Transcript Agriculture and Food safety

EU co-operation in the agriculture
sector Georgia:
ENPARD
Juan Echanove
February, 2013
Background
Profile of the sector
The decline
The potential
New trends
Sector strategy
Donor coordination
Agriculture:
profile of the sector
Agriculture contribution to GDP
9%
Total number of farmers
2.5 million
% of employed population on agriculture sector 55%
Average size of land per farmer
1 ha.
% of farmers producing for self consumption
82%
Share of the MoA in the national budget (2008)
1.3%
% of foodstuff imported (Tbilisi)
80%
The decline
of Georgian agriculture
…and dramatic increase
In the number of people
in agriculture
Dramatic decline
in production…
Year
1990
1995
2000
2005
2008
Sown Area
701,900
453,100
610,800
539,600
329,300
Livestock
4,287,000
2,104,300
2,166,000
2,539,600
1,735,600
Employment % of GDP
25.2
29.7
30.6
41.7
52.1
20.2
54.3
16.8
55.3
8.9
Rural poverty
Why?

Agriculture remains the forgotten sector of the economy
– Lack of public policies. No strategy
– Modest investment by either the public or private
sectors
– No provision of veterinarian and extension services

Farms are too small, so farmers cannot…
– secure credit
– purchase inputs and equipment competitively
– acquire critical production information
– market their products competitively

Negative background on farmers' co-operation
No legal support to farmers’ coops/associations


Policies:
– Policy favours importing ( low import costs)
– Lack of non-trade barriers (no SPS in place)
The potential
Labor
 Comparatively well-educated farmers
Land
 Fertile soils
 High biodiversity/ecosystems
 Lots of unused agricultural lands (stated-owned)
Markets
 Internal market (imports’ substitution): Consumers prefer local products
 External markets: Georgia, good ‘brand’ in former URSS republics
 Europe; DCFTA (?)
THE
MANY
COLORS
IN THIS MAP INDICATES THE VARIETY
…and
the
proven
success
OF GEORGIAN
LANDSCAPES
TYPES
SOILS…
 Georgia
had very efficient
agriculture AND
system
duringOF
URSS
and before
(10% of URSS production)
THE
COLORFUL
A COUNTRY
IS INthat
A MAP
LIKE
THE
 MORE
Many small-scale
projects
have proven
it is not
thatTHIS,
difficult
to MORE
IT IS.
GEORGIA
IS EXTREMLY FERTIL!
increaseFERTIL
productivity
and
farmers’ income
Geographical
diversity/
specialization
donor co-ordination set-up in place

40 individuals from 30 organizations attending
regularly
– IOs, bilateral donors, NGOs, etc.
– MoA is part, but not chairs yet





FAO chairs, EUD sis secretariat
Sub-groups along the lines of the strategy priorities
Presentations and discussions on technical topics
Blog to collect technical documents
More resources by donors
New trends:
From Cinderella to princess

Strong political commitment

Strategy and Action Plan

New programmes by Government

Dramatic increase in the budget

More resources by donors
Government Strategy
Main directions…
•Competiveness improvement trough private sector development
Including Straightening farmers' groups
•Capacity improvement of the institutions and stakeholders
(MoA local extention offices, training, extension, VET…)
•Development of food production chains
•Rural infrastructure
•Irrigation…
•Food security
•Environment, agri biodiversity
ENPARD GEORGIA
ENPARD GEORGIA
Undertake consultation
with stakeholders
Evaluate successful
experiences
Produce a Strategy
for the sector
Undertake
policy/legislative
reforms
Budget funds
ENPARD
EU funds
EU/FAO
programme on
Linking
information and
decision-making to
improve food
security
Initial 'guidance' provided by
external expert
Assessments of farmers'
organizations
Assessments on information
needs (food security)
Preparation of
the draft
strategy
Farmers survey (GEOSTAT)
Review of EUassisted
development aid in
agriculture
The process
TAIEX
Lessons learned from EU+MS
projects
Workshop on agriculture
Strategies on EU MS
Consultation
Approval
EU FWC
OTHER
DONORS?
TA to assist in the preparation of the
Action Plan
TA to assist in the preparation of the
Action Plan
Preparation
Of the Action
Plan
ENPARD GEORGIA
Successful experiences evaluated
ENPARD GEORGIA
ENPARD GEORGIA
Overall objective: it aims at increasing food
production in Georgia and reducing rural poverty.
The specific objective is to improve the agriculture
sector by supporting the implementation of the
Agriculture Sector strategy and strengthening small
farmers‘ organizations.
ENPARD GEORGIA
Overall objective: it aims at increasing food
production in Georgia and reducing rural poverty.
The specific objective is to improve the agriculture
sector by supporting the implementation of the
Agriculture Sector strategy and strengthening small
farmers‘ organizations.
ENPARD GEORGIA
Strengthened co-operation amongst small farmers
Adoption of legislation to promote business-oriented small farmers' groups
Promotion of small farmers' co-operation
Establishment of business-oriented small farmers' groups
Capacity building to farmers' groups
Complementary limited investment support to the farmers' groups
Access to capacity building by small farmers improved
Organization of the extension system, district level
Improved efficiency of institutions involved in agriculture
Capacity building/support to the MoA of Georgia
Capacity building/support to the MoA of Adjara
Capacity building to agriculture-related education and research institutions
Improvement of agriculture-related information systems and statistics
Geographical Indications regulated and developed
ENPARD GEORGIA
EUR 40 M EU contribution
EUR 18 M Budget Support
EUR 15 M grants
EUR 2 M TA to MoA via FAO
EUR 3 M suport to Adjara (UNDP)
EUR 1 M academic instiutions
EUT 1 M other
5 years (BS 3 years)
Why Cooperatives?

A cooperative is a business organization owned and
operated by a group of individuals for their mutual benefit.

It has nothing to do at all with a kolkhoz!


Cooperatives…
– supply their members with inputs for agricultural
production (seeds, fertilizers, machinery, TA)
– And/or undertake transformation, packaging,
distribution, and marketing of farm products
Cooperatives are the dominant form for agricultural
production in Europe (i.e. over 50% of agri-food industry )
and elsewhere in the world where there are small farmers
(including many areas of USA)
Thanks!!!!