Announcing the e-Debate on "Youth sustaining family farming through ICTs" - 22 September – 7 October 2014‏

In the context of the International Year of Family Farming, and in the framework of its ARDYIS project, the Technical Centre for Agricultural and Rural Cooperation (CTA), in collaboration with the African Youth Foundation (AYF) is organising an e-debate on “Youth sustaining family farming through ICTs” on the ARDYIS discussion group (http://dgroups.org/groups/youth) from 22^nd September – 7^th October 2014.

 During the 3 weeks, the discussions will be focused on youth, family farming and ICTs (experiences, opportunities, challenges, recommendations) and several Subject Matter Experts will be joining the debate to share their experience and answer to youth questions/queries. By the end of the debate, a synthesis report will be prepared and shared on the occasion of the World Food Day 2014.

 Please find the announcement on the e-debate here: http://bit.ly/1p7aFC1 and a short introductory note on the topic here: http://bit.ly/1rH4XZh

 You are invited to participate in the debate and share your views. Kindly also share this information with people in your networks who might be interested to take part!

Addressing climate change in Ghana, the role of climate change adaptive agriculture

Introduction

As Nations across the world continue to strategize on best approaches to adopt in attaining national food security and in contributing to securing the food security of the world’s estimated nine (9) billion population in 2050, it beholds on all to champion sustainable environmental development practice to curtail the increasing effect of climate change on the world’s development.

Ghana has over the years demonstrated its commitment at addressing the increasing threat of climate change to its national development; following the formulation and implementation of various national climate change policies. These interventions are contributing immensely in engaging the citizenry to appreciate the reality of climate change and thus work towards addressing it.

Recently, climate change adaptive Agriculture has taken centre stage in the nation’s quest to address the increasing effect of climate change to its economic development, of which Agriculture accounts for more than 60%.

Climate change adaptive Agriculture employs innovative farming systems with best practices that effectively helps farmers and other Agricultural value chain actors in managing the risk that climate change possess in the short to long term. The adoption of climate smart Agricultural practices enhances the resilience of Agriculture to climate change, as these practices mitigate the vulnerability of Agriculture to climate change.

This article therefore assesses the role of climate change adaptive Agriculture in addressing climate change in Ghana. These roles include:

Enriches the Ecosystem and enhances biodiversity conservation: following the alarming rate of the depletion of Ghana’s rich forest reserves with a decline in its forest cover from 8.2 million hectares at the beginning of the 20^th century to an estimated 1.6 million hectares, the adoption of climate smart Agricultural practices will contribute significantly in restoring Ghana’s diverse and rich ecosystem.

The Rich Ecosystem of Aburi

As Agricultural expansion accounts for 50% of the principal drivers of deforestation and degradation in Ghana; with a deforestation rate of 2.0% and an annual loss of 135,000 hectares, the adoption of alley farming as a climate smart Agricultural practice will enrich the nation’s ecosystem and enhance its biodiversity conservation.

This climate change adaptive Agricultural practice promotes the cultivation of crops together with the planting of trees of economic value. Alley farming thus enriches soil biodiversity, promotes the natural regeneration of soil nutrients thus reducing the use of inorganic fertilizer, restores degraded land, discourages bush burning and promotes afforestation.

The adoption of alley farming by Ghanaian farmers will also contribute significantly in addressing deforestation and the degradation of Ghana’s rich land reserves for Agricultural expansion, as farmers can expand their acreage while maintain the nation’s vast and rich tree cover.

The adoption of conservation Agriculture as a climate smart Agricultural practice will also contribute significantly in addressing climate change in Ghana, as it strengthens environmental protection and the conservation of natural resources. Conservation Agriculture enriches the ecosystem and biodiversity, as it promotes: continuous minimum mechanical soil disturbance, permanent organic soil cover and diversified crop rotation.

The establishment and Management of tree plantations: the adoption of climate change adaptive Agriculture will enhance Ghana’s quest at addressing climate change, as it ensures the establishment and management of tree plantations comprising of various tree species of economic value for the protection of the environment and enrichment of the ecosystem.

A tree plantation in Northern Ghana

The increasing level of interest of Ghanaian farmers in investing in the establishment of Mango and Shea tree plantations, can contribute significantly in addressing climate change, as these plantations restores depleted forest reserves and degraded land.

The management of these plantations also curtails bush burning, much especially in the Savannah ecological belt of Ghana, as these plantations offer cover to the vast grassland of the Savannah that is prone to bush fires.

The establishment of these tree plantations also contributes significantly in reducing carbon emissions, global warming and the conservation of water resources which are increasingly vulnerable to climate change. These tree plantations thus mitigates the effect of climate change, as they contribute significantly in reducing Ghana’s deforestation rate (2.0%) which leads to an annual loss of 135,000 Hectares of the nation’s forest cover.

Promotes sustainable land and water resource management; practically every development challenge of the 21^st century e.g. food security, the management of rapid urbanization, energy security, environmental protection, climate change, etc requires an urgent attention to land and water resource management.

As ground water is being depleted faster than replenished, the adoption of climate change adaptive Agriculture will contribute significantly in addressing the effect of climate change on hydrologic variability which results to extreme weather events e.g. drought, floods etc.

The Activities of galamsey in Ghana degrades

the nation's rich land and natural resources.

Owing to the increasing activities of illegal mining popularly referred to as “galamsey” in Ghana, the adoption of climate change adaptive Agriculture will play a significant role in the restoration of degraded land; as it promotes  afforestation and adoption of farming systems that enhances the natural regeneration of the soil structure and nutrients.

Aquaculture, a climate change Adaptive Agricultural practice helps in the sustainable management of land and water resources as it promotes the preservation of water bodies, the restoration of degraded land etc. These benefits of Aquaculture thus help in maintaining a balanced ecosystem that is resilient to the increasing challenge of climate change.

Furthermore, the adoption of conservation Agriculture as a climate smart Agricultural practice promotes sustainable land and water resource management as it contributes immensely in the conservation of Agricultural and non-Agricultural land, controls pollution, enriches the ecosystem/biodiversity etc.

Conclusion

Climate change Adaptive Agriculture undoudly play an essential role in addressing effect of climate change in Ghana, and it is therefore important for the country to institute the needed structures to facilitate the implementation of Ghana’s REDD+ strategy that is aimed at addressing climate change in the country. The reality of climate change in Ghana requires action now.

An Article By: Moses Nganwani Tia.

SavaNet News: SavaNet’s Executive Director Awarded a Washington Fellowship for Young African Leaders.

The Savannah Young Farmers Network (SavaNet) congratulates its Executive Director Moses Nganwani Tia following his award of a Washington Fellowship for Young African Leaders; a flagship program of President Obama’s Young African Leaders Initiative (YALI).

As a Washington Fellow, Moses Nganwani Tia will receive a six (6) week training on Civic Leadership at the University of California Berkeley (the Goldman School of Public Policy) in the United States of America (USA).

After his academic residency at the University of California Berkeley, Tia will join other fellows across Africa for a three day Washington fellow’s summit to be hosted by President Obama. During this presidential summit, the Washington fellows will have the opportunity to interact with US leaders in the field of Business, government and the non-profit sector.

This flagship fellowship will also offer our Executive Director professional development opportunities, a Networking platform and the opportunity to give SavaNet a representation in several African countries.

Indeed the contribution of Moses Nganwani Tia to youth in Agriculture Development in Ghana and Africa at large has been duly recognized at the international level and we join him in celebrating this international recognition.

As you share in Presidents Obama’s vision for the African Continent, we are optimistic that your commitment to championing Africa’s Agricultural development will be strengthen in order to enhance the continent’s food security.

SavaNet is indeed proud of you.

Washington Fellowship for young African Leaders.

The Embassy of the United States of America.

Today, we feature Moses Nganwani Tia, a young Ghanaian from Gambaga who is passionate about agriculture.

Moses is an Agricultural Development professional with rich experience who’s often contributed to youth, particularly in Agricultural development in Africa, the Caribbean and Pacific (ACP) nations of the world.

In 2009, he founded Savannah Young Farmers Network to address the increasing decline in youth engagement in Agriculture in the Northern Region. He is also a member of the International Fund for Agriculture Devevelopment/Government of Ghana in-country Program Management Team, with the responsibility of promoting youth in agriculture in Ghana. 
Through Moses’ hard work, SavaNet currently works as a regional organization, with representation in: Burkina Faso, Nigeria and Sierra Leone. Tia’s hobbies include listening to music, walking and watching documentaries.

Congratulations Moses Nganwani Tia! We hope you will expand your organization across Africa through the Washington Fellowship and help countries achieve food security. ‪#‎YALI ‪#‎YALIGhana

SavaNet News: CTA's Youth Strategy 2013-2017.

The Savannah Young Farmers Network (SavaNet) will like to share with its readers the CTA's Youth Strategy 2013-2017.

www.cta.int/en/article/2014-04-10/ctars-youth-strategy-2013-n-2017.html

The purpose of the Youth Strategy is to boost the engagement of young people in Agriculture and Rural Development (ARD) for the growth of ACP Agricultural economies and to improve youth livelihoods.

It will achieve this by facilitating the development of targeted policies,sustaining young professional's engagement in ARD, enhancing their capacity to use ICT for Agriculture,supporting their innovations and ensuring that they reap full benefits from improved value chains.

The Savannah Young Farmers Network (SavaNet) is happy to have played a role in the development of the CTA Youth Strategy document, as it among other activities, participated in a Youth Stakeholder Workshop in Wageningen the Netherlands from the 14th-16th of November, 2012.

SavaNet News: InterRice Monthly Report No 121- March 2014.

Locally cultivated and processed Rice.

As Rice continues to be a major staple in the West Africa sub-region, the Savannah Young Farmers Network (SavaNet) will like to provide its readers the latest InterRice Monthly Report (March 2014) to enrich your knowledge on the Rice Industry. The report also contains the InterRice Monthly Report for February and January 2014 as well as  June-December, 2013.

http://www.infoarroz.org/portal/en/content.php?section=15

The National Youth in Agriculture Initiative; programme policy, strategy and sustainability.

Introduction

Within the developing agenda of Ghana, agriculture is identified as one of the economic pillars. The nexus/connection between agriculture development and Ghana’s ability to achieve its food and nutrition security goals are inextricably linked.

Agriculture is important to the development of any nation, Ghana being no exception. Development must include the youth and therefore the Ministry of Food and Agriculture (MOFA) seeks to encourage their participation in the agricultural sector. This effort seeks to change the negative perception the youth have of participation in agriculture, (farmers) as uneducated, unskilled, physical labourers with extremely low economic return. Modern agriculture is more than tilling the soil and animals. The sector today offers career opportunities in research, environment, financial management, engineering and other technical areas for the youth to explore.

The introduction of the Youth in Agriculture Programme (YIAP) is necessary and vital to facilitate food and nutrition security because of the following reasons but not limited to:

1. There is compelling evidence of ageing farmer population in the country which must be addressed to facilitate sustainability in agriculture production. The average age of farmer in Ghana is 55 years and life expectancy averages between 55 – 60 years.

2. Ghana’s food import bill for rice, cooking oil, frozen chicken and meat (have become staple food) continues to rise. If this trend continues the availability of food in Ghana in the near future will depend on imports making the country vulnerable to catastrophic events and other exogenous shocks that have negative impact on food production from external source. The youth is strategic to the success of any effort to boost Ghana’s food production.

3. The poor image of persons involved in agriculture, especially in the rural communities needs to be changed and the youth are the  ideal catalyst such change given their greater prosperity and wiliness to adapt new ideas, concept and technology which are all important to changing the way agriculture is practiced and perceived.

4. Increased employment particularly rural employment is required as youth unemployment is on the increase.

5. Increase productivity in agricultural sector depends on the youth who compromise about 20 – 30 of Ghana’s active population. Their energy and numbers provide tremendous opportunities for increasing agricultural productivity.

6. YIAP provides productive alternatives for the engagement of the youth to reduce crime and other social problems.

7. Diversified, modern farming practices.

8. New crop varieties and animal strains/breeds.

9. Less soil pollution since there will be regular advice and supervision from MOFA.

10. Reduction in rural-urban migration.

The Youth in Agriculture Programme (YIAP) is a Government of Ghana (GOG) agricultural sector initiative with an objective of motivating the youth to accept and appreciate farming/food production as a commercial venture, thereby taking up farming as a life time vocation.

The YIAP has the task and responsibility of mobilizing the youth to take up farming and its other related activities as life time vocation. By so doing the following benefits will be derived from the employment for the youth, through the provision of tractor services and agro – inputs;

The youth in Agriculture Programme has the objective of

1. making youth accept farming as a commercial business venture;

2. Generate appreciable income to meet farmer’s domestic and personal needs;

3. Youth will improve their standard of living-through improved income.

4. Youth will be motivated to stay in rural areas, as inputs will be delivered at their farm gate, on credit basis and interest free,

5. Produce enough food crops, meat and fish using modem methods.

Components of the Youth in Agriculture Programme (YIAP)

The Youth in Agriculture has four (4) components namely:

i. Crops / Block Farm

ii. Livestock and Poultry

iii. Fisheries/Aquaculture and

iv. Agribusiness

Crops/Block Farm

This System has two sub-components, general crops and the block farm Block Farm, under this Scheme, state land or land acquired from chiefs or private individuals is ploughed and shared in

blocks among ; young farmer under supervision of MOFA staff. For now, the crops under YIAP include maize (seed and grain), sorghum, soybean, tomato and onion.

Other enterprises will be included as the programme expands. Under the block farm, YIAP provides farmers with tractor services, inputs at subsidized prices all on credit and at interest free. The land is ploughed and shared amongst young farmers in blocks. In the long run, big commercial farmers are to be made from Block Farm and the other component of the Youth in Agric Programme.

With regard to the general system, farmers clustered in an area may be considered under the programme. At the end of the season, farmers are expected to repay the facility in kind. This system takes care of their marketing responsibilities and post harvest loses. Farmers may sell their produce to the Buffer Stock Company established by MOFA or’ any customer of their choice.

Livestock and Poultry

This component targets young unemployed men and women to take to production of livestock and poultry (broilers layers, guinea fowls and piggery to begin with. Beneficiary youth will be assisted with day old chicks in the case of broilers, layers and guinea fowls, They will be provided with housing, feeding, drugs and vaccine, utility until they are weaned off the programme in about a year.

Similarly breeding sows and pigs together with the other inputs will be provided. There is a programme for other animals such as cattle, sheep and goats and other stocks such as rabbit and grasscutter will be added. Since animal production is a specialized area, participating farmers will be trained.

Fisheries/Aquaculture

The Youth in Aquaculture Programme is first of all being driven by the demand for healthy fish and inadequate domestic fish production. Traditional harvest fisheries are cither fully exploited or near full exploitation and cannot meet the increasing demand for seafood.

The youth are especially targeted to form the focal point of the project.

Who can join the Programme

1. Any person interested in farming

2. Group of young men and women in the community interested in farming.

3. Any institution training farmers.

How to Join the Youth in Agriculture Programme

1. Contact any MOFA office at the Regional or District level in Regional and District capitals.

2. Contact the National secretariat of the Youth in Agriculture Programme,  MOFA, Accra,

3. For block farm participants, you must be in groups with elected leaders.

You must apply in writing and state your area of interest, location to access to any agricultural productive resource .

Youth in Agriculture Programme

1. Tractor services where your land is ploughable

2. If your land cannot be ploughed you have to clear it yourself.

3. Supply of inputs such as seeds, agro-chemicals, sacks, and facilitate marketing of your produce.

4. Technical support from Agric. Extension staff of MOFA.

5. Training of farmers free of charge, where the need arises.

The role of the District, Municipal and metropolitan Assemblies

1. Supervision

2. Assist to acquire land

3. Provide land and equipment

4. Monitor activities

Exit Strategy

An organization or individual without an exit strategy  may be in a quagmire. At worst, an exit

strategy will save face; at best an exit strategy will peg a withdrawal to the achievement of an objective worth more than the cost of continued involvement.

Any business, be it farming, commerce or e manufacturing needs to grow. In any business’ formative years, a push is needed. This push could be in the form of capital, land or management. In terms of h agriculture, resources such as land, capital and labour s need be expanded or intensified. The Youth in Agriculture Programme is the channel through which the Government of Ghana is giving a push to the youth.

In order to allow the youth to grow in their farming businesses, young farmers participating in the various, components of YIAP need to be weaned off at a point. , However, this will depend on which component or enterprise the young farmer is involved in, because the gestation period of each enterprise varies from the other. The young farmer at that point needs to be, partially independent in terms of taking decisions, acquisition of inputs and marketing of his/her produce.

The YIAP will introduce weaned young farmers to the appropriate service providers and Banks such as Agricultural Development Bank, StanBic Bank, etc.

The details of provision of credit to the farmer will be between the farmer and the bank. The YIAP however will continue to maintain contacts with the farmers in order to draw from their knowledge and experience for new participants in the programme.

Crops/Block farm

Each young farmer will have to be encouraged to open a bank account with the agricultural inclined banks as a first step. A young farmer who is able to continue repaying his/her debts with YIAP will be allowed to continue up to 3 years. After 3 years he has to look for his/her own land, because it is expected that he/she will expand his farm from 2 hectares to 5 hectares and above hectares.

Livestock/Poultry

Each young farmer will be encouraged to open a bank account as a general policy of the programme. Since the production cycle of poultry, rabbits and pigs allow several in a year; a young farmer will be with the programme for 2years. It is expected that at the end of the second year, the farmer would have gained enough knowledge and experience to be on his own. Financially he would have saved some funds to enable him construct a simple animal house.

Aquiculture/ Fisheries

Young farmers will be weaned off after 1 year. The Cost-Benefit analysis show that after two successful production cycles (will make about 50%of working capital invested as income),

young farmers should be able to save to construct their own cages. The banks should be able to provide the farmer with working capital as credit to enable them put into use their cages constructed.

Agribusiness

This component involves training of the youth in processing, marketing and consultancy in various areas of agricultural production. The YIAP will be able to keep participants up to I year. After 1 year, a young participant will be weaned off the programme. To begin, especially for the processors, simple processing equipment would be provided to them on credit basis. For the working capital, weaned young participants would be introduced to the appropriate financial institution.

SavaNet News: Entice Youth to take to Farming- say’s Ghana’s Ambassador to Italy.

Mrs Evenly Anita Stokes Hayford
Ghana's Ambassador to Italy.

Mrs. Evenly Anita Stokes-Hayford, Ghana’s Ambassador to Italy has urged the Government to look for innovative ways of making agriculture attractive to the youth. She suggested, for instance, the provision of start-up capital, inputs, and land for the youth who are interested in venturing into agricultural production, as well as the creation of a ready market for the produce.“By so doing we would attract a lot of Ghanaian youth into farming to undertake large scale food production to feed the nation and even export the surplus”, she stated.

Mrs. Stokes-Hyaford made the call in an interview with the GNA on the sidelines of the 28th Food and Agriculture Organization (FAO) Regional Conference for Africa in Tunis. Mrs. Stokes -Hayford said over the years the older generation of farmers had made farming unattractive even to their own children due to the use of crude implements and archaic methods of land cultivation that did not motivate the younger generation to aspire to farming as an occupation.

“If we stick to the old crude ways of agriculture, we won’t be able to attract the youth especially the graduates from our universities”, she said, adding that farming is a very lucrative venture, through which farmers in countries like Kenya and Zimbabwe had become very prosperous.

She praised President John Dramani Mahama for personally encouraging Ghanaian to patronize made in Ghana goods, saying it was one of the major themes that dominated discussions at FAO meetings. “Africans must eat what they produce and reduce their reliance on imported products."

The Ambassador indicated that she was scouting for a company in Italy to invest in the preservation of tomatoes in a community in the Volta Region to reduce post-harvest losses. “It is unacceptable that this community in the Keta District loses about 40-50 per cent of their produce due to the lack post-harvest storage facility”, she said.

Touching on family farming, Mrs. Stokes-Hayford said the concept was not expanding in Ghana because most farmers did not apply innovative ideas and modern farm implements.

She said the FAO was focusing on family farming because it would ensure food security and prosperity, adding children going to school would not be hungry since there would be sufficient food at home. The FAO Regional Conference for Africa took place from March 24 to March 28, 2014 in the Tunisian capital.

A total, 54 African member countries participated in the conference, 30 of which were represented at ministerial level. In addition, Austria, China, the Dominican Republic, France, Italy, India, the Netherlands, Spain, Sweden, Switzerland, the United Kingdom and the United States of America attended the conference as observers.

Delegates discussed issues relating to the current state and of food and agriculture in Africa, bringing the African youth into the food sector, rural development, and the implementation of the Comprehensive Africa Agriculture Development Programme (CAADP) with a special focus on smallholder farmers and family farming.

The Ghana Commercial Agriculture Project (GCAP).

Background

The Government of Ghana (GoG) has engaged the World Bank and USAID in supporting agricultural development project – the Ghana Commercial Agriculture Project (GCAP), with the principal objective of improving the investment climate for agri-business and developing inclusive Private-Public Partnerships (PPPs) and smallholder linkages aimed at increasing on-farm productivity and value addition in selected value chains.

‘Modernizing agriculture’ remains the overarching theme of Ghana’s agricultural policy as well as the new private sector development strategy. It focuses on a stronger role for the private sector in transforming agriculture from a low-productivity subsistence-based sector to one characterized by high-productivity, integrated value chains, and extensive value addition. Government interventions are focused on the enabling environment and other targeted measures to facilitate such investment, alongside more direct interventions targeted at food insecure areas.

Ghana’s current agricultural policy framework and national development plan emphasizes the importance of graduating from a subsistence-based small-holder system to a sector characterized by a stronger market-based orientation based on a combination of productive small-holders alongside larger commercial enterprises engaged in agricultural production, agro-processing and other activities along the value chain.

To maximize the impacts of private investment in agriculture on development, a particular focus is to facilitate small-holder linkages with other commercial businesses through, for instance, contract farming and out-grower schemes. Recognizing some of the challenges of past efforts, the Government is adopting a new approach of public-private partnerships (PPPs) in which complementary and targeted public support serves to leverage of facilitate private investment in the agriculture sector.

A major thrust of the new approach centres on enhancing the role of commercial agriculture and strengthening agricultural value chains. Under the program the Government is seeking to broaden and deepen private sector investment in agriculture – noting that it is already occurring but can be augmented – in the following ways:

   1. Additional large-scale commercial farms in the cereals sector has the potential to utilize large tracts of unutilized land to meet domestic consumer demand (rice, white maize) and as lower-cost imports to the poultry industry (yellow maize) and, ultimately, for export to the region.

  2. There are additional opportunities for multinational investors to expand the horticulture sector, given Ghana’s established market presence in Europe and favorable geographical position, to raise export revenues.

   3. Additional agro-processing especially in the horticulture sector can provide alternative markets to local production that is unable to meet European requirements (tastes or standards) and create jobs.

    4 .More private input dealers can extend the availability of seeds and fertilizer to raise productivity across the sector.

   5.Additional private enterprises engaged in the marketing and processing of food staples for local consumption, for instance by aggregating output from small-holders for bulk distribution and processing to generate economies of scale in the value chain.

Innovative institutional arrangements between large(r) scale investors and small-holders can generate mutual benefits and provide effective mechanisms for bolstering small-holder productivity. For instance, out-grower schemes provide linkages between vertically integrated plantations and surrounding small-holders. Contract farming arrangements can provide benefits for input and output dealers and small-holder farmers. To this end, the Government is keen to develop the Accra Plains through Public Private Partnership (PPP) and provide support to encourage the development of nucleus investment arrangements for the benefit of local smallholder farmers.

The Proposed Project

The project development objective is increased access to land, private sector finance, input output  markets by smallholder farms from PPP in commercial agriculture in Accra Plains and SADA Region  and increasing on-farm productivity and value addition in selected value chains. The main outcome of the project would be an improved investment climate that delivers more – and more inclusive – private sector investment in agriculture. Accordingly, project success would be defined by the following results:

   1. Increased private investment in agriculture should increase across a range of related enterprises including large(r)-scale commercial farming, agricultural processing and marketing industries and small-scale entrepreneurial farmers.

   2. An expansion of marketing arrangements that link small-holders with larger commercial entities. (These commercial entities could be engaged in production, as in the traditional nucleus-out grower type model, or in downstream marketing or processing, in the case of contract framing.)

    3. Increased productivity of small-holder farmers brought about by a combination of (input and output) market access improvements, improved technology and behavioral shifts resulting from lower risks and/ or improved incentives generated from a stronger private-sector led agricultural sector.

Proposed Project Approach: 

The proposed project would be based on four main concepts:

  1. Support and strengthen the Government’s ability to promote a sound enabling environment for commercial agriculture investment (large and small; foreign and domestic) by improving the enabling environment and developing a more pro-active investment promotion orientation.  This could include the provision of critical infrastructure in key locations.

   2. Address the fragmented nature of existing policy and capacity by consolidating core functions into a streamlined institutional structure (perhaps a one-stop-shop).  Also to improve the oversight and monitoring capability to promote sustainable agro-industry.

  3. Adoption of a ‘transaction based approach’ by seeking to identify, package, negotiate and secure specific investments, with a PPP element where necessary.  It is envisaged that a set of viable discrete projects would be identified during project preparation such that these could be mobilized rapidly upon project effectiveness.

   4. Social and environmental issues to be at the core of the project, with all commercial agriculture investments to adhere to national and World Bank standards.

The project would adopt a ‘proof of concept’ approach and would aim to adapt to experience on two fronts.  First, the limited application of PPPs in Ghana means the details of successful partnerships would be learned through application.

Second, the fragmented institutional architecture would need to be resolved early through an interim arrangement constructed around a project implementation unit while a longer term solution is identified (as part of project activities).  Consequently, the project would need to be flexible to adapt to experience.  A transaction-based approach would help retain a sharp focus on results while allowing for a pragmatic implementation modality.  This flexibility is reflected in the project scope outlined below.

Project Scope

The proposed project would have three components, with the first being focused on improving the overall investment climate for agricultural development in Ghana, and the second and third directly targeting private sector led agricultural investment involving smallholder farmers through PPP arrangements.  The second and third components would initially be focused in the SADA Region and Accra Plains regions.

Proposed Project Components

Component One:  Strengthening investment promotion infrastructure, facilitating secure access to land and project management. This component would ensure that Ghana attracts investors willing and able to invest in strategic subsectors that contribute most positively to national development gains. It would promote a secure investment climate – particularly with respect to access to land – that reflects rights and obligations of investors, government and affected communities.

This component would establish a ‘one-stop shop’ for investment promotion, drawing on the competences from existing Ministries, Department and Agencies in a streamlined institutional architecture. This would transform the current fragmented and ineffective regime to one in which agriculture-related investment promotion efforts are focused on securing domestic and foreign investments in activities/ locations/ business models that most contribute to Ghana’s national development goals. It would also strengthen the oversight capacity of Government to ensure investors’ development plans are being fulfilled and to develop more orderly exit of failing investors and the reallocation of land to new entrants.

This component would also support an improved mechanism for facilitating access to land by reducing the search costs to potential investors through an expansion of a database of land suitable for investors and by actively matching potential investors with suitable land owners. In the case of land under traditional ownership, due diligence and sensitization of surrounding communities would promote an understanding of the rights and obligations from subsequent lease agreements. A ‘model’ lease agreement would be developed to form the basis of all subsequent investor agreements, and which includes indicative arrangements for managing leasehold payments and other community development-type funds.

Component Two:  Securing PPPs and small-holder linkages in the Accra Plains This component will conclude a transaction for a PPP in an irrigation investment in the Accra Plains. The entire Accra Plains Plains area extends to around 150,000ha and the ultimate objective of the Government is to fully develop the entire area.

It would also assist with land acquisition under the one-stop-shop proposed above.  It would also include additional support to extend nucleus investments for the benefit of small-holders through various means including assistance to expand necessary infrastructure into out-grower lands as well as direct support to the smallholders to ensure they are capable out-growers.

This component would focus on the Accra Plains, where an area  has been proposed (in general terms) for a substantial irrigation investment to be managed under a PPP and which would supply water to both large commercial farms and an out-grower scheme.

Component three:  Securing PPPs and small-holder linkages SADA Regions

This component would involve the identification and realization of private investments in the value chain through PPPs.  Investors could be local or international.  Investments could be in production or processing and ancillary businesses.

This would provide assistance for the establishment of large commercial farms as nucleus farms with appropriate linkages under out-grower schemes.  Support to the nucleus would include critical access infrastructure including roads, power connections and primary irrigation facilities.  This would include support to warehousing and storage through the rehabilitation and concessioning of publically owned marketing infrastructure (including the development of warehouse receipts system).  It would also include support for agri-business centers that provide essential services and inputs to small-holder farmers.

This would initially focus on the Northern Region, but would be responsive to opportunities in other regions if these were of sufficient scale.  (It would be important to avoid supervisory activities being spread too thinly across a wide area in order to keep management costs down.)

For all investments so assisted, the project would seek to leverage small-holder participation.  Project activities would include developing a framework for out-grower schemes and contract farming arrangements that would sensitize potential small-holder participants in order to align expectations of both small-holders and the ‘nucleus’.

This project would support start-up costs resulting from institutional demands of sustainable small-holder linkages as well as any investment costs from new agronomic practices etc. that maximize the impacts of marketing linkages.  Activities could include:  organizing small-holder participants into groups and building their capacity to become capable partners, recognizing the greater demand for business acumen in negotiating beneficial arrangements with investors; grants to meet the establishment costs of small-holder farmers (land preparation, planting material, etc.); and/or working capital for out growers to procure necessary farm inputs (improved seed, fertilizer).

To encourage investors themselves to finance small-holder linkages as part of their integrated business model (and thereby maximizing the use of IDA resources), while recognizing the increased financial risks from doing so, this would include a risk sharing mechanism (eg. first loss cover).