OUTPUT III: TOOLS DEVELOPED TO ASSESS IMPACT OF RESEARCH
3.1 Data Base Development - by: J. A. García
Durante 1999 se realizaron labores de obtención, compilación,
actualización y adición de datos clave a la mayoría de las bases de datos que el
proyecto BP1 ha venido manteniendo, desde hace varios años, con el propósito de disponer
de sistemas de información que puedan servir de apoyo, en un momento dado, al proyecto de
Evaluación de Impacto, a los proyectos de investigación del CIAT y a los diferentes
proyectos de instituciones e investigadores colaboradores del CIAT.
La Base de datos Socioeconómicos de América Latina y el Caribe, la
cual dispone de información proveniente de diversas fuentes como FAO, USDA, FMI y World
Bank entre otros, fue actualizada en un año más de información al haber sido
incorporados datos correspondientes al año 1997 para las series de datos sobre comercio,
uso de fertilizantes, riego y maquinaria, precios al productor, población, y tipo de
cambio. Las serie de datos de producción se actualizaron con datos correspondientes al
año 1998. Igualmente, durante 1999 se adicionó la serie de datos para Precios
Internacionales de diferentes productos agropecuarios cubriendo los años 1967 a 1997.
La base de Datos de Colombia se adicionó con datos correspondientes al
año 1997, a nivel de departamento y a nivel nacional, en lo que respecta a las series
superficie cosechada, producción y rendimiento de los diferentes productos agrícolas.
Nuevas series de datos se adicionaron a esta base de datos, las cuales se relacionan en el
cuadro 1.
Cuadro 1. Series de datos adicionadas durante 1999 a la base de datos de
Colombia.
Variable |
Unidad |
Serie |
Valor de la producción agropecuaria
nacional |
Millones $ de 1975 |
1990-1997 |
Participación porcentual de los productos
en el valor de la producción total |
% |
1990-1997 |
Sacrificio de Ganado Bovino (machos,
Hembras) |
# de cabezas |
1981-1997 |
Exportaciones de Ganado Bovino (Machos,
Hembras) |
# de cabezas |
1981-1997 |
Peso de Ganado Bovino (Vivo, en canal) |
Toneladas |
1981-1997 |
Valor producción Ganado Bovino |
Millones $ de 1975 |
1981-1997 |
Producción de Leche de Vaca |
Millones de litros |
1981-1997 |
Importaciones de Leche de Vaca |
Millones de litros |
1981-1997 |
Sacrificio de Pollos |
Millones |
1981-1997 |
Rendimiento de Pollos |
Kg/Unidad |
1981-1997 |
Valor de la producción de carne de pollo |
Millones $ de 1975 |
1981-1997 |
Número de Huevos de gallina producidos |
Millones |
1981-1997 |
Valor de la producción de huevos de
gallina |
Millones $ de 1975 |
1981-1997 |
Índice mensual de Precios al Consumidor
para diferentes productos agropecuarios en las principales ciudades del país |
Dic. 1998 = 100 |
Enero/1965- Enero/1998 |

3.2 Web Page Development - by: J. A. García
3.2.A. Modificaciones
Durante 1999 se realizaron modificaciones en el diseño de muchas de
las páginas del Web de Evaluación de Impacto con el propósito de obtener una mejor
apariencia así como de permitirle al usuario una mayor facilidad de navegación.
Algunas de las páginas modificadas son las siguientes:
- Página principal (ver Figura 1).
- Menú de Bases de Datos disponibles vía Internet (ver Figura 2).
- Despliegue de consultas a la base de datos en forma gráfica (ver Figura 3)
- Menú de Trends in CIAT Commodities (ver Figura 4).
Figura 1. Página Principal.

3.2.B. Acceso a Bases de Datos
Toda la información almacenada en las diferentes bases de datos (base
de datos de América Latina, base de datos de Colombia, base de datos de Variedades) está
disponible vía Internet. Mediante el menú de acceso (Figura 2), cualquier usuario puede
ingresar a la base de datos y extraer la información deseada la cual puede ser
visualizada en forma de tabla o en forma de gráfica (ver Figura 3). La gráfica obtenida
puede ser modificada por el usuario directamente en su propio computador y ajustada a sus
necesidades particulares ya sea en lo que respecta a tipo de gráfica, color, título, o
cualquier otra de sus características.
Figura 2. Menú de acceso a las Bases de Datos.

Figura 3. Respuesta, en forma gráfica, a consulta realizada a la base
de datos.

3.2.C. Trends in CIAT Commodities
El sistema de generación automática de reportes, disponible en la
Base de Datos Socioeconómicos, fue complementado para permitir la elaboración de tablas
de tendencias, no sólo para América Latina sino también para Africa y Asia.
Utilizando dicho sistema se generaron los cuadros correspondientes a
los Trends 1997 para los productos Arroz, Frijol, Carne, Leche y Yuca. Los cuadros
respectivos pueden ser consultados vía Internet previa selección del producto deseado a
partir del menú principal de productos el cual es desplegado en parte superior de la
Figura 4.
Figura 4. Menú de acceso a Trends in CIAT Commodities.

3.2.D. Utilización del Web y consultas a las bases de datos vía Internet
El Web dispone de un sistema de información de visitas que permite
analizar los diferentes accesos, dado que el sistema registra datos acerca del país de
origen, la dirección Internet del sitio de ingreso, la fecha y la hora del ingreso, entre
otros. Esta información nos muestra que el Web ha sido consultado por usuarios de Estados
Unidos, Canadá, 9 países de Sur América, 5 países de Centro América y el Caribe, 14
países de Europa, 9 países de Asia, 3 países de África además de Australia y Nueva
Zelandia. Los usuarios en general están vinculados a instituciones educativas,
comerciales, gubernamentales o a organizaciones como la FAO, el Banco Mundial o el CGIAR.
El cuadro 2 muestra un total de 1009 visitas (distribuidas por región)
que fueron realizadas durante el período 20 de Octubre de 1998 al 20 de Septiembre de
1999, lo que significa, que durante los 334 días considerados, la Web tuvo un promedio
ligeramente superior a 3 visitas diarias. Se observa en este cuadro, que el grupo
principal de usuarios está conformado por organizaciones sin ánimo de lucro donde están
incluidos los centros internacionales pertenecientes al CGIAR, la FAO, el Banco Mundial,
entre otros. El segundo mayor grupo de usuarios lo conforman los Estados Unidos y Canadá
seguidos muy de cerca por los países Europeos. Un cuarto grupo lo conforman el resto de
países del continente americano (Sur y Centro América) ubicados muy distantes de los
países del Asia y del continente Africano. Se observa igualmente, que a un buen número
de usuarios, el sistema de automático de registro fue incapaz de identificarles su
procedencia.
Cuadro 2. Visitas por región realizadas al Web de Impacto.

En cuanto al uso de las bases de datos a través de Internet, las
estadísticas muestran un total de 324 consultas realizadas a la base de datos de América
Latina, 174 consultas efectuadas a la base de datos de Colombia y 71 a la base de datos de
Variedades.
Los datos más solicitados en la base de datos de América Latina
corresponden a las series de Producción de Cultivos con 125 consultas y a las series con
los indicadores macroeconómicos Tasa de Cambio e IPC con 67 consultas. Las series
restantes muestran un número de consultas realizadas que varían entre 23 y 49.
La base de datos de Colombia tuvo 174 solicitudes de información donde
se destaca que 68 de ellas correspondieron a consultas sobre datos de producción de
cultivos. Las series de datos restantes tuvieron solicitudes que varían entre 18 y 29
consultas.
Las estadísticas anteriores son el resumen para el período
comprendido entre el 10 de Enero de 1999, fecha en que se implementó el sistema de
registro de consultas, y el 20 se Septiembre de 1999. Es destacable que en este período
de solo 8 meses, los visitantes al Web han mostrado interés por el sistema de
información implementado, el cual seguirá permanentemente en proceso de actualización,
crecimiento y desarrollo.

3.3 Methods - Economic Surplus Models - by: J. A. García, L. Rivas
Durante 1999 se realizaron una serie de actividades tendientes tanto a
mejorar el modelo de análisis de excedentes económicos - MODEXC, como a hacerlo
disponible a una mayor población que pudiera estar interesada en hacer uso del modelo.
Por las razones anteriores, el modelo se convirtió a una nueva
versión en Excel-97 donde el lenguaje utilizado para comunicación con el usuario es el
Inglés. De igual manera, el manual del usuario, inicialmente escrito en idioma Español,
fue traducido al idioma Inglés y posteriormente editado y publicado en el documento
"MODEXC Release 4.1. A Friendly Computer Model" (ver Figura 5).
Figura 5. Portada del manual de usuario de MODEXC (versión en Inglés)

La versión del modelo MODEXC disponible en Internet ha sido solicitada
durante el período Enero 20/99 a Septiembre 20/99 en 70 ocasiones. Las estadísticas
registradas muestran, que personas radicadas en los Estados Unidos, Australia, 9 países
de Sur América, 9 países de Centro América y el Caribe, 4 países de Europa, 3 países
de África y 1 país del Asia han obtenido copia del modelo y del manual. De igual manera,
los registros muestran que un total de 40 usuarios están vinculados con instituciones de
investigación, 17 con universidades y 13 con instituciones de carácter comercial. Estos
resultados nos indican que MODEXC está llegando a una amplia comunidad donde puede llegar
a constituirse en una buena herramienta de apoyo, particularmente en el caso de las
instituciones universitarias y de investigación.
Modelo de Excedentes Económicos MODEX
Metas para 1999
· Incrementar la utilización del modelo tanto a nivel nacional como
internacional
· Continuar con el mejoramiento de aspectos conceptuales y teóricos
relevantes.
Resumen
Para cumplir con el primer objetivo se produjo una versión en inglés
tanto del modelo como del manual, los que se pusieron a disposición de los usuarios en la
pagina Web del Proyecto de Evaluación de Impacto, para facilitar su conocimiento y
difusión.
En la parte conceptual del modelo se hizo una mejora significativa en
el tema de impacto del cambio tecnológico sobre la demanda. Esto último se puede
ejemplificar en mercados como el de yuca, en donde un cambio tecnológico en el
procesamiento y utilización del producto seco, puede derivar en un incremento en la
demanda por yuca fresca.
Las versiones anteriores del modelo incluían un parámetro (w), que
correspondía al incremento genérico anual de la demanda, derivado de un cambio
tecnológico en la producción. Dado que al mercado pueden entrar diferentes tecnologías,
en distintos momentos del período de evaluación, con diferentes patrones de difusión y
que algunas de ellas pueden inducir incrementos en la demanda y otras no, la versión
anterior del modelo era muy limitada, ya que no asociaba el incremento de la demanda con
una tecnología específica ni con su patrón de difusión.
La versión actual relaciona el crecimiento de la demanda con cada
tecnología evaluada y con su patrón específico de difusión y de obsolescencia. De
ésta forma, la magnitud del efecto sobre la demanda en el caso de una tecnología dada,
dependerá del momento en que empieza su adopción, de la intensidad de la misma, y de la
velocidad del proceso de obsolescencia o desadopción.
Para lograr lo anterior, se asume que el coeficiente (wi) corresponde a la tasa de crecimiento de la
demanda, inducida por la adopción de la tecnología i. Tal coeficiente tiene un patrón
de crecimiento logístico, similar al de la adopción de la tecnología bajo evaluación.
De ésta forma la presión de demanda generada por la adopción de la tecnología i, es
baja cuando ella se encuentra en sus primeras fases de adopción, se incrementa cuando la
adopción se consolida y comienza a declinar en la medida en que la tecnología entra en
su fase de obsolescencia.

3.4 New Tools For The Economic Evaluation Of Agricultural Technologies Having Natural
Resource Impacts: Cropping in the Savanna Ecosystems of Meta Province, Colombia - by:
S. Wood
BACKGROUND AND JUSTIFICATION
Greater demands for accountability, shrinking research resources, and the growing
complexities of research goals are focusing the attention of R&D managers on the need
for improved R&D evaluation and decision making methods. Furthermore, the increasingly
competitive nature of R&D funding is accelerating the search for areas of comparative
advantage or complementarity in research -- essential information for selecting
strategically important research themes and appropriate R&D partners.
Methods for evaluating the direct production affects of technology, such as those
involving increased genetic potential or improved efficiency in the use of inputs such as
seed, labor, machinery, and fertilizer are fairly well established and increasingly
applied. However, when the scope of inquiry is expanded to include productivity dynamics
arising from the interaction between new technologies, production systems, and natural
resource stocks and flows, these methods are at best partial and more often indedquate.
There is an urgent need to systematically extend the R&D evaluation framework in order
to encompass this natural resource dimension.
A major development issue in the extensive humid tropical savannas of Latin America is
the difficulty of managing the highly-weathered soils in a sustainable way. Even modest
attempts at increasing livestock and crop productivity must be undertaken with great care
if a rapid decline in (already low) soil fertility is to be avoided. Furthermore, new
technologies should not only prevent soil productivity losses in a cost-effective manner
but, ideally, should also help to increase the inherent productive capacity of soil over
the long-run. As has been demonstrated in the Brazilian cerrados, there are potentially
large payoffs from bringing savannas into more intensive, long-term agricultural
production (Recognising that a mix of agricultural and other land uses such as ecosystem
conservation (e.g., preservation of gallery forests and other important biological
habitats) may well be preferred from a social, rather than private, perspective). In
Colombia, however, the savanna (or Llanos) area has been subjected to much land
speculation, associated primarily with the laundering of drug money, and land prices have
been artificially inflated relative to their agricultural opportunity cost. At the same
time, continued guerilla operations and high interest rates have done little to foster
positive attitudes to long-term land-enhancing investments. It is important, therefore,
that realistic analyses are made of the potential economic attractiveness of new
agricultural technologies targeted to such areas. This study, therefore, is concerned with
the development of improved methods that can not only evaluate the direct and natural
resource impacts of technical change, but that can also represent the broader policy and
market context within which technical change takes place.
The International Centre for Tropical Agriculture (CIAT) has been a pioneer in the
development and practical application of economic approaches to research evaluation
(Pinstrup Andersen et al 1976, Scobie and Posada 1977, Lynam and Jones 1984, Pachico,
Lynam and Jones 1987). In recent years the International Food Policy Research Institute
(IFPRI) has also been active in further development of R&D evaluation methods as well
as analytical tools such as the DREAM software (Alston, Norton and Pardey 1995, and Wood
and Baitx 1998). Since the evaluation of natural resource related research poses new and
difficult challenges CIAT and IFPRI are collaborating in this joint methodological
research venture together with Michigan State University (MSU), the International
Fertilizer Development Centre (IFDC), and postgraduate students from Wageningen and
Bogotá.
STATEMENT OF THE PROBLEM
Accelerated loss of soil productivity under cultivation
The development problem faced is that while the savannas are extremely extensive their
agricultural use is limited, primarily because of poor soil productivity. Not only are the
savanna soils of relatively low inherent fertility under natural conditions, but even
those low levels degrade relatively rapidly under cultivation (typically the soils are
unproductive after 3-5 years of cultivation). Furthermore, the soils are relatively poorly
drained, and in the rainy season many areas are difficult to access. These biophysical
limitations have, in turn, provided little incentive for systematic, sustained investment
in infrastructure in the llanos. Most economic exploitation has been associated with
low-productivity extensive livestock operations. Investment in agricultural research
targeted to the llanos has been made in the expectation that more intensive, sustainable
production systems can be developed. There is even a hope that some of these production
systems could bring about significant long-term increases in the intrinsic productive
capacity of savanna soils (e.g., by building up organic matter, and improving the
soils physical and biochemical properties).
Estimating the potential biophysical impacts of technical change
From an evaluation perspective the goal is to broaden the traditional scope of
analysis. There is increasing concern with measuring the impact of technology not only on
crop or livestock productivity, but also on the stock and condition of the underlying
natural resource base (in this study the soil resource). To do this requires some means of
estimating the implications of each change in soil condition on productivity in the
current and all subsequent years knowing that devising adequate measures of soil
condition is, in itself, no easy matter. For example, while there is growing evidence that
much of the rapid decline in the productivity of llanos soils under cultivation is related
to a breakdown in physical structure, soil scientists and agronomists have traditionally
focused more on measuring chemical soil properties such as the availability of nitrogen,
phosphorus, and organic matter.
In an attempt to capture the complex interactions of climate, soil, and crops for
R&D purposes there has been a major scientific investment in the development of crop
growth simulation models, and perhaps the best known of these is the DSSAT© suite of
models for, rice, wheat, maize, barley, sorghum, millet, beans, soybean, peanut, potato,
cassava, and pasture. While they offer, in principle at least, the opportunity for
integrated assessment of crop yield (main product and residues), soil moisture, nitrogen,
phosphorus, and most recently, organic matter, the models largely reflect accumulated
research experience in temperate zones, most notably in the USA. Furthermore, there is
considerable variability in the reliability and completeness of each of the component
modules. Nonetheless, with proper calibration there is growing evidence that such models
can provide a systematic and robust means of jointly estimating important crop, water, and
soil variables over a broad range of biophysical and management conditions, including
those found in tropical developing countries. The models allow analysts to evaluate new
genetic materials with improvements in, say, yield potential, light, water or fertilizer
use efficiency, and pest and disease resistance, as well as improved management practices
such as in the timing and quantity of water and (organic or inorganic) fertilizer
applications.
Simulation models can also be extremely helpful in overcoming another significant
constraint in performing ex ante R&D assessments how to assess the combined effect
of a number of simultaneous technological enhancements. A crop improvement research
program may comprise a range of distinct initiatives related to both germplasm and
agronomy and it is extremely difficult to know how those technologies may work together.
In the absence of explicit experimental data, analysts have simply (and most likely
erroneously) assumed the combined effect of different technologies to be additive. Crop
simulation models offer the possibility of applying a number of simultaneous technological
changes and then relying on the models internal intelligence of crop growth
processes to integrate those changes in a meaningful way, and trace out their combined
impact on yields and soil conditions. This makes for much simpler, and probably more
reliable, elicitation of R&D expectations from scientists. Each disciplinary group
need only describe its expected R&D outputs in terms of the specific plant, soil, or
water processes their work will impact, and need not be asked to make extremely
speculative estimates of the final consequence of their work on, say, crop yields in
farmers fields.
Finally, the use of process-driven simulation model holds open the possibility of
extrapolating calibrated models across space and time to look at the broader effects of
technical change. We are particularly concerned here with extrapolating across time since
a major goal of research is to develop viable long-term production systems. Unfortunately,
long-term experiments are rare and simulation models offer a promising way of making some
judgement about long-term prospects even though we may only have, say, (as in the
experiments used in this study) 3-5 years of experimental data on which to base our
forecasts. The implicit assumption is that we can make more reasonable forecasts if our
underlying prediction tool (the crop growth simulation) is built around the capacity to
model generic physical processes than if it is, for example, a black-box regression
technique.
MSU and IFDC are collborating in the study because of their long association with the
original crop growth components of DSSAT but also because of their exoertise in specific
new components of direct relevance to the study. MSU has recently developed a phosphorus
response model that is capable of representing the complex dynamics of savanna soils in
which phosphorus availability is one of, if not the, major soil fertility constraint.
IFDCs expertise includes the integration of DSSAT with GIS as well as participating
in the development of the "sequential" module that handles multi-year
simulation. IFDC has also worked on improving the DSSAT user interface.
Estimating the potential socio-economic impacts technical change
The established means of evaluating the impacts of technical change in agricultural
production were not designed for the complexities of measuring and valuing related impacts
on natural resources. Existing methods generally treat a new technology as having a
constant yield increase or cost reduction effect in the field of any given adopter. Thus,
R&D impacts on the aggregate level of production arise only as a consequence of
changes in adoption over time (e.g. as more producers adopt the technology the impact of
the technology becomes greater). In the cases of interest here, however, the introduction
of crop production systems into natural savanna bring about significant changes in soil
conditions that have cumulative impacts on in-situ productivity, and the assumed
"ceteris paribus" condition of the economic evaluation no longer holds.
Experimental data are available from the Carimagua site in Metá department over a
number of years, and cover a number of different production system treatments (rice
monoculture, maize monoculture, maize/soybean rotation) and untreated control plots. These
data allow the change in yields and soil variables for each production system treatment in
each year to be calculated relative to the control plot, and hence, automatically
allows for (nets out) the effects of year-to-year climate variation. By calibrating the
DSSAT model to these different treatment effects we can estimate the relative changes in
yields, soil moisture, nitrogen, phosphorus (an perhaps carbon), with and
without these treatments. Furthermore, DSSAT will be used to extrapolate the effects
observed over 3-5 years to a longer time series of effects for say 25 years that will
correspond to the time needed to make an economic evaluation (because adoption can occur,
and hence economic benefits can be gained, over many years).(The evaluation of impacts on
pasture improvement was purposely excluded because the DSSAT pasture model was not
considered sufficiently reliable. Furthermore, and perhaps more importantly, pasture
effects are compounded by livestock grazing and herd management issues that confound the
evaluation. To keep the evaluation tractable the study focuses on crop systems. Extension
to pasture/animal sysyems would be a logical next step in extending this line of research)
The economic evaluation will be made independently for each commodity - rice, maize,
soybean, and will explicitly take into account only the (observed and DSSAT simulated)
yield effects associated with each production system treatment. However, it is important
to note that;
- Yield levels are changing as a consequence of the underlying changes in soil resource
conditions. Hence, we do capture all the (on-site) agricultural productivity impacts of
changes in the soil resource, and,
- DSSAT models the maize/soybean rotation in a single simulation, recognizing the relevant
biophysical interactions between the two crops. Thus, even though the economic model
treats them as separate commodities from a market perspective, the R&D effects input
to the economic model do include any production interactions between the crops, e.g., the
yield effects we obtain for maize are greater than they would be otherwise be because of
the nitrogen fixing capacity of preceeding soybean crops.
On the basis of the market data currently being collected we expect to use the municipio
as the basic economic unit of analysis, although municipios will be stratified (and
perhaps broken down) by zones using the Colombian agro-ecological classification system
(IGAC 1985). Only production will be broken out at the municipio level, and we will use
two demand regions one to represent the current and projected internal demand
in the Metá department, and the other (which we will assume is located in Villavicencio)
to represent actual and potential export to Bogotá, the recipient of practically all the
departments agricultural surplus. A preliminary list of the specific production and
consumption regions to be modelled in each commodity simulation is attached. In the cases
of maize and rice, production data are available at a disaggregated level; for traditional
and technical maize, and for irrigated and rainfed rice. The new technologies being tested
in the Carimagua experiments are for technical maize and rainfed rice, but all types will
be included in the economic analysis to ensure that potential impacts on the overall maize
and rice markets are taken into account.
After calculating total benefits for both producers and consumers we will use farm size
and land use data collected from agricultural census to estimate the likely distribution
of producer benefits among different producer groups.
OBJECTIVES
General Objective
The principal objective of this study is to develop and test the feasibility of new
methods for the economic evaluation of technologies having significant impact on the stock
or flows of natural resources that underpin agroecosystem productivity. If the methods can
be validated they can serve not only to assess the likely impact of technologies currently
under development for the Colombian Llanos (the source of the studys empirical
data), but also as a general means of testing a range of strategic research policy and
technology design scenarios. Such a capacity could help generate greater research benefits
and alter the distribution of benefits in ways deemed more socially acceptable (for
example, by increasing the share of benefits accruing to poor rural households).
Specific Objectives
- To describe the existing production systems in the Metá department with regard to the
production of maize, rice and soybean
- To analyse the trends in prices, production costs and technology adoption (specifically
in irrigated and rainfed rice, and technical and traditional maize production systems) in
Meta department.
- To use the DSSAT model to generate long term estimates of biophysical impacts of R&D
(by calibrating the model on data from the CIAT/CORPOICA experimental station at
Carimagua, Meta. These biophysical simulations will be performed at CIAT).
- To combine the results of 2 and 3 above and perform a range of economic simulations of
the potential benefits of the new rice, maize and soybean technology across the Metá
department.
- Make an assessment of the distribution of economic benefits both spatially (e.g., across
different municipios), and by different producer groups
RESEARCH QUESTIONS
In order to satisfy the objectives mentioned above consideration must be given to the
following research questions:
- Assuming no technical change and falling world commodity prices can, Llanos crop
producers remain competitive? How much would the sector shrink in the next 25 years if no
new technologies were introduced?
- Could monoculture production of rice and maize be biophysically and economically
sustainable? If so, under what level of inputs?
- Based on the experimental data, what would be the long-term gains of adopting a
maize/soybean rotation?
- Given recent trends in farm level crop productivity, prices and technology
adoption in the Metá department what would be the potential economic benefits from
promoting the new maize/soybean rotation? Would those benefits cover the estimated costs
of research?
- Do the the potential benefits vary spatially, reflecting the variation of
agroecological, market, and demographic conditions? Which producer and consumer groups
will be most affected?
THE APPROACH
The economic framework for evaluating R&D relies on the concepts of welfare
economics, in particular on estimating changes in economic surplus (in total, as
well as separately for producers and consumers). Benefit streams arising from the adoption
of new methods of production for rice, maize, and maize/soybean can be calculated on an
annual basis over a user-specified simulation period, normally of 20-30 years. And these
benefits can then be offset against R&D costs in order to calculate benefit-cost
measures of the attractiveness of the R&D investment.
Representing technical change
If we first consider that a new technology is fully adopted, its likely impact will
depend on two main considerations;
- The initial market conditions for the specific agricultural commodity that the
technology was designed for
- The subsequent change in supply and demand conditions for the given commodity over time.
Specifically the difference between the market evolution with and without
the new technology.
In reality the decision to adopt (or not adopt) the new technology is taken by
different producers at different times so the likely rates and levels of adoption in
different regions are important elements in estimating the stream of economic benefits
arising from technical change. The full technology investment and use cycle incorporated
in the economic model includes;
- A time lag for the development and testing of new technologies
- A measure of the uncertainty associated with the R&D process (probability of R&D
success)
- The potential impact of technology, K (arising from, say, yield increasing or
input reducing technologies) that is expressed as a reduction in the unit cost of
production. The size of K in each year, Kt, will be estimated
by the DSSAT model.
- A time lag following the release of a new technology until the ceiling level of adoption
is likely to be reached
- A ceiling level of adoption (in area or quantity terms)
- A rate of disadoption if, say, the effects of a single "wave" of new
technology are being modelled.
The data
The information on which this study will be based comes from primary and secondary
sources. Primary data comes from several sets of "long-term" (3-5 year)
experimental field data and on-farm trials involving different crop and pasture germplasm,
crop rotations, and management practices in the llanos. The experiments monitored changes
in pasture production, animal live weight gains, and crop yields over time as well as
recording the simultaneous changes in a range of soil properties. These benchmark data
help establish the biophysical (and, hence, economic) impacts of new production systems in
an experimental setting. The on-farm trials and municipio production data provide
additional information on the extent to which producers are actually adopting new
technologies given the overall sector trends and the resource and market constraints that
producers face. These data have been collected over the last 10-15 years by CIAT in
collaboration with the Colombian national research agency CORPOICA (formerly, until 1993,
known as ICA), the International Fertilizer Development Centre (IFDC) and others.
Secondary information for the Metá province being collected in Bogotá and
Villevicencio includes; production, area, yield, prices, and costs of production, as well
as census data on population and farm size. As far as possible this data is being
collected at the municipio level (of which there are 24 in Metá). Additional information
will include detail on wholesaler prices at Villevicencio and Bogotá the major markets
for agricultural surplus from Metá department.
Methods and data analysis
After defining the scenarios for estimating the potential economic impact of new
production technologies in the llanos of Metá, the R&D evaluation package, DREAM,
will be used to simulate the likely magnitude and distribution of the economic benefits of
technical change.
Biophysical data from the Department of Meta will be used to identify a number of
relatively homogeneous agroecological zones across the department, beyond the experimental
sites. The biophysical model, calibrated data from the experimental sites, will then be
run with regionalized climate and soil parameters, and the results of that calibration
(performed at CIAT) will be linked directly to municipio data in the economic evaluation.
This evaluation will include estimates of the total economic benefits for both producers
and consumers.
Workplan 1999-2000
January - June 1999
- Format experimental data for input and use in DSSAT model (sequential analysis
component). This work will be undertaken at CIAT (Mariela Rivera)
- Initiate calabration of DSSAT model for rice and maize monoculture treatments, as well
as the maize/soybean rotation treatments.(Marial Rivera CIAT)
- Collect production, market, and adoption data for Meta province. (Astrid Hernandez,
Liliana Mosquera, Bogota and Cali)
- Collect biophysical data and survey/census data for Meta province (Astrid Hernandez)
- Establish dialogue with MSU and IFDC and plan the details of their involvement (Stanley
Wood).
July - December 1999
- Hold a technical review and work planning meeting at IFPRI (Washinton DC) (IFPRI, CIAT,
IFDC, MSU)
- Review progress on calibration of DSSAT
- Plan for integration of the phosphorus model
- Prepare a schedule of biophysical simulations
- Decide on temporal and spatial extrapoaltion approaches and allocate implementation
responsibilities
- Complete biophysical simulation work at both Cariamgua and for Meta Department (CIAT,
MSU, IFDC)
- Prepare data for units of analysis in the economic simulation (municipio by
agroecological zone units). (Hernandez, Mosquera, Wood, IFDC)
- Design a range of evaluation scenarios that encompass policy, trade and technology
issues (see research questions above) as well as incorporate the agreed biophysical
scenario (Wood, Hernandez, Mosquera)
- Make preliminary economic analysis for Meta Department (Wood, Hernandez, Mosquera)
January - March 2000
- Write up results, perform additional analyses as guided by the results and make
recommendations on the technical and institutional feasibility of the approaches developed
(IFPRI, CIAT, MSU, IFDC)
- Submit report to CIAT/IFPRI management and the donor IDB (April 2000)


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