Objective: Promotion of economic growth in rural areas by strengthening commercialization of small farms in areas with recognized market potential. The project aims at tapping new market opportunities by providing technology to increase production and productivity as well as quality standards in order to obtain more income, minimize price volatility and promote sustainable use of natural resources. Donor: Italian Contribution to FAO Trust Fund for Food security and Food Safety Duration: 2004 -‐ 2012 Budget: 4,000,000 USD Project Area: Federal Republic of Ethiopia and Government of Regional State of Oromia Beneficiaries:
a) Farming communities who receive technical advice to improve farming practices and food crop outputs and woman within rural communities that actively participate at the project activities. Consumers who have greater availability of better quality food products in local markets. Private entrepreneurs, who are involved to provide services in marketing, input supply and agricultural product processing. Regional and district staff to develop small-‐scale irrigation schemes to contribute to reduction of losses in canal system, reduction in pumping cost and improved water management. Main partner: Ministry of Agriculture; Ethiopian Seed Enterprise (ESE); Ethiopian Agricultural Research Organization (EARO); National Agriculture Input Authority; Oromya Credit and Savings Share Company (OCSSCO); Oromya Agriculture Rural Development Office (OARDO); Oromya Cooperatives Prmotion Office (OCPO); Oromya Irrigation Development Authority (OIDA); Water Users Association (WUA).
Crop Diversification and Marketing Development Project – Special programme for Food Security, Federal Democratic Republic of Ethiopia GTFS/ETH/067/ITA
FAO Global Trust Fund for Food Security and Food Safety Italian Contribution East Africa Platform
At a
Glance
3. Capacity building and institutional strengthening component: Identifying socio-‐economic constraints to transform subsistence agriculture into smallholders’ commercial agriculture, by: i) looking for synergies with other projects to promote coordination of activities; ii) ensuring the participation of women, increasing their participation in agricultural production and income generation to improve family nutrition and health; iii) establishing quantitative and qualitative baseline information to increase knowledge and awareness of the needs for improving land tenure security through detailed annual community action plans for each site.
The up-scaling phase: Following the encouraging results achieved by the project, in 2010 the Government of Italy allocated additional funding for up-‐scaling the project core activities, for the consolidation of outputs and outcomes, which have been a success of the first project phase in Arsi zone and Oromiya region. The duration of the up-‐scaling phase is foreseen for additional two years, till 2012. The objective for the up-‐scaling phase is to continue support to ongoing activities, but with more emphasis on the adoption of the Value Chain Approach (VCA) for priority commodities to continue supporting small-‐scale farmers to enhance their knowledge and opportunities, increase horticultural production and encourage marketing. The project will focus on four priorities commodities: vegetable and fruits production, farmers based seed production and marketing, and diary production and animal fattening. The up-‐scaling and consolidation phase has two main components that include: i) Promotion and support to market oriented
production for selected value chain commodities (diversified and intensified production and enhanced productivity of vegetables; diversified and intensified fruit production; improved seed production in quantity and quality through support to seed producer cooperatives; enhanced production and productivity of dairy cattle, and enhanced production of quality beef animals);
ii) Support to promote marketing efficiency and
value addition (improved quality and marketability of vegetables and fruit production through the strengthening of Water User’ s Associations WUAs; improved seed quality and marketability through capacitating seed producer cooperative; improved milk collection in quantity, quality and marketing through facilitation of diary cooperatives).
The promotion of a free market economy is the main focus of the Government of Ethiopia agricultural development policies and strategies at promoting Agricultural Development-‐Led Industrialization (ADLI) and export-‐led growth as well as enhanced food security and poverty alleviation through the empowerment of smallholder farmers and increased participation of the private sector. Outputs of the initial phase: During the initial phase (2004–2010) the GTFS/ETH/067/ITA project contributed to achieve the overall goal to improve food security of vulnerable groups working on 3 main components: 1. Farm technology development component:
i) Introducing and promoting new farming technologies and good agricultural practices in small-‐scale irrigation schemes including watershed management. In May 2011 a handover ceremony was realized for different schemes constructed through the support of FAO-‐ASELLA project; ii) Diversifying production and commercialization in highland areas with reliable rainfall and irrigated areas, targeting well identified niche markets, as better seeds and cash crops, vegetables and annual fruits. That resulted in an increase of the range and volume of field crops produced in villages, improving food security, higher household incomes and diet of villagers.
2. Market development component:
Improving the value added of cash crops by: i) selecting intervention areas close to the main consumer markets (Addis Ababa and Nazareth); ii) promoting productivity, better quality and commercialization (Farmer-‐based seed production and marketing system established, production and commercialization of higher value cereals, pulses and oilseeds and production and marketing of milk, milk products, livestock, hides and skins); iii) strengthening the environment for investments, especially in irrigation: strengthening communication and cooperative promotion services to assist small farmers; iv) cooperating with Microfinance Institutions (MFIs) to back small cooperatives and single farmers and let them have access to credit and saving services. Good linkages have been established with the regional Oromya Seed Enterprise (OSE) and 84 farmers of seed producer cooperatives and this creates sustainability at the seed system. Also there are a total of 26milk collection, processing and marketing units in the project area; 18 of them are registered as primary diary cooperatives by the Zone Cooperative Promotion Office and received legal certificate. Moreover 61 groups have been organized in different enterprises. They are assisted on different aspect as seed, horticulture, fattening diary for business planning, agribusiness, marketing and creation of required linkages. Finally 13 farm business schools have been concluded by graduating 354 farmers.
National Level
Food Security