GLOBAL ENVIRONMENT FACILITYPROPOSAL FOR A PDF B GRANT

1. Country: Kenya / 2. GEF Focal Area: Land Degradation
OP #15
3. Project Title: Agricultural Productivity and Sustainable Land Management in Kenya / 4. Implementing Agency: World Bank
5. PDF B Executing Agencies: Kenya Agricultural Research Institute (KARI) in collaboration with Ministry of Environment, National Resources and Wildlife. / 6. Total Project Cost: US$ 70 million
7. PDF B Requested
US$ 350,000 / 8. PDF B Co-financing

$300,000

8. PDF A Awarded
No / 9. Endorsement by GEF Focal Point
Received December 22, 2003
10. Financing Plan:
US$ 10 million (GEF)
US$ 50 million (IDA APL)
US$ 10 million (Government of Kenya)
US$ tbd (Rockefeller Foundation)
US$ tbd (EU)
US$ tbd (FAO) / 11. Project Duration: 6 years
12. Background
The current Kenyan population is estimated at 30 million with a 3% annual growth rate; one of the highest in the world. Agriculture plays a critical role in national economic growth and development and is recognized as one of the three productive sectors outlined in the Economic Recovery Strategy of June 3003 (the other sectors are tourism, trade and industry). However, the sector’s contribution to the Gross Domestic Product (GDP) has progressively declined from 37% in the early 1970’s to about 25% at the end of 2000. Growth in agriculture and improved rural incomes has a significant and direct impact in reducing overall poverty. Furthermore, population pressure and lack of growth in other sectors have caused increasing pressure on natural resources, resulting in a very fragile ecosystem, declining soil fertility, productivity and general environmental degradation.
Decades of national and foreign investment in Kenya, in the form of human, scientific and financial resources have not been commensurate with output when considering economic development and improved livelihoods and poverty levels have continued to rise. This anomaly has been attributed to inadequate attention to natural resource management (NRM) resulting in a fragile ecosystem which is unable to sustainability support development. Land degradation due to various factors: deforestation, over-grazing, loss of soil/fertility due to inadequate application of soil amendments and soil and water conservation measures, stream/riverbank cultivation, destruction of water catchments and wetlands, biodiversity loss, overgrazing, loss of productivity and livelihood opportunities, have allhas been cited as a major causes for low crop productivity in Kenya.
Kenya continues, however, to rely heavily on the agriculture sector. The sector supports the livelihoods of nearly 75 of the 80% of Kenyans who live in the rural areas. Increased population has resulted in migration to fragile ecosystems such as the arid and semi-arid lands and the subsequent degradation of the environment. Population pressure has also resulted in the fragmentation of land into uneconomical parcels and in the cultivation of land that is vulnerable to soil erosion such steep slopes and riverbanks and other ecologically sensitive areas including wetlands, and encroachment and destruction of forests. The consequences are: deforestation, loss of biodiversity, erosion, siltation, destruction of critical watersheds and wetlands, frequent droughts, drying of rivers and streams, reduced water quantity and quality, and, perpetuation of the poverty cycle.
Bold steps have to be taken to reverse the ecosystem degradation pattern currently prevailing through both the application of proven technologies, and the development of appropriate incentives to encourage sustainable land management and stable livelihoods.

13. Project Objective

The proposed project seeks to promote sustainable use of natural resources for higher productivity and incomes for the rural farmers of Kenya and the maintenance of critical ecosystem functions in fragile areas. The project’s key development goal is to contribute to the modernization of Kenya’s agricultural sector and improvement of the lives and livelihoods of its rural communities through the development , acquisition and application of improved and profitable agricultural technologies and production practices.
To achieve this goal, the Development Objective (DO) of the project would be to: (a) facilitate the development of a pluralistic, demand responsive and accountable research system, building on the existing blocks; (b) support reforms in extension towards a multi-service providers and demand driven system with an increased role of the private sector and community-based learning and extension organizations and (c) develop institutional and financial mechanisms and programs that empower producers, processors and other market agents to influence the planning, design, implementation, funding and monitoring and evaluation of research, extension, training and capacity building activities.
The Global Environment objective is to mitigate land degradation in selected priority watersheds in order to ensure continued ecosystem functions and sustain rural livelihoods. This will be accomplished through the promotion of sustainable land management technology packages and practices that have local and global benefits. This will involve the integrated utilization of soil, water, air, and floral and faunal bio-diversity for physical and socio-economic development, paying particular attention to the maintenance and restoration of ecosystem environmental integrity.
Specific Objectives:
  • To evaluate the current socio-economic status (livelihood patterns) and natural resources management practices within selected watersheds/catchments (Cherangani Hills, Yala River Catchment, Lake Bokoria catchment, Taita Hills, and Kinale/Kikuyu).
  • To develop, promote and scale-up sustainable land management best practices and technologies to achieve greater productivity, of crops, trees and livestock in order to enhance food security, income, and ecosystem integrity in the selected watersheds/catchments.
  • To evaluate the impact and assist in designing policies that influence the incentives for the farmers and communities to adopt improved land management practices.
  • To enhance the institutional capacity of stakeholders to undertake participatory and multidisciplinary sustainable land management practices and extension of best management practices.
  • To facilitate the exchange of information on best practices in sustainable land management among farmers, communities, scientists, development partners, and policy makers.
  • To promote public-private sector partnerships in sustainable land management for maximizing environmental services and economic empowerment of communities.
The project will be an integral part of the Kenya Agricultural Productivity Program (KAPP). However, as KAPP concentrates more on institutional issues this project will concentrate on the usually hard to quantify issues of natural resource management, alternate livelihoods and community empowerment and capacity building. It will also complement and draw synergies from other on-going or planned Bank operations in the sector such as the Arid Lands Project, and the Western Kenya Integrated Ecosystem Management Project (WKIEMP). Furthermore, broadening the scope of the project to embrace the entire technology generation and application continuum would help not only to fully address technology adoption constraints, but also serve as an entry point for the Bank to provide a comprehensive support to the Government’s sector-wide reform agenda. This project is further inline with the Kenya CAS which calls for the provision of increased services to people living on fragile lands (especially drylands).
This project is also intended to address some of the constraints limiting efforts to combat desertification as outlined in the Kenya National Action Program (NAP). In particular, this project will address: ‘uncoordinated and frequent shifts on mandate of dryland development from one agency to another, inadequate involvement of communities in programming and decision making, and inadequate policies and regulatory framework’. The project will also support NAP identified activities for knowledge sharing and awareness raising, capacity building, and community involvement.
Finally, the objectives of this project are consistent with the aims and objectives of NEPAD (the New Partnership for Africa’s Development). In particular, the overall objectives of this project, to ensure sustainable land management and build the capacity of stakeholders, directly reflects the objectives of NEPAD to, “place African countries…on a path of sustainable growth and development”. This project also corresponds to NEPAD priorities on agriculture, the environment and empowerment through empowering communities to improve the uptake of sustainable land management technologies and investing in best practice land management technologies. In particular, this project will support Thematic Area 1 of the NEPAD Action Plan for the Environment concerning combating land degradation and desertification.

14. Project Description

The project aims to achieve the following expected outputs:
  • Inventory of the baselines, constraints, and opportunities to the adoption of SLM practices (soil and water conservation, nutrient management) including integration of crops, trees and livestock developed.
  • Methods of restoring and sustaining land management and best management practices for increased net benefits (including both ecosystem and livelihood benefits) developed, adopted and scaled-up.
  • Understanding of the socio-economic and policy factors which affect land management and adoption of sustainable land management best practices deepened and methodology and models to assess impacts of policies on natural resource management developed.
  • Institutional capacity of stakeholders to undertake participatory and multidisciplinary land resource management activities sustainably enhanced.
  • Exchange of information on land resource management and best management practices among farmers, communities, policy makers and the global fraternity markedly fostered.
  • Better marketing channels for farm produce and value-added products for improved livelihoods (on-farm/off-farm linkages strengthened).
In order to facilitate the achievement of the above outputs, the project will consist of three four components.
Component 1. Promotion of Best Management Practices and Best Management Technologies for improved livelihoods:
KARI and other sister institutions such as KEFRI have over the years developed many SLM practices and technologies that are suitable for scaling-up. These include soil and water conservation measures, water harvesting techniques, reseeding of degraded lands, high yielding and ecologically adapted crop and livestock varieties and genotypes, soil fertility maintenance practises etc. (see matrix).
Assessment of changes in land use and restoration to sustainable levels: An integrated approach to natural resources management in the utilisation of soil, water, air, faunal and floral biodiversity for physical and socio-economic development, would provide the most sustainable means towards improved agriculture productivity and environmental stabilitythe preservation of ecosystem functions. However, it is important that all the stakeholders understand adequately the consequences of past and present changes in the farming systems and their effects on agriculturale and socio-economic development with associated changing natural environment. This would be approached through conducting environmental impact assessment (EIAs) in selected areas where environmental ecosystem stability is threatened using known techniques such as reference to old land use maps from GIS and remote sensing in relation to current demographic changes. This approach would assist in the development and promotion of priority interventions for the country.
Soil erosion control: Reducing the amount and concentration of sediments containing nutrients and toxic materials being washed from crop lands into water sources (thereby contaminating both domestic and international water ways) will result in community access to cleaner water for both domestic use and irrigation and will ensure the continued functioning of watersheds and riparian systems.
Water harvesting: Three quarters of the country is classified as arid and semi arid, yet people have migrated to these areas and are practising farming with poor results. To empower these farmers, water harvesting and storage should be encouraged both for domestic and livestock uses.
Reseeding of denuded pastures and Dde-stocking: The drier areas are characterised by low quality fodder species during the rainy season which quickly dry up during the hot spells. It has been shown in previous studies in Kiboko through Agricultural Research Support Programme (ARSP II) activities funded by the EC that such pastures can be greatly improved by a deliberate reseeding process using selected indigenous grasses and legumes. Furthermore, higher production onf reseeded pastures allows for harvesting of grass seeds for expanded reseeding as well as harvesting of better quality hay for livestock. Community interest in improving pasture through such measures is increasing and the demand for better quality grass seeds is also rising giving a potential for commercialisation and expanded reseeding scheme. It would be expected that there will be higher carrying capacity as well as reduced rate in resource degradation. There is need to continue collection of forage germplasm in the ASAL to provide study materials for future breeding and improvement of indigenous fodder species.
Sustainable management of wetlands:The role of water in human habitation cannot be over-emphasized. Unfortunately, the majority of the Kenyan population rely on untreated river water for domestic and livestock use. While Kenya is basically an agricultural country, there are a wide range of agro-industrial and other conventional manufacturing industries using the same water and releasing toxic or potentially toxic wastes back into the same rivers. Expertise will be sought for appropriate technologies for the utilisation of the swamps and irrigated areas if found lacking.
Riverbank protection and water catchment areas: Many streams and rivers in Kenya are drying and disappearing as farmers cultivate all the way to the edge of the rivers and destroy their sources. This not only accelerates erosion, but it also leads to destruction of critical riparian habitats, loss of species, flooding, siltation of waters, and less water. Many riparian areras and catchments have been degraded and the project will attempt to rehabilitate areas which are already severely eroded using suitable techniques and indigenous species. Suitable agro-forestry species and grasses will also be encouraged.
Promotion of crop and livestock productivity and integration:Sustainable promotion of crop and livestock production to very large extent depends on adequate soil and water conservation measures and judicious use of organic and inorganic fertilizers. There is a wealth of theoretical and practical information on inorganic fertilizers, as well as improved crop and livestock varieties and genotypes bred for specific ecological zones. The uptake and wide adoption of the various recommendations has however not been commensurate to the research efforts. This project will encourage the uptake of these recommendations using a community-based, participatory process.
Conservation and utilization of indigenous trees and other germplasm:In spite of the current rate of deforestation, Kenya is still richly endowed with a wide range of high value tree germplasm, ranging from timber tree species, through fruit and fodder tree species to medicinal tree species. Some of these species have potent medicinal ingredients; there is need for novel methods of germplasm conservation, regeneration and propagation/multiplication. Trees such as Jetropha carcus, Prunus africana, Gum arabica are native to the tropics and have high economic value. Adaptability of Herbal hibiscus which is being used in beverages could be explored. This will increase opportunities for the development of sustainable livelihoods.
Biodiversity conservation:Biodiversity conservation of plant genetic resources will form a major area of concern. Inventories will be compiled of various species and their uses (e.g. treatment of livestock diseases). Tree and crop improvement and diversification will conserve and enhance biodiversity. This component will identify, document, evaluate and test existing best practices, pilot selected technologies that enhance conservation, restoration and sustainable use of biodiversity and disseminate, promote and facilitate the adoption and implementation of best practices and proven technologies. This will foster improved and integrated soil, water, nutrient, vegetation and livestock management technologies to achieve greater productivity of crops, trees and animals to enhance food security and ecosystem resilience.
Component 2. Promotion of Alternative livelihoods systems
This component will identify, develop an inventory and document economically viable livelihood options. It will create an environment conducive to the adoption of improved plant nutrient technologies through programs that promote a more efficient procurement, distribution, and marketing of inputs and programs that enhance effective utilization of farm outputs through the development of micro enterprises. It will increase the local awareness and use of the indigenous products, processing and enhanced marketing strategies, develop markets for non-timber forest products and other products, and examine ways to add value to the outputs from the farm in order to increase the farmer’s income.
For the rural communities to get out of the poverty cycle, they need alternatives to their current livelihood. The project will promote value adding and alternative sources of livelihoods such as apiculture, promotion of trees such as Jetropha carcus, date palm, Herbal Hibiscus, Gum Arabica, Prunus Africana etc which have products that can be sold locally and internationally. Farmers who plant maize every season with minimal returns will be encouraged to diversify into more high value crops. Matching of adopted and adapted crop and livestock varieties to niches where they are best suited will be encouraged.