Pasture management and rural development

When the centrally planned government system in Mongolia ended in 1990, a deep void was left in its wake that has not been replaced by the private sector. It has been during this transition period from a centrally planned economy to a market economy that there has been a sharp increase in poverty.

Today, it is estimated that 35.6% of Mongolia’s population are considered ‘poor’ or ‘very poor’ (UNDP 2000, Human Development Report). The standard and availability of education declined and the economic situation deteriorated even further. The western provinces of Mongolia are the most economically remote and subsequently some of the poorest in the country. Those that are affected most by the increasing poverty are the herder families in the rural areas.

Causes of unsustainable herding practices

Based on a herder survey conducted by WWF and the Center for Agricultural Development at Humboldt University in 1999, the main constraints faced by agriculture in Khovd aimag in northwestern Mongolia include poverty, unemployment, lack of funds, reliance on external financing, inappropriate policies and institutional structure, inappropriate land use practices, poor management capability, failure of market mechanism, inadequate infrastructure, inadequacies of knowledge and technology, lack of information, inadequate vertical and horizontal communication, and lack of intersectoral co-ordination.

The economic potential of all soums in Khovd aimag is decreasing. This is due largely to the fact that the herders, who are dominant in the population, have poor practices in agricultural farming in market relations.

By processing their own products, herders can improve their economic situation

Currently, Khovd and all neighbouring aimags only export raw materials without primary processing to China. It is believed that if herders learn to process their products, the economic potential of not only the targeted Khovd aimag but also all neighbouring aimags in the region would definitely increase. Consequently, the herding families would benefit much through their income increase by raw materials procurement.