Ghana Project Notice - Agricultural Development


Project Notice

PNR 385
Project Name Agricultural Development
Project Detail Agriculture and related branches of the economy offer the greatest development potential for the economy of Burkina Faso. Growth in this sector benefits the poor sections of the population, 80% of whom earn their living from agriculture. The country is largely dependent on this economic sector as it has no significant raw material reserves, with the exception of gold, and no major industries. Establishing a service sector in the short term is not feasible. Cotton is currently the only significant cash crop that allows farmers to generate an income above subsistence level. Since 1994, the cotton sector has developed significantly, but has been suffering an unprecedented financial crisis since the cropping season of 2004/2005. Since 2007, the Government of Burkina Faso has therefore been pursuing a policy of diversifying agricultural production and strengthening the agricultural product processing sector.

A population growth of more than 3%, coupled with the extreme exploitation of natural resources for agriculture (subsistence agriculture) and changing climate conditions threaten the nutritional base of the population of Burkina Faso. To secure this in the medium term, it is important to exploit potentials for more intensive agriculture, mainly because there is hardly any land still available that is suitable for farming. In order for smallholders to finance such investments, producers and small and medium-sized enterprises must be further integrated into the market-oriented after-crop and processing sectors.

Objective
The rural people in Burkina Faso enjoy higher incomes and their nutritional base is secure for the long term.

Approach
The programme follows the value chain approach. It is based on the assumption that an overall increase in value creation can be achieved by analysing and eliminating bottlenecks at every stage in the agricultural production chain. This will in turn create the preconditions needed to increase incomes for actors at all levels of the value chain.

For example, to secure and increase sales opportunities for producers of primary products, processing and marketing firms are advised on their marketing strategies and improving their operating processes, from improving quality to introducing international quality standards. Private companies are included in the development measures, enabling small farms to gain access to new markets. This creates jobs and know-how, and generates income for people in the region.

On behalf of the project, the GFA Consulting Group advises rural communities in water catchment areas on retaining soil fertility and implementing water conservation measures. It is working with local people to build contour stone embankments and use them for cultivation. The producers involved also receive information about adapted cultivation techniques. They are shown how to think in entrepreneurial terms in order to professionalise their farms, which is a prerequisite for accessing new markets.

The project advises agricultural producers in both the eastern and south-western regions and in the province of Sissili, processing and marketing companies involved in the value chains for sesame seed, cashew nuts and attiéké (cassava couscous, a product for the national market). In order to make conditions more efficient for agricultural production, processing and marketing, the programme supports dialogue between the Ministry of Agriculture, Ministry of Livestock, Ministry of the Environment and the Ministry of Trade at central and regional level, between regional and municipal authorities, and between business and professional associations, private service providers and export and marketing firms.

Results achieved so far
Many of the programme contributions have brought improvements to the political and institutional conditions for agricultural development.

The framework and schedule for developing the National Agriculture Programme have been prepared in consultation with all stakeholders. A basket fund has been established to secure financing for the programme. The government has prepared legislation for business associations (interprofessional associations) with the involvement of private actors. The Ministry of Agriculture has adopted an Action Plan to promote value chains and has set up a department for rural economic development to implement the plan. With help from the still informal business associations, National Action Plans for the sesame seed and cassava/attiéké value chains have been drawn up. These interest groups demand an even greater political say, which is essential for the development of the National Sector Programme, and will also help create investment-friendly conditions.

The establishment of two factories through development partnerships with the private sector has helped to considerably increase the capacity for processing sesame seeds and cashew nuts.

Small and micro-enterprises have been created for processing local cassava. The production figures for cassava and attiéké nearly doubled between 2007 and 2009. Sesame seed exports have increased more than threefold (from 16,000 tonnes to 49,000 tonnes). Cashew nut exports amounted to 9,000 tonnes in 2009, of which 1,600 were white shelled cashew nuts, twice as much as in 2008. The number of processing plants has risen from three (2008) to 13 (2009), two of which are certified to process organic cashew nuts, including one company in the project region. The quantity of locally-produced attiéké was 4,000 tonnes in 2009, an increase of more than 80% on 2007.

Twenty-seven trainers have received training and 1,350 participants have taken part in courses in a new training system to promote entrepreneurial competencies in agriculture. Another 2,000 enquiries have been submitted.

More than 5,000 people, half of them women, have received training in erosion prevention techniques in water catchment areas and land management. Since 2004, an area of nearly 1,000 hectares has been placed under protection.

On the one hand, overall food security for the population has improved (a 30% reduction in periods of food shortage). On the other hand, we have seen a stable increase in the incomes of 10,000 farmers and 500 secure jobs have been created for women in companies that process agricultural products.
Funded By Other Funding Agencies
Sector Food & Agriculture
Country Ghana , Western Africa
Project Value Plz Refer Document

Contact Information

Company Name German Federal Ministry for Economic Cooperation and Development (BMZ)
Address Postfach 12 03 22, 53045 Bonn, Germany, Tel: +49 / 228 / 9 95 35-0, Fax: +49 / 228 / 9 95 35-35 00.
Web Site http://www.bmz.de/

Tell us about your Product / Services,
We will Find Tenders for you