 25% - have shown a significant rate of decline. The evidence further suggests a strong correlation between the incidence of malnutrition and poverty. 60. The poor export performance of the sector can be traced to diffi- culties of production and quality control and to smuggling and inadequate marketing arrangements. Renewed emphasis will have to be placed on programs geared toward stemming the decline of the traditional agricultural products - wool, mohair, and livestock - and toward expanding output of newer agricultural commodities such as beans, peas, and asparagus. - 20 _ ANNEX 1 Page 20 61. The country-s external trade is dominated by imports due in part to the import purchasing power attached to migrant remittances as well as to the fact that revenue receipts from the Customs Union are linked to imports. Some speculation can be advanced about the likely effects of reduced import growth, e.g. via possibly reduced migration, on the livestock sector. Since there is a strong correlation between cattle imports from South Africa and migrant earnings, it can be argued that reduced migration could possibly alleviate the overgrazing situation over the long run, by reducing the number of animals introduced into the farm sector. 62. The issue of limiting import growth and external dependence is linked to the broader question surrounding the likely impact of the Customs Union on Lesotho-s agricultural sector. The Mission has not been able to trace the direct effect of SACUA on the sector. This is an area that requires further detailed research. - 21 - ANNEX 1 LESOTHO Appendix Table 1.1 AGRICULTURAL SECTOR REVIEW Contribution of Crop and Livestock to Agricultural GDP, 1973/74-1977/78 (million Rand, Current Prices) 1973/74 1974/75 1975/76 1976/77 1977/78 Total agriculture 32.8 31.8 32.8 47.4 51.4 Crops 18.4 15.0 13.2 27.8 28.8 % (56.1) (47.2) (40.2) (58.6) (56.0) Livestock 14.4 16.8 19.6 19.6 22.6 x (43.9) (52.8) (59.8) (41.4) (44.0) Source: Provisional estimates by CPDO. LESOTHO: AGRICULTURAL SECTOR REVIEW GDP by Industrial Origin (Million Rand: Current Factor Cost) 1967/68 1968/69 1969/70 1970/71 1971/72 1972/73 1973/74 1974/75 1975/76 1976/77 1977/78 Agriculture 16.8 18.5 18.9 17.3 20.1 26.0 35.5 35.2 38.0 48.1 51.8 Mining & Quarrying 1.0 0.3 1.0 0.7 0.2 0.2 0.2 1.1 1.7 2.7 5.0 Manufacturing 0.8 1.0 1.0 1.1 1.4 1.1 1.8 3.2 3.6 3.8 2.6 Building and Construction 0.9 1.0 1.1 1.1 1.3 1.3 1.7 1.0 2.6 5.3 13.1 Trade and Finance 6.0 5.8 6.0 6.5 8.5 9.4 10.7 15.5 21.5 25.6 32.4 Transport and Communications 0.6 0.5 0.6 0.7 0.9 1.3 1.7 2.1 2.1 2.9 3.6 Central Government 6.5 6.9 7.1 6.9 7.7 5.9 6.6 6.3 9.3 11.5 18.7 Other 7.5 7.7 7.8 8.2 8.5 10.1 10.9 11.3 8.8 10.9 15.0 GDP at Factor Cost 40.1 41.7 43.5 42.5 48.6 55.3 69.1 75.7 87.6 110.8 142.2 Indirect Taxes (Net) 2.2 2.2 3.7 6.6 6.2 7.1 7.4 10.8 17.2 26.4 34.5 GOP at Market Prices 42.3 43.9 47.2 49.1 54.8 62.4 76.5 86.5 104.8 137.2 176.7 Source: Bureau of Statistics, National Accounts 1974/75 World Bank: Economic Analysis and Projections Department. January 23, 1980 LESOTHO: AGRICULTURAL SECTOR REVIEW Percentage Composition of GDP by Industrial Origin Aver age (1967/68- 1967/68 1968/69 1969/70 1970/71 1971/72 1972/73 1973/74 1974/75 1975/76 1976/77 1977/78 1977/78) Agriculture 41.9 44.4 43.5 40.8 41.3 47.0 51.4 46.4 43.3 43.4 36.5 43.6 Mining & Quarrying 2.5 0.7 2.3 1.6 0.4 0.4 0.3 1.5 1.9 2.4 3.5 1.6 Manufacturing 2.0 2.4 2.3 2.6 2.9 2.0 2.6 4.2 4.1 3.4 1.8 2.7 Building and Construction 2.2 2.4 2.5 2.6 2.7 2.4 2.5 1.3 3.0 4.8 9.2 3.2 Trade & Finance 15.0 13.9 13.8 15.3 17.5 17.0 15.5 20.5 24.5 23.1 22.8 18.1 Transport and Communications 1.5 1.2 1.4 1.6 1.9 2.4 2.5 2.8 2.4 2.6 2.5 2.1 > Central Government 16.2 16.5 16.3 16.2 15.8 10.7 9.6 8.4 10.6 10.5 13.2 13.1 Other 18e7 18.5 17.9 19.3 17.5 18.3 15.8 14.9 10.2 9.8 10.5 15.6 Total 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Source: Table 1.2 January 23, 1980 il x a. LO. LESOTHO: AGRICULTURAL SECTOR REVIEW SOURCES OF RURAL INCOME, 1967/69, 1973/74, 1976 (Rand Per Annum) Off-Farm Total Agriculture Employment Migrant Price Years Amount AAmtt Amt. - Amt. z Index (a) Current Prices 1967-69 294 100 120 40.8 61 20.8 113 38.4 - 1973-74 486 100 97 20.0 100 20.5 289 59.5 - 1976 783 100 137 17.5 92 11.7 554 70.8 - (b) 1980 Prices 1967-69 967 100 395 40.8 200 20.8 372 38.4 83 1973-74 1174 100 234 20.0 242 20.5 698 59.5 113 1976 1361 100 238 17.5 160 11.7 963 70.8 157 Source: Rural Household Consumption and Expenditure Survey, 1967/69 Thaba Bosiu RDP ? Phuthiatsana RDP A.C.A. van der Wiel: Migrant Wage Labor: its Role in Lesotho 0 LESOTHO: AGRICULTURAL SECTOR REVIEW Trends in Income Sources 1972/73 - 1977/78 (Million Rand) Basic Shift Retail Unskilled Wage Wage in Price Rural Income ARriculture Remittance Urban Income in Lesotho South Africa Index Year Amount Index Amount Index Amount Index Amount Index Amount Index Amount Index 1972/73 62.2 100 26.0 100 27.0 100 22.9 100 0.38 100 0.49 100 100 1973/74 82.2 132 35.5 137 36.2 134 26.9 117 0.50 132 0.54 100 113 1974/75 100.8 162 35.2 135 53.9 200 34.8 152 0.85 224 1.25 255 128 1975/76 431.4 694 37.7 145 81.0 300 45.9 200 1.05 276 2.10 429 141 1976/77 151.6 244 43.6 168 92.4 342 57.4 251 1.20 316 2.50 510 156 1977/78 163.8 263 38.1 147 105.7 391 80.1 350 1.54 405 2.95 602 183 1/ Randper day Source: Computed from Lesotho National Accounts and Mission Estimates. M January 23, 1980 u- 26 - ANNEX I Appendix Table l.6 LUJSTO'H0 AG,RICULTURAL SECTOR REVIEW GINIf (,fTI?F Ct N1T Olf INC'OAK LAND AND CATTLE DISTRIBUTION GINI YEAR CATEGORY COEFFICIENTS SOURCE 1. 1975-76 Rural Income 044 Thaba Tseka/Phuthiatsana Survey 2. 1967-69 Rural Rural Household Consumption and Income 0.23 Expenditure Survey 3. 1970-71 Rural Income 0.40 Leribe Project 4. 1974 Rural Income 0.11 World Bank: Economy of Lesotho 5. 1970 Land Ownership 0.39 1970 Census of Agriculture 6. 1970 Cattle 0.22 1970 Census of Agriculture Ownership 7. 1974 Urban Income 0.44 World Bank: Econo of Lesotho 8. 1972-73 UJrban Income 0.50 1972/73 Urban Household Budget Survey - 27 - ANNEX 1 Appendix Table 1.7 LESOTHO: AGRICULTURAL SECTOR REVIEW INCOME DISTRIBUTION BY SOURCE OF INCOME 1975-76 (Current Prices) Household Income Income Strata R. Per Annum 0 - 199 200 - 599 600 - 999 1,000+ Proportion of Households (%) 27 20 27 27 Average Household Size 3.1 4.9 5.1 7.7 Income Source F. Per Annum) 1. Agriculture 46 151 81 279 (Crops) (26) (66) (30) (75) (Livestock) (20) (85) (51) (204) 2. Domestic Off-Farm 15 42 80 222 3. Migrant 5 215 698 1,238 4. Total Income Per 66 408 859 1,739 Household 5. Total Income Per 21 83 168 225 Head Source: A.C.A. van der Wiel, Migratory Wage Labour: Its Role in the Economy of Lesotho -28- ANNEX 1 Appendix Table 1.8 LESOTHO: AGRICULTURAL SECTOR REVIEW Land Distribution among Rural Households, 1970 ACRES PERCENTAGE CUMULATIVE PERCENTAGE Households Acreage Households Acreage 0 a/ 1.3 0 1.3 0 0- 2 19.6 4.9 20.9 4.9 2- 4 29.7 18.0 50.6 22.9 4- 6 21.8 21.8 72.4 44.7 6- 8 11.9 16.7 84.3 61.4 8-10 7.1 13.0 91.4 74.4 10-15 6.2 15.3 97.6 89.7 15+ 2.5 10.4 100.0 100.0 a/ 1.3% of rural households have no land but are classified as farm households because they own livestock. Source: 1970 Census of Agriculture, Tables 1:0231 and 1:0331. LESOTHO: AGRICULTURAL SECTOR REVIEW DISTRIBUTION OF LAND AMONG FARM HOUSEHOLDS, 1970 Household Proportion Mean Size Mean Mean Group of of Family Per Capita Land Holding (Ha) Size Holding (Ha) Bottom Quartile 7 0.6 4.8 0.12 2nd Quartile 16 1.2 4.9 0.24 3rd Quartile 25 1.7 5.5 0.21 Top Quartile 52 4.4 6.0 0.75 Top Decile 28 5.5 7.7 0.72 Source: 1970 Census of Agriculture, Tables 1.0131 and 1.0531 H CD .- - 30 - ANNEX 1 Appendix Table 1.10 LESOTHO: AGRICULTURAL SECTOR REVIEW LESOTHO: POVERTY DATUM LINE (PDL), 1979 URBAN RURAL Cost Accessible Locations Inaccessible Locations R per Month % Cost % Cost % _______ R per Month R per Month 1. Food & Drink 75.5 58 52.2 51 63.1 53 2. Clothing and 18.0 13 24.1 23 27.2 23 Footwear 3. Washing & Cleaning 2.4 2 3.2 3 3.6 3 Materials 4. Fuel and Lighting 11.5 9 13.3 13 13.3 11 5. Householdo 1.3 1 1.7 2 2.0 2 Equipment 6. Accomodation 11.9 9 1.0 1 1.0 1 7. Medical Care 1.7 1 2.0 2 2.0 2 8. Education 3.4 3 4.6 5 5.1 4 9. Taxation 5.0 4 1.0 1 1.0 1 10. Monthly Cost 130.7 100 103.1 100 118.3 100 11. Annual Cost 1570 1240 1420 (R.p.a.) Source: Based on Estimates Provided by CPDC), Lesotho. Note: Percentages may not total correctly due to rounding errors. - 31 - ANNEX 1 Appendix Table 1.11 LESOTHO AGRICULTURAL SECTOR REVIEW Food Availability in Lesotho, 1972-74 Net Food Import Production Imports Available a) Per Capita Per Day Content (MT) (MT) (MT) Calories Proteins (per cent) (grams) Wheat b 25,672 30,333 59,439 537 16.2 51 Maize c 65,396 32,732 98,646 865 22.8 33 Sorghum d 46,289 10,000 56,289 380 11.3 18 Sugar - 11,833 11,833 114 - 100 Beans & Pulses 8,700 567 7,500 63 4.1 8 Vegetables 24,233 - 21,310 12 0.8 - Fruits 20,000 - 18,000 21 0.2 - Beef e) 6,150 2,800 8,950 46 3.9 32 Sheep 3,200 - 3,200 14 1.4 - Goats 1,547 - 1,547 6 0.6 - Pig 2,283 - 2,283 18 0.8 - Chicken 821 - 821 2 0.2 - Milk 13,500 1,500 15,000 36 2.4 10 Vegetable Oil - 940 940 21 - 100 Fats 859 - 859 18 -- Source: FAO, Food Balance Sheets a) Net food available equals production plus imports, plus stock changes minus supply used up in seed, feed and waste. Stock changes (minor) and SFW are not shown here. To give an indication: for maize 10 per cent is assumed to be used as feed, 2.6 per cent for seed, and 10 per cent is assumed to be waste. b) Wheat figures are in terms of wheat flour. c) Maize figures are in terms of maize flour. d) Figures for sorghum flour and sorghum used as beer. Sorghum consumed as flour provided 348 calories per capita per day, while sorghum beer provided 32 calories. e) It should be noted that the country exported 5,300 MT of beef. - 32 - ANNEX 1 Appendix Table 1.12 LESOTHO AGRICtLTURAL SECTOR REVIEW Per Capita Calorie Supply as Per Cent of Requirement for Countries in Southern arLd Eastern Africa Daily Per Capita Calorie Supply (a) (b) As per cent of requirement 1974 1974 LESOTHO 2287 99 SOUTH AFRICA 2886 118 ANGOLA 2021 86 MALAWI 2397 103 MOZAMBIQUE 1975 84 ZIMBABWE 2593 108 ETHIOPIA 1914 82 KENYA 2117 91 TANZANIA 2003 86 UGANDA 2096 90 ZAMBIA 2052 90 Source: World Development Indicators, World Bank, June 1979. LESOTHO: AGRICULTURAL SECTOR REVIEW External Trade Indicators, 1970-76 (Values in Million Rand) Recorded Recorded Recorded Commodity Exports/ Imports/ Deficit/ Exports/ Remittance/ Commodity Commodity & Trade Deficit Commodity Commodity Trade GNP GNP GNP Imports Imports & Labor Labor Exports in Commodity & Exports Imports Deficit Ratio(%) Ratio(7) Ratio(7) Ratio % Exports As % of GNP Factor Exports 1970 4.2 32.9 - 28.7 6.6 52.1 29.6 0.13 42.9 18.3 29.0 - 14.6 1971 3.0 28.0 - 25.0 4.3 39.9 35.6 0.11 55.4 18.5 26.4 - 9.5 1972 6.1 43.0 - 36.9 7.4 51.9 44.5 0.14 48.1 26.8 32.3 - 16.2 1973 8.8 60.5 - 51.7 7.8 53.8 46.0 0.15 49.4 38.7 34.4 - 21.8 1974 9.8 81.7 - 71.9 7.0 58.5 51.5 0.12 73.3 69.7 49.9 - 12.0 1975 9.3 117.3 -108.0 5.1 64.7 59.6 0,08 76.7 99.3 54.8 - 18.0 1976 14.7 179.6 -164.8 6.5 79.9 73.3 0.08 56.8 116.7 51.9 - 62.9 SrH Source: Bureau of Statistics LESOTHO: AGRICULTURAL SECTOR REVIEW Trends in Recorded Agricultural Exports, 1969-77 (in Thousand Rands) 1969 1970 1971 1972 1973 1974 1975 1976 1977 Cattle 579 684 606 686 1,561 * 1,246 300 192 204 Sheep and Goats 68 104 87 252 414 258 55 36 12 Horses - - - 11 9 - - - Mules - - - 2 2 - - - Pigs - - - 10 11 19 21 16 Wheat 426 927 140 140 140 144 6 4 - Beans 219 127 187 503 165 53 1,039 1,726 723 Peas - - - - 28 2 20 63 20 Wool 1,426 912 774 2,040 3,191 3,452 1,512 1,719 2,595 Mohair 740 572 504 1,122 1,526 1,589 2,291 1,989 1,925 Hides and Skins 46 24 22 48 147 14 - 64 90 Total Agricultural 3,523 3,394 2,339 4,844 7,199 6,642 5,242 5,810 5,585 Diamonds 1,174 652 241 196 255 902 483 455 1,249 >| Other Exports (Main- ly Miscellaneous 194 180 431 1,051 1,316 2,265 3,517 8,380 5,346 x Manufactured) t-X lb TOTAL EXPORTS 4,891 4,237 3,014 6,093 8,770 9,809 9,240 14,645 12,180 m Source: Bulletins of Statistics - 35 - ANNEX 1 Appendix Table 1.15 LESOTHO: AGRICULTURAL SECTOR REVIEW Lesotho's Exports By Area of Destination Year To % To Countries % Total SACUA _ outside SACUA Exports R million R million R million 1975 7.7 87 1.2 13 8.9 1976 8.9 81 2.1 19 11.0 1977 10.3 66 5.2 34 15.5 1978 10.2 37 17.3 63 27.5 SOURCE: Ministry of Commerce and Industry LESOTHO: AGRICULTURAL SECTOR REVIEW Trends in Recorded Imports, 1970-76 (in Million Rand) 1/ RECORDED IMPORTS 1970 1971 1972 1973 1974 1975 1976 Food and Livestock 6.0 5.6 10.1 16.0 17.0 21.9 37.9 Beverages and Tobacco 1.2 1.3 1.6 2.2 3.4 5.2 7.9 Animal and Vegetable Oils and Fats 0.2 0.3 0.4 0.5 0.8 1.1 1.6 Crude Materials 0.3 0.6 0.5 0.4 0.5 0.8 1.3 Mineral Fuels and Lubricants 1.5 1.7 2.4 2.8 5.4 7.1 11.7 Chemicals 1.3 1.8 2.2 2.8 4.2 6.3 9.5 Manufactured Goods 8.8 11.9 9.1 11.3 17.7 26.5 41.8 Machinery and Transport Equipment 3.1 4.1 5.0 6.9 8.4 12.8 22.7 Miscellaneous Manufactured Goods 0.6 0.7 11.7 17.6 24.3 35.6 45.1 Total Recorded Imports 22.9 28.0 43.0 60.5 81.7 117.3 179.5 1/ Includes Duties P TI Source: Bulletins of Statistics o H- H ON - 37 - ANNEX 1 Appendix Table 1.17 LESOTHO: AGRICULTURAL SECTOR REVIEW Export/Import Balance of Cattle, Sheep, and Goats (1969-77) CATTLE SHEEP-AND GOATS No. No. No. No. No. No. Net Net Year Exports Imports Balance Exports Imports Balance 1969 15,299 4,355 +10,944 25,852 8,321 +17,531 1970 11,408 4,730 +6,678 16,143 12,862 +3,281 1971 8,656 6,869 +1,787 10,867 16,253 -5,386 1972 8,918 5,028 +3,890 31,766 6,326 +25,440 1973 12,894 4,057 +8,837 31,211 3,691 +27,520 1974 9,225 3,046 +6,179 19,141 3,205 +15,936 1975 3,503 31,756 -28,253 7,035 6,365 +670 1976 1,250 33,821 -32,571 2,267 9,236 -6,969 1977 1,223 47,673 -46,450 533 17,698 -17,165 SOURUCE: Ministry of Agriculture - Livestock Division. Livestock Marketing Corporation. LESOTHO: AGRICULTURAL SECTOR REVIEW GROWTH AND SHARES OF CUSTOMS UNION REVENUES - LESOTHO AND BLS COUNTRIES, 1970/71 - 1977/78 (Million Rand) YEAR TOTAL LESOTHO BLS LESOTHO BLS POOL POOL POOL SHARE SHARE RECEIPTS REVENUES REVENUES (%)(Z) 1970/71 747.3 4.7 16.0 0.63 2.14 1971/72 857.1 5.9 22.7 0.69 2.64 1972/73 864.3 6.8 29.7 0.78 3.44 1973/74 1,010.9 14.6 48.9 1.45 4.83 0 1974/75 1,113.6 17.3 66.4 1.55 5.96 1975/76 1,447.5 15.3 57.9 1.05 4.00 1976/77 1,723.6 16.5 51.1 0.96 2.97 1977/78 2,290.3 32.8 104.9 1.43 4.58 Source: SACU Commission Reports January 23, 1980 v 0o - 39 - ANNEX 1 Appr.dix Table l.j9 LESOTHO: AGRICULTURAL SECTOR REVIEW Government Recurrent Expenditure, 1975/76 - 1979/80 (in millions of Rand, Current prices) 1975-76 1976/77 1977/78 1978/79 1979/80 Economic Services 6.61 22.3 8.15 11.34 13.46 19.99 28.0 Agriculture 3.04 10.3 3.75 5.16 5.71 7.98 11,2 Industry 0.40 1.3 0.52 1.08 1.03 1.32 1.9 Roads/Buildings 2.25 7.6 2.90 3.60 4.36 7.59 l0.6 Communications 0.92 3.1 0.98 1.50 1.71 2.38 3.3 Other - - - - 0.65 0.72 1 ^ Social Services 10.38 35.0 12.05 17.05 18.14 21.66 30.4 Education 6.38 21.5 7.09 10.83 11.62 13.86 19.4 Health 2.10 7.1 2.14 3.29 3.45 4.00 5.6 Urban 1.52 5.1 2.28 2.20 2.26 2.77 3.9 Rural 0.38 1.3 0.54 0.73 0.81 1.03 1.5 Administrative Services 10.37 35.0 12.17 14.88 18.56 22.63 31.8 Financial 2.11 7.1 2.24 3.39 3.66 3.88 5.5 General 3.01 10.2 3.40 4.76 6.29 6.64 9.3 Public Order 5.25 17.7 6.53 6.73 8.61 12.11 17.0 Total Non-Statutory 27.36 92.3 32.37 43.27 50.16 64.28 90.2 Statutory Expenditure 2.28 7.7 1.89 2.62 6.67 6.99 9.8 Total Recurrent Budget 29.64 100 34.26 45.89 56.83 71.27 10( SOURCE: Kingdom of Lesotho: Third Plan Preview, October 1979. I - 40 - ANNEX 2 LESOTHO AGRICULTURAL SECTOR REVIEW Labor and Employment Table of Contents Page No. I. Introduction ................................1................ I II. Population and Labor Force Growth .......................... 2 III. The Labor Market and Agricultural Labor Availability ....... 3 Migrant Labor Market .................................. 3 Domestic Labor Market ................................. 7 IV. Labor Market and Employment Prospects ............... 9 Population and Labor Force Projections ................ 9 Prospects for Mining Employment ................ 10 The Domestic Employment Challenge ..................... 14 V. Sector Development Strategies ....................... 16 APPENDIX TABLES - 41 - ANNEX 2 Page 1 I. Introduction 1. Certain factors make it difficult to comment with any degree of confidence on the labor force and employment status of the country's popula- tion, namely: (i) the poor quality of available manpower data; (ii) the relatively small amount of hard data on domestic employment, and (iii) the fact that nearly 60% of the male population of working age are employed as temporary migrants in South Africa. Yet rapid population growth rate and uncertainties surrounding the future employment prospects for Basotho in South Africa pose crucial policy choices for the Lesotho Government. Hence an attempt is made in this Annex to provide broad estimates of the conditions of labor supply and demand as well as the future prospects for employment. II. Population and Labor Force Growth 2. The 1976 Population Census reported a total or de jure population for Lesotho of 1,216,816, and a resident or de facto population of 1,064,162, 152,654 Basotho being absent in South Africa (Appendix Table 2.1). Females constituted 52% and 57% of the de jure and de facto population respectively. The absentee (migrant) population accounted for about 13% of the de jure or total population, with 22% of the male and 4% of the female de jure population absent in South Africa. However, since the nature of absence is not defined in the Census, it is not possible to tell whether it refers to temporary absence of varying periods up to two years in South Africa, or a situation of permanent out-migration to other countries. 3. The geographical distribution of the population seems to be highly correlated with patterns of economic activity, with about 69% of the total population concentrated in the cultivable lowlands and foothills (79% if the Orange River Valley is included) (Appendix Table 2.2). The data in Appendix Table 2.1 shows that the districts of Leribe, Berea, Maseru, Mafeteng and Mohale's Hoek, all of which contain sizeable land areas falling within the lowland and foothill zones, together account for about 74% of the total population. 4. A high annual population growth rate has exacerbated the problem of access to land. The net annual growth rate of Lesotho's population increased from 1.8% for 1946-56, to 1.9% for 1956-66, and to 2.3% for 1966-76. If such population pressure on the limited land resources is not accompanied by policies and strategies to restructure the economy, and in particular the agricultural sector, the result is likely to be increased rural poverty, unemployment and further out-migration. 5. There are several independent estimates of the labor supply. According to a 1978 World Bank estimate, Lesotho's labor force stood at 563,000 in 1977 having increased at a rate of about 2.1% over the previous decade (Appendix Table 2.3). Three main components of the labor force can be - 42 - ANNEX 2 Page 2 identified: (i) that portion employed domestically in the modern wage sector (32,000), comprising 5% of the total labor force; (ii) a migrant labor segment (165,000), comprising mainly unskilled labor in the mining sector of RSA; and (iii) the residual labor force of about 365,000 engaged primarily in subsis- tence agriculture and handicrafts (Appendix Table 2.3). 6. Since the domestic labor supply is residual in nature, estimates of its magnitude necessarily depend upon assumptions made about the number of migrants in South Africa. There is considerable disagreement about the actual number of migrants. The various studies of labor migration from Lesotho to South Africa give estimates ranging between 150,000 to over 200,000 working in various sectors of the South African economy. 1/ For example, Lesotho's Central Planning and Development OiFfice gives a total of 150,000, the 1976 Population Census 153,000, Van der Wiel suggests a figure of 200,000 (180,000 males and 20,000 females), and the German Development Institute 206,000. Other sources suggest that during the 1975/76 period about 150,000 Basotho males were employed in South Africa's mining sector, approximately 30,000 were between contracts with the mirnes, and another 26,500 worked in non-mining activities - probably 13,500 in manufacturing, 9,500 in Government service and 3,500 in agriculture. 7. Van der Wiel 2/ estimates that about 65% of the working age popula- tion (15-64) was domestically employed. The ILO Employment Mission 3/ to Lesotho estimated that in 1975 the resident population of working age (includ- ing housewives and the disabled) amounted to 447,000 (167,000 males and 280,000 females) or approximately 68% of the total working age population. Adjustments for housewives and the disabled who do not actively participate in the workforce leaves a residual of 407,000 (157,000 males and 250,000 females) or 62% of the total labor force available for employment in Lesotho. 8. The annual increment to Lesotho's labor force is estimated between 10,000 to 12,000, with annual domestic employment creation averaging 1,000 jobs between 1975 and 1978. The unemployment rate in Lesotho therefore depends to a large extent on the vicissitudes of labor demand in South African mines. Although South Africa contiLnues to absorb a large proportion of 1/ Francis Wilson, "International Migration in Southern Africa", April, 1976; D. Wilson, "Manpower Planning in Lesotho", Central Planning and Development Office, Lesotho, September, 1976, R. McDowall, "Basotho Migrants in South African Mines - An Empirical Study", November 1974; A.C.A. Van der Wiel, Migrant Wage Labour - Its Role in the Economy of Lesotho (Lesotho: Mazenod 1977); B. Clause et al, "Migration of Qualified Technical Man- power from Lesotho to the Republic of South Africa: Possibilities of Retention", German Developmenl Institute, 1977. 2/ A.C.A. Van der Wiel, Migrant Wage Labour. 3/ Options for a Dependent Economy: Report to The Government of Lesotho by The Jaspa Employment Advisory Mission (I.L.O: Addis Ababa, 1978). - 43 - ANNEX 2 Page 3 Lesotho's working age population, Lesotho has difficulty in creating sufficient employment opportunities for the residual portion of its working age popula- tion. Since domestic employment has not been expanding as rapidly as the -umber of what may be considered surplus unskilled labor seeking employment at home, the country faces a potentially serious unemployment problem. On the other hand, because of the quickening tempo of economic activity, the dema-n for skilled labor seems to be outstripping supply, resulting in a relatively tight labor market for unskilled manpower. III. The Labor Market and Agricultural Labor Availability 9. The labor market in Lesotho, especially that for unskilled labor, can be characterized as a dual labor market, consisting of two interdependent elements: (i) a migrant labor market and (ii) a domestic labor market which is predominantly agricultural. The structure and functioning of the migrant labor market system have important implications for the conditions of labor supply and employment in Lesotho, particularly in the agricultural sector. Migrant labor wage and employment levels are determined independently of conditions in the domestic labor market which is purely residual in nature. Migrant Labor Market 10. An important factor in this labor market dualism concerns the restrictions placed by South Africa on the numbers who can migrate from the B.L.S. States. The official migrant labor market is therefore confined, by and large, to those workers recruited for gold mines and collieries, whose demand for migrant Basotho labor is determined administratively by the South African Chamber of Mines under an informal quota system. While a significant number of Basotho do find employment in non-mining activities, this group mainly comprises skilled and semi-skilled workers employed or seeking work in domestic service. 11. The demand for Basotho migrant labor by the South African Chamber of Mines represents a fairly significant proportion of both the foreign component as well as the aggregate demand for labor by the gold mining industry. During the late 1970's about 52% of the total demand for mine labor in South Africa was met from domestic sources, with the remainder coming from the foreign supplier states - Botswana 6%, Lesotho 23% Swaziland 3%, Mozambique 9%, and tropical sources (north of latitude 22 S), 7%. Thus Lesotho is responsible for nearly 50% of the foreign component of mine labor requirements in South Africa. 1/ 1/ South African Chamber of Mines: Annual Reports. Mine Labor Organiza- tions: Annual Reports. - 44 - ANNEX 2 Page 4 12. Although Lesotho is the single most important source of foreign labor, the mine wage rate, which tends to be uniform across the mining indus- try, is not sensitive to changes in the supply of Basotho labor. This situa- tion can be explained in terms of the following factors: (i) the Chamber of Mines found no difficulty in recru:Lting comparable cohorts of miners even prior to the massive increases in mine wages in the post - 1970 period; (ii) the trends in population and labor force growth in Lesotho suggest a relatively elastic labor supply curve, implying that much larger numbers of Basotho could be recruited at the going wage rate; (iii) while Lesotho is, to some extent, a favored source of supply, there is no evidence that the Chamber discriminates between supplying markets with a viLew to exploiting the acute labor surpluses available in certain supplier states; and (iv) there are long queues at the recruitment offices in Lesotho. 13. Theoretically, the indiviLdual Mosotho is faced with a choice between seeking migrant employment and worlc in the domestic economy. In practice, however, wage differentials between the two sources of employments are so large, and opportunities at home so different to those in South Africa, that the automatic starting point in the job search process is the nearest mine recruitment office. 14. According to official sources, the number of Basotho employed in South African mines increased from around 77,000 in 1967 to about 125,000 by 1978, i.e., at an average growth rate of 5% per annum (Appendix Table 2.5). In addition, it is estimated that some 26,500 Basotho are "officially" employed outside the mining sector in South Africa. Basotho migrants contituted some 20% of the total mining work force in 1978 compared to 13% in 1967. Both employment and total annual recruitment showed significant declines in 1978 - employment by about 4% and recruitment by 18%. The difference between the changes in employment and recruitment reflected a reduction in the rate of labor turnover. 15. Recruitment of Basotho for the mines is normally carried out by seven licensed recruiting agencies in Lesotho on the basis of specific weekly quotas provided by the Chamber of Mines. However, since there is always an excess supply of Basotho labor avaiLlable for work, recruitment becomes tanta- mount to "selection." Further, the numbers recruited may diverge from the numbers actually employed because the latter tend to vary with the average length of contract chosen by the migrants. Such contracts are usually issued for six, nine, or twelve month periods, and in some cases may even be extended up to a period of two years. 1/ 1/ The provisions of the South African Bantu Laws Amendment Act of 1963 stipulate that no migrant contract may exceed two consecutive years. Further, migrants may not enter South Africa with their wives, change their employers, or reside other than in bachelor hotels. Contracts may be renewed any number of times throughout the working life of the migrant after an unspecified period of time spent at home. - 45 - ANNEX 2 Page 5 16. While it is too early to say whether the 1978 drop in employment and recruiting marks the beginning of a downward trend, 1/ when taken in conjunction with other developments, the overall picture is one of increasing uncertainty about the future employment of migrants in large numbers. The stated policy of the South African Chamber of Mines is to stabilize the mining labor force with priority in recruitment to be given to more experienced 1'career" miners. There is evidence that the mines are becoming more selective in their recruitment as exemplified in the recent practice of employing only those recruits with re-employment certificates. This is reflected in the sharp increase in the average length of contract of Basotho workers from about eight months in 1976 to nearly 13 months by 1979. 17. The increased selectivity in recruitment by the mining authorities places Basotho workers as a whole in a relatively advantageous position in comparison to other migrant workers. However, excess labor supply in the migrant labor market, increases in the average age of migrant workers, the reluctance of mining authorities to employ novices, and similar developments, would seem to imply a reduction in job opportunities for young Basotho entering the labor market for the first time. Thus, the changing conditions of labor demand in mining coupled with excess supply created by increased population and labor force growth highlight the need for redoubling efforts aimed at creating more domestic employment opportunities, especially for the young. 18. Table 1 below presents data on the age distribution of migrants. The results, drawn from a sample survey conducted by the National University of Lesotho, reveal a significant block of migrants (34%) in the 40-and-over age group. Over 85% of all male Basotho migrants to South Africa are in the 20-49 age range. 19. The large differentials between migrant earnings and wages which can be earned domestically is one of the most important explanatory variables in the migratory process. Between 1972 and 1978 the basic shift wage (26 shifts per month) showed a sixfold increase from RO.49 to R2.95. During the same period, the average unskilled wage rate in Lesotho quadrupled from RO.38 to R1.54 per day. On the other hand, the average rate of remuneration for agricultural activities, defined as the average household income from crops and livestock, is estimated to have increased from R120 per annum in 1972 to about R200 in 1978, a rate of increase far below the average increases in income from non-farm activities. 1/ Preliminary estimates for 1979 suggest an increase in employment back to 1977 levels. - 46 - ANNEX 2 Page 6 TABLE 1: AGE OF RETURN MIGRANTS FROM SOUTH AFRICA BY ECOLOG;[CAL ZONE, 1977 AGE Lowlands Foothills Mountains TOTAL % 15-19 4 1 0 5 2.5 20-24 10 13 9 32 16.0 25-29 13 10 15 38 19.0 30-34 14 7 8 29 14.5 35-39 8 9 10 27 13.5 40-44 5 9 7 21 10.5 45-49 6 9 10 25 12.5 50-54 4 3 5 12 6.0 55-59 2 4 1 7 3.5 60 + 1 2 1 4 2.0 TOTAL 67 67 66 200 100.0 SOURCE: National University of Lesotho: Survey of Return Migrants June/August 1977. Domestic Labor Market 20. Van der Wiel has estimated a domestic labor force of about 407,000 of which 157,000 or 39% are male. Wiith an insignificant domestic informal sector (para. 8), the majority of these unskilled able-bodied males and females must find employment in the agricultural sector or join the ranks of the unemployed. The residual supply of labor which can be considered poten- tially available for farming includes (i) those unskilled males who either cannot find employment in migrant mining or have no desire to migrate; (ii) male migrant workers on home leave who are able to provide some "available" time to agriculture; and (iii) females. 21. Lesotho, like the majority of developing countries, faces a situa- tion of visible underemployment i.e. a quantitative insufficiency of employment opportunities which is largely a reflection of the seasonal nature of agricul- tural activities. Those who do not migrate to South Africa after the planting and harvesting seasons remain largely unemployed except for involvement in - 47 - ANNEX 2 Page 7 the odd non-farm job or employment in food-for-work programs. The results of a LASA study show that there is a 33% rate of surplus labor or underemployment in the agricultural sector over the full period of the production cycle. 1/ This brings us to consider why the resident labor force is disinclined to engage in full time agriculture. The main reason, it seems, is the relatively high earnings from mining in South Africa. 22. As shown elsewhere (Annex 1), livestock and crop agriculture have contributed only about 36% of Lesotho's GDP in recent years. In fact, agricultural income represented, in 1978, only about one-quarter of the R200.4 million earned by Basotho workers employed in South Africa. Net remittance earnings from migrant labor are more than twice as large as the agricultural component of GDP. Earnings of Basotho mine workers have risen sharply since 1974, with the rate of increase averaging 29% per year between 1974 and 1978. (Appendix Table 2.6). 23. The high earnings in RSA employment contrasts with the relatively low returns to crop farming in Lesotho. It is estimated that the average returns to labor and capital from a typical 5-acre farm in Lesotho amounts to no more than R80 (gross margin) or R16 per acre. This represents a wage of less than RI per day of labor input and is inadequate to meet the minimum subsistence needs of the typical farm household. It certainly cannot be compared with the average yearly earning of RI,123 obtainable from migrant employment in South Africa (Appendix Table 2.6). 24. The relative attraction of mining earnings vis-a-vis returns from domestic agriculture is confirmed by the results of a NUL migration survey reported in Table 2. Migrants were asked under what conditions they would stay at home and perform full-time agricultural work. More than half responded that they would farm on a full-time basis at home only if such activities could be made more remunerative. 1/ Ronald A. Wykstra, "Farm Labor in Lesotho: Scarcity or Surplus?" LASA Discussion Group, No. 5, September 1978. - 48 - ANNEX 2 Page 8 TABLE 2 - PROPORTIONS OF BASOTHO MIGRANTS WHO WOULD FARM FULL- TIME UNDER SPECIFIED CONDITIONS, 1977 Conditions Percent 1. If necessary facilities/opportunities/capital were available 36 2. If Agriculture were profitablet 22 3. If there was employment in Lesiotho near farm 9 4. If income from agriculture were sufficient to support family 4 5. If there were no paying jobs either at home or abroad 1 6. NOTE: would not farm full-time under any circumstances 26 7. Do not know 1 8. Unstated 4 NOTE: The percentages do not sum to 100 because many respondents gave more than one reason, in which case the first three reasons given were tabulated. Source: National University of Lesotho, Migration Study, 1977. 25. As was noticed also in the case of males, there is very little reliable quantitative information on the female labor force engaged in agriculture. Estimates based upon data in the Second Five Year Development Plan show an active total female labor force of 246,000 persons in 1975, or about 48% of the estimated total labor force (Appendix Table 3.7). About 35,000 of these were estimated to be female non-farm or migrant workers. The residual figure of 211,000 is estimated to have reached nearly 292,000 by 1978. 1/ (Appendix Table 3.8). The available data shows that about 70% of all farm households are managed by women. This has resulted from the high incidence of male migration. On average, while some 190,000 farm 1/ These two estimates are somewhat incomparable. The figure of 211,000 for 1975 is based on a 15-59 age group, while the figure of 292,000 for 1978 is based on a 15-64 age range. Further the latter figure includes the female labor supply in the informal sector as a whole, including agriculture. - 49 - ANNEX 2 Page 9 households have a migrant worker, about 40% of all farms are without migrant labor incomes. Furthermore, surveys reveal that at least 30% of all farm households are headed by socially recognized widowed, divorced, or separated females, and that a significant proportion is also headed by single or deserted females. 1/ 26. While there is no reliable data on the amount of labor time which women can devote to agricultural pursuits, the evidence marshalled in Annex 1 shows that a large percentage of women in Lesotho-s rural sector form part of the working poor in the sense that they find it difficult to earn sufficient incomes to meet their basic needs. The reasons, it seems, are relatively low agricultural productivity and lack of access to resources including migrant income. Furthermore, although females constitute over 70% of the agricultural labor force, a significant number may be without any gainful source of employment. (Table 3). TABLE 3 - TOTAL BASOTHO LABOR FORCE AND EMPLOYMENT, 1976 (000) Item Male Female Total A. Labor force (population 15-64) 330 354 684 B. Employed (A. x participation rate) 281 272 553 C. Migrants (van der Wiel's estimate) 177 21 198 D. C. as percent of A 54 6 29 E. C. as percent of B 63 8 36 F. Employed in Lesotho (B - C) 104 251 355 G. Unemployed, work age (A - B) 49 82 131 H. Unemployment rate (G as % of A) 15 23 19 Source: Lesotho's Agriculture, LASA Research Report No. 2, 1978. IV. Labor Market and Employment Prospects Population and Labor Force Projections 27. This section of the paper offers some speculation on future employ- ment prospects within Lesotho and the implications for development within the agricultural sector. On the supply side the relevant variables are population and labor force growth. On the demand side, the major determining factors are the prospects for the future employment of migrant labor in South Africa and the labor absorptive capacity of the agricultural sector. Of particular significance are speculations about the number of jobs which must be created in the domestic economy over the next 10 to 20 years if the standard of living of the population is not to deteriorate, and if unemployment and underemploy- ment are not to increase. 1/ See Bureau of Statistics, 1970 Census of Agriculture: and A.C.A. Van der Wiel, Migratory Wage Labor, pp. 34, 86. - 50 - ANNEX 2 Page 10 28. Table 4 presents a summary of three alternative projections of Lesotho's population by the end of the century, based on I.L.0, World Bank, and LASA data. The estimates show that, if past rates of population growth were to continue, Lesotho's population will exceed 2 million by the year 2000, with females comprising more than 50% of the total population. A summary of alternative labor force projections for Lesotho are presented in Table 5. The data show that Lesotho's labor force is likely to reach over 1 million by the year 2000, or a net increase of between 400,000 to 500,000. The percentage of this net addition which will have to be absorbed within the domestic economy will depend on the assumptions which are made about migration to South Africa. TABLE 4: ALTERNIATIVE PROJECTIONS OF LESOTHO'S POPULATION, 1975-2000 1 2 3 I.L.O. Median Variant World Bank LASA Constant Variant Year T M F T M F T M F …- 000 …000 …000 … 1975 1148 566 583 1192 587 605 1976 --- --- --- --- --- --- 1216 587 629 1980 1284 633 651 1342 662 680 1331 644 687 1985 1440 711 729 1514 747 767 1489 722 767 1990 1617 799 818 1687 834 853 1666 810 856 2000 2027 1003 1023 2068 1023 1044 2084 1017 1067 Source: Appendix tables 2.9 - 2.12. Prospects for Mining Employment 29. The prospects for future employment of Basotho in South African mines looks uncertain. Some of the factors which are likely to affect future labor demand are highlighted below. First, the available evidence suggests that the mines are attempting to diversify their sources of labor supply between foreign supplier states and local sources within South Africa itself. For strategic reasons, the Chamber of Mines in recent years has set itself an explicit objective of reduced dependence on foreign labor with increased reliance on "homelands" which are under domestic control. The policy of localization is to some extent based on the need to absorb the substantial labor surpluses which have developed within South Africa over the past few years. 30. Unemployment has increased considerably among all population groups in South Africa in recent times. The labor force has increased at a fairly rapid pace on account of population growth. However, during the past few years employment has lagged behind labor force growth on account of cyclical and structural factors operating within the South African economy. As a - 51 - ANNEX 2 Page 11 consequence, the overall unemployment rate increased from 3.0% in 1970 to over 10% by the late 1970s. 1/ Unemployment was most severe among blacks. According to official estimates, between 1970 and 1977 the unemployment rate for South African whites rose from 0.3% to 3.6% while that for blacks increased from 4.1% to 13.0%. A much gloomier picture is provided by other estimates 2/ which show the overall unemployment rate rising from around 18% during the 1960s to over 22% during the late 1970s. 31. The recent South African Economic Development Program (EDP) projec- tions make specific reference to implementing the recommendations of the Rickert and Wiehahn Commissions on labor policy. Some of these recommendation are concerned with reducing the unemployment rate of South African blacks. The seriousness of the domestic unemployment problem facing the South African economy is also brought out in the EPD projections. Based on a projected growth rate of the South African economy of a low 3.6% per annum between 1978 and 1987, unemployment as a percentage of the labor force is projected to increase from 10.6% in 1977 to 21.9% by 1987. With a median GDP growth rate of 4.5% per annum over the same period the unemployment rate is expected to increase to 15.0% by 1987. With a high GDP giowth rate of 5% per annum unemployment is projected to be slightly higher (11.5%) than the official estimate of 10.6% for 1977. 32. The increasing pace of localization is evidenced by the fact that the share of domestic South African mine labor as a proportion of total mining employment increased from about 20% in 1973 to over 50% by 1978. Between 1974 and 1977 the number of South African miners increased from around 112,000 to just over 366,000. It should be pointed out, however, that one of the incen- tives to South African blacks was the offer of shorter contracts which reduced the average time spent in the mines by each worker from in excess of 10 months in 1973 to about seven months in 1978. 33. Linked to localization of mine workers in terms of the overall sources of supply, is a policy of stabilization of the work force with miners being offered more and longer contracts, being more closely identified with a single mine, and perceiving mining as a career with greater opportunities for advancement and with more differentiated tasks. The mining authorities have developed a sophisticated computer program designed to channel returning migrants into jobs for which they have experience. The mining authorities further promote stability by issuing Valid Reengagement Certificates (VRCs) which guarantee the workers employment in the same mines at the same wage if they return promptly at the end of their holidays. A more localized labor force is also likely to be more stable since workers would be able to return 1/ Economic Development Program for the Republic of South Africa. 1978-87, (Pretoria 1979). 2! Charles Simkins "Measuring and Predicting Unemployment in Southern Africa" in Structural Unemployment in Southern Africa. University of Natal Press 1978. - 52 - ANNEX 2 Page 12 to their homes more frequently. For example, it is envisaged that under such a policy many Basotho miners would be able to return home three times a year with one long and two short breaks which would provide greater year-round continuity of service. 34. Another policy goal normally mentioned is increased mechanization of the mines to promote efficiency and better working conditions underground, as well as a reduction in the number of men needed to perform the more dangerous tasks. It is also stated in favor of mechanization that, as un- skilled jobs are phased out underground, more skilled operators will be needed above ground, and this will necessitate intensified training for black African workers so that they could take advantage of the more highly skilled and better paying jobs. Further, mechanization is seen as a means of reducing dependence on black labor, and in particular from foreign sources of supply. Indications are that while mechanization has substantially reduced the labor requirements in other forms of mining e.g. open-cut coal mining, an immediate threat is not posed in the case of gold mining. 35. The policies of localization, stabilization and mechanization are likely to result not in the elimination of foreign sources of labor but rather in their reduction. The indications are that the South African mining compa- nies will continue to employ significant - if declining-numbers of Basotho miners. It is also indicated that South Africa would keep multiple sources of supply open in order to plan against contingencies and to prevent coordination among foreign supplier states. The perceived strategy of the mining companies could be interpreted as one designed to maximize returns and minimize risks. Within such a framework, Basotho workers seek to be the most favored source of supply followed by Swaziland and Botswana. Another factor which operates to the advantage of Basotho workers is that they possess non-substitutable skills or at least skills which could not be easily substituted for in the short run. 36. It should be emphasized that even with policies designed to localize mining manpower, South Africa still remains heavily dependent on its 400,000 or more migrant laborers. Developments in the mining industry suggest that the pace of localization is likely to be relatively slow, and that there is likely to be gradual replacement of foreign migrant labor by domestic labor. Even with the growth in unemployment in the domestic economy, the South African Chamber of Mines seems reluctant to displace foreign migrant labor beyond a certain minimum point. Such a conclusion is suggested by their policy of spreading future employment risks among several sources of supply. 37. For purposes of employment planning in Lesotho, there is no clear picture about future developments in the migrant labor market. Uncertainties persist about the precise intentions of the South African Government and the Chamber of Mines with respect to foreign migrant labor supplies. There are three alternative developments on which employment planning might reasonably be based: (i) given the relatively advantageous position of Basotho miners vis-a-vis other foreign migrant workers, the pattern of labor demand will behave in accordance with recent trends, i.e., there will be no significant - 53 - ANNEX 2 Page 13 reductions in the demand for Basotho miners; (ii) the worst possibility is a gradual reduction in the number of Basotho miners; if recruitment trends which have developed over the past year or so can be taken as a guide, this implies an average reduction in mining employment of 4-5,000 a year, or roughly 80,000 by the end of the century; (iii) the remaining possibility is for employment opportunities to increase. In the light of the earlier background discussion of the factors influencing employment, we have assigned the following subjective probabilities to them: 0.4 to each of the first two outcomes, which are the more likely; and 0.2 to the third. The Domestic Employment Challenge 38. In the absence of detailed employment projections, the Mission has made some rough estimates of the number of new jobs which must be created in Lesotho by the end of the century to meet the two most likely scenarios considered above. Table 6 presents estimates of the growth of the working age population and labor force over the next 20 years between 1980 and 2000. They are based on the LASA/CPDO constant population growth projections which provide the best available estimates. The estimates show that by the year 2000 there will be over 329,000 additions to the labor force or a 54% increase. Judgement about the proportion of these new entrants that can reasonably be absorbed in the domestic economy, including the agricultural sector, must depend on assumptions made about future migratory flows as well as the poten- tial labor absorptive capacity of the domestic modern and rural sectors. 39. On this basis, the employment implications of two alternative scenarios are presented in Table 7: (i) assuming past trends in migration continue, and (ii) assuming that about 80,000 return migrants will have to be reabsorbed into the domestic economy over the next 20 years. If past trends in migration continue, and depending on the labor absorptive capa- city of the modern sector, an average of between 10-14,000 new jobs annually will have to be created in the agricultural and rural sector. If there is a gradual displacement of foreign migrants in South Africa, the above estimate is likely to increase by about 4,000 annually. Even if migration were to increase at the same rate as the total work force, this would absorb no more than 6,000 jobs per annum, i.e. no more than one-half the increase in the labor force. What is evident is that, irrespective of which of the three projections concerning the migrant labor market eventuate, a substantial number of jobs will have to be created in the agricultural sector if new entrants into the labor force are to be gainfully employed. The Mission cannot comment with any precision on the potential of the sector to absorb such large numbers. In general, however, the possibilities for increasing labor absorption will depend on the kinds of agricultural and economic development strategies which are pursued. The broad outlines of a potentially feasible strategy are mapped in the next section. - 54 - ANNEX 2 Page 14 V. Sector Development Strategies 40. The foregoing discussion points to the conclusion that Lesotho has no choice but to adopt policies; and strategies geared towards a well- structured development of its domestic economy. However, an integrated approach to national and sector development must take full account of the country's limited natural resource base and its heavy economic dependence on South Africa, especially as a continuing source of employment. 41. The overall sector develcpment strategy should be broken down into meaningful short and long term strategies. Over the shorter run (say 1980-85) the emphasis should be on programs and projects linked to satisfying proven demand, both at home and abroad, for Lesotho-s products. The longer term perspective should emphasize the viability of the agricultural sector in terms of promoting resource conservation and the sector's comparative economic advantages. 42. The focus of the shorter term strategy should the consolidation and expansion of supply of those agricultural products for which Lesotho has a ready market. This could be achieved through increased local processing, the improvement of marketing networks and channels, as well as by the creation of more efficient marketing institutions. The goals of such a strategy might include the following: (i) increased production and processing of livestock (wool and mohair products). As discussed in Annex 1, the EEC permits an unlimited supply of these types of Basotho products into its markets duty-free. Furthermore, since Lesotho's exports constitute an infinitesimal portion of total EEC demand under the Lome Convention, the potential for further export promotion and expansion in these markets is extremely favorable. The real problem, however, is one of production, quality control, further processing, and, above all, marketing. The processing of mohair in particular is likely to generate significant employment at reasonable levels of income. (ii) the promotion of agri-business based on first-stage processing of crop and animal products. Such activities could be geared toward meeting local demand requirements as well as successfully competing in the South African market. (iii) the identification of crops which could be developed for local processing and consumption, competition in South African markets and extra-regional exports. The limited domestic market size precludes a concentration on that source of demand. The primary objective should be to take advantage of the economic opportunities offered by greater economic co-operation with other states in Southern Africa, as well as by the further exploitation of Western European markets. TABLE 5: LESOTHO: Alternative Projections, of Working Age Population (15-64), 1975-2000 (in thousands) I. L. 0. 1 2 3 4 LASA Constant High Variant Median Variant Low Variant World Bank* Growth Variant Year T M F T M F T M F T M F T M F 1975 623 346 277 623 346 277 623 346 277 705 345 359 1976 -- - - -- -- - - - -- --- -- 667 321 346 1980 673 375 298 673 375 298 672 374 298 774 38- 394 759 366 393 1985 733 410 323 731 409 322 729 408 321 848 436 432 846 409 437 1990 807 455 352 803 453 350 796 449 378 941 467 483 939 453 486 2000 1007 576 431 991 566 425 955 543 412 1236 608 628 1154 565 589 Source: Appendix tables 2.9 - 2.12. * The Bank figures are higher, on average, than those from other sources because (i) the Bank population projections are based on different assumptions, and (ii) the age-group classifications used prevented a precise enumeration of the 15-64 age group. en r - 56 - ANNEX 2 Page 16 (iv) the construction, completion, and strengthening of a transport and communications network linked to agricultural development. (v) strengthening of marketing institutions. 43. Plans and programs for longer term sector development should build on shorter term and ongoing prograns at the national and/or sector levels. In this context, some significance should be attached to short-term efforts aimed at improving the absorptive capacity of the local population and insti- tutions. Human resource and institutional constraints tend to affect every economic sector, and, therefore, efforts geared toward their removal should form an integral part of all programs for sectoral and national development. This implies increased emphasis on training. 44. Over the longer term, emlphasis should be placed on the following: (i) further intensive crop production and development. Ultimate success in this area would depend on the extent to which it can bea linked to other proposals for transformation, e.g., (a) the development of well-coordinated marketing, extension, and management systems for agricultural inputs and outputs; (b) the development of water resources for the small-scale irrigation of higher value crops; and (c) the extent to which the positive features of projects such as BASP can be extended and deepened; (ii) further development of livestock products, such as wool and mohair, toward higher stages of processing; (iii) the promotion of home gardens; (iv) changes in livestock (meat) and milk production, and livestock mix through reduction of overstockig and over- grazing as well as better livestock management. The transformation of the livestock production and manage- ment system could be seen as a necessary complement to comprehensive soil conservation planning, with an essential element of the latter being the recovery of grazing areas and the corLversion of marginal lands into forage. (v) a comprehensive soil conservation program linked to improved crop cultivation practices and range management designed to preserve the country's fragile resource base. 45. In conclusion, the short and long term strategy proposed above is not based on any explicit model of Lesotho-s development potential, but rather on judgements about the feasible long term goals of agricultural and national - 57 - ANNEX 2 Page 17 development, and the transformation possibilities considered feasible and necessary. The conclusions emerging from the present Annex, as well as from others in the Report, leads us to the belief that the following goals should be emphasized in plans and programs for agricultural and national development: (1) providing full-time, year-round employment for able-bodied males and females through programs and policies designed to reduce underemployment; building up the economic base to provide meaningful employment opportunities both for new entrants in the labor force as well as for returning migrants in the event of reduced labor demand in South African mines. (2) increasing the productivity and incomes of poverty groups, especially females who are unemployed or underemployed. (3) broad-based national development as a means of reducing asymmetrical economic dependence on South Africa and for the promotion of more mutually beneficial interdependent relationships. 46. In the achievement of these objectives, the starting point should be sound sector planning with a view to altering and transforming agricul- tural production systems and creating the relevant backward, forward, con- sumption and fiscal linkages. In essence, the strategy being proposed is one in which the alteration of crop and livestock production systems would be linked backwards to soil conservation and better range management; and forward to agro-industrial processing and marketing at various stages. These, in turn, would tend to generate requisite consumption linkages through strengthening of local demand and through export promotion in foreign markets. Further, the process of agro-industrial development, by increasing the domestic value-added of commodities produced within Lesotho can produce fiscal linkages through increased domestic revenues, investment and employment. TABLE 6: LESOTHO: ESTIMATES OF WORKING AGE POPULATION AND POTENTIAL LABOR 2ORCE, 1980 AND 2000, (Thousands) 1980 2000 Net Change 1980-2000 Working Age - Participation Labor Working Age i/Participation Labor Working Age Labor Population Rate Force Population Rate Force Population Force Age Group (1) (2) (3) (4) (5) (6) (7) (8) Males: 15-24 134,158 68 91,227 188,749 68 128,349 54,591 37,122 Males: 25-64 232,100 94 218,174 376,593 94 353,997 144,493 135,823 TOTAL MALES 366,258 84 3095401 565,342 81 482,346 199,084 172,945 Females: 15-24 142,508 58 82,655 184,516 58 107,019 42,008 224,364 X Females: 25-64 250,783 86 215,673 404,284 86 347,684 153,501 132,011 TOTAL FEMALES 393,291 72 298,328 588,800 454,703 195,509 156,375 TOTAL: MALES & FEMATY1,; 759,549 607,729 1,154,142 937,049 394,593 329,320 1/ Labor force participation rates provided by Lesotho's CPDO and LASA. I'd TABLE 7: ALTERNATIVE SCENARIOS OF LESOTHO'S EMPLOYMENT CHALLENGE Assuming No Decrease In Assuming Gradual Migration Migrant Replacement 1. Labor Force - 2000 937,049 937,049 2. Labor Force - 1980 607,729 607,729 3. Returning Migrants - 80,000 4. New Jobs to be Created Domestically 329,320 409,320 5. Alternative Domestic High Low Most High Low Most Employment Possibilities Probable Probable A. Modern Sector 111,000 44,000 70,000 111,000 44,000 70,000 B. Public Works 20,000 10,000 10,000 20,000 10,000 10,000 TOTAL A & B 131,000 54,000 80,000 131,000 54,000 80,000 6. Residual for Absorption in Agricultural and Rural Sector 198,320 275,320 249,320 278,320 355,320 329,320 7. Annual Job Requirement 9,916 13,766 12,466 13,916 17,966 16,466 0H 0' LESOTHO AGRICULTURAL SECTOR REVIEW Population of Lesotho by District, Residence and Sex, 1976 De Facto(Resident) Absent De Jure (Total) Population Population Population Per Cent by District Males Females Males Females Males Females Total District Butha-Buthe 28,410 37,325 9,010 2,433 37,420 39,758 77,178 6.34 Leribe 75,684 101,097 23,957 5,820 99,641 106,917 206,558 16.98 Berea 53,828 71,971 16,570 3,756 70,398 75,727 146,125 12.01 Maseru 100,734 131,247 22,950 2,878 123,684 134,125 257,809 21.19 Mafeteng 57,661 76,099 17,599 2,980 75,260 79,079 154,339 12.68 > Mohale's Hoek 50,881 68,019 15,230 2,181 66,111 70,200 136,311 11.20 Quthing 32,916 45,223 9,204 1,148 42,120 46,371 88,491 7.27 Qacha's Nek 28,574 37,700 8,413 1,810 36,987 39,510 76,497 6.29 Mokhotlong 29,541 37,252 6,170 545 35,711 37,797 73.508 6.04 Total 458.229 605.933 129,103 23.551 587,332 629.484 1.216,816 100.0 Source: 1976 Population Census LESOTHO: AGRICULTURAL SECTOR REVIEW Classification of Population by Ecological Zones, Sex and Residence, 1976 ZONE RESIDENT ABSENT TOTAL % (De Facto) (De Jure) By Males Females Males Females Males Females Total Zone Lowland 207,224 275,961 62,545 14,670 269,769 290,631 560,400 46.05 Foothill 102,255 137,392 30,334 4,660 132,589 142,052 274,641 22.57 Mountain 101,263 127,069 22,096 1,815 123,359 128,884 252,243 20.73 Orange River 47,487 65,511 14,128 2,406 61,615 67,917 129,532 10.65 Totals 458,229 605,933 129,103 23,551 587,332 629,484 1,216,816 100.00 Source: 1976 Population Census P) F- - 62 - ANNEX 2 Appendix Table 2.3 LESOTHO: AGRICULTURAL SECTOR REVIEW 1/ Structure of Employment 1977 MODERN SECTOR 32,100 MINING 550 MANUFACTURING 2,500 CONSTRUCTION 3,500 GOVERNMENT 11,000 TOURISM 550 OTHER SERVICES 14,000 INFORMAL SECTOR AND HANDICRAFTS 23,000 SUBSISTENCE AGRICULTURE 342,000 TOTAL DOMESTIC LABOR FORCE 398,000 M.IGRATION 165,000 TOTAL LABOR FORCE 563,000 1/ Based on Manpower data in National Development Plan 1975-80 Source: World Bank Estimates, 1978 - 63 - ANNEX 2 Appendix Table 2.4 LESOTHO: AGRICULTURAL SECTOR REVIEW Sectoral Employment of Working Age Population (15-64), 1975 (Thousands) 1975 Plan % Van Der % Estimates Wiel TOTAL 540.0 100.0 540.0 100.0 Agriculture 340.0 (62.9) 304.4 (56.4) Handicrafts, Other Informal Activities 22.5 (4.2) 20.1 (3.7) SUBTOTAL - TRADITIONAL SECTOR 362.5 67.1 324.5 60.1 Manufacturing 2.0 Construction and Civil Engineering 2.5 Government 9.2 Tourism 0.5 Other Services 13.3 SUBTOTAL - MODERN SECTOR 27.5 5.1 27.5 5.1 Employment from Internal Sources 390.0 72.2 352.0 65.2 Migrant Employment 150.0 27.8 188.0 34.8 Source: Second Five Year Development Plan, Table 5.2 A.C.A. Van Der Wiel, Migratory Wage Labor-Its Role in the Economy of Lesotho LESOTHO AGRICULTURAL SECTOR REVIEW Basotho Employment in South African Mines, 1967 - 1978 (1) (2) (3) (4) (5) Total Mining Total Basotho Basotho Average Average Length of (3) As per Cent (6) Workforce Recuritment Monthly Employment Contracts of (3) (as Per Cent of Year (Thousands) (Thousands) (Thousands) (in Months) (1) (2) 1967 615.3 75.3 77.4 12.4 12.6 102.7 1968 628.7 80.7 80.3 11.9 12.8 99.5 1969 627.9 86.4 83.1 11.5 13.2 96.2 1970 656.8 97.2 87.4 10.8 13.3 89.9 1971 647.5 88.0 91.1 12.4 14.1 103.5 1972 627.4 101.5 98.8 10.6 15.7 97.3 1973 673.8 111.0 110.5 12.1 16.4 99.5 1974 664.7 103.7 103.3 12.0 15.5 99.6 1975 623.8 134.3 112.5 10.9 18.0 83.8 1q76 655.8 160.5 121.1 8.4 18.5 75.5 1977 770.0 143.2 128.9 11.0 16.7 90.0 1978 619.4 115.0 125.0 12.0 20.2 108.7 CL 0 Source: Bureau of Statistics, Annual Statistical Bulletins South Africa :Bulletin of Statistics 4L - 65 - ANNEX 2 Appendix Table 2.6 LESOTHO: AGRICULTURE SECTOR REVIEW Lesotho: Sources and Disposition of Earnings of Basotho Employed in South African Mines, 1974-78 (In millions of rand) 1974 1975 1976 1977 1978 1974 1978 Percentage Shares In Total Sources Cash income 49.9 95.8 112.7 130.9 139.8 52.6 69.8 Income in kind 44.9 52.5 55.5 59.0 60.6 47.4 30.2 Total 94.8 148.3 168.2 189.9 200.4 100.0 100.0 Disposition Deferred pay 8.7 14.6 17.8 16.6 21.7 9.2 10.8 Recorded remittances 6.1 8.2 7.3 5.5 3.7 6.4 1.9 Unrecorded remittances 13.7 31.8 39.2 52.5 54.6 14.4 27.3 Cash expenditure in South Africa 1/ 21.4 41.2 48.4 56.2 59.8 22.6 29.8 Expenditure in kind 44.9 52.5 55.5 59.0 60.6 47.4 30.2 Total 94.8 148.3 168.2 189.9 200.4 100.0 100.0 Average annual wage rate (in rand) 483.4 851.8 926.3 1007.2 1123.0 - - Sources: Data provided by the Lesotho authorities; and IMF staff estimates. 1/ Includes estimated purchases of goods for return to Lesotho. - 66 - ANNEX 2 Appendix Table 2.7 LESOTHO: AGRICULTURAL SECTOR REVIEW Working Age Population and Active DeJure Labor Force Characteristics, 1975 (In Thousands) a Working Age Population (Age 15-59) 638 - Male 318 - Female 320 Active Labor Force (Age 15-59) 516 - Male 270 - Female 246 Average Yearly "Level" of Employment in RSA 174 - Male: Mining 116 - Male: Other 38 - Female 20 b Aggregate "Number" Employed in RSA 223 No. of Males Employed in RSA in a Year 203 No. of Females Employed in RSA in a Year 20 No. Employed in RSA as % of Active Labor Force 43% No. Males Employed in RSA as % of Active Male Labor Force 75% a/ Adjusted for some 4% of aged 60-64 from Population Census estimates. b/ "Aggregate number" employed estimated on the basis of average mining contract periods relative to average lengths of home stay (see A.C.A. Van Der Wiel: Migratory Wage Labor, Ch. 6). No such adjustments are made for other (non-mine) RSA employment. Source: Ronald A. Wykstra, Farm Labor in Lesotho: Scarcity or Surplus, LASA Discussion Paper No. 5, September 1978. Based on data from Bureau of Statistics, and Central Planning Office, Second Five Year Development Plan. 1975-80. - 67 - ANNEX 2 Appendix Table 2.8 LESOTHO: AGRICULTURAL SECTOR REVIEW Sectoral Employment By Sex, 1975 (In Thousands) MALE FEMALE TOTAL Total Active Labor Force 270 246 516 Primary Employment Mining, RSA 165 - 165 Primary Employment Other, RSA 38 20 58 a/ Primary Employment Off-Farm in Lesotho 35 15 50 Total Off-Farm Employment 238 35 273 Residual Agriculture Labor Force 32 211 243 Plus Available Males on Home Leave 49 - 49 Potential Agriculture Labor Force 81 211 292 ! Employment in traditional-handicraft industries, the public sector and in private enterprise is estimated at a 70/30 male female ratio. Source: Wykstra LESOTHO AGRICULTURAL SECTOR REVIEW Population, Labor Force and Activity Rates by Sex 1950 - 2000 Population Labor Force Activity Rates Total Males Females Total Males Females Total Males Females 1950 766 368 398 442 234 208 57.69 63.64 52.18 1955 821 394 427 469 248 221 57.08 63.03 51.59 1960 895 435 460 500 265 235 56.46 62.43 50.94 1965 954 458 496 529 285 243 55.50 62.07 49.41 1970 1,043 513 530 581 3Q3Z 259 55.75 62.67 49.05 1975 1,148 566 582 623 346 277 54.29 61.19 47.60 X 1980 1,284 633 651 673 375 298 52.41 59.17 45.83 1985 1,440 711 729 731 409 322 50.7-7 57.57 44.13 1990 1,617 799 818 803 453 350 49.65 56.69 42.76 2000 2,027 1,003 1,024 991 566 425 48.91 56.47 41.51 Source: ILO Labor Force Estimates and Projections, 1950-2000, Geneva 1977. Note: Figures may not total correctly due to rounding errors. 3 5) LESOTHO AGRICULTURAL SECTOR REVIEW LESOTfIO POPULATION PROOECTrONS WITH NRR-1 8Y 2045 (IN THOUSANDS) 1975 1980 1985 1990 1995 2000 5-TOT-TF1 5.380 5.380 4.894 4.408 4.1 02 GRR 2.650 2.650 2.41t 2.171 2.021 NRR 1.949 2.015 1.887 1.745 1.662 E(O) FEMALES 51.40 53.56 55.54 57.44 59.26 E(O) MALES 48.04 50.09 51.99 53.83 55.61 INF MORT FEMALES 99.63 90.72 82.76 75.32 68.44 INF MORT MALES 1,7.49 107.39 98.32 89.82 81.94 FEMALES AGE 1975 1980 1985 1990 1995 2000 0 92.9 110.9 123.3 125.6 130.1 141.8 5 70.7 86.8 104.6 117.2 120.2 125.2 10 64.6 68.8 84.8 102.4 115.1 118.3 15 58.6 63.3 67.6 83.5 100.9 113.6 20 51.5 57.2 62.0 66.3 82.0 99.4 25 45,5 50.1 55.8 60.6 65.0 80.5 30 39.4 44.0 48.7 54.4 59.2 63,6 35 35.4 38.0 42.6 47.3 52.9 57.8 40 30.3 33.9 36.6 41.2 45.8 51.4 1 45 27.3 28.9 32.5 35.1 39.7 44.2 50 23.2 25.8 27.4 30.9 33.6 38.N S5 19.2 21.6 24.1 25.7 29.1 31.7 60 16.2 17.3 19.5 21.9 23.5 26.8 65 13.1 13.8 14.9 16.9 19.1 20.7 70 8.1 10.2 10.9 11.8 13.6 15.5 75+ 9.1 9.3 11.t 12.5 14.0 16.2 TOT 605.0 680.1 766.5 853.4 943-8 1044.6 MAL ES AGE 1975 1980 1985 1990 1995 2000 0 92.8 111.8 124.6 127.1 131.8 143.8 5 70.6 86.3 104.9 117.8 121.0 126 2 10 63.5 68.7 84.2 102.6 115.5 118.9 15 57.5 62.2 67.3 82.7 100.9 113.8 20 50.4 55.9 60.5 65.7 80.8 98.8 25 44.4 48.7 54.1 58.8 63.9 78.6 30 39.3 42.8 47.1 52.4 57.1 62.2 35 34.3 37.8 41.2 45.5 50.7 55.4 40 30.3 32.7 36.1 39.6 43.8 49.0 45 26.2 28.6 31.0 34.4 37.8 41.9 50 22.2 24.4 26.7 29.1 32.4 35.7 .t Z 55 17.1 20.2 22.3 24.5 26.9 30.0 60 14.1 15.1 17.8 19.8 21.9 24.2 65 10.1 11.7 12.6 15.0 16.6 18.7 70 7.1 7.6 a.9 9.7 11.7 13.2 X 754 7.1 7.4 8.0 9.2 10.5 12.5 H TOT 587.0 661.6 747.3 833.8 923.4 1023.2 GRAND TOTAL 1192.0 1341.7 1513.8 1687.2 1867.2 2067.7 ID BIRTH RATE 40.8 39.7 35.6 32.8 32.0 DEATM RATE 17.1 15.5 13.9 12.6 11.6 o PnP INQRENSF 23.7 24.1 21.7 20.3 20.4 SOURCE: World Bank: Population Projections Dept. - 03 3- 03 430 ..' 03 3.03 03 03 000343303033:0030 3:r-.34-3330.3 233 >3 >3033  3 03 0303 03 03 0 03. 03.. 3...,- 3. 03 03 .,-030303 3303 a 03 03' 0 3030 30330 C. 003400303 / 030300030303034.303 '0. 330303033. 03.03 03. 0 a 20003003.03 o-0 0000 03030033-'0303-3.0 - 03 >3030303 03  033 0330300.-On 3033.300003030 0 03 3.030.'03 0300303 0300003303030303033>0303 0303 000003-0030300 0>0340..' 303-000 3033'30000 2Ž" *-.oo so'a 033>03 033.-.-.03 033-3 .- ..2 303 34 .-.- 0000034000.--'34 '03 03000.'00 00303003030 0 0 '3- 03..'">- .. 0303..3-.-',-'030303.030 03 033:03-' 030 - 03030303 3-3>3 03 0303 033.'.O 030030003.0300333 033.0.33030000000000.30 3303 0303.3-3 030303.03 03-'0. 03003 .03 003400003-0003-03003033)00333-. 03 03 330034-. 030303 0 3.3 3-30303...03.033.3 -.030 .- - - 00000.30 - 3.0--' "--0033 3.03>'...' >3 '03a3.0a03-.-0 03033 0303030 03)0 0-. 0'3340034 .30 0340 0 >3 0303  03>30333. >2 .-.3:0003000030 0003 - 030 0303030.3303030 a 0303033. - 033403 030.030303.- 03' 03 3303 030 03 200000000300000 34 03030300333003 0303'3-03 03 03 03-'- 03' 03 0300303 03 3. 003 0303 03033403,.. 003-03*0303 3..'-. 03 0033303030 3-3033.0 03 033.030.,03033oo> 00300303 03  3 03 0030303030 0303003 -0,0303 03.30033-033. 030303 3330 34o-00003000000000 03 03 0340000003434003:003-0 003343:00303:0034003340 0 0 03030030333 3-3 003030>3 '03 3303-003 - 03'.-3.>303 030303003 3...-' 0 03004.>33"">3'-03'03"'03 .03 03 o.ro.-oo Oo.'00 030000 0 0 00300.033-3403 -030030303 .>>0303t.3430303,0a 003 0 03033 030 - 34034>3343400030003400 00 03 03400003403000300303000 0 0 03030303003033.03333- 03J0030300303,-.0303..-..- 03030 03 3>030 3.30 0303003 03 0303 030 0303. >300303 3, 003 -- 1 0 0 03030.0303>.-.  ac-u 00 03 0 00303' 00030.300340 Oo 0030 0 0 03330 '>303 0303.03 03030303 03 -030300303 -- 030. 03 - 034000000 0000.J'--.-00 0 a 04303.' 03-0." 3.0333 a> 03 -- 00-"'003330303 333.03.0303 03 00033.030333033.3.0 03.'>> 03 '03 03 03.030.3.03033.003.03033 003003>3 033303030 >323. 34 3-3 0 00 o' 340030000000 34.- 0 00000.-oOOo3:3030 >303033-330003 30. 003 0300333"0303-0033 0030303 r--ooo-0000 0003:00 340000000003400 0 0 0343.033 -'--aD 03.03 03 030303030303030303*03433 03.0303 -'--003 0003-000003'.34 000 0 34 3403003103003 3.0 0303033.3.03.0300303.033:03 43030303 33 0342--jc033:03:o03o003400.-3: 303 003 3: 0 00030 03003 34 00  - a03033.>3 03 400303: 03 03.03000303>33333 03-o- 03 000000030300'-0 O0030a03033o 3.0303 03.-3-- '03 0030303030300300430303 03-3. -.000003:034003434-3402 030303030303430 003303 0.- >303 030303 33 3-03 03 0 a 0 03 33 '03 -. 30333 0 03. 3' 03 33 0- 3.033.0303030.34 * 3->' 03 0 0.0030303030030303"- 030303>30303 0 030303 .03 0033  0300-0030303> 0303.03',-. 0303>3 00303030303030 03030303. 0303303000334030303030030 0' 30 0000-000000003:303003 030''3-'0303'0303 0300 3.3.033 03.'3.'0303.0303 33030303 03 3403 00303 03 00303 0303030033<0 0303 0 03.3303 0303 0033:03.0000343434034000 3-i  000000- oOoO.-o--3: 0 0 03 0333 0303 03.-0 03 0303030303033.033.030303' 030 0303 003>3 000033400300 0 0300 0000.  oo '.  0303 >003043 3343>30303'-> 0334030300303030303 3.030303.- '.0' 03 03 0303 030 00303 03 3-0303030303 033303.03 433-03 03 334000000340000303000 00 0 33 0-3. 0330304303030 00430303 0-003 >303 03003-03 03 +-3a03 030303 03 34 03400003400340003:0000003.0303.03030303..,-. 030.0303 030303003'00303030 03 03 '030 000000030000340 0.3 0 03' 03 -g>O03O>3>>0 0033303 0.03003433403 03003030 0 030>3>33403 030303.0 33>3330033403' 030>3 0303003 03030 33 0303003-430303 0303033-03  '>03-33303 03 030300 0333> 03' 3-03030303 03030333303 03 03 034000000003034030300 03  34 3300334000003:0000 3: 0 0303 ... 430303 330333030303'> .-030303 0303 03 3:-34o0.-003:o34030o0 '33 0310343:3400000340034 0 303 03403 0333033333.-.,-' 0303 03030303 0033403- 03 030303 .033303 03 on iv 0 00030 0303 030 4303 3. 03433-33043 0303 00303.-'- I 0000030300003434000-0 0 03000000000003034 '.0 0 0303 03030003 03 0033403003033. 03 0333 >030033.0030003330300303030303000033.03 330303 3: I >'-' 003 0 3: 03  >3 03 >'  '.3 o 0 0 03   0 33 03 0 003 030 030 a- 03 03 03030 3-' 03, 03 3-03 3. 03 03 03 03 > 03,0 03 3 03 ii-03000030300.33400034340030t  030300303 >v ;t- 003 0303 03-0--- 033403"'.> 03030 03 03.030 030 O 0303033:003033:033:030003 34 0 0303 03 '43 03033333 030303030303033003033.03 0033 030300303 03 34003300343:3:00000 + 303 03 030. 03 03030303o43 030303 0 033. 0 3 3 3 30 033 3:000030.003:0030303003 0 03 03033000303030303.330 03 3 000 .- 00320 3% 3 ' 03 3-03000333003030  2'  34033303330303 0 000 03 03 oOOOOO3:030000'- i 34-0000033:00000 0 34 0 LESOTHO AGRICULTURAL SECTOR REVIEW Labor Force Projections and Annual Rates of Growth by Sex According to High and Low Variants of Population Projections, 1975- 2000 (Labor Force in Thousands;Annual Growth Rates)(%) Total Males Females Total Growth Rates Female High Low High Low High Low High Low High Low High Low 1975 623 623 346 346 277 277 1970 -1975 1.40 1.40 1.48 1.48 1.31 1.31 1980 673 672 376 374 298 298 1975 -1980 1.55 1.52 1.61 1.58 1.48 1.44 1985 733 729 410 408 323 321 1980 -1985 1.71 1.63 1.82 1.75 1.57 1.50 1990 807 796 455 449 352 347 1985 -1990 1.95 1.78 2.11 1.92 1.74 1.60 1995 898 873 511 495 387 378 1990 -1995 2.16 1.86 2.32 1.96 1.96 1.77 2000 1,007 955 576 543 431 412 1995 -2000 2.32 1.82 2.44 1.90 2.16 1.72 Source: ILO Labor Force Estimates and Projections, 1950 - 2000, Geneva, 1977 0. P X b 0o o- a - 72 - ANNEX 3 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW THE ROLE OF WOMEN Introduction 1. There is a general consensus that the state of the agricultural sector is both a determinant and a consequence of male migration from Lesotho to the Republic of South Africa (RSA). This annex will explore aspects of the performance and potential of thes sector from a generally overlooked perspective, that of the women and ifamilies left behind by the migrants, whose absences are pushing women to agricultural tasks to which they were unaccustomed. Human Environment 2. The population of Lesotho has "a low ratio of males to females, a high ratio of children to resident adults, a critical number of persons absent from the domestic labour force, high birth rates and the people [are] concentrated in rural areas, mainly in the lowlands..." 1/. The sex ratio of the de jure population is 92 males per 100 females whereas de facto the ratio is 75 per 100. Males play the dominant role in decisions about family size. They tend to leave their wives pregnant when they migrate, and it is stated that their concern that their wives might be adulterous contributes to their resistance to the spread of family planning information. Forty percent of the population is Roman Catholic and women's efforts at birth spacing are often frustrated by the "untimeliness" of their husbands' return home. There is a high incidence of venereal diseases due largely to the migrant's style of living and "Chronic vaginal infections often related to venereal disease are widespread, but many women in rural and isolated areas are unexamined, undiag- nosed and untreated." 2/ Increasing imports of food are required to feed the growing population. The labour force is growing considerably faster than the economy can absorb it. Taking into account that "a woman's chief value within the extended family system is to procreate children," 3/ these factors suggest the need for a more aggressive programme of population education and family planning. 3. Among the implications of the increasing population pressure on the land, are that (i) the number of households absolutely without good land or with inadequate access to it is increasing; and (ii) it is difficult to survive off the land under present cultural practices and the impetus to migrate is increased. No additional land is allocated as a household grows. 1/ Joint evaluation of the needs of children and women - UNICEF, 1976, p. 7 2/ UNICEF - Joint Evaluation of the Needs of Children and Women, 1976, p. 28. 3/ UNICEF, idem, p. 27 - 73 - ANNEX 3 Page 2 Approximately 50% of households have more than six persons, but only 21% of the fields were allocated after households had reached the size of six or more persons. 4. The rural population of Lesotho is settled in villages which are the basic political and administrative unit. "A village is defined in terms of a total area of administrative jurisdiction on which the local inhabitants have an equal right of settlement and access to land resources to support their lives ......... the most basic characteristic of a village has always been a common responsibility of carrying out various activities in society such as organised operations commonly known as "Matsema" in the ploughing, hoeing and harvesting of lands, and rendering other social services in all aspects of life where essential activities may be beyond the capabilities of individual persons. The equitable sharing of resources was and still is assured by communal rights of use of land and other basic resources." 1/ 5. The size of villages varies widely and may have between 10 and 200 households. They are widely scattered and many are completely inaccess- ible by road. The settlement pattern is generally virilocal, that is the relations of the male line group their dwellings together, and "is the embodi- ment of the basic principle that land should be used in the first instance for cultivation and pasture and that settlements should not take up valuable soil." 2/ The settlement pattern makes it difficult to service the population either because of difficult access or because the size of village makes the provision of services uneconomic. 6. Further implications of the settlement pattern for women and with consequences for agriculture include women's isolation from their own kin, to whom they often return when left by a migrant husband, neglecting his fields. The settlement pattern has also tended to lock some families into a situation of poor availability of land. Women acquire land rights only through marriage, and "if the husband dies leaving a widow with dependent children, she can expect to lose one of the three fields, once her children cease to be dependent, she can expect to lose another."3/ 7. The majority of households comprise a single family unit. On marriage, cattle paid as bride price goes in one direction and the bride in another. When a man has "sufficiently married" his wife, that is, paid a sufficient portion of the Bohali, he and his family then have the right to her labour and that of her children. Bride price is high (20 cattle, 10 small stock and one horse) and its payment is said to extend often up to 30 years. A substantial portion must be paid before the woman-s kin acknowledge paternity of their daughter's children. The need for cattle for bride payment is stressed as a major justification for owning many head. 1/ New Cooperatives Policy Statement to Donors Conference, Nov. 1979. 2/ P. Smit, Lesotho, a Geographical Study, p. 17, 1967. 3/ LASA Research Report No. 2, Lesotho's Agriculture, A Review of Existing Information, p. V-6, 1978. - 74 - ANNEX 3 Page 3 8. The level of housing in rural areas is generally adequate and equally distributed, each household having two small houses with clay floors, walls of unbaked clay brick or stone plastered with clay, and with thatched roofs. Thatch, which has become increasingly unavailable is substituted by wheat straw or other vegetable material, or depending on affordability, by corrugated metal roofing. The houses, designed for the low temperatures, have only one entrance and frequently no window. The major housebuilding tasks are done by men, and women undertake the plastering and periodic replacing of walls and the mainten- ance of the clay floors. While Lesotho's altitude and climate free it from many of the diseases common to tropical Africa, overcrowding, the cold, lack of ventilation, and the smoke from the hearth inside the house contribute to the prevalence of communicable and respiratory diseases. Near the houses there is usually a fenced kraal in which animals are kept, and a small garden. 9. The women's domestic tasks include beer brewing, which they sell to supplement their income (an activity which transfers money largely from men-s to women's pockets), weaving grass, working the household vegetable garden, plastering both inside and outside walls of their houses several times a year, collecting thatching grass, fuelwood and water. Compared with this, the men have little to occupy them in the village, apart from housebuilding and repair, repairing the animals kraal, and some undertake trade and crafts, e.g. cutting and selling meat and tanning hides. Households at Risk 10. Migration has given many rural households a relatively high income but at a high social cost: men are absent for long periods, women's burdens increase, and traditional cultural values are eroded. Women and children are prohibited from migrating and living with the migrants and migration has redefined the structure of family life. The average male who migrates to work in the mines spends 15 years or 35% of his working life away from home. About 20% of the migrants are at home on :Leave or between contracts at any one time. There is conflicting data on the periodicity of the return home of migrants, many of those working in the Orange Free State with easy access to Lesotho, return frequently (however, they may not reach their village). Many migrants are said to plan their arrival home to ensure a supply of labour on their farms at peak agricultural periods. How much farm work they actually do is uncertain, as frequently they are ill or injured and "........ returning miners come home to rest, not to work at farming. Sometimes the man rests for three months to a year while the woman carries on as usual." 1/ 1/ UNICEF, op. cit. p. 40. - 75 - ANNEX 3 Page 4 11. The only reliable data on migrants pertains to those recruited for the mines, and so it is not possible to state precisely the numbers of wives left behind or the number of depleted households,which is around 40% of all rural households in 1980. The out-flow of migrants falls into a pattern which can be related to the agricultural cycle. As shown in the following chart, 3600 1z Seasonal Migration Cycle o 4JO 32400 1800 t200 Jan Feb Mar April May June July Aug Sept Oct Nov Dec Senqu River Agricultural Extension Project: Technical Report on Labor Migration - Tesfa Guma, no date the peak out-flow is in January, when mucb of the summer planting has been done. It is consistently reported that whatever seasonal farming task might have been started by the migrants, its completion is left for the women. The problems for the households may well start much before the migrants are actually recruited since would-be migrants may go to the recruiting centres, and wait several weeks before getting on the list. During this period, they need money on which to live as it is only after recruitment that they get free board and lodging while waiting to be sent to RSA. - 76 - ANNEX 3 Page 5 12. An investigation of the impact of labour migration on Lesotho which included a survey of a sample of the wives left behind noted that "The wives were found to be a relatively young group. Their mean age was 29, with 65% of them being 30 years of age or younger, and only 5% over 45." 1/ Ninety percent of the wives in the survey were completely dependent on migrant remit- tances, a finding felt to apply on average to the country as a whole. On the question of the adequacy of the amount remitted, there was a greater dis- crepancy between the responses of the recipients and the senders than on any other questions. Most wives felt that the funds received were insufficient. In addition to being dissatisfied with the amount, they complained that they had no control over it, and they noted problems due to the irregularity with which funds were received. Considerable financial insecurity and an inabil- ity to plan and budget their funds efficiently is a common problem among migrant households. 13. It is appropriate here to describe briefly the system of payment to the miners (the only migrants covered by regulations but who represent some 80% of the total). Apart from the first and last months, 60% of their earnings are deferred and deposited in the Lesotho Bank where it earns interest. The remaining 40% of earnings are paid to the miner monthly in cash, to spend at will, and depending on the mine, he may have a regular deduction made and sent through the recruiting agency to his family. He may also ask the mine office to send home money for him. Not all mines agree to handle remittances and the miner then sends money by mail, by a friend or brings it himself to his family. The deferred pay is drawn usually at the end of the contract and on return to Lesotho by applying to the recruiting agency, with a voucher from the mine indicating the amount due and which is honoured either by the agency or the Lesotho Bank. The interest on the deferred earn- ings is drawn as a separate transaction. Withdrawing this lump sum in cash, the miner is subject to many risks that may limit the amount that actually reaches home 2/ (robbery, even inside the Bank, gambling, prostitution, wasteful consumption). 14. With regard to the access of the families of migrants to the defer- red pay, the survey of migrants found that there was some confusion of inter- pretation of the provisions of the regulations by which it was governed. 3/ it is claimed that the mine administrations discourage requests to remit funds as creating extra administrative work for them, and impose conditions which inhibit the migrants from sending money home. 1/ Elizabeth Gordon, The Women Left Behind, 1978, pp. 25-26. 2/ AIM, "Another Blanket" June 1976. 3/ Gordon, op. cit.: Employment (Deferred Pay) Regulations 1974 (legal Notice No. 57 of 1974) as amended by Employment (Deferred Pay) (Amendment No. 2) of Regulations 1975 (legal Notice No. 15 of 1975). - 77 - ANNEX 3 Page 6 15. Even if all hurdles are overcome and the money eventually reaches the families (married women receive furds from their husbands and mothers from unmarried sons), there are often restrictions on how it is to be used e.g., it is to go to the wife-s parents as "Bohali" (bride price); it is sent for a specific purpose such as a funeral, or school fees. In effect, the women, who manage 60-65% of the households, have limited control over the disposal of the migrant-s remittances on which as noted above, the majority of them are completely dependent. Enquiries made of mine recruits report that a very small number had any intentions of spending their earnings on agriculture. This attitude would naturally be reflected in the instructions to their households regarding the use of the money sent home. 1/ Agricul- tural productivity is clearly affected by the limited resources which the women control. It is also affected by the uncertainty as to when and how much money will be received which prevents them from making timely expendi- tures on their farms. Suggested ways of ensuring that the migrants' remit- tances actually reach their families in rural areas include a stronger role by the GOL in arranging the deductions, more accessible cash distribution points, clarification of the legal provisions, and better information to wives about them. It has also been suggested that the Deferred Pay Fund might be used to finance projects which will assist their efforts in agriculture and improve rural living conditions, e.g. providing health and medical care, which the wives claim are most urgent. 16. Women of migrant households also face a dilemma regarding the education of their children, whose labour may be important to replace that of male migrants in agriculture: boys and girls assist their mothers in the fields, and girls substitute for the household tasks which they must neglect. In addition, since boys have the responsibility for herding cattle, many do not enter school unitl adolescence, and thereafter attend spasmodi- cally, when they can be spared from agricultural tasks. They acquire only minimal numeracy and literacy skills and as a result, their best employment prospect is migration to RSA as unskilled labor. Little note had been taken of how this situation is aggravated by the increasing expenditure of migrants' earnings on purchasing cattle and expansion of herd size. Another implication of migration for agriculture which has received inadequate attention is that it robs boys of male farmer role image. Thus boys learn to devalue farming as a male occupation: the full-time male farmers that they see, tend to be weak, disabled or deficient males, who do not migrate; they see the migrants home on leave who are not interested in working on the land; and they cannot learn to respect farming through exposure to good farming practices. 1/ The average disposal of remittances is found to be: 5% on agriculture (rental for tractors or other means of ploughing, seeds, fertilisers); 11% on livestock; 57% on food and clothing. A.C.A. van der Wiel, Migrating Wage Labour; its Role in the Economy of Lesotho, p. 80, 1977. - 78 - ANNEX 3 Page 7 17. Households that receive money from migrants are relatively well off compared with the 25% of households who have no income from migration or other wage employment, and tend to have few or no resoures from livestock or subsistence farming. Their most significant characteristic is the absence of an able-bodied male to migrate to the mines. They are frequently small residual households headed by women, having few internal resources and little external support. There are some differences in the intensity of poverty experienced by these households according to their location, the southern lowlands being relatively poorer in agricultural resources than the north. The inaccessibility of the mountain areas which increases the cost of con- sumer goods, places an extra burden on them. Families without a share of migrant income have experienced a major reduction in real income and, having few resources to fall back on, they are particularly vulnerable to seasonal variations in the availability of food, in food prices, and in opportunities for supplementing their means through work parties for agricultural tasks and other sharing arrangements. Many of the traditional forms of social obligation are being eroded as households are increasingly under economic stress. Women in Agriculture 18. After their domestic duties, agriculture absorbs most of women-s time. A survey in the Senqu area observed that two out of three workers in the fields are women. In 1978, of 408,000 in the residual labor force in agriculture and the informal sector, 69% were females. It has been estimated that work force requirements can be as high as 150-165,000 women fully employed in the weeding and harvesting phases of the cropping cycle. "Hand labor operations make up 83% of total labor inputs during the growing season. Since these operations are traditionally 'women's work- in Lesotho, the vast majority of farm labor is supplied by the female members of the household." 1/ 19. While there was previously a clear division of labor by sex for agricultural tasks, absences of males for considerable periods have forced women to take over or assist with many male tasks. It is not unusual to see women assisting even with ploughing and planting which were the main agricultural tasks carried out by men. To inefficiencies of ploughing opera- tion caused by poor draught power (combining different animals, their poor condition, etc. noted in the livestock annex) must be added the inefficiency of managing the plough, "owing to the dearth of males, due to labour migration, the most varied combinations are to be found. Sometimes there is no leader, at other times boys of twelve or thirteen may have to take the plough and girls and women often have to be installed as drivers and ploughmen. The effect of this absence of men is serious and an important contributory cause of the low standard of Basotho agriculture." 2/ Much of the ox drawn equipment 1/ LASA - Lesotho's Agriculture, a Review of Exisitng Information, p. Oct. 1978. 2/ Ashton, H. The Basuto, Oxford lJniversity Press, 1976, p. 124. - 79 - ANNEX 3 Page 8 is cumbersome and heavy and so not used effectively by women, and the ploughing often takes so long that the optimal moisture conditions are wasted. Becasue of poor management of the plough, the soil is not ploughed deep enough, large clods of earth are not broken and consequently the beds offer the seeds a poor growing environment. Ploughing by tractor is of course more efficient but also more expensive, and the women left behind may be able to afford or be permitted to spend only limited amounts for ploughing. Also, they may not receive the funds remitted by the migrant in time to contract for services at the optimal time for ploughing. 20. Poor soil preparation and traditional cultural practices make for proliferation of weeds which compete with the crops. Weeding, a time con- suming task, is women's responsibility, one in which women usually assist each other and as three or four women work together, weeding an average field takes 1-2 weeks working every day from early morning till late afternoon. The peak weeding season is from December through February. Women are also respon- sible for harvesting, an activity whose demand for labour peaks from April through July. Quantities of grain are lost in the fields due to inefficient harvesting tools and methods, and due to the difficulty of transporting the harvest home. Some wheat is flailed by women shortly after reaping, but as there is considerable loss to rodents with current methods of storing threshed grain, the majority is stored in stooks till late June or July. The post harvest loss of grain is estimated at 10-15%. 21. Agriculture is also affected by the fact that many women are not permitted to make decisions. "......the overall pattern is that a farmer, even an absent migrant worker, retains the power of decision in respect to his farm, of which he is the legal head. When on a home visit, which occurs once or several times during the year, he decides over the use of his land...... If the husband is absent, the wife has to obtain his agreement before a farming operation can be initiated, to employ a contractor sharecropper, or to get a loan from the local credit union. Only when the woman is the legal head of a household can she make all decisions at appropriate times in regard to all farming operations." 1/ 22. One of the ways in which households lacking the appropriate mix of resources for efficient farming have coped with their situation is by share- cropping. The highest proportion of sharecroppers are households where males are absent, or where the farming head is a woman or an old man. They may have land but no tools (except hoes), and lack cash to hire help or buy seeds and lack strength to cultivate. The increasing landlessness also contributes to interest in sharecropping and a combination of increasing significance is that of the older woman with land but limited labour and other resources collaborat- ing with the young, landless household. l/ I. Janelid, Report on Mission to Lesotho. Promoting the Participation of Women in Rural Development, 1977, p. 8. - 80 - ANNEX 3 Page 9 23. A small garden is a standard feature of most rural households. These gardens have resulted from the agricultural use of the residential site. Originally, a household might have a plot of not more than five square meters for growing tobacco. Gradually the plot size has expanded and they have been put to growing vegetables and even cereals and tree crops. As part of the house site "they are not counted against the norm of three arable fields, regardless of their size. They cannot, therefore, be removed for the reason of having more than enough land for subsistence. Since the site is not required to be tilled, garden areas cannot be taken away for non-cultivation or neglect. Use rights do not lapse seasonally. They are the one area that can be legitimately fenced. Use rights are essentially permanent as long as residence is maintained. For practical purposes then, gardens and trees are the two instances of essentially individual ownership and control". l/ Historically, gardens were not found in land patterns of Lesotho, and so they are not recognised in traditional land law. These gardens are the responsi- bility of the women. In view of tihe increasing demands for women's labour on farms due to male absence, and since women's time and energy is not in- finite, they must reduce their conitribution either to their gardens, their household, or the farms. Half the gardens are said to be poorly maintained. Most of them are worked only with a spade, the seeds used are inferior, and fertiliser is seldom applied. Three quarters of the garden crop is used at home. Women also raise small animals such as poultry and pigs. In addition to the individual gardens, communal gardens with individual plots for sub- sistence food have also been encouraged and supported with financing and technical advice on their location and on gardening practices. Gardens, both the communal and the individual house plots, appear to have significant potential for improving the availability of food and for generating household income. 24. Added to their interest in producing the supply of food for the nation's nutrition, women have an obvious interest in food and nutrition from the cosumption angle. In 1976, a food systems study showed that some 80,000 or 1/3 of the nation's households had inadequate income to satisfy even their basic energy requirements. ".....crop failures, a growing popula- tion, underproduction, soil erosion, and natural disaster, had all worked to create an ecologically unviable environment and a new downward trend in nutritional status." 2/ This situation will be aggravated as prices rise and if agricultural productivity remains low. At 1977 prices, a baseline balanced diet for an adult would have cost 25 cents per day i.e., half the per capita income would be spent on food. A bare survival diet was costed at half that amount. Ten percent of attendance at health facilities are for nutrition related illnesses, with the proportion doubling in the hungry months of October to January. It has been estimated that cutting post harvest losses by a half could increase food availability by up to 14,000 tons. Reducing the population growth rate from 2.3 to 2.1% by 1985 would reduce the projected demand for food by 6,000 tons per year. 1/ LASA - Research Report No. 2 Lesotho-s Agriculture - a Review of Existing Information, Oct. 1978, p. V-10. 2/ LASA - Discussion Paper No. 6 - Anderson, Resource Guide for Nutrition Planning p. 5, Oct. 1978. - 81 - ANNEX 3 Page 10 25. The diets of many are dominated by maize and sorghum which, espe- cially in the rainy season, are inadequate for the protein calorie needs of young children. Twenty percent of children under five years old are chroni- cally malnourished, as are 5% of mothers. There is also a high rate of nutrition related obesity among women. The mountain regions are subject to serious periodic food shortages and food prices in the mountain regions are also consistently higher. 26. In the early 1960s, the Government of Lesotho initiated interven- tions out of which grew the Food and Nutrition Council (LFNC) established in 1978, together with its secretariat, the Food and Nutrition Coordinating Office (FNCO). The Council is coordinating an extensive interministerial programme of nutrition-related interventions, many of which include training and information components directed in large part at women, and rural house- holds. 27. Ten percent of the nation's food comes from food aid (valued at 15% of the investment in the Second Five Year Plan). The majority of food aid is used for food-for-work development projects. Feeder roads, foot bridges, dams and other water supplies, are among the village infrastructure built by labour intensive methods in which workers, the majority of whom are women (one estimate is that 98% are women), are remunerated by food aid equivalent to Rl per day. Village communities select the priority projects and their location (women have accorded high priority to road building). In return for 15 five hour working days, the volunteers receive a ration of maize, meal, pulses, flour, fish, etc. intended to supplement the diet of the worker and four dependents for a period of 28 days. The employment is distributed over one quarter of rural households at the rate of three work periods in a year. There has been much discussion about food aid as a dis-incentive to local agricultural efforts and regarding the social and economic appropriateness of requiring already overworked women to do food for work projects. In many ways, it is however, a boon to women and is benefitting 52,000 households directly. 28. Food aid also supports tree planting for village wood lots. These are of particular interest for women who have the responsibility for gathering fuel for domestic use and wood has become increasingly scarce. In addition to making fuel more accessible for women, wood lots will contribute to soil conservation and permit the dung and crop residues now used as fuel to stay on the land to improve its fertility thus increasing the potential return to women's agricultural labor. There is a need also to identify ways of using the available fuels more efficiently, e.g. by introducing better stoves or fuel bricks. Education and Training for Rural Living 29. Agricultural extension and training are dealt with in Annex 11. Here, we will discuss some aspects of education and training of particular relevance for women in rural areas in view of their demonstrated importance for agriculture and their stability as human resources compared to males who migrate. It is frequently reported that few women have a working knowledge - 82 - ANNEX 3 Page 11 of more than subsistence farming, yet as shown above, women both grow sub- sistence food in their house garden plots and act as resident managers of family farms. 30. In 1976, the Institute of Extra Mural Studies 1/ of the NUL which itself is involved with extension education and community development train- ing, catalogued the agencies and programmes offering adult education in Lesotho, many being related to improving agricultural productivity and being addressed to women. The lack of coordination between the several programmes was noted. An important source of practical education for rural people is the Lesotho Distance Training Centre (LDTC) which offers many programmes of interest to women and provides communications support and other services to programmes of various agencies. The community outreach programme started under the Training for Self-Reliance Project (TSRP) 2/ to "improve produc- tivity and the standard of living on the land" has responded to training needs identified by village committees (on which women are represented, though not always with an effective voice in village meetings). The objective of this outreach programme was to double the attendance of adults in non- formal education. CARE has in two years trained some 900 women as spinners and assisted them to buy spinning kits and organise cooperatives. These women are now processing 5% of the mohair clip. Expansion of their activities is limited by the amount of the clip they can acquire and by the demands of their household and farming responsibilities. Training in cooperative manage- ment and marketing are notably deficient. UNICEF supports several training projects of interest to women, including those of LDTC and CARE, and in collaboration with the Ministry of Agriculture, it supports village level nutrition centers, provides tools, seeds, and fellowships for young farmers clubs and has trained artisans for village improvements. At Farmers Training Centers (FTC) attendance of women at the short courses, among which there has been a preponderance of home economics courses, reportedly exceeds that of men. In the longer programmes for young farmers, both sexes are offered the same training. 31. Within the formal education system, activities related to the agri- cultural sector include the programmes of the Agricultural Training College (LAC), the inclusion of agriculture in the curriculum of the Teacher Training College, the introduction of agriculture as a subject in the JC exam, and the school gardens started in some 1,000 schools. Significant numbers of females are included in these programmes, 3/ though in some e.g., the LAC, females, after sharing a common first year, are trained in "rural domestic economy" rather than agriculture. In 1976, women represented 59% of those in educa- tional institutions. 1/ J.S. Bovelo, A Catalogue of Adult Education Agencies in Lesotho, NUL, 1976. 2/ World Bank Credit 497 LSO. 3/ The total output of LAC is absorbed by the public service. In 1980 they will number 121 women, 128 men, from LAC. - 83 - ANNEX 3 Page 12 32. Much of the training offered to women concentrates on household skills rather than on skills designed to increase agricultural productivity. One example of an effort that might have changed this, unfortunately trained women for an activity that was so sex stereotyped that it failed miserably because no efforts had been made to change attitudes: women were trained to drive tractors and received so much ridicule from the community that they quickly decided not to use their acquired skill. The need to train women as extension agents has been recognised. It is often claimed, however, that many females refuse to serve in the mountain areas where the only means of transport is by horseback. Again, this may be due to a mis-match between the origin of the trainee and the assigned destination. for instance, among one batch of trainees at FTC, many were from the lowlands (from the urban areas, with no experience of living on a farm) and unused to horseback riding. 33. In contrast to many other developing countries, illiteracy is not an impediment to the training of women for agriculture, as Lesotho has a high rate of literacy among women. Extension services should recognise that for women, farming is not an activity isolated from their other work, and integrate agricultural extension (technical, productivity related information) with social extension (nutrition, home economics, craft skills). 34. In the existing area based projects, women from farming communities have already been assuming responsibilities in field administration. This can be encouraged by rescheduling and relocnting farmer training in order to reach women: by taking the training courses to where women are, organising short courses which do not take them away from their households, and by making sure that information about training and job opportunities reaches women. In addition to the technical aspects of their training, they (and all other extension agents) require training in teaching and communications, sociocul- tural background, village understanding, repeated in-service training, and considerably more back-stoping by supervisers than has been customary. 1/ A potential new source of training for women in rural maintenance skills, and vocational skills related to agriculture is the proposed vocational education component of the Third Education Project now under discussion. Strategies for the Future 35. The best agricultural land is already under pressure from the increasing population and as the numbers of migrants may decline, locally generated resources will have to support an increasing proportion of the population. Control of population growth is therefore a priority. This requires, especially in rural areas, support for the activities of the Lesotho Family Planning associations, including surveys of knowledge, attitudes and practice of family planning, to guide further programme development. An intensive population education programme designed with respect for the Basotho culture, and directed at adult males, females and at youth in and out of school is required. 1/ LASA, unpublished report on Extension. - 84 - ANNEX 3 Page 13 36. In addition to the broad characteristics of extreme poverty and absence of the male household heads, the combination of variables in the profiles of the households experiencing most stress vary over time (and even by season) and by location. We have noted women's engagement in a wider range of agricultural tasks and the competing demands on their time and energy. Useful insights as a basis for more precise targetting of programs would be revealed from examining the farming households of a cohort of migrants, for factors such as their management decision process, cultivation methods and timeliness, division of labour, tools, equipment and other inputs, availability of extension advice, their cyclical needs for funds, and the returns from their farming efforts. Much of the basic data for such a study already exists among the several surveys that have been done in Lesotho. 37. The returns to women's efforts in agriculture are obviously being affected by the limitations on the flexibility of their operations, due to uncertain financing, and lack of control (of farm earnings, farming decisions and use of funds remitted). To improve the flow of funds to them, the facilities for sending and receiving remittances should be improved. In this connection, the potential of the Miners Deferred Pay Fund should be explored. As the regulations for implementing the provisions of the new Land Act are developed, any implications for women and households with absent males should be addressed, and their interests considered in any alternative strategy for managing the land. 38. Pressures on particular groups of households (including those headed by females) from rising prices and decreasing migrants earnings will affect the affordability of imported food, and demand better performance from the agricultural sector, and from women s efforts therein, quantitatively to improve food supplies and qualitatively to improve nutritional status. To this end the agricultural development strategy should include inputs (tools, seeds, extension advice, crop specialisation) to improve the productivity of the household gardens. As yields are increased above subsistence levels, outlets for marketing and distribution of food and better methods of preserva- tion and storage assume importance. Efforts such as UNICEF-s pilot village level project, to improve grain storage and solar drying of vegetables should be encouraged. Even for households which cannot reach a saleable surplus such improvements can enable a better carry over of crops between seasons. 39. There are no indications that food aid will decline in importance in the near future, either as a source for food for work projects, or as a source of supplementary foods. In the former case, the implications of the competing claims on women-s time and energy in each zone of their responsi- bility in addition to food for work projects, merits closer attention. Their voice in decisions as to priorities for these projects should be assured and they should not be expected to do the jobs without the proper tools. Also the possibilities of using the food to finance income earning projects, other than infrastructure, in which the women are interested, should be explored e.g., to set up a revolving fund which might finance fencing for gardens, poultry runs, agricultural tool and the like. - 85 - ANNEX 3 Page 14 40. Opportunities for education and training in which women are well represented and which is of potential benefit to agriculture were noted. The need for using more women as agricultural staff is increasingly recognized, but greater attention should be given to the causes of, and to finding remedies for, the reportedly high attrition rate among females employed in extension. One remedy might be to assign female staff to their home districts. The training of women as trainers for a range of skills for agriculture and rural betterment, including village technology, income generating activities, credit, marketing and cooperatives merits priority. A strategy of village cooperation activites would help the informal sector to create its own market. 41. Among the initiatives which the GOL has taken to recognise and support the substantial contribution women have been making, is the establish- ment of a national organisation for women, the "Basotho women in self-help." 1/ Its portfolio and staffing are still fluid but it will coordinate women's activities in rural areas and assist in directing services to them. The Report has discussed the substantial technical cooperation which has been available to Lesotho. The absence of a central coordinating women's organiza- tion had reportedly limited the flow of assistance to programmes for women: donors experienced difficulties in identifying specific women's projects to assist, and in the wider programmes they are financing women's interests were often overlooked. The Women's Bureau can remedy this and should be assured adequate funds to function effectively as a lobby for women. The needs in- clude (1) training: short term (overseas) fellowships for building up the capacity of the Bureau's staff, and funds for establishing a local training centre for women; (2) technical assistance as required for local training, for programme development, and communications support; (3) funds for contract- ing services of local organisations with appropriate technical competence (e.g. BEDCO, NUL) and stipends for local efforts; (4) transportation, etc. to improve the Bureau's outreach. 42. The Bureau proposes to establish a centre for training trainers giving priority to training for income generating skills. The skills should be carefully coordinated with market demands and as related to agriculture, should include food processing and storage (mentioned in para. 6.5), and they should focus on areas that will stimulate agricultural production, substitute for imports, and provide additional food supplies to the domestic market. 43. In collaboration with other agencies with technical competence e.g. BEDCO (Basotho Enterprise Development Corp.), The Bureau should promote research, development, and introduction of appropriate technology for improv- ing the efficiency of women's efforts in agriculture and in the household, and organise trained women to start up viable income earning activities. 1/ Basali ba Let'Solo la Iketsetse Lesotho: Prime Minister's statement to Parliament on 18th July, 1979. - 86 - ANNEX 3 Page 15 44. The role of the Bureau in providing a framework for assuring funding and technical support to local initiatives of women in rural areas should be clarified. In addition to its role in coordinating donor funds mentioned above, it might, inter alia have a voice in the selection of projects to be financed e.g., by an earmarked portion of funds of the Agricultural Develop- ment Bank; identify any legal impediments to financing women's investments; secure funds to match those that women have available for investment; and to provide a guarantee for women without collateral. 45. The Bureau should ensure that there is a two-way flow of information relevant for designing and monitoring programmes, that pertinent information about programmes and opportunities reaches all women in timely fashion, and that society at large is informed about the value of women's efforts, and their contribution to agriculture and food production. - 87 - ANNEX 4 LESOTHO AGRICULTURAL SECTOR REVIEW PHYSICAL ENVIRONMENT I. Physiography II. Soils III. Climate Rainfall Hail Temperature Frost IV. Vegetation - 88 - ANNEX 4 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW PHYSICAL ENVIRONMENT I. Physiography 1. Lesotho has three physiographic regions. The lowlands with an altitude of between 1520 and 1830 m. These lie in two areas, a narrow strip varying in width from three to 48 km. along the country-s western border, and the valley of the Senqu (Orange) River, which divides the high- lands of the south east. The rock formations of this area are sedimentary sandstones, clay shales and mudstones. The lowlands occupy 26% of the total land area. The foothills consist of small plateaux occuring between 1830 and 2130 m which are dissected basaltic platforms lying to the east of the lowland plain, and occupying 8% of the land area. The mountains, which lie between 2130 and 3000 m, are sedimentary beds capped by basalt; they occupy 66% of the total land area. There are two major catchments in the mountains feeding the Caledon river which flows west and the Senqu river which flows south. II. Soils 2. The soils have been described in broad terms by Bawden and Carroll (1968) and a number of subsequent surveys 1/ have laid the foundations for a well documented description of Lesctho's soil resource. Only two soils are described (by Bawden and Carroll) as being of reasonable natural fertility. These are the calcimorphic soils which are found on steep mountain slopes and the valley vertisols which tend to be intractable and have low permeability. All other soils are described as being of low natural fertility. Spokesmen for the Ministry's Conservation Division feel, however, that this assessment fails to distinguish between soils whose low fertility results from the maize monoculture - perhaps half the cropland soils - and those soils whose low fertility is natural or inherent. In either case, intensive ameliorative measures are required to provide a reasonable environment for good crop growth. 1/ For example, Soils of Lesotho, a System of Soil Classification for Interpreting Soil Surveys in Lesotho. The Office of Soil Survey, Conservation Division, Ministry of Agriculture, Maseru. - 89 - ANNEX 4 Page 2 A combination of soil type and slope has been made to formulate land capability classes which is given in Table 2.1. Table 2.1 ESTIMATED LAND CAPABILITY CLASSIFICATION BY ELEVATION ZONES FOR LESOTHO (1,000 acre units) Land Higher Mountain Foothills % of Capability Mountains Zone Zone Lowlands Total Total More than 6,500- 5,900- Less than 9,000 ft. 9,000 ft. 6,500 ft. 5,900 ft. I 30 30 o.4 II 10 40 200 250 3.3 III 50 75 275 400 5.3 IV 80 100 140 320 4.4 Subtotal 140 215 645 1,000 13.2 VI 820 900 80 600 2,400 31.8 VII 120 400 100 80 700 9.3 VIII 950 1,600 180 530 3,260 43.1 Villages etc. 2 18 30 110 160 2.1 Water Areas 10 16 5 7 38 0.5 Total 1,902 3,074 610 1,972 7,588 100.0 Percent 25.2 40.7 8.0 26.1 100.0 Source: LASA Research Report No. 3, An Economic and Policy Analysis of Soil Water Problems and Conservation Programs in the Kingdom of Lesotho by K.C. Nobe and D.W. Seckler September 1979. - 90 - ANNEX 4 Page 3 Classes I and II constitute land with few to moderate limitations for crop use. Only 3.7% of Lesotho falls in to this category. A further 9.7% has significant to severe limitations for crop use, whilst the remaining 86.6% is considered unsuitable for arable crop production. Classes II to IV include mostly soils of low fertility. 3. The Table indicates that there are approximately 400,000 ha of land which are considered in any way suited to cropping. The 1960 Census of Agriculture put the figure at 300,000 ha, and the Bureau of Statistics at 372,000 ha. During the past five years there has been an average of 296,000 ha under annual crops and approximately 89,000 ha of developed fields under fallow, indicating that virtually all land which has any potential for crop- ping has been developed. This includes 130,000 ha which require "very intensive land treatment" for safe use. A lot of this consists of the com- paratively fertile calcimorphic soils on mountain slopes which are now being used for summer wheat and peas with a minimum of conservation practice. 4. In the lowlands approximately 170,000 ha of cultivated land consist of alfisols known locally as duplex soils. In these there is a sharp differ- entiation between the A horizon, which is a brownish fine sandy loam, normally about 25 cm in depth, and a B horizon consisting of clay with a strongly developed prismatic structure. The A horizon tends to be acid and has a low cation exchange capacity. It is very hard when dry and has a low water hold- ing capacity. The B horizon varies in pH, with some lowland soils in the south exhibiting alkalinity and a high sodium content, and others in the central and northern areas exhibiting acidity; it has low permeability. These soils are intrinsically poor, dry out quickly in drought and, because of the impermeable B horizon, become quickly waterlogged. In southern areas, the B horizon's high exchangeable sodium percentage discourages root penetration to any depth. The sharp differentiation between the A and B horizons and the low permeability levels make these soils particularly prone to sheet erosion. 5. The majority of Lesotho's farmers have either to work infertile and difficult soils or use more fertile soils on steep slopes which pose problems of cultivation and require considerable protection. III. Climate 6. Lesotho is characterized by a sub-humid climate with warm wet summers and cold dry winters. There are four climatic factors which have a particular bearing on agricultural production: rainfall, hail, temperature and frost. Rainfall 7. Approximately 80% of Lesotho's rain falls during the six summer months (November to April) and it is this summer rain which supplies the moisture for the bulk of crops. The most favored northern lowland areas - 91 - ANNEX 4 Page 4 average 656 mm for this period (total 819 mm) whilst the southern lowlands and foothills receive 541 mm in the summer (total 725). The high mountains to the east receive as much as a total of 1300 mm. whilst the Senqu River valley may receive as little as 500 mm in the whole year. S. Rainfall commonly results from convectional storms and is erratic in its distribution. The severity of storms and the maldistribution of rain- fall increases from north to south so that annual crop production in the south is more prone to drought risk than is indicated by the overall figures. Annual variations in precipitation range from 50% above to 50% below the mean and account for much of the fluctuation recorded in crop production over the past 40 years. 9. Snow can fall at any time of the year in the mountains and covers the high areas throughout the winter. In the main crop areas snow provides insignificant amounts of moisture. Hail 10. The lowlands of Lesotho are particularly subject to hail and Schulze (1972) estimates an average of seven to eight hail storms per year. Certain belts of country are abnormally prone to severe hail storms and complete crop destruction is quite common. Temperature 11. Temgerature variations are largely governed by altitude with a decrease of 2 C for each 305 m increase in altitude. Mean temperatures for the lowlands during the summer growing season are 21 0C and 15 C respectively. In the lower mountain areas the mean summer temperature is 16 0C. Detailed records do not exist for the high mountain areas but at Oxbow (2400 m) the mean annual temperature is only 7.4 0C. Summer temperatures in the lowlands are adequate for a wide range of temperate and sub-tropical crops and winter temperatures do not preclude the growing of winter wheat and peas. In the lower mountain areas temperatures are too low for sub-tropical crops in summer (e.g. maize, sorghum, peaches) but are adequate for wheat and peas. Winter temperatures in the mountains are too low for winter crop production. Frost 12. The frost-free period determines the length of growing season for the frost-susceptible crops (maize, sorghum, beans and potatoes). In the lowlands there are an average of 241 days between last and first frost dates when the screen readings at 120 cm from the ground are considered, with an extreme low of 128 days. For plant growth the temperature at 5 cm is more relevant and at that level the average frost free period is 165 days and the extreme low is 63 days. For the lower mountain areas there are only records at screen level (120 cm) which give an average of 187 days between last and first frosts and an extreme of 74 days. The incidence of frost not only limits the range of crops which can be grown but also the varieties which can be used. - 92 - ANNEX 4 Page 5 IV. Vegetation 13. There is an almost complete absence of woody vegetation in Lesotho. This has been attributed to the low rainfall, low temperatures and the occur- rence of fire; all three factors may be involved. Small semi-wood shrubs have spread very widely during this century in the grasslands at medium and at higher altitudes. Two of these plants are not dissimilar, Chrysocoma tenuifolia and Aster filifolius; both adversely affect the grazing potential; small amounts of Chrysocoma are harvested for fuel. 14. Acocks (1953) and Staples and Hudson (1938) have provided descrip- tions of the vegetation, and additional descriptions of the broad ecological zones are provided by Youthed (1963) and by Bawden and Carroll (1968). 15. The distribution of plants is correlated with altitude, but is modi- fied by soil difference and by north and south facing slopes. Some species of grass have a very wide distribLtion, the agronomically valuable Themeda triandra is an example. In the high mountain area, thin stony soils are colonized by Helichrysum spp., Danthonia disticha and on basalt soils by Festuca rubra and F. caprina. Two grasses form very large tussocks along stream lines: at the higher altitudes Danthonia macowanii and at medium altitude Pentachistis basutorum. 16. Earlier workers have described the grassland on north facing slopes and at lower altitudes as Themeda triandra dominant; Staples and Hudson (1938) suggest that this type occupied 56% of the mountain area. It would seem that Themeda is far less abundant than these workers suggest; in many areas other grasses including Microhloa caffra, Eragrostis chloromelas, E plana Artistida spp. and Hetepopogon contortus as well as dense stands of shrubs are very common. On shelved rocky slopes Hyparrhenia hirta and Cymbopogon excavatus are common; the former is an important thatching grass and areas are reserved by villagers for this purpose. Elyonwus argenteus occurs widely Themeda triandra also occurs in the foothills and some lowland areas; in these areas sub-tropical and temperate grasses and forbs occur together and include Cynodon dactylon, Setaria sp, Poa pratensis, Taraxacum officinale Erodium sp and Senecio spp. The agro-ecological zones have been differentiated on the basis of altitude, and the following descriptions are familiar to, and widely used by, technical staff: - 93 - ANNEX 4 Page 6 Table 2.2 - Agro-ecological Zones Zone Altitude Area Upper Mountain > 2600m (>8500 ft) 7,698 km2 Lower Mountain 2130-2600m (7,000-8,500 ft) 10,415 km2 Mountain Village 1830-2130m (6,000-7,000 ft) 2,025 km2 Foothills 1830-2130m (6,000-7,000 ft) 2,469 km2 Lowland 1520-1830m (5,000-6,000 ft) 5,509 km2 and additionally 2 Orange (Senqu) River 1830 m (6,000 ft) 2,473 km - 94 - ANNEX 5 LESOTHO AGRICULTURAL SECTOR REVIEW LAND TENURE Traditional Tenure The Land Act 1979 Land Tenure as an Issue in Development - 95 - ANNEX 5 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW LAND TENURE 1. Lesotho's customary laws regarding the use of land and the popula- tion's adherence to these laws have an important influence on agricultural production and development prospects. The subject has been well documented elsewhere, 1/ so this annex will describe only the essential aspects of customary land tenure and the Land Act 1979, which introduced modern forms of title. Customary Tenure 2. No Mosotho could claim outright ownership of land, which was more or less communally owned by the Basotho Nation and vested in the King (the former Paramount Chief). The latter's authority to distribute land, a profound source of political authority, was delegated through the chiefly heirarchy to the village headman level. Detailed rules governing land allocation and its administration were found in the codified "Laws of Lerotholi". 3. A prior condition for obtaining land rights was the need to establish residential rights. These were available only to adult males who were married, who paid taxes, who accepted the local chief and who, as citizens of Lesotho, accepted the King's authority. Members of the household of an eligible adult male who thus obtained residential rights attained rights in turn only through that eligible male and his access to a residential site. 4. Having established rights to residence, an applicant then became entitled to hold up to three arable fields depending on his subsistence needs. Private rights to the produce of arable land were seasonal. They ceased at the end of the growing season and were surrendered to the communal grazing rights of livestock owners whose stock were permitted to graze whatever was left or growing on the field (Mohoang). While changing customs increas- ingly allowed the crop farmer to also cut and store crop residues for his own use, the seasonality of arable land rights led to the removal by one means or another of post-harvest vegetative cover from arable land, including dung which was collected as fuel. Land which was left uncultivated for more than three years could be revoked by the chief for reallocation (in practice the act of revocation could take four or five years). While entitled to three fields depending on land availability, retention of this number depended on household subsistence needs, and reduction in "need" could lead to loss of one or more fields. Women were particularly vulnerable in this regard, as divorce or abandonment could lead to loss of access to land. 1/ For example, a good overview is provided in the Lesotho Sector Analysis Project publication, Lesotho's Agriculture: A Review of Existing Information, LASA Research Report No. 2, October 1978, Chapter V. - 96 - ANNEX 5 Page 2 5. Private grazing rights did not exist. Grazing rights were communal in character, although access to different grazing resources, ranging from open to reserved grazing, depended on the degree of stock supervison. An individual's exercise of grazing rights depended, of course, not only on the necessity of having residential site qualifications but also on the necessity of having livestock, which could require substantial investment. There were no limits to the number of animals owned and grazed. One could accumulate large herds of cattle, for instance, and manage them readily through mafisa, the custom of lending out cattle to others. 6. Gardens and trees flourish around most residential sites. They could be fenced, and although the rights involved were de facto rights and not specifically recognized in traditional law, the use rights to gardens and trees were permanent, unlike the rights to arable fields. Whilst the areas involved were small, the unique status of this land bestowed on it potential for essentially private development of an agricultural/horticultural character. The possibilities for garden development deserved to be given more attention. 7. A practice that did not seem to have a defined place in the system was share cropping, which nevertheless was common. Farmers owning oxen offered ploughing and planting services to those in need of them in return for a share of the crop. This form of exchange of services overcame the constraint that under customary law allocated land was not mortgagable or transferable. For example, there was no land rental market. 8. Finally, rising population was rapidly depreciating the use value of traditional land rights, and there had been a growth in the number of landless households; moreover, despite the criterion of subsistence, the distribution of land was not wholly egalitarian (Annex 7, paras 4 and 5; Annex 1, paras The Land Act 1979 9. The above account of customary tenure is written in the past tense to emphasize the changes that have taken place, or may take place, under the Land Act 1979. Although drafted initially to serve primarily the needs of urban land development, the Land Act 1979 contains important provisions affecting agricultural land. The main provisions both increase the tenure security of land held under customary law and establish a form of state granted or issued lease title for land used for agricultural purposes. More generally, the Act establishes firmly the primacy of the legislature and government in guiding the future evolution of land tenure rights and their administration. 10. The Act increases the security of existing allottees' tenure to arable fields by (a) specifying that their exercise of usufruct rights should normally extend for their lifetime, and (b) introducing formally, rights of inheritance of allocations, with priority of inheritance being given, in order, to the allottee's designated choice (including even single females), a direct male descendant, the designated choice of the deceased allottee's family, or if none of the above apply, reversion of the use right to the State. Many Basutho who will not in future qualify as heirs, may be excluded from land rights in the future, unless they acquire leases by grant or by purchase. - 97 - AINEX 5 Page 3 11. The Act also provides for the granting of agriculture leases. A lessee will be entitled under specified conditions to the exclusive possession of the land leased, to dispose of his interest, to encumber the land by mortgage, and to sublet. Land suitable for lease will be identified by the joint action of the Ministers of the Interior and Agriculture in declaring an area of agricultural land a "Selected Agricultural Area", the primary purpose being to foster the development of this land by "modern farming techniques." 12. While the Act provides a detailed legal framework for future enforce- ment, there remain many details or regulations to be worked out before much action can result: for example, decisions on the term of an agricultural lease, on how communities might participate in determining Selected Agricultural Areas, and on how to treat recalcitrant allottees who might not want to hold lease title to their lands. Until these details are worked out and especially until Government has clarified its ideas about cooperative forms of agricultural production, it is difficult to comment in detail on the likely consequences of the Act in relation to the agricultural sector. Land Tenure as an Issue in Development 13. Three major issues that have been raised in connection with the customary tenure system are: (a) a perceived insecurity of tenure on arable land; (b) a possible disincentive for allottees against raising land produc- tivity or growing high value or cash crops - arising from the subsistence criterion used to determine the quantity of land needed by a household; and (c) the general question of overstocking that is induced by communal grazing rights, both in pastoral and in arable areas. Observers have expressed a variety of opinions on the first two issues. Critics of the system worry about the disincentive to invest in land and in land improvement. Defenders point empirically to the infrequency of actual allottee displacement and the growth of cash cropping of winter wheat and beans. Observers show more coherence of opinion on the third issue: allegations of overstocking have been made over many years; the difficulty has been in finding a solution that does not involve dismantling the tenure system itself. 14. The introduction of a new, modern form of title will help to resolve some of these problems - while creating others. Assuming all agricultural land is brought eventually under the State lease system - and the intent seems to be to do this gradually - use of the provisions of the Act relating to "agricultural" land must lead to a gradual retirement of customary titles. Since the lease provisions can apply to pastoral as well as to arable land, one can envisage the prospect of achieving internally imposed discipline on soil conservation practices, stocking levels, and use of crop residues. These consequences are favorable. Others might not be. There is the risk that many more Basutho will gradually lose the kind of social security offered by customary land rights as a consequence of this move towards modern forms of title. Evaluation of these effects is complex because the experience of all societies reveals that Lesotho cannot "develop" without sacrificing in the long run some of the value traditions. Obviously, if the security afforded by land is gradually lost to many Basutho, something will have to be found to replace it - especially productive wage employment. 15. Further details on land tenure and its effects on agricultural production are given in several of the other annexes, notably Annex 7. - 98 - ANNEX 6 LESOTHO AGRICULTURAL SECTOR REVIEW COMMERCIAL SERVICES AND MARKETING Table of Contents Page No. I. THE PRODUCE MARKETING CORPORATION ......................... 1 A. Background ............................................... 1 B. The Impact of PMC on Prices and Crop Sales .... ......... 2 Maize ..... 2 Sorghum ..... 2 Wheat ..... 3 Beans ... 3 C. Agricultural Input Distribution ........ ................. 4 D. The Present Position of PMC ....... ..................... 4 E. Reasons for PMC's Difficulties ...... ................... 4 II. CO-OP LESOTHO .............................................. 6 III. LIVESTOCK MARKETING CORPORATION ................ 6 IV. PRIVATE TRADERS ............................................ 7 V. CREDIT ............................................... 8 - 97 - ANNEX 5 Page 3 11. The Act also provides for the granting of agriculture leases. A lessee will be entitled under specified conditions to the exclusive possession of the land leased, to dispose of his interest, to encumber the land by mortgage, and to sublet. Land suitable for lease will be identified by the joint action of the Ministers of the Interior and Agriculture in declaring an area of agricultural land a "Selected Agricultural Area", the primary purpose being to foster the development of this land by "modern farming techniques." 12. While the Act provides a detailed legal framework for future enforce- ment, there remain many details or regulations to be worked out before much action can result: for example, decisions on the term of an agricultural lease, on how communities might participate in determining Selected Agricultural Areas, and on how to treat recalcitrant allottees who might not want to hold lease title to their lands. Until these details are worked out and especially until Government has clarified its ideas about cooperative forms of agricultural production, it is difficult to comment in detail on the likely consequences of the Act in relation to the agricultural sector. Land Tenure as an Issue in Development 13. Three major issues that have been raised in connection with the customary tenure system are: (a) a perceived insecurity of tenure on arable land; (b) a possible disincentive for allottees against raising land produc- tivity or growing high value or cash crops - arising from the subsistence criterion used to determine the quantity of land needed by a household; and (c) the general question of overstocking that is induced by communal grazing rights, both in pastoral and in arable areas. Observers have expressed a variety of opinions on the first two issues. Critics of the system worry about the disincentive to invest in land and in land improvement. Defenders point empirically to the infrequency of actual allottee displacement and the growth of cash cropping of winter wheat and beans. Observers show more coherence of opinion on the third issue: allegations of overstocking have been made over many years; the difficulty has been in finding a solution that does not involve dismantling the tenure system itself. 14. The introduction of a new, modern form of title will help to resolve some of these problems - while creating others. Assuming all agricultural land is brought eventually under the State lease system - and the intent seems to be to do this gradually - use of the provisions of the Act relating to "agricultural" land must lead to a gradual retirement of customary titles. Since the lease provisions can apply to pastoral as well as to arable land, one can envisage the prospect of achieving internally imposed discipline on soil conservation practices, stocking levels, and use of crop residues. These consequences are favorable. Others might not be. There is the risk that many more Basutho will gradually lose the kind of social security offered by customary land rights as a consequence of this move towards modern forms of title. Evaluation of these effects is complex because the experience of all societies reveals that Lesotho cannot "develop" without sacrificing in the long run some of the value traditions. Obviously, if the security afforded by land is gradually lost to many Basutho, something will have to be found to replace it - especially productive wage employment. 15. Further details on land tenure and its effects on agricultural production are given in several of the other annexes, notably Annex 7. - 98 - ANNEX 6 LESOTHO AGRICULTUIRAL SECTOR REVIEW COMMERCIAL SERVICES AND MARKETING Table of Contents Page No. I. THE PRODUCE MARKETING CORPORATION ......................... 1 A. Background . ............................................ 1 B. The Impact of PMC on Prices and Crop Sales .... ......... 2 Maize . ............................................ 2 Sorghum ............. .............................. 2 Wheat ....................................... 3 Beans . ............................................. 3 C. Agricultural Input Distribution ........................ 4 D. The Present Position of PMC ............................ 4 E. Reasons for PMC-s Difficulties ......................... 4 II. CO-OP LESOTHO ........................... 6 III. LIVESTOCK MARKETING CORPORATION ................ 6 IV. PRIVATE TRADERS .......................... 7 V. CREDIT .................... ....... 8 - 99 - ANNEX 6 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW COMMERCIAL SERVICES AND MARKETING I. THE PRODUCE MARKETING CORPORATION A. Background 1. The Produce Marketing Corporation was established during 1973 to replace the marketing services offered by private traders who had been solely responsible for produce purchases until that time. PMC-s main functions were outlined as being: (a) to advise the Minister in all matters related to the production, preparation, processing and marketing of agricultural products and the marketing of agricultural supplies; (b) to regulate and control the marketing process for commodities and products as indicated by the Minister; (c) to buy commodities and products and to arrange for their sale; and (d) to secure domestic supply in relation to demand so as to stabilize as far as possible consumer and producer prices throughout the year and between different crop years. The act of establishment was followed by a series of official Regulations in 1975 and 1976 giving PMC monopoly control over the marketing of beans, peas and wheat. These were followed by the Agricultural Marketing (Price Control Amendment) Regulation of 1976 which fixed the buying price for maize, sorghum and wheat. Whilst there are indications that there are some violations of government regulations with regard to the export of beans, it appears that a combination of export restrictions, fixed prices and fixed margins has effectively halted the previous pattern of agricul- tural trade and made PMC the principal marketing channel. 2. PMC started operating in June 1974 with a capital grant of R 30,000 and R 22,500 to fund its 1974/75 running costs. It was provided with R 40,000 in subsequent years for administrative expenses, but this proved inadequate and PMC had to cover its costs through special bank overdrafts, which were also the source of its trading funds until 1978 when it was provided with an interest free loar. of R 500,000 by the Ministry of Finance to cover its crop purchasing activities. - 100 - ANNEX 6 Page 2 3. PMC's method of buying has been through a network of licensed traders who are appointed as official PMC agents. The largest of these were Co-op Lesotho and the Thaba Bosiu Project authority. Others were traders who had previously bought produce in their own right. B. The Impact of PMC on Prices and Crop Sales 4. The introduction of gazetted prices and a monopolistic marketing agency has had a varying impact on crop sales and prices and these can best be dealt with on a crop by crop basis. Maize 5. Lesotho is a maize importing country and off-farm maize sales in the past constituted an informal credit system whereby traders bought maize from farmers when the latter required cash and sold it back to them at a later date. Analysis of purchase and sales data indicates that if the trader held maize for less than three months he made a modest profit, but that beyond that period he tended to lose money and provide a subsidized credit and storage service to farmers. As locally purchased maize acted as a re- placement for imported maize meal, the prices paid by traders were related to maize meal retail prices and not to South African producer prices. Between 1968 and 1974 traders paid local producers an average of 20% more than the South African producer price. With the formation of PMC and the regulation of prices, the maize crop was viewed as an export crop and the price was fixed at approximately 10% below the South African producer price. This led to a halt in maize sales to either PMC or private traders between 1975 and 1978 and sales now appear to take place between individual producers and consumers. In 1979 a higher price for maize was offered and PMC purchased 110 tons. It lost an average of R 7 per bag on this transaction and could not continue with such an exercise on a self-sustaining basis. The main impact of PMC on maize marketing has been to stop the credit and storage function of private traders and to push all sales in to the informal sector. Sorghum 6. Little sorghum is either imported or exported from Lesotho and it would appear that supply and demand are in approximate equilibrium. Prior to 1974 the trade in sorghum was similar to that in maize with short term buying and reselling by traders. During the period 1968 to 1974 the price offered by traders remained consistenly around R 12 per ton above the South African floor price. In 1974/75 the price was gazetted at the South African floor price and traders were only permitted a 50 cent mark-up margin per bag. As a result there were no sales to PMC until 1979 when a small quantity was handled on which PMC made a loss. Private traders have been unwilling to handle at the margin permitted and all sorghum marketing is now carried out on an informal basis. - 101 - ANNEX 6 Page 3 Wheat 7. Two wheat crops are grown in Lesotho. The summer crop which is cultivated in the highlands and foothills is largely used as a food crop with a small quantity being sold for cash. Winter wheat is grown in the lowlands as a cash crop. Traders used to buy the crop through their rural depots, estimate the potential grade of the uncleaned sample and provide bagging and transport to the nearest South African Wheat Board agent in the Republic. The prices paid afforded the trader a margin of between 18 and 27% to cover assembly and transport costs. During the period 1968 to 1974 traders handled and exported an average of 5,821 tons of wheat per year, purchased from farmers. 8. PMC entered the wheat market in the 1975 season and arranged over- draft facilities for the purchase of 8,000 tons. In the event, untimely rains spoiled the crop and only 43 tons were purchased. During the 1976 season, PMC management could not agree with the Board of Directors on an official price because of the higher margin (R 32.81 per ton) proposed by management, as compared with the traders' normal margin of R 18 per ton. Finally it was agreed that traders could buy and sell directly to the South African Wheat Board and about 820 tons of wheat were handled. 9. During the following seasons wheat production and marketing was dominated by the activities of the Cooperative Crops Production Program and prices were fixed in relation to that program's production costs. Wheat purchases from CCPP in 1977 totalled 2,240 tons, but sales by local farmers were down to 564 tons. During 1978 the price was set according to CCPP's costs, at above the SAWB price so that PMC was again involved in a loss on its wheat sales to a South African milling company. 10. Five years of PMC participation in wheat marketing has apparently resulted in a sharp decline in the amount of wheat being sold by farmers through formal market channels to an average of one tenth of the pre-1974 figure. Beans 11. Haricot beans are grown in the lowlands as both a subsistence and a cash crop. There are no gazetted prices in South Africa and traders in Lesotho used to deal directly with South African canners. Between 1968 and 1974 the price paid to producers in Lesotho was very similar to that paid to producers in the Republic, with a margin of about 6 cents per kg between the producer price and the canner-s price to cover assembly and transport costs. 12. In 1975, PMC supplanted the private trade in beans and prices were gazetted. The official price was set at 5 cents higher than the canner's price and resulted in heavy selling by farmers and a large accumulation of unsold stock by PMC. The situation was rectified in the following year and PMC was able to sell its stocks and cover its costs. During the next two - 102 - ANNEX 6 Page 4 years, PMC was not able to compete with the producer prices in the Republic because its handling costs have been higher than those of the private traders. In consequence, PMC channels have been by-passed and bean sales have taken place across the border, leading to a declining volume handled by PMC. In 1979 there was considerable confusion over the announcement of the gazetted price leading to delays in buying and a reduced quantity of beans coming on to the market. 13. Apart from the artificial boost given to bean sales in its first year of operation, PMC has not been able to maintain a viable trading position in this crop and this has had a depressing effect upon sales in Lesotho. 14. Overall, PMC has not been able to function on a viable basis as a monopoly buying institution for Lesotho's main crops, and its activities over the past five years have not lbenefitted either producers or the national economy. C. Agricultural Input Distribution 15. The sale of fertilizer and seeds was the prerogative of Co-op Lesotho and private traders until 1978 when PMC entered the field using the Thaba Bosiu project network of outlets and the stores built under the Basic Agricultural Services Project. In the Thaba Bosiu area the turnover has been adequate to cover the costs, but in other areas there have been competing outlets leading to a low level of sales by PMC. This has resulted in the establishment of uncompetitive price levels, lowered turnover and trading losses. D. The Present Position of PMC 16. During the last half of 1978, the Government decided that PMC's performance did not warrant its continuation as a para-statal organization and decided to absorb it into one of the divisions of the Ministry of Agri- culture before Apirl 1, 1979. This absorption did not in fact take place and PMC has continued to function as an autonomous body. It has faced considerable financial problems as a result of this period of indecision and it now awaits the Government's plan on how it will fit in to the new marketing structures which are currently under discussion. E. Reasons for PMC-s Difficulties 17. In many African countries, marketing organizations have been established to overcome problems faced by farmers as a result of unstable prices, inadequate marketing outlets and exploitative middlemen. In Lesotho, - 103 - ANNEX 6 Page 5 these factors were not as obvious as in other areas. As a result of Lesotho-s unique geographic situation, farm prices were largely stabilized by the con- trolled pricing system in South Africa which governed both the import and export prices which could be offered in Lesotho. In the case of beans and wheat, the pricing and buying system in the Republic precluded the possibility of any profitable speculative buying and led to constant in-season prices. In the case of maize and sorghum, the prices offered by traders varied over the season as a reflection of storage costs but remained in a stable rela- tionship at about 20% higher than producer prices in South Africa. 18. A wide network of small trading stores in the rural areas which carry on a range of trading activities provided farmers with outlets for their produce within reasonable distance in the lowland and foot hill areas where the bulk of marketed produce is grown. These traders did not rely on crop handling for a major part of their income and were therefore able to deal in small quantities of produce which would be uneconomic for a single purpose organization to purchase. With an increasing population having to live off a fixed area of arable land, the surpluses of staple foods coming on to the market are unlikely to increase, which will present any monopo- listic produce marketing organization with serious problems of economic crop collection in small quantities from isolated areas. 19. A detailed study of past records of traders prices does not indi- cate that excessive margins were made on crop handling activities. An average profit of 10-15% on maize and sorghum allowed them to pay prices relatively higher than those which were offered by PMC, which have now effectively halted the formal marketing of these two crops. In the case of wheat and beans, the intervention of PMC has depressed the volume coming on to the market which would indicate that the pre-1974 prices offered by traders were comparatively more favorable than those offered by PMC, and suggests that they were not particularly exploitative. 20. It appears that PMC was set the task of competing with a well developed, well adapted and experienced system against which a specialized, monopolistic organization was at a constant disadvantage. This led to PMC's failure to stimulate production or offer higher, viable prices to farmers. Volume of Crops Handled by PMC Beans Peas Wheat Sorghum Maize …-------------------------- tons ---------------------------- 1975/76 4,253 215 43 Nil Nil 1976/77 3,184 223 361 Nil Nil 1977/78 1,617 N.A. 531 1/ Nil Nil 1978/79 300 100 800 1/ 270 110 1/ This is wheat purchased from farmers and does not include wheat stored by PMC on behalf of CCPP. - 104 - ANNEX 6 Page 6 II. CO-OP LESOTHO 21. Co-op Lesotho's formal name is the Finance and Marketing Cooperative Union of Lesotho (FMCUL) which was established by Government to take over the affairs of a cooperative banking union and cooperative federation that were liquidated in 1963. The only active member is the Government of Lesotho, which nominates its management board, although it is hoped eventually to widen membership to include cooperative unions and national savings societies. 22. Coop Lesotho's objectives are to promote the cooperative movement generally. Its operations cover: (i) financing of cooperative societies; (ii) wholesaling, marketing, and transport services; (iii) agricultural marketing, supply, manufacturing and processing; (iv) audit and supervision; (v) banking. It operates a network of 33 depots throughout the country and in 1978/79 supplied the farming community with agricultural inputs, including 70% of all fertilizer, animal feeds, implements, foodstuffs and building materials having a total sales value of R1.85 million. Its purchases of these same products totalled R1.60 million. In addition it purchased, as agent for PMC, RO.3 million worth of beans and peas. 23. Its banking activities comprise crop loans given to some 200 qualifying thrift and credit societies and current accounts with 12 societies. 24. Future plans for Coop Lesotho provide for a possible transfer of its banking facilities to the Lesotho Agricultural Development Bank and for Coop Lesotho to cease providing services to Thrift and Credit Societies and to transfer this responsibility to the Credit Union League or to a newly formed Secondary Society. This would leave Coop Lesotho free to concentrate on supplies, materials, marketing, and housing cooperatives. 25. Its main problems are inadequate working capital and, in recent years, competition from PMC. It made a loss of R106,500 in 1978/79 on its consolidated trading and profit and loss account. III. LIVESTOCK MARKETING CORPORATION 26. As used to be the case with crop marketing, private traders, mainly of non-Basotho origin, for a long time helped to market Lesotho's livestock and livestock products. The main export destination was South Africa. This - 105 - ANNEX 6 Page 7 highly visible foreign domination of trading channels and a belief that farmers were not obtaining adequate prices for their products were the major factors behind Government efforts early in the -70s to introduce public- sponsored competition in the form of parastatal trading organizations. 27. Government established the Livestock Marketing Corporation (LMC) in 1973. The Corporation is responsible for enforcing quality standards in marketing and processing activities associated with livestock, for exploring new marketing opportunities, and for formulating pricing policies to benefit producers. 28. The Corporation has not fulfilled its mandate satisfactorily. On one occasion, it attempted to bypass South African auction markets for wool and mohair in an attempt to obtain higher prices by dealing directly with buyers. It misjudged market conditions and producers lost heavily. Delays in LMC payments and other administrative difficulties also dissatisfied producers, and it gradually lost their confidence. It then ran into financial difficulties. The Corporation has been inactive for about two years, pending passage of legislation to dissolve it. IV. PRIVATE TRADERS 29. Private trading firms, such as Frazers, have long provided consumer and producer supplies to many parts of Lesotho via a network of branch stores. In the past they also bought farm produce such as grains from farmers, stored it, and sold it back when farmers' own supplies ran low. They thus served the internal marketing needs of rural Lesotho (paras. 5-12 and 17-20). But mainly they provided a channel for exports of wool and mohair and the import of finished goods. 30. In addition to these established trading houses, small-scale traders exist throughout Lesotho's villages, supplying groceries and other common consumer items. The Thaba Bosiu Project engaged entrepreneurs such as these to add fertilizers, seeds, and insecticides to their stocks and thus act as the final delivery system for agricultural inputs in their immediate area. By 1976, for instance, about 60 Village Distribution Points (VDPs) had been established within the Project area using existing or supplemented storage facilities in the villages. In 1976/77, these VDPs distributed 1,000 tons of fertilizer, 60 tons of grain seed, and 35 tons of potato seed. The VDPs were not without problems. There was some embezzlement, and consequently they needed considerable bookkeeping and supervision. But they offer a private sector example of how input supplies can be distributed down to village level at relatively low cost while at the same time providing employment to villagers. - 106 - AlNEX 6 Page 8 V. CREDIT 31. Agricultural credit is in the process of being institutionalized. The Lesotho Agricultural Development Bank (LADB), which was established under Act No. 5 of 1976, had its first Board meeting in March 1980. As soon as the Board has settled on various operating policies, LADB will commence official lending. Prior to this, LADB had operated a loan scheme in support of GOL's interest in the CCPP. 32. An agricultural Credit Unit has been set up in the Ministry of Agriculture to disburse about Rl.0 million for short- medium- and long-term lending under BASP. This Unit commenced its lending operations in March 1980 and will help farmers to finance purchases of tractors, implements, oxen, ox-drawn equipment, and seasonal inputs. According to the terms of BASP, as soon as the Unit has fully tested its lending procedures, it will be transferred to LADB. 33. In the past, commercial banks have provided most of the sector's credit needs, mainly for organizations involved in supplying farm inputs and purchasing farm produce. Fortunately, several other current and previous credit programs have provided a variety of experience with smallholder lending. The main lenders in these programs have been Coop Lesotho, the Agricultural Development Fund administered by the Ministry of Agriculture, the area-based projects like Thaba Bosiu, Khomokhoana, Senqu and most of the country's 52 credit unions. 34. Because of the prevalence of off-farm earnings in the rural economy and the small-scale, subsistence orientation of its crop farming, credit has not been viewed as a major constraint to sector development. This situation may change, however, if the land tenure reforms stimulate investment in land (Annex 5) and if agriculture becomes more specialized and commercially oriented (Annex 7). - 107 - ANNEX 7 LESOTHO AGRICULTURAL SECTOR REVIEW THE PRESENT SITUATION AND FUTURE PROSPECTS IN CROP AGRICULTURE Table of Contents Page No. I. Factors Affecting Output .................................. 1 The Physical Environment. 1 Land Availability and Distribution. 1 Area Cultivated. 3 Crop Production and Yields. 4 Is There a Labor Shortage? ........................... 11 Economic Factors ...................................... li The Geographical Situation .......................... 14 The Impact of Major Constraints on Crop Farming ...... 15 II. The Potential for Improved Production ..................... 16 The Evidence from Agricultural Research .... .......... 16 Maize .......................................... 18 Sorghum ........................................ 18 Wheat ........................................... 18 Beans ........................................... 19 The Evidence from the Area Based Projects .... ........ 19 The Evidence from Better Farmers ..................... 21 III. Government Interventions to Improve Agricultural-Production 26 Small Scale Projects ........ ......................... 27 The Thaba Bosiu Project .............................. 28 The Senqu River Project ....................... 30 The Leribe and Khomokhoana Projects ...... ........... 31 The Area Based Projects - A Post Mortem .... .......... 32 The Basic Agricultural Services Project .... .......... 33 Irrigation . ........................................... 36 The Land Act ........... ............................. 37 The Farmers' Conference .............................. 38 The Third Five-Year Development Plan .... ............. 40 IV. Strategies for the Future .................................. 41 The Near Future (1980-85) ............................ 42 The Better Farmers .............................. 42 The Poor ........... ............................. 43 The Basic Agricultural Services ..... ............ 44 Preparing for the Future ........................ 45 The Longer Term Perspective .......................... 46 Possible Future Investments in the Crop Sector .... ... 48 - 108 - ANNEX 7 Page 1 LESOTHO AGRICULTUJRAL SECTOR REVIEW THE PRESENT SITUATION AND FUTURE PROSPECTS IN CROP AGRICULTURE 1. It would appear that crop production in Lesotho has been stagnant for a number of years. There are several mutually reinforcing factors, ecological, economic, political and social which have contributed to this situation. This annex is intended to identify the most important of these factors, describe the interventions of government intended to ease these constraints and propose possible future lines of policy for this sector. I. Factors Affecting Output The Physical Environment 2. The Basotho have been forced by historical events to farm in a beautiful but difficult environment. Only 13% of the total land area is considered in any way suitable for crop farming and much of that requires considerable protection from erosion because of the slope. A mere 0.4% of the land is classified as being good, problem free farm land. Most of the arable area consists of soils of low fertility many of them with difficult physical properties (Annex 2 ). The climate presents the farmer with triple hazards of variable rainfall, severe hail storms and frost. The combination of steep slopes, poor soils and hazardous climate make much of Lesotho a marginal area for the production of its traditional crops of maize, sorghum, wheat and beans. 3. These factors are reflected in the comparatively low yields which typify the agricultural sector and are also indicated by the variability of experimental results, the high failure rate on research plots and the losses which have been incurred on intensive, high input cropping programs. These have often experienced encouraging years with satisfactory returns only to suffer a severe loss in another season when adverse weather conditions have reduced yields. Land Availability and Distribution 4. The limited area of arable land available has been moderately evenly distributed amongst the population, although the actual figures (Table 7.2) indicate that the system is not as egalitarian as is sometimes believed. The steady growth in population over the past thirty years has led to a reduction in land allocated by family and an increase in the number of completely landless families. The impact of population growth on land availability is indicated in Table 7.1. - 109 - ANNEX 7 Page 2 Table 7.1 - Effects of Population Growth on Arable Land Resources Per Household and Per Capita for Three Census Years 1949-50 1/ 1960-61 1969-70 No. of Farming Households 2/ 149,800 158.172 185,309 No. of Fields 389,600 388,657 402,220 No. of Arable Ha. Held 376,518 352,909 368,335 Ha. per Field .967 .906 .914 Fields/Farming Household 2.60 2.46 2.17 Ha./Farming Household 2.51 2.23 1.98 Population/Household 3/ 3.60 4/ 4.09 4.48 Per Capita (Average) Ha. 5/ .697 .545 .441 1/ Principal and Ward Chiefs plus all holdings over 32 ha not included, hence these figures underestimate land holdings. 2/ Households with arable land holdings. 3/ Includes only resident population. 4/ Estimated by adjusting the 1946 Population Census figure of 3.48 forward by three years along trend evident from the available data. 5/ Hectarage in households holding land divided by resident population of the household. Source: LASA Research Report No. 2, page V-20. 5. In the 1960 census, 8.5% of rural households had no land; by 1970 the figure was 13% (26,919 households). The new Land Tenure Act would appear to consolidate the position of existing land holders so that in the absence of any new arable land to allocate there is likely to be an increase in the number of landless rural households. A reallocation of the largest land holdings (Table 7.2) would ease this situation for a short time but if the majority of farms are not to fall below subsistence levels, there is bound to be an increase in the number of families who have to find a living outside crop farming. Ten years ago, more than 80% of landed households had less than one hectare per caput. -- 110 - ANNEX 7 Page 3 Table 7.2 - Estimated Distribution of Per Capita Land Holdings by Deciles for Lesotho 1969-70 a/ Decile Total Land Held by Decile Members Per Capita Number Hectarage Ha. % of Total 1st 0 - .078 6,913 2.3 2nd .078 - .141 9,076 3.0 3rd .141 - .206 18,003 5.9 4th .206 - .268 26,948 8.8 5th .268 - .334 (Median) 28,149 9.2 6th .334 - .093 29,360 9.6 7th .391 - .516 38,157 12.4 8th .516 - .606 34,732 11.3 9th .606 - .929 56,804 18.5 10th .929 - 5.06 58,621 19.0 Total 306,763 100.0 a/ Data for two groups - families larger than 9 and holdings larger than 6 ha. - could not be used due to being open ended categories in the source; 16,647 families (8.9%) are thus excluded from the distribution, as are the landless. Based on BOS 1970 Census of Agriculture Report. Source: LASA Research Report No. 2, p. V-15. Area Cultivated 6. Between the agricultural census year of 1950 and 1976 the area undcr cultivation appears to have fluctuated around a mean of approximately 340,000 ha, the precise area being largely governed by climatic factors. In 1976/77 there was a sharp decline in the area cultivated (Table 7.3) which coincided with a favorable climatic year with good rainfall. This trend continued into the 1977/78 farming year, but there are indications that a slight tightening of the employment situation in South Africa has led to a recent rise in the cropping area. This has yet to be confirmed by the Bureau of Statistics figures. 7. The sharpest decline in recent years has been in the mountains (Table 7.4) where the recorded area dropped from 97,000 ha in 1960 to 80,000 in 1973/74 and down to 42,000 in 1976/77. Over the longer term, the Senqu River Valley has experienced a yet sharper fall from 41,000 ha in 1950 to 17,000 in 1977/78. These declines must be seen against a background of a growing population which indicates that an increasing part of family income is being derived from non-farm sources, as the area cultivated per person is reduced. - 111 - ANNEX 7 Page 4 8. The mix of crops has changed over time with the area of maize declining more rapidly than the other two grain crops (Table 7.5) and with beans showing a substantial increase over the figures for 1950 and 60, but with a sharp drop in the past two years from the high peak of 1975/76. This is partly attributable to some unfavourably wet weather but can also be linked with the difficulties encountered by the Produce Marketing Corporation in offering attractive prices to farmers. Crop Production and Yields 9. The bulk of Lesotho's crops are consumed on farm which makes it difficult to provide accurate information on national production. The Bureau of Statistics derives its figures from the yield estimates obtained from field sampling multiplied by the area estimates for each crop. The yields obtained by the B.O.S. teams represent the "biological yield" as opposed to actual output. Crops are cut from sample areas, carefully thrashed, dried and weighed. There are virtually no harvesting, transporting, threshing or cleaning losses such as are suffered with normal farming operations. During the 1960 agricultural census a comparison was made between the yields obtained by crop cutting and those reported by farmers after the harvest was completed. On average the yields obtained from the crop cutting experi- ments were 224 kg per ha higher than those reported by the farmers on the basis of what they had finally threshed and cleaned. The total production figures therefore relate to the total produced in the field and not the total crop harvested and carried to the home. The figures can be used as a basis for comparison, but must be treated with caution as a means for estimating national needs (Table 7.6). 10. As presented the B.O.S. figures indicate widely fluctuating produc- tion patterns for all crops over the past 30 years. Many of the variations can be readily linked to climatic conditions, but three years figures do pose more complex problems. These are 1950, 1976/77 and 1977/78 (Table 7.7). The 1950 Agricultural Survey figures indicated yields for maize, wheat and peas which were substantially higher than any which had previously been recorded and which were out of line with the yields obtained on the Agriculture Department-s demonstration plots between 1934 and 1947. The year was not climatically better than the 1960/61 season when the next census was held, and there has been further study of the sampling techniques which has led to the conclusion that errors occurred which resulted in the overestimation of yields. 11. The figures for the years 76/77 and 77/78 present more serious problems. These indicate very steep increases to levels not previously achieved in Lesotho. A comparison between the reported 1976/77 yields and the average for the previous five years highlights this problem. 112 - ANNEX 7 Page 5 5 Year Average 1976/77 Yield Kg/ha. Yield/Kg/ha. Maize 570 1,358 Sorghum 698 1,331 Wheat 656 1,396 Beans 291 1,207 Peas 427 724 The Khomokhoana Project has carried out a survey of over 200 households on a regular basis since 1974/75. They record the yield figures reported by farmers which can be expected to be lower than B.O.S. figures but they indicate (Table 7.7) that the 1976/77 season was no better than that of 1974/75 for the summer crops of maize, sorghum and beans. Similar figures emerged from the Thaba Bosiu survey in an area where overall yields are lower than the more favored Khomokhoana. In 1976/77 maize yields for farmers on the project were 398 kg/ha and for sorghum they were 436 kg/ha. 12. It has been suggested that the reduction of acreage in the 1976/77 season resulted in the elimination of some of the least productive land which would have raised the general average. In the 1960 census only 10% of farmers achieved grain yields which were twice the national average, so that it is difficult to see how a 20% reduction in grain acreage could lead to an overall doubling of average yields. 1/ In the case of beans the fourfold increase is even harder to understand and is certainly not reflected in sales which were 25% lower than the previous year. 13. Official records indicate that an additional 9,000 ha received a dressing of fertilizer in the 76/77 season as compared with the two previous years. This represented only 5% of the total grain area and could not have accounted for the increases recorded. 1/ In fact, such doubling of crop yields is impossible if it must derive entirely from the withdrawal of marginal lands. For example, it can be shown - in the case of a doubling of yields - that the yield of marginal land (Ym) can be expressed as: _ Y (2x - 1) Ym -_ x where x = proportion of (marginal) land withdrawn; and Y = average yield in the absence of such withdrawal. If x = .2, then Ym = -3Y. For a doubling of yields to be even feasible (i.e. to allow non-negative yields on marginal land) the proportion of cropland withdrawn must exceed. 50%. - 113 - ANNEX 7 Page 6 14. The official statistics indicate that the last five years have witnessed a major breakthrough in Lesotho agriculture with the achievement of unprecedented yields in all crops and greatly increased production from a reduced acreage. Whilst there is no indication as to how any error could have occured in the BOS figures as compared with their previous records there are strong indications from other survey data that the striking improvements which they registered have not actually taken place and that crop yields are remaining around the mean which has been maintained over the past forty years. Obviously, this calls for a thorough investigation of the crop yield and related statistics. Table 7.3 - Total Area Under Cultivation in Lesotho (000's ha) 1950 1960 1970 1974 1975 1976 1977 1978 299.2 328.5 355.5 340.9 337.4 340.8 218.1 243.4 Sources: 1960 Agricultural Census Basutoland. C.M.H. Morojele Bureau of Statistics 1979. Table 7.4 Areas Under Crops in Lesotho by Ecological Zone (hectares) 1950 1960 1973/74 1974/75 1975/76 1976/77 1977/78 Winter & Summer Winter Summer Winter Summer Winter Summer Winter Summer Winter Summer Winter Summer Lowland 15-684 20268 L_0659 40500 125700 31069 125427 40961 125930 11952 90604 14579 111269 Foothill 39838 2723 54693 10300 59300 7171 78808 9577 59150 4144 51410 2356 50968 Mountain 64372 1544 87848 300 80300 111 68522 321 80304 56 42053 40 46610 j Senqu River '41336 2686 27695 1700 22800 814 25430 1724 22809 557 17347 389 17191 Valley Total Lesotho 299230 27163 300895 52800 288100 39165 298187 52583 288193 16709 201414 17364 226038 Sources: 1960 Agricultural Census Basutoland CIMH Morojele. Bureau of Statistics 1979. ' -j Table 7.5 Area Under Crops in Lesotho by Crop Type (hectares) 1950 1960 1973/74 1974/75 1975/76 1976/77 1977/78 Maize 180897 164711 140900 126393 115525 92693 111530 Sorghum 56693 68990 84800 68401 55404 46816 62033 Wheat 49632 68262 82100 63441 59659 43947 45606 Beans 2489 5628 21300 30669 35097 17280 14271 Peas 8530 17692 11800 14447 13143 9707 5711 L I- Sources: 1960 Agricultural Census Basutoland C.M.H. Morojele. Bureau of Statistics 1979. e : 0q - 116 - ANNEX 7 Page 9 Table 7.6 Crop Production in Lesotho by Crop Type (tonnes) 1950 1960 1973/74 1974/75 1975/76 1976/77 1977/78 Maize 213181 120715 122500 70292 49128 125932 143168 Sorghum 49358 53631 84000 37443 24540 62313 85775 Wheat 53131 57630 57000 45337 44640 61381 57906 Beans 836 1363 7500 13430 8650 20865 10783 Peas 8290 12044 7200 5788 5763 7032 4427 Sources: 1960 Agricultural Census Basutoland C.M.H. Morojele. Bureau of Statistics 1979. Table 7.7 Crop Yields in Lesotho by Crop kg/ha Crop Yields Khomokhoana Farmers 1950 1960 1973/74 1974/75 1975/76 1976/77 1977/78 1974/75 1975/76 1976/77 Maize 1113 824 869 556 425 1358 1283 558 216 594 Sorghum 891 846 990 547 443 1331 1382 522 270 585 Wheat 1002 846 694 714 748 1396 1269 522 801 864 Beans 335 356 352 437 246 1207 755 288 99 225 Peas 971 735 610 400 438 724 775 n.a. n.a. n.a. Sources: 1960 Agricultural Census Basutoland C.M.H. Morojele t|x Bureau of Statistics 1979, (The yields relate to area planted). o-J Khomokhoana RDP Sample Survey of Landholding Households Leribe 1978. -- 118 - ANNEX 7 Page 11 Is There a Labor Shortage? 15. Despite the alleged shortage of land one must recall that there has been a recent decline in the area cultivated: from an average cropped area of 340,000 ha in 1974-76, to 230,700 ha in 1977 and 78, a decline of 109,000 (or 32%). Seasonal factors such as heavy rainfall may have resulted in less cultivation in particular years but cannot explain the overall decline. A common explanation offered for the decline, in view of labor migration, has been a physical labor shortage. Figures from past performance, however, do not indicate that this is the result of a shortage of labor to work the land. In 1950 there were 80,000 ha (or 25%) more land cultivated than in 1976/77. At that time, the total resident population was approximately 620,000. By 1976 the total resident population was estimated at 1,064,000 an increase of 444,000 (or 42%). Given that 51% of the population is in the age range of 15 to 64 there has been an increase in the resident working age population of 227,000 from 316,200 to 543,000. It is estimated (JASPA Report 1978) that in 1976 approximately 30,000 of this age group was employed in the wage sector in Lesotho and that 54,000 were still at school (36,000 female). Accurate data on local employment and school attendance in 1950 are not available but even if it is assumed that the number has trebled over the 25 years it would mean that there are 459,000 people of working age not involved in schooling or wage employment in Lesotho as compared with approximately 288,000 in 1950, an addition of 171,000. 16. This increased labor force has at its disposal a greatly expanded tractor fleet and a larger number of draught animals than the population of 1950. Farming practices and yields have not changed appreciably so that there is no reason to believe that there has been an intensification of labor on to a reduced area of land. All the evidence points to a substantial withdrawal of labor from crop production in Lesotho. This is further supported by the results of Guma's survey of "Labor Input in Crop Farming" which indicates that in the mid-1970½s the average farming family allocated only 17% of their potential working time to crop farming. At peak cultivation periods the figure rose to four hours per day and at weeding to 5.3 hours per day. It would appear that it is not a shortage of labor, but some other factor which has led to the decline in area cultivated per person and the corresponding fall in the time allocated by farming families to their land. This possibility is considered in the following section. Economic Factors 17. Farmers have responded to Lesotho's uncertain environment by prac- ticing a low input, low return, low risk system. By using few purchased inputs, farmers reduce their potential production in good climatic years but lower their financial losses in a bad one. There have been a number of attempts over the past 20 years to grow the main food crops under high cost, high return systems but none has met with such sustained success as would encourage their widespread adoption. Most farmers continue with low risk systems which provide correspondingly low returns to labor. Several examples of returns to farming in the traditional crop sector are available. The Khomokhoana survey of 200 farming families for the three years 1974 to - 119 - ANNEX 7 Page 12 1976 calculate that the gross margin 1/ per hectare for the three grain crops (maize, wheat, sorghum) was R3.80. Assuming 270 hours labor input per hectare this gross margin gives a return of 1.4 cents per hour. The period surveyed included a bad year and involved farmers who had higher than average costs arising from the use of some fertilizer and purchased seed. If one uses a more theoretical model (Appendix 1) based on Bureau of Statistics figures then returns of 6 cents an hour for maize sold on to the market or 15 cents an hour for maize used as a replacement for purchased flour can be obtained. These figures are similar to the 40 to 80 cents paid by local farmers to casual labor for a five-hour day of field work. By comparison a mineworker is currently earning 56 cents per hour. 18. The model used in Appendix 1 indicates that modest levels of inputs have little impact on returns to labor if maize is viewed as a cash crop but are more attractive if it is considered as a replacement for purchased maize meal. The use of the high technology recommended in the Cropping Guidelines would apparently result in serious losses. The returns to the most common cash crop, beans, are around 19 cents per hour which is still unattractive by comparison with mine wages. At the same time, the climate imposes limits upon the total amount of time that can be spent on farm work so that even the best of farmers who may achieve higher returns than average per labor unit cannot apply their labor throughout the year and so cannot match the wages of a full time job. It is for this reason that even a high value crop like asparagus, from which it is claimed that a family can make R150 per year from a 0.2 ha plot (which is considered a manageable area for a household), does not offer an attractive alternative to an able bodied man able to earn R1,200 per year in the mines. As a source of cash, a typical 2 ha holding growing 1-1/2 ha of maize and 1/2 ha of beans under traditional standards of cultivation could be expected to produce R47 for the year (Appendix 1, page 17). At current rates a miner earns that amount in only ten shifts. 19. There has been relatively little restriction on Basutho wishing to work in the Republic in the past so that men have been able to make a decision as to whether they wish to farm or go in to wage employment. This is an unusual situation for a developing African country and as a result the rural community can be roughly divided into three major groups These are: (a) households with accumulated resources which they are prepared to invest in crop farming. These households are usually headed by a man, often in his middle years who has built up his resources through savings from wage employment or business. Such families tend to have sufficient sons for some to work in the mines and earn money while others assist with the farm, and sufficient cattle to provide draught power and farm yard manure. These families extend the area they cultivate through share cropping and contract work. There are no accurate figures as to how many such families there are but it is generally felt that they include between 5 and 10% of the rural population; 1/ The gross value of crop output minus costs of cultivation and other cash non-labor inputs. - 120 - ANNEX 7 Page 13 (b) households in which the man is engaged in wage employment away from home, in which the household is headed by a woman and in which wage remittances form the basis of domestic finance with crop farming making a marginal contribution to family inczome. Such families tend to be younger than group (a), have fewer resources and be less committed to farming; given the present estimated employment figures this group constitutes approximately 70% of the rural population; and (c) households with few resources and without significant wage income. This group includes the elderly, the injured, widows, unmarried women and those men who for one reason or another have not entered the labor market. While they have to depend upon the land for a large part of their livelihood they lack the resources and often the physical capacity to farm adequately. This group is more dependent than group (b) for the services of group (a) for its cultiva- tion, and commonly enters into sharecropping arrangements. It also inclues a growing group of people who are essentially landless. Altogether they constitute between 20 and 25% of the rural population. These groupings are not static. Most families belong to group (b) at some point. Injury, death or old age may force them into group (c) while others will move into group (a). 20. The large (b) group of households who are dependent upon remittances for most of their family income are an important factor in understanding the stagnation in agricultural production in recent years and the sharp drop in the area cultivated despite the steady rise in the domestic labor force. It is estimated that approximately 75% of all Basotho households receive remit- tances from wage earners. Out of a resident population of 1,064,000 in 1976 this would mean that 798,000 had some access to wage earnings. This is a greater number than the total population of Lesotho in 1950. With the sharp rise in wages in recent years (500% in the South African mines between 1972 and 1978) this group has become increasingly independent of crop farming for its income, and in consequence commitment to farming has declined and the area of land cropped per head of population has dropped sharply as people have withdrawn their labor from low return crop production. Table 7.8 indicates that crop farming is a peripheral source of income for many Basotho families and only assumes real importance for the disadvantaged group in Stratum I who have no access to significant incomes from off-farm wage employment. Since the figures in this table were collected there have been further rises in South African wages making crop farming yet less attractive and providing an explanation for the accelerated decline in cropped area per head of resident population in recent years. - 121 - ANNEX 7 Page 14 Table 7.8 - Rural Household Income Distribution by Source of Income, 1976 Income Strata (R) Source of Income I II III IV 0-199 200-599 600-999 1000 & More Total R % R % R % R % R % Crops 26 39 66 16 30 3 75 4 47 6 Livestock 20 30 85 21 51 6 204 12 90 11 Sub-Total Agric. 46 70 151 37 81 9 279 16 137 17 Lesotho Off-Farm 15 23 42 10 80 9 222 13 92 12 Migrant Labour 5 8 215 53 698 81 1238 71 554 71 Sub-Total Off-Farm 20 30 257 63 778 91 1460 84 646 63 Domestic Income 61 92 193 47 161 19 501 29 229 29 Migrant Income 5 8 215 53 698 81 1238 71 554 71 Total Income 66 100 408 100 859 100 1739 100 783 100 Source: Van der Wiel: Migratory Wage Labour. Its Role in the Economy of Lesotho, 1977. The Geographical Situation 21. Lesotho's geographical situation as a landlocked country completely surrounded by a single nation with a different economic structure has implica- tions for the crop sector. These include: (a) pricing policies for local produce. If agricultural prices are set substantially above or below those in South Africa, it encourages heavy produce movement one way or the other along the very extensive border. In consequence, irrespective of any merits of official pricing interventions, it is difficult for Government to use price as a substantial instrument of agricultural policy; (b) the ready and dependable availability of a wide range of food products from South Africa has encouraged reliance on food purchased with wage remittances. In consequence Basotho households have less of the determination for household self-sufficiency which marks rural families in areas where alternative sources of supply are unreliable and costly; and (c) the difficulty of developing export production. South Africa's broad ecological range and well developed agriculture limit the possibilities for agricultural exports from Lesotho to its nearest neighbor. - 122 - ANNEX 7 Page 15 At present, the attraction of wage employment in the Republic and the use of remittances to support a large proportion of Lesotho residents are the dominant factors influencing the agricultural sector. But the other limita- tions discussed above, imposed by Lesotho's close proximity to South Africa, would take on growing importance if Lesotho enters a phase in which it attempts to supplement labor exports with high value agricultural produce. The Impact of Major Constraints on Crop Farming 22. The physical and economic factors which have been described help to account for some of the observable features in the crop production sector and must be taken into account in future planning. Among the effects of these factors are the following: (a) a substantial area of Lesotho's arable land is held by people for whom it is an absolutely vital form of social security, covering them in the event of unemployment, retirement or injury. At the same time there are long periods of their lives when they are unprepared to invest increased labour, resources or management in to their farms because of the low returns accruing to such investment; (b) a further section of the national land resource is held by people who are in some way disadvantaged and so cannot make full use of their fields, (c) there is wide scale underemployment in Lesotho. A greatly increased labour force with increased resources of mechanical and ox power is cultivating substantially less land than was cropped 20 or 30 years ago. The land is available and there is scope for increased labor input on the family plot (e.g. improved weeding, gap filling to improve plant popula- tions, soil conservation work). It appears that the returns to such activity are now so unattractive that there has been a steady reduction in the proportion of labour allocated by the community to agriculture. This is reinforced by the response to the -food for work' program amongst rural people. About 25% of rural households are c:overed by this program which provides an income of approximately R 1 per day in exchange for 5 hours of labour. Average returns are of the order of R 50 per year which is more than the average from crop farming. Much of this labour could be used on improving family agricultural production but the returns to such activity would be lower than those offered by the food for work' program and so labour is diverted from the family farm to communal rural works projects; and - 123 - ANNEX 7 Page 16 (d) the agricultural extension service in Lesotho is faced with some atypical problems. The staff have to work with large numbers of households for whom there is little incentive to change their management practices or increase their labour input to an enterprise which is peripheral to overall family income. For those who are interested in making changes they may have to refer to the male head of the household living in South Africa for approval. The small group of farmers who have evolved successful 'packages' which could serve as a basis for an extension program have features which often render their experience inappropriate to other rural households (e.g. male household head, above average number of sons in family, above average cattle ownership). II. The Potential for Improved Production 23. Reference has been made to the low yields currently achieved by traditional minimum risk farming systems. The potential for improved produc- tion of the major annual field crops can be deduced from three sources: the research program, the area-based rural development programs and the achieve- ments of the better farmers in the community. Particular care is needed in assessing recorded results. Achievements derived from experiments or demon- strations carried out on the 0.4% of good arable land in the country are a poor guide to the potential of the difficult 'duplex' soils which make up 25-30% of agricultural land. Equally, results obtained in one or two years are not a satisfactory guide to long term production possibilities as has been demonstrated by the experience of some of the area-based projects. Lesotho provides marginal growing conditions for maize, beans and winter wheat and it is within that context that the potential for improvement must be viewed. The Evidence from Agricultural Research 24. Yield data from research carried out from Maseru research station and by the research unit of the Thaba Bosiu Project provide two broad con- clusions: (a) that yields vary greatly between seasons even under controlled experimental conditions; and (b) that when there is a favorable season yields can be achieved which are substantially higher than those obtained by the majority of farmers. These two points can be illustrated from the major crops which have been subjects of research. ANNEX 7 Appendix 1 LESOTHO Page 17 AGRICULTURAL SECTOR Hectare Budgets for Maize and Beans Using Three Methods of Production 1 2 3 4 5 6 7 8 ---------------------MAIZE----------------- -------------------BEANS-------------------- Traditional BASP BASP Cropping Traditional BASP BASP Cropping I II Guidelines I II Guidelines Ploughing (R) 11 11 11 22 11 11 11 22 Harrowing (R) 9.88 __ -- -- 9.88 Planting (R) 2.20 2.20 2.20 14.82 2.20 2.20 2.20 14.82 Inter-row Cultivation (R) 3.30 3.30 3.30 6.60 3.30 3.30 3.30 6.60 Inputs Seed (R) 1.80 1.80 1.80 Ii 14.40 14.40 14.40 14.40 Fertilizer (R) -- 20.98 20,98 230.60 -- 22.67 22.67 109.80 1 Insecticide (R) -- .35 .35 3.08 -- -- -- 4.00 . Total Costs (R) 18.30 39.63 39.63 297.98 30.90 53.57 53.57 180.70 Yield kg/ha 370 679 560 2,124 200 284 240 500 Value in Rands (a) 33.30 61.10 50.40 191 80 113.60 96 200 Value in Rands (b) 56 99.70 90 312 __ Gross Margin (a) 15 21.47 10.77 *(106.98) 49.10 60.03 42.43 19.30 Gross Margin (b) 37.70 60.07 50.37 14.02 Labour hrs/ha 256 296 286 228 259 294 280 238: Returns per hour cents (a) 6 7 4 -- 19 20 15 8 Returns per hour cents (b) 15 20 18 6 Cultivation of Cropping Guidelines method is by tractor using current LEMA (government tractor hire service) rates. Seed for all columns except 4 is home saved. Column 4 is purchased hybrid. Fertilizer is 2-3-0 (15) and LAN at September 1979 PMC prices. Value (a) is at the mid-1979 PMC price. Value (b) is for maiz#Idground to flour at a local mill and used as a substitute for purchased meal. Yields: Traditional is a combinAtion of survey data and the BOS figures for 1971-75 adjusted for harvesting losses. BASP columns'2 & 6 are the yields estimated in the appraisal report. BASP columns 3 & 7 are the yields of farmers using approximately the BASP package recorded in surveys on rural development projects between 1974 and 1977. Cropping Guidelines yields are those achieved on Thaba Bosiu research plots excluding the failed crcps. Labour hours from Labour Input in Crop Farming Guna (1979) and other relvvant sources. - 125 - ANNEX 7 Page 18 25. Maize. A number of varietal trials were carried out in the 1960s using 54 kg/ha of N and 27 kg/ha of P. For the best variety, the yields varied from 1259 kg/ha in 1963/64 to 4174 kg/ha in 1962/63. At Thaba Bosiu the varietal trials at three sites for three years 1975, 76, 77 gave mean yields of 1385, 1168 and 5429 kg/ha. The fertilizer trials also provided some interesting information for the two years in which they were conducted. In 1975/76 the unfertilized plots gave a mean yield of 1500 kg/ha and the best fertilizer combination gave 2375 kg/ha. In 1976/77 a trial conducted to assess the impact of fertilizer carry-over gave a mean of 2946 kg/ha. The unfertilized plot in a favorable year therefore gave a higher yield than the optimum fertilized plot mean in a poorer climatic year. Given that field production yields are normally considered to be about 60% of experimental plot yields it would appear that with the use of hybrid maize and 40 kg N and 20 kg P per hectare maize could be expected to produce 900 kg under good management in an 'average year and up to 2800 kg in an outstandingly good year. This tallies with the 1960 census, which coincided with a year of favorable rainfall and in which 6% of farmers recorded yields of 2000 kg/ha or more. In the years when yields of 900 kg were obtained, the use of the fertilizer combination cited above would be completely uneconomic. It is this risk of poor yields resulting from factors outside the farmer's control which has made it difficult to derive firm recommendations for farmers on the basis of past research findings. 26. Sorghum. There are records of work from both Maseru research station and Thaba Bosiu Project on this crop and the variability between seasons is again apparent. Fertilizer varietal trials in average years gave best mean yields of around 900 kg/ha with mean yields of 1400 kg/ha in a good year and exceptional yields of up to 3000 kg/ha on favored plots in a very good year. The only record for a fertilizer trial with a signi- ficant result is for 1975/76 when the mean unfertilized yields were 126 kg/ha and the fertilized were 254 kg/ha for the optimum dressing. Earlier experi- ments gave no significant responses to fertilizer. Assuming 60% of experi- mental plot yields for field production, one could expect a potential of 540 kg/ha in an 'average' year and 840 kg/ha in a good year. This is in fact less than the achievement of farmers recorded in the 1960 census when 6% obtained yields of up to 2,000 kg which is more than the majority of experi- mental plots have achieved. 27. Wheat. Winter wheat demonstrates the same variability as the summer crops. In the early 1960s there are records of "exceptionally low yields" (no figures provided) 'average' yields of 770 kg/ha and exceptional yields of 1570 kg/ha. At Thaba Bosiu the 1975/76 varietal trials produced an overall mean of 254 kg/ha while a very good year produced a 1010 kg/ha mean. Summer wheat offers a similar picture with the yields of varietal trials for the middle of 1960's being: 1965/66 790 kg/ha 1966/67 0 kg/ha 1967/68 1789 kg/ha Applying the 60% factor would suggest a potential of 460 kg/ha in an average year and 1000 kg/ha in a good year. In fact, in the 1960 census 25% of farmers were recorded as achieving yields of 1000 kg/ha or more. - 126 - ANNEX 7 Page 19 28. Beans. Varietal trials on beans were started in Maseru in 1960 and continued for the subsequent four years. Mean yields varied between seasons from 592 kg/ha to 3191 kg/ha. Fertilizer trials carried out during the 1960's are recorded as providing such variable results that conclusions cannot be drawn from them. 29. On the Thaba Bosiu Project, special attention was given to beans and both varietal and fertilizer trials were conducted on a number of soils. In 1975/76 the best soil, Thabana, gave mean yields of 598 kg/ha while the Maseru soil yields were 69 kg/ha. In the following year Thabana gave 1718 kg/ha and Maseru 655 kg/ha. Fertilizer trials in the 1974/75 season gave mean yields of around 600 kg/ha for all treatments and there was no significant response to fertilizer. In the following season the trials were more wide- spread and differences between soil types were apparent with Matsaba soil series giving a mean of 1058 kg/ha and the Maseru series 81 kg/ha. On the better soils there was a significant response to fertilizer but this was not the case on the poorer soils. 30. Using a 60% factor to assess field production it would appear that on the right soil with good management it should be possible to achieve yields of 1200 kg/ha in a good year and 370 kg/ha in an average year. The 1960 census did not analyze the percentage frequency distribution of yield so that it is not possible to assess what percentage of farmers achieved yields comparable to the research results. The census did however bring out the wide variation between ecological zones for this crop with the lowest mean being 180 kg/ha in Mafeteng district and the highest being 1257 kg/ha in Mohale½s Hoek. This latter figure compares very favorably with research results. 31. The conclusion from the work of the past 17 years of research is that the use of high technology farming in Lesotho can at times produce excellent results but that the risks involved make it particularly difficult to offer recommendations to farmers which will not carry with them the danger of incurring serious losses. The second point which appears from comparison of research experience and farmer achievement is that a number of farmers have evolved their own packages which give comparable results to experimental plots and it is these systems which will occupy the attention of the research staff under their new program. The Evidence from the Area-Based Projects 32. Staff of the area-based projects at Leribe, Khomokhoana, Senqu River and Thaba Bosiu carried out demonstrations of crop production using "improved" practices and purchased inputs. Some of these were under direct project management, others were carried out on farmers- fields with project staff providing detailed supervision and the recommended inputs. The yields quoted are from fields and not from experimental plots so that they are understandably lower than those derived from research work. The records reflect the same degree of variability as research experience. - 127 - ANNEX 7 Page 20 33. Overall average yields taken from the various projects over the period 1971-77 for the major crops are as follows: Maize 1477 kg/ha Sorghum 998 kg/ha Wheat 839 kg/ha Beans 456 kg/ha These yields were achieved with the use of considerable volumes of purchased inputs which involved serious losses in poor years which were barely com- pensated for by the gains in good years. Staff of the Khomokhoana Project made a comparison between farmers who used their recommended inputs and accepted project assistance with management and a random sample of local farmers. The results were as follows: Comparative Profitability of Three Crops Between Package Deal Program and Random Sample (1972-1976) Rands/ha Crop Package Deal Random Sample Maize 8.57 7.08 Wheat 22.40 13.83 Beans 35.87 30.42 Source: Crop Farming in Lesotho, D.R. Phororo, p. 60. The increases in profitability for the package deal farmers over a five year period masks the risks involved. An example of this can be drawn from the experience of 1977/78 when the gross margin on the wheat demonstration in Khomokhoana was -27.68 Rands and on the beans it was -60.78 Rands. A similar experience was encountered with potatloes when a good profit was made in 1975 followed by heavy losses in 1976 and 1977. The experience at Thaba Bosiu was a clear demonstration of the hazards of embarking on high input farming in Lesotho. On their Ratau farm, the management provided timely cultivation, seed, fertilizer and insecticide together with expatriate management. In the 1976-77 season (a favorable one all through Lesotho) the project lost R 156 per ha (more than twice the value of the total agricultural production of an average household) and the cooperating farmers were compensated R 2,880 for the losses which they had incurred as a result of joining the scheme. 34. Because of the low benefit to cost ratios achieved so far with the area-based projects, and the heavy losses which have been incurred in unfavorable years, there has been no uptake by farmers outside the demonstra- tion plot areas of the high input, high technology methods which have been advocated. - 128 - ANNEX 7 Page 21 The Evidence from Better Farmers 35. Indications from several sources that there is a group of better than average farmers in Lesotho stimulated a special study on the matter by Guma and Gay in the Senqu Project area. 1/ Such farmers were identified very simply by asking villagers to name the best farmers in their area. There appears to have been little argument on the issue and such people were identified and known by their neighbours as people who consistently achieved better results than the majority of local families. 36. In the year of the survey these farmers produced an average of 3.85 times the value of crops per unit of area than that of average farmers. The farming practices of the "better" and "average" groups were compared with the following results: Farming Practices of Average and Better Farmers Average % Better % practicing practicing Does not plough 21 0 Ploughs once 52 33 Ploughs twice 19 67 Harrows 22 69 Uses Planter 34 88 Certified seed users 22 75 Plants late 25 11 Fertilizer users 19 67 Uses insecticide 30 73 Source: Guma and Gay "Attitude of Village Farmers about Farming", September 1978. 37. At the same time, other factors concerning these "better" farmers were noted. The first significant factor was the presence of adult males in the household. % of Household with Male aged 16-65 Resident at Home No. of Males at Home 0 1 2 3 4 5 Average farmers 42.9 39.8 11.2 6.1 0 0 Better farmers 16.7 54.2 18.8 8.3 0 2.1 1/ Attitude of Village Farmers about Farming, Guma and Gay 1978. - 129 - ANNEX 7 Page 22 38. A second feature of the better farming households is that twice as many of the male household heads had not themselves been to the mines and from their responses to the questionnaires they appear more committed to farming. At the same time, many of them have sons who are in the mines and make a major contribution to the family income. The point has been made that, on the basis of past performance, the recent decline in cropped area cannot be attributed to an overall labour shortage. At the same time the evidence from this survey is that the presence of a committed male household head does lead to increased production. This is partly a managerial factor but it is also linked to such a household's better control over the timing of ploughing and ox powered weeding which are still mostly carried out by men. 39. Thirdly, 88% of the better farmers owned draught animals as compared with 47% of ordinary farmers covered by the survey. Sixty-six percent of the ordinary farmers claimed not to have adequate draught power as compared to 33% of better farmers. 40. Other indicators which stimulated the Guma and Gay survey came from the 1960 agricultural census in which yields achieved by different farmers in the main ecological zones were analyzed. Percentag-efreq?ienrev istriz otio f yielhl (per ha) main crops hy zunes r rd r /a nd. 1 F ul ih 1? c., Mountain Orrrn-airritar Yield kg/ha I r- a/h; B rritory V - '72 t'v,1) 1 )-9 4-1 34 S 0 4 103 224 - 42- 6 2332 7 0-7' I3 3 ! 138 13 i17- 19 1 7i6 448 51. i'- . 2 1 21 1 16-7 It 18 672 - 873 222 13-1 2U00 21 2 12-3 174 896 - 1,097 ! bS 1 83 11t2 i 1f7 8 2 11-4 1,120 - 1,321 3S 65 6-1 10-S 133 7 -., 1 346 - 1 >45 - 44 50 3*4 , , I'5R8 - I'769 i 9-b i 4 4 , 4 1 I 3 -9 7-9 4 2 1,792 - 1,993 1 1 2-3 3-4 1-4 2 2-4 2,016- 04 3-2 ' 11 4-7 6-7! 5-9 Total .100 0 i 100 0 i 100-0 100 0 100 0 100-0| Given the comparatively small size of ecological zones it is unlikely that the extremes of variation within a zone can be attributed to climatic or other natural factors in a single season. Whilst natural variation could account for some of the differences between fields, the figures do indicate that there are a small percentage of field holders who obtained yields three times greater than the average. - 130 - ANNEX 7 Page 23 41. The Thaba Bosiu Project evaluation unit also identified farmers who obtained substantially higher returns than their neighbours. In two good climatic years the highest return per hectare recorded in the survey was R180 whilst the mean was R19. In two poor climatic years, the maximum recorded was R107 as compared with a mean of R9. 42. The availability of committed male household heads, above average numbers of sons and above average cattle herd size appear to be critical factors in achieving better than average performance. It is more difficult to isolate any single practice which on its own will result in more profitable farming. An analysis of survey data from a village near Maseru in which all families were involved provides information on those who use a "package" as compared with those who do not. Only one farmer, who is highly committed to farming and has a cattle herd well above average which provides both fuel and substantial quantities of farm yard manure, achieved outstanding yields. Comparison between Best 4 Farmers Using Purchased Inputs and best 4 Farmers not using Purchased Inputs Farmer Yield kg/ha Uses Uses Row Uses Uses Uses No. of No. Av.2 years Fert. Purchased Plants Ash FY.M Insecti- times (Maize) seed cide weeded 62 1307 Yes Yes Yes Yes Yes Yes 1 27 899 Yes Yes Yes Yes Yes Yes 2 30 390 Yes No Yes Yes Yes Yes 2 50 375 Yes Yes No No No Yes l 15 504 No No No No No No 1 10 421 No No No No No No l 25 394 No No Yes Yes No No 3 12 349 No No Yes No No No 1 43. The difficulty of pinpointing any particular single practice which influences yields and returns is further illustrated by an analysis of the factors affecting yields for the farmers covered by the Thaba Bosiu survey. - 131 - ANNEX 7 Page 24 Simple Correlation Coefficients of Factors Influencing Thaba Bosiu Yields Purchased Plough Disc Harrow Cultivator Seeder Fert. Seed Rate Rate Rate Rate Weeding Use Gross Production/ acre .334 .141 .056 .197 .017 .167 .051 .146 Net Returns/ acre .058 .035 .072 .205 .038 .143 .055 .040 Source: J. Gay Computer analysis of TBRDP survey figures. 44. While the use of fertilizer had a modest simple correlation with gross production, its correlation with net returns was insignificant. Correla- tions between purchased seed and gross/net return were even smaller. Discing and inter-row cultivation, both of which reduce weed competition, show a slightly higher correlation than other factors influencing net returns. The weeding figure for hand weeding is, unfortunately, of little use, as it merely records the fact that some weeding was done but does not record its intensity. There are indications that time of plant4ing and intensity of weeding during the first 60 days of crop life are the factors most likely to influence the impact of fertilizer on crop yields. Both of these practices are outside of the control of families who do not have their own draught power. The signi- ficance of farm yard manure as a critical factor in some of the successful packages is difficult to assess. Those people who have sufficient cattle to provide both fuel and surplus manure for their fields will automatically have sufficient draught power to enable them to carry out timely ploughing, planting and weeding. 45. None of the above correlations refutes hypotheses about the desir- ability of various inputs and cultural practices. But they do show that no one input or practice can stand alone. What is clear from existing data is that the use of fertilizer in the absence of a range of complementary husbandry practices does not usually result in large increases in crop yields. This is illustrated by the data obtained from surveys on the three most recent area- based projects (Table 7.9). This is not atypical of experience elsewhere, but fertilizer appears to be commonly used in Lesotho as if it were a substitute for good husbandry rather than a complement to it. 46. The Farming Systems Research Project which started in mid-1979, will hopefully identify more specifically the order of importance of the various factors which contribute to successful farmers packages. This should provide the extension service with more concrete proposals to offer to the farming community. It must be reiterated, however, that such factors as availability of males, draught power and farm yard manure will limit the general applic- ability of a package in which these are essential factors. It must also be stressed that even the best farmers are not achieving incomes from their smallholdings which compare with those offered by mine employment. Table 7.9 Impact of Fertilizer Use on the Yields of Maize, Sorghum, and Beans for Farmers in Area-Based Propects (kg per ha) Nutrients Used Yield Without Yield With Nutrients Used Yield Without Yield With Nutrients Used Yield Without Yield With (Quantity) Fertilizer Fertilizer Increment (QuantitY) Fertilizer Fertilizer Increment (Quantity) Fertilizer Fertilizer Increent _ ~~~~~~~~~~~~~~2/ 3 -----------------------__ TBRDP -_-_----- ----_____________ ----- _____==e<__--==e ICRDP ----------------------- ---------------------- SRAP ---------------~~~~ Maize N16 340 484 144 N 10 315 639 324 N 9 679 743 64 P24 P15 P 14f Sorghum N 18 343 336 -9 NPl 395 612 217 N 9 309 365 56 P28 p16 P 14 Beans N 20 126 163 37 N 10 138 242 104 Not Available P30 P15 1/ Thaba Bosiu Rural Development Project; data supplied by Project Evaluation Unit. 2/ Khomokhoana Rural Development Project; results of a Random Sample Survey, M.L. Poka & H.A. Squire. 3/ Senqu River Agricultural Project; Terminal Report by T. Guma and W. Matoso. Note: K(homokhoana is in the most favorable climatic area in lowland Lesotho for grain production. m | December 1979 - 133 - ANNEX 7 Page 26 III. Government Interventions to Improve Agricultural Production 47. The Government maintains the regular services of research, exten- sion and agricultural training which are typical of most African countries. In recent years it has also intervened in the marketing of produce and the distribution of farm inputs in an attempt to relieve bottlenecks which it perceived in these activities. As grain production and the area cultivated declined in the middle 1970's the Government sought to remedy the situation through the Co-operative Crop Production Program. These various interventions are described in more detail in Annex 11. 48. Since the 1950's the Government has been dissatisfied with the progress made through the conventional extension services and a number of attempts have been made to accelerate agricultural change through intensive rural development schemes. There have been a succession of these over the years in different parts of the country and most have embodied the same essential features and targets. The basic features included: (a) greatly increased intensity of extension effort; (b) the allocation of senior expatriate staff to the field level to provide specialized advice and management; (c) the provision of various agricultural inputs and services at subsidised rates; (d) the provision of credit; and (e) the construction of feeder roads. The targets for the projects included: (a) increasing crop production through the use of improved farming techniques including substantial inputs of fertilizer; (b) increasing farm incomes through cash cropping schemes; (c) restoring soil fertility through soil conservation works and the use of soil improving rotations; and (d) integrating crops and livestock into economically viable farming systems. 49. As these projects have provided the main thrust of Government and international effort and investment for a number of years, it is useful to examine their experience. We shall review a group of small scale interventions, beginning in 1953 with the Tebetebeng Pilot Project, and then review the three most recent examples: the Thaba Bosiu Project funded by IDA, and the Senqu River and Khomokhoana projects funded by UNDP and bilateral donors. - 134 - ANNEX 7 Page 27 Small-Scale Projects 50. A number of small-scale agricultural projects that operated in Lesotho from as early as the 1950s pursued similar objectives to those of the more familiar, larger scale projects. They experienced also many or all of the same problems. Consequently, they provide a valuable "replication" of the development experience in Lesotho. These "small-scale" projects were: Tebetebeng Pilot Project - 1953-1960 Thaba Phatsoa Project - 1963-1977 Liphiring Project - 1971-1977 Ratau Cropland Scheme - 1976-1977 These efforts were localized in character, involving relatively small communi- ties, but all sought to accomplish significant changes. i/ 51. The Tebetebeng scheme was located in the foothills of Berea District on an area of about 15,000 ha with a population of some 8,000. It sought to establish and integrate a number of activities: erosion control structures_ dams, woodlots, grazing control, fish farming, irrigation, fruit growing, cattle improvement, introduction of improved seeds, supply of agricultural inputs, cooperative mechanization, and village water supplies. 52. Turner's account of this scheme notes a number of lasting conse- quences of the project: an expansion of tractor hire services (in lieu of the intended cooperative tractor services), stabilization of dongas, better land terracing, and a notable presence of Brown Swiss characteristics in the local cattle. But the Project also had some major problems. The grazing control scheme broke down for lack of agreement on its content among chiefs and headmen. Intrusion of outside contractors and decision-making tended to frustrate the participation of local people. The use of the traditional organizational heirarchy of chiefs together with committees of local people did not provide adequate organization or management either for implementation or for later maintenance of improvements. Overall, the scheme's failures apparently outweighted its successes and the project terminated in 1960. 53. The Thaba Phatsoa scheme in Leribe District began in 1963 as an effort to improve soil conservation, livestock, afforestation, public health, and water supply. The most ambitious component, however, was irrigation of a consolidated block of holdings which reached an area of about 20 ha by the late 1960s. Despite generous contributions in the early stages by the Conservation Division, the scheme soon encountered technical, financial, and management difficulties. The Lionel Collet Dam, source of the irrigation water, was silting up rapidly. Efforts to improve grass cover and to manage 1/ Details have been drawn from Stephen D. Turner's "Sesotho Farming: The Condition and Prospects of Agriculture in the Lowlands and Foothills of Lesotho"; School of Oriental and African Studies, University of London, May 1978. - 135 - ANNEX 7 Page 28 grazing on catchment slopes upstream of the irrigation failed, partly because of lack of identity between the interests of those in the irrigation scheme and those in the upstream catchments, and partly because of poor coordination of the efforts of the Crops, Conservation, and Livestock Divisions of the Ministry. The scheme has subsequently achieved some limited success, but not without demonstrating the difficulties in Lesotho of achieving common goals and successful working relationships between Ministry Divisions and farmers. 54. The Liphiring scheme involved only 220 families and about 1130 ha of land near Mohale's Hoek. Its general objectives were to increase cash income, improve arable farming practices, intensify livestock production and accelerate soil and water conservation efforts. At least half the families formed an association to consolidate their lands and grow wheat and other crops, and it was proposed to cull the area's livestock by one third to make way for improved stocks. External funds were provided for the years 1971/72 and 1973/74. The livestock proposals failed to get off the ground because of local hostility to the idea of culling (Livestock Division personnel claim a different reason - lack of water). The cropping proposals failed to achieve their objectives because of poor wheat yields and indifferent local partici- pation. Conservation efforts were not integrated with other activities. Crippled with these basic difficulties for most of its life, the scheme eventually collapsed under managerial and financial constraints. 55. The Ratau Cropland Scheme was a brief experimental effort in 1976/77 aimed at creating a fund to finance communal maintenance of the considerable public investments in conservation works at Ratau. The idea was to organize commercial cropping of about 20 ha of fallow lands and to divert profits into the fund. The organizers hoped to establish a way of overcoming previous neglect of maintenance activities. A local committee of villagers was charged with operational responsibility although considerable backstopping was pro- vided by the Thaba Bosiu Project, which had built the conservation structures. The committee hired a farm manager who proceeded to plant beans, sweetcorn, fodder, and hybrid maize. But income amounted to only R3,150 against expendi- tures of R4,400, giving a loss of Rl,250. This loss resulted from insect damage, late plantings, weeds, marketing problems, and the seemingly inevitable friction that the scheme generated among the various participants. The main lesson learned, however, was the financial riskiness, in Lesotho's environment, of high-input commercial farming. The Thaba Bosiu Project 56. This project became effective in 1973 and was intended to assist some 12,000 farmers in the lowlands and foothills south and east of Maseru. Its main objectives were: (a) to quadruple the yield per unit area of maize, sorghum, wheat and beans through the provision of fertilizer and seed on credit, improved extension services and assistance to contractors; - 136 - ANNEX 7 Page 29 (b) the introduction of integrated livestock and crop farming on 2,000 ha of land. This was to include the more intensive use of inputs, detailed land planning and improved livestock production; (c) high quality dairy cows were to be made available to farmers on credit; (d) marketing and input supply points were to be established; (e) large scale soil conservation works were to be carried out; (f) agricultural research was to be carried out at a sub-station in the project area; and (g) roads were to be constructed to facilitate other project activities. 57. The project had adequate financial support, recruited a capable international management team and attracted good local staff through the offer of improved terms of service. Tha project established an efficient network of supply points throughout the area, increased the use of inputs, ran an effective credit program and completed its road building program. The soil conservation works proved expensive and only a small fraction of the original targets were achieved. Fertilizer and seed sales increased substantially during the early phases of the project and 75% of these were sold for cash. The area fertilized did not achieve the project targets, but of much more significance was the failure of the inputs to produce the yield increases that had been anticipated. Table 7.10 gives the Project survey figures for the impact of fertilizer use by comparison with appraisal estimates. Table 7.10 - Crop Yields for Three Major Crops on Thaba Bosiu Project with and without Fertilizer Actual 1/ Appraisal Estimates 2/ Nutrients With Without Nutrients With Without Used Ferti- Ferti- Used Ferti- Ferti- lizer lizer lizer lizer ------------kg/ha----------- ------------ka/ha---------- N16 N14 Maize P24 484 340 P44 1,796 449 N18 N14 Sorghum P28 336 343 P44 1,796 449 N20 N6 Beans P20 163 126 P39 1,010 224 1/ Average for 4 years 1974-77. 2/ Annex 5, p. 2 TBRDP Appraisal Report. -137 - ANNEX 7 Page 30 58. As it became apparent that yields under smallholder conditions were not responding as anticipated, the project staff initiated a co-operative program in which they would supply the management and ensure timely cultiva- tion and adequate inputs to demonstrate the possibilities of well-managed high input farming in cooperation with local farmers. 1/ The experiment was carried out in the 1976-77 season and involved 18.46 ha. The total cost to participating farmers was R4,791 and the total income was Rl,912 involving a loss of R156 per hectare. 59. The failure of the project to achieve any profitable innovations with traditional crops led to experiments with alternative cash crops which culminated in the initiation of an asparagus project in the area and the establishment of 75 ha of smallholder asparagus plots which has continued after the project's completion. 60. The dairy and integrated farming components achieved only a small part of their initial targets. 61. The project authority has now been disbanded and the functions of input supply, marketing, extension etc. are being carried out by the respon- sible national institutions. The Senqu River Project 62. The Senqu River Project was designed to deal with the problems of the drier districts in the south of the lowlands and foothills where soils are particularly subject to erosion. The project started in the 1972/73 season with three major long term objectives: (a) to identify the constraints to rural development in the project area; (b) to determine and demonstrate the economic feasibility of overcoming these constraints; and (c) to strengthen the Government services to carry out the needed development activities. It was expected that the net income earned from crops on the project would be sufficient to induce landholders to stay at home and farm rather than seek employment elsewhere (Donor Conference Papers 1977 p. AG. 9). 63. The principal method of approach to the improvement of agricultural production was the formation of consolidated block cooperative farms for both dryland and irrigated production. On these units the project authority sup- plied subsidized inputs and provided land preparation and irrigation services. 1/ R. L. Hurelbrink "The Ratau Cropping System" September 1978, page 33. A review of the same activities from a different aspect was given in para. 55. The earlier reported figures on expenditures differ slightly from those given above, while the reported figures on income include R800 reimbursed by the T.B. Project for losses on the sweetcorn experiment (not included above). - 138 - ANNEX 7 Page 31 Despite close supervision the blocks seldom produced high yields because of the natural hazards of the area and they consistently lost money. After several years of this experience the blocks were closed down. 64. The project also included the establishment of a feed lot, group ranches and small scale dairying units as well as the development of a network of distribution points for the delivery of agricultural inputs to farmers. These initiatives did not result in enduring change on the part of local farmers and as a result of this lack of success, the Government decided not to proceed with the planned second phase of the project. The Leribe and Khomokhoana Projects 65. These projects were centered on the most favored area of the lowlands with the best distributed rainfall. The Leribe project was con- centrated on a small area and was intended to provide basic information for the larger second phase known as the Khomokhoana project. The project covered an area of 26,000 ha of heavily populated country. The fundamental objective of the project was to increase agricultural production on a sustain- able basis by means acceptable to the people and in so doing raise farm incomes and improve the quality of rural life. Increased agricultural production was to be brought about by: (a) improving soil fertility by means of conservation, soil rotations and the integration of crops and livestock into an economically viable farming system; (b) implementing a watershed management plan to provide for correct land use within which the improved husbandry techniques could be developed; (c) providing agricultural support and infrastructural services including feeder roads, input supply and market services, credit and mechanization hire services; and (d) improved training for staff and farmers. It was anticipated that by 1979/80, 70% of the land in the project area would be farmed in accordance with project recommendations (2nd FYDP Vol. I, p. 85). 66. The project monitoring unit has surveyed farmers throughout the life of the project and has indicated that there has been no evidence of any improvement in arable farming or in the general standard of livestock husbandry over the five year implementation period. The project has demon- strated that in a good season the use of intensive agricultural methods can lead to improved incomes. It has equally clearly demonstrated that such systems carry high risks and in several years they have incurred heavy losses on the demonstration plots and on participating farmers fields. In the field of intensive livestock enterprises, the experience is of small margins in relation to the variable costs and working capital involved, and without a high degree of commitment and competence, some farmers have incurred consider- able losses. - 139 - ANNEX 7 Page 32 67. The conservation program demonstrated that the high cost of the physical structures erected could not be recouped over any reasonable time span from related increases in production, even though the structures were apparently less costly than at Thaba Bosiu. 68. The project did not make technical advances in the realm of fodder production, but the returns to labor for these crops is not at present ade- quate to attract widespread interest. 69. The projects activities are now being taken over by the relevant divisions at district level. The Area-Based Projects: A Post Mortem 70. After 20 years of experimentation with intensive area based projects there is little improvement in production which can be attributed to them. There have been short periods of apparent success (e.g., the first year of Khomokhoana's potato program) but these have not proved to be enduring and overall performance in the areas concerned has not changed substantially. Several reasons can be identified for the failure of these projects to achieve their stated goals: (a) the goals themselves were over-optimistic both in terms of what was likely to be achieved in increasing yields and in acceptance rates by farmers. Experience elsewhere indicates that where dramatic improvements can be made with the intro- duction of simple low risk innovations,there is widespread farmer adoption without the provision of intensive services (e.g. the spread of maize, cassava and sweet potatoes in many African countries). The absence of any such widespread adoption of simple improved packages in Lesotho should have cautioned planners that the impact of such innovations was less than they had anticipated; (b) the hazards of farming in Lesotho were consistently under- estimated. High cost, high technology systems were identified which gave excellent returns in a favorable year, but resulted in heavy losses when they encountered the common problems of drought, hail, frost or insect attack; (c) the crop losses resulting from soil erosion tended to be over- estimated and it was not appreciated that the cost and effort required to construct physical earthworks to control erosion are out of line with the benefits perceived by the farmer; (d) the difficulties of integrating autonomous projects with a high level of semi-independent expatriate staff into district and national organizations so that the latter remain supportive and involved were underestimated; and - 140 - ANNEX 7 Page 33 (e) the projects assumed that: the bulk of the rural population were committed farmers wiIo were looking for methods of investing additional resources and labour into more intensive farming systems. Little notice wvas apparently taken of the role which agriculture plays in total farm income of those families who would be likely to accept increased risks (i.e. not the poorest and most disadvantaged households). Proposals were made for intensified systems of cropping and livestock produc- tion which required increased labour input, competent and committed management and the acceptance of greatly increased risks. Most of the fami:Lies in the target group could obtain much better returns for their labour with less risk in wage employment, and farming plays a peripheral role in meeting family income needs in this group. Under such circumstances there were over-optimistic assumptions as to the response of farmers to the labour, management and input intensive systems which were proposed. 71. There have been some positive results from these projects. Hope- fully these include the negative lessons of what not to do in the future, and in particular an appreciation of the fact that labour intensive programs offering low returns to incremental labour are inappropriate when higher returns can be obtained from alternative sources. On the positive side there has been some foundation worlk done on intensive cropping (asparagus, lucerne, Eragrostis curvula) which has provided a technical basis for further expansion should the employment situation change and labour intensive systems become appropriate to Lesotho's siltuation. The Basic Agricultural Services Project 72. The most recent attempt by government and international institutions to assist the farming population is through the Basic Agricultural Services Project (BASP). This differs from the previous area-based projects in two essential features: (i) it is intended that the project cover all the lowlands of Lesotho and not just a small selected area; and (ii) it is intended to be carried out by the regular staff of the Ministry of Agriculture through its existing institutions and not by a semi-autonomous project authority. The major components of the projecit are: (a) the provision of additional key staff for the central Ministry of Agriculture to improve its technical and managerial capacity; (b) the building of stores throughout the lowlands for input dis- tribution and crop markelting; - 141 - ANNEX 7 Page 34 (c) the expansion of training programs for staff and farmers; (d) the provision of credit for agricultural inputs and equipment; (e) the establishment of rural workshops to repair farmers equipment; and (f) the upgrading of rural roads. These activities have two basic objectives: to strengthen the Ministry of Agriculture so that its existing services will be capable of responding to farmers needs in the future; * to increase crop output in the lowlands. The first of these objectives cannot be quantified in concrete terms but it is expected that the improved services will result in increases which the project planners have quantified. These increases are expected to result from a switch to row planting by a growing number of farmers (a practice which is already widespread) and the application of 123 kg of fertilizer per ha (containing 18 kg N and 9 kg of P for the grain crops). The anticipated increases are much more modest than those envisaged under the Thaba Bosiu Project. The most recent survey data would indicate that these targets are along the upper limits of what can be expected from the application of fertilizer unaccompanied by a range of other agronomic improvements. Incremental Production Resulting from Fertilizer Use 1/ on Area Based Projects and BASP Targets (kg/ha) Area Based 2/ BASP 3/ Projects Targets Maize 177 333 Sorghum 75 339 Beans 70 95 1/ For comparable applications of nutrients. 2/ Average of three projects. 3/ Appraisal document Annex 5 average for all areas. 73. The total national annual incremental production resulting from the adoption of the recommendations, i.e. the average increase from year to year, is expected to be: - 142 - ANNEX 7 Page 35 Tons Maize 647 Sorghum 211 Wheat 440 Beans 328 Peas 52 Given the variations in production resulting from climatic factors (e.g. 100,000 tons difference in total grains between 1973 and 1974) it will be difficult to monitor the impact of the project through gross production figures. It is hoped that the farmnLng systems research team will identify more attractive innovations in the future and that BASP will have supplied the basic infrastructure (a distributtion system and a greater concentration of extension staff) as a result of which farmers will be able to adopt new practices. 74. BASP currently faces several problems. Until recently, there was disagreement at the technical level amongst various responsible agencies as to what advice should be given to farmers regarding fertilizer use. In principle, this has now been resolved with the issuance by the Ministry of Agriculture of its Cropping Guidelines for Lesotho, February 1980 (Annex 11). Increasing population pressure is leading to increased domestic consumption of grains and pulses and declining sales to the market. This is resulting in difficulties in maintaining a viable marketing organization and avoiding the establishment of uneconomic rural marketing depots, The project is being implemented by a number of donors who are responsible for different areas of the country. The integration of this diverse group into the local and central structures of the Ministry of Agriculture so that they strengthen that Ministry is proving a major challenge. The project faces the problem of promoting a simple agricul- tural package offering low incremental returns to labor in a situation where such increments are unattractive to those households not dependent on agriculture for the major part of their income. Despite these difficulties the project does have the potential to strengthen the Ministry's management and services and to provide the infrastructure which would be required if crop farming becomes more important to the bulk of families, and if more attractive technical innovations are identified. It does not have any specific components which address the needs of the poorest members of the community nor does it include any innovative work on crops which could form the basis of a more intensive crop production system if that should become appropriate in the future. - 143 - ANNEX 7 Page 36 Irrigation 75. It is estimated that there are approximately 17,000 ha of potentially irrigable land in the lowlands of Lesotho. Formal Government intervention in irrigation started in 1967 when both small scale horticultural and larger scale agricultural units were established. During the first five year develop- ment plan, 14 irrigation units became operational covering 368 ha of field crops. All of these involved the pooling of farmers- fields and the establish- ment of farmers' associations to manage the units. By the end of the Plan period the schemes had either closed or were running at a loss. The main reason given for this by G.O.L. (2nd FYDP Vol. I p. 87) was the inadequacy both of management and of labor input by the associated farmers. 76. In the second five year development plan, eight schemes were estab- lished on a total area of 300 ha. By 1979 only two of these were operating. The failure of the other consolidated block farming schemes is attributed to the sporadic supply of labor and services by participating farmers, ineffective management and inadequate arrangements for timely cultivation (3rd FYDP p. A6). 77. The Senqu River project included an irrigation component involving the organization of farmers groups with the Project providing equipment and expatriate management. As long as the project subsidized and managed the units there was farmer participation, but this ceased when the subsidies were withdrawn and all the irrigation schemes in the Project area have been abandoned. The Hololo Valley Project in Butha Buthe District is now embark- ing upon subsidized irrigation under Project management. It remains to be seen whether this will be more successful then previous experiments when external subsidies and management are withdrawn. 78. The Government's major irrigation scheme is planned for Phuthiatsana in Berea District. The scheme was intended to provide irrigation for 2,000 ha of land, but it is now estimated that the establishment and running costs would give a negative rate of return and the scheme is being reconsidered. 79. Irrigation in Lesotho faces three '4indamental problems. The rivers are silt laden during the summer which leads to rapid wear of pumping equipment and a short effective life for dams. The winters are too cold for most field crops so that only single cropping is possible. This leads to the under- utilization of managerial services, land development and equipment. The returns to labor on the irrigation schemes have not been competitive with off-farm labor wages and there is a consequent lack of interest on the part of farmers. -- 144 - ANNEX 7 Page 37 80. The development of irrigated field crops (maize, sorghum, beans) remains a doubtful economic proposition in Lesotho. The main thrust of future irrigation development is likely to be in the production of intensive horti- cultural crops to replace those now imported from South Africa. A number of vegetables are frost tolerant and can be grown in the winter; the high returns per unit area provide a better basis with which to offset the cost of rapid wear of equipment from silting. High value crops also offer a greater possi- bility of providing competitive returns to labor. A bilateral agency is now developing an intensive irrigated vegetable production unit which should provide the basic data required for assessing the viability of this approach in the future. The Land Act 81. A recent intervention by Government into the crop production sector has been the formulation of a new Land Act (discussed in detail in Annex 5). This has certain implications for the future of this sector. Land in Lesotho fulfills two fundamental functions. It provides a productive resource of varying degrees of importance to rural households. It is an essential form of social security for those who join the wage sector in or outside the country, and for most of whom there is no organized form of social insurance. The land is therefore the security of last resort for the old, the injured, the weak and the widowed, and as such forms an essential part of the migrant labour system and the overall economy of the country. 82. Past tenurial regulations guaranteed that each Musotho male would be allocated land for cultivation. They also required that tenure could only be maintained if the land was regularly cultivated. This latter requirement has been one of the contributing factors to the low level of farming practiced by many families for whom cultivation is little more than a means of maintain- ing access to a continuing social security asset. 83. The new legislation will affect this aspect of land holding in two ways. Present land holders will become allottees or lessees with a lifelong right over the land. In addition, all of the holding will be reallocated to a single heir upon the death of the original allottee. The implication of this is that a strictly finite area of land in the lowlands and foothills, all of which is now allocated, will be closed to new entrants to the land market and there will be a growing number of landless Basutho. - 145 - ANNEX 7 Page 38 Allottees will not have to cultivate their land on an annual basis in order to maintain their right over the land. 1/ This could lead to either (i) an increase in fallow land or to (ii) a system of sub-letting land to the landless or those with the capacity to farm more than their allocation, and therefore a decrease in fallow land. 84. Increasing landlessness will result in strong pressures on the labor market and to increased hardship for those (such as the retired, the injured, the widows) who cannot obtain wage employment. The possibility of sub-letting land to those who really want it may lead to increased productivity above the levels achieved by those who farm to maintain tenancy but who do not rely on the land for their current livelihood. There is a good chance that this prospect will result in both a net increase in cultivation, other things being constant, and more wage employment. 85. Another clause in the proposed Act makes provision for the declaration of special development areas for agricultural purposes. In these, the existing allottees will cease to hold right over the land and it will become available for more intensive development by those prepared to use it in this way. It is not as yet entirely clear in what way this power will be exercised. It may, however, raise the difficult issue of productivity versus social security. If a worker from the modern sector is forced to remain at home and practice improved agriculture in order to maintain a hold on land in a special develop- ment area there would be a real chance that both his family and the national economy would suffer, in that his earning power in agriculture would be lower than his potential earning power in the modern sector. A secure base from which a man can move in to wage employment with confidence has a value which must be set off against the potential productivity of the land if it were to be used as a purely agricultural resource. The best solution is to explore methods of improving land use without completely alienating it from those who may ultimately require it as a form of security in time of need. These possibilities are discussed in the section on future strategy. The Farmers Conference 86. Early in 1979 the Ministry of Agriculture organized a conference for farmers- representatives throughout the country so that there could be a sharing of views between the farming community and Government officials. This was the first of its kind and was an encouraging example of a new spirit within the Ministry favoring closer liaison with farmers. This was further demonstrated by a tour of research staff to study farmers methods in detail in the latter part of the year, and by a change in training policy in which students are given much more exposure to village conditions as part of their training than was the case in the past. 1/ This possibility may be denied under regulations (Legal Notice No. 15) published since this text was drafted. - 146 - ANNEX 7 Page 39 87. The necessity for such a dialogue is accentuated by survey work done amongst rural households in 1976 and 1977 which attempted to assess their perception of their priorities for agricultural improvement. The group constituted a fairly typical lowland community with 69% of the surveyed households headed by women and 31% by men. Whilst the majority wanted more tractor use, more fertilizer and better seed there were some factors which have been of major concern for the Government for many years such as soil conservation which came very low down the list of the rural families' priori- ties. The percentage of families mentioning a need for these was: More agricultural teaching 2.1 Soil conservation 1.5 Irrigation 1.2 More cash crops 1.2 More credit 0.9 More poultry farming o.9 More communal gardens 0.3 88. In a further survey, families in the Thaba Bosiu Project area were asked what activities they would wish the Project administration to undertake. The responses were: Percentage 1/ Build roads and bridges 40.3 Provide village water supplies 25.1 Distribute fertilizer and seed 19.7 Provide tractors for hire 19.1 Don't know 14.6 Sharecrop 10.1 Provide and repair implements 10.1 Do nothing 8.4 Provide agricultural instruction 8.1 Build village distribution points 7.8 1/ The total is greater than 100% because some respondents made more than one suggestion. 89. Both the local Ministry and foreign donors have stressed the critical importance of soil erosion for many years, yet it is apparently perceived as of minor importance by the majority of Basutho who find that the climate and pests have a much more striking impact on variations in yield than does soil erosion. Cash cropping, agricultural credit and farmers training have all played a substantial role in past agricultural projects and yet they appear to have a low priority in local families' perceptions of their actual needs. Hopefully, the initiatives of 1979 will pave the way for more effective planning in the future for which the rural community's voice will be more strongly heard than has been the case in the past, so that priorities may be adjusted to accommodate both national and household goals. - 147 - ANNEX 7 Page 40 90. There is one reservation to be made with regard to this new move by the Ministry. Farmers' committees and the national conference naturally attract the most committed and active members of the farming community. The case of the most disadvantaged is unlikely to be strongly urged under such circumstances and it is possible that courses of action will be encouraged which favour increased production by the most able at the expense of the least privileged. It is at this point that Government can play a useful interventionist role in ensuring that the needs of the weak do not go by default. The Third Five-Year Development Plan 91. As of November 1979, the Government had not yet finalized its Third Five-Year Development Plan but it had provided a preview of the plan components with a survey of the difficulties in achieving the targets of the Second Development Plan. The objectives of the new plan are detailed as being: 1/ (a) to reduce dependence on imported basic grains and vegetables; (b) to increase income from crop farming; (c) to bring about efficient input supply and marketing; (d) to improve oxen and tractor powered mechanization; (e) to improve extension services for crops; and (f) to undertake a production and market oriented crop research program. 92. Three main lines of approach are cited for the achievement of these objectives. The activities of the Ministry which are being reinforced under BASP and which are expected to provide the impetus for the first five objectives. Special projects for agricultural research, horticultural development, and irrigation. The introduction of structural changes in the organization of the rural community away from an individual approach towards village based co-operatives in which there will be collective management of physical resources and labour. 1/ Third Plan Preview Agriculture Section, page 8. -- 148 - ANNEX 7 Page 41 93. Information regarding the activities envisaged under the first two heads above is not provided in the plan document but much of it is available from the project documents involved. Details of the implementation of the policies concerning collectivization have not yet been released, so that the planned intensity and extent of structural change in the farming community is not yet known. 94. In view of the uncertainty of the future employment situation in South Africa and the level of remittances which will be available to rural households, both of which factors play a vital role in determining farming patterns in Lesotho, it is not easy to anticipate future production patterns and the planners have shown discreltion in not attempting to specify the areas to be cropped and the levels of production for the next five years. The Second Plan specified area and yie:Ld targets for crops which are unlikely to be achieved and anticipated an increase in fertilizer use from 6,000 tons to 50,000 tons by 1979 (FYRDP2, page 81) but the actual figure achieved is approximately 8,000 tons. BASP estimates expect that the farmers in the lowlands will purchase an additional 8,000 tons per year by the end of the third FYDP period. This would appear a more reasonable target than that anticipated for the second FYDP, but its fulfillment will hinge upon the achievement of more attractive returns to fertilizer use, particularly in the drier areas of the South. An open-ended plan with a minimum of specified target figures is a reasonable response to the present situation. The plan cannot afford, however, to be so open-ended about strategies and the methods which are to be used to improve services to farmers (extension, input supply, attitude to private contractors, soil conservation) and, hopefully, the final document will be more specific as to the means by which the Ministry's policy aims are to be achieved. IV. Strategies for the Future 95. Planning for the future of the crop sector in Lesotho cannot be divorced from the overall national situation, and in particular the employment situation in South Africa. As long as remittances provide the greater part of household income for large numbers of Basotho, there will be a continuing lack of commitment to labor intensive, high risk crop production, and the sector will continue in its present pattern of a three tier system (paragraph 19). Unless there is an emergency situation involving the compulsory repatriation of the existing Basutho work force in South Africa it is unlikely that any great change will take place over the next five years. Wages can be expected to keep pace with inflation and remittances will continue to support up to 70% of the rural population. Beyond that time, the situation becomes less clear and there is the possibility that an ever-expanding population will become increasingly dependent upon locally generated wealth as the proportion of people employed in South Africa declines. With an arable area fixed by natural factors and in the absence of alternative wage employment there would be an increasing demand for labor intensive cropping systems which would give - 149 - ANNEX 7 Page 42 higher returns to both capital and labor investments than those now practiced. Government is therefore faced with the challenge of developing appropriate strategies for the present, planning for an altered situation in the future and attempting to ensure that interventions which are a reasonable response to present needs do not pre-empt planning decisions which will have to be made if the employment situation changes. The Near Future (1980-85) 96. If there are no drastic changes in the overall situation in the country during the next five years, the four major questions requiring an answer are likely to be: In what way can the most efficient farmers be assisted to increase production? In what way can the poorest members of the community be helped? fHow best can the basic agricultural services to the rural sector be improved? What investigations are required to prepare for a more intensive pattern of future production? 97. The Better Farmers. The Government has been faced with the serious problem of a declining crop area at a time when it was aiming to increase production. It responded to this situation through the Cooperative Crop Production Program in which Government management, machinery and labour were applied to farmers' land. This has not proved a viable operation and yet the problem of making use of idle land persists. If some of this is to be used, then recourse should be made to the effective managers in the community so that they may apply their management to a greater area. At the same time it is necessary to ensure that the landholders who do not want their land at a given point in time do not lose ultimate control over it and that it remains as a form of security for them. There are several initiatives which would assist the better farmers to have a wider influence and increase production. These include: (a) arrangements whereby they can enter into legal sub-leasing agreements with land holders so that they can apply their management and resources to land on a more secure basis then that which results from the present informal sharecropping arrangements. This would encourage the use of practices and inputs which have more than one or two seasons impact (e.g. farm yard manure, erosion control). If the basis of the agreement was a fixed rent rather than a share of the crop, there would be added incentive for the sub-lessee to obtain the best possible production for himself. This would not preclude sharecropping on the traditional pattern but would afford the opportunity for potentially more productive arrangements; - 150 - ANNEX 7 Page 43 (b) increased and improved services to farmers, contractors and sharecroppers for the repair and maintenance of their machinery and equipment; (c) improved credit facilities for the purchase of the larger items of equipment; and (d) improved specialized advisory services for the better farmers whose knowledge is often beyond that of the junior field staff. 98. The Poor. While assistance to the better farmers may help to increase national production it will, in the first instance, affect a comparatively small number of people. At the other end of the farming spectrum is a much larger group of less privileged people who present the Government with a major challenge. This group does not possess a surplus of managerial ability and resources awaiting land in which to invest, but may hold land which it is incapable of fully utilizing through lack of physical strength or financial means. The group is scattered throughout the country and does not provide an obvious unit to which help can easily be channeled. At a time when a broad sector of the community is benefit- ting from the increases in wages of recent years and does not face serious difficulties, it would be appropriate to concentrate attention on those who have not benefitted and who are comparatively worse off than before. Detailed plans would be required for different areas and groups but three broad lines of action to help the poorest people are possible. The productivity of their main fields could be increased through more timely cultivation, planting and weeding. This could result from more efficient services to contractors and sharecroppers and would be a spin-off from the proposals outlined above, which also offer the prospect of increased wage employment of the poor. In addition there are at present subsidized Government tractor services in operation which are in danger of damaging the private hire services. If these services were offered only to the neediest members of the community, it would justify the subsidy and avoid unfair competition with the private sector which would continue to serve the bulk of families who have money from remittances with which to pay commercial rates. Attention should be given to improving the diet of this group; they cannot afford to purchase non-basic foods. This would take the form of intensive help with 'backyard development' including improved vegetable, fruit and small livestock production so that their limited resources of manpower can be applied to crops which will give a maximum return to unit area and have the most beneficial effect upon the family's nutrition. - 151 - ANNEX 7 Page 44 Attention should be directed to identifying potential intensive cash crops, preferably perennial, to avoid the need for annual cultivation for those without the strength for it, which can be grown on a home garden basis (e.g. improved fruit for the local market in accessible areas) and can increase the cash income of the family. 99. The Basic Agricultural Services. These are discussed in detail under other headings in this document but some salient points can be summarized at this juncture: (a) extension services can be improved through an increased allocation of manpower to the rural areas. At present there are few field workers in relation to the total Ministry of Agriculture's manpower resource. The Ministry has moved recently though, to make effective use of staff by minimizing duplication of effort at the village level; (b) input supplies should be made available at the lowest economic price, and in the most suitable form. This involves decisions on the best type of fertilizer to import, the banning of unsuit- able fertilizers which are often expensive per unit of nutrient despite a low price per bag. Attention should be given to using more concentrated fertilizers to reduce transport costs. To keep distribution costs to a minimum there will have to be a reduction in the present duplication of Government sponsored stores, and an approach to input supply which uses a variety of systems to achieve the ultimate objective of efficient, low cost distribution to farmers; (c) credit is not a major constraint to crop development in much of Lesotho. Funds are available from wages for investment but crop farming is frequently perceived as an unattractive sector and the money is used for the purchase of livestock. Credit for inputs (such as seed and fertilizer) which give poor returns if unaccompanied by improved farm practices is likely to lead to difficult repayment situations, particularly in the higher risk areas of the South. Credit could be justified for those proven contractors and sharecroppers who want to expand their field or operation rapidly; their impact spreads well beyond their own landholdings; (d) crop marketing for those crops now commonly grown is likely to be a sector which will not expand in the near future. Most families now produce at a sub-subsistence level and buy in part of their basic food needs. A growing population will result in increased home consumption and a further decline in the surplus reaching the market. Under these circumstances it is necessary to resort to marketing organizations with a - 152 - ANNEX 7 Page 45 minimum of new capital investment and low overheads to avoid having to offer low prices to farmers or involve the Government in heavy losses. If more specialized crops are developed in the future, appropriate marketing channels will be required (paras 104-106); (e) mechanisation has been a concern of Government for some years as the growing rural population has withdrawn its labour from the land in response to improved off-farm incomes. CCPP was the culmination of this effort. Assistance to the private sector for both ox and tractor powered mechanisation has already been mentioned. Consideration should be given to improving the nutrition of working oxen in the spring; this will become increasingly significant in the face of rising tractor running costs. Government tractor services should be confined to critical gaps not met by the private sector. It is particularly important that no pattern be set of replacing labour with capital intensive machinery to meet short term needs when the long term requirement is likely to be the provision of the maximum number of jobs in the crop sector. The strengthening of the Ministry's capacity to deliver these services is the function of BASP. There is however an ongoing need to learn from past experience (e.g. PMC) and evolve strategies which make the best use of the investments provided by BASP and the manpower resources of the Ministry. 100. Preparing for the Future. At present there is little interest in more labor intensive crops for reasons which have been given. Should the wage employment situation harden, there could be a change of attitude and preparations should be made for such a contingency by initiating investiga- tions into high value, intensive crops which could be successfully produced in Lesotho. Such investigations would include: (a) the identification of crops and varieties which are ecologically suited to the various zones of the country; (b) studies of both the domestic and export market potential for the crops identified as ecologically suitable, so that ongoing investigation can concentrate on those which have reasonable market prospects; and (c) the establishment of trial plots on which the best methods of production of new crops can be identified and developed. This matter is treated in greater detail in the following section. - 153 - ANNEX 7 Page 46 The Longer Term Perspective 101. In the absence of any major catastrophe it is expected that Lesotho's population will increase to about 2.05 million by the end of the century, adding about 330,000 to the work force. The general consensus of opinion is that the modern sector inside and outside of the country will be unable to absorb all the new entrants to the labor market, and that the agricultural sector will have to absorb the balance. It is also assumed that this increase in the labor force will lead to a greater interest in agricul- ture as a means of livelihood and that a larger number of males will be engaged in full time crop production. 102. Whilst this general description gives some guide to the future, the idea that there will be a sharp increase in commitment to agriculture as a result of population increase must be treated with some reservation for the following reasons: (a) the large increase in the resident adult population in Lesotho which has occurred over the past 30 years has not resulted in any increase in commitment to farming or in agricultural production. The increased population has been maintained by a proportionately smaller number of workers earning higher wages; (b) the difference between potential earnings in Lesotho crop farming and those in a developed industrial economy such as South Africa are so great that men are likely to take con- siderable risks to obtain wage employment. As a result there could be a steady increase in illegal emigration; and (c) evidence from major peri-urban areas elsewhere in Africa indicates that men will abandon farming and remain unemployed as they wait for employment for up to two or three years because of the favorable incomes in the wage sector by com- parison with small scale farming. There is no reason to believe that Basotho will react differently, and men may prefer to remain underemployed on a traditional holding waiting for the chance of a job, rather than abandon all thought of wage employment and commit themselves wholly to more sophisticated and intensive farming practices. 103. With these provisos, there is a real possibility that more able bodied men and women will be looking to the land for the major part of their income in the future. Under such circumstances, the comparatively low valued traditional crops will be inadequate to provide for their needs and with a strictly limited quantity of arable land available, such people will require assistance to use their land more intensively and more profitably. - 154 - ANNEX 7 Page 47 104. Such a policy would also accord with a sounder ecological approach to Lesotho's agriculture. Annual cropping with widely spaced row crops is not the ideal system for most of Lesotho lowland -duplex soils. Maize and beans are not wholly adapted to the Lesotho climate, particularly in the south of the country. A switch to perennial crops which are better suited to the actual physical conditions in the various ecological zones would be beneficial to the land and offer increased potential to the farmer. Such crops are likely to demand a greater investment of skill, finance, commitment and work than existing practices and will only become attractive for large numbers of people when off farm wage employment is much more difficult to obtain than at present. 105. Five major groups of crops could be considered for possible develop- ment. Some (e.g. asparagus, lucerne, irrigated vegetables) have already been investigated. Others (e.g. apples, peaches, vines) are grown at present but offer potential for substantial improvement through the introduction of better varieties and techniques. There is still considerable scope for further introductions based on studies of climatic analogs of Lesotho. There are few of these on the African continent and Syria and Turkey offer closer comparisons which deserve detailed study. The groups which offer potential are: (a) tree crops, both fruit and nut; (b) bush crops (e.g. soft fruits); (c) perennial herbs for essential oils; (d) vegetable crops; and (e) fodder crops for intensified livestock production, including fodder legume trees and bushes. 106. A number of these crops require considerable time to reach produc- tion which is why investigations should be initiated in the near future to identify potential introductions and start work on them. This phase will have to be followed by nursery development. In fact some nursery development to supply improved trees of proven varieties for back garden planting could advantageously be opened now, particularly in the South. 107. If higher quality, high value crops are developed then marketing will be amongst the most critical factors determining the success of any new development. National organizations established to handle bulk products (wheat, beans, maize) are unlikely to be the correct agencies for the handling of highly specialised crops which may be perishable and require strict sched- ules of collection and dispatch (e.g. soft fruits for export). It is likely that specialised marketing organizations will have to be developed for such crops. 108. The export market will need to be investigated but substantial potential remains undeveloped in Lesotho as is revealed in the import figures for fruit and vegetables: - 155 - ANNEX 7 Page 48 Imports of Fruits and Vegetables 1974 1975 1976 1977 --------------- 000's Rands ------------ Fruits 493 912 1,508 1,711 Vegetables 738 1,346 2,006 2,251 Total 1,231 2,258 3,514 3,962 It is estimated that less than 10% of the local cash market demand for fruits and vegetables is now met from local production. 109. A number of these crops (like asparagus) may demand a pattern of production for efficient collection and factory management which puts them outside the scope of the smallest and poorest members of the community unless they benefit from wage employment. In the case of other crops there are no particular economies of scale and such introductions could afford opportunities of assisting the poorest families as well as providing a profitable enterprise for the larger producer. 110. Basically, the picture of the future is one in which there will be a growing density of population in the rural areas of Lesotho and policies should be formulated which are intended to provide access to some land by as many people as possible, combined with techniques which offer the most opportunity for generating employment. This would preclude schemes which replace small scale farms with large extensive type systems and those which replace labor with capital intensive equipment. The development of more intensive crops should offer some opportunities for the development of agro- industry (canning, drying, processing) which will increase local employment opportunities. Possible Future Investments in the Crop Sector 111. Over the next five years, the major continuing concern will be the strengthening of the Ministry of Agriculture's management and its capacity to fulfill the basic responsibilities of extension, research, planning and training. In addition there will be the continuing task of developing low cost and efficient delivery systems for essential agricultural inputs. These activities are being supported by the Basic Agricultural Services Project which forms the backbone of the next five year development program. BASP faces problems but these are not insuperable and with a genuine desire for better services to farmers on the side of both the Ministry and the donors this project could fulfill its intention of strengthening basic agricultural services and should continue to be a major component in the investment program, being modified to meet the needs and developments which are revealed by the early stages of its implementation. - 156 - ANNEX 7 Page 49 112. BASP is intended to provide services to the more successful farmers who are contracting or share cropping. These activities have only recently started and it remains to be seen whether there will be scope for additional investment to assist this group to provide efficient and timely cultivation services to the rest of the community which is so dependent upon them. 113. Specific action to help the poorest households is not going to be an easy task but in the present social situation it should command a high level of priority. Such a project will be very dispersed and should be geared towards assisting local :initiatives and stimulating Imini-projects aimed at the target group directly or via wage employment. The provision of seeds, plants, trees, inputs and appropriate technical advice aimed at improv- ing the quality of backyard production would be likely components. In other areas it may be possible to support and stimulate simple processing activities (mohair spinning, fruit drying). This type of project does not call for large investments in vehicles, equipment and infrastructure but for imaginative localized initiatives which are better suited to bilateral or voluntary agency funding than to that of the large international investment institutions. 114. To prepare more suitable and intensive cropping patterns for the future would appear to be the function of a special unit within the Research Division of the Ministry of Agriculture. Current crops are the subject of investigation by the Farming Systems Unit and a similar group could usefully be established with the following functions: (a) to study the whole range of possible crops which could be grown in Lesotho; (b) to study the long term local and export possibilities for these; (c) to introduce appropriate planting material for trial plots throughout the country; (d) to assist with the initial establishment of nurseries and the development of nursery techniques for those crops which show promise; and (e) to participate in the training of staff in the necessary skills required for the crops' commercial production. 115. It cannot be known how soon the need for more labour intensive cropping systems will arise, but given the long lead time required to assess the viability of some of the tree crops it is important that a start on this detailed foundation work be made as soon as possible. - 157 - ANNEX 8 LESOTHO AGRICULTURAL SECTOR REVIEW LIVESTOCK DEVELOPMENT Page No. I. ANIMAL FODDERS AND FEEDING STUFFS ........................ I A. Introduction ...................... .................. 1 B. Natural Grassland . ...................... ...1......... Productivity ....... ..................... ......... 1 Deterioration of Grasslands .............. 3 Recuperative Capacity *......... . ............... . 5 The Traditional Usage of Natural Grassland ..... 6 Rangeland Monitoring and Analysis of Land Use .. 9 C. Sown Pastures and Fodder Crops ...................... 10 D. Supplementary Feedstuffs .......................... .. 11 II. LIVESTOCK ................................................ 12 A. Introduction ........................................ 12 Livestock Numbers ............................ .. 13 Ownership ...................................... 14 B. Cattle ............................................. 14 General ......................................... 14 Herd Structure .................... .. ........... 15 Ownership .................................... .. 15 Production .......................* ..... . 15 C. Sheep .... ................................................... 17 Flock Structure .............. .. ................ 17 Ownership .......... ............... ............. 17 D. Goats ............................................... 18 Flock Structure .............. .. ................ 18 Ownership ....... ............................... 19 Production ..................... ................ 19 E. Poultry Production ................................ .. 19 Eggs ........... .......................................... 19 Broiler ........................................ 20 F. Pigs ................................................ 20 - 158 - Page No. G. Equines .......................................... o............. 21 H. Fish Production ..................................... 21 I. Livestock Services ...... . . ................ 22 Extension Service ........ . . . ............................ . 22 Marketing and Procurement ...................... 23 III. DEVELOPMENT PROBLEMS AND STRATEGIES ...................... 25 A. Past Development Efforts ............................ 25 B. Evaluating the Overstocking Problem ................. 28 Public Perspective ............................. 28 Policy Options ................................. 29 C. Future Development Strategies ................ ....... 29 Needed Policy Reforms ......... ............ .*. . 29 Grazing ..................................................... 29 Action on Livestock Numbers and Quality ... 30 Marketing .................................................... 30 The Near Future ..... ...... .................... 31 General . ..*............................... 31 Research and Investigation ................ 31 Natural Grasslands and Sown Pastures ...... 33 The Long-Term Perspective ...................... 33 Proposals for Possible Future Investment ....... 35 - 159 - ANNEX 8 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW LIVESTOCK DEVELOPMENT I. ANIMAL FODDERS AND FEEDING STUFFS A. Introduction 1. In this section we consider sources of fodder, including natural grassland, sown pastures, and supplementary feeding stuffs. Although the requirements of different categories of stock vary, successful animal produc- tion depends on ensuring that stock obtain, or are given food which meets the nutritional requirements in terms of energy, protein, certain minerals and vitamins or their precursors. B. Natural Grassland 2. The grasslands of Lesotho have been described by Staples and Hudson (1938), by Acocks (1953), and, for the Phutiatsana River Valley, by Binnie & Bookers (1979). Apart from a paper by Herbst and Roberts (1974), there is a lack of quantified information about floristic composition, cover and productivity. The lack of quantified information to substantiate and refute the frequently made observation that there has been serious deterioration is particularly regrettable. A brief description of the vegetation is provided in the account of the physical environment (Annex 4). Many of the important species of grass occurring in Lesotho have been investigated in the Republic of South Africa (R.S.A.) and papers describing their physiology and growth characteristics have been published. Productivity 3. The most important consideration in grassland management is that the vigour and long-term productivity are not imperilled. The correct level of stocking is of the greatest importance, but is often most difficult to estimate especially when grasslands are used seasonally. Although it is possible to measure productivity by carefully conducted cutting trials, this does not simulate grazing and it is necessary to take into account seasonal variations and soil composition differences as well as the closeness and frequency of the cutting treatment. Animals not only graze selectively but, in the case of sheep, more closely than it is possible to cut. The differences in the grazing patterns of cattle and sheep are important in grassland manage- ment; in most areas it is an advantage to have cattle with sheep rather than sheep alone. (Goats graze less closely than sheep, have a wider diet, and when they are present in overstocked areas, are likely to cause accelerated deterioration.) - 160 - ANNEX 8 Page 2 4. Another difference between cutting and grazing is the return by the animal of approximately 80% of the nutrients of the food it ingests; part of the excreta and urine will be deposited in the kraal. Trials must be continued for several years if valid conclusions are to be drawn. Attempts to correlate hectarage production with rainfall or with the length of the growing season suffer from similar deficiencies to those already described. In spite of these observations, trials are necessary and trials including livestock are essential. 5. Estimates of carrying capacity (long-term) and of stocking rate (seasonal), based on careful observation and personal experience, can be extremely valuable and must, until more accurate information is available, be the basis of any recommendations. 6. By contrast to the problem of determining the production of usable herbage, the food requirements of different classes of ruminant are known accurately. The grazing animal ingests 2.0%-6.0% 1/ of its body weight in dry matter per day, and for satisfactory productivity including liveweight increase, the fodder must contain adequate levels of energy, protein (>7% C.P.) and phosphorus (0.2% P). Younger animals require more nutritive food than mature animals; lactating animals require better food than non-lactating animals. 7. Staples and Hudson (1938) tentatively indicated the carrying capacity of th2 different ecological zones. They give their data in small stock units/mi but fcr con enience these figures have been coverted into Standard Livestock Units/km Z O N E SLU/km2 SLU per zone in '000 Upper Mountains 30 231 Lower Mountains 38 396 Mountain Valley 23 47 Foothills 38 94 Lowland 38 209 Orange River 38 95 Lesotho 35 1,072 8. The different species of grazing animal can be aggregated by the use of the following factors: Standard Livestock Unit (SLU) Cattle x 0.8 Sheep x 0.2 Goats x 0.2 Horses x 0.7 Donkeys x 0.5 1/ Small stock, particularly goats, have a proportionally greater intake than cattle. - 161 - ANNEX 8 Page 3 (This conversion is primarily concerned with metabolic liveweight and food requirement, rather than with biomass i.e., the smaller animal has a propor- tionately greater metabolic liveweight than the larger animal.) Table 8.1 applies these conversion factors to Lesotho's published livestock population numbers in 1960, 1970, and 1978. While estimated livestock numbers generally suffer from discrepancies and inaccuracies, we believe that Table 8.1 gives a fair indication of a recent decline in overall stocking rate. 9. In 1968, Bawden and Carroll indicated that at least 12% of the land surface was unsuitable for grazing; including the cultivated and fallow land the maximum area for grazing is 2,666,000 ha. Many areas are underutilized because of their remoteness. It would seem that over long periods the grazing lands of Lesotho have been stocked at an average of more than 1:2.5 ha; because stock have not been evenly distributed, there has been overstocking in the more accessible areas. We estimate the SLU carrying capacity of grasslands in average to good condition at between 1:2 ha and 1:4 ha. Other areas, where the carrying capacity is less than 1:4 ha, should not in our opinion be stocked,, but should ideally be allowed to recuperate. 10. Some have attributed the decline in livestock units in recent years to disease, particularly the reappearance of sheep scab, and to weaknesses in the marketing of wool and mohair, but the main cause is undoubtedly the deterioration in grassland resources. It is our opinion that the level of stocking in 1978 (approximately 1:3 ha) should be attainable when the grass- lands of Lesotho are in a satisfactory condition. Recent evidence indicates that the grasslands in the mountain areas, particularly those on basalt soils, are carrying an increasing proportion of the nation's livestock. In 1978 it was estimated that these mountain areas (approximately 820,000 ha) are carrying, year-rotund, 45% of the national herd and 57% of sheep and goats (405,000 livestock units) plus, during the summer months, large numbers of stock from the foothills and lowlands. This move from the traditional transhumance pattern may have been prompted by the dearth of fodder during the winter months in the lowlands and must lead to the deterioration of these mountain grasslands, many of which are still in excellent condition. Deterioration of Grasslands 11. There is general agreement that there has been widespread and serious deterioration in the condition of Lesotho's grassland; there is however no similar consensus of opinion that there is, or has been, overstock- ing, even though there would seem to be an irrefutable connection between the two. 12. Several types of deterioration are to u seen in Lesotho. Many of the more spectacular gullies or dongas appear to have been started through overgrazing; in a few areas they are still active through uncontrolled grazing around and above them. Less spectacular but more serious is sheet erosion (Annex 9) and equally serious are changes in the floristic composition of grasslands. Among these changes are a decrease in the more acceptable (palatable) plants, an increase in unacceptable or less acceptable plants, an increase in bare ground including pedestalling and the loss of soil between the surviving tussocks. Livestock Population in 1960, 1970 and 1978 Year Cattle (SLU) Sheep (SIU) Goats (SLU) Horses (SLU) Donkeys TOTAL SLU 1960 546,442(437,000) 1,466,084(293,000) 671,749(134,000) 135,000(94,500) 103,700(52,700) 1,011,200 1970 551,520(441,000) 1,655,128(331,000) 973,767(195,000) 109,000(76,800) 93,800(47,400) 1,091,200 1978 521,524(417,000) 943,949 a/(189,000) 615,518(123,000) 103,000(72,600) 86,200(43,100) 844,700 a/ Livestock Division personnel believe that this figure is too low. They estimate from dipping statistics that sheep numbers in 1978 should have been about 1.2 million or 240,000 SLU. This would give a total SLU of 895,910 for 1978. oQ o1a - 163 - ANNEX 8 Page 5 13. Themeda triandra, agronomically the most important grass over a wide range of conditions, is sensitive to sustained close grazing and to trampling and this valued species would seem to be less abundant in all types of grass- land than Staples and Hudson (1938) would suggest. Species which increase with selective grazing or with overstocking include Eragrostis chloromelas, E. plana, Microchloa caffra, Aristida spp, Sporobolus pyramidalis, Elyonuras argenteus, Poa_spp, and forbs. 14. Unpalatable or toxic plants which have increased and encroached in many grassland areas are the semi-woody shrubs, Chrysocoma tenuifolia, Aster filifolius, and at lower altitudes, Senccio retrorsus. Staples and Hudson (1938) suggest that the first large expansion of C. tenuifolia occurred between 1920 and 1930. It has spread very widely since then and many stands are extremely dense. The increase in these plants must be attributed to the weakening of the competitiveness and vigour of the grass as the result of overgrazing. Undergrazing can also lead to grassland deterioration; under these conditions the plant gradually becomes moribund and senescent under an excessive top hamper. This condition is rarely encountered except in experimental plots and other areas from which the grazing animal is excluded and fire is prevented. 15. An increase in bare ground can be seen on hillsides riddled with tracks made by stock and on areas where surviving plants remain on pedestals or columns, from between which the soil has washed away. Land-slips or slumping have occurred in some areas and denudation is common with an exposed pavement of rocks and stones in many places. The loss of vegetation and soil from high altitude situations is particularly adverse; rainfall in these areas was previously held and percolated oni-v slowly whereas now it streams down the hillside unchecked. Recuperative Capacity 16. The Lesotho grasslands are widely reputed to have an exceptional ability to recover in one or two years after severe grazing; we have seen examples of this. This characteristic forms the basis of the argument for and against the need to destock. Quite clearly as long as there is a good basal cover of grass and this is exceptionally high by comparison with other areas of Africa then there will be a rapid response to resting and vigorous regrowth. In these circumstances, the grassland, in the absence of any form of defolia- tion, may begin to senesce or become moribund after the second or third years. Utilization is necessary. By contrast to these areas where there still is a good basal cover, there are many areas, some extensive, where either there is an almost continuous canopy of Chrysocoma and other shrubby weeds or a high proportion of bare rock or soil which may, depending on the topography, be subject to sheet erosion. - 164 - ANNEX 8 Page 6 17. The use of fire can be a valuable tool in the partial control of shrubs and in eliminating ungrazed and moribund tussocks. Regulations restrict burning to the spring after the first shower of rain has fallen and prohibit the grazing of burnt areas for four weeks. We would prefer a longer period than four weeks without grazing, but in practice, the haphazard burning of small scattered areas makes it virtually impossible to ensure that they are not grazed as soon as the first attractive new grass appears. 18. In other totally denuded areas, only a slow recolonization will reclothe the surfaces; where soil and some grass are still present, there may be a rapid spread of grass both vegetatively and from seed, but in many of these areas this development will require a long period of protection. A particular difficulty is the occurrence of shrub-invaded or denuded areas alongside excellent grazing and the inevitable attraction of these good areas to stock. In the absence of fencing, there can be no improvement of degraded areas without the cooperation of both herdsmen and the community. 19. A serious effort to rehabilitate the badly affected areas (possibly more than a quarter of the total grazing land) must be accompanied by some level of destocking. Without this, the transfer of stock to the remaining areas must jeopardize these areas. The problem of destocking would appear insoluble without the political will for it. We believe that there are categories of stock which do not significantly contribute to productivity and whose removal in terms of good animal husbandry is desirable. We also believe that if the country-s grasslands can be restored it will be possible to carry the present livestock numbers and that if there is provision of some supplementary feeding for certain classes of stock during critical periods, productivity of meat, wool, and mohair could be increased by 30-40%. The Traditional Uses of Natural Grassland 20. The traditional system of animal husbandry has evolved around what would seem to be a well ordered pattern of transhumance between the lowlands (winter) and the mountain grazing areas (summer). Grazing rights were allo- cated by chiefs and there was a vigorous and enforced system of control. At the present time, there is an apparent lack of effective conrol, but it is difficult to determine if this is a relatively recent development or if there has been a gradual breakdown in the authority of the chiefs. 21. At the beginning of spring all stock, with the exception of milking cows, draft and transport animals actually working, and rams, must move from the village grazing area to a mountain cattle post. Stock remaining in the village must either be kraaled or confined to cultivated pastures. Grazing at the cattle post is controlled by the local chief under the direction of the Ward Chief. The grazing is communal and cannot be restricted to local livestock owners. A permit is necessary for grazing at a cattle post, and these are issued annually by the Ward Chief; they specify the number of stock allowed to graze. Grazing control supervisors or other members of the recently - 165 - ANNEX 8 Page 7 established Range Management Division advise on the condition and stocking rate of each area. They subsequently report to the chief if the permitted livestock number has been exceeded; supervisors cannot, however, remove or impound animals, this must be done by the chief. Owners of impounded animals are required to pay a fee for this recovery. 22. The cattle posts should be sited on exposed rock or-well drained land at or near valley bottoms and not on mountain slopes, they usually consist of stone-walled kraals and simple accomodation for the herdsmen. During the winter period, June to September, stock cannot remain at the cattle post unless the owner has been given special permission by the Ward Chief or his representative. (We believe that large numbers of stock are remaining year-round at cattle posts where there is sheltered grazing.) Stock normally return to the village grazing area in April or May. Transhumance rules are that the direct route shall be followed and that at any place a stay shall be restricted to one night. In the village, grazing is restricted to local stock and controlled by the headman or by the chief. It is customary to close certain village areas in the spring ("leboella") for the preservation of thatching grass, reedbeds, or for grazing at a later date. Reserved areas are opened after the thatching grass or reeds have been harvested. After the arable crops have been harvested, the stubbles and stover become available for communal grazing - individuals have not in the past had the right to the exclusive use of their own crop residues. 23. Herding is becoming an increasing problem; many owners find it difficult to obtain the services of reliable herders. The traditional pay- ment for the herders is one (1/2 - 2) unit of small stock per month but increasingly he is being given a modest cast wage. The reluctance to adequately reward employed herdsmen is common throughout Africa - this may be due to the apparently non-strenuous nature of the work, or the privilege of being entrusted with livestock may be considered to be sufficient reward. The result is a casual attitude to the task and often an attempt to supplement pay by milking even when this is detrimental to the growth of the young animal. In Lesotho sheep are milked by herd-boys. Herding is undertaken mainly by boys and youths. 24. Under the present system the benefits of communally grazed grassland are being exploited by a relatively small proportion of the population; in addition there is a lack of individual responsibility for over-use or other forms of mismanagement. The team believe that these are two aspects of a single problem. 25. During our visit to Lesotho we were aware of the interest in the Land Tenure Act which is currently awaiting Royal assent; this Act is dis- cussed elsewhere in the report but it is primarily concerned with urban areas and with arable land; security of tenure might encourage the cultivation of sown pasture and fodder crops on arable land. On the subject of possible changes in the allocation of grazing land, many individuals expressed their enthusiasm for the development of Grazing Association. Members of these - 166 - ANNEX 8 Page 8 associations are expected to adopt high standards of stock husbandry and receive the exclusive usufruct of the grazing in a specific area. The members of an association are also required to provide stock, either cattle or sheep of good conformation, and they share the costs of herding and the management of the herd or flock and the provision of improved bulls or rams. Clearly it is in their own interest to ensure that the area is not over stocked. Only a small number of associations have been formed although the formation of others is being considered. Members of an association contribute equally to the expenses of the association irrespective of their stock numbers. Members of an association will usually have other stock which are grazed in other areas. Only one type of stock is allowed in existing associations. 26. We belive that the association of livestock owners in order to practice better animal husbandry is wholly commendable, but any formal alloca- tion of exclusive grazing rights, wlhich is probably essential, must be seen as part of new and fairer approach to the general use of grazing land, than exists at the present time. 27. The privileges of membership of an association are resented by non-members, particularly individuals whose stock have previously been grazing the area from which they are now excluded. An individual can only join an association if he already has suitable stock or is able to purchase them. This resentment expresses itself in cutting fences and in the deliberate burning of the grass. 28. The erection of fences is costly and must inevitably seem contrary to the traditional attitude towards grassland usage. Sheep-proof fences are prohibitively expensive, but the creation of a certain number of camps or paddocks is necessary for proper herd or flock management. The adoption of a system of rotational grazing may be possible by the use of natural barriers, and the use of short lengths of open ended fences. Twenty-four hour grazing produces better animal production buLt is more demanding on the herder than night kraaling. In areas with little natural shelter some wind breaks should be built. 29. The mission believes that the individual owner of livestock or a group of owners should be given the exclusive right to the grazing of one or more areas for periods of 10, 15, 20 years or longer. Second, such an alloca- tion should involve the recipient in adopting certain husbandry practices, in restricting his stock numbers, in making improvements to the grassland, and in the payment of an annual fee. This fee should be based either on the value of the land, to be reviewed at fixed intervals, or it should be based on the stock numbers. In more developed countries, it is customary to pay a rental on the land. In less developed countries, it is usually easier to collect a tax levied on the livestock. For example, a tax could be based on flat rates for different classes of stock with exemption for unweaned animals, or a sliding scale, or on the potential return from a herd or flock. The introduc- tion of a new levy will be resented and there will be evasion, but resentment and evasion will be lessened if there is awareness of benefits. An appropriate system of taxation should lead to a selective reduction in the numbers of less productive animals and thus to a more efficient livestock sector. - 167 - ANNEX 8 Page 9 30. On this point though, it is necessary to respond generally to the idea of livestock taxation, not just for grazing associations but for communal grazing also. The main justification for taxation would seem to be equity. It would take advantage of a well defined tax base for raising revenue, one moreover that would fall (or could be made to fall) principally on upper income Basotho. Surely, some basic principle of equity should be made explicit in distributing the benefits of grazing land to make this distribution consis- tent with that attempted overtly in the distribution of arable land. While the existence of a tax would help to limit unproductive stock, the main dis- cipline for controlling stock numbers would have to come from other incentives. In the case of grazing associations, the discipline would come from the incentives that an exclusive long-term lease offers an association to maintain its grazing land-s productivity. The association would still need technical assistance, but this could now be pitched at the members' self interest. In the case of communal grazing, there is no self interest to appeal to, only the community's willingness to obey rules. 31. The authorities in the Transkei region have recently introduced animal taxes and have fixed the rates for different categories of livestock at seemingly high levels. Rangeland Monitoring and Analysis of Land Use 32. Many individuals have reported the widespread deterioration of the grasslands of Lesotho as a result of mismanagement over a long period; some workers have attempted on a subjective basis to quantify these changes. Such estimates must always be speculative and_;_ireliable, and there is an urgent need for accurate quantified information. The use of field sampling techniques which have been developed in recent years by ecologists including participants in the IBP* and MAB** projects together with the use of aerial photography and satellite data, makes feasible a quantified inventory of range resources countrywide. 33. More generally, it is important that planners and others concerned with development should be aware of all changes in the pattern of land use. In many countries the rate of change is very rapid; carefully conducted agri- cultural surveys and censuses will identify many changes in the distribution of population and the cultivation of land. Because of limited resources and their cost, censuses are rarely possible at intervals of less than 10 years, and in the presentation of the results of a census the rate at which changes are occurring may not be emphasized. 34. The analysis of aerial photographs taken at regular intervals provides a practical method of monitoring the rate of change; a sampling technique has been developed in the Land Resources Development Center of * International Biological Programme. ** Man and the Biosphere (UNESCO). 168 - ANNEX 8 Page 10 the British Overseas Development Administration which provides information by administrative area (district/division/province) or by other geographical areas. (The method does not include annotated photographs or maps.) 35. The examination of earlier photography is also of value in deter- mining the rate at which change is occurring. There is aerial photography of Lesotho for 1952, 1961-62, and 1974-75. Bouden and Carroll (1968) used the 1961-62 photographs to identify arable land including the fallow land which they mapped at 1:250,000. 36. Although official statistics show a marked decline in cultivation and increase in fallow, the mission encountered several opinions on this phenomenon which it would have liked to check by other means. It would be possible to determine these areas precisely with purpose flown color aerial photography or less precisely by the analysis of LANDSAT data obtained sequercially during the growing season. It is extremely difficult to discri- minate between fallow and cultivated land on small scale black and white panchromatic aerial photography unless the planted crops have high plant population density and are well developed when the photography is done. We believe that it is probable that much of the area annotated on the revised 1:50,000 maps as cultivated includes a large component of fallow land. We hope that users of these maps are aware of this. C. Sown Pastures and Fodder Crops 37. Arable crop residues, straws or stover and stubble are eaten by stock after harvesting. These residues have not been regarded as the property of the cultivator but have been available for communal grazing; information suggests that the traditional attitude is being modified and that there is increasing recognition that the cultivator has a right to the exclusive use of his residues. Residues are also collected and are used for fuel. During the winter months there is a substantial demand for hay; this demand is largely met by imports of baled grass hay (teff-Eragrostis tef and Ermelo E. curvula and baled lucerne Medicago sativa from the R.S.A.). Small amounts are produced within Lesotho by individual farmers and by Farmers Associations and there is room to increase the production of these fodders. Reports have frequently recommended that arable land on steep slopes and on shallow stony soil should be sown to grass or to fodder crops suitable either for conserving as hay or grazing. It would be desirable to establish fodder crops on fallow land provided the problem of tenure security, without biennial ploughing, can be resolved. 38. The current prices of R 2 for a 20 kg bale of grass hay (R 100 per ton) and of R 200/ton for lucerne hay are absurdly high; the value of a feeding stuff is, apart from possible value in the physiological functioning of the animal, the value of its nutrients; cereal brans and compounded feeding stuffs represent far better value than hays at these prices. - 169 - ANNEX 8 Page 11 39. Although the establishment of some fodder crops will not necessarily compete with the planting of food crops since they can be sown after food crops have been planted and weeded, the establishment of the pasture or fodder will not be profitable unless the crop is preserved for four or five years or longer. Great attention must be given to preparing a weed-free seed bed of satisfactory tilth. Fertilizer application will be necessary and liming may also be needed in the case of lucerne. Cereal crops can be undersown with pasture species; after harvesting the cereal, the pasture is used normally. 40. In 1974, in a costed trial, a 20 ha pasture sown with a mixture of Eragrostis tef and E. curvula had costs of establishment of R85/ha and in subsequent years the application of fertilizer cost R48/ha annually. Yield was 11 t/ha per year and the baled hay was valued at R 20/ton. The current high price of nitrogen fertilizer, its limited recovery by the crop and the real value of the hay must be investigated before advising the intensive production of grass crops for selling as baled hay. If suitable legumes are available for inclusion in a fodder grass pasture, their use is preferable to the use of expensive inorganic nitrogen. 41. The team was told that small numbers of Lesotho livestock owners have in the past arranged for the agistment of their stock in the R.S.A. In 1975 the cost for cattle was 75c/month. A willingness on the part of even a few individuals to pay for adequate grazing for their stock suggests that there may be a willingness to pay for similar facilities within Lesotho. D. Supplementary Feedstuffs 42. The feedstuff and compound ration requirements of livestock in Lesotho have been examined by Bell and Wood (1977) who were also concerned to determine the opportunity for local production. These authors stress that the raw material situation in Lesotho is characterized by a severe lack of suitable concentrated energy and protein, particularly for poultry and for pigs which are unable to use rations based on fibre-rich constituents. In the ruminant animal sector, there are supplies of wheat offals, hominy chop (maize bran) and of poultry manure. Since publication of the report by Bell and Wood, the Mill at Maseru has commenced operation and Matsieng Feeds (Pty) Ltd. has begun the production of compound rations. The abattoir is expected to be operating in 1980 and to be producing meat and bone meal. Table 8.2: Estimate of Available Supplies of Agro-industrial By-products Material Source Output Cost Hominy Chop Lesotho Milling Co. 6500t R 70/ton Hominy Screenings Lesotho Milling Co. 3500t Dried Poultry Manure Poultry Units 3000t 3.5c/Kg-R 35/t Wheat Offal Flour Mill 4000t R 85/ton Meat and bone meal Abattoir 800t - - 170 - ANNEX 8 Page 12 43. The Lesotho Milling Company produces an estimated 600tlmonth of hominy chop; a limited amount is sold within a short distance of the mill but much returns to the R.S.A. Dried poultry manure is produced by farmers in the Leribe area. Drying is sometimes difficult and sterilization is desirable before this source of non-protein nitrogen is introduced into ruminant rations. 44. The Maseru Wheat Mill is producing 70-90t of wheat offal per month; the mill has been operating since the beginning of 1979 and, after some initial local demand for wheat offal, it is becoming increasingly necessary to export a proportion of output to the R.S.A. The planned single shift throughput of the abattoir is expected to produce 800t meat and bone meal. It had been planned to undertake acid hydrolysis of the waste products but it seems that conventional processing will be adopted. The locally compounded rations mainly for the poultry industry match closely in price those imported from the Republic; local production must rely heavily on imported materials and has less opportunity for economy of scale. As well as maize, oil-seed cakes, fishmeal, meat and bone meal, it is necessary to import molasses, urea, minerals, vitamins, and poultry litter. Some of these materials are used in rations formulated in feed-lot programmes. With the exception of the more expensive rations for broiler production (at R 210/t), most other compound rations cost R 160 - R 170/t. 45. The production of satisfactory rations involves stringent control in the quality of the ingredients and in meeting the precise specifications of each ration. The accurate formulation of rations requires laboratory analysis facilities. Packaging is expensive; purchasers of large quantities on a regular basis, particularly if they can accept bulk deliveries, will normally be allowed discounts which represent a substantial saving. The small poultry or dairy producer buying his supply in small quantities is excluded from these savings. II. LIVESTOCK A. Introduction 46. The special role of livestock particularly cattle (and in North Africa, camels) in African traditional society cannot be neglected nor should it, however, be exaggerated. In the absence of alternative forms of investment in Lesotho and, up to the present time, no title to the land being held by an individual or by a household, cattle are a reliable vehicle for the accumula- tion of wealth, and in this sense their acquisition is entirely rational. 47. In addition to their value as producers of wool and mohair and therefore of a cash income, sheep and goats are important sources of animal protein in rural areas. Sheep are the hardiest of domestic animals and are able to survive under conditions which in the mountains can be exceptionally severe. There is a poultry industry (eggs and broilers), a small dairy industry and a pig industry is being developed. - 171 - ANNEX 8 Page 13 48. Cattle not only provide meat, milk, draft, and dung, they also fulfill a social and in a special sense, an economic role. They are used in the payment of bride price and in other ceremonies. Like other forms of irnvestment, cattle represent an inflation-proof form of savings when, as in most African countries, satisfactory alternative forms of investment do not exist. The practice of returning migrant workers who are officially allowed to import two head of cattle per six months to invest a part of their earnings in female animals reflects an awareness of the advantages of this form of investment. (In a country which appears to be currently overstocked, the importation of large numbers of frequently poor quality stock must be viewed with alarm.) 49. Inadequate attention to the basic principles of animal husbandry, particularly nutrition, result in low levels of production. The success of the more intensive types of livestock farming is the result of strict attention to adequate nutrition; growing recognition in Lesotho of the special needs of a dairy cow suggest that the needs of other classes of grazing stock will eventually be appreciated by owners. 50. For many years wool (merino-type) and mohair from the angora goat have been the principal agricultural exports. In 1977 these two commodities earned R 4.5 m and in 1978, due to the exceptional high price paid for mohair, R 7.7 m. Prior to 1975, 8-12,000 cattle were exported on-the-hoof annually and in some years significant numbers of small stock. 51. The sheep, goat and poultry sectors are the most organized, although the marketing of wool and mohair has not been entirely satisfactory and over- production of eggs is occasioning marketing difficulties. Because there are reasonably adequate facilities for dipping and shearing, only modest capital investments in the small stock sector are proposed in the five-year plan 1979-84. Dairying is also well organized, but on a small scale. Cattle make the greatest contribution to the domestic economy although this sector has been poorly organized commercially despite attempts at improvement. Horses and donkeys provide the transport which is essential for life in isolated villages far from roads; the Basuto pony is exceptionally hardy and sturdy. 52. In 1977 imports of animal products and animals included - 48,000 cattle R6.7 m 18,000 sheep R1.2 m meat products R2.4 m dairy products R1.75 m fish RO.99 m animal feedstuffs RO.825 m Livestock Numbers 53. In Lesotho as in many other developing countries, it is difficult to obtain accurate data relating to stock numbers. Total livestock population in - 172 - ANNEX 8 Page 14 Standard Livestock Units 1/ appears to have remained fairly stable at approxi- mately one million SLU for several decades prior to 1975 but since this time there has been a substantial decline of one-third in the numbers of small stock, and there has also been a decline in equines. The number of cattle by contrast has not declined during this period and at the present time they number approximately 0.52 m head. During the last 40-year period, the national herd has fluctuated between 0.35 m and 0.55 m head. The sheep flock has declined from 1.65 m in 1970 to 0.94 m 2/ in 1978; goat numbers have fallen from 0.97 million in 1970 to 0.61 million in 1978. In terms of Standard Livestock Units numbers in 1978 were: --million-- Cattle 0.42 Sheep 0.24 Goats 0.12 Horses 0.07 Donkeys incl. mules 0.04 Total 0.89 Ownership 54. The distribution of livestock ownership is uneven. The ownership of cattle is more widespread than that of smallstock, but a large proportion of households have no livestock. In the case of cattle, approximately 50% of households own no cattle while 8% of households own 50% of the total cattle herd. Average herd size is less than six animals. In the case of small stock, approximately 70% of households own no sheep and 68% own no goats; only 6% of households own more than 10 of either sheep or goats, the average flock size is 15 sheep and 12 goats per individual owner. 55. Households owning only small numbers of stock can experience diffi- culty in arranging for their herding, and may have additional problems in selling small amounts of mohair and wool; small amounts are purchased by traders but involve the producer in accepting a lower price, although he receives an immediate cash payment. The opportunity for flock improvement is greatest in the larger herds; owners can be persuaded to purchase improved rams or bucks and to adopt better management. Concentration of attention by the extension service on the larger owners is likely to achieve the greatest results, and nationally is appropriate; yet this policy may be criticized for neglecting the less prosperous households. The Ministry-s policy has been to concentrate its extension and other assistance on owners who want to cooperate. These owners own both large and small herds/flocks. 1/ See para. 11 and Table 8.1, this Annex. 2/ See Table 8.1 for alternative estimates. - 173 - ANNEX 8 Page 15 B. Cattle General 56. A variety of breeds have been introduced into Lesotho; an Afrikander type is common. Three breeds are recommended for up-grading local beef cattle: the Brown Swiss, Afrikander and Drakensburger. The Friesian is recommended for milk production. Cattle are less hardy than sheep. They graze less closely than sheep and ingest taller growing herbage; on many types of grass- land it has been found advantageous to introduce cattle in addition to sheep. We recommend that the Rangeland Division investigate the optimum ratio of bovines to sheep on different grassland communities. Herd Structure 57. The Annual Statistical Bulletin (1979) for 1978 indicates that 74% of the national herd is more than two years old (45% being female), 15% is between one year and two and 11% is under one year. It is reported that in the national herd the calving rate is between 50% and 60%, calf mortality is 10% and the weaning rate is between 45% and 54%. This poor reproductive performance necessitates retaining females until they are eight or nine years old in order to maintain breeding herd numbers. Lesotho and Swaziland both have an exceptionally high percentage of oxen in their herds by comparison with other African countries. The adoption of ox cultivation in these coun- tries must reflect the influence of their common neighbor. 58. In Lesotho not more than 20% of households have sufficient draft animals of their own to form a plough team, this observation however reflects the need to use four or six animals, because of their poor condition, to pull a plough which should be within the capability of two animals which have been given food prior to the ploughing season and during the working period fed according to the hours worked. Ownership 59. The approximate distribution of cattle ownership according to Bureau of Statistics information is as follows: Percentage Distribution of Herd Size National Herd Rural Households Number -----------------%------------------ 0 - 52 1 - 4 27 28 5 - 8 28 12 9 -16 27 6 > 17 18 2 100 100 - 174 - ANNEX 8 Page 16 Production 60. Meat. Prior to 1975 between 8,000 and 12,000 cattle were exported for slaughter annually. Since that time this number has fallen to approxi- mately half the present quota to the R.S.A. of 60 animals per week, reportedly because of poor marketing facilities. (Table 8.5.) Cattle are slaughtered in the village and by butchers in townls; moribund animals will be slaughtered and used; only exceptionally will an animal die and not be eaten, a proportion of the animals slaughtered by butchers have been imported. It is exceptionally difficult to determine the off-take from the national herd but including casualties it is probably between 1. and 12%, of which marketings for slaughter would number about 4%. An off-take of 11% is equivalent to 57,000 animals per year. The current price for finished animals in Maseru is 55c/kg liveweight; a suitable price to apply to off-take country-wide would be 30c/kg. At an average weight of 300 kg, the annual off-take is worth R5.1 m. Fattening has been undertaken in three feedlots; the Retsepeng Farmers Association within the Khomokhoana Rural Development Project, runs a small feedlot (60-80 animals). Animals are purchased in R.S.A. and the current price is 45c-50c/kg liveweight. They are fed a ration of hominy chop (maize bran), molasses, urea and hay; this ration is fed ad lib and costs 7c/kg. Animals eat 9-10 kg/day and gain 1.00-1.30 kg/day. They are held from 60 to 100 days and are sold to local butchers at 55c/kg. In order to determine their grade, some groups have been moved for slaughter to abattoirs in R.S.A. Value added has generally, but not consistently, covered the cost of feeding; the least profitable groups of animals have been those held for more than 100 days. Overhead costs including loan charges have not been covered except for a few groups held for 75 days or less. The management of this feedlot has had the benefit of an experienced advisor (not costed); nevertheless, it is possible that better results might have been obtained by a more careful purchase of stores. The early disposal of unthrifty animals has been undertaken. 61. Milk. It is believed that 70% of the owners of herds milk some or most of their lactating animals for their own consumption and for sale to neighbors. The practice of milking may deprive the calf and be the cause of the morbidity and high level of mortality in calves. If a third of the cow herd (43,000) are milked and provide 1 litre/day for 200 days, the value of the milk at 204 per liter is R1.72 m. 62. A small intensive dairy industry is being built up. At present, most of the participating farmers live within 25 km of Maseru. Farmers normally have three to five imported cows of Friesian type and have an A.I. Service (grade Friesian) available. Cost of the service is R3 per insemina- tion. Calves are bucket fed for eight weeks. Extension of the milk scheme is presently proving difficult because of problems in providing A.I. services beyond 25 km from Maseru, as well as poor marketing high feed costs and shortage of breeding stock. Farmers are encouraged to feed concentrates and ensure that there is adequate grazing or hay. Yields of 10 litres per cow are obtained and sold at 20i/l. The current large imports of milk indicate a demand for more than 15,000 1/day; lf the logistical problems can be overcome. Meeting this demand could provide 300 farmers owning five or six animals with a modest income. - 175 - ANNEX 8 Page 17 63. Work. All the main farming operations are undertaken with ox-drawn implements or by tractor mounted equipment. Some sowing and weeding are done by hand. If 180,000 ha or two-thirds of the summer and winter arable areas are cultivated with oxen (ploughing, harrowing and planting) then assuming that the value of their traction is RIO/ha, draft work contributes R1.8 m. 64. Cattle dung is collected and dried for fuel throughout Lesotho. It is used in the majority of households for heating and for cooking; its slow burning properties are valued. Dried, shaped -briquettes are sold for 60c/30 kg. If 500,000 tons are used for fuel at a value of R10/ton, this is worth R5 m. The marketing of hides and skins has been poorly organized, although this probably reflects, until recently, a disinterested response to poor prices. Unsatisfactory knives are used in flaying and frame drying is not common. A substantial proportion of hides and skins should be processed satisfactorily when the abattoir commences operation. 65. In summary, it is estimated that the national herd contributes annually about R15.3 m to the domestic economy. The value of the herd is estimated at R75 m and it requires 1.2 m ha of grazing land. There are opportunities for substantially improving the reproductive performance (weaned calf weight per cow per year), meat and milk production, and work output, by the provision of mineral licks and small amounts of supplementary food such as bran during critical periods. C. Sheep 66. The national flock is estimated to number 1.2 million; this is 85% of the number that prevailed during a long period prior to 1975. Lambing rates are reported to be 66%, weaning rates 55%, and lamb mortality 18%. Weight at weaning is 20 kg and adult weight is 35 kg. Ownership 67. Table 8.3 shows the distribution of ownership of sheep by flock size: Table 8.3 - Ownership by Households (1973) Flock Size (number) % Households 0 70.1 1- 10 14.3 11- 20 5.1 21- 50 6.1 51-100 2.9 101-200 1.2 201-400 0.4 >400 0.1 100.0 - 176 - ANNEX 8 Page 18 Production 68. Wool. The quantity and quality of Lesotho wool is lower than that produced in R.S.A. The average clip per sheep in Lesotho is 2.5 kg compared with 3.9 kg in the Republic. The decline in production from 4.6 m kg in 1968 to 2.6 m kg in 1978 reflects both a decline in numbers shown and a deteriora- tion in range resources. In 1978 the average price was 125c/kg and the clip earned R3.3 m. It has been estimated that the proportion of merino type wool has fallen within 10 years from 98% to 60%. 69. Meat. Owners report the slaughter of 8% of their flock (96,000); mutton obtains a higher price than beef in Lesotho, as it does in most African countries. An average liveweight of 37 kg @ 70c/kg gives a total value R2.49 m. In addition it is probable that a proportion of injured and dying animals are eaten. The trade in skins is poorly organized and only small numbers are marketed. The annual value of wool and meat output combined is R5.8 m. The value of the flock is estimated at R24 m and the return is R24 per S.L.U. Grazing land requirement is 0.8 m ha. 70. The unfortunate introduction of sheep scab will require the stringent enforcement of dipping for four or five years if it is to be re-eradicated. The Ministry of Agriculture makes available approximately 400 improved rams every year. It is necessary to urge owners to obtain and use only rams of good quality. We believe that merino wool sheep must remain the desirable type. 71. Improved nutrition, particularly the provision of minerals licks and compound licks, is necessary for reproductive performance and wool production to be improved. We recommend that farmers be encouraged to cull wethers and all animals of poor quality. D. Goats 72. The national flock numbers 616,000 or approximately two-thirds of the number between 1965-1973. Over a forty-year period goat numbers have fluctuated; the fluctuations in the price of mohair are partly reflected in the fluctuation in number. Kidding and kid weaning levels are low and kid mortality is high. Abortion is common in the Angora goat. Commonly reported figures are kidding 58% and weaning 48%, but surveys have shown kidding to be less than 40% and kid mortality as high as 50%. - 177 - ANNEX 8 Page 19 Ownership 73. Table 8.4 shows the distribution of ownership of goats by flock size: Table 8.4 - Goat Ownership by Households Flock Size (number) Households Percentage 0 67 1-10 19 11-20 6 21-50 6 > 50 2 100 Contrary to recommendations, many owners keep a colored male goat in their flock. Production 74. Mohair. There has been a decline in the proportion of the four best grades of mohair from 15% of the total in 1964 to less than 2% in 1978. Yield per goat is 1.2 kg compared to 3.4 kg in R.S.A. In 1978 0.5 m kg of mohair was exported and realized, at the exceptionally high price of 968c/kg, R4.8 m. This unit price is approximately double that of the previous two years. The price reflects changing fashions. There is a developing mohair cottage industry in Lesotho which uses an increasing proportion of the clip. 75. Meat. Between 5% and 6% are slaughtered; presumably there will be a reluctance to slaughter as long as mohair attracts very high prices? The carcasses of 38,000 are valued at RO.57 m. In addition some injured and dying animals are eaten. 76. Total value of goat production without skins is R5.37 m or R44 per S.L.U. We cannot estimate the current value of the goat flock but it must reflect the high price for mohair. Grazing land requirement is 0.4 m ha. Goats in Lesotho have little opportunity to browse; they graze less closely than sheep and have a wider diet. When goats are included in the stocking of land where grazing pressure is heavy they will accelerate the deterioration. Grazing probably results in an increased incidence of internal parasites. There is opportunity to reverse the decline in quality and to obtain even better prices. Attention to breeding and to ensuring adequate nutrition will also contribute to improved quality and increased yields. E. Poultry Production Eggs 77. Over a 15 year period a very successful intensive poultry industry has been developed in Lesotho which has resulted in self-sufficiency in eggs and with the potential for expansion in egg production and for self sufficiency - 178 - ANNEX 8 Page 20 in broiler production. The stated aims of government have been that as far as possible the maximum number of farmers should participate and that over- production is to be avoided. Until recently it seemed that these aims were being achieved; but the establishment of several large units has resulted in the market being over supplied with eggs, and orderly marketing is being jeopardized. In 1961, UNICEF and FAO assisted in the organization of egg production to improve nutrition for school children. Commercial production with caged-bird units started in 1966. Rations have been obtained exclusively from the R.S.A. until recently but are now being prepared within Lesotho but with mainly imported materials. 78. Farmers have formed Poultry Associations at village level and these have cooperative status. Egg marketing is organized on 'regional- basis and consists of seven circles. Farmers obtain either point of lay of eight-week- old birds from the Government's Poultry Production Plant. These birds are imported as day olds from the R.S.A. and are also produced (80,000/year) in a small government hatchery. The national flock of 250,000 laying birds produces 5.4 m dozen eggs per year which supplies one egg/person/week. Egg consumption is expected to increase, especially if better marketing and distribution can be arranged. 79. After an egg producer has repaid the capital costs of his unit, many of which are 500 - 1,500 birds (range 100-2,000), on an outlay of approximately R8.07 per bird over a 74 week period he obtains a profit of R2.73. An import ban on eggs was once enforced to prevent the introduction of Newcastle disease. Now that this disease has become endemic, government controls imports to regulate the supply of eggs locally and to maintain egg prices at higher levels than obtained in R.S.A. Broiler 80. There is an estimated market for 1.04 m broilers per year; produc- tion in R.S.A. with economies of scale is likely to make profitable broiler production in Lesotho uncertain. With a 10-week cycle, 400 units of 500 birds each could meet the market requirement. Excluding overheads and labor, production costs are estimated at R1.17 per 1.6-1.8 kg bird. 81. Poultry Manure. Dried poultry manure is purchased for inclusion in cattle rations at 3.5c/kg. Producers find drying difficult. 82. Duck and Turkey. Up to the present time some work has been under- taken on duck production in connection with village fish ponds by the Fisheries Section. The poultry section may undertake turkey and duck production if staff become available. F. Pigs 83. There are an estimated (Statistical Bulletin 1978) 80,000 pigs which scavenge for food around villages; 17,000 are slaughtered and 4,000 die annually. It is not possible to determine meat production. A program - 179 - ANNEX 8 Page 21 to encourage the development of an intensive pig industry is being undertaken. A 100-sow (large white x Landrace) breeding unit is being built near Maseru. it is proposed to sell female breeding stock; males will either be sold as weaners or fed to slaughter in the Unit. A sustained extension program will be needed to convince farmers concerning housing and feeding requirements. The profitability of the scheme will be largely determined by the relative prices of feeding stuffs and of slaughter pigs in the R.S.A. At the present time these are not encouraging. G. Equines 84. The Lesotho (Basotho) pony project has established a stud at Thaba Tseka. It is intended to maintain three blood lines, the Basotho pony, the Basotho pony crossed with Arab stallions, and the Basotho pony crossed with Connemara stallions. It is proposed to establish a stud book to register and control breeding. Stallions for service will be distributed through Livestock Improvement Centers. Individuals will be allowed to purchase improved stock; there is evidence of a potential export market for riding horses. The following estimates of reproductive performance are given in a 1978 report by Binnie and Partners, "Soil Conservation and Livestock Study for the Phutiatsana River Valley": Horses Donkeys Abortion 19 14 Foaling 30 34 Foal mortality 10 30 Weaning 27 23 85. A small proportion of Lesotho horses are infected with Dourine, a venereally transmitted trypanosome disease (Trypanosome equiperdun); there is a reliable diagnostic technique; there is no effective treatment and infected animals should be destroyed. An eradication program would necessitate compensation being paid to the owner of destroyed animals. H. Fish Production 86. The fisheries section of the Livestock Division has been primarily concerned with the establishment and organization of village ponds as a source of valuable food for the local community. The commercial production of carp and also that of trout has been investigated. Attention and resources have been given to stocking rivers for recreational fishing. - 180 - ANNEX 8 Page 22 87. Twenty-five village schemes have been started. The construction of ponds cost R10,000/ha and together with the operating costs during the first three years have been provided by a donor. Ponds are operated by the village association and fingerlings are made available in the spring by the fisheries section. With adequate feeding and fertilizer application very high yields (2t/ha) are attainable; food conversion is the highest of any domestic animal (1.5:1); unfortunately, cheap, suitable, protein rich foodstuff is not pre- sently available but there is interest in the by-products which may become available when the abattoir commences operation. The use of several species (polyculture) with differing food and space requirements is likely to be more satisfactory than the use of a single species. 88. Unfortunately, the commercial production of carp selling at 60c/kg (1979) which is the village price, is not economically viable. In a number of the village schemes the charge of 60c/kg which only meets recurrent expen- diture is resented by the community who regard the fish as being theirs. There is a limited demand (lOt/year) for commercial trout production within Lesotho. Marketings of trout in the R.S.A. will meet with strong competition from Japanese producers. 89. Stocking rivers with rainbow and brown trout for recreational fishing is welcomed by a small section of the community and may provide an additional attraction for tourists. Initially this program appeared to be successful but, in a number of rivers, silting has adversely affected the spawning beds. I. Livestock Services Extension Service 90. Livestock Division. There is a Livestock Officer supported by a Senior Livestock Assistant in each District. In addition there are specialist pig, dairy, and poultry officers in the northern, central, and southern areas of the lowlands. There are some 47 Livestock Improvement Centers with Livestock Assistants supported by Livestock Attendants. Each Assistant has responsibility for four dip tank areas, and provides routine treatment and administers drugs. Improved rams are distributed from the Centers. Assistants are supposed to spend 16 nights per month in the field, approximately four nights in each dip tank area. Unfortunately, this level of touring is not being achieved because the available funds for subsistence and travelling are depleted by other calls that are made on them and it is only possible to pay Assistants for some seven nights per month (R2/night). 91. Range Management Division. This Division has only recently been separated from the Livestock Division. Ten officers have been posted to the field where they are assisted by Grazing Control Supervisors. The Division is staffed by well qualified professional officers. They are responsible for - 181 - ANNEX 8 Page 23 advising on stocking levels, for monitoring grassland trends and for the investigation of grassland management and improvement. We believe that this Division has one of the most important but most onerous tasks in Lesotho and we hope they will be given adequate support. 92. The mission also hopes that in the course of their investigational program which should include stocking levels, rotational grazing, the eradica- tion of undesirable species, sod seeding, etc., they will pay particular attention to the question and cost of implementing their findings. Marketing and Procurement 93. The Livestock Marketing Corporation (LMC) has not operated satis- factorily, and has lost the farmers confidence. It is scheduled for termination but cannot be dismantled without legislation. The Livestock Produce Marketing Service is currently responsible for the marketing of wool and mohair and will probably be made responsible for the procurement of slaughter stock for the abattoir and for the marketing of the abattoir output. 94. Wool and Mohair. Wool is graded and baled at the woolshed where a record is made of each farmer-s clip. The wool is sold at auction by the South Africa Wool Board. Producers receive an initial payment within two or three weeks based on the gazetted price. The farmer subsequently receives the balance of the actual price realized. Traders provide an alternative marketing channel for part of the wool clip. Mohair is sold at auction by the Mohair Board in the R.S.A. It would seem most desirable that this arrange- ment be continued. We believe that advantage should be taken of offers of assistance by the Board to improve mohair production including guidance if necessary on practical aspects of grading. 95. Meat: Cattle and Small Stock. While the continued importation of non-grade cattle and sheep is not in the best long-term interest of the country the recommended alternative of importing grade animals poses a dilemma. Grade cattle in particular need to be fed properly, and they are not fed properly under communal range conditions. This may explain why non-grade animal imports are so common. A ban on stock imports may not be possible at the present time, as it could adversely affect the operation of the abbatoir, particularly in periods of low domestic supplies. Non-tariff barriers, unless for valid reasons, would be resented by migrant labor. 96. In order to facilitate the procurement of stock for the abattoir, a number of buying centers are being built. At these centers owners of stock will have the opportunity of selling to other individuals, i.e., butchers, farmers or traders as well as the buying arm of the meat company. The success- ful operation of the abattoir depends on a reliable supply of animals. The single shift operation which is planned requires an annual throughput of 25,000 cattle and 50,000 sheep or approximately 5% of the national herd and flock. A small additional benefit from the operation of the abattoir could be the production of properly flayed hides and skins. - 182 - ANNEX 8 Page 24 97. Under the Lome Convention Treaty there would appear to be a pro- fitable market for manufacturing beef in West Germany but the terms of the Convention may cause difficulty in importing stock in large numbers from the R.S.A. 98. Milk - The relatively small quantity of fresh milk being produced commercially is collected and marketed by the Maseru Dairy. Marketing problems are not anticipated as a rapid expansion of commercial milk produc- tion is unlikely. Prices 99. Stock prices in RSA October 1979: Cattle c/kg liveweight Quality slaughter 60-70 Cows and old oxen 56-58 Weaners and stores 56-58 Manufacturing 48-52 Sheep Slaughter 70 Store 65 Pigs Porkers 100 Baconers 84 Sausage 68 Weaner 100 Retsiang Farmers Association sell locally raised cattle at 65c/kg. Fencing Costs (i) 4 strand plain wire, wooden posts steel droppers R600/km (ii) 4 strand barbed wire wooden posts steel droppers R720/km - 183 - ANNEX 8 Page 25 III. DEVELOPMENT PROBLEMS AND STRATEGIES A. Past Development Efforts Smallstock 100. In spite of the unique role of cattle, official efforts to improve small stock have over a long period exceeded efforts made on behalf of dairy and beef cattle. Wool and mohair have provided cash income and have for many years been the most important exports; throughout the colonial era, export products attracted a disproportionate amount of attention. Small stock numbers reached a peak of an estimated 4 million in 1931 and of these it is believed that 3 million, mainly sheep, were kept year-round in the mountains. During the 20s, exports of wool averaged 5.2 million kg annually; mohair 1 million kg. During the 30s, a slump in prices and adverse seasons resulted in both large fluctuations and an overall decline in exports. Livestock numbers and exports are shown for selected years between 1952 and 1978 in Table 8.5. Table 8.5 - Livestock Numbers and Exports Year 1952 1957 1962 1967 1974 1978 Cattle (Nos) 401,220 430,998 337,060 278,940 512,400 521,500 Exports (Nos) 9,756 11,515 8,830 17,794 7,225 1,223 Imports (Nos) 7,189 12,451 19,954 1,946 3,046 47,673 Horses (Nos) 102,900 98,830 92,575 75,664 114,800 103,500 Donkeys (Nos) 59,190 48,900 54,630 46,449 101,700 85,400 Mules (Nos) 3,090 2,470 5,190 2,849 2,300 800 Sheep (Nos) 1,564,000 1,557,550 1,423,600 1,468,500 1,584,700 943,900 Wool (m/kg) 4.02 3.04 3.88 2.93 2.7 2.6 Goats (Nos) 637,065 609,270 688,290 848,392 885,400 615,500 Mohair (m/kg) 0.56 0.47 0.69 0.63 0.71 0.5 Note: Livestock numbers are unreliable; the figures for wool and mohair relate to the official exports as distinct from total production some of which is believed to have been smuggled. 101. Health. A well organized dipping programme based on approximately 200 dips and dipping areas had eradicted sheep scab by 1933 and dipping was discontinued in 1935. It resumed in 1969 for keds in sheep and for lice in goats. The unfortunate re-introduction of scab in 1975 necessitates a strictly enforced dipping programme if this disease is to be eradicated. A program of dosing against internal parasites has also been introduced and effectively implemented. - 184 ANNEX 8 Page 26 102. Genetic Upgrading. In order to improve wool and mohair quality large numbers of rams and bucks (goats) of good conformation have been distri- buted to farmers. Between 1935 and 1960, 16,000 rams were imported and distributed; in recent years approximately 200 imported and 200 home-bred rams have been distributed annually. Between 1951 and 1963, 2,400 Angora type bucks were imported and distributed. The programme has, except for a brief period, been largely ineffective bescause of the inability to control mating. In the years prior to 1958 there was on-the-spot castration of poor male animals and this was reflected in the decline in the proportion of coarse Kempy and hairywool in the clip from 30% in 1938 to 4% in 1958; since 1958 when the castration of rams and bucks was discontinued, the proportion of poor wool has risen to 23% (1966) and the proportion of the best grades has continued to decline. Another important cause of this genetic deterioration of flocks has been the selective effects of deteriorating nutrition. Animals of less economic value have tended to survive more easily. 103. Grading. The classing (grading) of wool was commenced in 1937 and of mohair in 1953. There have been strenuous, but not always successful efforts to ensure that grading is satisfactorily done. It has been difficult to supervise the grading by traders who used to be responsible for the export of a large part of the total clips and who are still handling certain amounts. The construction of 100 wool-sheds has provided livestock owners with good conditions for shearing their stock. 104. Sales. Wool and mohair are sold by auction at the coast in R.S.A. and have in recent years been handled by the Wool Board and the Mohair Board. In 1973 the Livestock Marketing Corporation was created and it subsequently attempted to organize the sale of wool and mohair without the assistance of the South Africa boards. A decline in official exports in 1976 was followed by the suspension of the LMC's activities in 1977 but not its disbandment, which requires legislation. The Livestock Produce Marketing Service is currently responsible for the marketing of wool and mohair. Wool and mohair exports have been subject to levies which have been important sources of revenue for Government. The continued success of traders in wool and mohair marketing must be attributed largely to their willingness to pay cash for small quantities; although the producer receives a lower price and receives no benefit for better quality products. 105. Associations. Owners of sheep and goats have been encouraged to form associations in order to improve the amount and quality of their products, members have been required to use only approved rams, to dip and to dose; and have sometimes been encouraged to use mineral supplements. Lambing and kid- ding rates have been higher than the national rates and members have received higher prices for the better quality of wool and mohair. A recently formed Grazing (sheep) Association has been allocated the exclusive grazing right to land near Tshaba Tseka. Cattle 106. Cattle have always played an important role in social life. (Accounts of Lesotho life and customs sometimes suggest that bovines are the only livestock.) Cattle represent wealth, security, and a source of - 185 - ANNEX 8 Page 27 income. A large variety of breeds have been introduced. Since 1954 the introduction of the Brown Swiss has been officially encouraged. In addition to the Brown Swiss, Friesian cows have in recent years been distributed for milk production. Until the end of the last century cattle were the only class of stock taken into the mountains for summer grazing; in the early 50s, when there was concern about overstocking, it was considered that there was no room in the lowlands for small stock if dairy cattle and work oxen were to be adequately fed. Grazing control in cattle post areas has been very lax in recent years. Various attempts to prevent the increase in stock numbers have been tried; in the late 50s, traders were only allowed to import a tolly or yearling if they exported a mature animal. Today a migrant worker is allowed to import two animals every six months and very large numbers of frequently nondescript poor quality stock are being imported. Dairying 107. In 1966 dairy schemes were started in three villages; the communally run dairy was not successful but small quantities of milk were produced in the other two schemes. The distribution of grade Friesian cattle to a small number of farmers has been a component of both the Thaba Bosiu Project and the Khomokhoana Rural Development Project. The government-run Botsabelo dairy produces a limited quantity of milk and this, with milk from local farmers, supplies fresh milk to Maseru. Providing an artificial insemination service has limited the expansion of small-holder dairying and has confined the scheme to farms within easy access of Maseru. Feedlots 108. Feedlots have been established in a number of area based projects including the Senqu River Agricultural Extension Programme, the Thaba Bosiu Project and the Khomrokhoana Project. A number of small-scale fattening schemes by individual farmers were initiated in the Senqu Programme. It is intended that the feed lots at Masianokeng (Thaba Bosiu) and the Retsepeng Farmers Association Feedlot (Khomokhoana) will be expanded and become part of the abbattoir feedlot project. The Retsepeng Feedlot fattens mainly imported store cattle on imported feeding stuff; it has covered the cost of operation in the case of animals held for 60-70 days but not in the case of animals held for more than 90 days; it has only occassionally covered the cost of the capital investment. Other Projects 109. Area based projects concerned with livestock production in the uplands are Thaba-Tseka and Mphaki. The Thaba-Tseka Project was initially concerned with the development and utilization of mountain grassland but has subsequently been expanded to include crop cultivation and all aspects of social development in a mountain environment. The Mphaki Project in the Quthing District covers an area of 72,000 ha. The project was formulated in 1977 but has encountered a variety of delays in infrastructure development; one component of this project has been the formation of a Brown Swiss Grazing Association and the enclosure of 400 ha of grazing land. - 186 - ANNEX 8 Page 28 Summary 110. The poor performance of cattle, sheep, and goats is primarily due to a lack of national support for the introduction and implementation of necessary measures including grazing control, the castration of male animals of poor conformation, and the cul:Ling of all unproductive animals. It seems that there has been a serious lack of continuity - projects have been started and abandoned - and possibly a fa:Llure to learn from mistakes. The present development of intensive animal production with imported feedingstuffs must be vulnerable to any reduction in family income; farmers are unlikely to find alternative markets for these prodlucts should the domestic demand decline. B. Evaluating the Overstocking Problem Public Perspective 111. Between 1920 and 1930 stock numbers rose rapidly and by 1931 there were an estimated 1.55 m SLU of which small stock accounted for 0.76 m SLU. Subsequently livestock numbers declined, in 1936 there were 0.86 m SLU. For three decades prior to 1975 total livestock population appears to have remained fairly stable at approximately 1 m SLU although there were fluctua- tions in cattle and goat numbers during this period. Since 1975 there has been a substantial decline of one-third in the numbers of small stock and there has also been a decline in equines. Staples and Hudson (1938) esti- mated the national carrying capacity at 1.06 m SLU provided that stock could be distributed and grazing control ensured. In 1968 Bawden and Carroll suggest that the maximum area available for grazing is 2.67 m ha; this figure includes fallow land and the stubbles on cultivated land. 112. Because stock has not been distributed satisfactorily, i.e., the more accessible areas have been overstocked and the remote areas have been understocked, many areas have been stocked for a long period at more than 1:2.5 ha. The result has been a decline in carrying capacity of many of these areas, due to either shrub aLnd weed invasion or to the loss of soil and sometimes to a combination of both. This environmental degradation represents a most serious loss of a national resource, although it may not be perceived as such by individuals. We believe that more than a quarter (25%) of the total grazing land requires rehabilitation measures which must include the removal of stock. Without some destocking at a national level any attempt to rest a large proportion of the country's grassland will result in the transfer of stock to other areas and this will, in turn, jeopardize these areas. If the country-s grasslands can be restored it would be possible to carry 0.8 m - 1.0 m SLU and obtain higher levels of production than at present. There are categories of stock which do not contribute significantly to productivity and whose removal in terms of good animal husbandry is desir- able. Unfortunately, many of the animals in this category are not attractive - 187 - ANNEX 8 Page 29 to the butcher, nor are they suitable for fattening and it will be necessary to devise incentives for their removal. The planned throughput of 30,000 SLU -er year at the abattoir will not be sufficient to reduce livestock numbers. 113. A reduction in stock numbers by the removal of say 150,000 SLU during a period of four or five years followed by the controlled build-up of numbers is necessary if the deterioration of the country's grasslands is to be checked and, hopefully, reversed. There have, in the past, been many proposals for reducing stock numbers; few of them have been very success- ful. Some never were introduced, while the implementation of others has been half-hearted. Most reductions there have been in livestock numbers must be attributed to unfavorable seasons, poor prices for wool and mohair and sometimes to disease. Policy Options 114. Without individual responsibility for the management of grazing areas there must be misuse. We believe that it is probably necessary formally to allocate exclusive grazing rights to individuals or to groups of individuals such as grazing associations. Allocations should include safeguards against misuse and would involve lease holders in undertaking improvements, including the eradication of shrubs and herbaceous weeds. The allocation of land will require the payment of an annual fee, to be negotiated at regular intervals. A livestock tax would probably be easier to collect and might be considered as a possible alternative to the payment of rent or a grazing fee. C. Future Development Strategies Policy Reforms 115. Grazing. In spite of a long standing tradition that crop residues and stubbles can be grazed by stock belonging to any local owner, we believe that crop residues belong to the cultivator and that he should decide on their disposal, including their sale for fodder (or for fuel in the case of non- edible materials). It is also necessary to confirm that the cultivator of a sown pasture or other fodder crop has the exclusive right to harvest or graze the crop and has a continued right to the use of the land on which it is growing even though it is not ploughed. 116. The traditional allocation of grassland for grazing and the regula- tion of livestock numbers do not appear to have worked satisfactorily for a number of years. It is possible that the only solution will be the division and formal allocation of these grazing areas. How this should be done would require considerable reflection by the Basotho. The experiences of other societies which have faced the same problem will be instructive, and for this purpose the Lesotho authorities might examine the Botswana Tribal Grazing Land - 188 - ANNEX 8 Page 30 Program. In this program, grazing areas are divided into one of three classes, commercial, communal and reserve. The commercial areas are divided into ranches and applications are invited for long-term leases from indivi- duals or groups of individuals who have the resources to stock and develop the ranches. The communal areas are intended to provide grazing for stock belonging to owners who are not able to apply for a commercial 'lease'. It is intended that stock movements and numbers be controlled and production improved. Reserve land includes village areas, parks and other land which is reserved for subsequent development and which is not allocated to the commercial or communal categories. Livestock Numbers and Quality 117. In as much as livestock, particularly cattle, are a vehicle for savings and investment, recommendations for reducing, if only temporarily, livestock numbers should include alternative opportunities for investment. This is extremely difficult since cattle have always given good returns and have appreciated in value, despite generally low levels of husbandry. In other African countries, profits from arable crops are commonly invested in livestock and it is very unusual to find farmers realizing the value of cattle in order to expand their arable farming. Conventional investments in savings deposits do not provide comparable returns and in addition involve -compli- cated' paper transactions when money is deposited or withdrawn. Investment in house construction (home improvement) could be desirable in increasing the comfort and well-being of the family, reducing fuel needs, and assuring long-term appreciation; it will not however enhance the family's cash income. 118. The genetic improvement of the country's livestock will not be achieved unless livestock owners recognize the need for and accept the implementation of a castration and, therefore, of a culling programme. In addition to the elimination of male animals of poor conformation, it would be desirable to remove old unproductive cows and also females of particularly poor conformation in the case of small stock. The importation of poor quality stock is clearly contrary to improvement of the national herd, and the repatriation of part of migrant workers' wages in stock should be reviewed and, possibly, strictly controlled. The livestock marketing centres which are currently being established, should provide livestock owners with better facilities for the disposal of stock. Unless, however, stock are destined for slaughter, culling will not occur. The introduction of a livestock tax would encourage disposal of poor stock; part of the revenue from this tax might be used to provide cash incentive for owners to sell poor quality animals. Marketing 119. The present arrangements for the marketing of wool and mohair by the LPMS through the South African Wool Board and Mohair Board should not be changed. The alternative outlet provided by traders should continue but livestock owirZrs should be made aware of the better prices which can be obtained. Attention to grading is of paramount importance. The installation - 189 - ANNEX 8 Page 31 of a wool scouring plant in Lesotho should not be undertaken without careful survey of the market opportunities. The local use of increasing amounts of mohair for spinning, knitting and tapestry should be encouraged. A number of private groups, cooperatives and voluntary agencies are providing equipment, training and marketing service. Good designs and high quality products are essential. 120. The export of live animals for slaughter in RSA has involved owners in the cost of transport, loss of stock weight, handling charges, abattoir fees, and sometimes poor prices as a result of the strict grading system. Livestock owners will have the opportunity to sell for cash to the Caledon Meat Company when the Maseru abattoir starts operating. Access to the European market under the Lome convention offers the promise of a strong demand for beef for processing and should enable the abattoir to operate successfully. 1/ The Near Future (1980-85) 121. General. Large herd/flock owners form a very small proportion of the community; they can be easily identified and reached by extension workers; they have the resources to purchase improved stock and to pay for drugs and other inputs. The few grazing associations consist of groups of progres- sive livestock owners with stock of good conformation suitable for inclusion in the group herd or ranch. To have the right incentives for proper land use, these individuals or groups of individuals may need the exclusive grazing rights to areas of grassland. Exclusive access would offer incentives for proper stocking rates, but it would also raise into even sharper focus the whole question of equity related to grazing land access. As explained above in paras 26 and 30, appropriate user charges would have to be introduced. Unless there is payment for the use of land, any allocation of exclusive rights will be bitterly resented by others; fences are unlikely to be respected, grassland burnt and stock stolen. 122. The problem of households without livestock or with only small numbers is particularly difficult. We would recommend that owners of small numbers of sheep and goats be encourage to form village flocks and that grazing land be formally allocated to such flocks. Small cattle herds could be grazed within the farm on fallow crops and crop residues; at certain times of the year it may be necessary to collect and bring fodder to tied animals. Some households could be encouraged to improve their diet by keeping other types of stock, e.g., rabbits, pigs and poultry. There is unlikely to be any difficulty in persuading heads of households to house and feed them. The domestic waste from several households could be collected and, after boiling, form the basis of the ration for a pig purchased as a weaner, or for a small number of birds. Rabbits must be housed; during the summer they are provided with fresh green food, in the winter green food and hay; they can also be given domestic waste materials such as bran. 1/ More recent proposals indicate that the abattoir may attempt to supply frozen high grade feed. - 190 - ANNEX 8 Page 32 Research and Investigation 123. Since land for grazing and other uses is currently in the public domain, the Ministry of Agriculture will have to take more direct responsi- bility for improving its management. This presupposes reliable data on the state of the land resource. We, therefore, recommend that the Rangeland Division initiate a quantified monitoring program employing aerial photography, satellite data, and field sampling. Valuable insights into the rate of change might be derived from the interpretation of earlier aerial photography. In such a study, it is impossible to over-emphasize that the method adopted should be replicable, should not over stretch the manpower resources of the Division, and that it should be quantified. Aerial photography would be used in the initial identification of vegetation categories: (it can also be used to determine the pattern of land use). Purpose-flown large scale (1:20,000) photography in colour or preferably in colour infra-red in late summer would facilitate interpretation, although black and white panchromatic photography at smaller scales can be utilized provided it is not more than five years old. The high cost of conventional aerial survey precludes the use of frequently repeated photography or even of sample strips of photography and the use of LANDSAT data should be considered as an alternative. 124. In the absence of a ground receiving station in Southern Africa it would be necessary to obtain agreement with the American agency NASA* to switch on the sensing and the recording instruments twice or three times per year for an indefinite period. Suitable times would be: early spring, late spring and late summer. It is assumed that Lesotho would be covered by two paths (four frames) and that, depending on cloud conditions, data might on each occassion be obtained on two successive days or at longer intervals (nine, 18 or 27 days). The satellite data is acquired by the user either on inexpensive film or on slightly more expensive magnetic tape. Relatively sophisticated equipment is necessary for the analysis of the magnetic tape. The film or magnetic tapes can be processed in North America or Britain either commercially or by government organizations. The film imagery contains only a very small proportion of the data available on tape and accomodates a limited range of enhancement techniques. Tape data, however, facilitates the analysis and identification of terrain features as small as 0.6 ha and enhancement and classification techniques of different kinds are possible. After the initial survey involving both A.P.I and detailed field work, 1/ the costs of the subsequent monitoring programme using LANDSAT data are calculated (1) based on film imagery and (2) based on the C.C.T. (Computer Compatible Tapes). Annual Costs 125. Using film 1.3.36m positive chips - Cost of chips 3 band 4 frames 3 times per year 36 at $8 = $ 288 - Photographic enchance in U.K. materials = 1,080 - Labour = 364 $1,732 * National Aeronautical and Space Agency 1/ The initial inventory is estimated at one professional man year plus four technician man years, plus cartographic support. - 191 - ANNEX 8 Page 33 Using C.C.T.s - Cost of 12 tapes at $200 = $2,400 (- 2 hours analysis time per tape at $160/hour = 3,840 (- hard copy say 16 color composites $140 = 2,240 - Labour = 3,640 $12,120 In the subsequent annual field work there will be routine sampling of, say, 200 sites twice per year, this would involve one professional officer full time plus twenty technical staff for twenty days per year. The chemical analysis of a number of samples, say 100 at $16 each might be necessary - $1600. The remotely sensed data would be correlated with the field data e.g., yield of herbage or percentage of bare ground and would also be used to facilitate the extrapolation of this information. Natural Grasslands and Sown Pastures 126. Staff of the recently formed Rangeland Division are well qualified and are familiar with the techniques and developments in both temperate and sub-tropical grassland research. They need to be given the resources and encouragement to engage concurrently in investigation and the application of results. We place very great emphasis on the need for continuity in this work; staff with ability should not be transferred to administrative duties but should receive alternative advancement or merit promotion. Projects or programmes should not involve the temporary withdrawal of staff; it may be possible for expatriate officers to contribute to the programme of the Range- land Division but their contribution must be channelled through the Division. 127. One of the first tasks of the Division should be to bring together the results of all the grazing trials, shrub control experiments, species introductions, sown pastures, descriptive surveys and botanical analyses. The results of trials in similar environments in adjacent areas of RSA could also be included. Staff of the Rangeland Division must be involved in grazing control programmes and in the allocation of rangeland; they will have to advise on stocking levels, sometimes with insufficient experience, they must be involved in monitoring its impact and in adjusting stocking levels when this is necessary. The Longer Term 128. Intensive animal production can be developed relatively rapidly. Its success depends on demand for the products at prices which cover produc- tion costs including the cost of feeding stuffs and which yield a profit for the producer. In Lesotho, concentrated feeding stuffs or their ingredients * Commercial costs $1,500 per frame. - 192 - ANNEX 8 Page 34 will always have to be imported; the real cost of animal feeding stuffs is unlikely to decline and the successful production of poultry, dairy products and pigmeat depends on high family incomes, and a strong demand for these more expensive types of food. There is unlikely to be any opportunity to divert these products to export markets, in the event of the domestic market's contracting. The most reliable long term prospects for livestock production are 'off-the-grass'; primarily from the better management of the natural grasslands but also from sown pastures and fodder crops. 129. Over the last 45 years, there have been numerous, brief attempts at grassland monitoring, research and improvement but the period has been charac- terized by a lack of continuity and sustained effort. Work on sown pastures has also been discouraged in the past by uncertainty over crop ownership or even security of tenure of unploughed land. (It would be possible to extract leaf protein from purpose grown fodder crops in addition to the conventional use of these crops.) 130. Farmers in the lowlands and foothills should be encouraged to establish pastures or fodder crops for work animals, dairy cows, and others remaining year-round on the farm. The infrastructure for ensuring the neces- sary safeguards for animal health already exists; it is essential that staff be given the necessary encouragement and are adequately provided with drugs, acaricides and other supplies. The inability of staff to undertake more than very restricted fieldwork because funds are insufficient to meet subsistence claims must be remedied. Breed improvement has failed to achieve the expected results. We believe that the emphasis on merino wool sheep, angora goat, brown swiss cattle and, recently, the dairy Friesian has been correct. However, in spite of the distribution of improved breeding stock over the last 40 years, the herd and flocks fail to reflect the desired improvements. This failure must be attributed to the preference of owners for other types and breeds and their inability to acquire improved males or prevent mating with poor animals from other herds and flocks. Since 1927, in the case of sheep, and since 1955 in the case of goats, on-the-spot castration of rams and bucks of poor conformation was undertaken and resulted in a significant improvement in the national flocks; the discontinuation of this practice in 1958 led to a rapid decline in the conformation of the flocks and this was reflected in the increased proportion of the poorer grades of wool. 131. In the absence of fencing it is inevitable that flocks will inter- mingle and that mating will occur. In these circumstances there would seem to be overwhelming justification for the re-introduction of the policy of compulsory castration and the culling of undesirable male animals. It is also necessary to control the importation of stock and we suggest that only stock of approved breeds and of satisfactory conformation should be imported. All imported animals should be disease-free. We realize that the introduction of compulsory castration of male animals and restrictions on the importation of stock will be resented, but without these measures, there is unlikely to be any improvement in the quality of wool and mohair or increased beef or milk production. The grazing situation must improve concurrently to provide proper feeding to improve stock. - 193 - ANNEX 8 Page 35 Proposals for Possible Future Investment 132. The purchase and distribution, at subsidized prices, of improved animals is desirable; the ineffectiveness of the program to upgrade the national flocks suggests that, in future, it should be restricted to those dip tank areas or, ideally, those Districts, where all the owners of livestock are prepared to castrate. Similarly in the case of cattle, only farmers or groups of farmers who have demonstrated their ability and aptitude to care adequately for stock should be considered as recipients of government distributed grade animals. 133. The activities of the Rangeland Division of the Ministry of Agri- culture, including a research and monitoring program, are of prime importance. Support for these activities, including assistance with the analysis and interpretation of satellite data and aerial photography could be valuable. We believe that expatriate specialists should be involved in the Division program and that the withdrawal of Division staff as counterparts for other projects is not desirable. A donor agency might consider undertaking a survey of markets for scoured wool; in the unlikely event that prospects for marketing treated wool are favorable, then assistance with the costs and the running of a scouring plant could be considered for assistance. 134. A major need is for the construction of fences or stone walls. The costs of both conventional fences and stone walls are high but stone wall construction does not involve importation of materials. Enclosure, which is essential for the better management of both grassland and stock, does not remove the need for herding because of the risk of theft; regular supervision of animals is always necessary. 135. The cultivation of fodder crops by individuals and by members of Farmers Associations, requires that seeds of suitable species and cultivars be available. Assistance with the supply or hiring of harvesting equipment might be necessary. Because expansion in the cultivation of forage crops is likely to be relatively slow, the need for harvesting equipment will develop corres- pondingly slowly. 136. If the excellent infrastructure which has been developed can be fully utilized, if grazing control measures can be enforced, and if owners will accept the necessity for the on-the-spot castration and the culling of animals of poor conformation then livestock production could make a far greater sustainable contribution to the economy. - 194 - ANNEX 8 Page 36 Livestock and Grassland Sections - Reference and Related Work ACOCKS JPH 1953 Veld types of South Africa S Afr. Dept. Ag. Bot.Surv. 28 BAWDEN MG 1968 The Land Resources of Lesotho CARROLL DM London ODM/LRD Land Resource Study 3 BELL JMK 1977 Report of a TPI Consultative Mission to & WOOD SF Examine the Feasibility of Animal Feed Production in the Kingdom of Lesotho TP1/ODM London R676 BINNIE & PARTNER 1978 Soil Conservation and Livestock Study of and BOOKER AGRIC the Phuthiatsana River Valley for the INTERNATIONAL LTD Min of Ag. Coop and Marketing Lesotho BOTHA J.F. 1969 Introducing Lesotho as a Wool Producing Country. Wolboer 22(6) 9-11 BUREAU OF 1972 1970 Census of Agriculture Report STATISTICS Bureau of Statistics Maseru BUREAU OF 1979 Annual Statistical Bulletin 1978 STATISTICS Bureau of Statistics Maseru EDWARDS H A 1973 Animal Production and Range Management Report Development of a Pilot Agricultural Scheme in the Leribe Area Lesotho FAO Rome Tech Document 5 GUMA T and 1976 Farm Management Economics Terminal Report MAFOSO W (Phase I) on Socio-economic Survey Project Sengu River Ag. Extension Report LES/72/003 FAO/Min of Ag. Maseru HERBST SN 1974 Quantitative Ecological Relationships in & ROBERTS BR the Alpine Grassland of Lesotho Proc Grassland Soc.Sth.Afr.9 61-66 MAXWELL JT 1976 Report on Consultative and Advisors Visit to Lesotho. London ODM PHILLIPS S 1973 Map of Lesotho: Bioclimatic Unit (Film Positive) Forestry Dept. RHODES J 1968 Memorandum on Pasture Improvement Min. of Ag. Lesotho ROBERTS BR 1961 Preliminary Notes on the Vegetation of Thaba Nchu (mountain) J.S. Af. Bot 27(4) 241-251 - 195 - ANNEX 8 Page 37 STAPLES RR 1938 An Ecological Survey of the Mountain and HUDSON WK Area of Basutoland. London. Crown Agents TYSON 1978 Meteorological Data for Southern Africa UYS DS 1970 The Histories of the Angora Goat and Mohair Industry of Lesotho. S.A. Mohair Board Port Elizabeth RSA (YOUTHED S et al.) 1963 Agro-ecology of Basutoland Internal LESOTHiO MIN. OF report. Min.Ag. Lesotho AGRICULTURE TURNER SD 1978 Sesotho farming: the condition and prospects of agriculture in the lowlands and foothills of Lesotho. University of London PhD Thesis - 196 - ANNEX 9 LESOTHO AGRICULTURAL SECTOR REVIEW Soil Erosion and Conservation TABLE OF CONTENTS Page No. I. INTRODUCTION .........................................1 A. Principles and Practices of Conservation .................. 1 Planned Land Use ................ 1 Biological Conservation Measures ..................... 2 Crop System ............. 2 Contour Strip Cropping ............................ 2 Organic Matter ..................................... 3 Fire .... 3 Physical/Mechanical Conservation Measures .... ........ 3 Channel Terraces .................................. 4 Storm Drains ............. . 6 Waterways ............. . 6 Bench Terracing .................................... 7 Gully Control .............., 8 Layout, drainage and protection of Farm roads ............ 9 Sequence of construction of Physical Conservation Works ..................... 11 B. Gravity of Lesotho's Erosion Problem ...................... 12 C. Past Conservation Programs ................................ 13 II. CAUSES AND SOURCES OF EROSION ............... .. ................. 16 A. Nature of Deposits and Erodibility Status ................. 16 B. Destruction of Vegetation and Livestock Practices .... ..... 16 C. Cultivation Practices .............................,. 18 D. Social Factors ............................ 18 - 197 - TABLE OF CONTENTS (Continued) Page No. III. SOIL EROSION CONTROL, REHABILITATION AND CONSERVATION . ... 20 A. Conclusions ........ ................ ....................... 20 B. Recommendations ........................................... 21 Grazing Management ................ .. ................. 21 Arable Land ....... ............ .. ..................... 23 Conservation Education ............................... 25 Reorganization of Soil Conservation Service .......... 25 C. Responsibility for Action ............... .. ................ 27 IV. ACKNOWLEDGEMENTS ............................................... 28 V. REFERENCES ..................................................... 29 - 198 - ANNEX 9 Page 1 I. INTRODUCTION A. Principles and Practices of Conservation 1. The development of Lesotho's natural agricultural resources should be in accord with the local environment and general ecological conditions prevailing. Basically, this implies practicing sound land use such as contour farming, not cultivating stream banks and ensuring that stocking rates in the livestock sector do not exceed carrying capacity. It also implies not utilizing any land outside its natural capability. One might argue that these basic approaches should be aimed at and achieved before any resort is made to physical conservation structures, as they help make it clear to the farmer why soil conservation is necessary. If he isn't clear about this when structures do happen to be necessary, he won't attempt to help maintain them in good condition, which can be more dangerous from the point of view of erosion hazard than not having built the structures in the first instance. 2. The question of the order of introduction of conservation methods is an interesting one to raise, because in Lesotho physical conservation structures seem to have been introduced as the first major conservation strategy. They brought in their train desirable cultivation practices such as contour cultivation, but the approach was clearly structures-oriented and, as we shall argue, not supportive enough of the other, necessary methods. 3. Since effective soil conservation requires an understanding of the different role of each method, and their combinations for erosion control, the following summary of the principal practices and related terminology is presented for the benefit of non-technical readers. Planned Land Use 4. The term "land" here covers all types of country including level and sloping, stony and deep-soiled, and arid and fertile areas at different altitudes within different climatic zones. The important thing to decide initially is into what category a particular piece of land falls and there- fore what is the best possible use to which it can be put. Once the land has been appropriately assessed and something is known of the requirements of different crops and animals, it is possible to decide whether the land is suitable for cultivation at all, what use can be made of it and what soil and water conservation measures will be required. The fullest possible appreciation of the financial implications of arming and cropping patterns best suited to the land and the farmer is essential and one of the most important aspects of good land use planning. The final step is to plan the farming system to which the land is best suited within the economic limitations of the land user or farmer. This entails the laying out of arable fields, grazing lands, roads, water supplies, and drainage lines in such a way as to limit erosion to the minimum. - 199 - ANNEX 9 Page 2 Biological Conservation Measures 5. Biological methods of soil conservation cover those farming prac- tices which use the protection afforded by vegetation to prevent erosion. Biological conservation also includes the steps which can be taken by good farmers to build up good soil structure and fertility so that it resists erosion. High standards of agricultural practices are therefore an essential part of soil conservation. Erosion begins when rain falls on the bare soil and then moves over the surface. Any cover which counteracts the dynamics of raindrop impact and helps to increase the absorption of rain water where it falls helps to prevent erosion. The ability of rain to cause erosion is called its erosivity whilst the extent to which a soil is vulnerable to erosion is termed its erodibility. 6. In most instances, the best soil cover crop is permanent pasture properly managed to incorporate rotational grazing, adequate rest periods and sensible stocking rates. 7. Crop System. The basic principle of biological conservation is good crop husbandry. Continuous mono-cropping, especially without the use of organic manures, can lead to a rapid breakdown of soil organic matter, structure and fertility. Rotation of crops, especially when it includes resting periods under grass and legumes, and crop fertilization, helps to replace humus, re-build soil structure and replenish plant food. 8. Contour strip cropping. This is one of the more simple conservation measures which can be applied to provide protection to the soil singly or in combination with proper agronomic and tillage practices. In essence it con- sists of dividing land along the line of the contour into alternate strips of close-growing, erosion-resistant plants such as grass barrier strips, grass/ legume mixtures, small grains or natural vegetation with strips of wider spaced crops such as maize, sorghums, cotton and root crops. 9. There is no hard and fast rule as to how wide these strips should be. Some conservationists prefer the strips of grass to be as wide as the strips of crop. It depends on such factors as absorptive capacity of the soil, density of grass cover, intensity of rainfall and slope. As a general guide, the width of strips varies from about 10 to 20 metres and the practice is considered suitable up to about 30 (5%) of slope. The system may be successful on slopes greater than 30 (5%) if good farming is practiced and other supporting measures such as mulching and tie ridging are employed. It has the advantage of being simple and inexpensive to apply, using normal hand cultivation methods, animal powered implements or tractors. - 200 ANNEX 9 Page 3 10. Contour strip cropping combined with properly planned rotations, the use of fertilizers and manures, cover crops and the growing of legumes can be a very effective soil and water conservation system. Contour farm- ing alone, even without barrier strips, reduces soil loss by up to 50% on the gentler slopes whilst loss of water through runoff is also cut by the same amount. If contouring and strip cropping are combined, soil loss is reduced by 70-75% compared with "up and down hill" cultivation. On steeper slopes, where soil losses could be unacceptably high, a terrace system may be necessary, although the number of terraces required could be reduced significantly by practicing zero tillage. 11. Organic matter. The importance of a plentiful supply of organic matter in the soil cannot be over-emphasized. It can be supplied as a mulch which gradually decomposes and enters the soil or is dug in like farmyard manure. Far too much material, such as maize and sorghum stalks and bean straw, is burned. If ,he domestic fuel problem can be overcome, better uses for residues would be: as soil surface cover to reduce moisture evaporation and guard against erosion; as bedding for cattle; as compost to be returned to the fields; or to dig them into the land early in the dry season. 12. Fire. Although the intelligent use of fire can be a useful tool for scrub control, very serious damage is done by the annual uncontrolled burning carried out on steep hillslopes and swamp grassland areas in south- ern Africa. These bush fires usually take place when the vegetation is at its driest and sweep over large areas destroying all grass, seedlings and surface trash. The soil is left bare and unprotected and the grass roots respond by sending up weak green shoots which deplete the vigour of the plants. On mountain slopes the effects of uncontrolled burning are most serious particularly where the areas concerned are important water catch- ment areas, which is usually the case. The resulting bare slopes no longer function as sponges, absorbing much of the rain as it falls; the rate of erosion is significantly increased due to the high rate of runoff and the water, instead of replenishing the underground water supplies, rushes down the mountain slopes to do even more damage to land below as is the case in Lesotho. Maintaining and increasing grass cover could be the biggest single contribution to the conservation of soil and water in Lesotho. Physical/Mechanical Conservation Measures 13. Physical, mechanical or structural conservation measures as they are variously called are those which call for construction of stormwater drains, terraces, artificial waterways, dams and similar works. They mainly apply to arable land though terracing can sometimes be required on the more steeply sloping pastures. They are usually designed to dispose of surplus storm water gently whist simultaneously assisting infiltration. It is emphasized that they are only aids to proper physical planning and biological conservation, and not ends in themselves but that they support good soil management. They are really subordinate to the practices of good agronomic and cultivation technology including minimum tillage - as exampled by the use, where applic- able, of chisel as opposed to mouldboard inverting ploughs which turn the soil over thereby exposing it and making it more susceptible to both wind and water erosion. - 201 - ANNEX 9 Page 4 14. In order to set out an effective conservation system, the area is divided into units defined by crests or watersheds and natural drainage lines. Within the sections thus defined the skeleton of a physical soil and water conservation system is designed, laid out and constructed. The key to the "conservation unit" or topographical unit of the whole system is the micro-catchment of the single plant; beyond this are the terrace catchments or the area of land between two conservation terraces. A series of terraces may constitute a field catchment and a series of field catchments a stream catch- ment and so on. All parts are inter-dependent and a breakdown at any point can cause the breakdown of the whole system. There are several ways of putting these physical conservation measures into effect. 15. Channel terraces. After contour farming, the simplest physical conservation measure involving the use of structures is channel terracing constructed across sloping land at fixed predetermined vertical intervals down the slope and designed to interrupt the flow of runoff water and either hold it in the terrace (if the soil is deficient in moisture or has a high infiltra- tion rate) or dispose of the excess water at a safe velocity (if the land is poorly drained or situated in an area of high rainfall). Channel terraces consist of an earth bank with a channel on the top side built along the contour or with a gradient. Terraces on the true contour, which hold up the runoff water on the land and hence are sometimes referred to as "absorption" terraces, are suitable for areas of low rainfall. They intercept and hold the water thus helping it to infiltrate into the soil. These terraces are usually closed at the ends, but where there is a danger of sudden intense storms there may be controlled outlets to allow excess water to drain away. Terraces which are constructed with a slight fall or gradient, intended to dispose of surplus runoff safely to a waterway, are commonly known as "graded" terraces. 16. It is very important to ensure that all graded terraces have properly stabilized outlets at which the water leaves the terraces and passes into the drainage line. The outlets should either be safeguarded by stone paving, staking or grass sodding. If the outlets should start eroding, the erosion will back-cut its way up the terrace and endanger the whole terracing system. The lay-out of the system involves: - selection of a suitable natural or artificial drainage line; - determination of grade, size and spacing of the terraces; - stabilization and protection of the drainage line which should normally be undertaken well in advance of terrace construction. It should already be in a stable condition when water is diverted into it; - correct and accurate pegging of the terrace lines. 17. Graded terraces may be either "narrow-based", having a channel and bank only 3-4 m wide, or "broad-based" with a channel and bank up to 15 m wide (Figure 1), the whole of which can be cultivated by machinery. Narrow- based terraces are not normally cultivated and, to ensure their consolidation to withstand the force of runoff water, the back slope is permanently vegetated with a suitable grass. -202 - ANNEX 9 Page 5 ito 5;^br 'e3 e Broad-based terrace Narrow-based terrace FIGURE 1 Cross-sections of broad-based and narrow-based channel terraces LRf)/MIS/RJ/86h Prepared by Land Resources Dmv,s,on 18. The type of channel terrace to use depends on soil, slope, climate and farming system. Broad-based terraces are only suitable for gentle slopes not >70 (12%), large farms, and where machinery is available for construction and subsequent farming operations. Narrow-based terraces can be constructed by hand or by machine, though more usually the latter, and can be used on slopes of up to 110 (20%) with hand cultivation. They are also, like broad- based terraces, mainly suited to large farms and contiguous farmland. 19. In areas of traditional and shifting cultivation in the developing countries, the vast majority of farms are small and may be fragmented. There- fore the application of terracing and even of comprehensive strip cropping, depends on the agreement and cooperation of all farmers in the area concerned. It also involves a change from non-continuous to continous forms of agricul- ture, the acquisition of some technical knowledge and the cooperative use of farm machinery. 20. The benefits in the form of soil and water conservation and in- creased crop yield may be great compared to the cost. If installation costs are borne by Governments, there need be no increased cost to the farmer except possibly the laying out of the contour lines, and in most cases this should be done for him also by the local extension or soil conservation service. - 203 - ANNEX 9 Page 6 21. Storm drains. Where arable land lies below an area of uncultivated land such as a steep hillside from which stormwater runoff may be expected it is necessry to protect the arable land with a storm drain (also known as diversions, diversion channels and diversion ditches). These are graded channels, somewhat similar to graded channel terraces, designed to intercept surface runoff and convey it safely to an outlet or waterway. They are usually larger in capacity with a steeper gradient than a terrace. Consider- ation must also be given to the treatment and suitable use of the land above diversions to reduce runoff and sediment production. 22. Waterways. After access to an area has been achieved, the first requirement in any physical conservation system is the selection of suitable drainage lines, both natural and artificial, to serve as outlets for storm drains, graded channel terraces or some types of bench terraces. Graded channel terraces, for safety reasons, normally have to be no longer than 500 m and if no suitable natural drainage lines occur within this distance an artificial grassed waterway has to be constructed to dispose of the runoff water from the terraces efficiently and under control. In order to handle the volume of runoff without suffering erosion, grassed waterways should be wide enough and shallow enough to allow the water to flow in a thin sheet. The steeper the slope the wider they need to be to spread the water and retard velocity. However, grassed waterways on very steep slopes would have to be so wide that they would be impractical and, under these conditions, a different design incorporating drop structures and chutes has to be used. Shaped grass waterways are normally stabilized by planting a suitable grass such as Paspalum notatum. Careful design is essential with the main objective of attaining the maximum spread of water over a relatively wide crosssection, thereby limiting flow depth to a minimum. If there is danger of erosion to the waterway whilst the grass is becoming established then small check dams, built from locally obtainable materials such as brushwood, should be constructed at frequent intervals across it. 23. Bench terracing. Graded terracing is not practical on slopes >110 (20%) as the terraces become too closely spaced which substantially reduces the acreage of land available for mechanical cultivation and planting opera- tions. If such land is suitable for cultivation in terms of correct land use principles, physical conservation can be achieved by the construction of bench terraces. However the economics of their construction need very careful consideration as bench terraces are expensive. Moreover, having regard to the limited technical knowledge, trained manpower and finance available in areas of traditional and shifting cultivation, great caution needs to be exercised in the selection of any terrace systems as a means of soil conservation. In areas of high population pressure and steep slopes, there may be no alternative to bench terraces. Channel terraces are not practical on slopes >110 (20%) and every other crop and soil management practice or combination of practices which is simpler or less costly should be applied first. Bench terraces may be level, graded, foward sloping or back sloping, the latter being the commonest form (Figure 2). ANNEX 9 -204- Page 7 24. A back-sloping bench terrace on the contour is desirable in areas of low rainfall so as to conserve all the rain that falls. For rainfed crops in areas of high rain fall it is necessary to avoid waterlogging by disposing of excess water. In order to achieve this the terraces should be graded so as to allow excess water to drain to a waterway. A slight back slope is also an advantage, with a lip along the front of the terrace to prevent over- topping of the bank and erosion of the risers. A small channel along the base of the riser is advisable to improve drainage. Earth banks or risers should be vegetated or stone-faced and have sufficient slope to maintain stability. 25. Design of bench terraces can vary widely according to soil type, depth, climate and slope. Assuming however that the soil is sufficiently stable, and deep enough, a suitable general-purpose design of terrace would have a cross section as shown in Figure 2. They can be used on slopes up to 25 (46%). To ensure stability, the risers have a slope of 1:1. Due to limited depth of soil it is rarely practical to have a vertical interval between each terrace of more than one metre. This means that on the steeper slopes the width of bench available for cultivation is suitable for only hand cultivation. On the gentler slopes where the terraces are wide enough for mechanical cultivation the vertical interval may be reduced so that the terrace width corresponds to the spacing requirements of crops and operating widths of machinery. Back sloping bench terraces normally have a "toe" to "heel" fall of 1:50. 26. In the same way as for graded channel terraces, bench terraces should be protected against storm water by the construction of a storm drain and, unless specifically constructed on the contour for water absorption purposes, should be graded to a suitable drainage line or waterway to dis- pose of excess storm water. Overall width of bench terrace , Rise 1:1 slope maximum height Width of bench 1.5 + 0.3m for lip, (Area of cultivation) drain +compaction Area of fill inclined Lip 10cm high to horizontal to allows for compaction Horizontal line X. ...... ...... _-~i oAreial gtroun lee rXgina gr u Depth of cut Centre of bench (All earth movement across this point) Mid point of riser marked on ground by pegs and straw rope (No earth movement across this point) FIGURE 2 A typical cross- section of back-sloping bench terrace Prepared bv t.and Res-urces DAv-- 5A '1 ) b i! nt.1 Fc - 205 - ANNEX 9 Page 8 27. Gully control. Losses of soil from gullies (dongas) may not be as serious as from sheet erosion. Gullies, however, cause a marked drying out of the land by the lowering of the surface watertable and also break up the topography and so obstruct the movement of equipment, animals and people. Building and roads may be threatened by gully development and frequently expensive reclamation work must be undertaken. Gullies are formed when surface runoff is concentrated; the usual points of concentration are foot- paths, cattle tracks, cultivation ridges, abandoned and badly drained and over-grazed or badly treated drainage lines. Large gullies over 10 feet deep require specialist treatment usually involving the use of structures and expensive materials. Medium and small gullies can be successfully reclaimed if the following basic principles are observed: (a) control measures should be designed and incorporated within any overall land use plan that is being prepared; (b) a gully should be controlled as early as possible in its development before it becomes too large; (c) the amount of water draining into the gully should be reduced or diverted if suitable alternative drainage lines can be found. The volume of water may be reduced by applying phys- ical conservation measures to the drainage or catchment area of the gully, such as terracing or the construction of a storm drain above the gully head. One of the most effective ways of reducing the amount of water draining into a gully is to con- trol grazing on its catchment; (d) wherever possible gullies should be controlled with vegetation. During the period of establishing the vegetation, however, it may prove necessary to make temporary timber, brushwood or stone check dams. These should be constructed before any work of shaping and grassing the sides of the gully is undertaken; (e) in large gullies or in gullies with large drainage areas, where the gully heads are cutting back due to incisive waterfall ac- tion, permanent or semi-permanent structures such as sandbag pitching, gabions, drop inlets and gully head dams may be re- quired - supplemented with dams or stone weirs further down the watercourse; (f) if any livestock are being grazed in the area in which the gully is situated, it will be necessary to fence or beacon it off to prevent the animals from causing any further damage or destroying the reclamation works. 28. Layout, drainage and protection of farm roads. A correctly laid out, properly constructed and maintained road system is most important as access has to be achieved and an internal communications network designed and constructed before the planning of any piece of land of sizeable propor- tions can be effectively undertaken. A few important points for general guidance are given below. - 206 - ANNEX 9 Page 9 (a) Stereoscopic airphoto cover, by providing a 3-dimensional view, greatly simplifies the siting of new roads. (b) Roads should be sited on crests wherever possible, thus dis- posing of one of the most troublesome problems - drainage. A road along a crest has no catchment to shed water onto the road, and the runoff from the road surface can be easily dis- charged on both sides. There is no need for any bridges, culverts or crossings on a crest road, and maintenance is simpler and required less frequently. This applies equally to all kinds of roads, from main roads to the farm track through arable fields. Offsetting these natural advantages of crest roads are a number of disadvantages, such as one encountered already in the Thaba Bosiu Project area of Lesotho: crest roads can be long and winding, and people will often take the shortest route between two points. (c) When it is not possible to put the road on a crest the next best alignment is on a gentle grade fairly close to the true contour. Gradients of the order of 1 in 100 to 1 in 500 will present no difficulty to traffic and are best for the open-channel drains which will be required alongside the road. Grades from 1 in 100 to 1 in 20 are not diffi- cult for traffic, but controlling the erosion in the side drains may be more of a problem. (d) Another good position for a road - to provide crop reaping access to a field - is just below and parallel to a graded channel terrace (if the channel terrace bank itself is not wide enough to be used for such access) as in this position the channel acts as a diversion ditch for the protection of the road. Otherwise, roads are best sited straight up and down the slope at right angles to the contour to sim- plify drainage. (e) The road which goes diagonally down the side of a hill on a grade steeper than 1 in 20 is the worst choice, and it is usually better to use a zigzag layout or the combination of some lengths on gentle grades and some parts straight down the slope. (f) Roads must be cambered to remove water from the carriage way. If the camber can be raised above the level of the surround- ing countryside it allows for broad, shallow, verge drains along the edge of the road. (g) Verge drains should if possible be stabilized under grass which can be controlled by cutting. Grass should be extended to form a broad, protective belt along both sides of the road. - 207 - ANNEX 9 Page 10 (h) Surplus water collecting in verge drains should be led off at frequent intervals. This may be safely done by mitre drains leading to graded terraces in the adjoining land. These carry the water away to safe disposal channels. (i) Roads not aligned on crests or ridges may require special pro- tection from damage by storm water running off higher land above the road. In these circumstances protection may entail the construction of a series of graded channel terraces and storm water cut-off drains discharging to protected waterways and led under control at intervals beneath the road through culverts or across the road over "dish drains". (j) As a general principle, however, situations involving the con- struction of culverts, paving and check dams in road drains should be avoided whenever possible as these structures are expensive to install and maintain. 29. Sequence of construction of physical conservation works. These should always be constructed in the following order: - Roads (for access) - Waterways - Storm water drains - Terraces On no account should they be constructed in reverse sequence, for obvious reasons. B. Gravity of Lesotho's Erosion Problem 30. Unfortunately, in the case of Lesotho, unsound and inadequately con- trolled farming practices, as well as poor maintenance of physical conserva- tion works of the type outlined above, are exacerbating and tending to extend the already spectacular donga formation. Local observers believe that the dongas are expanding slowly, generally at right angles to their course, and getting deeper and wider. A study of old and new air photo cover confirms that the donga expansion has been slow. This situation however, can only be considered a temporary respite as any sudden new extreme between consecutive climatic seasons could easily trigger off a new phase of severe donga activity. - 208 - ANNEX 9 Page 11 -<-. <,.'i c)~ ,'3 >e-,\ :17 . ! Section of stormwater drain i?N 1// Sectionr of /i, ) ,; jSiK channel terrace XV > 1 "- 1/1 /7 !:Section of I,. ,,,jgrass waterway Figure 3. The basic components of mechanical protection: (a) the stormwater drain which diverts storm run-off originating off the arable land; (b) the graded channel terraces leading away the run-off from the arable land; (c) the grass waterway into which both stormwater drain and channel terrace discharge. 31. Based on observations in other countries (5.1) it is estimated that some 400 million tons of soil have been lost in Lesotho from donga eros- ion alone whilst soil loss from sheet and rill erosion in some grazing areas is currently considered to be in the region of 75 tons per ha per annum. Overstocking and resultant overgrazing combined with the naturally erodible nature of the fragile soils and neglect of existing soil conservation works are seen as the primary reason for the severe soil erosion taking place in grazing areas and on cropland. The extensive sheet and rill erosion, which are indicative of an active, ongoing erosional process, constitute an even more serious short-term threat than the donga extension as they are more isidious and less easily detected. - 209 - ANNEX 9 Page 12 C. Past Conservation Programs 32. Several attempts have been made in the past to reduce livestock numbers. None was successful for the reasons outlined in the Livestock Section of this Report. The British Colonial Administration, recognizing the magnitude of the soil erosion problem in the mid-1930's, embarked on a nation- wide effort to protect Lesotho's cropland on the basis of narrow-based channel terracing systems and auxiliary soil conservation measures predominantly in the form of intermediately-positioned grass buffer strips. By and large the main objectives of this initial program were met but, over the course of time this terracing system fell into disrepair owing to lack of maintenance and to structural failures due to design errors. 33. After World War II lack of such maintenance had emerged as a major constraint which prompted the Lesotho Government to concentrate primarily on pilot projects which laid the major emphasis on donga control and exten- sion education. This phase, however, seemingly proved less effective in meeting program objectives than Phase I had been. (LASA Research Report no. 3 1979.) (5.2). 34. In the late 1960's, after independence, it became apparent to the Lesotho Government that the major constraints responsible for the lack of total effectiveness of these early conservation systems was because no real effort had been made to relate the physical structural components of the programs to effective conservation farming practices. Consequently there had been a disappointingly low level of farmer response. Recognition of these realities by the Lesotho Government led to Phase III of the Soil Conservation program on the basis of large scale use of donor agency funding for area-based semi-autonomous crash projects aimed at modernizing the agri- cultural sector. The conservation programs included in these packages laid, if anything, even more emphasis on structural measures than before, which is more or less the present state of affairs. 35. Notable area-based projects with this type of soil conservation component are the Thaba Bosiu Rural Development Project, the Senqu River Agricultural Extension Project, the Leribe/Khomokhoana Rural Development Project and the Thaba/Tseka Mountain Development Project. For a more de- tailed description and explanation of these projects readers are referred to LASA Research Report No. 3 (5.2) as well as the Crop Agriculture Section of this Report. The former Report contains quantified information on cost- effectiveness. 36. Apart from the question of rehabilitation of the existing donga sys- tem, records of soil conservation projects in Lesotho indicate that although physical works and structures do in part control erosion they do so only at great expense. It can be consequently argued, therefore that the cost and effort of constructing and maintaining these works, which in most countries necessitate heavy Government input in the form of subsidies, cannot yet be related to corresponding increases in productivity or in the restoration of - 210 - ANNEX 9 Page 13 soil fertility. Naturally, one of the reasons for this is the lack of ade- quate vegetative cover on the catchment areas above the installed structures and on the protected areas below them. The relevant conclusion to be drawn at this juncture, therefore,, is not that conservation structures tend to be uneconomic but that structures unsupported by other methods of conser- vation tend to be uneconomic. 37. Area-based conservation projects have also revealed that satisfac- tory arrangements for the all important maintenance and repair of conserva- tion works cannot be expected from land occupiers with little commitment to or reward from farming. Rates of erosion are still increasing both from soil-depleting annual row cropping, using inversion ploughs, with little development either in high output annual crops to provide good soil cover or in perennial fodder crops, and by continuous overgrazing of range areas. In many observed cases grass buffer strips - especially in the South - have been encroached on to such an extent as to be almost non-existent. More- over, the question of maintenance - even on the "model" area-based projects themselves - still leaves a lot to be desired. There is evidence, for example, at Thaba Bosiu, of waterways not having been constructed sufficiently far in advance of storm drains and channel terraces to become fully established to grass before having to receive water discharge from these works as illustrated in Figure 3. Until such factors are brought under control it is doubtful whether investments in conservation works can do little more than merely slow down the rate of erosion and catchment degradation. II. CAUSES AND SOURCES OF EROSION A. Nature of Deposits and Erodibility Status 38. The Land Capability Classification Table in LASA Research Report no. 3 (5.2) indicates that there are approximately 400,000 ha of land in any way capable of being cropped. During the last five years there has been an average of 296,000 ha under annual crops and about 90,000 ha of developed fields lying fallow, indicating that most of the land which is potentially cultivable has been opened up. 39. In the lowlands, where the soil erosion is most severe, some 170,000 ha of cultivated land consist of the notoriously erodible 'duplex' soils. These are alfisols which have a very sharp differentation between the A horizon, normally a brownish sandy loam, and the B horizon consisting of clay with a strongly developed prismatic structure. The A horizon tends to be acid with a low cation exchange ratio, being very hard when dry with a low water holding capacity. The B horizon has a severely restricted permeability. Characteristically, these soils are poor in quality and very unstable, drying out quickly under drought conditions but quickly becoming waterlogged during the rainy season. - 211 - ANNEX 9 Page 14 40. Under conditions of heavy rainfall, runoff water from adjacent defoliated hills tends to seep down between the two horizons lubricating the interface. Meeting the impermeable B horizon it -rtows down the incline undermining and causing side-skidding along the interface. The two horizons then virtually break apart whereupon catastrophic erosion results, the land- scape tending to be bitten away in large chunks by "badlands" type gully erosion which is clearly in evidence over widespread areas in the south of the country particularly in the vicinity of Quting. 41. In general by nature of their distribution, topographical position, composition and derivation most of Lesotho's soils, including the layered sandstone-derived soils further north, have a naturally high inherent erodi- bility status as evidenced by the severe donga erosion occuring over wide areas of the territory, not only in the South. B. Destruction of Vegetation and Livestock Practices 42. Lesotho has been cultivated and intensively grazed for a long period. One unfortunate aspect of the country-s communal grazing policy is that it has encouraged maximum ownership of livestock to the detriment of the natural grazing. A striking feature of the landscape, in addition to the interfingering donga erosion, is the almost complete absence of woody vegetation. An equally striking aspect is the paucity of herbaceous vege- tation due to the long period of human occupation, the opening up of land for cultivation, and the overburden of livestock making up the national herd. 43. As previously stated (para. 44) overgrazing resulting from over- stocking is seen as the main contributory cause of the severe erosion occurring in Lesotho. This is borne out by the Lesotho Ministry of Agriculture Annual Reports 1961-70 (5.3) which consistently mention overstocking and recommend reductions in the size of the national herd. The 1970 Report records the territory as being overstocked to the extent of 250,000 LSU's giving this as the reason for the overgrazed nature of the natural pasture and poor con- dition of the herd overall. This is strongly supported from the general condition of the plant cover examined in the field reconnaissance made during the Mission's visit to Lesotho in October/November 1979. Combined with trampling it is evident that many areas are being far too intensively grazed. The grasses are being cropped with such regularity by livestock that - on the poorer, shallower soils - they are not getting a chance to regenerate or form a sward to counteract raindrop i.iipact. This results in the surface soil becoming exposed and compacted, with a reduced infiltration rate and resis- tance to sheet flow so that runoff increases in amount and rapidity and rill and gully erosion follow. 44. Rill erosion is widely in evidence. This is serious because rills are particularly good indicators that soil movement is taking place as they relate to current causes and results rather than to the past. Rills may be - 212 - ANNEX 9 Page 15 so small that they are obliterated by cattle trampling and cultivation - yet, in the process, the soil profile is gradually truncated. Following obli- teration a new set of rills is formed and these, in turn, are obliterated. The process is unspectacular but moves a lot of soil in a short time and much of what is loosely referred to as "sheet" erosion actually involves soil movement through the process of rilling. 45. At the foot of many of the bare rocky hills there is deeply incised gullying in many places due to the rapid runoff from the hills cascading onto the bare overgrazed areas at their base where there is insufficient vegetative cover to absorb the initial impact of the runoff water. In many cases, as a result of this unchecked runoff the erosion gully pattern extends into the lower lying cropland. 46. Elsewhere there are wide stock routes-consisting of a number of bared individual paths - leading from permanent Kraaling sites to watering points and grazing lands. These tracks, themselves, contribute signifi- cantly to the already rapid runoff. It is common to see animals, usually cattle, being herded across the shallow ends of gullies and across terraces and watercourses apparently with complete indifference to the inevitable loosening of the sides and the breaking down of the banks during these, often daily, cattle movements. Grazing and trampling have destroyed much of the grass cover near many streams and along the edges of a large number of existing gullies. This practice has, in a large number of cases, resulted in an extension of the gullied system along the banks and up the neighboring hillslopes. 47. It is suspected, also, that indiscriminate and uncontrolled burning by farmers and pastoralists, to get an early flush of grass before the onset of the rains, have contributed to the long term damage of the plant cover and increased the erosion hazard. C. Cultivation Practices 48. By and large, as a result of the British Colonial Administration-s soil conservation campaign of the mid-1930's , the majority of Lesotho's farmers are oriented towards contour cultivation - but they practice it with laxity. It is, nevertheless, at least a step in the right direction as, on the more gentle slopes, this simple conservation treatment alone can save up to 50% of the soil. Unfortunately, however, many farmers pursue other, extremely deleterious, practices - one of these being streambank cultivation using inversion ploughing carrying their ridging system right up to the edge of the banks so that they spill directly into the watercourse with no protec- tive grass buffer strip. This causes breaking down of the banks, streambank gullying and increased silt load in the rivers. Many of the earlier conser- vation works were also seen to be at fault in this respect as they were seen to be discharging directly into dongas thus aggravating the erosional process along the banks. - 213 - ANNEX 9 Page 16 49. A similarly bad practice noticed was that farmers had often spilled the ridges from cross-slope cultivation onto farm roads and tracks running downslope. Inevitably this had caused the roads to gully badly. 50. Several examples were also noted of cultivation having taken place in actual streambeds or the beds of large gullies. In many cases this had caused re-incision in the beds of old, previously stabilized gullies, as a result of cultivation with the furrows running down gradient. D. Social Factors 51. It has previously been reported by Phororo (1979) (5.4) that the Basotho are apathetic in their attitude towards soil erosion and its control. Turner (1978) (5.5) has made the same observation as a result of a survey which he undertook during his research in Lesotho and has produced quantified information showing farmer interest in agricultural matters in which soil conservation receives a very low rating. Only 1.5% of the respondent farmer population in the survey mentioned a desire to see more or better soil con- servation. Moreover, very few identified erosion as one of their farming problems, being much more concerned with their lack of agricultural inputs and with natural hazards such as drought or waterlogging. This attitude is not surprising. Households that subsist precariously on little land often cannot afford to take a long term perspective regarding erosion. 52. Those who are more able-bodied or in other respects better able to rely on off-farm earnings such as from mining, do not have to battle for survival on small fragmented non-residential holdings with tenuous security. Many Basotho farmers, however, are preoccupied with the success or failure of the next years crop and this is of much more immediate concern than soil erosion control and the construction of soil conservation structures which, in any case, on small subsistence type holdings can swallow up a major proportion of a farmer's available cultivable land. Little wonder, therefore, that many farmers are skeptical of the benefit of soil conservation treatments. In the case of households that can supply able-bodied males for employment in the RSA Mines where they can earn up to 20 times the income they can derive from farming, their land allocation simply tends to be neglected or mined of its nutrients by contractors. 53. A corollary to these observations is that increased productivity and security of tenure will help to reduce erosion. If the constraints to production are removed and farmers achieve higher output, they will be more sensitive to the benefits of conservation farming. - 214 - ANNEX 9 Page 17 III. SOIL EROSION CONTROL, REHABILITATION AND CONSERVATION A. Conclusions 54. Any massive mechanical repair operation to fill in existing dongas is out of the question on the grounds of practicability because: - it would not only be prohibitively costly (amounting to 100s of millions of Rand) but also call for quite exceptional organizational and operational expertise involving such measures as mechanical bevelling, the erection of check dams and gully headscarp regression control structures, sodding, seeding, sandbagging, gabion construction and fencing; - its only effect would be to contain the erosion at its present level for the time being. Donga reactivity would then break out all over again if no steps were taken to remove the root causes of the erosion. The record in other African territories (5-1) shows that even the more simple remedial measures, such as fencing the larger dongas to keep cattle away and give them a chance to stabilize, often do not work as the fencing is frequently stolen for use as fuel or for other purposes. 55. Erosion control must be viewed as an integral part of the agricul- tural system. Clearly, the effectiveness of structural methods of protecting arable land, such as terracing, depends on the amount of vegetative cover in place. Conversely, the effectiveness of biological methods could depend on the level of protection afforded by structures. In the case of Lesotho, it would appear that conservation structures have not been supported sufficiently by the available biological conservation practices. Regardless of the various systems of terracing or other topographic modifications applied in controlling water erosion, the overriding principle of erosion control is the duration and intensity of vegetation cover. This principle applies whether farming is on the extensive mechanical scale of the western world or on the subsistence small-land-parcel scale of the developing nations. 56. Let us consider, for instance, the system of structural conservation works imposed on the Lesotho landscape by the British Colonial Administration. The approach forced farmers to cultivate on the contour, and it has helped to reduce erosion overall. But the continuing high rate of erosion demonstrates that such structural measures are not sufficent by themselves to reduce erosion to an acceptable level at acceptable cost. The introduction of BASP and of the grazing control features of the new Land Conservation and Range Development Project is moving the balance of conservation practices in the right direction, although it is too early yet to judge just where the balance should be struck. - 215 - ANNEX 9 Page 18 57. Increased emphasis on biological methods of soil erosion control based on the use of vegetative cover would entail more land being cropped with limited tillage or being taken out of cultivation and put down to pasture, a reduction in stocking rates to a level compatible with natural carrying capacities, and controlled herding and grazing. It also implies that any tree planting on mountain slopes should be discouraged in favour of a good grass cover which will afford better protection against erosion and at the same time supply good grazing for livestock. 58. Treeplanting could be more usefully confined to areas unsuited to grazing and cultivation such as stream banks and dongas. The planting of fruit trees, however, in those areas with favorable soil and moisture condi- tions, should be encouraged. This practice could be safely introduced on steep slopes (40-50%) using a system of hillside ditches and orchard terraces, with intermediate live barriers, constructed by the farmers themselves under Soil Conservation Services guidance without the use of machinery. 59. The outlook for better conservation farming in Lesotho appears bleak. The overriding reason for this is uncontrolled grazing. Until grazing is controlled and reforms of the traditional land allocation and tenure arrangements take effect, it is problematical whether any really significant and substantial improvements in cropping and livestock productivity and soil conservation can ever come about. B. Recommendations Grazing Management 60. The mission believes that overgrazing is the over-riding factor contributing to Lesotho-s erosion problem; between a quarter and a third of the country's grassland is degraded and requires rehabilitation by resting. At present, because of too frequent grazing, the pasture fallows are too short for the grasses to achieve any really effective photosynthetic activity. Consequently their productivity and vigour are impaired. Better grazing management systems in themselves are not a solution as they do not address the problem of overstocking. Any serious effort to rehabilitate the badly degraded areas, must be accompanied by some level of destocking without which the transfer of stock to new areas merely places those areas themselves in jeopardy. The destocking might need only to be a temporary measure. 61. Grazing, trailing, and trampling have destroyed much of the grass cover along many streambanks and along the edges of a large number of existing gullies resulting in an extension of the gully system along the banks and up into the neighboring hillsides (para 46). Streambank protection regulations therefore, disallowing grazing within a specified distance of stream and gully banks and water courses need to be introduced, or re-activated and measures -. 216 - ANNEX 9 Page 19 should be taken to ensure that the current regulations concerning grass burning are more strictly complied with. Used intelligently, fire can be a valuable tool in the control of scrub encroachment and the elimination of unpalatable tussocks but used indiscriminately it can contribute to the erosion problem and it is suspected that a good deal of haphazard burning of small scattered areas takes place making it virtually impossible to ensure that they are not grazed immediately the first attractive new grasses appear instead of being rested for the four week period specified after burning has taken place. Grazing of crops residues instead of leaving them in the fields, also contributes to the excessive sheet and rill erosion. Rights to the disposal of these residues should be awarded to the cultivator. 62. Summary. - Reduce livestock numbers to levels commensurate with carrying capacities. - Regulate grazing to incorporate rest periods to allow grasses to recover. - Disallow grazing within a specified distance of stream and gully banks and watercourses. Enforce by legislation where necessary. - Control indiscriminate grass burning by tightening existing regulations. - Discontinue the privileges of livestock owners to communally graze their livestock on crop residues without the consent of the cultivators. Arable Land 63. Whilst the capital-intensive structural methods of soil erosion control as evolved by the USDA Soil Conservation Service and pioneered in Lesotho by the British Colonial Administration can, in selected instances, be appropriate for large-scale mechanized agricultural development projects, they pose problems for practical application on smallholder farms in the general farming areas where a single channel terrace can swallow up the greater part of a whole farm unit. In these areas the conservation effort might better be re-oriented towards more basic, short-term cost-effective strategies for reducing erosion and increasing food production which make sense to smallholder farmers - with special emphasis on the use of grass as a (recognized) crop and as a valuable fertility-restoring component in row-crop rotations. Alternatively, in areas where the existing terraces are more or less on the contour, the terrace system can be rehabilitated instead of replaced. Staff of the Conservation Division think that this is feasible and less costly, being adaptable to labor intensive implementation. - 217 - ANNEX 9 Page 20 64. Few concerted efforts have been made to place primary emphasis on grassland management as a soil conservation measure and in those few cases where such attempts were made, they were usually short-lived and unsuccessful (5.6). The Conservation Division should persevere with efforts to convert some arable areas to grass. 65. With regard to cropland, other suitable conservation strategies include: - Maintaining plant cover throughout the year by growing crops of varying ages and different species - a practice used by many subsistence level farmers in forest gardens but usually dropped in the haste to "modernize". Keeping land under permanent vegetative cover is still the best method of conserving the soil. It is self-protecting and doesn't require constant maintenance in the same way as mechanical protection. - Covering bare soil with mulches of leaves, litter and trash, brushwood and crop residues to trap moisture and protect young plants. - Using all available nutrient sources such as vegetable waste, dung, sewage, plant compost and ash. Admittedly, in Lesotho, this would pose problems as many subsistence farmers, out of sheer necessity, have to use dung and trash for fuel as they either cannot afford or practically acquire alternative forms of fuel such as coal or firewood. - Rotating crops to balance nutrient levels in the soil. - Minimum or zero tillage. - On some sloping lands, adopt contour cultivation as the basic conservation practice. Providing the slope and soil type permit, contour cultivation has the following major advantages: It is already widely practiced. It involves virtually no financial expenditure to implement and is therefore significantly cost-effective. It is a logical, common-sense type approach easily understood by farmers. On the gentler slopes the practice not only reduces erosion by up to 50% but substantially assists infiltration - an important consideration in Lesotho. It has no political implications and is implementable within any Governmental structure or system of Land Tenure. - 218 - ANNEX 9 Page 21 * There is no land lost to soil conservation works as in the case of channel terraces (15%) or bench terraces (30%). This is a significant aspect where small landholdings are involved. * There are no Land Tenure problems associated with water channelling and discharge. 66. Any wide program concentrating on contour cultivation per se would best be undertaken by soil conservation staff using Abney levels and assisted by extension staff. Master ridges, to be left uncultivated, could be marked out at 30 m intervals on slopes up to 30 (5%) and every 15 m on slopes exceed- ing 5% depending on the soils. Farmers could assist conservation and extension staff in locating the master ridges the latter being marked with an ox-plough. The farmers would then make their crop ridges between the master ridges. Depending on local field conditions it may, in some cases, prove feasible to utilize existing terracing as "master ridges." 67. Other measures such as not cultivating near dongas, waterways, roads and tracks ought also to be made compulsory. Conservation Education 68. The Conservation Division has been active in conservation education, working intensively with farmers and training institutions. Consideration might also be given to mounting educational programs to acquaint farmers with the benefits of consolidating and re-aligning their farmlands on the contour between master ridges and grass strips. Consolidation makes cooperative farming enterprises possible. These aid the introduction of soil conservation by making layout planning and tillage operations easier. Although each man continues to farm his own land, owners or occupiers of adjacent plots can save labor by consolidating fields. An operation like ploughing, for instance, can be shared and conducted along the contour instead of along property boundaries. Where large enough areas are enclosed, it can be feasible to fence livestock, thus allowing a pasture rotation. Moreover a group accustomed to working together can be approached more efficiently by limited numbers of conserva- tion and extension workers. 69. The teaching of soil and water conservation in schools is also strongly recommended as a long-term strategy. It could be incorporated in the normal Geography or Social Studies syllabus, to teach the youth of the country at least the basic principles of correct land use. This would be particularly appropriate in Lesotho, which has an exceptionally severe erosion problem on a nation-wide scale, and where a nationally-disciplined approach to its control is therefore desirable. A start could even be made at Primary School level. There is no reason why young children in the 6-12 year age group shouldn't be taught that it is wrong to cultivate up and down slopes and in and near water courses, as water runs downhill and carries the soil away with it. - 219 - ANNEX 9 Page 22 Reorganization of Soil Conservation Service 70. The record in other developing countries has indicated that for organizational and operational efficiency, a combined Soil Conservation and Extension Service is best, provided the two Agencies have been founded as a unified organization from the start. Where, on the other hand they have been initiated separately, and there is a wide time gap between the setting up of the two services, then later attempts to integrate them have rarely proved successful because inter-departmental jealousies and rivalries which have inevitably been aroused, in many cases jeopardized good relations. In Lesotho, it is not too late to change the status quo, and it should be possible to amalgamate, or more closely unify, the extension aspects with those of soil conservation - if not at headquarters level, at least at field level - with mutual benefit to both. 71. In some of the more developed countries, the Soil Conservation and Extension Services are independent as in the USA where, however, the Soil Conservation Services is specifically oriented towards a highly sophisticated scientific and technically educated farming community, where many farmers are accustomed to obtaining information for themselves through the various Agri- cultural Information Services and data banks. In such cases it can be reason- ably argued that there is merit in having a separate Soil Conservation Service at user level because of the restricted, more narrow purpose such an agency would have. In the developing countries, however, the advantages of integra- tion are overriding - because highly-developed information services and dissemination by other media, on a sufficiently wide basis, rarely exist. It is really a logical extension function, therefore, to get the message about better crop rotations, better land layouts, better tillage techniques and better conservation practices over to the farmer as well as to convince him that they are going to benefit him. In this context a good technical Conservationist does not necessarily make a good Extension Officer. 72. Summary. - Use simple erosion control measures in the general farming areas with special emphasis on crop rotational and plant cover methods and on contour cultivation, along with the prohibition of culti- tivation on streambanks, streambeds, roads and stock route verges. - Re-educate farmers towards cooperative farming and consolidation of land holdings in the interests of better soil conservation, operational efficiency and profitability. - Introduce Conservation Education into the Schools starting at Primary School level. - Consider amalgamation or closer unification of Soil Conservation and Agricultural Extension activities. - 220 - ANNEX 9 Page 23 C. Responsibility for Action 73. Lesotho's future development or, alternatively, its destruction by catastrophic soil erosion within the next 30 years - which is a possibility if drastic measures are not taken to arrest it - lies entirely in the hands of the Lesotho Government and the rural community. Statements of principle or policy by donor Agencies, internal Ministries and hierarchicial Divisions such as the Soil Conservation Service are meaningless unless backed by the Governments political will and intention to implement them however much they cut across existing deeply-ingraind traditional practices and however poli- tically unpleasant the decisions involved may be. In the final instance the conservation problems of Lesotho can only be solved within the Lesotho Government at Ministerial level. - 221 - ANNEX 9 Page 24 ACKNOWLEDGEMENTS The author wishes to express his thanks to the following for their helpful assistance: Government of Lesotho, Ministry of Agriculture R. Mochebelele - Head, Soil Conservation Division L. Scherer - USAID Engineer, Soil Conservation Division W. Youtz - USAID Engineer, Soil Conservation Division Lesotho Agricultural Sector Analysis Team J. Eckert - Agricultural Economist Colorado State University Field Team Leader - 222 - ANNEX 9 Page 25 References 5.1 Jones R G B (1975) - Ministry of Overseas Development, Land Resources Division Central Nigeria Project Land Resource Report no. 6. A Soil Conservation Consultancy to study soil erosion problems on the Jos Plateau. Land Resources Division 1975. Jones R G B (1976) - Report on a soil and water conservation consultancy, Republic of The Gambia. October/November 1975. Land Resource Report 12 (limited distribution). Jones R G B (1976) - Report on a reconnaissance soil erosion appraisal, with particular reference to forest exploitation and shifting agriculture, Sabah, Malaysia, August-October 1976. 5.2 Nobe K C & Seckler D W - LASA Research Report no. 3. An Economic and Policy Analysis of Soil-Water Problems and Conservation Programs in the Kingdom of Lesotho. LASA Project, Department of Economics, Colorado State University and Ministry of Agriculture, Maseru, Lesotho 1979. 5.3 Ministry of Agriculture) Kingdo of LsothoAnnual Reports 1961-1970. Kingdom of Lesotho ) 5.4 Phororo D R - Land Tenure in Lesotho; Soil Use and Conservation; Water Use and Irrigation. Ministry of Agriculture, Cooperatives and Marketing, Maseru. 1979. 5.5 Turner S D - Lesotho Farming. The condition and prospects of agriculture in the lowland and foothills of Lesotho. PhD Thesis, School of Oriental and African Studies, University of London. 1978. 5.6 Seckler D W & Nobe K C - A Reconnaissance Level Evaluation of Soil Conservation Programs and Methods in the Kingdom of Lesotho. LASA Project, Department of Economics, Colorado State University and Ministry of Agriculture, Maseru, Lesotho 1978. - 223 - ANNEX 10 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW FORESTRY 1. Except for small trees in some valleys Lesotho is characterized by an almost total absence of woody vegetation. The most serious consequence of this is a shortage of local firewood and building lumber. 2. A small, restricted survey indicates that a majority of rural families use a primus stove for cooking breakfast but that the main fuel for both cooking and heating is shrubs, corn stalks, weeds, and cow dung. A small, higher income group uses coal gas and electricity. The burning of cow dung, particularly in the arable lowland areas of population concentration, is one of the reasons why soil organic matter is so low. Growing fuelwood plantations to provide an alternative source of domestic fuel is one of the answers to this problem. 3. In order to provide Lesotho's 200,000 rural households with one cubic meter of firewood per year it has been calculated that 40,000 ha of suitable quick-growing trees are required; this quantity is probably less than half the amount which can be considered desirable; considerably more is used in coun- tries where the need for warmth is less than in Lesotho. 4. Supplying the fuelwood needs of villages has been one of the prin- ciple objectives of the Woodlot Project located within the Ministry of Agri- culture; another objective is the supply of poles. The Project's first initiative is to find a receptive village whose headman is willing to offer land (20 ha will supply 100 households). If the land is satisfactory and the community gives its support, the Project provides tree seedlings. The villagers build the necessary access roads, dig holes (1,100 per ha), plant the tree seedlings and do the subsequent weeding. In return, they receive "food for work" and in the case of afternoon overtime at planting, 50 cents per afternoon. Weeding may be necessary until the third year. After the trees have reached a sufficient height, grazing of ground cover is desirable to reduce the fire hazard; some herbaceous cover is important to prevent soil erosion. 5. So far some 2,600 ha have been planted in 122 woodlots (average size of woodlot - 20 ha), mostly in the west of the country, below 2,000 m in elevation. A large number of Eucalyptus species have been tried. It is extremely difficult to find species that can withstand the severe frost of three months of winter and the extremely high temperatures (well over 30 C) of three months of summer. The most successful species to date is E. rubida, with E. bridgesiana a possible second. E. camaldulensis and E. viminalis which had started off rather well, are now both severely attacked by the Snout Beetle (Gonipterus) and are virtually ruled out. E. tereticornis doesn't stand frost. For good growth thorough soil preparation, by complete ploughing or ripping, and fertilization are necessary. 224 - ANNEX 10 Page 2 6. For the future the Project will continue planting Eucalyptus woodlots in the lowlands, and may experiment with the planting of conifers (especially Pines) at mid elevations (above 2,000 m) on moderate lower slopes, essentially on grazing land. The trees would be planted at a wide spacing or in widely spaced lines in areas which would be closed to grazing for a few years only (up to three-five years) and reopened to grazing there- after. Good soil preparation would be required. Some Pine (e.g. P. radiata and P. patula) are known to grow well in the conditions prevailing. A reasonable amount of acceptable fuelwood would be obtained from thinnings and a final Pine crop spaced at say, 10 m x 10 m would allow shelter for cattle, encourage good grass growth and provide protection (cover and litter) against erosion. 7. Woodlots will not be completely fenced, although a barrier fence may sometimes be erected. Each village is responsible for the control of grazing animals and also for the prevention of fire including the construction of fire breaks where these are necessary. 8. Project staff consist of the Project Director, Assistant Director, three District Forest Officers, one Research Officer and one Administrative Officer. With the exception of the Research Officer, the remaining expa- triate staff are employed by the Anglo-American (Lesotho) Corporation. Lack of Sesotho-speaking forestry officers has been a major constraint on expansion of Woodlot plantings because of the need to persuade villagers to provide land and labor. Training of local staff at the Diploma level is slow and at the degree level, even more so. A SIDA/FAO Mission has suggested that the Lesotho Agricultural College (LAC) provide a course to train forestry extension agents. LAC plans to offer a one-year course beginning in 1981. 9. The resources of the project are limited and might be reinforced. Its more pressing needs include: some heavy equipment, such as a D6 bulldozer, a hydraulic ripper, with spares; a 4-wheel-drive mobile workshop; more funds for fencing; some additional buildings; improvements in nurseries; and the means to pay for a permanent labor force (especially for planting), partly to replace the casual labor force who are now receiving World Food Program rations in lieu of wages. 10. Because no suitable species have yet been proven for planting in the mountains, the Woodlot program has been restricted to the lowlands. The idea of devoting 40,000 ha of land in the lowlands to trees might appear to be odd, given the alleged scarcity of land and the need to grow food grains. But two- thirds of the lowlands area are not arable. Moreover, the decline in crop cultivation in recent years suggests that even foodgrains currently offer weak competition for other uses of land. - 225 - ANNEX 11 LESOTHO AGRICULTURAL SECTOR REVIEW MINISTRY OF AGRICULTURE Page No. I. Resources ................................................ 1 A. Staffing ............................................ 1 B. Technical Assistance ................................ 2 C. Budget .............................................. 3 D. Organization and Management ......................... 4 E. Summary ............................................. 5 II. Services ................................................. 5 A. Research ............................................ 5 Background ........................................ 5 Past Research Findings ............................ 6 Future Strategies ................................. 7 B. Extension ........................................... 7 Problems .......................................... 8 Fertilizer ........................................ 9 Ploughing ......................................... 9 Seed Bed Preparation and Planting ................. 11 Date of Planting .................................. 11 Weeding ........................................... 11 C. Training ............................................ 12 The Lesotho Agricultural College .................. 13 The Leribe Training Center ........................ 13 Problems with Formal Training ..................... 13 Non-Formal Training ............................... 14 D. Basic Agricultural Services Project ................. 14 Background ........................................ 14 Objectives ........................................ 15 Strategies ........................................ 15 Implementation .................................... 15 Problems .......................................... 16 E. Cooperative Crops Production Program .... ............ 17 Past Performance .................................. 18 Future Plans ...................................... 18 - 226 - ANNEX 11 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW MINISTRY OF AGRICULTURE I. Resources A. Staffing 1. The Ministry of Agriculture (MOA) is relatively large. Available data on staff numbers and grades, drawn from the civil service Establishment List, show eleven divisions (Table 11.1). Salaried staff positions for 1979/80 totalled 2,802 of which 2,050 were filled. Staff positions on wages totalled some 1,530. 2. The starting grade for a diplomate from Lesotho Agricultural College is Grade 4; that for a university graduate is Grade 8. (A Head of Division is Grade 13). The numbers of salaried positions grouped according to these minimum starting grades are given below. They reveal that positions requiring (ideally) formal agricultural or professional training account for about one-third of the total. Not all such positions, however, are filled by people having these qualifications. Many hold certificates or rely on wide practical experience. Established Positions Percent No. of Position Grade 1979/80 of Total Vacancies 1 - 3 1,903 68 484 4 - 7 634 23 208 8 and above 265 9 60 Total 2,802 100 752 Vacancy rates are 27% overall: 25% for grades 1-3, 33% for grades 4-7, and 23% for Grade 8 and above. To some extent, these high rates reflect the recent creation of units for which recruitment has hardly begun or for which funds have not been allocated: for example, the Mphaki and Sehlabathebe livestock projects. But compared with total vacancies of 752, the growth in established positions between 1978/79 and 1979/80 was, at 394, considerably less. 3. Distribution of staff among the units is given in Table 11.1; the two largest, Livestock Division and Crops and Pastures Division, account for 45% of established positions. If we add to these the Field Services Section of BASP (currently listed for staff purposes under Administration, but mainly concerned with crops), livestock and crop positions amount to 50% of the total. - 227 - LESOTHO MINISTRY OF AGRICULTURE NE.bere of Staff Poottion. .rd V-caci-es by Adoiniotrative Unit, 1979/R0 Crops & Lerotho E.-coci-c 6 Thaba TecheScol Live-tock Pastots- Exten-ion & Con.erva-ion - Agric-ltural R.e.e-nh Marketing Teeko opetatteio Ad.iniatrati.o Diotsioi DRvEinon Develolonnt Division Cooo.r-tivoa- Colleoc Es.1s±on Division Peoi-ot Unit TOTALS ii E/ Pesitione ab iso. EstabEstab. Vae. E.t.b. Va. Estab. V.c. EEtab. Fa. iotob V Ec Etab. V-c. E,tabm Vac. Eetab Vac. tab. V.. Estbh Vac., Estb. VRancies Filled Staff on SalarY nacden 1-3 257 138 683 104 290 121 187 41 63 28 23 2 98 3 105 13 108 16 47 6 42 12 1,903 484 1,419 Grades 4-7 70 41 96 40 123 43 65 25 71 19 25 6 22 4 21 4 69 16 28 6 36 4 634 208 426 -radea e 6 aboe 29 8 43 10 38 21 18 1 32 6 10 - 18 6 19 6 35 2 11 - 12 - 265 60 205 TOTAL 364 187 822 154 451 185 270 67 166 53 58 8 138 13 145 23 212 34 86 12 90 16 2,802 752 2,050 Etaff on Ocoes 136 256 119 17 681 7 _ 78 76 - 161 1,531 al Grete f-on the Eatabliehesent List, 1979/80, Cabinet Offios, Hasero April 1979. 9 A. ef 31 Septeab-r, 1979. £/ E.tablisbed p.it i.na. The Coop-reti-e DiviEio 000 t--neferred ti the Xini-try of R-1o D-velop ent early in 1980. - 228 - ANNEX 11 Page 2 4. The profile of skills among livestock and crop positions reveals a greater presence of lower grade staff, due no doubt to the greater field orientation of these services. (a) (b) (c) Positions in Livestock, Crops & Pasture and BASP Ministry Grade Field Services 1979/80 Totals (a) as percentage of (b) 1-3 1,080 1,903 56 4-7 231 634 36 8 & above 88 265 33 1,399 2,802 50 The relative predominance of less qualified staff in field positions is understandable, given the necessity of having highly trained policy and administrative staff at headquarters. But it deserves closer attention. Among Livestock Division staff concerned mainly with extension, for example, the Divisional Headquarters has 20 staff of whom 15 are graduates and five are diplomates. None of the staff outside Divisional Headquarters with direct working contact with farmers is a graduate. The 50 staff at Regional or District Headquarters level are either at diplomate/certificate level, or have extensive experience, and their positions are generally not higher than grade 6/7. At the next rungs down on the administrative ladder - the Livestock Improvement Center area level and Village or diptank area level - the 256 staff are generally grades 1 - 2/3 without any professional training. B. Technical Assistance 5. Lesotho has attracted a large number of expatriates to work in its agricultural sector. A total of 256 such expatriates served in the period April 1975 to October 1979, including 177 who served for more than two years. The majority of these expatriates (156) have been classed as "experts" 1/, who provided the following man-years of technical assistance either in semi- autonomous area-based projects or in various parts of the Ministry. Man-Years 1975/76 45 1976/77 59 1977/78 64 1978/79 60 1/ The remainder includes such categories as volunteer and peace corps workers. - 229 - ANNEX 11 Page 3 Most experts have been funded by external assistance agencies and their costs do not generally appear in recurrent budget expenditures for the Ministry even if they work there. Their cost is significant. For example, if we allow $50,000 annually for each expert-s salary and allowances - to establish an order of magnitude - the cost o'- 60 full-time expatriates comes to $3.0 million per annum. The draft Third Five-Year Plan reports that the costs (in 1980-81 prices) of all expatriate personnel provided by donors for the Second Plan's agricultural activities totalled R20.1 million, or R4.0 million per annum. Estimates of such costs for the Third Plan total R22.1 million or R4.4 million per annum. C. Budget 6. Lesotho's recurrent budget estimates for 1979/80 allocate R7.98 million to MOA. This compares with R5.71 million in 1978/79 and R2.33 million in 1975-76. While subject to revision, these figures are useful as orders of magnitude. First, there has been a rapid growth in expenditures, particularly in salaries and wages. Estimates Allocation 1975-76 1978/79 1979/80 ----------------R 000…----------------- Salaries, wages, allowances 1,217 3,365 5,330 Travel and transport 261 639 801 Int. travel 23 117 --- Office admin. 62 188 287 Other operating costs 677 990 1,269 Drugs and dressings 23 37 40 Special expenditure 35 186 250 Official entertainment --- 4 --- Grants and subscriptions 3 105 5 Dept. receipts & revenue covered expend. 28 83 --- 2,329 5,714 7,982 Revenue 150 535 648 Net recurrent budget 24179 5,179 7,334 Second, if we add to the 1979/80 recurrent budget, say, R2.0 million or half the annual cost of expatriates during the Second Plan to represent the contri- bution of expatriates to recurrent services, the total for 1979/80 would be R10.0 million. Against this, the total worth of agricultural sector output was calculated to be about R65 million. 1/ In other words, Lesotho is devot- ing public funds worth about 15% of total sector output to fairly traditional ministerial services (with staff vacancy rates of 27%!) which largely exclude 1/ The value of output in 1977/78 inflated by a factor of 12% per annum. - 230 - ANNEX 11 Page 4 development expenditures. In 1975/76, the proportion would have been around 10%. It is difficult to know whether current expenditure levels are appro- priate or not, but the general question of cost effectiveness would be a relevant one to face in future considerations of any further increases. 7. Foreign aid is partly to blame for this state of affairs. An important function of the Ministry that is distributed broadly across all divisions is the regular reception and servicing of numerous visiting missions from bilateral and international donor agencies. These put a definite strain on staff at all levels, especially at managerial level, and are another reason for the present size of the Ministry. Official aid, especially when it arrives via so many channels, demands a sizeable official capacity at the receiving end. D. Organization and Management 8. Chart 1 shows the organization of the Ministry-s administrative units - its "Divisions" - and its responsibilities for the two parastatals, the Produce and Livestock Marketing Corporations. The chart shows administra- tive lines of responsibility for 12 divisions, i.e. one more than is shown in Table 11.1. Lesotho Agricultural College Research Livestock Administration Extension and Development Range Management BASP Crops and Pasture Technical Operations Economics and Marketing Conservation Thaba-Tseka Project The additional unit arises from addirg two (BASP and Range Management) and deleting one (Cooperatives). Although the Basic Agricultural Services Project (BASP) is part of the Ministry-s central Administration (according to the Establishment List), the Deputy Permanent Secretary (technical) supervises BASP-s substantive operations and its location in the chart has been placed accordingly. BASP also has responsibilities for strengthening other units, including accounts, but these links have been ignored here. Range Management is a new division, formerly part of Livestock Division. The Cooperatives Division has been deleted because of its recent transfer to the Rural Develop- ment Ministry. 9. Most of the Ministry's divisional, civil service responsibilities are executed through the Deputy Permanent Secretary (technical) who is responsible for agricultural technical staff both at headquarters and in the field. The organizational details of most interest are: (a) the lines of authority between headquarters and the field; and (b) the maintenance by the Ministry of distinct divisional units at the field level. Some previous charts (e.g., in the BASP Appraisal Report) have shown line responsibilities between the DPS (technical) and field staff being channelled through the District Agricultural Coordinator (DAC) and no direct lines of responsibility between headquarters Divisional staff and their field counterparts. In reality, each division has strong direct lines of authority from headquarters to field, and the District - 231 - ANNEX 11 Page 5 Agricultural Coordinator (DAC), who is a member of the Extension and Develop- ment Division, is, as the title implies, a coordinator, not a line manager. Partly as a result of this form of organization, field extension staff are organized along divisional lines, i.e. into various fields of specialization, with different extension staff for crops, livestock, conservation, etc. The detailed implications of this are explored further in Part II of this annex. 10. The Ministry recognizes the problems posed by these organizational arrangements and has been considering a reform of its field structure to develop an extension assistant or generalist, who would be responsible for all agricultural matters in a given area. This reform involves a far-reaching reorganization of all technical services. Chart 2 shows one of the proposals that is being considered for this reorganization. It would provide supporting specialists at District or sub-District level, about six area extension officers, each with five extension assistants, thus giving 30 extension assis- tants per District. The DAC would be replaced by a District Agricultural Officer, who would be a line manager. There would be further decentralization of services down to District level and the three current Regional Offices would be retired. On paper, the extension services would then have one exten- sion worker per 600 farming families. The next objective would be to improve this ratio (with training, etc. under BASP) to one per 200 families. E. Summary 11. MOA has a large staff and enjoys considerable technical expatriate assistance for a country of Lesotho's size and range of agricultural problems. It has organizational problems that currently inhibit a cost-effective supply of basic extension advice to farmers. Costs of providing recurrent services stand at 15% of sector product value. Keeping these costs within bounds poses a sizeable managerial task and will be a major issue facing future management. II. SERVICES A. Research Background 12. The first agricultural research station was established near Maseru in 1935 and work was moved to the present site in 1952 when eleven substations were opened in the different ecological areas. By 1956 it was considered that there was duplication of ecological zones in the substation program and the number was reduced to six. Originally the main research station was also a centre for agricultural training but this function was taken over by the Lesotho Agricultural College in 1955. In the 1950's a range of varietal and fertilizer trials were carried out at Maseru and in the substations. There was also work on livestock, grasses and legumes, forestry and irrigation. - 232 - ANNEX 11 Page 6 13. The early varietal work has been outdated by the evolution of new strains over the past 30 years, but there is a need for closer analysis of the other experiments, a number of which followed a consistent pattern for sufficient time to be of value. During the past 10 years, numerous trials have been carried out on the main research station, the substations and on the various area based projects. The Thaba Bosiu project had its own research division responsible for a range of trials over a four year period. Unfor- tunately there has been a lack of consistency in design of the various trials, and in a number of cases the results have not been compiled or analyzed in a manner which provides a firm basis for advice to farmers. In consequence little of value has been derived from this work. 14. The research station at Maseru has a total of 58.41 acres for dryland crop research and 22.36 acres for work on irrigation. There are six substations and a new centre for research into highland crops at Thaba Tseka. There is an establishment of 19 professional officers and 13 technical officers for research but in late 1979 the actual staff consisted of eight professional officers and six technical officers. The research program has suffered from a steady turnover of staff in recent years and there is at present no clearly defined long term research program tailored to Lesotho's needs. The Government of Lesotho has requested help in this respect and the division has recently been strengthened by the addition of seven professional staff from Washington State University. This team is expected to devise and co-ordinate a research program which is closely related to actual farming conditions in the lowland, foothill and mountain areas of Lesotho. At the same time the research staff have been carrying out a survey of farmer prac- tices in all districts in an attempt to isolate those techniques which farmers have proved to be successful under their own circumstances. Hopefully this new direction in the research program will lead into a more fruitful period which will provide concrete proposals for advising farmers. Past Research Findings 15. Whilst little concrete advice has been forthcoming from the research program of the past 30 years it has served to accentuate the risks involved in Lesotho farming and the highly variable results which can be expected. Crop failure is a recurring theme in reports on all crop trials with total failure in a number of years and very low yields in other. At times the reasons are recorded (drought, too much rain, severe pest attacks); at others no reasons are offered for highly erratic yield figures. A typical example of this is afforded by the four year Thaba Bosiu research program which recorded total crop failures in 34% of their maize trials, 40% of sorghum trials and 30% of bean trials. The Fertilizer Program which carries out trials on a countrywide basis recorded a "high crop failure rate" in its 1977 report to the donor conference. Variability within a single season and single location is another feature of research experience and there are repeated references to results which are too variable to provide a basis for clear conclusions. - 233 - ANNEX 11 Page 7 16. This risk and variability has been reflected in a range of demon- strations carried out on the area based projects in recent years which have fluctuated between comparative success and total failure and have consistently demonstrated the risks involved in high cost, high input grain and grain legume cultivation in lowland Lesotho. The variability of results is further reflected in the lack of consistency in the advice being given to farmers to which more detailed reference will be made in the section on extension. Future Strategies 17. Two broad lines of research appear to be needed if Basotho farmers are to be better served by the research division than in the past. The first involves a closer study of those farmers who have evolved systems which produce consistently better results than their neighbors'. Such farmers have been identified by Guma and Gay and many of the factors which make them successful are closely linked to their human and physical resources base. These superior resources enable them to use a combination of practices which produce better results than the average. The total package can be readily observed. What requires further analysis is the relative importance of each of the individual components so that a range of "packages" can be devised to meet the needs of families with varying resource bases. This will be one of the preoccupations of the farming systems team in the next five years and it has the potential to produce more consistent and viable advice for farmers than has been the case in the past. 18. At the same time the high failure rate of the traditional grain and legume crops points to the conclusion that conditions for their production are marginal in the main arable areas. While further research and experience may alter this conclusion, nonetheless intensive research is required into the possibility of replacing some maize and sorghum with crops that are better adapted to the ecological conditions of Lesotho. Climatic analogs and past experience of 'back garden- producition would indicate that orchard crops (both fruit and nuts), vines and intensive fodder crops deserve detailed study. 19. For some time, Lesotho has suffered from an ill co-ordinated research program which has absorbed staff and finance without producing concrete information to assist farmers. The program appears to have been marginally influenced by actual farmer conditions. A reorientation towards a well structured clearly defined program which takes full account of present farmer limitations and possible future needs for radical changes in cropping patterns is essential to any effective research service; recent moves by the Ministry give hope that some progress will now be made in that direction. B. Extension 20. The extension service in Lesotho is organized along specialist departmental lines with field staff in each district concentrating upon a particular aspect of production. At the district level the structure is as shown below: - 234 - ANNEX 11 Page 8 District Agricultural Co-ordinator District District District Soil District District HQ. Crops Officer Conservation Nutrition Livestock Officer Officer Officer (from Extension Crops Horticultural Oilseed Division) Assist- Assistants Crop ants Assistants Field Soil Cons. Nutrition Livestock Assistants Assistants Assistants On all administrative matters the staff report to the District Agricultural Co-ordinator. On technical matters they report to their divisional heads at regional or central level. 21. The assistants at field level are mostly holders of the Certificate in Agriculture from LAC, and whatever their specialization in the field,they have all received the same basic training. At the district level, the staff have either Certificate or Diploma level training. There are established posts for 253 assistants at the field level in crops, horticulture, soil con- servation and nutrition, but, as at September 1979, only 99 of these posts were filled. On the crops side this provides one crop assistant for 2,900 families. In fact some of these staff have other responsibilities and the ratio of these field workers to farming families is lower than the average would imply. 22. In the face of this shortage of manpower at the village level, and the difficulty of travel in some areas, the Ministry is considering the possibility of using its field staff as multi-purpose village extension assistants (para. 10). All have had the same basic training and it is felt that all should be able to offer simple advice on crop, horticultural and soil conservation problems. At the district level the staff would act as advisors in their different subjects and would participate in the in-service training of all extension assistants. Under the current organization of extension, the Extension Division of the Ministry of Agriculture does not have its own village level staff but has the responsiblity of advising the staff of other divisions on the extension methods which they should use. Problems 23. The crops staff have had to deal in the past with two major sets of problems: (i) the consistency and quality of official recommendations on crop production methods to be passed on to farmers; and (ii) the unreceptiveness of many farmers to extension advice. Firstly, crops staff have been exposed in the past to a range of conflicting advice on recommendations to farmers on the best production methods. There are a number of sources of information the principal ones being: - 235 - ANNEX 11 Page 9 (a) "Cropping Guidelines for Lesotho" which is endorsed by the Permanent Secretary (MOA) and is intended as the basis for all extension advice to farmers by extension staff; (b) the teaching notes of the Lesotho Agricultural College where all field staff are trained; _/ (c) the courses at the Farmer Training Centres; (d) the recommendations of the research division; (e) the advice of the FAO sponsored fertilizer program; and (f) the recommendations of BASP. The Cropping Guidelines for Lesotho were recently revised and reissued (in February 1980 after the initial drafting of this Sector Review). The revised Guidelines should have resolved some of the past controversy about technical recommendations but, unfortunately this may not be the case. Newly recommended heavy fertilizer application rates, for example, appear to be based on optimum cultural practices such as frequent weeding and ideal plant populations that seem unrealistic under field conditions. The Mission's pre-February 1980 observations, given below, are still indicative, therefore, of the problems of obtaining consistent, acceptable technical packages for farmers. Fertilizer 24. The current recommendations of various sources are detailed in Table 5. For the same crop and soil type there is up to a twelve fold varia- tion in the recommended quantity of nutrients to be applied. There is also no agreement as to the ratio of nitrogen to phosphorus. Some sources give an N to P ratio of 3:1 for cereals whilst others urge 2:3. Given the variety of fertilizer types on sale with various combinations of nutrients it is hardly surprising if staff have had no very clear idea of what to recommend. Ploughing 25. The following recommendations are currently made: (a) MOA Cropping Guidelines: Mouldboard or disc plough 20-25 cm deep in September to November (i.e. Spring); (b) Research Division: Very deep mouldboard ploughing in winter; (c) LAC: Autumn discing followed by ripping, avoiding wherever possible the use of mouldboard plough. 1/ Thc Principal of LAC has observed that the information reported herein about LAC practices refer to activities on the College farm and do not imply country-wide recommendations. - 236 - ANNEX 1 Page 10 Table 5 Range of Current 'Recommendations' for Fertilizer use in Lesotho Kg nutrient per acre MOA1 LAC2 FTC3 BASP4 FP5 Maize N24 to 44 22 10 7.5 14 P24 to 486 8 15 3.75 21 K 0 10.6 0 0 0 Sorghum N24 to 486 22 10 7.5 14 P24 to 40 8 15 3.75 21 K 0 10.6 0 0 0 Beans N50 N.A. 3.75 5 12 P60 12 7.5 18 Peas N3.5 N.A. 3.75 5 N.A. P11.4 12 7.5 Wheat N4.8 22.7 3.75 7.5 14 P7.2 8.5 12 3.75 21 K 0 5.7 0 0 0 1. Cropping guidelines for Lesotho MOA 1978. 2. Lesotho Agricultural College (Farm Guide). The Principal of LAC has pointed out that the College students are exposed to practices on the College Farm and are taught to interpret both this information and that given in the Ministry's Cropping Guidelines. 3. Farmers Training Centre Leribe. 4. BASP Appraisal Report. 5. Fertilizer Program. 6. According to soil type. - 237 - ANNEX 11 Page 11 Experiments carried out between 1960-1964 do indicate an average benefit of 160 kg. maize per acre from winter ploughing and spring harrowing over spring ploughing only. This involves an additional operation and, more important, leads to a loss of grazing at a time of acute fodder shortage. The Thaba Bosiu survey figures do not indicate any correlation between number of ploughings and gross production per acre. In fact the overwhelming majority of farmers use ox-drawn mouldboard ploughs, and cannot achieve a depth of 20-25 cm or use discs or rippers. Seed Bed Preparation and Planting 26. MOA Cropping Guidelines recommend harrowing or discing and planting with a two or more row planter. There appears to be no research evidence of the benefit of harrowing or discing (Research in Lesotho 1960-65 P.57) but Thaba Bosiu figures show a correlation between number of discings and gross production per acre, which would appear to be related to the control of weeds. No ox drawn two row planters are available in Lesotho so that advice is difficult for farmers to follow. McKee claims that the present row planter which is universally used leads to a 22% killing of maize seeds and to conse- quently poor stands. No other planter is available in the country. Date of Planting 27. MOA Guidelines give 1st October - 30th November as the best period for planting maize and sorghum. This would appear to follow research results from 1960-67 in which the mean yields for seven years of early planting of maize was 970 kg grain per hectare, whilst late planting (in December) was 889 kg per hectare. This was not significant at the 5% level. Present Research recommendations ("Advanced Farming in Lesotho", McKee and Beven 1975) states that planting should be done as early as possible after the last frost and that "Yields usually decline rapidly as planting time is delayed." This is the advice given to farmers at the FTC. Results from Khomokhoana do indicate a correlation between early planting and positive response to fertilizer, and this would be a fruitful field of investigation for the monitoring and evaluation staff. Weeding 28. MOA Guidelines suggest one weeding when maize and sorghum are 15-20 cm tall. McKee and Bevan propose two mechanical and one hand weeding. LAC advise clean weeding for 60 days. Weeding experiments between 1964 and 1968 gave an increment of 540 kg of maize per acre for clean weeding for 60 days as compared to a single weeding at 30 days. There is, however, a major labor bottleneck at weeding time, and clean weeding for 60 days is not a practical proposition for farmers. 29. Part of the reason for the variability of the advice given arises from the range of groups which have been involved in research, training and extension work and a detailed study of the area based projects- advice given through their staff reveals further alternatives to those already quoted from - 238 - ANNEX 11 Page 12 national sources. The range of recommendation also reflects the impact of short term experimental programs in a very variable and marginal production environment. Some of the advice given (e.g. the very high rates of fertilizer application in MOA's official guidelines and LAC's teaching on land preparation) reflect a lack of appreciation of the constraints and risks faced by the small scale farmers. 30. The second range of problems faced by the extension staff stems from the nature of Lesotho's rural community which is dominated by households headed by women for whom their fields provide a minor part of family income. Such families pose three particular problems: (a) innovative decisions in a number of families have to receive the sanction of the absent husband who may be difficult to contact and convince by letter; (b) this group of families often lack the human and animal resources to adopt extension advice (e.g. early ploughing, timely weeding, the use of farm yard manure); and (c) the households are not fully committed to farming because of the marginal role that it plays in overall family finance and are not prepared to invest additional labour into an enterprise which yields comparatively low returns to effort as compared with income from outside employment. The small group of successful farmers have already developed their own Ipackages' and it is not easy for extension staff to offer them additional advice on their crop farming or to use this group's experience in advising others without such physical and human resources. 31. The lack of proven, feasible and economically attractive advice to be offered to farmers entails a lack of incentive to develop disciplined work programs and clear cut patterns of supervision. In consequence the extension staff tend to feel isolated, ineffectual and morale is low. Structural changes in the absence of any viable message will do little to improve the situation. The present need is for an agreed set of recommendations which is practicable for the various classes of farmers. This will have to be obtained from a much closer dialogue with farmers than has been typical of the Ministry's activities in the past, and take account of the varying resource bases of the farming community as well as the normal considerations of varying ecological conditions. The farmers conference, the new bias in the training program and the initiation of a farm systems research project are indications that a move in this direction has been started. C. Training 33. MOA is responsible for the formal training of men and women for staff posts and for non-formal training of the farming community. - 239 - ANNEX 11 Page 13 The Lesotho Agricultural College 33. The Lesotho Agricultural College (LAC) was established in 1955 to provide a two-year training course to Agricultural Certificate level. The college is situated four kilometres north of Maseru and has a 262 acre farm attached to it. In 1962, a two year course in Rural Domestic Economy was established for women. In 1977 a two-year course for the Diploma in Agriculture was initiated. A Certificate in Agricultural Engineering was added in 1979, thus allowing the agricultural certificate course to devote more time to ox-drawn equipment. Normally, students are employed by MOA upon successful completion of their course. Student numbers for the 1978/79 year were: Course First Year Second Year CA 22 55 CRDE 24 31 DA 18 11 CAE 16 - Women students outnumber men except in the course on agricultural engineering. Starting in September 1981, one-year special courses will be offered for 15 students each in Forestry and Arnimal Health. The Leribe Training Centre 34. In 1978 the Farmers Training Centre at Leribe was modified under BASP to provide additional places for Agricultural Certificate training. Facilities were provided for a total of 60 students (30 men and 30 women) but it has not been possible to recruit this number; in late 1979 there were 20 students in the second year and 21 in the first. Whilst the syllabus is the same as that followed at LAC the staff at Leribe have laid strong emphasis on the students' being involved as much as possible in extension situations throughout their training. Problems with Formal Training 35. The training program has suffered from three types of problems in the past. Recruitment has never been adequate and the courses have been consistently undersubscribed. This has led to an under- utilization of resources and inadequate output. Current (1979/80) under-recruitment in some courses is dictated by the need to reserve space for the second year in Agricultural Engineering. Otherwise the Agricultural Certificate course intake could have been expanded beyond the 22 students at Leribe and 30 at LAC. Nevertheless, there is a low level of interest in agricultural training because of the current high wages being paid in South Africa, and the poor image - 240 - ANNEX 11 Page 14 which many people have of the agricultural extension service and the career which it offers; this image may change following the recent affiliation, at the professional level, of LAC with the University of Lesotho at Roma. There is a substantial drop-out of students who look for alternative employment after completing the course. This is a part of Lesotho's overall manpower problem stemming from its proximity to a more developed industrial economy. It results in high costs per effective extension worker trained and in a growing preponderance of women in the agricultural service. LAC has provided a course in the past which has been linked to a highly developed pattern of farming with a strongly tractor oriented bias. Because of transport constraints, it was isolated from the actual conditions of the Lesotho countryside and students have been ill prepared to meet the needs of the small farmers who dominate the rural sector. The Leribe centre and the rearrangement of courses offered at LAC will better meet the future needs of the Ministry for extension assistants. 36. There is at present no graduate level training in Lesotho and all students have to go overseas. The training they receive is often dictated by the scholarships and places offered by the donor countries rather than by the actual needs of Lesotho. There are proposals for a degree in agriculture to be offered in the next five years using the combined facilities of the National University of Lesotho and LAC. Non Formal Training 37. Training for farmers, school teachers, chiefs and others involved in agriculture and rural development is provided at five farmers training centers (FTCGs) through short courses on special subjects. The same centers are used for in-service training for field staff during the winter months. Facilities are adequate and are reasonably well used. As far as the courses on the main food crops are concerned, the main difficulty is to provide farmers with a consistent set of advice which is economically sound, technically proven and managerially possible. As would be expected in view of the composition of Lesotho-s rural population, the majority of participants in the training programs are women. D. Basic Agricultural Services Project Background 38. From the 1950's onwards there have been attempts to improve agri- cultural services to a limited number of farming families through a series of area based projects. In these there has been a greater concentration of - 241 - ANNEX 11 Page 15 staff and services available to a given area than it was possible to apply to the country as a whole. Separate lines of command were established, and in some cases improved conditions of service were offered to staff working on the projects. In 1977 the Government of Lesotho decided hiat whilst some minor technical gains had been achieved under these projects they had failed to provide long term, viable structures which would be of countrywide service to farmers. As a result of this thinking it was decided to replace projects aimed at discreet geographical areas with a broader based program to strengthen MOA's services throughout the lowlands in an attempt to increase crop produc- tion. This was designated the Basic Agricultural Service Project (BASP). Objectives 39. The main objective of BASP is to strengthen the various divisions of MOA which offer services to farmers. This includes both the central Ministry administration, accounting, planning, extension, training and crops divisions and the input supply, credit, crop marketing and extension services in the districts. Specifically it is hoped that over a period of 13 years the Ministry will be able to assist 57,000 farmers to adopt a simple "package" of using 50 kg of fertilizer per acre (containing 5 kg of N and 7.5 kg of P) some insecticide and row planting of crops. It was anticipated that this would lead to an increase of yield of approximately 125 kg of grains and 35 kg of pulses per acre. Strategies 40. Increased crop production from the use of simple inputs is to be encouraged by the construction of a network of stores throughout the country to be run by the Produce Marketing Corporation. The same network will be used for the purchase of crops from farmers. The stimulus to use the inputs is expected to come from a re-organized extension service, strengthened by additional staff from the expanded certificate level training program. The supply of inputs will be facilitated by the upgrading of feeder roads to the stores. Credit will be provided where necessary to farmers for the purchase of inputs and to contractors for increasing their machinery pool and, in consequence, their capacity to serve the local community. 41. In the central Ministry a BASP division has been established to co-ordinate the recruitment of staff, the procurement of supplies and equipment and to encourage the necessary liaison between the various divisions involved. Key staff are being placed in the appropriate posts for strengthening the Ministry's services, and the necessary transport and housing are being supplied. Implementation 42. The project is being funded by a number of agencies, including IDA. The Lesotho Government has divided the country into six "blocks" each contain- ing approximately the same number of families, and allocated one or more of these "blocks" to interested donors for the provision of the funding and expatriate manpower necessary to carry out the field program. IDA has been - 242 - ANNEX 11 Page 16 responsible for funding the training and central services components. By late 1979, work had started in five out of the six "blocks" and expatriate staff were in post in both field and central positions. Construction work had started on stores and houses and certificate level training facilities had been extended and were functioning. Problems 43. BASP faces two major sets of problems, institutional and technical. The institutional problem has three basic causes. Dividing the country into blocks which do not all coincide with existing administrative boundaries, and putting them under the charge of different expatriate organizations functioning on different time scales makes it difficult to avoid the establish- ment of a number of disparate "area based projects" with their own goals and working patterns. At an early stage this has led to a perceptible division between the existing district organization and the additional staff and services funded by the various donors. There is a real danger that parallel structures will evolve which will be difficult to absorb in the future, rather than that the existing organization will be strengthened. The project has a mixture of institution building and production orientated goals. The donor agencies have set their staff specific production and physical development targets which they believe it will be difficult to meet without by-passing the bureaucratic procedures of existing services. In an attempt to achieve short term physical goals, project staff are tending to ignore the long term intention of building up the Ministry's capacity to respond to farmers' needs. The establishment of a monopolistic state organization to engage in the distribution of inputs and the purchase of crops has run into severe difficulties. This institution, the Produce Marketing Corporation, is responsible for taking over all the distribution and marketing components of BASP. The small volumes to be handled combined with high costs of delivery and collection (which had not been anticipated) have led PMC into financial diffi- culties which threaten its collapse. With a growing population and a food deficit situation in Lesotho it is unlikely that large surpluses of staple foods will come onto the market. The scattered population also makes for high costs of input deliveries through a single function trading organization. Lower cost alternatives for input supplies and crop marketing are needed if this aspect of BASP-s work is to be viable. (Adjustments in this direction are being made by staff responsible for BASP implementation.) - 243 - ANNEX 11 Page 17 44. The technical problems faced by BASP arise from both the physical and social context of Lesotho farming. The increase in production which is anticipated is due to be derived i-rom increased fertilizer and insecticide use (as well as from new roads, credit, extension activities, increased tillage capacity and improved marketing facilities). But the proposed crop package does not offer attractive returns to farmers, particularly in the high risk areas of the south and it does not seem likely on the basis of current evidence that there will be a six--fold increase in fertilizer purchases by 1982/83 as envisaged under the project in the southern half of the country. Although the projected increases from fertilizer use are very modest, recent evidence from survey data indicates that, in the absence of a general improve- ment in husbandry, they may not be achieved. Finally, the economic justifica- tion for the project depended upon arresting a decline in yields which was thought to have taken place over the past 20 years. Closer analysis of the available data does not indicate such a decline; which places a constraint upon the economic viability of the project. 45. BASP's function as an institution building program should be fully accepted and understood by both donors and the Ministry, its staff integrated into the Ministry, low cost supply and marketing agents identified and mobil- ized and more accurate information on which to base an appropriate range of advice to farmers acquired. At the same time it should be prepared to par- ticipate in the necessary developmtents required for the future intensification and diversification of Lesotho agriculture to meet the anticipated changes in the manpower situation in the farming sector. E. Cooperative Crops Production Program 46. The Cooperative Crops Production Program (CCPP) was introduced in 1976 with the following objectives: (a) to increase production of winter wheat; (b) to demonstrate better cultivation methods; and (c) to address the problem of improper land use by farmers. The program was based on the traditional system of share-cropping common in Lesotho. The difference with usual sharecropping arrangements was that the farming household contributed only the land and provided no labour or share of the costs. Field operations were fully mechanized and harvesting was by combine harvester. At the end of the season 50% of the crop was given to the farming family. As a result the program was nicknamed "Alama u je" (Manna from heaven) by the participating families. - 244 - ANNEX 11 Page 18 Past Performance 47. The program has functioned for three years on the following scale and financial results: 1/ ~~2/ 76/771- 76/77-2 77/78 78/79 Area cropped 3,113 1,342 6,386 4,576 -------------------Rands---------------- Losses incurred 785,000 518,000 750,000 n.a. 1/ winter 2/ summer The losses quoted are the difference between operating costs and the value of the crop produced and do not allow for the depreciation of machinery and equipment. An increase in 1979/80 wheat prices may contribute to the CCPP's making a profit for that season. 48. In addition to the financial losses involved in the program there has also been a substantial diversion of staff resources (160 drivers and 90 other staff) in to a very small proportion (approximately 1%) of Lesotho's arable land. There are two more serious weaknesses of the program. The first has been the replacement of local resources for annual crop production by capital intensive equipment. This has led to an under-utilization of local labour and draft power and a total dependence upon South Africa for equipment, fuel, spares and services. This is the antithesis of what the program was expected to produce in terms of self sufficiency for Lesotho. The second weakness has been the impact upon the farmers. They have been made reliant upon government services and given grain without the investment of cash or labour and without risk. In addition, the program has demonstrated that the modern methods used for growing wheat, potatoes, sunflower and teff (the crops grown under CCPP) result in serious financial losses and are not a viable proposition. This again is the opposite of the intended function of demonstra- ting improved land use. Future Plans 49. The CCPP became subject to reorganization on January 1, 1980. Henceforth, the former CCPP blocks will be organized as cooperatives which will assume the business risks of crop farming. The Ministry will continue to provide mechanized contracting services through its Technical Operations Unit. - 245 - ANNEX 11 Page 19 50. The Government of Lesotho is naturally concerned at the under- utilization of its soil resources because of the exodus of able bodied men to South Africa. At the same time the short term strategies of CCPP to counteract this situation have proved both costly and inimical to long term development objectives. Ultimately Government will be faced with the challenge of generating employment opportunities in agriculture, rather than replacing labour with capital intensive equipment. It is currently faced with some underutilization of arable land, but this can best be remedied by strengthening farmers' own resources to cultivate, rather than by direct and costly involve- ment in state production. Systems of share-cropping using both ox and tractor power are in existence which do make the most use of local resources and do not involve the nation in heavy losses. These are in danger of being under- mined by highly subsidized Government services which cannot be to the long term benefit of the economy. The need at present is for careful consideration as to how the lessons and equipment bequeathed by the CCPP can best be used to build up local inititiave and make better use of local resources to provide long term, viable solutions to crop production problems through a strengthened farming community rather than through direct Government production programs. - 246 - ANNEX 12 LESOTHO AGRICULTURAL SECTOR REVIEW Ministry of Rural Development 1. Government established the Ministry of Rural Development (MORD) in 1976 around the Department of Community Development, which had been pre- viously located first in the Ministry of Interior, then in the Ministry of Agriculture and finally in the Ministry of the Cabinet. The kinds of tasks acquired by the new Ministry from the Department of Community Development were mainly rural works not large or localized enough to fall under the Ministry of Works: for example, village water supplies, tracks and feeder roads, small bridges aad self-help conservation structures and woodlots, many of which benefit from food-for-work programs. Other activities that come under the Ministry are nutrition programs for primary schools and other institutions, adult education, and village training courses. The kinds of needs satisfied by these projects generally do not earn revenue, or if they do (such as from sale of poles and fuelwood) most of the revenue is destined to accrue to village funds and not to Government. 2. At the time of the Sector Review mission's visit to Lesotho, there were signs of considerable rethinking of the role of MORD. It seemed likely that it would take over full responsibility for coordinating all rural development activities in Lesotho. Early in 1980, Government transferred the Division of Cooperatives from the Ministry of Agriculture to Rural Development. Furthermore, it gave MORD responsibilities for the future Government role in developing agricultural input supplies and produce marketing. MORD has thus inherited the difficult problems of rehabilitating PMC and Coop Lesotho. 1/ 3. Even before acquiring these new responsibilities, MORD suffered from staffing difficulties, particularly in filling operational posts requir- ing qualified technicians. Now, with Government-s increasing emphasis on cooperative development, the Ministry will need considerable assistance in staff training including technical assistance from expatriate manpower. 1/ Chart 1 and Annex 11 have been updated to reflect the transfer of Cooperatives from MOA, but not the transfer of PMC. - 247 - ANNEX 13 Page 1 LESOTHO AGRICULTURAL SECTOR REVIEW Catalog of Major Documents 1. The Mission was impressed by the large number of documents dealing with the agricultural sector that are now available, principally in Maseru. It resolved to list them if only to document how well-studied Lesotho agricul- ture has become. However, this task has already been accomplished by the LASA group in its publication No. 5 listed below. The documents listed in this Annex are among the more important ones consulted by the Mission. They are a tiny sample of those cataloged by LASA. Ashton, H., The Basuto, Oxford University Press, 1976. Bawden, M.G. and D. M. Carroll, The Land Resources of Lesotho ODM/LRDC Land Resource Study No. 3, London, 1968. Binnie & Partners and Booker Agric. International Ltd., Soil Conservation and Livestock Study of the Phuthiatsana River Valley, Ministry of Agri,zulture, Maseru, 1978. Bureau of Statistics, Annual Statistical Bulletin 1978, Maseru. Central Planning and Development Office, Third Five Year Plan (Cabinet Draft) July 1979; and Third Plan Preview, October 1979. Gay, J., Senqu River Agricultural Extension Project Phase I Rural Sociology Technical Report, FAO Project LES/72/003, 1977. Gordon, Elizabeth, The Women Left Behind, 1978. Government of Lesotho, The Land Act 1979 Act No. 17 of 1979, Supplement No. 1 to Cazette No. 41 of 14 September, 1979, Government Printer, Maseru. Guma, T. and J. Gay, Socio-Economic Technical Report on Attitude of Village Farmers about Farming, FAO Senqu River Agricultural Extension Project, Project Manager-s Office, Mohale½s Hoek 1978 (mimeo). ILO Jobs and Skills Programme for Africa (JASPA), Options for a Dependent Economy: Development, Employment and Equity Problems in Lesotho. Report to the Government of Lesotho by a JASPA Employment Advisory Mission. Addis Ababa, 1978. - 248 - ANNEX 13 Page 2 Kingdom of Lesotho, National Nutrition Survey, 1977. Kingdom of Lesotho, Second Five Year Development Plan 1975/76- 1979/80, Maseru. Lesotho Agricultural Sector Analysis (LASA) Reports No. 1 Bibliography for Planning and Development in Lesotho. Compiled by Gene C. Wilken and Carolyn Amiet, Ft. Collins, Colorado. No. 2 Lesotho's Agriculture: A Review of Existing Information, by the LASA Team, Maseru, Lesotho, October 1978. 182 pp. No. 3 An Economic and Policy Analysis of Soil-Water Problems and Conservation Programs in the Kingdom of Lesotho, by K. C. Nobe and D. W. Seckler, Ft. Collins, Colorado, September 1979. 214 pp. No. 4 The Future of Basotho Migration to the Republic of South Africa, by Jerry Eckert and Ron Wykstra, Maseru, Lesotho, September 1979. 24 pp. No. 5 Catalog of Holdings and Other References in the Lesotho MOA/ LASA Library. Compiled by Gene C. Wilken, Matsaba J. Leballo, Betty J. Eckert, Makhothatsa Motleleng and Kay Bolls, Maseru, Lesotho, February 1980. 366 pp. Ministry of Agriculture, Cropping Guidelines for Lesotho, Maseru, February 1980. Ministry of Rural Development, Annual Report of the Permanent Secretary for the year 1977, Maseru. Ngwenya, Martyn A. R. The Characteristics of Migrant and Future Migration in Southern Africa: A Case Study of Lesotho, ILO-National University of Lesotho Research Project, December 1977 (mimeo). Office of Soil Survey, Conservation Division, Soils of Lesotho: A System of Soil Classification for Interpreting Soil Surveys in Lesotho, Ministry of Agriculture, June 1979. Phororo, D. R., Crop Farming in Lesotho: Analysis and Suggested National Policy, Ministry of Agriculture, Maseru, January 1979. Phororo, D. R., Land Tenure in Lesotho, Soil Use and Conservation, Water Use and irrigation: Analysis and Suggested National Policy. Ministry of Agriculture, Maseru, January 1979. - 249 ANNEX 13 Page 3 Prohl, W. M., Technical Report on Agricultural Credit in Lesotho. Ministry of Agriculture, December 1977 (mimeo). Seckler, D. W. and K. C. Nobe, A Reconnaissance Level Evaluation of Soil Conservation Programs and Methods in the Kingdom oC Lesotho. LASA Project, Department of Economics, Colorado State University and Ministry of Agriculture, Maseru, 1978. Tarbox, David C., Crop Marketing in Lesotho 1968-1978: Ministry of Agriculture, Maseru, September 1979 (draft). Turner, Stephen D., Sesotho Farming: the Conditions and Prospects of Agriculture in the Lowlands and Foothills of Lesotho, School of Oriental and African Studies, University of London, May 1978 (Doctoral Thesis). University of Lesotho, The Food System of Lesotho, 1978. Van der Wiel, A.C.A., Migratory Wage Labor: Its Role in the Economy of Lesotho, 1977. World Bank, Lesotho: A Development Challenge, 1975. World Bank, Lesotho: AppraisaL of the Basic Agricultural Services Project, Report No. 1524a LSO, Eastern Africa Projects, Southern Agriculture, April 11, 1978. World Bank, Migration from Botswana, Lesotho and Swaziland, Washington, D.C., Eastern Africa Region, 1978. World Bank, Lesotho: Report of the Migrant Workers Re-Employment Mission, Washington, D.C., Eastern Africa Region, 1975.