Vanuatu

ACIAR's position in the Pacific islands will continue to develop in line with broader Australian development assistance priorities. There is an increasing awareness of the importance of changing economic and environmental situations, and the vulnerability of small developing island states if flexibility and adaptation to change are not achieved. The Pacific islands countries have a range of challenges including eroding tariff preferences, population and urban growth, migration of skilled labour, resource depletion and degradation, and risks from climate change. As described in Pacific 2020-challenges and opportunities for growth , ineffective policy implementation is seen as a significant impediment to development and progress.

Agriculture, forestry and fisheries sustain many households and will comprise the majority of livelihoods of Pacific islands countries for the foreseeable future. Many smallholders live in isolated rural communities dependent on household food production and intermittent crop, fish and small livestock sales. Improving and transforming these systems into sustainable income-generating activities through improved productivity and marketing will enhance self-reliance and reduce poverty over time, as will diversification into new activities.

The development of an agriculture-enabling environment is an ongoing objective. Participation in regional projects that address common problems, where appropriate, will help overcome the limited capacity of many countries to engage in collaborative activities. ACIAR has a strong emphasis on working with Pacific regional organisations to improve effective delivery of outputs. In partnership with the University of the South Pacific, ACIAR will implement a scholarships program designed to increase capacity in the region through the allocation of Postgraduate Diploma and Masters Degree scholarships for research associated with ACIAR projects in the Pacific.

Relationship to the AusAID regional strategy

AusAID's Pacific Regional Aid Strategy 2004-09 identifies four key themes: stronger broad-based growth; more effective, accountable and democratic government; improved law, justice and security; and enhanced service delivery. These themes are further underlined in the Pacific 2020 report with a commitment to address governance and institutions, infrastructure, regional cooperation and implementation of programs.

ACIAR's Pacific program, through its three research emphases (increased productivity and diversification through new crops, products and value-adding; development of sustainable management systems; underpinning of systems development, economics, marketing and biosecurity), contributes to these objectives primarily in the thematic area of broad-based economic growth. In fisheries, ACIAR will work in cooperation with AusAID's new Pacific fisheries strategy developed in 2007.

Country-specific issues

Vanuatu's agriculture sector (along with tourism) remains the main focus of the country's development strategy. The main activities relate to coconut, cattle, cocoa, and timber production, with traditional food production for subsistence and local markets. Smallholders also cultivate peanuts, potatoes, vanilla and pepper. Although Vanuatu is an agricultural exporter, the majority of the population is in the subsistence or informal sector.

The Vanuatu Government is currently developing a holistic agricultural plan for the country which will give direction to future ACIAR cooperation in agriculture and fisheries. For the current planning period, the focus of ACIAR activities in Vanuatu will be in forestry. Forest covers almost 40% of the total land area of the country, and policy and technical interventions for sustainable management of plantations and development of new species of commercial value for both plantations and smallholders are important. In forestry, assistance is needed in relation to assessing commercial prospects for native species, including sandalwood and whitewood.