In each case, the countries have given diversification related policies particular attention.

A pro active agricultural diversification policy would need to combine market and production related interventions.

Diversification

These included the provision of assistance, on a national or regional basis, in vertical and horizontal diversification as well as in related human capacities creation of self financing mechanisms for commodity diversification activities and effectively addressing the weak technological base, market access problems and other commodity related problems.

6350 Import diversification

B. Diversification experiences

Finance for diversification

Diversification can serve as a risk management strategy, but risk can also hamper diversification.

Given that in most of the commodity dependent countries the majority of the labour force is engaged in commodity related economic activities, ensuring that diversification goes in tandem with poverty alleviation is the ultimate measure of the success of the diversification process.

One might, therefore, argue that it is the prevalent approach to development, rather than internationally agreed trade rules, which constrains the choice of diversification and development related interventions. As an example, Box 1 gives a brief account of Sri Lanka s diversification programme.

(c) Client diversification and

Risk factors in diversification

Enterprise level diversification patterns

The agricultural grant scheme was completed in June 1995 and was replaced by the rural development assistance scheme with emphasis on diversification and development related initiatives.

5.2 Diversification of intervention options

DIVERSIFICATION IN COMMODITY DEPENDENT COUNTRIES

DIVERSIFICATION IN COMMODITY DEPENDENT COUNTRIES

Financing of diversification in Colombia

H. Diversification of African economies

Economic and trade diversification could be crucial, and donor commitments to investment in economic diversification could be essential.

3. Diversification in commodity dependent countries

Social and environmental factors in diversification

A. Diversification in commodity dependent countries

Some advice from NGOs about diversification

B. Enterprise sector strategies in diversification

Government policies and firms diversification decisions

2. Agenda for commodity based diversification

This diversification is an important achievement.

The Division will monitor developments in commodity markets and foster a new thrust to international cooperation and partnership in commodities development, diversification, commodity related financing and risk management.

Various forms of domestic resource mobilization for diversification (e.g. taxes and levies earmarked for diversification) were mentioned in this connection.

This supports income generation and diversification activities.

The international trading environment and commodity diversification

The enterprise sector and developments in diversification

Item 3 Diversification in commodity dependent countries

III. RELEVANT AGENTS AND ACTORS IN DIVERSIFICATION

Foreign capital is another means for diversification.

(e) Support Africa apos s diversification efforts

Agenda item 3 Diversification in commodity dependent countries

B. Enterprise sector strategies in diversification 39 54

Malaysia s diversification The importance of research and development

Box 7 Mining led diversification and local communities

Implications of the Uruguay Round for vertical diversification

After the Expert Meeting on Vertical Diversification in the Food processing Sector in Developing Countries, UNCTAD hopes to expand such assistance to diversification issues.

(e) Horizontal and vertical diversification in commodity dependent countries.

I. Diversification in commodity dependent countries (agenda item 3)