My OperaJoint Project of Agribusiness Support Fund Lahore and Aga khan Rural Support Program Gilgit
Friday, October 10, 2008 8:14:20 AM
Introduction to ASF
ASF Concept
International experience indicates that the viability and profitability of agribusiness enterprises depends on the speed at which they are able to build within themselves the different skills, know-how, expertise, and market understanding required by a fast-changing economic environment.
An effective method for building these capacities within the agribusiness enterprise is to buy in external BDS.
Mission:
To support economic growth and employment generation through agribusiness development
Focus
Overall focus of the ASF is to strengthen and support demand-driven private sector service delivery mechanisms throughout the agribusiness value chain including supply inputs, production, processing, and market access for domestic and export markets. The specific focus is on horticulture and hortibusiness and livestock and dairy business.
Specific Objectives
To enable agribusiness enterprises to effectively utilise business development services (BDS) to enhance productivity, product and market diversity and penetration, and profitability.
To enhance BDS providers’ capacity to reach agribusiness enterprises through the delivery of varied and effective services.
Categories of ASF Grants:
Any service that leads to outputs for a new, specifically identified market or that develops new products or adds value to existing products are eligible for ASF funding. ASF grant funding is broadly categorized as follows:
Capacity building and related assistance to agribusiness enterprises and for start-up enterprises. The grants are provided to agribusiness enterprises for purchase of BDS.
Support to private sector BDS providers to enhance the availability and quality of services to agribusiness enterprises.
Support to individual farmers and farmer groups for the formation of agribusiness enterprises that can then obtain ASF support for eligible services.
Demand-driven research by private or public institutions leading to enhanced quality production and improved production processes, or to meet an identified market demand.
Development of private sector extension services to be provided to farmers serving or proposing to serve agribusiness enterprises.
AMOUNT OF GRANT
Eligible enterprises are required to finance 50% of the cost of services employed; the remaining 50% will be contributed by the ASF as a grant on a reimbursable basis.
The ASF finances 100% of the costs of farmers’ group enterprise formation.
Conditions
Need to demonstrate that the purchase of such services will lead to clear improvements in enterprise productivity, market penetration, product diversity that in turn leads to increased profitability.
Services that simply increase output of existing products (except for clearly identified market outlets) will not be eligible for grants and grants will not be available for fixed asset or capital investment.
ASF APPROACH:
Demand-Driven
Value-Chain Focused
Technology-Based
Impact Oriented
Sustainability
Examples
Services
Inputs
Technical
R&D
Market info & logistics
Testing
Regulatory and financial
Transportation
Quality assurance
Providers
Input suppliers
Consultants
Research organizations
Exporters, brokers
Laboratories
Lawyers/accountants
Truckers/cargo handlers
Certifying bodies
EXPECTED IMPACT
Creation of commercially viable agribusiness enterprises
Meet consumer demand for product uniformity, presentation and continuity of supply
Enhance Pakistan’s reputation for standards compliant agriculture produce
Develop the demand for and supply of private sector BDS and Research & Extension
Empower small farmers by developing numerous farmers’ group enterprises
Increase access to agribusiness finance by enhancing technical, managerial, financial and marketing skillsGenerate employment, enhance incomes and alleviate poverty
Introduction to AKRSP
Aga Khan Rural Support Programme (AKRSP) is a not for profit organization established by Aga Khan Foundation in 1982 with the mandate to improve the living condition of the people of the Northern Areas and Chitral using the participative development approach. Building on the capacities and capability of the local people AKRSP was able to mobiles the local people to take up the development agenda by organizing of more then 4000 grass-root organization called Village and Women Organizations (V/WOs) covering more then 70% of the total household in the programme area.
The Memorandum of Understanding dated November 13, 2006 is drawn between Agribusiness Support Fund (ASF) and The Aga Khan Rural Support Programme (AKRSP) to start the project in Northern Areas and Chitral.
154 Farmers Enterprise Group have been formed by AKRSP under the support of ASF. Total no of 105 Farmers Enterprise Group from Gilgit, 17 from Baltistan, 30 from Chitral have been approved by ASF Lahore and the total grant approved for the FEGs are Rs. 15,504,884.
AKRSP with the collaboration of ASF has worked in different sector especially in horticulture .i.e. apricot drying through Turkish method, establishment of green houses, establishment of fruit Nurseries and apple packaging etc. Besides these AKRSP has initiated to work on new agribusiness opportunities .i.e. Mushroom production and its marketing by women entrepreneurs, Kilao (a local product of District Ghizer) processing and marketing and grapes rootstock imported from china and planted in District Gilgit.
Enterprise Section of AKRSP has been arranged training workshops for the capacity building of Farmer Entrepreneurs in book keeping and technical training in apricots drying, and green house management etc.
ASF Concept
International experience indicates that the viability and profitability of agribusiness enterprises depends on the speed at which they are able to build within themselves the different skills, know-how, expertise, and market understanding required by a fast-changing economic environment.
An effective method for building these capacities within the agribusiness enterprise is to buy in external BDS.
Mission:
To support economic growth and employment generation through agribusiness development
Focus
Overall focus of the ASF is to strengthen and support demand-driven private sector service delivery mechanisms throughout the agribusiness value chain including supply inputs, production, processing, and market access for domestic and export markets. The specific focus is on horticulture and hortibusiness and livestock and dairy business.
Specific Objectives
To enable agribusiness enterprises to effectively utilise business development services (BDS) to enhance productivity, product and market diversity and penetration, and profitability.
To enhance BDS providers’ capacity to reach agribusiness enterprises through the delivery of varied and effective services.
Categories of ASF Grants:
Any service that leads to outputs for a new, specifically identified market or that develops new products or adds value to existing products are eligible for ASF funding. ASF grant funding is broadly categorized as follows:
Capacity building and related assistance to agribusiness enterprises and for start-up enterprises. The grants are provided to agribusiness enterprises for purchase of BDS.
Support to private sector BDS providers to enhance the availability and quality of services to agribusiness enterprises.
Support to individual farmers and farmer groups for the formation of agribusiness enterprises that can then obtain ASF support for eligible services.
Demand-driven research by private or public institutions leading to enhanced quality production and improved production processes, or to meet an identified market demand.
Development of private sector extension services to be provided to farmers serving or proposing to serve agribusiness enterprises.
AMOUNT OF GRANT
Eligible enterprises are required to finance 50% of the cost of services employed; the remaining 50% will be contributed by the ASF as a grant on a reimbursable basis.
The ASF finances 100% of the costs of farmers’ group enterprise formation.
Conditions
Need to demonstrate that the purchase of such services will lead to clear improvements in enterprise productivity, market penetration, product diversity that in turn leads to increased profitability.
Services that simply increase output of existing products (except for clearly identified market outlets) will not be eligible for grants and grants will not be available for fixed asset or capital investment.
ASF APPROACH:
Demand-Driven
Value-Chain Focused
Technology-Based
Impact Oriented
Sustainability
Examples
Services
Inputs
Technical
R&D
Market info & logistics
Testing
Regulatory and financial
Transportation
Quality assurance
Providers
Input suppliers
Consultants
Research organizations
Exporters, brokers
Laboratories
Lawyers/accountants
Truckers/cargo handlers
Certifying bodies
EXPECTED IMPACT
Creation of commercially viable agribusiness enterprises
Meet consumer demand for product uniformity, presentation and continuity of supply
Enhance Pakistan’s reputation for standards compliant agriculture produce
Develop the demand for and supply of private sector BDS and Research & Extension
Empower small farmers by developing numerous farmers’ group enterprises
Increase access to agribusiness finance by enhancing technical, managerial, financial and marketing skillsGenerate employment, enhance incomes and alleviate poverty
Introduction to AKRSP
Aga Khan Rural Support Programme (AKRSP) is a not for profit organization established by Aga Khan Foundation in 1982 with the mandate to improve the living condition of the people of the Northern Areas and Chitral using the participative development approach. Building on the capacities and capability of the local people AKRSP was able to mobiles the local people to take up the development agenda by organizing of more then 4000 grass-root organization called Village and Women Organizations (V/WOs) covering more then 70% of the total household in the programme area.
The Memorandum of Understanding dated November 13, 2006 is drawn between Agribusiness Support Fund (ASF) and The Aga Khan Rural Support Programme (AKRSP) to start the project in Northern Areas and Chitral.
154 Farmers Enterprise Group have been formed by AKRSP under the support of ASF. Total no of 105 Farmers Enterprise Group from Gilgit, 17 from Baltistan, 30 from Chitral have been approved by ASF Lahore and the total grant approved for the FEGs are Rs. 15,504,884.
AKRSP with the collaboration of ASF has worked in different sector especially in horticulture .i.e. apricot drying through Turkish method, establishment of green houses, establishment of fruit Nurseries and apple packaging etc. Besides these AKRSP has initiated to work on new agribusiness opportunities .i.e. Mushroom production and its marketing by women entrepreneurs, Kilao (a local product of District Ghizer) processing and marketing and grapes rootstock imported from china and planted in District Gilgit.
Enterprise Section of AKRSP has been arranged training workshops for the capacity building of Farmer Entrepreneurs in book keeping and technical training in apricots drying, and green house management etc.
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