China - Loess Plateau Watershed Rehabilitation Project

~~cA- d2 /(c c- C t/- Document of The World Bank FOR OFFICIAL USE ONLY Report No. 12593-CMA STAFF APPRAISAL REPORT CHINA LOESS PLATEAU WATERSHED REHATILITATION PROJECT MAY 3, 1994 Agriculture Operations Division China and Mongolia Department East Asia and Pacific Regional Office This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorizaton.  CURRENCY EQUIVALENTS (As of January 1994) Currency Unit = Yuan (Y) $1.00 = Y 8.7 Y 1.00 = $0.115 FISCAL YEAR January 1 to December 31 WEIGHTS AND MEASURES 1 meter (m) = 3.28 feet (ft) 1 kilometer (Can) = 0.62 miles I hectare (ha) = 15 mu I ton (t) = 1,000kg = 2,205 pounds 1 kllogram (kg) = 2.2 pounds = 2 jin PRINCIPAL ABBREVIATIONS AND ACRONYMS USED CAAS - Chinese Academy of Agricultural Sciences CIECC - China International Engineering Consulting Company CPMO - Central Project Management Office EIA - Environmental Impact Assessment FAO - Food and Agriculture Organization GIS - Geographical Information System IBRD - International Bank for Reconstruction and Development IDA - Intemational Development Association IPM - Integrated Pest Management mcm - million cubic meters MOF - Ministry of Finance MWR - Ministry of Water Resources NEPA - National Environmental Protection Agency PLG - Project Leading Group PMO - Project Management Office PPMO Provincial Project Management Office PRC - People's Republic of China SPC - State Planning Commission TA - Technical Assistance TP - Technical Panel UMRB Upper and Middle Reach Bureau (of YRCC) WFP - World Food Program YRCC - Yellow River Conservancy Commission  FOR OFFICIAL USE ONLY CHINA LOESS PLATEAU WATERSHED REHABILITATION PROJECT CREDE ANMD PROJEc SUMMARY Borrower: People's Republic of China Beneficiay: Ministry of Water Resources, the provinces of Gansu, Shaanxi, and Shanxi and the autonomous region of Inner Mongolia Amount: SDR 106.3 million ($150 million equivalent) Terms: Standard, with 35 years' maturity Objectives and Description: The primary objective of the project is to increase agricultural production and incomes on 15,600 km2 of land in the Loess Plateau in nine tributary watersheds of the Yellow River. A secondary objective-to reduce sediment inflows to the Yellow River-is achieved by locating the project areas in the parts of the Basin with severe soil erosion. Factors such as poverty level, strong leadership and commitment at the local government level, and development potential were also considered in the selection of project areas. The project will (a) create sustainable crop production on high-yielding level farmland and thereby replace the areas devoted to crops on erodible slope lands, (b) plant the slope lands to a range of trees, shrubs and grasses for land stabilization and the production of much-needed fuel, timber and fodder, and (c) substantally reduce sediment runoff from slope lands and gullies in the nine watersheds. The project will include 83,200 ha of terraces; several thousand sediment control dams; 5,500 ha of small-scale irrigation; 270,000 ha of commercial and land stabilizing trees and shrubs; 155,000 ha of pasture; 27,000 ha of fruit and nut orchards; and an institutional development component including training, technology transfer, monitonng and evaluation, and a research program to tackle soil and water conservation and production issues specific to the Loess Plateau. Benefits: (a) Poverty Alleviation. Per capita incomes in the project area are mostly below the poverty line (about $35 per year) and nearly 30 percent of the population is iliterate or semi-literate. The project attacks poverty at its core, as virtually no sources of income other than from agriculture are within reach for the 1.2 million people in the project area. Incomes will be This document bas a resricted distribution and may be used by recipients only in the pefbnan of ther official duties. Its contents may not othivise be disclosed wnthout World Bak authrzaton.  -ii- more than doubled as has been demonstated in many villages where comprehensive control measures were implemented. (b) Environment. Large areas in the project area are severely degraded and current agricultural practices are unsustainable. More than 100,000 ha of presently cultivated land will be taken out of production and, together with an additional 270,000 ha of mainly wasteland, planted with a mix of local tree, shrub and grass species. This will not only significantly reduce erosion, but also improve the microclimate in the now often desert-like gullies. The land use pattern witl significantly change under the project. The annual crop area will drop from 28 percent to 21 percent of the total area, while perennials will increase from 37 percent to 54 percent. The proportion of wasteland will be reduced from 28 percent to 17 percent. Improved livestock management will help to reduce the presswe on the existing grasnd areas. After comprehensive watershed treatment the annual sediment discharge from the project area will be reduced by half, contnbuting substantially to an improved sediment regime of the Yellow River. (c) nt_al Produ:tion. The project will raise grain output from 427,000 tons to 660,000 tons, and fruit production will increase from 80,000 tons to 320,000 tons. Per capita grain output will increase from 357 kg to 507 kg and per capita incomes will increase from Y 360 to Y 900. This will be achieved despite the significant reduction in the planted area as a result of improved water retention and improved cropping pa.ers. The project has an overall economic rate of return of 19 percent and will benefit about 280,000 households directly. The provinces of Henan and Shandong will benefit from sediment reduction. Risks: The project is based on years of Chinese experience in soil conservation and agriculture on the Loess Plateau. It is also based on the careful analysis of the World Food Program Mlzhi Project in Shaanxi and the Bank-financed component in Dingxi county, Gansu, which from all accounts have been su ful. All components have been exhaustively tested, thus in its technical aspects the project has few serious risks. On-farm production and the establishment of trees, shrubs and pasture are, however, susceptible to drought. Potential project management risks will be addrssed by strehening project management under the project.  Fst1iuted Costs: LnaI Foreign ITlIa - ($ miion) Termraing/irrigation 69.7 6.7 76.4 Afrorestaton 46.0 4.8 50.8 Grasslands 9.7 2.2 11.9 Silt .etention dams 11.3 0.7 12.0 Support services 14.0 3.8 17.8 Traing and management 8.0 3.3 11.3 Base Cost 158.7 21.5 180.2 Physical contingencies 7.8 1.0 8.8 Expected price increases 58.0 1.7 59.7 TotalProect Cost 224 24L2 248; P1nciu PLan. IDA 125.8 24.2 150.0 Centrl CGovernment 17.2 - 17.2 Provines 29.8 - 29.8 Prefecures and counties 18.5 - 18.5 Farmers (in cash or Lab) 33.2 - 33.2 Iod 224w 2wZ 24A2 Esthmated IDA Dhbuisements: IUDA MFYl l99S 122 1997 1998 1922 Q 2QQ1 200 ($ million) Annual 20 25 25 25 20 20 10 5 Cumulative 20 45 70 95 115 135 145 150 Poverty Catgory: Program of Targeted Intervention. The project wiR help tO alleviate poverty of 1.2 milion absolute poor in the remote and resource-poor upland areas of the Laess Plateau in northi i China. Rate of Return 19 pect  - iv - CONTENTS 1 Background ..................................... 1 A. Introduction ....................... *. . 1 B. The AgricWture Sector ........................... 1 C. SoilEsion in China ............................ 3 D. RurdaPoverty ............. 44 * 4 4 E. RationaleforBankGroup Involvement ............ . S F. Bank GroupL =dingfor Waknhedehabon ....... 5 2 The1ProJeacAreas ............................ 6 A. l'heLoessPlateau ..................*..... ..... 6 B. DevelopmentStrtW ............. ..... 9 C. Project Area Data .............................4 10 Shanxi ................. . ... . 11 Inner Mongolia ........ ..... 11 Shaanxd ... . . . . . . . 12 G3ansu .........12. 3 The Project ................ 13 A. Project Objectives and D)esign .......... .......... 13 B. Project Description ..... . . . . .13 LandDevelopmentandErosionControl Works 13 Institutional ieveopment ............. . .... 17 C. Planningand Design ......444. . .. ..... 20 D. nplentonSchedule ..... . ... . ....... 21 E. CostEstimates. . 4 .. 21 P. CountepartFundsFinnan..ngP..... 22 G. Procurement...... . . .. ........ . . ... 22 H. Disbursement . ...... . .. . 4....... . 23 I. Accounts and Audits ............ . 24 J. Enavirnmenal and Social Inpacts .................... 26 K. TechnicalAssstance ......... ................... 27 This report is based on findings of an appraisal mission in October 1993. Members of the apprs team included J.M. Voegele (misinader, IDA), W.T. Smith, R. Grimshaw, G. Morgan and Zhou Weiguo (IDA), Li Qun, H. Ochs and L. Stafford (cosutants). Substantial inputs were povided earlier by N. Jones, G. Temple (IDA), . Doolett, and G. Dashwood (Consultats). Peer rviewers compised Messrs. .EL Wagner, W. Ochs, J. Srivastava, B. Trembath and W. Magrth (IDA). The Division Chief bi Joseph Goldbeg and the Department Diector is Nicholas Hope.  4 Project Organization adManageent ................. 28 A. Project Organization ................ .............. 28 B. Fiacial Management ........................... 30 C. LandContracts and baagement ... .................. 31 D. Monitoring, Evaluation, and Reporting .......... .... . .... 32 E. Project Launch Workhop .......................... 34 5 Prices, Production, and Markets ................... . 35 A. P~rices ...................... 35 B. Production.............................36 C. Miarketing ............................... 37 6 Beneits andJustification .................. 40 A. Benefits ............................... 40 B. Eonomic Analysis .................... ..... 41 C. Risks ................................ 45 7 AgreementsandRecmmndaio .......... ............. 46 ANEs 1. Project Area Data ............................... 49 2. Prsent and Proposed Land Use ........... ............. 54 3. Land Development and Erosion Control Works ...... ......... 76 4. ProjectTechnology and Technology Support ...... ........... 91 5. Project Mangement Infornation System ....... ............ 112 6. Cost Estimates and Expenditure Schedule ................... 148 7. Prices, Crop, and AreaModels . ........................ 160 8. Fam Household Models ............................. 203 9. Procurement, Disbursement and Supervision Schedules .... ...... 215 10. Documents and Data Available in the Project Fiie .... ......... 219  TAUL= JN TEXT Table 2.1 Project Area Data ....................... * 10 Table 3.1 Cos& Summary .. .2.2..... 22 Table 3.2 Procurement Profile . . .25 Table 5.1 Present and P ro posedp and Us e ................... 36 Table 6.1 Economic Rates of Retum .... 44 MAs IBRD No. 25577 - The Project Areas IBRD No. 25578 - Agricultural Income Distribution IBRD No. 25579 - Population Density  1. BACKGROUND A. INTRODUCrON 1.1 The Government of China has requested the International Development Association (IDA) to assist in financing a watershed rehabilitation project in the autonomous region of Inner Mongolia and the three provinces of Shanxi, Shaamd and Gansu. The primary objecdve of the project is to increase agrdultural production and incomes on 15,600 kin2 of land in the Loess Plateau in tibutar watersheds of the Yellow River. A secondary objective, which is to reduce sediment inflows to the Yellow River, will be achieved by locating the project areas in the parts of the Basin with severe soil erosion. The project will (a) create sustainable crop production on high-yielding level frmland and thereby replace the areas devoted to crops on erodible slope lands, (b) plant the slope lands to a range of trees, shrubs and grasses for the land stabilizaion and production of much-needed fuel, timber and fodder, and (c) subst ntally reduce sedment runoff from slope lands and gullies in the nine waersheds through the constucton of sediment retention dams. 1.2 The project was prepared by the provincial water conservancy bureaus, under the guidance of the Ministry of Water Resources (MWR), and the proposed project components have been successfully tested and implemented on a large scale in similar areas of the plateau. The new element which has been introduced in recent years is the comprehensive and intgrted planning of individual watersheds in close consultation with the beneficiaries in the villages. An IDA preappraisal mission visited the project areas in August 1993 and appraisal took place in October/November 1993. B. Tim AGRICULTu SEMcro 1.3 Agricuture in China-including crops, livestock, forestry and fisheies- provides sustenance for about 1.2 bilion people; it is an important source of income for some 190 million farm families and accounts for about 30 percent of the country's gro dom'nstic product (GDP). Only about 137 million ha of China's land area of 960 million ha are arable. Food grains oocupy about 70 percent of total cropland and accout for about one third of the value of agicultural output. Intensive farming bas allowed China to meet the basic food requirements of its population, about 22 percent of the world's total, and to produce a wide variety of cash and commercial crops, from less than 11 percent of the world's arable land. 1.4 China's rural reform program, initiated in 1978, has strongly stimuated the agdcuttural sector. This program produced impressive growth and structual change by introducing the production responsibility system, increasing producer prices, and anding  -2 - the role of the free market. State procumiment prices for grain almost doubled from 1938 to 1993. China is moving towards the full liberalization of grain markets. Sales prices are now set near free market prices and all dirc';t government subsidies to producers have been eliminated. State procurement prices consist of a protection price, which is defined as the prce necessary to operate state grain procurement without subsidies, plus a subsidy to replace the previous provision of subsidized ferlr and diesel oil in return for gain cozVract fulfillment; a system which was eliminated nationally in 1993. However, state procurement quotas have not been fuily eliminated, even though payments are now in principle at the market price. Some procurement obligations have been maintained in order to ensure that state grain supplies are adequate to meet sales obligations and to provide farmers with a secure marketing outlet while markets develop. Grain officials stil feel that without state procurement, farmers accustomed to store a}l surplus production would be reluctant to sell grain, while farmers who frequently market grain will fear market instability. Thus, the procurement quota is seen both as a guarantee and an obligation. This remaining vestige of the planning system reflects a continued fe3r of market failure, especially in remote regions. As farmers become accustomed to markets, and planners gain confidence in the overall balance of grain supply and demand, phasing out of this system is the next logical step, as has been demonstrated in some large provinces (Sichuan, Guangdong). A cntical next step for the central government will be to allow regions and even whole provinces to reduce grain production and rely on grain inflows ard to allow poorer areas to move from self-sufficiency in grain and instead diversify and specializ in cash crop:. The Government is now considering a floor price for grain to maintain incentives for grain production. 1.5 Input pnce increases have outpaced those of output prices, and per ha production cost of grains increased at 9 percent annually from 1982 to 1991, while net etuS increased only 4.4 percent. This combined with the fact that industral growth has outaced agricultural growth by a factr of three to five in recent years has led to a substantally lower growth of incomes of the rura population. The ratio of per capita income between urban and rural populations increased by over 15 percent between 1988 and 1990 from 2.4:1 to 2.8:1, and this trend is accelerating. 1.6 China's gross value of agricultural output (GVAO) increased by 83 percent in real terms during the 1978-90 period (6 percent per annum), substantially faster than dunng the previous 25-year perod (3 percent per annum). While significant growth in grain production was achieved in the early part of the period (peaking at 407 million tons in 1984), stagnating grain production has been the Govemment's central concern in later years with production rangig between 379 and 402 million tons during the 1985-88 period as farmers substituted other crops for grain. Recently, however, grain production appears to have risen to a new plateau, with 446 million tons in 1990 (a year of excelent weather), 435 million tons in 1991, and 442 million tons in 1992, despite severe floods in the Yangtze River Basin and in Northeast China. 1.7 A maor factor in this success has been China's achievements in plant breeding-China was the first country to develop hybrid rice-backed up by the vast network of local seed production, extension, and distribution which put new seeds and  -3 - technology into the hands of the masses of farmers. Nearly 30 percent of the rice now planted in China is hybrid, as well as virualy all of the corn, while most of the wheats have high genetic performance potential for the varous agrocimatic regions in which they are grown. The Government's strategy to increase grain production aims to expand the supply of chemical fertilizers and other inputs, increase state investment in agriculture, mainly in irrigation rehabiitation and expansion, and introduce further reforms in grain procurement, distribution, prices and subsidies. Prices paid by urban residents for government supplied flour and oils, unchanged for 30 years, were raised sharply in 1991 and 1992. Grain commodity exchanges for al major grains have been established in a number of Chinese cities. Continuing reform aims to further liberalize grain production, open the intemra grain trade to al interested units and individuals, commercialize grain distribution, and establish a futures market in grain. 1.8 An important objective in China's agricultural strategy is to improve productivity in rainfed areas, particularly in the arid and semi-arid zones accounting for 30 percent of the total amble land. While productivity of China's irrigated areas is uow mong the highest in the world, progress in dryland agriculture has lagged behind. In fact, in several predominantly rainfed regions in northwest and southwest China, poor resource endowments and high population pressure combined with unsustainable agricultural practices have resulted in widespread poverty that has remained difficult to deal with over the past decades. The central and provincial governments are currently preparing investment programs for Bank financing in both Regions, based on successful experience of earlier and ongoing projects, including those supported by the Bank and other extna support agencies such as WFP and FAO. C. SoIL EROsioN iN CHNA 1.9 The total land area in China subject to erosion is estimated to be 147 million hectares (16 percent of the total land area); an estimated 5 billion tons of topsoil are eroded annually. The Chinese estimate that the losses of key nutrints from this process are nearly equivalent to the nation's total annual ferlizer production. Historically, soil erosion problems have been most severe along the upper-middle Yellow River, wifth roughly one third of the nation's total erosion taking place along the Yellow River alone. Despite efforts to counteract soil erosion since the 1950s, erosion problems have intensified, with an estimated 30 percent more land affected by erosion today than in 1949. Other areas of particular concern are (a) along the Yangtze River, in which erosion is estimated to have doubled since the 1950s, and (b) in Sichuan Province, in which erosion is estimated to have more than quadrupled since the 1950s. In south China, where soils are generally thinner, susce'tibility to erosion-caused productivity losses is much higher.  -4- D. RUAL POVERTY 1.10 While absolute paverty in China is low among the urban population, it is restricted almost entdrely to resource constained remote upland areas.-I The incidence of povety in China fell from roughly a tid of the population in 1978 to less than one tenth in 1985 and since has remained roughly constant at around 9 percent. Absolute poverty in urban areas is on the order of 0.4 percent of the registerd population while in the rural areas, it is betwenn 11 and 12 percent. The decline from 1978-85 coincided with the implementation of the producuon reWonsibility system and the increased application of improved agricultuWal techniques which resulted in rapid productivity gains. The majority of the decline so induced was among the rural poor in less remote and less hilly areas. The rapid reductions through agricultural growth mostly finished by the end of 1984. The residual poor have remained trapped in more remote upland areas where making such gains is much more difficult. 1.11 Chinese authorities see a special challenge in developing the remote, resoure-deicient areas in northern, northwesten and southwestern China including the provinces of the Loess Plateau region. The Loess Plateau agricltural environment has limited production potential due to dlimatic constraints and extensive environmental degadation. Agricul product and incomes were further diminished in the 1960s and 1970s when Loess Plateau farmers were encouraged to switch from semi-palism to grain cultivation on marginal land as part of a national policy to achieve local self- sufficiency in grain. Furherm the population growth and consequent reduction in per capita area of amble land reduces the likelihood of the resource base meeting minimum rquimets for farm outputs and income. Relef finds and grain sold at subsidized prices ar provided to the poor to hp term meet minimum food requirements. Social services to the rual poor receive Little outside help. Village schools will largely depend on their own limited resources. 1.12 Based on 1992 statistics, (see Annex 1, Table 7), the rural per capita income in the project areas was only Y 305 which is about 52 percent of the project provincial average of Y 587 and less than 39 percent of the national rural average of Y 784. More than half of the rural population lived below the poverty line of Y 300 per carta per annum. Birth rates, population growth rates and illitacy rates are all substantally higher while the population of school-age children enrolled was lower than the national and provincial averages. Unfivorable natural conditions (insufficient water supply, and ersion), frequnt namal disasters (drought, wind storm, and sand storms), inconvenient transrtation facilities, poor education and public health facilities, infectious and endemic diseases (fluoride toxicosis, hyperthyroidsm) are among the main causes of the severe poverty in the area. 1.13 In the long run, sabizing the envment and creafing an ecologically sustainable agriultual system-at as high a lvel of production as the soils and climate V/ OVxa. SbwqleSWfor Rahwig Peny In d 190, Wod Bak Cout Stdy, Octoe 19.  allow-must be associated with a reduction in the population enirely deendent on the agriculral resource base (through rural entepris growth, and voluntary out-migration) and better infmstuce (roads, water, and markets) and human resource (health and education) development. E. RAnONALE PoR BA= GROUP NVOLVo nr 1.14 IlDA support for the project will fiurher the key elements of the Government's national development policy. It will aleviate poverty through develomt of areas with relatively poor resource endowments, raise productivity of marn lands, and ehance the environment through effective land and soil connea6on pces. F. BAK GROUP LEING FOR WATS RA AON 1.15 IDA bas financed two projects in China with distinctive watershed rbilitation components. Inestig lessons bave been learned from the soil and water conseraon component of the Gansu Provincial Development Project which focused an the development of poor areas in Dingxi County (the Guanxuan River Basin) on the LIess Plateau. The implementation record of this component has been excellent and bas imvolved local governnent agencies at all levels-province, prefecture, county, townsi and village. Close consutation with the benefiiaries was a key to success, whfle the strong focus on high technical standards and improved technology has led to physical implemention standards above those estimated at apprisd. The Red Soils Project in Southern China also was successfully based on watshed development activity, although constaints and solutions differ from those on the Loess Plateau. Farmers in the red soils area have to cope with low soil fertility, but have sufficient water resources availble, as opposed to the uaton on the Loess Plateau where the production potental of the basically fertile soils is underutilized as a result of limited soil moisture.  -6- 2. THE PROJECT AREAS A. THE LOESS PLATEAU 2.1 The Loess Plateau covers an area of some 640,000 km2 in the upper and middle sections of the drainage basin of the Yellow River. It takes its name from the German word loess which is used to describe soils deposited by wind action. The Chinese term for loess is huang tu, or yellow soil. Geologically the Loess Plateau is recent, with the older deposits dating back to the Pleistocene Epoch, about 2.4 mlldion years ago, and the newer deposits having been laid down between 100,000 to 10,000 years ago. Deposits range in depth from 100 to 300 m. Erosion in the form of deep gulies is a prominent charactristic of the Loess Plateau, and it is this erosion which produces the vast quantity of sediment caried by the Yellow River. Over the centunes there have been peaks and troughs in human activity and these have had some effect on rates of deforestaion and soil erosion. 2.2 One current view is that poverty is both cause and result of the ecological deterioration on the plateau; a direct consequence of wilfil deforestation and indiscrimina land reclamation and cultivation. Yet, erosion had already occurred several hundred thousand years ago on the plateau. It is estimated that the annual sediment load in the Yellow River 5,000 years ago was already in the range of 1 billion tons as compared to 1.5 billion tons annual average during this centry. This would indicate that the plateau basically had developed its current shape of steep gullies and deep dissection before significant number of humans entered the scene. Human damage to the vegetation cover began about 4,000 years ago, when the plateau was still covered with grass, shrubs or trees depending on the rainfall gradient. During the Tang dynasty, about 1,200 years ago, Xi'an was a political and cltural center and an estimated 2 million people lived in the area. Since then, popuation pressre has drastically increased (nearly 70 million today) and already before the tum of the century the nal vegetation cover had decreased to about 10 percent. Thus, it would appear that the basic landform is of geologic origin, but the process of erosion has been accelatd by human intervention. Some Chinese experts see the erosion of the plateau primarly as a geologic process that has been going on long before human settlement, and restoring the vegetation alone would not be sufficient to significantly reduce the sediment flow into the Yellow River. Assuming 50-70 percent effectiveness of a well established vegetation cover, revegetatton would result in about 20 percent erosion control in a typical watershed. Terraces directly reduce surface erosion by 95 percent. But they also retain 90 percent of the runoff water, thus, significandy reducing wall erosion in the gullies and total sediment runoff. Most remaning sediment can be trapped in gullies by a series of silt retention dams.  - 7- 2.3 The regon is divided into three geomorphological zones called the Shaui platform, Erdos platform and Longxi basin. The natural vegetaton covers four belts including deciduous broadleaf forest, forest praire, desert prarie and desert srppe from southeast to northwest. The area hosts more tban 860 plant species, including about 300 woody plants. Annual precipitation, mostly in the form of rain, ranges from 200 mm in the north to 550 mm in the south. Over 60 percent falls in the months of July, August and September often in the form of short intense storms (Ann - 1 Table 2). Evaporation ranges from 1,500 to 2,000 mm. Water resources are not only deficient in this area but also unevenly distributed between regions, years and withn a year. Runoff cha i in the project areas are summarized as follows: uneven regional distribution ranging from 6,100 n3 in Hequ county to 55,000 m'ekm2 in the Weifen watershed. The diference between the maximum and the minimum annual runoff can be more than 10 tmes in the same watershed. Runoff during the flood season usually takes up more than 80 percent of the total annual runoff. Runoff in the flood season has a sigificantly higher sediment concentration, of up to 600 kg per m3 of water as compared to the average of 50 kg/n. 2.4 The region receives an average annual sunlight period of 2,000 to 3,000 hours in most areas (Anx 1, Table 1). The effective accumulated temperature hih or equal to 100 cengrade is 2,500 to 4,5000, thus meeting the needs of agricuual production. The average annual tempeture is below 10