Islamic Republic of Iran : An Agricultural Policy Note

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Washington, DC

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This report addresses key structural, institutional, and sectoral policy impediments to achieving a higher, and sustained economic growth in the sector, and poverty reduction in rural areas of Iran. It focuses mainly on an assessment of agricultural development outcomes, a discussion of the agricultural policy agenda, and provides recommendations for future policy dialogue between the Bank, and the Government of Iran. On examining development outcomes, the report assesses the agricultural sector's contribution, which - though in decline - has displayed rapid growth (4.9 percent) during the course of the 1990's; identifies the strong rural content of poverty in Iran, where the proportion of the rural population living in households with income below the poverty line, is the highest; and, examines the increasing pressures on the natural resources, with deforestation and erosion reaching alarming proportions. Policy in the sector has been driven largely by the need to rely on domestic production, to meet the needs of a rapidly increasing demand. However, and despite significant rural development achievements, an inadequate market structure, and organization for commodity markets, land fragmentation, and related social issues, are hindering further development in agriculture and rural areas. Iran's agricultural exports face several constraints that arise from conflicting domestic policies relating to production, storage, distribution, food security, and pricing concerns. In the short-term, the Bank could provide input into the development of a Strategic Framework for Sustainable Agricultural and Rural Development, in the form of high impact focused technical studies, following the approach used with the energy subsidies. This could lead eventually to a comprehensive, and participatory Agricultural and Rural Development Strategy Note. Knowledge sharing with the private, and public sector requiring first in-depth studies, could be provided before putting in place a series of show-case projects, to transfer international best-practices in areas such as, marketing, land reform, or human development.

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AGRICULTURAL ACTIVITIES, AGRICULTURAL DEVELOPMENT, AGRICULTURAL LANDS, AGRICULTURAL OUTPUT, AGRICULTURAL PERFORMANCE, AGRICULTURAL POLICIES, AGRICULTURAL PRODUCTION, AGRICULTURAL PRODUCTS, AGRICULTURAL TRADE, AGRICULTURE, ANIMAL PRODUCTION, ANIMAL PRODUCTS, ARABLE LAND, BARLEY, CATTLE, CENTRAL BANK, CEREALS, COMMODITIES, COMPARATIVE ADVANTAGE, CONSUMERS, COTTON, CROP LANDS, CROPS, DECENTRALIZATION, DECISION MAKING, DEFORESTATION, DEVELOPMENT STRATEGY, DIVISION OF LABOR, ECOLOGICAL FACTORS, ECONOMIC GROWTH, ECONOMIC LIBERALIZATION, ECONOMIC POLICY REFORM, ECONOMIC SECTORS, EGGS, EMPLOYMENT, ENVIRONMENTAL PROTECTION, ENVIRONMENTAL SUSTAINABILITY, EXCHANGE RATE, EXPORTS, EXTENSION, FAO, FARMERS, FARMING, FARMING SYSTEMS, FARMS, FEED, FOOD SECURITY, FOOD SUPPLIES, FOREIGN COMPETITION, FORESTRY, FRUITS, GDP, GENDER, GOVERNMENT EXPENDITURES, HEALTH CARE, HOUSEHOLDS, HUMAN DEVELOPMENT, HUMAN RESOURCE MANAGEMENT, IMPORTS, INCOME, INPUT MARKETS, IRRIGATION, LABOR FORCE, LAND REFORM, LIVESTOCK, LIVING CONDITIONS, LIVING STANDARDS, MARGINAL LANDS, MARKET LIBERALIZATION, MARKETING, OIL, OVERGRAZING, POULTRY, POVERTY LINE, POVERTY REDUCTION, PRICE CONTROLS, PRIVATE SECTOR, PRODUCTIVITY, PROPERTY RIGHTS, PUBLIC EXPENDITURES, REGULATORY FRAMEWORK, RICE, ROOTS, RURAL AREAS, RURAL DEVELOPMENT, RURAL HOUSEHOLDS, RURAL INFRASTRUCTURE, RURAL POPULATION, RURAL POVERTY, RURAL POVERTY REDUCTION, RURAL ROADS, SHEEP, SMALL FARMERS, SUSTAINABLE DEVELOPMENT, TARIFF BARRIERS, TECHNICAL ASSISTANCE, TERMS OF TRADE, TEXTILES, TRADE POLICIES, TRADE POLICY, TRADE REFORMS, TRANSPORT, VALUE ADDED, VEGETABLES, WATER EROSION, WATER RESOURCES, WHEAT, WIND EROSION, WOMEN IN AGRICULTURE AGRICULTURAL POLICY, STRUCTURAL APPROACHES, INSTITUTIONAL CAPACITY, CAPACITY CONSTRAINTS, SECTORAL POLICY, RURAL POVERTY, AGRICULTURAL PRODUCTIVITY, GROWTH POLICY, POLICY DIALOGUES, NATURAL RESOURCE DEPLETION, DEFORESTATION, SOIL EROSION, AGRICULTURAL MARKETS, MARKET-BASED INSTRUMENTS, COMMODITY MARKETS, LAND OWNERSHIP, FRAGMENTATION, AGRICULTURAL EXPORTS, FOOD SECURITY, AGRICULTURAL PRICING, SOCIAL ASPECTS OF AGRICULTURE, TECHNICAL ASSISTANCE & ADVISORY SERVICES, KNOWLEDGE SHARING, PUBLIC-PRIVATE PARTNERSHIPS, LENDING OPERATIONS

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