ASDP Africa Training Manual - English - Low Res
ASDP Africa Training Manual - English - Low Res
ASDP Africa Training Manual - English - Low Res
Empowered Lives.
Resilient Nations.
Acknowledgements
Toolkit and Training Material Design, Development and Coordination:
Tomas Sales, Pascale Bonzom, Juergen Nagler (UNDP AFIM)
We also would like to thank all contributors for their valuable input and
feedback, including Tiina Turunen, Dan Acquaye, Robert Nyambaka, Kurauone
Murwisi, Murray Smith, Seliatou Kayode-Anglade and Dr Hans Balyamujura.
Finally, we are grateful to all the organizations that attended the AASDP
workshop in Nairobi, Kenya, on October 9 and 10, 2013, for their contributions.
African Agribusiness
Supplier Development
Programme (AASDP)
Training Manual
Growing Inclusive Agri-Food Value Chains
Benefitting African Farmers And SMEs
Table of Contents
Acronyms
I. Introduction1
African Agribusiness Supplier Development Programme 1
ASDP training 2
What is in the training manual? 3
Who is this training for? 4
The learning approach 4
The Trainer a.k.a. The Facilitator 5
Structure of a learning activity 5
List of materials required 5
II. Proposed training programme 7
III. Training sessions 8
Session 1. Introduction: participants’ expectations and objectives 9
Block A. African Agribusiness Supplier Development Programme 10
Session 2. An African Agriculture Supplier Development Programme 11
Session 3. Key success factors 13
Case study 1: Soy bean supply chain in Kenya 15
Session 4. What’s in it for….. World Café 18
All images © flickr.com
Block B. Stakeholders’ roles and responsibilities20
Session 5. Stakeholders’ roles and responsibilities in an ASDP 21
Block C. Phases of an ASDP24
Session 6. Feasibility and Programme Preparation 25
Session 7. A. Supply Chain Diagnostics 28
Case study 2: Dairy supply chain in Nigeria29
Session 7. B. Chain Analysis from a Gender Perspective 33
Session 8. Supply Chain Planning 35
Session 9. Supply Chain Implementation 37
Case study 3a: Local sourcing of Sorghum in Sierra Leone38
Session 10. Phasing out 41
Session 11. Monitoring and Evaluation and Learning 42
Case study 3b: Local sourcing of Sorghum in Sierra Leone 43
Block D. Action planning / way forward44
Session 12. Towards an ASDP Road Map 45
Case study 4a: Roadmap for a Nigerian ASDP47
Session 13. Financing an ASDP 54
Case study 4b. Non- validated indicative figure for a Nigerian ASDP55
Acronyms
AFIM African Facility for Inclusive Markets
ASDP Agribusiness Supplier Development Programme
CO Country Office
CSO Civil Society Organization
FDI Foreign Direct Investments
GAP Good Agricultural Practices
IMD Inclusive Market Development
KES Kenya Shilling
KIT Royal Tropical Institute
LED Local Economic Development
MDG Millennium Development Goals
M&E Monitoring and Evaluation
NGO Non-Governmental Organization
PO Producers’ Organization
PPT PowerPoint Presentation
RBA Regional Bureau for Africa
SME Small and Medium Enterprise
UNDP United Nations Development Programme
UNDP CO UNDP Country Offices
USD US Dollar
. iv .
.v.
Introduction
The core mandate for UNDP AFIM is to engage the private sector to
work towards reducing poverty and accelerating progress towards
achieving the Millennium Development Goals (MDGs) by supporting
pro-poor economic growth and IMD across Sub-Saharan Africa. IMD
focuses on developing private sector markets to make them more
inclusive and beneficial to low income groups such as producers,
consumers and employees. Specifically, IMD seeks to empower small
and medium size enterprises, producers and distributors to partici-
pate in and benefit from the existing potential markets in which they
do business.
.1.
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
The target beneficiaries of the programme are in At the heart of the programme are 4 key func-
the first place, small scale farmers and SMEs, in- tions, including Organizing support for suppliers,
cluding farmer organizations. A successfully im- Sharing supply chain information through the
plemented ASDP will promote greater income supply chain, Facilitating linkages in a sub-sec-
generation for small scale farmers and ensure tor, and Policy advice. Cross sector learning is a
the supply chain is more inclusive with greater cross cutting function.
participation from SMEs. Secondly, off-takers (or
lead firms) and other stakeholders in agricultural All the above need to happen in a sustainable
supply chains, such as input suppliers and finan- and inclusive manner, meaning that the ASDPs
cial institutions will benefit. Large firms will have should not compete with local food security
the added benefit of being actively involved neither negatively impact the natural environ-
in inclusive business, which is becoming an in- ment nor climate change and should refrain
creasingly important business trend. from discriminating vulnerable groups includ-
ing women, ethnic minorities and youth.
The objectives of an ASDP to be implemented
by UNDP Country Offices (UNDP COs) and their ASDP training
partner governments include:
To support the development of the African
• To improve the supply of African agricultural ASDP, AFIM developed a toolkit and a training
products by farmers and SMEs meeting mar- manual. The toolkit sets out the programme’s
ket quality standards, with quicker delivery conditions for starting up a country ASDP. It de-
times, reduced transportation and reduced scribes the programme components, the roles
inventory costs, and as such to access the and responsibilities of the various actors within
growing markets that are provided by off-tak- a supply chain as well as possible interventions
ers; in order to help facilitate the engagement of
• To secure and offer off-takers an efficient and off-takers with smallholder producers. This tool-
high quality local agricultural products sup- kit is targeted towards UNDP Country Offices
ply; aiming to work with their partner governments
• To contribute to the development of nation- and other development agencies aiming in set-
al African economies (through attracting ting up a national smallholder and SMEs ASDP.
Foreign Direct Investments (FDI), increased The tool provides a framework to facilitate the
government income through taxation, job linkage between the users (UNDP CO and their
creation, an improved trade balance etc.) by partner governments), partners (Lead firms) and
developing agricultural products that can beneficiaries (Smallholders and SMEs).
substitute imports and can access export
markets; and
• To contribute to sustainable development
goals, especially food security, poverty reduc-
tion and gender equity, through job creation
and income generation.
.2.
Introduction
.3.
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
M&E and
Supply Chain
Learning
Activities
1 Feasibility
2 Preparation
3 Diagnostics
4 Planning 5 Implementation
6 Phasing out
.4.
Introduction
.5.
Proposed
Training
Programme
Proposed Training Programme
Introduction
Session 1. Introduction: Participants’ expectations and objectives
Training
Sessions
.8.
Training sessions
Session 1
Introduction: Participants’
expectations and objectives
.9.
Block A
Agribusiness Supplier
Development Programme
Session 2
A
An African Agribusiness Supplier
Development Programme
Session 3
Key success factors
Session 4
What’s in it for….. World Café
. 10 .
Training sessions
Session 2
An African Agribusiness Supplier
Development Programme
A
context (policy, economy, agro-ecological, etc.).
• The facilitator asks participants to write down
It is important that participants have a good
on cards 3 words (one word per card) they as-
understanding of what an ASDP entails, why it
sociate with Agribusiness Supply Chain (max
is important and what the key success factors
2 minutes).
are. In this session, participants first are asked to
share their understanding of Agribusiness Sup- • The facilitator asks participants (one-by-one)
ply Chains and based on this, their understand- to stick their cards on the wall.
ing of an Agribusiness Supplier Development • Once all cards are on the wall:
Programme. Topics of this session include: Option 1
• Agribusiness Supply Chains • The facilitator asks participants to regroup the
• Agribusiness Supplier Development Pro- cards according to their own criteria/logic.
gramme • Once the participants are done, the facilitator
• The rationale for an ASDP asks one participant to present the result.
• The objectives of an ASDP
• The key functions of the ASDP
. 11 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
. 12 .
Training sessions
Session 3
Key success factors
. 13 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Other…
. 14 .
Training sessions
Case study 1:
Soy bean supply chain in Kenya
Current agricultural context as a business. The role of government and gov-
ernment agencies is to provide extension ser-
Agriculture is key in the national economy of
vices, invest in inputs and group formation. They
Kenya. It directly contributes 26% of Kenya’s
furthermore develop policies and commodity
GDP and another 25% indirectly. 65% of Kenya’s
strategies and invest in research. However the
export consists in agricultural products and as
capacity is limited and not always efficient. Also
high as 70% of the rural population earns an (in-
off-takers are not always committed to support
formal) income through agriculture. The sector
government implementation on the ground.
is mostly run by small scale farmers of 0.2-3 ha.
Together they produce 75% of all agri-output Soya supply chain characteristics
and 70% of marketed produce. Small-scale farm-
ers produce over 70% of maize, 65 % of coffee, Soya production in Kenya is still small. It is
50 % of tea, 80 % of milk, 85 % of fish, and 70 % mainly produced in Western Kenya in arid and
of beef and related products. An important role semi-arid areas. The current production is about
in linking farmers to markets is played by coop- 2,000 MT per year while the demand for soya is
eratives. about 150,000 MT. Soya is produced by small
scale farmers (app. 5,000), mainly female, who
In 2003 the new government adapted the Eco- also grow maize. The existing association of soy
nomic Recovery Strategy (ERS) for Wealth and growers (Nigouri) does not function well and
Employment Creation: a new strategy and pol- thus farmers are generally loosely organized.
icies that abandoned the policy on poverty re- Farmers sell to agents who then sell to users.
duction and adopted economic recovery. The Soya is used for edible oil production (10%),
ERS was followed up in 2007 with Vision 2030. food production (Promasidor, Say Afric, Farmer’s
This vision was translated into the Agricultural Choice, Proctor and Allan, Delemere, Alpa Fine
Sector Development Strategy (ASDS). Besides Food, Heritage Foods and Intsa Products) and
ensuring food and nutritional security for all the rest is mainly used by milling companies
Kenyans, the strategy aims at generating high- producing animal feed for cattle and chicken
er incomes as well as employment, especially in (e.g. Unga Feeds, MCK Feeds, Sigma Feeds, Uni-
the rural areas. Agriculture should be one of the feed and Lakefeeds) (UNIDO, 2010). Overall pro-
main drivers for economic growth. The ASDS de- duction is increasing slowly, but the demand is
scribes all intended government interventions growing much faster, particularly for animal feed
in the agri-sector comprising smallholder crops uses. The feed industry now heavily relies on im-
producers. The current strategy to lift up the ag- ported ingredients (soya and sorghum).
ricultural sector in Kenya is to approach farming
. 15 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Constraints in soy supply chains • Farmers operate at small scale and are not or-
ganized in groups.
Kenyan farmers do not produce soya on a large
scale. Despite this, it could be a good cash crop
• Post-harvest services hardly exist.
in certain areas. There are several reasons for the • Farmers have a lack of credits.
low production: • There is little value chain coordination and
vertical linkages in the chain.
• Soya is not a food crop and is considered less
• The soy sector is facing competition with
important than maize by many farmers.
cheap imported edible oil and seedcake.
• There is lack of good inputs for producing
soya. Except for some research organisations Several projects have been set up over the years
looking into seeds supply, there is no high to improve production (for instance the N2 Afri-
quality seeds, let alone hybrid seeds. Off-tak- ca project focused on seeds supply, funded by
ers do not supply seeds because they have the Bill and Melinda Gates Foundation). Most of
bad experiences with farmers not selling their them failed because of a lack of coordination
crops after harvest (side selling). Also inocu- and a comprehensive sector strategy in which
lums and fertilizers are not supplied. all key stakeholders participate. This is different
• Soy farmers hardly receive public support, in Uganda where farmers do receive public sup-
such as extension, access to inputs or invest- port and where group production is taking off.
ments in infrastructure. The Ministry of Ag-
riculture is however finalizing a strategy for
Opportunities in soy bean supply
soya bean production and marketing which chains
is almost ready. There are, on the other hand, good opportuni-
• Good agricultural practices are not widely ties for Kenyan suppliers to expand production:
spread resulting in a productivity of just 400 • Soya is a good rotational crop for maize. In
kg/ha (as compared to 800 kg/ha in Uganda addition, since there are maize viruses now, it
and 1,200 kg/ha in India). may be a good alternative.
• Current production costs for farmers are esti- • Soya grows well in the short rain season.
mated to be 35 KES/kg while sales price is 45
• There is a growing demand for soya products
KES/kg.
(human food and animal feed).
• Sales prices (and thus margins) are low be-
• Industries want to replace imported soy prod-
cause Kenyan farmers compete with import-
ucts with locally sourced ingredients.
ed soya (70 KES/kg).
• Opportunities for increasing productivity
• Low sales prices make other farm crops more
through improved production practices, and
interesting for farmers, particularly because
the use of high-yielding and dual purpose va-
soya productivity is very low in Kenya.
rieties.
. 16 .
Training sessions
• Research capacity is available: Kenya Agri- rently SNV is carrying out a fodder study for ex-
cultural Research Institute (KARI), Industrial ploring opportunities.
Research and Development Institute, Interna-
tional Institute of Tropical Agriculture, Tropical There is an increasing market for soya. The de-
Soil Biology and Fertility institute. mand comes both from the milling and feed in-
dustry (for instance Unga Mills, Farmers choice)
UNIDO is currently implementing a soya pro- as well as the edible oil industry (human food). A
gramme in West Kenya that aims to improve big oil processor is BIDCO. BIDCO needs a mini-
productivity of soya. It has already set up 3 mi- mum of 100 MT of high protein soya per day for
cro-plants for processing and is developing the producing edible oil. Current capacity is a total
2nd phase of the soy programme. The first phase volume of app. 15.000 MT (requiring app. 30,000
was funded by Japan and focused on Food Se- ha and 30,000 farmers), but if more is available
curity. In this programme the soya was sold to BIDCO will increase its capacity. BIDCO is trying
the Red Cross. From next year on (2nd phase) it to source soya locally. In this regard it provides
is planning to work with inputs suppliers (MEA extension training, demonstration plots and ac-
ltd for inoculants and SeedCo for seeds). It will cess to finance by local banks. It does not want
provide technical assistance (on GAP), it will help to intervene in seed supply (anymore) because
in bulking and post-harvest technology, pro- of side selling risks. The planning for 2012 was to
cessing (small processing plants), group forma- source 6,000 MT through the Kenya Soy Farm-
tion and finance. This programme should have a ers Association (KeSoFA), but only 200 MT was
regional focus. In addition, the East African Dairy delivered mainly due to the lack of seeds and
Programme (EADP) together with SNV have an support on Good Agricultural Practices, organi-
interest in linking farmers to the feed industry zation, awareness, finance, infrastructure and a
in order to provide good quality inputs for the clear sector policy.
dairy industry (see also the dairy section). Cur-
. 17 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Session 4
What’s in it for…World Café
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Source: http://www.theworldcafe.com.
Learning methodology and process
World Café
Content of the module
The core mandate for UNDP AFIM is to engage
• The facilitator asks the participants to men-
tion the major stakeholders categories in an
the private sector to work towards reducing pov-
agribusiness supply chain. Broadly there are 4
erty and accelerating progress towards achiev-
categories of supply chain actors, 2 enabling
ing the Millennium Development Goals (MDG’s)
organizations and an implementing organiza-
by supporting pro-poor economic growth and
tion:
Inclusive Market Development (IMD) across
Sub-Saharan Africa. IMD focuses on developing êê Small suppliers (producers)
private sector markets to make them more in- êê SMEs
clusive of and beneficial to low income groups êê Off-takers
such as producers, consumers and employees. êê Service providers
Specifically, AFIM’s IMD initiative seeks to em- êê Government
power small enterprises, producers and distribu-
êê UNDP CO
tors to participate in and benefit from the exist-
ing potential markets in which they do business.
êê Implementing partner
• Participants will be divided on 4 different ta-
bles (6-7 persons) which will be facilitated by
one table host to be selected at each table.
Every table will focus on one specific ques-
tion:
. 18 .
Training sessions
Table 1: What are the major constraints/ • It is not necessary for all people to spend time
opportunities smallholder producers are at each table because after a few rounds (typ-
facing in accessing markets? What are the ically 2 or 3, depending on the time allocated)
possible benefits of an ASDP for smallholder the session closes with a debriefing.
suppliers? • The host of each table presents a synthesis and
key reflection points to the entire group of par-
Table 2: What are the major constraints/ ticipants either from the table itself, or back in
opportunities SMEs are facing in accessing plenary, whichever makes sense for the room
markets? What are the possible benefits of an set-up and size.
ASDP for SMEs?
• Allow time for the other participants to add in-
Table 3: What are the major constraints/ teresting points or further lessons learned after
opportunities off-takers are facing in sourcing the debriefing by table hosts.
locally? What are the possible benefits of an • Presentation and plenary discussion.
ASDP for off-takers? • PowerPoint presentation.
Timing:
• 1.5 hours
. 19 .
Block B
Stakeholders’ roles
and responsibilities
B
Session 5
Stakeholders’ roles and
responsibilities in an ASDP
. 20 .
Training sessions
Session 5
Stakeholders’ roles and
responsibilities in an ASDP
B
based on equality principles, yet the starting
point for an SDP is an output driven approach, • The facilitator presents PPT 5 in plenary and
based on the demand for agricultural supply by asks participants to comment (in case they
off-takers. In other words, there should be first came to other conclusions).
of all the full commitment from a lead firm. In Training tips
this session, participants reflect on the roles and
responsibilities of the major stakeholders, i.e. • The implementing partner and supply chain
broker or facilitator are very important in the
• Small suppliers (producers) and SMEs implementation of the programme. In the fol-
• Off-takers lowing session the role of the broker will be
• Service providers discussed.
• Implementing partner • Group discussion could continue for app. 45
• Government minutes. It is not necessary that each group
• UNDP CO discusses each card (time is probably too lim-
ited).
Objective
Participants know the stakeholders in an ASDP Learning materials
and understand their roles and responsibilities. • Sets of cards according to the number of
groups. These cards need to be printed and
Learning methodology and process cut before the training.
• The facilitator explains who the main actors • Markers
in setting up and implementing an ASDP are. • PPT 5
• Participants are divided in groups of 6. Timing
• Each group is given a set of cards with func-
tions. • 1.5 hour
. 21 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Commit to the SDP programme on a medium Guarantee markets by setting up fair and
to long term basis sustainable purchasing contracts
. 22 .
Training sessions
Certification Finance
Accessing the right people and other (semi-) Research finance options (own budget /
public and private organizations for support negotiating with others)
. 23 .
Block C
Phases of an ASDP
Session 6
C
Feasibility: Shortlisting Sub-sectors
Session 7
A. Supply Chain Diagnostics
B. Chain Analysis from a Gender Perspective
Session 8
Supply Chain Planning
Session 9
Supply Chain Implementation
Session 10
Phasing out
Session 11
Monitoring and Evaluation and Learning
. 24 .
Training sessions
Session 6
Feasibility and Programme Preparation
C
for selecting commodity sectors (in groups of
The selection process starts with doing a desk 6)
review and study on which agro-value chains • Describe these criteria: what, how and why?
offer the most prospects for poverty alleviation. • Rank the criteria: indicate the most important
Such a quick review should include the follow- criteria
ing elements: • Name 4 commodities with potential for de-
veloping an ASDP
1. The sub-sector’s contribution to incomes
• Ask groups to come up with a conclusion on
2. The number of people and companies in- the suitability of the respective value chains.
volved in producing, processing and market-
• A short plenary discussion on the suitability:
ing
the facilitator asks why participants think a
3. The domestic market potential (interest of specific sector is suitable or not (highlighting
off-takers/Lead Firms) the major reasons)
4. Its relevance to food security • Ask participants whether there are other crite-
5. The number and names of potential interest- ria that can be used for selecting sub-sectors.
ed lead firms • A quick round of answers in plenary
6. The comparative advantage of the sector • In plenary: ask participants whether the crite-
7. An analysis of general business and policy en- ria in the PPT overlap with their own criteria.
vironment for this specific chain Would the commodity still qualify?
• Finalize the session with a short presentation
In this session, participants are asked to assess
on Programme Preparation
the suitability of an ASDP for specific sub-sectors
(proposed by the participants themselves). The
session ends with a presentation on Programme
preparation.
. 25 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
reduction
Required investments
Sub-total (A)
. 26 .
Training sessions
Economic growth potential, Y
Scaling-up potential
Sub-total (B)
Market demand
Sub-total (C)
Total score (A + B + C)
Total score based on weight (μ + α + β)
Source: UNDP, 2010A
. 27 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Session 7
A. Supply chain diagnostics
. 28 .
Training Sessions
Training sessions
Case study 2:
Dairy supply chain
in Nigeria
• The facilitator asks each group to present
their value chain map and constraints and Agricultural context in Nigeria
opportunities identified. In the sixties Nigeria used to be an important
exporter of several agricultural commodities
Training tips (groundnuts, palm oil, cocoa, cotton) but due
• The case studies are not providing all in- to a focus on oil and to political unrest, invest-
formation: groups can make assumptions ments in agriculture declined. As a result Nige-
related to the chain functions and actors ria is now one of the largest importers world-
(making the case a bit fictive). wide of wheat, rice, sugar and fish. Despite this
• The facilitator can also decide to use both and the relative importance of the oil industry,
case study 1 and 2 for this exercise. the agricultural sector is still app. 1/3 of Ni-
• The facilitator can decide to have presen- geria’s GDP and, consequently, an important
tations after a certain step or to finalise source of income for many Nigerians. To date
group work first and then have plenary the main challenges in agriculture are the scale
presentations and discussions on the final of farming, the little production and marketing
results. knowledge and capacity, and little developed
infrastructure. Access to finance is also a major
Learning materials issue. Youth are not interested in farming and
• Flipcharts, markers, coloured cards, mask- tend to move to urban areas.
ing tape
• PPT 7A At the processing side there are little outlets
that want to invest back in the value chain.
Timing Also this is caused to a large extent by a lack of
• 2 hours finance as well as little comparable advantages
(i.e. high cost and low quality) of local produce.
Scattered value chains and weak value chain
linkages between lead firms, processors and
farmers are not helping the growth of value
chains either. Finally, the country, particularly
in the Northern states, still suffers from ethnic
and religious tensions that cause an insecure
situation for business as well as support staff.
. 29 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
. 30 .
Training sessions
The dairy sub-sector Milk collection centres that serve as farm coop-
eratives are seen as an important mechanisms
Since 1954 import restrictions were lifted and
to organize dairy chains. The government will
competition with imported milk powder ham-
invest in the required infrastructure.
pered the industry’s development. This changed
in 1988 with the Structural Adjustment Pro- Most farmers are small scale pastoralists that mi-
gramme that supported local industries over grate with their livestock. Key constraints at this
imported goods. Dairy is not an easy sector to level of the supply chain are:
develop because of pastoralists smallholders
not being used to farming as a business. Farm-
• Unorganized fresh milk collection, processing
and marketing, amongst others due to pasto-
ers in different areas react differently to market
ralist system;
development activities. As a result costs are high
and there is a high level of inefficiency which • Poor productivity of cows: due to poor nutri-
makes dairy not competitive with imported tion of lactating cows;
powder. High level investments and long term • Lack of fresh water;
investments are required in order to change this • Lack of capacity and skills in dairy farm man-
sector from subsistence to commercial farming agement : no services, poor food safety stan-
dards, diseases;
As part of the ATA the Ministry of Agriculture has • Lack of clear policy, amongst others on land
developed the Dairy Transformation Agenda rights;
(2011). Goals are to increase annual production • No access to longer term finance (investing in
to 1,1 million MT per year in 2015 and to increase a cow takes 3 years before returns).
income to 285 million USD for 12 million farm-
ers. There are also opportunities for developing the
dairy sector:
Objectives are: • Good climate in Central and Northern states;
• Increase productivity through improved or- • Generally healthy animals;
ganization (clusters), production technology, • Available land;
feed, improved breeds, animal health care • Culture of dairy production and consump-
and extension services; tion;
• Organize producers in 17 states in producers • Old processing plants available for revitaliza-
cooperative associations; tion;
• Support to SMEs (semi urban dairy farms); • Fodder crops can be grown;
• Improve dairy (social) marketing; • Growing demand urban middle classes;
• Restrictions on dairy import; • Potential investors in processing (yoghurts
• Link demand to a better production, supply etc.).
chains, policies and advocacy with end-users;
• Strengthening of the National Dairy Develop-
ment and Marketing Commission.
. 31 .
African Agribusiness Supplier Development
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. 32 .
Training sessions
Session 7
B. Chain analysis from a gender perspective
. 33 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
. 34 .
Training sessions
Session 8
Supply chain planning
The Supply chain planning phase consists in the Learning methodology and process
following activities: • The facilitator presents the 4 ASDP Key func-
• Selecting strategies and business models. tion (see PPT).
• Developing implementation plans includ- • Based on the results of the Supply Chain Di-
ing interventions, timing, responsibilities, agnostic exercise (constraints and opportu-
required extra investments and milestones nities), participants (in the same sub-groups)
through a validation workshop with Lead are asked to identify actions that could be ini-
Firms, selected suppliers and other support tiated to enhance the supply chain, i.e. to en-
organization. sure markets for smallholders and to ensure
• Setting up and signing chain partnership supply to Lead Firms.
agreements aiming at setting up/improving • Participants write the options on cards (one
supply chain relations. option per card).
• Participants regroup the actions according to
In this session, participants will reflect on the the 4 ASDP key functions.
functions of an ASDP based on their own cases.
• Each group prepares an “action thermometer”
Four ASDP key functions are distinguished:
on a flipchart (see PPT) by sticking the cards
1. Organizing support for suppliers: e.g. access on the flipchart according to the activities,
to inputs, advisory services on GAP, access to starting on line 1 at each key function.
finance, organization of producers, manage-
ment training, Business Development Ser-
vices, etc.
2. Sharing supply chain information throughout
the chain (market information, etc.)
. 35 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
• Plenary reflection and discussion. The group • What, according to participants is the priority
results provide information on the priority key function in their country.
function: more cards in a certain key function
make it a “hot issue”. Few cards imply less pri-
Learning materials
ority for a certain key-function. • Flipcharts, coloured cards, markers, masking
tape,
Training tips • PowerPoint slides
• Make sure the groups do not ignore the re-
sults of their gender analysis! Timing
• The facilitator can ask what activities might be • 1.5 hour
required under which conditions. For example:
if farmers are not organized and production
levels and quality are relatively low, “organiz-
ing support to farmers” will be a first priority. In
the case that agricultural production is up to
standards, but farmers have problems estab-
lishing linkages with other stakeholders such
as processors or traders, “facilitating linkages”
might become more important.
10
9
8
7
6
5
4
3
2
1
0
Organizing Sharing Facilitating Policy
support information linkages advice
. 36 .
Training sessions
Session 9
Supply chain planning
. 37 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
. 38 .
Training sessions
1. Develop, test and introduce new industrial 3. Training of producer associations and credit
sorghum varieties and technologies groups
In 2005, VANCIL (a consultancy company) The nucleus farmers received workshops.
was hired to manage local implementation They were taught how to calculate costs of
of the supply of sorghum. The SLARI (Sierra investments and profits. They also received
Leonean Agricultural Research Institute) was training on agricultural practices of sorghum
hired to do research on agricultural condi- (how to get the right moisture content, how
tions and suitable varieties of sorghum for to weigh the bags of sorghum, pre-harvest-
the production of beer. Three varieties were ing and pre-planting training). The nucleus
selected by SLARI and VANCIL and tested in farmers then were required to visit farmers
two districts (Kambia and Port Loko). and convince them to join the out-grower
scheme. Out-growers received direct cash for
2. Establishment of rapid-multiplication
the sorghum they delivered to the nucleus
enterprises and collection centres
farmer. If out-growers were in need of cash
In the first two years, it proved difficult to before harvesting, they could request the nu-
get farmers enthusiastic to start with the cleus farmer for pre-financing. They needed
sorghum production. Some reasons were to pay the loan back when they delivered the
that most farmers were engaged in sub- sorghum. The nucleus farmers in term have
sistence farming only. Another reason was access to finance from the bank Finance Si-
that farmers did not trust NGOs. The farmers erra Leone.
that agreed to join and plant sorghum got
4. Development of contract/partnership
direct cash for their produce and were satis-
mechanisms between producers, input
fied. When other farmers took notice the ball
providers, intermediate agents and agro-
started rolling. Quickly the local growing of
processors
sorghum for the brewery took off. In order to
manage growth VANCIL started to identify Contracts between producers, input provid-
nucleus farmers in several districts who then ers, intermediate agents and agro-processors
worked with out-growers. include pricing, quotas, services & inputs and
finance. In the beginning contract/partner-
ship mechanisms were set up between the
farmers, VANCIL and SLBL. From 2012 SLBL
took over all the tasks and services of VANCIL.
This transition meant that the sorghum proj-
ect became a long-term sustainable business
section within the company.
. 39 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
5. Training of input dealers and credit Local Sourcing from smallholders takes time,
providers costs money and requires knowledge on lo-
cal farming: To set up a local sourcing project
All nucleus farmers and some agents and
takes time and costs money. This local sorghum
out-growers received training from VAN-
project took six years to become cumulatively
CIL and SLARI, organized by EUCORD, in-
profitable for SLBL. It involves building trust and
cluding financial training, pre-planting and
managing relationships with several new stake-
pre-harvesting trainings, and farmer field
holders. Especially in a ‘foreign’ setting, this is
school demonstrations. The nucleus farm-
challenging. Through partnering with CFC, SLBL
ers need to pass on their new knowledge to
was able to cover part of the total costs for com-
out-growers. This is also in the interest of the
mitting farmers to sorghum production.
nucleus farmers, since they need high quali-
ty and quantities of sorghum. Use local staff and outsource activities – in order
to build trust with the farmers: Involvement of
Lessons learned local staff and service providers such as Vancil
Win-win situation: Local sourcing for SLBL is a su- and EUCORD to build up relations with the farm-
perb business case for all actors involved. It has ers is extremely important. Hiring local experts
been successful because farmers did not have and development/agricultural experts speeds
sufficient alternative sources of income. The in- up common understanding and communica-
come out of rice was little and thus opportunity tion. Once farmers were convinced by local staff
costs for producing sorghum were low. Growing members to join the sorghum programme, they
sorghum therefore attracted many local produc- saw the benefits. This created a snowball effect:
ers. Simultaneously the costs for using sorghum other farmers wanted to join when they saw
are substantially lower than importing barley their neighbour, family member or friend bene-
and therefore also the company gains by local fitting from local sourcing.
sourcing.
. 40 .
Training sessions
Session 10
Phasing out
Content of the module • The facilitator asks if there are any other cri-
teria.
Phasing-out refers to the gradual withdrawal of
• The facilitator shows the slide with the phas-
resources and involvement. In an ASDP phas-
ing out model showing the four criteria:
ing-out happens at two levels: at supply chain
project level and at the ASDP programme level. êê Sustained capacities
êê Sustained resources
From the time when a supply chain becomes êê Sustained motivation
sustainable, meaning that future supply from
êê Sustained linkages
suppliers to off-takers is assured, external sup-
• The facilitator asks if there are any other crite-
port from that specific supply chain should be
ria that need to be added to the list.
phased out gradually.
• In groups, participants are asked to reflect on
In this exercise, participants reflect on the Sierra the Sierra Leone case and are asked to check
Leone case and make their own assessment on whether the criteria they identified are met.
phasing-out the SDP. • Groups prepare a flipchart with their answers.
. 41 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Session 11
Monitoring & Evaluation and learning
. 42 .
Training sessions
. 43 .
Block D
Action planning / way forward
Session 12
D
Towards an ASDP Roadmap
Session 13
Financing an ASDP
. 44 .
Training sessions
Session 12
Towards an ASDP Road Map
D
Objective
development programmes. Although there is
no blueprint for a roadmap, a typical roadmap • Participants understand how to develop an
provides the following information: ASDP roadmap.
• Participants have developed a first draft Road-
• Country context (a description of the political
map for their country.
and socio-economic context)
• Sub-sectors : an overview of the selected Learning methodology and process
sub-sectors, facts and figures, main charac- This exercise is based on the assumption that
teristics, important actors, opportunities and potential sub-sectors have already been identi-
constraints, potential for an ASDP. fied in session 6. Based on the selection made,
• An overview of potential partners and stake- participants will develop a roadmap for the de-
holders, including: velopment of an ASDP in their country.
êê Off-takers for the selected sub-sectors • Participants are asked to develop an ASDP
êê An implementing organization roadmap for their respective countries, based
êê Service providers on earlier exercises. They are requested to de-
êê Donors velop the roadmap, following the provided
• Roadmap outline.
• Socio-economic development potential of an • The budget will be prepared in the next ses-
ASDP sion once the roadmaps are prepared.
• Recommended strategic framework : pur-
pose, objectives, activities
• Next steps / action plan
• Risk assessment
• Budget
. 45 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Training tips
• An example from Nigeria is provided (case ASDP Roadmap
study 4)
• If certain information is not available, partici- I. Country context
pants can add the information after the train- A description of the political and
ing. socio-economic context
• The risk assessment is an important part of
this exercise and might need additional at- II. Sub-sectors
tention.
An overview of the selected sub-
Learning materials sectors, facts and figures, main
characteristics, important actors,
• Laptops
opportunities and constraints,
• Case study 4
potential for an ASDP.
• PPT presentation
Timing III. Involved actors
• 2 hour An overview of potential partners
and stakeholders, including:
A. Off-takers for the selected sub-
sectors
B. An implementing organization
C. Service providers
D. Donors
IV. Roadmap
• Development potential of an ASDP
• Recommended strategic framework
purpose, objectives, activities
• Next steps / action plan
• Risk assessment
• Budget
. 46 .
Training sessions
. 47 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
. 48 .
Training sessions
Involved actors
Implementing partner: with regards to the sus- Potential organizations are:
tainability of the ASDP it is recommended to
establish the programme in an existing national • Bank of Industry (BoI): The BoI is well estab-
service organization. ASDP staff should be work- lished in the private sector;
ing from within such an organization and, de- • Nigerian Association of Chambers of Com-
pending on the feasibility, eventually handing merce, Industry, Mines and Agriculture (NA-
over the services to this organization. Expected CCIMA): This institute is well established and
roles are displayed in the graph below. particularly high-valued by the private sector
as an relatively independent unit;
• Nigeria Incentive-Based Risk-Sharing System
for Agricultural Lending (NIRSAL): This insti-
tute is independent and private. Also it adds
value due to its role in accessing finance from
commercial banks for value chain actors;
. 49 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
• Nigerian Association of Small and Medium In-depth consultations are needed to make a
Enterprises (NASME): This institute is well re- solid decision on this. Decision criteria should
ceived by SMEs and private sector actors; include:
• Community of Agricultural Stakeholders of • ability to attract donor funding;
Nigeria (CASON), part of Nigeria Economic
• acceptability to Lead Firms as collaborators
Summit Group (NESG): CASON already works
for supplier development;
closely with the Federal Ministry of Agricul-
• effective systems and mechanisms for deliv-
ture, as a platform for government engage-
ering ASDP services;
ment with the private sector on agriculture
• ability to respond quickly to client needs;
and agribusiness development.
• being supportive to the overall objective of
sustainable and inclusive development.
. 50 .
Training sessions
Partners on the ground: Depending on the A Steering Committee consisting of UNDP, gov-
sub-sectors the following partners are recom- ernment, private sector and smallholder repre-
mended to start off the sub-sector programmes sentatives as well as donors and other support-
with. ers (for instance UNIDO, Nigerian Export Import
Bank, Bank of Industry or the African Business
Tomato: Lead Firm: Dangote; Farm groups: Round Table) should be established to govern
Kano state; Support organizations: IFCD (farm the programme.
support), UNIDO (infrastructure) and NIRSAL
(credits). The cost items need to be incorporated in the
eventual budget that will need to be prepared
Dairy: Lead Firm: Friesland Campina/WAMCO; for the formal ASDP project document.
Farmer groups: To be consulted; Support or-
ganizations: IFCD and IFAD (farm support) and Donors that were mentioned in the interviews
FMARD (infrastructure). and that need to be approached are:
For both sectors it is important to involve more • Bill & Melinda Gates Foundation, which is al-
lead firms and SMEs. For the M&E and knowl- ready supporting UNDP Nigeria;
edge development component the programme • DFID, which is also active in Nigeria and has a
could work with respected knowledge organi- special interest in trade development;
zations such as the Royal Tropical Institute (KIT) • IFAD, which is already supporting pro-
and/or local knowledge institutes/universities. grammes in Nigeria and is also a potential im-
plementing partner on the ground;
UNDP’s role: UNDP has a facilitating and incu-
• DGIS (Dutch embassy) which is supporting
bating role. It is mostly involved in the design
development through Dutch businesses
and incubation of the programme, collabora-
(Friesland Campina);
tion with the Nigerian government, fund raising
• UN basket funding (UNDP, UNIDO, UNCTAD
and overall coordination.
etc.);
Next to the Federal Ministry of Agriculture • Loans from African Development Bank (Proj-
(FMARD), and in particular the value chain ect Preparation Facility or Middle Income
leaders of dairy and tomato (and the other 2 Countries facility (MIC), Nigeria Export Import
sub-sectors), also the Federal Ministry of Trade Bank and/or Bank of Industry.
and Commerce and the Ministry of Finance will
play a facilitating role. FMARD’s role is providing
(extension) services, investing in infrastructure
and developing accommodating policies.
. 51 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
. 52 .
Training sessions
• The programme should embed sensitization activities in its plan to attract lead
firms.
• The Nigerian government should invest in creating an enabling environment for
respective lead firms (particularly infrastructure investments).
• The programme should (for the time being) refrain from working in these areas
until safety can be secured.
• NIRSAL is a potentially good partner that could bring in financial capacity and
access to banks (this needs to be validated).
• Sensitization of finance providers should be part of the programme.
. 53 .
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Session 13
Financing an ASDP
. 54 .
Training sessions
*Assumption is that programme materials from Latin America SPDs are available to this extent
. 55 .
ANNEX
© IFAD
Annex
Introduc*on
57
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Training programme
Introduc)on
Session
1.
Introduc*on:
par*cipants’
expecta*ons,
objec*ves
Block
A.
Agriculture
Supplier
development
programme
Session
2.
An
Agribusiness
Supplier
Development
Programme
Session
3.
Key
success
factors
Session
4.
What’s
in
it
for…..
World
Café
Block
B.
Stakeholders’
roles
and
responsibili)es
Session
5.
Stakeholders’
roles
and
responsibili*es
in
an
ASDP
58
Annex
Block
A.
Agribusiness
Supplier
Development
Programme
59
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
ASDP Rationale
Agriculture
contributes
>60%
to
FAO
es*mates
that
less
than
15%
of
Africa’s
total
arable
land
is
under
cul*va*on.
employment
and
>25%
to
GDP
in
SSA
60
Annex
“Eighty
per
cent
of
all
farms
in
Sub-‐Saharan
Africa
are
under
smallholder
produc9on
supplying
up
to
90%
of
the
food
produc9on
in
some
countries
(ASFG,
Livingstone)”
ASDP Definition
“An
ASDP
intends
to
improve
the
produc9vity
of
farmers
and
SME
agribusiness
suppliers
by
facilita9ng
support
(training,
advice,
access
to
inputs,
organiza9on,
standardiza9on
etc.)
and
linking
up
with
off-‐takers.”
61
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
ASDP Objectives
• Improve
the
supply
of
agricultural
products
by
farmers
and
SMEs
towards
market
quality
standards;
• Secure
and
offer
efficient
and
high
quality
agricultural
products
supply
to
off-‐takers;
• Contribute
to
the
development
of
the
na*onal
economy
by
developing
agricultural
products
that
can
subs*tute
imports
and
can
access
export
markets;
• Contribute
to
sustainable
development
goals,
including
food
security,
poverty
reduc*on
and
gender
equity,
through
job
crea*on
and
income
genera*on.
Supplier
1
1or2
Consultants
ASDP
Client
Supplier
Supplier 4
2
Supplier
3
62
Annex
• ASDP
should
be
in
line
with
na*onal
and
regional
policies;
• Availability
of
markets
in
the
form
of
commiked
off-‐takers;
• The
availability
of
poten*al
and
commiked
suppliers;
• Collabora*on
with
and
integra*on
of
projects
and/or
other
service
suppliers;
• A
suppor*ng
and
applied
informa*on
system;
• The
availability
of
skilled
consultants
to
support
the
supply
chain
projects;
• Commitment
of
the
financial
sector
to
develop
suitable
financial
products;
• Public
funding
for
financing
the
programme;
• Profitability
and
profit
margin
within
the
supply
chain.
Discuss
in
sub-‐groups
the
Kenya
Soy
Bean
Sub-‐Sector
case
Study
and
assess
whether
success
factors
are
(using
the
table)
– In
place
– Not
in
place
but
likely
to
be
realized
by
ASDP
– Not
in
place
and
not
likely
to
be
created
63
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
s
IES
te le
Sh
SC c t
ER
discussions.
principles for
for in
Exp
toge hts
LISTE r
hosting
the
sig
conversation
that matter e
Con rag
d
nec cou ne’s NS
PER ivers t En ryo TIO
SPE e
CTI eve RIBU
VES NT
CO
Sources: hkp://www.theworldcafe.com"
64
Annex
What’s in it for……?
65
• Secured
/
increased
access
to
African Agribusiness Supplier Development
markets
Programme (AASDP) Training Manual
• Increased
produc*vity
• Secured
/
increased
income
What’s in it for…farmers
• Increased
food
security
• Secured
/increased
access
to
markets
• Access
to
• Increased
produc*vity
(financial)
• Secured
/
increased
income
• Increased
food
security
services/ • Access
to
(financial)
services/support
support
• Increased
knowledge/capacity
• Increased
• Improved
policies/government
support
knowledge/
capacity
• Improved
policies/
government
support
3/19/2014
African
Facility
for
Inclusive
Markets
(AFIM)
19
66
Annex
Block
B.
Stakeholders’
roles
and
responsibili+es
67
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Off-‐takers
UNDP
CO
Government
Implemen*ng
partner
Farmers
/
Service
Suppliers
providers
Exercise: functions
In
groups
of
6,
akribute
each
card
(func*on)
to
one
of
the
following
stakeholder:
– Small
suppliers
(producers)
and
SMEs
– Off-‐takers
– Service
providers
– Implemen*ng
partner
– Government
– UNDP
CO
Are
there
any
other
func*ons
you
could
think
of?
68
Annex
Off-takers
Provide
market
Communicate
Inform
Train
on
the
job
Pay
in
*me
Access
to
finance
Access
to
quality
inputs
Invest
Service providers
Provide
(improved)
services
(GAP,
inputs,
standardiza*on,
finance,
group
forma*on,
ICT
etc.)
69
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Farmers / suppliers
Get
organised
Improve
prac*ces
Supply
quality
products
Respect
contracts
Communicate
Invest
Implementing partner
70
Annex
Government role
UNDP CO
71
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
4.
Supply
chain
planning Monitor
supply
chain
project
plans;
Contract
off-‐
takers
and
suppliers
and
other
partners.
72
Annex
73
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Supplier
1
1or2
Consultants
ASDP
Client
Supplier
Supplier 4
2
Supplier
3
Block
C.
Phases
of
an
ASDP
74
Annex
Session 6. Feasibility
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
Feasibility
Ac+vity
Milestone
Government
consulta*ons
Pre-‐selected
poten*al
sub-‐sectors
in
line
with
governmental
policies
and
UNDP
objec*ves
Shortlis*ng
poten*al
sub-‐sectors
Commitment
from
na*onal
government
partners
Feasibility
study
in
a
country
ASDP
for
Feasibility
report
and
roadmap
for
shortlisted
sub-‐sectors
sesng
up
an
ASDP
75
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Discuss
in
groups
:
Which
commodi*es
are
suitable
for
developing
an
Agribusiness
Supplier
Development
Programme?
(use
table
next
slide)
76
Annex
Programme preparation
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
Programme preparations
Ac+vity
Milestone
Development
of
a
programme
Na*onal
ASDP
programme
plan
in
document
and
strategy
place
Training
and
selec*on
of
supply
chain
Base
of
trained
supply
chain
consultants
consultants
Commisng
off-‐takers
and
other
key
Commitment
of
off-‐takers
and
other
partners
key
partners
(formalized
through
an
LoI)
77
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
Ac+vity
Milestone
Analysing
constraints
and
opportuni*es
Pre-‐selected
poten*al
sub-‐sectors
in
based
on
value
chain
analysis,
line
with
governmental
policies
and
Livelihoods
analysis
(including
UNDP
objec*ves
environment
condi*ons),
Gender
analysis
Repor*ng
constraints
and
All
required
forms
for
the
informa*on
opportuni*es
in
off-‐takers’
chains
system
filled
in/accepted
(indica*ng
constraints
and
opportuni*es
for
an
ASDP)
78
Annex
Chain actors
79
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
80
Annex
• To
gain
a
gender-‐sensi*ve
picture
of
the
value
chain,
the
actors
involved
and
the
percentages
of
men
and
women
in
each
segment.
• To
gain
insight
into
the
differences
between
men
and
women
in
terms
of
their
ac*vi*es,
and
their
access
to
and
control
over
resources.
• To
iden*fy
opportuni*es
for
women
to
upgrade
their
posi*on.
• To
iden*fy
constraints
and
opportuni*es
for
women
to
par*cipate
in
the
value
chain
as
well
as
analyse
differences
in
power
in
the
value
chain
governance.
81
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
• Make
invisible
women
stakeholders
visible
by
pusng
coloured
cards
on
the
actor
mapping.
• Ac*vity
mapping:
iden*fy
which
ac*vi*es
in
the
value
chain
are
done
by
men,
and
which
by
women?
Give
special
emphasis
to
ac*vi*es
that
generate
value
or
improve
quality.
• Iden*fy
opportuni*es
and
constraints
for
women.
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
82
Annex
Ac+vity
Milestone
Selec*ng
strategies
and
business
Clear
strategy/business
model
for
the
models
respec*ve
supply
chain
Developing
implementa*on
plans
Validated/approved
supply
chain
including
interven*ons:
development
plans
-‐ *ming
-‐ responsibili*es
-‐ required
extra
investments
-‐ milestones
Sesng
up
and
signing
chain
Signed
chain
partnership
agreements
partnership
agreements
aiming
at
between
suppliers,
off-‐takers
and
sesng
up/improving
supply
chain
other
support
organiza*ons
(NGOs,
rela*ons
banks
etc.).
83
African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Planning exercise
Based
on
the
results
of
the
Supply
Chain
Diagnos*c
exercise
(constraints
and
opportuni*es),
in
the
same
sub-‐groups:
Iden*fy
ac*ons
that
could
be
ini*ated
to
enhance
the
supply
chain,
i.e.
to
ensure
markets
for
smallholders
and
to
ensure
supply
to
Lead
Firms.
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Annex
Activity planning
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1
1
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
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African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Ac+vity Milestone
Carrying
out
interven*ons
Interven*ons
successfully
implemented
(Milestones
defined
in
Supply
chain
development
plans)
Implementation exercise
Iden*fy
ac*ons
in
the
case
study
that
were
ini*ated
to
enhance
the
supply
chain
(similar
to
the
previous
sessions).
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Annex
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
Phasing out
Ac+vity
Milestone
Developing
and
implemen*ng
phasing
Phasing-‐out
strategies
at
supply
chain
out
strategies
for
the
supply
chain
level
in
place
projects
and
eventually
the
ASDP
programme
Phasing-‐out
strategy
at
programme
level
in
place
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African Agribusiness Supplier Development
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Phasing-out exercise
Phasing out
Sustained
Impact
Sustainable
Supply
Chains
Enabling
environment
Sustained
service
Sustained
Sustained
delivery supply demand
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Annex
1.
Feasi-‐
-‐ 2.
Pre-‐ 3.
Diag-‐ 4.
Plan-‐ 5 Imple-‐ 6.
Phasing
bility
para*on nos*cs ning menta*on out
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African Agribusiness Supplier Development
Programme (AASDP) Training Manual
Ac+vity
Milestone
Informing
stakeholder
on
progress
on
Annual
progress
reports
of
the
the
development
and
the
programme
and
projects
implementa*on
of
the
ASDP
Informing
stakeholders
on
Mid-‐term
and
impact
evalua*ons
achievements
of
the
ASDP
(outcomes
and
impact)
M&E exercise
Read
the
case
study,
reflect
on
the
3
situa*ons
(1
per
group)
and
answer
the
following
ques*ons:
90
Annex
Over-production
• In
order
not
to
harm
rela*ons
with
the
farmers,
SLBL
decided
to
buy
the
overproduc*on.
• In
subsequent
years
this
problem
was
solved
by
introducing
produc*on
quotas.
• Memoranda
of
Understandings
are
now
signed
on
quotas
for
the
nucleus
farmers.
• The
lesson
learned
is
to
clearly
manage
and
communicate
required
volumes.
• This
almost
made
the
project
fail
and
raised
costs
for
SLBL.
Monopoly situation
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African Agribusiness Supplier Development
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• It
is
in
SLBL’s
interest
to
make
sure
all
farmers
benefit,
not
only
to
secure
supply
but
also
for
the
social
drivers
of
local
sourcing.
• SLBL
now
checks
the
prices
that
out-‐growers
receive,
and
makes
sure
they
benefit
substan*ally
from
producing
sorghum.
• Nucleus
farmers
receive
a
set
price
they
have
to
pay
the
out-‐growers,
and
this
is
monitored
by
SLBL
staff.
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Annex
IV. Roadmap
• Socio-‐economic
development
poten*al
of
an
ASDP
• Recommended
strategic
framework:
purpose,
objec*ves,
ac*vi*es
• Next
steps
/
ac*on
plan
• Risk
assessment
• Budget
Exercise:
• In
plenary:
brainstorm
about
the
cost
items
of
an
ASDP.
• Read
the
case
study
• Par*cipants
discuss
possible
ways
of
funding
(work
in
couples,
5
minutes).
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African Agribusiness Supplier Development
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Funding mechanisms
Thank you!
94
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