Public Disclosure Authorized. Public Disclosure Authorized. Public Disclosure Authorized. Public Disclosure Authorized. Report No.

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1 Report No. PID5987 Project Name Turkey-Sanliurfa and Harran Plains (+)... Onfarm and Village Development Project Region Sector Project ID Borrower Europe and Central Asia Agriculture and Rural Development TRPA4190 Republic of Turkey Implementing Agencies Southeastern Anatolia Project (GAP) Administration General Directorate for Rural Services (GDRS) Project Appraisal December 1997 Projected Board Date May Country Sector Background: Approximately 41% of Turkey's population of about 65 million people live in rural areas. There are considerable regional income disparities, with rural incomes in general lower than urban incomes, and incomes in Eastern and parts of Central and Northern Turkey below those in the west and along the Mediterranean. Social indicators, of literacy, life expectancy and infant mortality, are also poorer in these areas. Over the past 20 years the government has implemented a very large program to exploit Southeastern Turkey's water resources and overcome regional income disparities; the large infrastructure works have been completed, and further local investments are now necessary to ensure that the large projects' benefits are realized. 2. The Agricultural Sector: Agriculture contributes 15% of GDP but provides for 42% of employment and 14-20% of exports. Together with agro-industry and textiles it contributes 55% of exports. The sector is large and highly diversified, with sophisticated horticultural production in the coastal areas, and cereal and livestock-based systems in the center and east. Turkey is a major world producer of several specialized crops, such as apricults, hazelnuts and lentils. The sector is characterized by small-scale commercial farms, with landholding averaging 6.5 ha. Women form a major part of the agricultural workforce. Rainfall is less than 500 mms over most of the country and is unreliable; there are thus wide fluctuations in annual production, with growth averaging % per annum during , but negative because of poor weather in and Because of political pressures to start too many projects, a frequent problem has been to complete onfarm development and support services. 3. Project Area: The project area comprises 150,000 ha of land recently developed for irrigation in Sanliurfa province in Southeastern Anatolia. The incomes of the 200,000 people living in the project area's 400 villages and settlements are well below the national average. Social conditions are poor. Farm support

2 services are not well developed, although they are very important in this area, where the population has relatively little experience with sustainable improved farming technologies. Population growth in the area is rapid, and there is little or no land use planning. 4. Project Objectives: The project objectives are to support the development of sustainable agriculture on the Harran and Sanliurfa Plains, laying the basis for an increasing local incomes and the development of a viable regional economy. Monitorable objectives would include (i) increased efficiency in agriculture, as measured by reduced land fragmentation and leveled ha of land, and kilometers of access roads; (ii) improved technologies, as measured by adoption rates and crop yield; and (iii) improved village infrastructure, as measured by the increased number of families with adequate drinking water and kilometers of village roads constructed and upgraded; (iv) improved land management, as measured improved pest management, reduction in crop water use and alkaline soil restored. 5. Project Description: Project components include: Land Development (US$ 45 million) -- Land consolidation and land use planning on 100,000 ha (US$ 6m) -- Farm access roads (US$ 10m) -- Land leveling (US$ 20m) Improved land management (US$ 11 million) -- Restoration of alkaline soils (US$ 4m) -- Pest management (US$ 1.5m) -- Cadastral management (US$ 0.5m) -- Farmer training/extension services contracting (US$ 5m) Village Infrastructure (US$ 40 millions) -- New/upgraded village drinking water (US$ 20m) -- Upgraded village roads (US$ 20m) Management and Monitoring (US$ 4 millions) -- Project management (US$ 2m) -- Monitoring and evaluation (US$ 2m) 6. Project Costs and Financing: Total project costs are estimated at US$ 100 million including price and physical contingencies. An IBRD loan of US$ 60 millions is envisaged. 7. Implementation: Project implementation would be decentralized to the local level as far as possible, and coordinated by the Southeastern Anatolia Project (GAP) Administration. The GAP Administration, with headquarters in Ankara and a regional directorate in Sanliurfa, is responsible for overall planning in the GAP area as well as commissioning regional based studies in sectors such as agriculture, industry, energy, transportation, public services and housing. Other implementing agencies would include the General Directorate for Rural Services (GDRS), and the General Directorate for Agricultural Reform (GDAR). Precise implementation arrangements would be worked out during project preparation

3 8. Project Sustainability: One of the project's main objectives would be increase to sustainability, by supporting more environmentally sustainable soil and water management and the transfer of responsibility for operating and maintaining irrigation systems to users' organizations. The project would also pilot cost sharing arrangements for agricultural extension and contracting private and NGO extension services. There would be a high degree of stakeholder participation in preparation and implementation, further increasing the changes of sustainability. 9. Lessons Learned: Project implementation in Turkey has indicated that area-focused projects, with limited objectives and a high degree of local commitment generally perform better than national projects implemented by central agencies. 10. Poverty Category: This project has been identified as high priority by both the technical and the central agencies including the State Planning Organization (SPO), and would be part of the program of targeted poverty interventions indicated in the 7th Five Year ( ) plan prepared by SPO. 11. Environmental Aspects: A rating of "B" is proposed for the project. The project would have a positive affect on the environment by supporting improved land and water management (through land leveling and consolidation, and support for more sustainable use of inputs). Areas of particular concern during preparation will include us of integrated pest management (IPM) and participation of stakeholders in project design and implementation. 12. Program Objective Categories: The project would help alleviate poverty in one of Turkey's poorer provinces and promote sustainable development. It would address the following Bank program categories: (i) institutional building, through supporting water users' organizations and more effective delivery of farm support services; (ii) poverty alleviation, through improving income earning opportunities from farming; (iii) and improved natural resources management by supporting improved land, water and input use. Women play a major role in farming in Turkey, and project design would be adapted to their requirements, particularly regarding the agricultural extension and drinking water components. 13. Participatory Approach: There would be broad participation of stakeholders, including village group, local NGOs and the local authorities, in project preparation, design and implementation. The participatory approach would be defined by the preparation team but is likely to be an adoption of the "farmer-centered problemcensus-problem-solving" approach already used in projects in rural Turkey. 14. Project Benefits: The main benefits would be increase crop production, better drinking water, more sustainable land and water use, and increased incomes for the population. The project would also enable more efficient utilization of existing infrastructure investments. -3-

4 Contact Points: Nedret Durutan, Task Manager The World Bank/Turkey Ataturk Bulvari 211 Gama Guris Building Kat Kavaklidere Ankara-Turkey telephone fax GAP Administration Karli Sokak Ankara, Turkey - 4 -

5 Annex Environment The project would have a positive effect on the environment. It would improve sustainable natural resource management by supporting improved land and water management and input use. Local environmental impacts associated with irrigation will be migitated by incorporating measures in project design like land leveling, land consolidation, improved agricultural technologies (sustainable cropping patterns and agronomic package including integrated pest management). The project will also restore alkaline soils. Environmental and social issues to be addressed include minimizing of soil disturbance during earthworks for land leveling and village roads and ensuring successful stakeholder participation in project preparation, cost sharing and implementation. Environmental analysis would include assessment of soil and water quality and soil erosion in the area, current land use for conservation and other purposes, and assessment of pesticide and fertilizer management issues. The result of these analyses would contribute to project design and implementation, monitoring would include soil and water quality monitoring. - 5-