Morocco - Livestock review

-- Unn-40 ,RESTRICTE-D Q fl This report was prepared for use within' the-Bank and its affiliated organiza'tions. They do not accept responsibility for its accuracy or completeness. The report may not be published nor- may it be quoted as representing their views. INTERN,ATIONAL BANK FOR RECONSTRUCTION -AND DEVELOPMIENT INTERNATIONAL DEVELOPMENT~ ASSOCIATriON" LIVESTOCK REVIEW MOROCCO r/b 3 16 Novembr2,16 Projects Department  CURRENCY EQUIVALENTS us$1 -5 06 Dirhams Dh. 1 US $0. 1976 - Dh. 1, 000, 000 =US,$197.,600 UNIT EQUIVALENTS,, 1 square kilometre 0.386 square mi'les, I hectare (ha.) 2'. 47].acres I millimeter-(m".~ I=0. 394 inches Illitre - 0. 264 U. S. gallons &N 1 kilo'gram (Kg.) =~ 2. 2 0,5 p our d s  M 0 R 0 C C 0 LIVESTOCK REVIEI TABLE OF CONTENTS Page No,. SUIMI41ARYi I. INTRODUCTION 1 II. BACKGROUND -. III. THFB EXISTING LIVESTOCK INDUSTRY 2 IV. SUPPORTING SERVICES ! V. POTENTIALS FOR DEVELOPMT 7 Policy Issues 7 -Heat Production 8 Milk Production 10 VI. CREDIT 11 VII. CONCLUSIONS 12 NOTE This report is based on the findings of a mission in February, 1966 to Morocco composed of Messrs. I4cNeekan (consultant), alnd Bourgin (of the Bank). ,.S  MO R O C C O LIVESTOCK REVIEW S- U M E A R Y The Government of Morocco has requested the Bank to review its livestock industry, and make recommendations on improving its productivity. ii. At present the majority of livestoclc are managed on an extensive basis, using rangelands unsuitable for agriculture. iii. Substantial increases in both meat and milk production would be technically feasible, based on the use of forage crops, grouan in irrigated and rain-fed areas in association Trith existing agricultural crops. iv. To achieve these increases, existing institutions will need to be reorganized and strengthened by-the 'ecruitment of more experienced local and expatriate personnel. v. Since CNCA would play an important role in providing credit to livestock producers, it should be reorganized as recommended in connection with Loan 433-MOR. 4,  MOROCCO LIVESTOCK REVIDiJ I. LITRODUCTION At the request of the Government, the Bank sent. a Mission to MGrocco to review the livestock industry. Its objective was to provide some guidance to the Government in the formulation and the implementation of programs and projects for the improvement of production, and to make an initial estimate of the sectors which could be of interest for Bank financing. 2. The Mission comprising Messrs. McMeekan (Consultant) and Bourgin spent ten days in Morocco (February 5 to February 16,1966) visit- ing the most productive zones including more specially the Sidi Slimane, Tadla, MIoulouya and Doukkala irrigated areas. Due to the limitations of time, ornly the more important problems were examined. This report was prepared by Messrs. McMeekan and Bourgin. II. BACKGROUND 3. The total area of Morocco is 410,000 square kilometers (171,305 square miles), of which about 12 percent are cropped3 1.4 percent wine and fruit tree plantations, 6.4 percent temporary fallow, 13 percent forest and esparto grass zones, 19 percent rangeland, with about 40 to 42 perce-ret unusable. Total population was 13 million in 1965; the rate of growth, presently 3.2 percent per year, is expected to reach 3.5 percent during the next decade. Scime 90 to 95 percent of the population are currently engaged in agricultural activities. Since agricultural production has been rising in recent years at about 1 percent per year, there has been a decrease in the income level in the agricultural sector, with an increase in the numbers of unemployed or under-erfmployed people. 4. In 1964 agriculture contributed 31 percent to the gross domestic product (GDP) estimated at Dirhams 11.2 billion (US$ 2.2 billion). GDP per capita was 950 flh (US$188). Total agricultural production amounted to some Dh 3.5 billion (US$691 million), with cereals accounting for about, 30 percent and animal production 38 per- cent.l/ (Dh 1,330 million, equivalent to US$263 million). Agri- cultural products represent about 55 percent of total exports and about 40 percent of total imports. 1/ In the traditional sector, where animals are relatively more important than in the "modern" sector, animal production might have accounted for over 50 percent of the total.  5. The climatic and ecological conditions prevailing in Mobrocco are very diverse, with Morocco bordered on the north by the Mediterranean Sea, on the west by the Atlantic Ocean and on the south and east by the Sahara desert and highlands. Although a large part of Mo,rocco has a Mediterranean type climate with dry, hot summers and mild winters, the large coastal plains along the Atlantic coast benefit from the influence of the Mediterranean and have a more even distributed rainfall pattern, with rather humid co s. Inland, the Saharian influence is felt in varying degrees. More than 20 percent of the country receives more than 600 nm of rain. Water resources arising mainly in the Rif and Atlas mountains are abundant and are estimated as capable of irrigating from 0.9 to 1.0 million hectares of land. A large part of the agri- cultural activities of the country are concentrated between the Atlantic Ocean and the Atlas mountains. 6. As a result of this varied climate, agriculture could be diversWfied to produce a wide range of crops, such as cereals (wheat, corn, sorghum, barley, rice), tree crops (citrus, olive, wine, d.ate), cash crops (cotton and other textiles, sugar beet or cane, sunflower, safflower), vegetables (early) and many kinds of fodder crops. Exist- ing local knowledge is adequate to develop diversified crops un/der irrigation and in areas of good rainfall; but it is not adequate for the development of effective production in the arid and semi-arid zones. III. THE EXISTING LIVESTOCK INDUSTRY 7. Although in recent years the Moroccan Government has tried to prcduce reliable Etatistical livestock data< the following animal population figures can only be considered as providing orders, of magnitude: sheep - 13.0 million; cattle - 2.6 million; goat:.3 - 5.0 million- horses, mules and donkeys together - 1.6 million; csamels - 0.2 million, and pigs - 0.05 million. The data suggest that there have oeen some changes over the last 15 years. Sheep numbers appear to have steadily increased for about 10 years, but then to have stabilized, probably due to the sho-tage of range. The number of goats has declined markedly. In contrast, cattle appear to be increasing. IMIost of the animals are of indigenous breeds., hardy enough to stand the primitive conditionis of husbandry. 8. Leaving aside the few modern private and state farms, mixed farming is not comnonly practised. Agriculture and liveatock are apart, and it is striking to compare the extensive flocks and herds with the forage resources of the country. Only 32,000 hecLares of fodder crops are currently cultivated, the bulk of the animals being sustained on 7,800,000 hectares of rangelands located in areas unsuitable for agriculture. These are mostly over-grazed and are 1/ Mainly by analysing the results of an animal population census, compared with data provided by investigations -nto the consumption of animal products.  -'3 - seriously deteriorating. In szmmer and fall there are also 3 to 4 million hectares of stubble, but this provides a poor suibsistence ration for livestock. Animals put on weight, from March to June and lose weight between July and Novpmber(15-20 p.rcent loss). The supply of natural vegetation varies dramatically with the rainfall pattern, so that years of drought cause very severe losses. (In 1946, 50 per- cent of the sheep population reputedly died from starvaticn). In this situation, productivity per animal unit is very low. 9. It is also striking that even in irrigated areas a large proportion of the animals is still tended independently oi irrigation farming. It is claimed that returns from local breeds do not pay for the cost of the forage, which in consequence is little grown. In fact the primary reascon, in well rain-fed areas, is that competition between man and animals for food limits the introduction of fodaer crops in the cropping attern, so that livestbck rem8in scavengers of materias unaceptable to humans. Although knowledge exists for the improvement and better use of rangelands, nothing has been done in this field. The uti'Lization of rangeland is very defective and constitutes, in the medium and long-term, a real danger to the animal production sector and the national economy. 10. Production data are not very easy to come by because reliable statist:ics on the numbers of animals slaughtered, on the quantity.of milk produced, and on consumption and trade are not avail-J able. Accordring to various sources (Ministry of Agriculture, Sebou Project, Bureau of Planng) the total annual production of meat (including offals, but excluding poultry) is likely to be betwqeen 155,000 and 1L65,000 tons. Annual poultry production is likely to be aDout 45,000 tons of meat and 48,000 tons of eggs. Total annual Lilk production for human consumption is estimated at about 530 million liters. Wool and hair production total about 15,000 tons per year and hides and skins 30,000 tons. 11. All the species yield meat, with cattle providing about 45 percent of total output, sheep about 32 per.cent and goats about 14 per- cent. Meat, consumption is the same as production, since onlfy small equal quantities of meat are imported and exported. Consumption per head per year is about 12 Kg. As inl other Arabic countries there are generally no accepted standards of meat quality, except fol a very small amount of maeat sold in large towns b.y modern butchers. To Moroccan consumers, meat is meai, whatever part of the beast from which it is cut. Although M1oroccan people can appreciate the degree of finish of aninm.ls, they are generally slaughtered irrespective of their size or condition. There is much room for irmprovement here. 12. Marketing of meat deserves m6re careful attention. Only 30 percent of the output is slaughtered under the administrative and health control of the Ministry of Agriculture, and retailed by butchers (whose equipment is often very primitive). There are eighteen slaughterhouses owned and operated by the municipalities. Six are modern and equipped with cold storage facilities, six are modern without cold storage facilities, and six are old and need  rehabilitation or even reconstruction. The rural centers and villages are equipped with covered concrete yards with facilities for killing and selling. 13. Since 1960 meat prices have been continuously increasing, indicative of a generally strong demand. Supply outstrips demand, however, during 'Jne and July. As the market is not organized t-1o i3d this excess supply, prices fall drastically, so that many animals are not sold. These unsold animals probably lose weight there- after on poor pastures and stubble, and this results in a net loss to the economry. Assuming that consumptioui per head remains the same (para. 11), it is estimated by the Moroccani Government that by 1970 the annual deficit betwxeen demand and supply of meat could be about 4O,C boOYtons. This forecast if substantiated could have serious impacts on the economy. The potentials for livestock development are such (see Section V of this Report) that this predicted deficit need not become a reality. 14. The domestic productbion of milk for human consumption (530 million liters per year) is derived2 from local cattle (55 percent of output), sheep (10 percent) and goats (35 percent). In addition, the equivalent of about 122 million liters of fresh milk is Imported annuallv at a cost of Dh 50 million (US$10 million). Based on these figures, which may be o7er-esbimated, per capita consumption averages only 50 liters per year, which is very low by world standards. Domestic produ.ction of milk is not sufficient to meet demand during October, November and December, but during March, April and May a domestic surplus is sometimnes difficult to sell and must be processed into butter or other products. This seasonal processing is of limited profitability. 15. Milk marketing is partially organized, but only 16 percent is sold through commercial units with adequate processing equipment. In Casablanca, the largest town in Morocco with more than one million inhabitants, there is a cooperative dairy plant and two private dairy corporations (Centrale Laitiere, and Sterovita), but only the Centrale Laitiere is working. The Mission was unable to obtain a clear view of the problems concerning the supply of milk in Casablanca, where variouis interests conflict greatly; it concluded, however, that the position warranted an independent and thorough investigation. There are coopera- tive dairy plants also in Marrakesh, Kehitra and Oujda. The price of milk at the farm ga.te is Dh 0.45 to 0.50 per liter, with the retail price for pasteuwized milk lying between Dh 0.8 and 1.0, giving a reasonable margin to cover processing, handling, and marketing costs. 16. The wool and hair produced is processed in the country, either traditionally or in modern factories, mainly into carpets, garments and tents. The processing of hides and skins is also an active industry, which has improved greatly of recent years.  IV, SUPPORTING SERVICES 17. In principle the Ministry of Agriculture is responsible for the overall planning of agriculture and livestock development, for economic studies, research and education. The OMVA (Office de Mise en Valeur Agricole) is responsible under the Ministry for the implementation and execution of projects, and, through its extension services, the organization of production at the farm level. A specialised department of the Ministry., the "Livestock and Veterinary Service'" is responsible for health control and, theoretically, for development. Research is split between this department and a Research Institute (IMRAM). Within the Ministry there lis a Department of Agricultural Edacation. Details of these organizations are given below. 18. Considering the livestock industry as a whole, its overall management is confusing. However, a nucleus of individually competent - personnel exist who could, with effective high level,administrative backing, establish and supervise a mcre efficient animal industry. Today, in spite of the lack of personnel, thcre is too much over- lappirg and conflict between the Ministry itself and OMVA, and their respective services. Complete overhaul of their respective functions, responsibilities and administration is vital to the development of the anirial industry. This is specially necessary in view of the shortage of competent techrnical personnel. The country cannot afford to waste this scarce resource. Equally there is a need to develop truly mixed farming on all irrigated and high rainfall lands; this requires a measure of coordination within and between state services not presently existing. 19. ONVA: O01VA was created by a decree (No.2-65-lO) of May 9, 1965, which merged two existing organizations, and is respons' ble for all government action programs in agriculture. The General Director of ONVA is appoin,ted by the Minister of Agriculture and reports to him. Within OMWA, three d