266 | North America and Europe (NAE) Report

Table 6-4. Agricultural research: Who pays and who delivers?

 

Who Pays?

Government including parastatal organizations

Nongovernmental, organizations

Private, commercial

Research Objectives

 

Public good, e.g., food security, environmental protection

Organizational Agenda, e.g., poverty alleviation, animal welfare

Private good, e.g., profits, increased utility of consumers

Who delivers?

Government, including parastatal organizations

Government funded research institutes

Government research institutes conducting external research contract

Government research institutes conducting external research contract

Universities*

Govt funded research programs in Universities

University research under contract to NGOs

University research under contracts to commercial companies

Nongovernmental, organizations

NGOs undertaking research on contract to Government

NGOs funding and operating own research programs

NGOs conducting research on contract to private companies

Private, commercial

Commercial research organizations on contract to Government

Commercial research organizations on contract to NGOs

Market driven, research for competitive advantage, conducted "in house" or contracted out

*Universities also fund their own research programs, but this usually draws indirectly on external funding sources, such as trust funds.

 

among AKS components but also between AKS components and the more general scientific and higher education com­munities (life sciences and economic/social disciplines) as well as policy makers, stakeholders and the general public.
     Funding for cooperation across AKS institutions has led to the emergence of new partnerships and networks pro­viding cross institutional and cross-disciplinary synergy in some NAE countries. Open dialogue, joint planning and fair sharing of credit are key success features in the promotion of these partnerships. It is now vital to design mechanisms for scaling these partnerships up and outwards, not only nationally, but also across the NAE region, both in research and in human capital development.
     It is noteworthy that a recently published OECD study on Human  Capital Investment concluded that  "human capital seems to offer rates of return comparable to those available for business capital"  (OECD/CERI, 1998). Al­lied to this conclusion is the increasing acceptance by many OECD governments that investment in the development of a knowledge based society can be a powerful stimulant to promoting innovation and competitiveness. Many govern­ments have increasingly been prepared to give extra public funding for innovative research (especially interdisciplinary ones) to promote competitiveness and for human capital development through higher education designed to achieve competitiveness and life-long learning/re-education to main­tain competitiveness. The experiences over several decades of AKST institutions linking research, higher education and extension/development in an integrated manner offers a valuable model for AKS to play a central role in address­ing the wider societal issues including food safety, the food chain, sustainability of natural resource use and rural devel­opment. New partnerships, networks and relationships will

 

be required for this potential to be realized and AKS institu­tions could be encouraged to take action accordingly.

6.5.6 Funding mechanisms and enablers of AKST
The new paradigm of multifunctional sustainable agricul­ture calls for new, increased and more diverse funding and delivery mechanisms for agricultural R&D and human cap­ital development. There is continuing need for public fund­ing to serve the public interest, as well as new investments by private organizations responding to market needs and opportunities. Funding arrangements can promote coopera­tion among all stakeholders. Open dialogue, joint planning and fair sharing of rewards are key success features in the promotion of these partnerships. Depending on circum­stances, the following will be required:
•     Public investment in R&D to serve the public good, ad­dressing strategic issues such as food security and safety, impacts of climate change, long-term environmental sustainability of the system, social viability, protection of biodiversity, achieving strategic balance between land use for food and bioenergy, as well as other non-market issues that do not attract private funding;
•     Public investment in human capital development to achieve widespread understanding of the complexities of multifunctionality and to develop the knowledge and skill sets necessary for effective decision making by all stakeholders. These developments will encompass initial education, professional formation and lifelong learning for AKST personnel as well as for a much wider range of clients, including civil society and public policy mak­ers as well as farmers and others (especially women) involved in rural livelihoods;
•     Public investment to support the development of multi-