assessment of rural economy in a post disaster setting peru

CASE STUDY OF CASABLANCA, PERU

Assessing The Rural Economy In A Post Disaster Setting:

The Day of the Earthquake

6:40 pm, August 15th – an 8.0 magnitude earthquake struck of the coast of the Peru 1

Highly affected areas south of Lima Chincha Pisco Ica

Over 500 killed, thousands injuredNearly 20,000 homes destroyedApproximately 20,000 individuals continue to live

in emergency conditions (i.e., no shelter, limited access to food and water, loss of electricity and running water)

1. USGS. Retrieved on November 5, 2007.

University of Miami’s Past Projects in Peru

For 2 years, UM has been working on local development projects in the Los Molinos region of Ica Education programs Well water projects Dam building & Tree planting for mudslide

prevention/mitigation Small scale economic development

A UM-sponsored community forum had taken place in Los Molinos hours before the earthquake

Casablanca School Children Presented Uniforms: August 15th…Day the

Earthquake Struck

UM Field Assessment Team Deploys

Two weeks after the earthquake a UM team of professors & students leaves for Lima Prof. Richard Weisskoff– International Studies, Economics Prof. Sherri Porcelain – Global Health, International Studies Shannon Gibson – International Studies Michaela Sachs – Latin American Studies Nick Schaad – International Studies, Anthropology Aleandro Teixeira – International Studies, Study Abroad

Funded by the Rasmussen Foundation & UM Disaster Research Global Public Health Program

The UM Student Team

UM Students in Casablanca Post- Earthquake

Assessment

Systematically collect feedback from the people in the Los Molinos area

Identify immediate and long-term needs in the Los Molinos area (at the city, family & individual levels)

Determine potential small-scale economic development projects which would aid the entire community

Expand network with local government and community leaders in order to enhance program sustainability in the future

Survey Instrument

Designed based upon information and knowledge of the region

Pre and post disaster: household, education, water, electricity, sanitation, garbage, pests, health situation, employment, inventory of animals, inventory of land ownership, open-ended section.

Field test and modificationsGuidelines established, reviewed and

implemented

Methods for Data Collection

Survey (Specific to Casablanca) Demographics Changes Since Earthquake (i.e., damage to housing, crops

lost) Education Levels Water Source & Usage Sanitation Heath & Access to Healthcare Employment Economic Assessment - Land & Livestock Inventory

Survey / Interview HybridObservationPhoto/Video

Video of Damage – South of Lima

http://picasaweb.google.com/sgib1982/PeruTrip/photo?authkey=d2tNRNojyOI#5114572307623354866

Findings from Survey

Surveyed 52 families over a one-week period 2 weeks after the earthquake hit

Head of household sought first However, multi-generational households, surveys

were conducted with more than one member of household present

Two assessment team members per surveyAll surveys were read to the participants & answers

were recorded by assessment team membersAdaptations: recorded important/interesting

comments on backs of surveys, often asked additional questions after survey completed to get a better understanding of how the community worked (collectively)

Demographics

52 Families – covering 199 individuals

Gender Total: 53% Male, 47% FemaleGender Total: 53% Male, 47% Female

Education Levels

Education Levels

Effects of the Earthquake

Disaster Impact on Community

Displaced Populations

Effects of the Earthquake

Problem Identified: Need for Quick Rebuilding & Earthquake Resistant HousingProblem Identified: Need for Quick Rebuilding & Earthquake Resistant Housing

Government Response

NGO’s that did show up Germany AID, Ireland AID, Red Cross, Japanese Medical Team

NGO’s that did show up Germany AID, Ireland AID, Red Cross, Japanese Medical Team

Non Governmental Assistance Arrives

Rebuilding Efforts

Typical Household

Water & Sanitation

Those who do treat use liquid or tablet ChlorineThose who do treat use liquid or tablet Chlorine

Water & Sanitation

All residents get their water from a spring which flows from the top of the mountains

Problems: No regulation mechanism for farmers using fertilizer No trash collection – residents burn or toss it wherever

Water & Sanitation

Problem Identified: Lack of Access to Clean Drinking WaterProblem Identified: Lack of Access to Clean Drinking Water

Health Issues & Access to Healthcare

Health Issues Since Earthquake Colds & Sore

Throats Headaches Respiratory Problems

Health Issues Since Earthquake Colds & Sore

Throats Headaches Respiratory Problems

Other issues since EarthquakeDust Fleas

Rodents FliesBats Spiders

Other issues since EarthquakeDust Fleas

Rodents FliesBats Spiders

Problem Identified: Lack of Access to HealthcareProblem Identified: Lack of Access to Healthcare

Employment & Economy

Many work seasonally as day workers – income not steadyMany work seasonally as day workers – income not steady

Employment & Economy

Household with most land & animals

Employment & Economy

Employment & Economy

Problem Identified: Need a method for transporting viable animal/farming products to market

Problem Identified: Need a method for transporting viable animal/farming products to market

Open-Ended Questions

Words used to describe families situation since the earthquake. Scared Frightened Preoccupied Tranquil/Calm Traumatized Nervous Critical Worse Sad Poor

Open-Ended Questions

Do you have any ideas for economic activities in your community? Raise & Export Guinea Pigs Mill for processing animal feed Collective Farming & Transportation Clean Water Electricity Health Center Chicken Coops

Proposed Projects Based on Findings

Potable drinking water Current water source is used by animals and for crop

irrigation, bathing, cooking, cleaning clothes & drinking

Install a pump at a lower level water source to bring water to the village to be used for DRINKING WATER ONLY

Possible use of solar panels to power the pump

Health Post in Casablanca Closest health post is in Los Molinos (40 minutes by

car, 2.5 - 4 hours by foot) Train local community members in general healthcare

Proposed Projects Based on Findings

Collective Milk/Cheese Production Research indicates that there is a surplus production of

milk & cheese Due to lack of transportation, much less refrigerated

transportation has kept farmers from capitalizing on the production of these products

Talks are underway with the Mayor of Los Molinos in order to set up a collective buyer program

Donation or Loan for Collective Mill To process locally-grown corn stalks and alfalfa to produce

cattle feed Benefits: provides local market for crops, reduces highly

labor-intensive process for those who do own animals Cost analysis pending

Community Input is Vital!

El Olivo – More Work to be Done

Research Potential

Neoliberal economic theory DOES NOT apply to rural, collective farming economies Property rights do not apply Subsistence farming leaves little to no room for savings &

investment Limited market & purchasing power Limited access to market

Institutional Barriers Common to Many of the World’s Poor Low literacy rates Do not own deeds or titles to land or homes Both factors make it difficult for poor laborers to receive

access to small monetary loans necessary for stimulating family-based economic growth

Muhammad Yunus & Micro- lending

The Plight of the Landless Poor Laborer Bamboo stool maker in India Has no collateral, cannot read – thus cannot take out a

conventional bank loan Borrows bamboo (worth 22 cents) from a middleman in

return she must sell her stools back to the middleman for 24 cents…profit = 2 cents per stool

Cannot borrow money for raw supplies- middlemen charge large interest and can demand payment at anytime

Therefore, this woman is destitute because she cannot come up with 22 cents to buy bamboo and sell her product on the open market where she would make more than 24 cents per stool

The Case in Peru

Average day worker makes 12 – 13 soles per day ($1 US = 3.02 Soles )

Average farm worker makes $4 per dayMost families do not own deeds to land or homesLack of access to market – more research needed

to see if residents are fetching “true market value” for their crops that do make it to market

In one village we visited, all of the homes had been donated by a church organization The residents had requested to be able to buy the land and

therefore have collateral Church refuses This type of “hand out” – not very effective for raising

poverty level

Solution: Muhammad Yunus

Micro-Lending Provide small-scale one-year loans to landless, poor Provides workers to explain and fill out application papers All members must:

Qualify at certain level of poverty Attend educational seminars and pass oral exam to show

understanding of the loan, repayment procedures & bank duties

Be a member of a “loan group” Loan Groups

Meet weekly to discuss their progress If anyone in the group wants a new loan it must be approved

by members before submitted to bank If one member of the group defaults, no one in the group will

be allowed to ask for a new loan for the next year

Reconstruction Phase

Need better methods to promote human development in post-disaster settings

Region is challenged by natural and human-induced disasters

Grass roots to top roots approach may be the best investment to improve global public health and human development in the devastated area

More to come on the University of Miami’s collaborative efforts to promote community development in the rural communities of Ica, Peru.