AGRICULTURAL DAMAGE UPDATE

UNCLAS PORT AU PRINCE 001356 SENSITIVE SIPDIS STATE FOR WHA/EX, WHA/CAR VDEPIRRO, S/ES-O/CMS STATE PASS AID FOR LAC/CAR, OFDA STATE PASS AGRICULURE TREASURY FOR ERIN NEPHEW E.O. 12958: N/A TAGS: ASEC EAID EAGR ETRD ECON PGOV HA SUBJECT: AGRICULTURAL DAMAGE UPDATE REF: A) PORT-AU-PRINCE 1314 B) PORT-AU-PRINCE 1345 ¶1. (U) This message is sensitive but unclassified -*please protect accordingly. ¶2. (U) This report is an updated interim assessment of damage to Haiti's agricultural sector following recent hurricanes. (ref A, B). ¶3. (U) New Minister of Agriculture and Natural Resources (MARNDR) Joanas Gue announced the week of September 15 that the agricultural sector suffered an estimated loss equivalent to USD 190 million that affected approximately 64,000 hectares of land. (Comment: Agricultural experts note that this estimate does not include damage to banana/plantain-producing areas in Cabaret and Plaine de l'Arcahaie in the Western Department, where damage assessments have yet to be carried out. End Comment). Losses to Haiti's agriculture may eventually surpass those from Hurricane Jeanne in 2004, which are estimated at 265 million USD, or seven percent of GDP at that time. ¶4. (U) Gue declared that USD 123 million would be needed over the next six months to revive agricultural production. He identified four priorities: reconstruction of agricultural roads; cleanup of riverbeds; restoration of watersheds; and rebuilding of irrigation systems. These priority areas should guide reconstruction initiatives, which would provide employment and enable cash-starved Haitians to purchase food. ¶5. (U) Much livestock and seed in storm-affected areas has also been lost, guaranteeing sharp increases in food imports in the near future and increasing inflation. Food imports represented 48 percent of the overall food stock in Haiti before the storms. (Note: Haiti imported USD 295 million of food commodities from October 2007 through April 2008. End Note.) The National Committee for Food Security (CNSA) notes that food imports could increase by 15 percent because of the agricultural damage. ¶6. (SBU) The North Department in Haiti was among the hardest hit by the August-September storms. The Ministry of Agriculture's (MARNDR) North Department estimates a loss of USD 30 million in crops. Livestock losses there exceed USD 1.2 million. The MARNDR has not yet released an assessment of the financial damage to farms/tertiary roads and irrigation systems that support the agriculture sector in the North Department. ¶7. (U) Haiti's largest agricultural export sector, the mango industry, will book its November-December ''small'' growing season as a total loss due to damaged trees and fruit blown off of the trees. Representatives from the Haitian Mango Exporters Association (ANEM) anticipate the larger mango season will get underway on schedule in February-March. However, if key agricultural roads are not repaired by that time, the larger season could be jeopardized and substantially reduce mango exports to the U.S. ¶8. (U) The MARNDR's National Committee for Food Security (CNSA) will take the lead compiling a comprehensive report in the next several weeks on cumulative agricultural sector damage caused by the tropical storms and hurricanes and their impact on food security. ¶9. (U) Post will continue to monitor and report on agricultural damage, once additional assessments are completed. SANDERSON