Consumer-driven demand for meat and dairy products is driving an
increase in livestock production and demand for improved animal
healthcare services. These must be effective, affordable and accessible
to ensure a profitable livestock sector. Especially important are the
needs of poor livestock keepers who may have no other means of
livelihood and who, following privatisation, may have become excluded
from animal healthcare services.
Animal healthcare has far-reaching implications. Increased livestock
production brings risks to public health from greater animal-human
contact and zoonotic diseases. There are potential environmental hazards
as well as issues of food safety and the need to ensure trade standards
are met. But effective, comprehensive animal healthcare services are
expensive. At a time when demand is increasing but government budgets
for veterinary services are declining, how could such services be
funded? The purpose of this Working Paper is to study a wide range of
funding mechanisms in both developed and developing countries.
The author discusses the process of collecting revenue from sources
ranging from individual households to foreign governments through, for
example, direct and indirect taxation, fees and user charges, compulsory
or private insurance contributions, levies, and international loans or
grants. Mechanisms for pooling funds, distributing them and providing
services are also described in some detail. Useful comparisons are made
with the funding and provision of human healthcare services. Animal
healthcare services are usually funded from a mix of sources and some
sources will be more directly linked to effective and fair service
provision than others. Many practical examples of funding mechanisms are
given, and their impact on service provision is described.
The author emphasises the need for transparency in revenue collection
and service provision and suggests that further research would help to
provide the basis for improvement. Above all, the needs of different
users for animal health services should be assessed so that funds
collected are appropriately and accurately allocated.
A two page executive summary is also available in addition to this
PPLPI, FAO, Rome, Italy, vi+38 pp.