DUBAI // GCC countries must consider the infrastructural challenges of any agricultural investments abroad if they are to ensure the region's food security, a new report says. The study, released yesterday by the Gulf Research Centre, said countries including Mozambique, Sudan, South Africa and, to a lesser extent, Pakistan and Central Asian nations held significant potential for farmland investments.
However, greater diversity in food security strategies was imperative to future stability, it added, particularly as many of the countries cited were facing food shortages and inflation issues at home. "Just as an oil consumer tries to diversify supply, [countries] should think along these lines with regard to their food strategies," said Eckart Woertz, the economic programme manager at the Gulf Research Centre.
"Most of these countries are food net-importers themselves. There are shortcomings in the infrastructure and political framework, as well as the self-sufficiency of these countries and it is irrational to think that with their growing population, which they already cannot produce enough food for, that it will not affect these agreements." Last year, GCC food imports hit US$10 billion (Dh36.7bn), of which $3bn went to the UAE, the Gulf Research Centre reported. The UN Food and Agriculture Organization (FAO) said food constituted a considerable part of imported dependency, set to reach 60 per cent in the GCC by 2010.
The UAE imports nearly 85 per cent of its food, a situation which poses a major challenge for all of the GCC countries as their population will double to nearly 60 million by 2030 from 30 million in 2000. The Abu Dhabi Government has finalised a scheme to purchase 29,400 hectares of farmland in northern Sudan, a project that will commence by the end of this year. However, according to Dr Woertz, underdeveloped roads, ports and farming equipment are major problems, particularly with investments in sub-Saharan Africa, that must be prioritised in all future agreements.
The report also cautions that GCC countries must carefully assess the potential of production increases via irrigation and mechanisation in Pakistan and Central Asia, as these countries may not be able to overcome constraints of climate and arability. "It is basically like a guy with one limb goes to another guy with one limb and they try to run together," said Dr Woertz. "With regards to Central Asia, it is not a match made in heaven as they lack water like the GCC. Africa has large unused water resources, but needs a lot of infrastructural investment."
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