ECONOMIC DEVELOPMENT IN AT-RISK COMMUNITIES

UNCLAS SECTION 01 OF 03 BOGOTA 004503

SIPDIS

E.O. 12958: N/A
TAGS: PGOV EAID CO
SUBJECT: ECONOMIC DEVELOPMENT IN AT-RISK COMMUNITIES


1. Summary: The GOC is rolling out social services to
fifty-one municipalities recently liberated from FARC or
paramilitary influence. The Plan Colombia initiative
consists of a five-tiered approach to retaking the territory
and stabilizing the regional economy around sustainable
agriculture and the provision of social services. EconOff
traveled with Accion Social to observe the roll out of
economic development assistance in Valledupar. The
communities are complex, and building consensus among
indigenous and local leaders concerning targeted assistance
requires lengthy consultation and the ability to provide
creative solutions to meet cultural expectations. End
Summary.

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Reclaiming Communities
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2. The GOC created Accion Social and the Center for
Integrated Action to reclaim and stabilize historically
at-risk communities against subversive influences, especially
in areas that have been affected by the conflict with
Colombia,s illegal armed terrorist groups (FARC, ELN, AUC).
Soon after President Uribe,s election in 2002, the GOC
recognized the need to follow-up successful military
campaigns with social intervention. This Plan Colombia
initiative rolls out social services to approximately 1.5
million Colombians in fifty-one affected municipalities, and
consists of a five-tiered approach toward securing and
stabilizing affected regions.

Tier 1 Control of territory, remove organized crime and
drug-trafficker influence
Tier 2 Deliver humanitarian assistance and reactivate
social network
Tier 3 Develop economic activities and connect with viable
supply-chain
Tier 4 Strengthen formal justice service and develop
alternative conflict resolution
Tier 5 Development of social activities, sports and
renovate local customs

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U.S. Assistance to the Program
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3. In 2004, during the early stages of the program, the
Department of Defense sponsored GOC travel to the U.S. to
learn about consensus building, delivering assistance to high
risk communities, and maximizing international humanitarian
aid programs for support of displaced families. In addition,
through 2004 and 2005, DOD provided a combined USD 2.8
million in funding for infrastructure projects and medical
supplies in support of this initiative. Infrastructure
projects have ranged from the construction of schools and
hospitals to paving of roads connecting affected areas to
main economic centers. The medical supplies have been used
for emergency and triage treatment for civilian populations
immediately following military action.


4. USAID also contributes to the program, especially in the
tier four- strengthening the rule of law and alternative
conflict resolution. Throughout Colombia, USAID has
constructed forty-three Jutice Houses (Casas de Justicia).
These are multi-agency service centers that facilitate
community access to justice, dispute resolution,
psycho-social support and other services provided by
national, municipal, university, and community justice
partners. USAID has also trained Justice House staff and
supported community-initiated conflict resolution
initiatives, such as preventing violence against youth. In
addition, USAID has trained and certified over 2,100
conciliators who contribute to strengthening community
co-existence and access to justice. USAID has contributed
USD 153,000 for the establishment of two Justice Houses in
Valledupar, serving approximately 70,000 residents.

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Economic Development
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5. Accion Social is responsible for the tier three economic
development activities through coordinated interventions in
each of the fifty-one municipalities. These interventions
are financed through a USD 45 million budget, including some
humanitarian assistance from the U.S. Department of Defense.
The goal of the interventions is to assess the comparative
advantage of each region and focus local leaders on measures
to enhance the productivity and competitiveness of the
community,s key economic outputs. Interventions begin with
consultations to allow the community to identify which
pre-existing agricultural activities can be converted to
efficient production. As communities work to convert these
activities (i.e. replace old coffee trees),families are
taught subsistence farming and given seeds and chickens to
last them until their new crops or activities generate a
return. Secondary benefits of these interventions include
building community support for alternative development apart
from illicit crops, the return of internally displaced people
to their lands, capital improvements made to fertile lands,
and whenever possible, the development of small-scale
manufacturing.

The following are examples of regional economic development
activities and the number of families these activities are
expected to support.

ZONE ECONOMIC ACTIVITY FAMILIES
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Arauca Dairy, Meat, Cacao 1,300

Choco Rice, Plantain, Fruits, Hard woods 2,330
Catatumbo Onion, Cacao, Sugar, Beans, Tourism 8,003
Cauca Plantain, Cacao, Exotic Fruits 772
Valledupar Coffee, Sugar Cane, Handicrafts 1,020
Tumaco Cacao, African Palm, Fishing 4,740
South Cattle, Wood Work, Exotic Fruits, Flowers 969

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VALLEDUPAR CASE STUDY
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6. On May 8th EconOff traveled with the GOC to Valledupar to
observe the roll-out of Accion Social,s tier three economic
development program. Valledupar is the largest of three
municipalities located in the Cesar Department where the
Kankuamo, Kogi, Arwaco and Wiwa Indian tribes reside.
Historically, this region has struggled under violent
influence of the FARC and AUC paramilitary groups. The
intervention began with a series of consensus-building
meetings among leaders and members of the community
concerning which agro-industry would bring economic
self-sufficiency to the region. During the visit, the GOC
presented the results of economic assessments on coffee,
sugar cane, exotic fruits, and livestock. The community
selected coffee and sugar cane as the region,s principal
activities. GOC experts highlighted traditional handicrafts
as a potential supplemental source of income.

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COMMUNITY RESPONSE
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7. The local indigenous tribes responded very differently to
the economic development program. The Kankuamos, who were
the principal recipients of the program, did not empower
their representative to the meetings with the authority to
allocate funds or accept the assistance. They were unwilling
to reveal their available cash-flow and resisted the idea of
organizing the women into a weaver,s cooperative. The
tribal-leader did not attend the meetings or respond to phone
calls during the visit. When the Wiwa Indians, the Kogi, and
the Arwacos were contacted in a separate meeting, their
leadership immediately made themselves available for
consultation. During these consultations, the leaders agreed
to contribute 10 percent of their total annual budget and
promised to seek further financing. The leaders of these
groups expressed appreciation for the agricultural assistance
as well as support for the commercialization of their
handicrafts.

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COMMENT
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8. The GOC,s national focus on agriculture as the primary
vehicle of economic development in these affected regions is
a short-term fix, but lacks the long-term vision needed to
significantly reduce poverty in Colombia,s rural areas.
Intervention-related job training to workers through SENA
(the GOC,s national apprenticeship agency) is geared
primarily to small-scale agro-industry and does not prepare
workers for other opportunities. Initial reports from the
fifty-one communities involved in this project show affected
communities support the immediate use of the region,s human
capital in traditional industries, mainly agriculture. The
distribution of land is a primary concern, however, and the
GOC has not developed a targeted process to utilize land
seized from demobilized former paramilitary groups in the
roll out of these agricultural initiatives. In any event,
the long-term economic viability of traditional agriculture
in these areas remains in doubt.
WOOD