*EPF307 09/18/2002
Text: Global Demand for Food Aid Remains Strong, UN Agency Reports
(FAO cites significant increase of malnourished in Africa) (5270)

While the overall global food situation in 2001-02 was generally better than in the previous season, many countries continue to face emergencies, and demand for food aid remains strong, the U.N. Food and Agriculture Organization (FAO) says.

In a report released September 17 FAO added that the number of malnourished people in sub-Saharan Africa has increased significantly in the past two decades.

To achieve the internationally agreed goal of halving the number of malnourished people in the world by 2015, that number would have to decrease 22 million a year -- compared to the current annual rate of decrease of 6 million, the report said.

The report said that while the incidence of malnourishment in sub-Saharan Africa declined marginally since 1979-81, rapid population growth in the region means that the overall number of malnourished people increased.

World crop and livestock production over the past two years increased at lower rates than in previous years, a change the report attributes to slowdowns in production in both developed and developing countries. It said sub-Saharan Africa is the only developing country region where agricultural production has trailed population growth for most the past three decades. Production has also declined in Asia and the Pacific, the report said.

Cereal production increased in Europe -- mainly in Central Europe, Russia and Ukraine -- and in South America, however, according to the report.

The report said that, because of insecurity and war, millions of people in developing countries still need emergency food assistance. Drought and lack of access to agricultural inputs have severely affected output in Central Asia, it said.

Food aid flows declined in 2000-2001 from the previous year due mainly to a decrease in shipments to Russia, the report said. The United States remains the largest donor of cereal food aid, it said.

The report added that world agricultural commodity prices remained depressed in 2001, particularly in cereals, oils and fats, coffee, cocoa and cotton.

It said fisheries production continues to increase and global forestry markets continue to recover.

Following is the text of the FAO report's overview:

(begin text)

The State of Food and Agriculture 2002

WORLD REVIEW

TRENDS IN UNDERNOURISHMENT

According to FAO's latest estimate, there were 815 million undernourished people in the world in 1997-99: 777 million in the developing countries, 27 million in the countries in transition and 11 million in the developed market economies.

More than half of the undernourished people (61 percent) are found in Asia, while sub-Saharan Africa accounts for almost a quarter (24 percent).

In terms of the percentage of undernourished people in the total population, the highest incidence is found in sub-Saharan Africa, where it was estimated that one-third of the population (34 percent) were undernourished in 1997-99. Sub-Saharan Africa is followed by Asia and the Pacific, where 16 percent of the population are undernourished.

Significant progress has been made over the last two decades: the incidence of undernourishment in the developing countries has decreased from 29 percent in 1979-81 to 17 percent in 1997-99.

However, progress has been very uneven. In Asia and the Pacific, the percentage has been halved since 1979-81. In sub-Saharan Africa, by contrast, the incidence of undernourishment has declined only marginally over the same period. Considering the rapid population growth in this region, this means that the total number of undernourished people in sub-Saharan Africa has increased significantly. In Latin America and the Caribbean, the incidence of undernourishment is lower than in Asia, but progress over the last two decades has been slower. The Near East and North Africa region has the lowest incidence of undernourishment, but has seen no reduction over the last two decades.

At the World Food Summit in 1996, heads of state and government made a commitment to cut by half the number of undernourished people in developing countries by 2015 (with 1990-92 as the benchmark period). Since the benchmark period, the number of undernourished people has declined by a total of 39 million, corresponding to an average annual decline of 6 million. To achieve the World Food Summit goal, the number of undernourished people would have to decrease by an annual rate of 22 million for the remaining period -- well above the current level of performance.

CROP AND LIVESTOCK PRODUCTION

World agricultural (crop and livestock) production over the past two years increased at rates below the average of the preceding periods. Total world agricultural output growth in 2000 is estimated at only 1.2 percent. The preliminary estimates for 2001 suggest even lower output growth, of 0.6 percent, the lowest rate since 1993. In both years, this implies a decline in global per capita production.

The lower agricultural output growth achieved in the last two years is the result of slowdowns in production in both developed and developing countries. The developed countries experienced an actual decline in production in 2001 as the net result of a decline in the developed market economies and a strong recovery in production in the countries in transition. For the countries in transition, this constitutes the first year of significant output growth for the region as a whole after a decade of mostly contracting production.

In all developing country regions, output growth was lower in 2000 and 2001 than in 1999, with the most favourable output performance being recorded in Latin America and the Caribbean, the only developing country region not to experience a decline in per capita production in 2001.

Viewed in the longer-term context, annual agricultural production growth over the last five years averaged 1.7 percent, compared with 2.1 percent over the preceding five-year period and 2.5 percent in the 1980s, suggesting a trend towards declining rates of output growth for the world as a whole.

This trend towards lower agricultural output growth emerges particularly for the developing countries, although their output growth remains above the level achieved in the developed countries. This is largely attributable to output trends in Asia and the Pacific, where the rate of agricultural output growth has been declining systematically over the last five years, and to lower average output growth in sub-Saharan Africa over the same period.

The declining trend in agricultural output growth in Asia is largely attributable to China, where the very high rates of growth recorded since the beginning of the economic reform process in the late 1970s have been tapering off in recent years.

Nevertheless, a similar pattern of lower growth in the last five years relative to the preceding five-year period and the 1980s is discernible, although less pronounced, for the rest of Asia as a whole.

Sub-Saharan Africa is the only developing country region where agricultural output has been trailing population growth for most of the last three decades. Following improved performance in the early 1990s, leading to sustained gains in per capita terms for the first time since the 1960s, agricultural output has reverted in the last five years to a pattern of declining per capita output.

Latin America and the Caribbean experienced average growth in agricultural output of 3.0 percent over the last five years and of 2.9 percent over the period 1991-96. This represents an improvement over the 2.4 percent average annual growth of the 1980s and a return to the levels of 3.1 and 3.0 percent recorded in the 1960s and 1970s.

In the Near East and North Africa, agricultural performance has generally been characterized by more pronounced fluctuations than in most of the other regions, owing to the climatic conditions of large parts of the region. In the 1980s, agricultural output grew at a relatively high average annual rate of 3.6 percent, falling to 3.1 percent in the period 1991-96. Successive droughts in many countries over the past few years have adversely affected production, resulting in a marginal decline in production during this period.

FOOD SHORTAGES AND EMERGENCIES

Millions of people in developing countries still need emergency food assistance as a result of natural and human-caused disasters.

In eastern Africa, food supply difficulties persist in some parts as a consequence of poor rainy seasons and/or civil conflict. In Somalia, where the 2001 main season crops were poor, more than 500,000 people face severe food difficulties. Approximately 5.2 million people in Ethiopia, 1.5 million in Kenya, 2 million in the Sudan and 300,000 in Uganda will depend on food aid in 2002, although the overall food supply situation has improved. In Eritrea, an estimated 1.3 million people will require emergency food assistance through 2002, despite some recovery in cereal production. In the United Republic of Tanzania, nearly 120,000 people are in need of food assistance.

In West Africa, several countries continue to face food supply difficulties as a result of localized unfavourable weather (Chad, Ghana), or past or ongoing civil strife or population displacements (Guinea, Liberia, Sierra Leone).

Persistent civil conflict in the Great Lakes region continues to disrupt agricultural production. In the Democratic Republic of the Congo, the prolonged civil war has resulted in over 2 million internally displaced people. In Burundi, despite a good first-season harvest in 2002, production remained reduced in areas affected by insecurity. The food situation is critical for some 432 000 internally displaced people and for vulnerable groups.

In several parts of southern Africa, the reduced 2001 maize harvest, caused by adverse weather, has led to food shortages. In Malawi, food shortages have emerged in southern parts, where floods affected more than 600,000 people. In Zambia, emergency food aid is required for almost 1.3 million people following the poor 2001 maize harvest. In Zimbabwe, the 2001 maize output declined by 28 percent from the level of the previous year, resulting in food shortages in several areas. In Swaziland, households affected by drought in certain province in 2001 are experiencing food difficulties. In Lesotho and Namibia, the food supply situation is tight as a result of poor cereal harvests and commercial imports falling short of 10 requirements. In Mozambique, emergency food aid is being distributed to 172,000 vulnerable people in southern provinces, where the harvest was reduced for the second consecutive year. In Angola, emergency food aid is needed for over 1.3 million internally displaced people.

In the Near East, the food situation in Afghanistan remains grave. Years of insecurity and war, coupled with three successive years of severe drought, have exposed large numbers of people to extreme hardship. In Iraq, recent years of drought and economic sanctions have left a large number of people in need of assistance. The food situation in the West Bank and the Gaza Strip also gives cause for serious concern.

In Asia, a severe winter for the third consecutive year is threatening the already fragile food supply situation of thousands of herder families in Mongolia. In the Democratic People's Republic of Korea, despite a marked recovery in 2001 from the poor harvests of the previous years, food assistance will still be required in 2002. In Pakistan, food assistance continues to be distributed in refugee camps along the border with Afghanistan. In Sri Lanka, more than 1.5 million people have been affected by last year's drought, the worst in 30 years.

In Latin America and the Caribbean, food assistance continues to be distributed in some Central American countries (El Salvador, Guatemala) affected by earthquakes, drought and storms in 2001, as well as the economic crisis caused by the sharp fall in international coffee prices. There is serious concern over the effects of the coffee crisis on the food security of the poor rural populations, particularly in Honduras and Nicaragua. Food difficulties are being experienced by vulnerable groups in Argentina as a consequence of the severe economic crisis. In Colombia, assistance continues to be provided to large numbers of internally displaced people.

In the Commonwealth of Independent States (CIS), military operations and civil strife in Chechnya continue to affect food production. Thousands of people have been either internally displaced or have taken refuge in the neighbouring autonomous regions and countries. Elsewhere in the CIS, drought coupled with chronic structural problems and lack of access to sufficient agricultural inputs have led to sharp reductions in crop production for the last three consecutive years. Armenia, Georgia, Tajikistan and Uzbekistan are particularly affected and face severe food shortages.

WORLD CEREAL SUPPLY SITUATION

Since the strong increase achieved in 1996, global cereal production has been stagnating or declining. World cereal output in 2001 was estimated at 1 880 million tonnes (including rice in milled equivalent) -- 22 million tonnes, or 1.2 percent, above the previous year's level and representing the first increase since 1997.

A strong increase of 11 percent was estimated for Europe in 2001, mainly attributable to sharp rises in production in Hungary, Poland, Romania, the Russian Federation and Ukraine. Also in South America, output increased significantly by 8-9 percent thanks to expanded crops in Brazil. On the other hand, cereal output was estimated to have declined by 6-7 percent in North America and, somewhat less, by 1.3 percent in Asia, largely because of a further small reduction in the Chinese crop.

World coarse grain production in 2001 rose by around 3 percent compared with that of 2000, despite declines in North America. World wheat production in 2001 reached 582 million tonnes, close to the level of the previous year. World paddy output in 2001 was estimated at 591 million tonnes (395 million tonnes in milled equivalent), 7 million tonnes less than in 2000. Much of this contraction was concentrated in China.

World cereal utilization by the close of the seasons ending in 2002 was forecast at 1 935 million tonnes, up 1.7 percent from the previous season. Continuing weak cereal prices in international markets and large cereal supplies were among the main factors for the faster expected expansion in overall cereal usage.

With total cereal utilization exceeding world production for the second year in a row, world cereal reserves by the close of the 2001/02 season were expected to decline sharply. World cereal stocks by the close of the seasons ending in 2002 were forecast to reach 587 million tonnes, down 8 percent from the previous season's level.

World cereal trade in 2001/02 was forecast to reach 236 million tonnes, 2 million tonnes higher than in the previous season. Overall, aggregate cereal imports by the developing countries were expected to change little compared with the previous season's level, but imports by the low-income food-deficit countries (LIFDCs) were likely to increase by some 1.8 million tonnes, to 74 million tonnes, reflecting higher imports by several countries in Asia.

EXTERNAL ASSISTANCE TO AGRICULTURE

According to provisional data, in 1999 the major bilateral and multilateral donors committed $10,700 million in current prices as external assistance for agricultural development, compared with $12,605 million in 1998. When these figures are converted into constant 1995 prices, this corresponds to a decline of 17 percent, after increases of 14.5 and 4.6 percent in 1997 and 1998, respectively. Partial data available for 2000 suggest that the level of external assistance to agriculture would decline further.

Both bilateral and multilateral commitments declined in real terms in 1999, bilateral commitments by 12 percent and multilateral commitments by 20 percent. Most of the decline in the latter was a consequence of significantly lower lending by the World Bank and the International Bank for Reconstruction and Development (IBRD), while International Development Association (IDA) lending remained unchanged in real terms.

The fall in commitments in 1999 affected both the developing countries and the countries in transition, the sharpest drop (-39 percent in constant prices) being in Latin America and the Caribbean, followed by the transition countries (-32 percent) and the developing countries in Asia (-13 percent). Assistance to Africa dropped only marginally (-2 percent) in constant prices and has remained relatively stable over the last four years. Unsurprisingly, it being the largest continent, the largest portion of assistance (46 percent in 1999) was absorbed by Asia, followed by Africa (25 percent) and Latin America (16 percent). The share going to the transition countries declined from close to 7 percent in 1996 to less than 4 percent in 1999.

The subsectoral composition of external assistance to agriculture saw agriculture, narrowly defined, 4 absorbing 57 percent of the total (2 percent of which was accounted for by the fisheries sector and 2 percent by forestry). In the broader definition of agriculture, the most prominent component in terms of allocations is assistance to rural development and infrastructure, which increased from 13 percent of the total in 1996 to 24 percent in 1999.

In spite of a continuing decline in its assistance to agriculture over the past few years, Japan remains by far the largest bilateral donor to the sector, contributing $1,644 million and $1,265 million, respectively, in 1999 and 2000. After an interval of some years, the United States re-emerged as the second largest donor ($519 million) in 2000, followed by the United Kingdom ($511 million) and Germany ($379 million). The increase in the level of assistance provided by the United Kingdom is particularly marked, having risen sharply over the last few years from a level of only $102 million in 1996.

FOOD AID FLOWS

As of December 2001, according to information from the World Food Programme (WFP), total cereal shipments in 2000/01 (1 July through 30 June) were estimated at 8.5 million tonnes (in grain equivalent), nearly 3 million tonnes, or 24 percent, smaller than in 1999/2000, mainly because of a sharp reduction in shipments to the Russian Federation. Total cereal shipments as food aid to the LIFDCs, as a group, fell slightly to 7.4 million tonnes in 2000/01, or some 160,000 tonnes less than in 1999/2000.

Cereal food aid from the United States, by far the largest donor, fell by around 2.5 million tonnes in 2000/01 to 4.7 million tonnes, with shipments to the Russian Federation falling from 1.9 million tonnes provided in 1999/2000 to only 127,000 tonnes. Cereal shipments from a number of other major donors, including Canada and the European Communities (EC), also registered a sharp decline in 2000/01, while shipments from Japan more than doubled, to 720,000 tonnes.

For 2001/02 (July/June), total cereal food aid shipments were forecast to reach 9.5 million tonnes (in grain equivalent), 1 million tonnes more than in 2000/01. This increase was likely to be met mainly by larger donations from the United States and Japan, while Pakistan and India, usually among food aid recipient countries, could also emerge as donors this season.

While the overall global food situation in 2001/02 was generally better than in the previous season, many countries continued to face emergencies and demand for food aid remains strong. Food aid shipments to Afghanistan were expected to increase sharply. Flows to the Democratic People's Republic of Korea and Bangladesh were also expected to remain substantial, although less than in the previous year. In Africa, despite better harvests in several countries, civil strife and localized crop failures in many areas were expected to maintain food aid needs at high levels. In many parts of Latin America and the Caribbean, the food situation was also precarious, mostly because of natural disasters.

Following a surge to a near-record volume in 1999, total shipments of non-cereals as food aid in 2000 (January-December) fell to 1.2 million tonnes, representing a decline of 700,000 tonnes, or 38 percent. Most of the decline was due to a sharp reduction in shipments from the United States to the Russian Federation, which more than offset larger aid contributions from Canada and several countries in Europe. Total shipments to the LIFDCs, as a group, exceeded 890,000 tonnes, up 32 percent from 1999.

COMMODITY PRICE TRENDS

Agricultural commodity markets remained depressed in 2001. In spite of some differences in recent price trends among commodities, prices of major agricultural commodities remain well below their peak levels of a few years ago.

Between May 1996 and January 2000, the FAO total foodstuffs price index declined by some 38 percent. After reaching a highpoint for the 1990s in 1996, by 2000 it had fallen to a record low point for the decade. The index stabilized in 2000 and 2001 but weakened further in January 2002.

Among the major foodstuffs, the decline in prices has been most pronounced for cereals, for which prices peaked in May 1996, and for oils and fats, which peaked in mid-1998. The average cereals price index for 2001 was more than 40 percent below the average of 1996, but has remained relatively stable over the last three years. The average 2001 index for oils and fats was similarly 45 percent below that of 1998. However, in contrast to the situation for cereals, the price index strengthened significantly in the course of 2001. Price movements over the last few years have been more contained for livestock products, particularly meat.

Coffee prices in particular have been severely depressed and continued their decline through 2001. Prices in 2001 fell to their lowest level since 1973 in nominal terms and to a record low in real terms. By the end of 2001, coffee prices had dropped to below half the end-1999 level, and average prices for the year were one-third of those of 1998.

Among the other tropical beverages, cocoa prices had risen steadily over the 1995-98 period but experienced a marked drop in 1999 and 2000. In 2000, the International Cocoa Organization (ICCO) daily price averaged $888 per tonne, the lowest since 1973 in nominal terms. Prices firmed somewhat in 2001 and, overall, cocoa prices increased by 16 percent in 2001. Nevertheless, they remained 38 percent and 12 percent lower than in 1998 and 1999, respectively.

In contrast to the other tropical beverages, tea prices had remained relatively firm in recent years, but in 2001 they weakened substantially from their relatively high level in 2000. Prices fell in early 2001 but remained steady after April.

After coffee, cotton has suffered the most pronounced decline; average prices in 2001 were down to 50 percent of their level in 1995. Prices have been on a declining trend for the past several years. After reaching a trough in December 1999, they recovered somewhat in the course of 2000, but resumed a downward trend in 2001. In spite of some limited recovery starting in October 2001, no substantial price appreciation is expected in the near future.

Sugar prices have risen since 1999, at which time they had fallen to less than half their 1995 level. The trend in 2001 has been downward although a slight recovery set in towards the end of the year.

FISHERIES: PRODUCTION, DISPOSITION AND TRADE

Fisheries can provide a key contribution to food security and poverty alleviation. However, productivity gains in fisheries do not always imply long-term increases in supply. In fact, in wild capture fisheries such gains can ultimately lead to the demise of stocks and reduced production.

Total world commercial fishery production in 2000 -- the total of marine and inland aquaculture and capture production -- reached a new high of 130.25 million tonnes, an increase of 11.9 percent since 1995, reflecting enormous gains in aquaculture production, particularly in China. Excluding China, world production has remained flat, the 2000 figure of 88.68 million tonnes being only 0.8 percent greater than the 87.95 million tonnes achieved in 1995.

However, the limited wild fish stocks in both oceans and inland waters place significant constraints on total wild capture production, total capture production, at 94.65 million tonnes in 2000, was only 3.0 percent higher than the 1995 level of 91.87 million tonnes (excluding China, production decreased by 2.1 percent).

Aquaculture production is different from wild capture production. Total aquaculture production figures reveal the enormous potential of this source of food towards food security and poverty alleviation if the environmental impacts and other issues of sustainability relating to aquaculture facilities and to aquaculture production receive sufficient attention.

Increasing by 45.3 percent from 24.5 million tonnes in 1995, total world aquaculture production reached 35.60 million tonnes in 2000, the bulk of it accounted for by China. Excluding Chinese production, world aquaculture production increased by only 27.5 percent between 1995 and 2000, to 11.02 million tonnes.

These production gains have occurred in both inland and marine environments. Total world inland aquaculture production reached 21.20 million tonnes in 2000, an increase of 50.9 percent over the 1995 level of 14.04 million tonnes. World marine aquaculture production has similarly expanded, increasing by 37.8 percent from 10.45 million tonnes in 1995 to 14.40 million tonnes in 2000.

In 2000, China alone accounted for 69 percent of total aquaculture production (72 percent of inland production and 65 percent of marine production).

Total per capita supply of fish for human consumption has increased by 6.9 percent since 1995, from 15.32 kg [kilograms] to 16.38 kg in 2000, but excluding China it decreased from 13.36 kg in 1995 to 12.75 kg in 2000. In 2000, 99 million tonnes of fish supplied were used for food purposes, with 38 million tonnes attributable to China.

World import and export figures for fish and fishery products reveal the potential of these products for revenue generation. Despite a slump in the late 1990s, exports of fish and fishery products from developing countries or areas have increased by 84.4 percent since 1990, to $28.3 billion in 2000. Imports of fish and fishery products in these countries also increased by 84.3 percent over the same period, and at $9.5 billion represented about one-third of their exports.

For more than a decade, the developed countries or areas have consistently been net importers of fish and fishery products. In 2000, imports by the developed countries reached $49.9 billion, compared with exports of $27.1 billion.

At the global level, the composition in terms of commodity groups of international flows of fishery products has changed since 1995. The largest export commodity category of fish (fresh, chilled or frozen) saw exports increase by 17.0 percent in volume (reaching 12,506,430 tonnes) and 13.0 percent in value (to $23.4 billion). The largest increase in exports from 1995 to 2000 occurred in what was, in 1995, the smallest (in terms of absolute tonnage) commodity category -- canned crustaceans and molluscs. Indeed, world exports of these increased by 55.8 percent in volume terms, to 574,056 tonnes, and by 27.1 percent in value terms, to $3.91 billion.

PRODUCTION AND TRADE OF FOREST PRODUCTS

Global markets for forest products continued to recover in 2000, owing to growth in the global economy. Overall, global roundwood production increased by 1.9 percent to 3,352 million m3 [cubic meters]. In the developing countries, which account for about 60 percent of total roundwood production, production increased by only 0.3 percent, while the developed countries' production increased by 4.3 percent.

Industrial roundwood production (which excludes the production of wood used for fuel) accounted for about 47 percent of total roundwood production in 2000 and increased by 3.2 percent to 1,587 million m3. The developed countries account for the largest share of industrial roundwood production (about 73 percent), and production in these countries rose by 4.5 percent to 1,154 million m3. Developing countries' production increased marginally from 431 million m3 to 432 million m3.

Global production of solid wood products (which includes sawnwood and wood-based panels) also increased during 2000, rising by 1.7 percent to a level of 610 million m3. Again, the increase in production was attributable to the developed countries, where production increased by 2.6 percent as opposed to a decline of 1.4 percent in the developing countries.

Overall, global output of pulp and paper products continued to show strong growth, with an increase of 3.2 percent to 494 million tonnes. As in the previous year, the developing countries led the recovery with an increase in production of 5.7 percent in 2000 to just over 100 million tonnes. In the developed countries, production increased by 2.6 percent to 393 million tonnes.

Global trade in forest products also continued to grow in 2000. A significant proportion of forest products output is traded on international markets each year, including, in 2000, 30-35 percent of sawnwood, wood-based panel and paper production in the developed countries and 40 percent of wood-based panel and wood pulp production in the developing countries. During 2000, exports increased across all regions in total, but fell slightly in the solid wood products sector. Overall exports of forest products increased by around 6 percent to $140 billion, 83 percent of which was accounted for by the developed countries.

THE GLOBAL FOREST RESOURCES ASSESSMENT [FRA]

FAO has carried out periodic global forest assessments since 1947, at intervals of approximately ten years. The Global Forest Resources Assessment 2000 (FRA 2000) was a joint endeavour of FAO, is member countries and many other partners. Some of the major results are summarized in the following.

The world has about 3,70 million ha [hectares] of forests, of which 95 percent are natural forests and 5 percent are forest plantations. This global forest cover estimate is higher than those made by the previous two forest resources assessments (Global Forest Resources Assessment 1990 [FRA 1990] and the interim 1995 assessment). However, this does not reflect a real increase in forest area but the use, for the first time, of a common definition for all forests worldwide and the incorporation of new forest inventory data.

About 30 percent of the world's land area is under forests. Of these forests, 47 percent are tropical, 9 percent subtropical, 11 percent temperate and 33 percent boreal.

The world's natural forests continued to be converted to other land uses at a very high rate during the 1990s. An estimated 16.1 million ha of natural forest were lost each year (14.6 million ha through deforestation and 1.5 million ha through conversion to forest plantations). Around 15.2 million ha of the forest area lost were in the tropics. Against this loss could be offset a gain of 3.6 million ha as a result of natural forest expansion, leading to a net loss of 12.5 million ha. Much of the gain in natural forest area was caused by natural forest succession on abandoned agricultural land. Forest expansion has been occurring for several decades in many developed countries.

Gains in forest area also occurred through the expansion of forest plantations. Indeed, about half of the 3.1 million ha of new plantation area per year worldwide has been on land recovered from natural forest, i.e. representing reforestation on cleared natural forest land.

The overall net change in forest area during the 1990s (i.e. the sum of changes in natural forests and forest plantations) was an estimated -9.4 million ha per year, or 0.2 percent of total forests. This was the net result of a deforestation rate of 14.6 million ha per year and forest increase of 5.2 million. Net deforestation rates were highest in Africa and South America. The loss of natural forests in Asia was also high, but was significantly offset (in terms of area) by forest plantation establishment. In contrast, the forest cover in other regions -- mainly industrialized countries -- increased slightly.

According to the reported figures, the estimated net loss of forest area was lower in the 1990s than in the 1980s. Indeed, net annual forest change was estimated at -9.4 million ha for the period 1990-2000, -11.3 million ha for 1990-95 and -13.0 million ha for 1980-1990.

Forest management over the past decade has focused increasingly on sustainable forest management in accordance with the "Forest Principles" agreed at the United Nations Conference on Environment and Development (UNCED) in 1992. As of 2000, 149 countries were involved in international initiatives to develop and implement criteria and indicators for sustainable forest management, although the degree of implementation varies considerably. The area of forests worldwide under formal or informal management has increased. Furthermore, interest in forest certification has increased; a number of forest certification schemes were established during the 1990s, and the total global area of certified forests grew to reach 80 million ha by the end of 2000.

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(Distributed by the Office of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)

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