ITALIAN ASSISTANCE TO THE AGRARIAN REFORM COMMUNITY DEVELOPMENT SUPPORT PROGRAM (IARCDSP) Synthesis of the Program Document

Transcription

1 1 ITALIAN ASSISTANCE TO THE AGRARIAN REFORM COMMUNITY DEVELOPMENT SUPPORT PROGRAM (IARCDSP) Synthesis of the Program Document

2 2 COUNTRY TITLE SECTORS FINANCING CHANNEL EXECUTING AGENCY DURATION ITALIAN (66%) CONTRIBUTION PHILIPPINE CONTRIBUTION (34%) PHILIPPINES ITALIAN ASSISTANCE TO THE AGRARIAN REFORM COMMUNITY DEVELOPMENT SUPPORT PROGRAM (IARCDSP) POVERTY REDUCTION RURAL DEVELOPMENT LOAN: BILATERAL GRANT: Ministry Of Foreign Affairs / General Direction on Development Cooperation (MAE/DGCS) LOAN: DEPARTMENT OF AGRARIAN REFORM (DAR) GRANT: MAE/DGCS 6 YEARS SOFT LOAN PART 3 YEARS GRANT PART LOAN: GRANT: OVERALL AMOUNT INTRODUCTION The initiative, called Italian Agrarian Reform Community Development Support Program (IARCDSP), aims at reducing poverty in the rural areas of Mindanao, through the support at the Agrarian Reform implemented by the Government of the Philippines. The program also aims to the development of agricultural production through to the introduction of improved farming practices. Mindanao s agriculture produces over 40% of the Philippines food requirement and contributes for more than 30% of the national food trade. The region is ideal for year round crop production due to its fertile soil, abundant water resources, evenly distributed rainfall and tropical climate. However, despite its potentials, many of its resources are still untapped and underdeveloped. This is due to the almost 25 years of instability of the place, which has made inaccessible investments coming from the government, as well as from the private sector, for many local Communities. Consequently most of its provinces remained economically depressed and stagnant with high unemployment rate and lack of income opportunities. Lack of basic needs, particularly education and social services are affecting the peoples in many Mindanao rural areas. In synthesis, the program will focus on supporting integrated development for the Agrarian Reform Beneficiaries in order to increase their incomes and quality of life. The program also aims to contribute at the strengthening of the peace process in Mindanao in the previously conflict affected communities; giving them the possibility, with concrete actions, to accelerate their rehabilitation and development.

3 3 LEGAL FRAMEWORK The Italian initiative is in line with: (i) the Millennium Development Goals, focused on eradicating extreme poverty and hunger, (ii) the Medium Term Philippine Development Plan, aiming at fighting poverty through strategic measures geared to open up more economic opportunities, (iii) the Medium Term Development Plan for Agrarian Reform. The Program is also in line with the on going peace process in Mindanao, in particular within the Autonomous Region in Muslim Mindanao (ARMM). It is reinforcing this process with development concrete actions for the Agrarian Reform Beneficiaries in order to permit them to increase their quality of life. BENEFICIARIES The beneficiaries are 35 Agrarian Reform Communities (ARCs) located in 4 provinces of Mindanao, 2 within the Region XII, in Sarangani and Sultan Kudarat and 2 within the ARMM region, in Maguindanao and Lanao Sur. The selection of the beneficiaries was done in collaboration with all involved stakeholders and prioritizing the Communities with high incidence of poverty. The direct beneficiaries of the program are about 18,000 households of Agrarian Reform Beneficiaries (ARBs) which have an average farm size of 2.3 ha. The total agriculture area involved by the Program is about 41,000 Ha. OVERALL AND SPECIFIC OBJECTIVES The program overall objective is to contribute to improve the living condition of rural families in 4 provinces of Region XII and ARMM in Mindanao. In order to attain this objective, the program purposes are the following: Household incomes in 35 Agrarian Reform Communities (ARCs) have increased and stabilised. The access to key services in 35 ARCs have enhanced. RESULTS The expected outcomes to be attained during the program implementation are the following: Production in rural and coastal ARCs has been increased and stabilized and total costs have been reduced. Viable market opportunities have been developed both for traditional agriculture and for new cash crops/ sea products. ARBs organizations have been strengthened and have improved the amount and quality of support services to their members. LGUs have been strengthened and have improved their capacity of prioritizing, designing and implementation of projects. Isolation of ARC has significantly decreased. Access to basic services in the targeted areas has significantly improved. ACTIVITIES In order achieve as follows results the program has been divided into the following four components:

4 4 Agricultural and Enterprise Development Support Community Infrastructure Development Support Local Capacity Building Support Program Management The Agrarian and Enterprise Development Support component provides support to ARBs in order to increase and stabilise the production, develop new market opportunities, promote the use of improved technologies, improve crop diversification and create new entrepreneurial activities, according to the farmers needs. Great part of the activities will be implemented using micro finance instruments This component is implemented through 5 main activities: Livelihood Provision Enterprise Development and Management Market Development and Commercialization Support to CARP for sub division of collective titles Protection of Environment The Community Infrastructure Development Support component will include the following activities concerning production, access and social infrastructures: Construction/ rehabilitation of Rural Roads and Bridges Construction/ rehabilitation Irrigation Systems Construction of Potable Water System Construction of Post Harvest Facility Construction of Other Community Infrastructures The infrastructures will be built according with the needs of the identified 35 ARCs. According to the cost sharing national policy, about 50% of the infrastructures value will be financed by the Italian soft loan and will be delivered to the beneficiaries as a grant, while the remaining value will be financed, as equity, by the involved Local Government Units and direct beneficiaries. The Local Capacity Building Support component aims at enhancing effective rural development services for farmers. This component is addressed to Farmer Organizations, Cooperatives, Provincial and Municipal Local Government in order to strengthening their capacity to delivery appropriate services to the farmers. The component also aims to reinforce the effectiveness and the efficiency of Farmers Associations and Local Government Units. This component will be implemented through the following activities: Strengthening of farmer beneficiaries' organizations and community development Training for Implementers of Local Government Units Provision of equipment for Local Government Units The Program Management component will ensure the implementation of the operative components, according to the established procedures and will guarantee the Monitoring and Evaluation of the program through several levels (Central, Regional and Provincial) of

5 5 Program Management Unit (PMU). This component foresees a specialized Italian Technical Assistance made by international experts in several sectors. This component foresees as follows activities: Identification/Validation of Project Sites Preparation of ARC Development Plans, Program Investment Plan and Work and Financial Plan Preparation, Evaluation, Appraisal and Approval of Sub Project Proposals (SPPs) Sub Project Implementation and Monitoring Sub Project Completion and Turn over SUSTAINABILITY The present program ensures a high level of sustainability, since the implementation of the activities is largely under the responsibilities of the Pilipino Executing Agency, Department of Agrarian Reform, the partner Agencies (Department of Agriculture, National Irrigation Administration, etc.), and the participation of all beneficiaries is guaranteed. In particular, the cost sharing policy ensures a high participation of the Government of Philippines in all the program components. The Italian Technical Assistance (TA) will be focused on strengthening the existing capacities at the decentralised level of DAR (and partner agencies), and upgrading and reinforcing the capacities at Local Government Units and Farmers Organizations level.