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Improving Agricultural Market Performance:

Creation and Development of Market Institutions

63

3.2 Agricultural & Food Market Institutions in the OIC

To address these challenges requires substantial change to policies and the institutions that

administer them. The market system of the food and agriculture sector is unique because of

social concerns intrinsically tied to the sector’s success or failure. As a result, the policies and

institutions are not confined to agriculture and food but encompass broader social protection

measures, as well as the business environment and investment climate and associated

institutions, and fiscal and monetary policies and institutions.

There is considerable variation on the scope, depth, and comprehensiveness in the

administration of food and agricultural markets. To some degree, this variation is correlated

with the size of the nation and the corresponding organizational capacity of its administrative

capabilities, as well as of the nation’s general capacity as an agricultural producer.

Appendix A – Overview of Line Ministries & Market Institutions per OIC Member Country

contains a full

listing of the Member Countries of the OIC, their line Ministries, and their key market

institutions according to the classification outlined in the Conceptual Framework of Chapter 1.

While these are of course not the

only

institutions that affect the function of markets within

and between nations, they are the primary institutions that are directly controlled by the state,

and therefore deserve special attention.

3.2.1 Line Ministries and Regulation Authorities

Ministries of Agriculture

– Specific Ministries of Agriculture are present in almost all

members of the OIC, although sometimes the ministries’ mandates are combined with

other areas of interest, such as water, the environment, and forests. In the case of

maritime nations (such as Maldives), the Department of Agriculture functions are

housed within the Ministry of Fisheries and Agriculture.

Ministries of Agriculture have as their mandate not only the regulation of agricultural

processes and markets, but also has the mission of promoting the agricultural sector

and – in many cases – of supporting agricultural development and rural areas. As such

– and because of their universality - they are a key Government sector partner in the

development of food and agricultural markets. Examples of nations in which

ministries’ mandates are combined with other areas of interest include:

o

Burkina Faso’s Ministry of Agriculture and Water Infrastructure is responsible

for crop agriculture, rural development, and water affairs, and there is a

separate Ministry of Livestock and Fisheries.

o

Algeria has a Ministry of Agriculture, Rural Development, and Fisheries, which

is also responsible for the livestock sector, as well as a Ministry of Water

Affairs.

o

In the UAE, agriculture falls under the responsibility for the Ministry of Climate

Change and Environment, whose portfolio includes environment, water

resources, agriculture, livestock, fisheries, countering desertification, and

biodiversity conservation.

Ministries of Supply

– Most Arab countries have historically had a Ministry of Supply,

or a Supply Directorate within a Ministry of Commerce or Economy. Where in place,

the Ministry of Supply is usually in addition to and not a replacement for the Ministry