Australian National University

Vietnam has achieved remarkable economic growth and has undergone significant structural changes in its economy in the past two decades. The agriculture sector now faces strong competition for its land and labour resources. For example, one of the concerns of the Ministry for Agriculture and Rural Development is the loss of prime agricultural land to industrialization. Farmers in the Mekong Delta have complained of rural labour scarcity. The agricultural sector also faces strong pressures on the marketing side. In the domestic economy, strong growth in incomes has fueled a rapid rise in the livestock sector, and there have been significant investments in commercial scale livestock farms in recent years. The recent global food crisis has raised concerns about domestic food prices and related agricultural policy. With its recent accession to the WTO, the effects of the global market are likely to have a stronger influence on other parts of the Vietnamese economy, fuelling stronger growth in non-agriculture sectors, creating additional structural adjustment pressure in agriculture.
This project was designed to develop capacity in the partner institution for quantitative analysis of structural adjustment issues and to provide policy advice on these issues. In response to concerns about the medium term prospects of the agricultural sector, the quantitative approach is focused on developing a medium term projection model. This tool will be used to assess a range of issues including the outlook for different agricultural industries, the impact of land loss on agricultural output, the influence of productivity growth on medium term production and food prices, and demand for rural labour at the regional level. The quantitative approach provides a means of identifying vulnerable groups and industries and of assessing domestic policy options for facilitating structural adjustment. The medium term projection model will be supplemented by global trade modelling which will be used to assess the impact of the WTO accession on domestic resource prices and agricultural trade opportunities.
The project builds on the capacity building achievements of a previous project (ADP/2001/066) with the partner institution, which provided the basic skills required for the activities to be undertaken in the present project. A review of that project suggested that further development of quantitative policy models should move away from formal training courses and use a locally based mentor to supervise the design of more sophisticated models. To deliver on this suggested approach, the project leader, Dr Donna Brennan will be based in Vietnam during the project as a visiting fellow at the partner institution. This will enable an effective mentoring relationship to be developed and increase the likely impacts of the project.
Most of the work done to date on the project has been on training and on developing the medium term projection model. The medium term projection model requires quantitative assessment of food demand and prospects for growth in demand as incomes grow; as well as development of models of supply and market equilibrium. The food demand work has been completed and results were presented in IPSARDs outlook conference in March 2009. The market model has also been completed, and the supply side work is well underway. The emphasis of work in the next stage will be on completing the supply side models (and associated training) as well as undertaking the global trade modeling work. The emphasis in the next stage will be on using the models for the purpose of conducting policy analysis of structural adjustment issues.

Vietnam has achieved remarkable economic growth and has undergone significant structural changes in its economy in the past two decades. The agriculture sector now faces strong competition for its land and labour resources. For example, one of the concerns of the Ministry for Agriculture and Rural Development is the loss of prime agricultural land to industrialization. Farmers in the Mekong Delta have complained of rural labour scarcity. The agricultural sector also faces strong pressures on the marketing side. In the domestic economy, strong growth in incomes has fuelled a rapid rise in the livestock sector, and there have been significant investments in commercial scale livestock farms in recent years. The recent global food crisis has raised concerns about domestic food prices and related agricultural policy. With its recent accession to the WTO, the effects of the global market are likely to have a stronger influence on other parts of the Vietnamese economy, fuelling stronger growth in non-agriculture sectors, creating additional structural adjustment pressure in agriculture.
This project was designed to develop capacity in the partner institution for quantitative analysis of structural adjustment issues and to provide policy advice on these issues. In response to concerns about the medium term prospects of the agricultural sector, the quantitative approach is focused on developing a medium term projection model. This tool will be used to assess a range of issues including the outlook for different agricultural industries, the impact of land loss on agricultural output, the influence of productivity growth on medium term production and food prices, and demand for rural labour at the regional level. The quantitative approach provides a means of identifying vulnerable groups and industries and of assessing domestic policy options for facilitating structural adjustment. The medium term projection model will be supplemented by global trade modelling which will be used to assess the impact of the WTO accession on domestic resource prices and agricultural trade opportunities.
The project builds on the capacity building achievements of a previous project (ADP/2001/066) with the partner institution, which provided the basic skills required for the activities to be undertaken in the present project. A review of that project suggested that further development of quantitative policy models should move away from formal training courses and use a locally based mentor to supervise the design of more sophisticated models. To deliver on this suggested approach, the project leader, Dr Donna Brennan was based in Vietnam from October 2007 to April 2009 as a visiting fellow at the partner institution.
Over 2009-10 work has continued to focus on training and on developing the medium term projection model. Most of the effort was on developing a baseline dataset that represents the farming systems in each of the 8 agroecological regions, and depicts the characteristics of small scale, semi-intensive and intensive livestock production. A draft dataset is now complete, and is being incorporated into a GAMS model of the Vietnamese agriculture sector, which is also nearing completion. Future activities on the project will include model handover and development of a reference manual, regional workshops to discuss and validate the farming systems representation and refine the model, and the completion of research papers on structural adjustment policy.

Vietnam has achieved remarkable economic growth and has undergone significant structural changes in its economy in the past two decades. The agriculture sector now faces strong competition for its land and labour resources. For example, one of the concerns of the Ministry for Agriculture and Rural Development is the loss of prime agricultural land to industrialization. Farmers in the Mekong Delta have complained of rural labour scarcity. The agricultural sector also faces strong pressures on the marketing side. In the domestic economy, strong growth in incomes has fuelled a rapid rise in the livestock sector, and there have been significant investments in commercial scale livestock farms in recent years. The recent global price spikes have raised concerns about domestic food prices, food security and related agricultural policy. As a member of ASEAN, Vietnam is party to several free trade agreements, and the effects of regional integration are likely to have a stronger influence on other parts of the Vietnamese economy, fuelling stronger growth in non-agriculture sectors, creating additional structural adjustment pressure in agriculture.
This project was designed to develop capacity in the partner institution for quantitative analysis of structural adjustment issues and to provide policy advice on these issues. In response to concerns about the medium term prospects of the agricultural sector, the quantitative approach is focused on developing a medium term projection model. This tool will be used to assess a range of issues including the outlook for different agricultural industries, the impact of land loss on agricultural output, the influence of productivity growth on medium term production and food prices, and demand for rural labour at the regional level. The quantitative approach provides a means of identifying vulnerable groups and industries and of assessing domestic policy options for facilitating structural adjustment. The medium term projection model will be supplemented by global trade modelling which will be used to assess the impact of Vietnam's free trade agreements on domestic resource prices and agricultural trade opportunities.
The project builds on the capacity building achievements of a previous project (ADP/2001/066) with the partner institution, which provided the basic skills required for the activities to be undertaken in the present project. A review of that project suggested that further development of quantitative policy models should move away from formal training courses and use a locally based mentor to supervise the design of more sophisticated models. To deliver on this suggested approach, the project leader, Dr Donna Brennan was based in Vietnam for varying periods from October 2007 as a visiting fellow at the partner institution.
Over 2009 work continued to focus on training and on developing the medium term projection model. Most of the effort was on developing a baseline dataset that represents the farming systems in each of the 8 agro-ecological regions, and depicts the characteristics of small scale, semi-intensive and intensive livestock production. A draft dataset was completed, and incorporated into a GAMS model of the Vietnamese agriculture sector, which is also nearing completion.
The modelling has two components. Estimates of demand side (consumption) relationships were completed in 2009. Supply side (production) relationships are derived using a mathematical programming technique in GAMS.
Progress in 2010 was interrupted when the project leader, Donna Brennan, fell ill and subsequently died, in December 2010. After some delay, leadership of the project passed to Dr David Vanzetti, from the Australian National University.
Future activities on the project will include model handover and development of a reference manual, workshops to discuss and validate the farming systems representation and refine the model, and the completion of research papers on structural adjustment in response to trade liberalisation following Vietnam's implementation of various free trade agreements.

During the first year (April 2008 - March 2009), the project contributed to:
1) the international debate on reduced emissions from deforestation and forest degradation (REDD);
2) build capacity for the implementation of REDD in Indonesia.
Contribution to the international debate
The contribution to the international debate on the form that an REDD mechanism should take included a paper published in Ecological Economics on "compensated reductions of emissions vs compensated efforts to avoid deforestation". The paper argues that incentive to reduce emissions from deforestation and forest degradation should be provided on the basis of evidence that those emissions have actually been achieved (output based approach) rather than on the basis policies implemented to reduce emissions (input based approach). This output was not planned, but it became evident during the initial phases of the research that the international to national architecture of REDD will also influence the national and sub-national level implementation, which is the focus of this project.
The research on fiscal decentralization carried out by the project is contributing to an increased scientific understanding of the mechanisms that could be developed at the sub-national level to implement REDD, and it was presented at the IARU International Conference on Climate Change in Copenhagen in March 2009. This research builds on experiences of fiscal decentralization for biodiversity conservation in Brazil, and proposals in countries such as Germany, to define how these models could be adapted to REDD in countries that have a decentralized forest management system such as Indonesia.
Building capacity in Indonesia
A paper on fiscal decentralization prepared by the project has been distributed to project partners and also informally presented to the team within the Ministry of Finance that works on fiscal issues and REDD. The issues discussed in the paper were of particular interest to the Ministry of Finance, and the project will continue liaising with them.
Project staff presented a lecture at the Bogor Agricultural University, thus contributing to a better understanding of REDD within the scientific community in Indonesia. The powerpoint presentation was also presented by project staff of the Forest Research and Development Agency (FORDA) of the Ministry of Forestry at a forum in South Sumatra province discussing REDD issues.
Thirdly, the Australian Team leader has contributed knowledge to a number of REDD activities taking place in relation to Indonesia, including:
a. Provided input/comments to the development of AusAID activities, including the REDD management facility and the design of the Kalimantan REDD pilot proejct;
b. Provided input the review of climate change policy in Indonesia being prepared for the Ministry of Finance with funding from Australia.

The project has also been engaged in mapping deforestation in the two project districts in Riau province and, in partnership with another project implemented by the Center for International Forestry Research (CIFOR), in three districts in Papua province. This mapping will contribute to a better understanding of the current drivers of deforestation in those provinces and how the implementation of REDD could address the problem.

The project initiation workshop, held in Sichuan Province, China during 27-28 November 2008, marked the start of this project. The workshop brought together representatives from the Australian and Chinese governments, officials from the provincial and county forestry bureaus, and researchers from the collaborating institutions in both countries. The project was postponed due to the earthquake that took place in Sichuan in 2008. This diverted local resources and capacity from implementing the project.
During the workshop, the significance of the policy implications of the project was highlighted by representatives from the two governments. In particular, the intention of using this bidding trial to guide future market-oriented land use change policies in China was indicated by the ACIAR representative and high-level officials from SFA and Sichuan Forestry Department. Project implementation arrangement and research design were discussed in detail. The time line for specific activities and tasks were adjusted slightly based on these discussions and the organisational structure for project implementation at the local level was clarified. The workshop also provided an opportunity for information dissemination of the bidding trial for local organisers.
Following the project initiation workshop, several field trips to the two case study counties (Hong Ya and Peng Zhou) were organised and regular project meetings held for the implementation of this project. Dr. Xuehong Wang from ANU is based in China to coordinate field work and organise project meetings. Land improvement plans based on county-specific conditions have been developed by local officials and scientists in consultation with local communities. This provides a basis for the development of a land improvement activity list that will be used by farm households in the bidding process. Under the ecological restoration program in Sichuan, the list of activities has a focus on afforestation and reforestation plans that can be implemented through a number of activities. These include site selection, fertiliser application, the selection of tree species and planting density, site preparation, and choices of maintenance, etc. The list of land improvement activities is now being refined in consultation with experts from both Australia and China and will be finalised shortly before being provided to farm households to invite them to the bidding process and further develop household land improvement plans.
The work of the contract design is also underway. The contract will be signed between participating farm households and village governments once the specific sites and land improvement activities are identified. Collective approaches to contract design will be considered as well as their impact on the distribution of risk and farmer incentives. Contracts will be developed to represent the lowest of risk for the government and ensure environmental outcomes are achieved. This will also ensure that participation by farm households is on a voluntary basis.
The information on the potential environmental benefits from land improvement activities will be a key component of the bidding document. The work on identifying environmental attributes to be used in the choice modelling survey has been conducted in parallel since the project initiation workshop. Four focus groups were conducted in Shanghai and Chengdu during 28-30 March 2009 to define attributes from the demand perspective. Discussions and consultations with policy makers and scientists were held to identify environmental attributes from the supply perspective. Five attributes have been developed, including water quality, air quality, wildlife, scientific and policy uncertainty, and payment. Descriptors of these attributes are now being developed in consultation with biophysical scientists from Sichuan Academy of Forestry. Environmental predictions are also being made by these biophysical scientists under two scenarios of "with ecological restoration" and "without ecological restoration". This information will later feed into the choice modelling exercise.
In addition, a project visit was undertaken by the Chinese team members to Australia during 25 April to 1 May 2009. A training course on auction was provided by Victorian Department of Sustainability and Environment and site visit to the auction trials in Victoria was organised for the Chinese team. The Chinese team also visited the Australian National University, CSIRO and Federal Department of Environment, Water Heritage and the Arts and learned about Australian experiences in using market mechanisms especially the bidding scheme for conservation activities. Ideas were exchanged on how some of these market approaches can be adapted and used in the Chinese context. The project visit also provided an opportunity for both sides to review the progress of the project and identify adjustments that need to be made in implementing the bidding trial, e.g. the bidding trial will be implemented at the village level instead of at the township level which has been proposed in the first place.

Following the preparation and design phase of the bidding trial which was detailed in the previous annual report to ACIAR, substantive project work has been undertaken during June 2009 - May 2010.
Project Leader Prof. Jeff Bennett visited Sichuan in June 2009 to refine the bidding trial design in consultation with local forest officials. The refinement of the bidding design led to the selection of two villages in each of Pengzhou and Hongya Counties as the initial pilot project area. Instead of submitting bids at the township level which was first proposed in the research proposal, bidding will be implemented at the farm household level. This adjustment came as a result of the concern of local officials that social tension or disputes might arise from the introduction of the bidding scheme under which payments will be provided at different levels. To minimise the negative impacts of the potential social dispute, the pilot will be conducted at a smaller scale and will be expanded to a wider area once it is proved to be workable in the local context. Field visits to the villages were arranged and specific guidance was provided to local forest bureau staff and village heads.
Bidding and contract design was conducted jointly by the Chinese and Australian research team members. The experience of the Victoria Bush Tender trial and the on-going Eco-Tender Program was introduced to the Chinese researchers. A complete set of bidding documents were finalised in early July 2009. The final bidding documents include the Afforestation and Management Plan, Bid Form, Bid Registration Form, Letter of Acceptance and Contract to be signed between successful bidders and the local governments.
The bidding trial was conducted and completed in July 2009. The research team members joined the provincial and local forest bureau officials during the information sessions and throughout the bidding process. Altogether 450 bids were collected from four villages: Wenshan and Shunhe Village of Hongya County, and Zhongba and Dishui Village of Pengzhou County. Each landholder submitted a sealed bid that nominates the payments being sought by them to undertake the actions outlined in the afforestation and management plan. The information provided in each bid together with the proposed afforestation and management activities were recorded by local forest technicians into the database to be used in bid ranking and selection.
To rank the bids, information on the estimated change in the on-site and off-site environmental outcomes resulting from the afforestation and management actions and the associated monetary value of these changes are required. The value will then be compared against the nominated bid price to derive the benefit cost ratio for each bid. To derive the required information, two tasks were performed during August to November 2009. These included the choice modelling survey and data analysis and the development of the household-level biophysical models.
Choice modelling (CM) survey was conducted in August 2009 in Chengdu and Shanghai. A web-based survey was piloted to estimate the willingness-to-pay of urban households for environmental improvements arising from the ecological restoration program in Sichuan Province. A total number of 1500 survey questionnaires were collected. Split samples were used to test how the incorporation of risk and uncertainty factor in the CM exercise affects the preferences of survey respondents. Methodological issues in CM were hence tackled through this part of the project work. Data analysis were conducted in September and October 2009 to derive the implicit prices of the environmental attributes.
Several site visits were conducted by Sichuan Academy of Forestry during August to November 2009. Information were collected on the slope gradient, thickness of soil and position on the slope of those sites nominated by participation farm households. These parameters were used in the household-level biophysical models in addition to tree species, land type and management. The models were refined to relate afforestation and management activities to the improvements in water quality, air quality and biodiversity. Combing the biophysical model projections and CM results gave the environmental values associated with each bid.
The bids were assessed and ranked on the benefit cost ratio in December 2009. Successful bidders were notified by Letter of Acceptance, and contracts were signed in February 2010. The complete contract included the Management Plans, the Bids, rights and obligations of each party, and articles detailing instalment of payments and breach of contracts. Following the signing of contracts, funds were allocated to farmers in March 2010 to carry out afforestation and management activities.

The issue of scale has become paramount for the effective evaluation of watershed development (WSD) programs. This study examines the effectiveness of WSD at meso-scale (1500-10000hectares) in Anantapur and Prakasam districts in Andhra Pradesh. The project enjoys the active support of the AP Department of Rural Development (DRD).
The project has taken the first steps to providing an integrated evaluation model including hydrologic, agronomic, environmental, economic and social equity issues. It is designed to have a number of stand alone input models and to deal with scale from the household to the village and through to the broader watershed scale. The full structure of the model can be obtained from the project team (geoff [dot] syme [at] ecu [dot] edu [dot] au). This model will guide future research and will be iteratively revised as our understanding of the multifaceted, interactive processes evolves and data collection and analysis continues.
Data are currently being gathered of watershed variables in the area, land use, groundwater and surface water resources, population characteristics and so on. A community survey has been prepared to establish WSD outcomes in terms of physical, natural, social, human and financial capitals, and how these change over time in response to climate variability and other drivers. The questionnaire is also designed to assess community resilience and address perceptions of equity and scale.

A] Socio-Economic Progress
Technical and socioeconomic pilots (intensive and extensive field visits) have been conducted in identified or selected districts of Kurnool, Anantapur and Prakasam districts. Two hydrological units were identified for the study. The sample villages were identified in each hydrological unit for carrying out the detailed socioeconomic and livelihood survey. Three program villages and one control village from each unit have been identified i.e., a total of 8 villages spreading over three districts (Table 1).
Villages have been selected at the Upstream; Mid-stream and Down-stream and a matching control village has been selected (Table 2). Qualitative and quantitative tools have been developed- Focus Group Discussions and a survey. Two questionnaires (one at the village level and the other at the household level) have been developed.
The field Instruments were piloted and revised to suit the integrated model and the socioeconomic data. Qualitative information was elicited using the Focus group discussions - four FGDs in each village i.e., a total of 24 FGDs The first round of data collection has been completed in all the sample villages covering 566 households. Data entry is complete.
[B] Hydrology and Land Use
Data on general information, land use, number of water harvesting structures, bore-well water levels and discharge volume, daily rainfall and crop water budgeting for the villages of the selected Hydrological Unit Networks has been procured from the NGO - BIRDS.
NGRI team has just completed the fieldwork at Prakasam and the Anantapur watershed. This included a complete well inventory, water level measurements as well as geophysical logging in the abandoned wells, interviewing people about the scenarios from the
last 15-20 years. The same data has been collected from the second watershed in Gooty. The pre-monsoon (minimum) groundwater levels have been collected and the post-monsoon (maximum) groundwater levels will be collected during the last part of this year. The team is working with DEEPA to clarify apparent data anomalies. Preliminary crop and water use data suitable for the Bayesian Network modelling has been collected.

[C] Integrated Outcomes
An integrated model is being developed that will incorporate crop production and water use and hydrological (surface water and groundwater) models in addition to knowledge gained from extensive household surveys in villages in two case study catchments. The integrated model is expected to link hydrology models with seasonal outputs from crop models. The outputs from the hydrology and crop model feed into socio-economic models together with relevant socio-economic data for the villages. Measures of equity and resilience will be developed to assess differences in outcomes between villages (e.g. upstream, downstream) and within villages (e.g. income groups, gender, land ownership, etc) and changes that over the modelled time period in response to (e.g.) hydrology scenarios. A schematic of the links and scale of the model components is shown below

The overall aims of the project are to improve the capacity of Indonesian policy makers and processes to review the role of agriculture in rural development and the overall economy and to design policies that can impact positively upon incomes, poverty and hunger in the longer-term. The project will provide an enhanced set of knowledge and decision support tools that can help Indonesian policy makers to look to future challenges posed by global environmental and economic change and to identify and examine areas in need of alternative policy options (e.g. in relation to adjustment). These aims will bring out broader implications for the rest of the Asia Pacific region to show how other large economies, like Australia, might best be able to adjust to policy changes in Indonesia under alternative growth scenarios.
Project objectives include:
Review qualitatively Indonesian agricultural-related policies and relevant data within the broader technology, economic and physical environment;
Identify Indonesian agricultural-related policy areas requiring further assistance and reform, including the institutions themselves, technologies to overcome productivity constraints to agricultural growth and effects of global climate change, and policy reactions in the rest of the world to climate change;
Develop required policy analysis tools that can provide the appropriate forward-looking analysis that is needed to design appropriate policy options to meet the challenges of global economic and environmental change;
Analyse the priority areas and provide policy options, within a plausible futures framework that links key models of economic and natural processes, and that can deliver long-term and economy-wide benefits for both Indonesia and Australia;
Disseminate the outcomes and adoption of recommendations of the research through publications and presentations to policy makers, together with established steering groups of policy makers in both countries; and
Provide hands-on training in strategic agricultural-related policy analysis, so as to familiarise the final end-users in Indonesia on how best to exploit the available knowledge and decision-support tools and resources made available through this project.
Key activities for 1. include: Data gathering and other relevant information from secondary literature; Overview report on Indonesian agricultural and trade policies; and understanding of the institutional structure in relation to decentralisation in Indonesia (with activities 1 and 2 completed under this reporting period). Key activities for 2. include review and analyse past and existing institutional arrangements related to implementation of agricultural policies; Identify potential areas for capacity strengthening and improvement through informal interviews; Provide technical guidance or toolbox on how to achieve these improvements; Present examples or similar situations and techniques whenever possible. 3 works on reviewing and analysing policy analysis tools applied in other developing countries which may be adopted in Indonesia (scheduled for completion under this reporting period); Listing and assessing policy analysis tools or models applied for projections in agricultural technology, climate change and economic assessments; and model development and application to agricultural-related technology, trade, climate change, policies and institutions. The key activity under 4. is a review and assessment of long-term economic frameworks and priority areas of Indonesia and Australia. 5 focuses on dissemination of information and publishing technical outputs in Indonesia and Australia; and 6 includes one activity on providing hands-on training in strategic agricultural-related policy analysis, so as to familiarise the final end-users in Indonesia on how best to exploit the available knowledge and decision-support tools and resources made available through this project.
Draft and completed products are attached separately.

The overall aims of the project are to improve the capacity of Indonesian policy makers and processes to review the role of agriculture in rural development and the overall economy and to design policies that can impact positively upon incomes, poverty and hunger in the longer-term. The project will provide an enhanced set of knowledge and decision support tools that can help Indonesian policymakers to look to future challenges posed by global environmental and economic change and to identify and examine areas in need of alternative policy options (e.g. in relation to adjustment). These aims will bring out broader implications for the rest of the Asia-Pacific region to show how other large economies, like Australia, might best be able to adjust to policy changes in Indonesia under alternative growth scenarios.
Project objectives include: O.1.Review qualitatively, Indonesian agricultural-related policies and relevant data within the broader technology, economic and physical environment; O.2. Identify Indonesian agricultural-related policy areas requiring further assistance and reform, including the institutions themselves, technologies to overcome productivity constraints to agricultural growth and effects of global climate change, and policy reactions in the rest of the world to climate change; O.3. Develop required policy analysis tools that can provide the appropriate forward-looking analysis that is needed to design appropriate policy options to meet the challenges of global economic and environmental change; O.4. Analyse the priority areas and provide policy options, within a plausible futures framework that links key models of economic and natural processes, and that can deliver long-term and economy-wide benefits for both Indonesia and Australia; O.5. Disseminate the outcomes and adoption of recommendations of the research through publications and presentations to policymakers, together with established steering groups of policymakers in both countries; and O.6. Provide hands-on training in strategic agricultural-related policy analysis, so as to familiarise the final end-users in Indonesia on how best to exploit the available knowledge and decision-support tools and resources made available through this project.
Key activities for O.1. include 1.1-Data gathering and other relevant information from secondary literature; 1.2-Overview report on Indonesian agricultural and trade policies; and 1.3-Understanding of the institutional structure in relation to decentralization in Indonesia (with activities 1 and 2 completed under this reporting period). Key activities for O.2. include 2.1-Review and analyse past and existing institutional arrangements related to implementation of agricultural policies; 2.2-Identify potential areas for capacity strengthening and improvement through informal interviews; and 2.3-Provide technical guidance or toolbox on how to achieve these improvements; present examples or similar situations and techniques whenever possible. O.3 works on 3.1-Review and analyse policy analysis tools applied in other developing countries (e.g. Vietnam) which may be adopted in Indonesia (scheduled for completion under this reporting period); 3.2-List and assess policy analysis tools or models applied for projections in agricultural technology, climate change and economic assessments; and 3.3-Model development and application to agricultural-related technology, trade, climate change, policies and institutions. The key activity under O.4. is a 4.1-Review and assess long-term economic frameworks and priority areas of Indonesia and Australia. O.5.focuses on 5.1- Dissemination of information; and 5.2-Publish technical outputs in Indonesia and Australia; and O.6 includes one Activity on 6.1-Provide hands-on training in strategic agricultural-related policy analysis, so as to familiarize the final end-users in Indonesia on how best to exploit the available knowledge and decision-support tools and resources made available through this project.