Trade Liberalisation rice production and women in Cambodia

Trade Liberalisation, rice production and women in Cambodia: macro/micro/gender links Womyn’s Agenda for Change- Oxfam Hong Kong

Research Rationale Cambodia is in a process of accelerating its own integration within the regional and global trade system. However: • the path of this integration is very quick, lacks analysis of impact or costs/benefits • the frame is prescribed by the ultra-liberalist economic theories now leading the global economy • the intrinsic fragility of Cambodia’s social and economic structure, due to war and transitional economy All these factors lead to the assumption that the process will not proceed without social costs

In the agricultural sector, which employs and provides subsistence to 85% of the working population, the impact of free trade economy will be disruptive. Subsistence agriculture, based on rice production, is driven by principles aimed to answer the demands of the people, not the ones of the market, and may be harshly challenged. Within this perspective women represent, a weak subject, particularly prone to more and more exploitation, marginalisation and pauperization.

The WTO corporate inspired agenda is now forcing Third World countries to abandon efforts to protect their domestic industries and agricultures. Michael Albert et al. , Zmag 2000 o r c a m

The opening of foreign imports will catalyzes a massive social dislocation of many millions of rural people on a scale that only war approximates Michael Albert et al. , Zmag 2000 o r c i m

Continued relocation of resources away from the informal agricultural sector in favour of international trading is likely to have a devastating impact on women. UNIFEM states that in South East Asia, trade liberalisation has seriously undermined the livelihoods of rural women and threatened their families and communities survival UNIFEM 2000 Biennial Report r e d n ge

The Cambodian Government Policies concerning rice production are now directed towards: • developing highly productive areas to the detriment of poorly endowed ones • focus on efficient agriculture • promotion of privatised import of inputs such as seeds, fertilizers, pesticides through low tariffs and no subsidies • promotion of export/import rice as a tool to regulate prices and generate competitiveness

Land privatisation In Cambodia, more land has been bought and sold leaving farmers with not enough or no land. Ten years since the adoption of the liberal market economy in 1989, it is estimated that 10 to 15% of the country’s farmers are landless, and that land is being concentrated in fewer hands. The top 10 % of the population own 33% of cultivated land, while the bottom 20% own less than 4% of cultivated land. John Madeley, Trade and Hunger

According to the Royal Government of Cambodia’s IPRSP 2001, over 65% of the farming population are women and of these, 80% work in the rural sector According to an ADB report 2000, in Cambodia 78% of the economically active population in agriculture were women The World Employment Report 2000 shows that Cambodia has one of the highest female labor force participation rate in the Region at 73. 5%

When her husband fell ill, Kiv Nga had to sell her land as she was busy with their many young children and the additional burden of nursing her ailing husband. She could not cultivate on her own and without any cash income, she could not afford to hire male labour. Moreover, with a gravely ill husband who was also the main earner, Kiv Nga as a woman (and potential widow) was not credit-worthy. No one was willing to risk giving credit even against their land, and thus she had to sell her land that too at a low price as her urgent need and lack of credit-worthiness weakened her bargaining position

Mouv Mapp had to sell her land house plot as she had to repay debts incurred by her husband who had borrowed 1400 baht at 15% monthly interest to pay the recruiter who took him to Thailand. He did not return and she does not know whether he is dead or alive. In the meantime, she had to pay back 14, 000 baht for the 1400 baht loan. Sov Lav lost her land as she there was no one to work it. She is a migrant worker who cannot afford to stay in the village and feed her family.

Koy Chhav is a landless returnee. He finds work seasonally as a tiller driver. Pon Sokha, his wife, works as a hairdresser and wage labourer to provide for the family. Usually they face food shortages and borrow against promise of Pon Sokha’s labour in rice fields. It means that her labour is calculated at half-rate. Prum Navy is a teacher. She was widowed and lost her land then. Since then she raises pigs and sells small food-stuff after school hours to supplement her meagre salary.

Research focus/changes in: • Female access and control over resources such as land • Shift from property owner to wage worker for rural women • Migration and/or other survival strategies of women in rural areas

The WTO agreement on agriculture organises competition between agricultural products subsidised in the North and non subsidised products from the South. Raoul Jennar, URFIG, Oxfam Belgium US policy on agriculture is aimed to increase exports each year at a faster rate of overall world export trade in agriculture…One, out of every 3 acres of the US cultivated land, is dedicated to export Aileen Kwa, WTO Food Politics

The WTO Agreement on Trade Related aspects of Intellectual Property Rights (TRIPS) gives global corporations the 'right' to claim monopoly ownership over rice through patents and similar mechanisms. Companies have already started to claim intellectual property rights (IPR) on rice. NO PATENTS ON RICE NO PATENTS ON LIFE! Statement of people’s movements and NGOs across ASIA, GRAIN Org

Rice liberalisation policies • Government fertilizers’ subsidies were abolished in 1997 and now most inputs are supplied by the private sector • Officially, the Government has lifted quotas and tax barriers to the export and import of rice • The large number of paddy varieties grown in Cambodia is seen as an obstacle to sectoral growth, and efforts are ongoing to introduce new selected varieties

Almost all farmers reported they could not use DAP (Dyammonium Sulfate) if they did not get some credit under special conditions. Hongen A. , A study on inorganic Fertilizers Marketing in Cambodia, 1999 Cambodian rice can not compete with Thai rice even though Cambodian rice is better – people can not think so much about quality when they can not feed all their family. Rice retailer

The quality of rice from Cambodia has changed from before because they use more chemicals to grow the rice. The Cambodian rice is much harder than the Thai rice – I think that in Cambodia now the farmers use many fertilisers and pesticides much more than before, because this new rice requires chemicals – this damages the soil and the output becomes lower. Rice retailers

Rice prices always go down when the harvest season arrives. Rice prices go down but not the price of seeds, pesticides and fertilisers needed to grow the rice. it is very important to have good irrigation sometimes we get less Cambodian rice to sell. The rice that comes from Thailand Vietnam makes problems for the Cambodian rice to be sold. Rice retailers

Research focus/changes in: • rice wholesalers and retailers activities, problems, businesses, rice market output • agricultural inputs utilisation, prices, imports • subsistence farmers costs/benefits balance • gender related indicators of pauperization: dependent relatives, education patterns, properties, forced migration, agricultural labour

Impact of trade liberalisation on RICE PRODUCTION Land Privatized Loss of land Migration Liberalise inputs High prices inputs imports Low Crop prices import competition Lower Income Less Cash Wage work More migration Social disruption Rice Marketing Credit Less food Less use of services Debts Loss of Assets poverty Poor health poor education

The impact on women landlessness lower income migration wage labour Family disintegration Increase dependents increasing discrimination and exploitation Female headed households Loss of status Violence more workload Loss of Assets poverty Exclusion from development less education Less use of services Poor health higher mortality rates Descendants poor and excluded

Gender Inequity will increase as: • Women’s access and control over resources will be eroded • Women’s labour burden will increase • Women’s entitlements will decrease • Women’s access to and use of public services will be reduced • Women’s access to and benefits from development projects will be reduced • Widened gap between rich and poor women • Increased stigmatisation and marginalisation of under class and lower class women