Achats P4P pour le progrès Faire le lien entre les agriculteurs et les marchés This presentation is intended to provide general information on P4P and is divided into two parts: Provide an overview of what is P4P What are our goals and Where we are at with the implementation

Qu’est-ce que P4P ? Accès aux marchés agricoles et compétitivité Purchase for Progress is about people like Adilio Jesus (Adilio’s story) Adilio de Jesus is 26 years old and a farmer in El Salvador. His passion is working the land, but it’s a challenging choice - he does not own land. He has to rent it every season and growing basic grains, like maize and beans, in El Salvador is not a profitable activity. In 2009, Adilio’s farmers association, El Pesote, was selected to join Purchase for Progress, As part of the project the 64 members of the organization have been receiving technical assistance provided by WFP’s partners to improve their farming techniques, they had access to seed capital to establish a revolving credit fund to allow members to buy good quality seeds and fertilizers, they are been trained in post-harvest handling, standards of quality and organizational management. As a result, El Pesote members were able make a contract with WFP to sell 97 metric tons of maize. Abilio sold 80 quintals (3.6 MT) of maize. “If I had sold my crops to the regular traders that come here at the harvest I would have made just enough to cover my costs”, said Adilio Jesus. “Instead, by selling to WFP I made a US$500 net profit.” All members of the El Pesote organization admit that they had a lot more work to be able to sell to WFP than to the local middlemen also known as ‘coyotes’. They had to sort, clean and bag the maize manually. But according to them it was worth it. “This project makes it worth it doing what I like to do, farming. We work hard but we are rewarded for our work”, said Adilio. Encouraged by this success, Adilio is now planning to rent additional land for next agricultural season and his association is negotiating a loan to expand their warehouse and infrastructure to be able to serve their members. Rewarding farmers for their agricultural work is at the core of Purchase for Progress – a project that by the end of 2009 has started implementation in 19 of the 21 selected pilot countries. Each country has a specific set of circumstances and different models to support smallholder farmers and promote agricultural markets that are emerging. Accès aux marchés agricoles et compétitivité Liens avec les partenaires d'approvisionnement Apprentissage et partage d'expériences

VISION P4P vise à promouvoir le développement de marchés agricoles afin que, d'ici 2013, au moins 500 000 petits agriculteurs à faibles revenus, en majorité des femmes, produisent des excédents alimentaires et les vendent à un prix équitable pour augmenter leurs revenus..  

Principes de développement du projet Demande PAM Nouvelles modalités de marchés publics Marchés publics compétitifs en faveur des petits agriculteurs Contrats directs Contrats d'avance Partenaires d'approvisionnement Expertise technique Développement des capacités Émancipation des femmes Apprentissage et partage Suivi et évaluation Enseignements/bonnes pratiques Politique d'information What is P4P? There are three fundamental components, or pillars, to a P4P programme: Strong supply-side partnerships- aimed at strengthening both the productivity levels of small and low-income farmers and their participation in markets. Working with supply-side partners who specialize in enhancing agricultural productivity, P4P will improve farmers’ access to technologies and practices that can enhance the quantity and quality of their crop production. Innovative procurement modalities to intervene in markets-will ensure farmers find an adequate and fair market for their produce. WFP is focused on markets because we can offer the demands that will allow farmers to increase their sales and income. Rigorous monitoring and evaluation system- designed to effectively assess the impact of P4P on livelihoods and markets. P4P is therefore not just defined by the “source” of the food (i.e. small and low-income farmers) but by a much broader, holistic approach to procurement, agricultural productivity and market strength. P4P looks at the entire value chain: supply-side interventions through partnerships; market intervention through innovative procurement modalities; and monitoring and evaluation to assess the impact of P4P on livelihoods and markets through lessons learned. Cross-cutting activities: Partnerships & Training; Monitoring and Evaluation; Policy Advice & Advocacy Les meilleures pratiques seront intégrées aux procédures locales de marchés publics du PAM d'ici la fin de l'étape pilote. Les achats P4P se basent sur des marchés publics locaux. Marchés publics locaux PAM : fondement de P4P Les principes d'approvisionnement alimentaire acceptable, opportun et rentable sont maintenus.

Objectifs Identifier et partager les bonnes pratiques pour le PAM, les ONG, les gouvernements et les parties prenantes sur les marchés agricoles afin d’encourager une implication profitable sur les marchés. Améliorer les capacités afin d'augmenter les revenus des marchés agricoles. Augmenter les ventes des agriculteurs au PAM. Transformer les programmes d'achat de nourriture du PAM. The overall objectives for Purchase for Progress, focusing on low income and small scale farmers (and under development regionally), are to: Identify and share best practices for WFP, NGOs, governments and agricultural market stakeholders to increase profitable engagement in markets Increase farmers’ capacities in order to raise their income from agricultural markets Identify and implement best practices for increasing sales by low-income farmers to WFP Transform the WFP food purchase model in a way that supports sustainable production and addresses the root cause of hunger The objectives and activities will be fine-tuned in country office action plans depending on the context. Next Slide: Activities P4P se focalise sur les petits fournisseurs et les agriculteurs à faibles revenus.

Où avons-nous acheté en 2009 ? Europe  809 280 mt 221 460 293 USD Amérique du Nord  62 942 mt 28 464 506 USD Asie 1 079 465 mt 438 258 374 USD Amérique latine 62 717 mt 47 869 489 USD Afrique 590 222 mt 228 444 879 USD Océanie 786 mt 695 792 USD 92 pays : 75 en développement 17 développés Programme alimentaire mondial de l'ONU, Service d'approvisionnement alimentaire, division des marchés publics

Modalités des marchés publics Processus compétitif Marchés locaux et régionaux « doux », récépissés d'entrepôt, échange de marchandises Innovative Procurement Modalities WFP’s standard practice is procurement through competitive tendering and contracting, generally with large-scale buyers. P4P, however, is focus on practices that are more favourable to smallholder/ low-income farmers such as: i) Adjusted competitive tendering practices (for example, reducing tender sizes, waiving bag markings or performance bonds, and purchasing ex-warehouse). ii) Direct purchasing (through farmers’ organisations) to help stimulate the livelihoods of the producers – WFP will be directly engaged in negotiating, signing contracts and paying farmer associations directly for their produce. For WFP, a direct contract is to buy or sell a commodity that is negotiated at the time of harvest by waiving competition (less than three suppliers are invited to make offers). iii) Forward contracting to reduce risk and provide farmers with greater market certainties and developing partnerships with micro credit and insurance schemes. A forward contract is an agreement between a seller and a buyer to deliver a specified quantity of a commodity to the buyer at some time in the future for a specified price or in accordance with a specified pricing formula. iv) Processing options, with smallholders producing maize meal or cassava blend themselves – WFP will work with the private sector and/or other stakeholders to encourage the establishment of processing units that ensure added value. Contrats directs Contrats d'avance

Points d'accès P4P ciblés Consommateurs Détaillants Point d'accès PAM PR/PL Point d'accès PAM PR/PL Grands transformateurs alimentaires/grandes minoteries/ grands distributeurs en gros Nourriture mixte ou petits transformateurs Échange de marchandises Point d'accès PAM P4P Système de récépissés d'entrepôt Point d'accès PAM P4P P4P activities will be designed to respond to the specific conditions in countries where WFP has operations. There are four main categories, also with a focus on low-income and small-scale farmers (and under development regionally): Enhancing and expanding competitive tendering practices (for example, reducing tender sizes, waiving bag markings or performance bonds, and purchasing ex-warehouse). Purchasing directly from local groups (i.e. farmers’ associations and local traders) to help stimulate the livelihoods of the producers. Contracting in smallholder areas to reduce risk and create greater certainty for farmers in their planning (i.e. forward contracting and partnerships with micro-credit and insurance schemes). Developing processing options. Partnership and Training (i.e. for small-scale farmers, associations, local traders, and also for WFP/Cooperating Partners) Monitoring and Evaluation (i.e. gathering evidence to show results). Policy Advice and Advocacy (i.e. share lessons learned and experience with National Governments and partners; dialogue on appropriate policy instruments and institutional mechanisms). All of this, we will implement with a wide range of partners. Next Slide: Partners Négociants moyens Organisations d'agriculteurs Troisième tiers Deuxième tiers Premier tiers *Le niveau et les caractéristiques des OA varient selon le pays P4P. Petits négociants (collecteurs) Intrants et services agricoles Petits agriculteurs

Partenariats stratégiques Organisations d'agriculteurs CRÉDIT gouvernements, FIDA, SFI, banques et institutions de microfinancement INTRANTS DE PRODUCTION gouvernements, ONG, FAO, AGRA, partenaires bilatéraux et secteur privé POLITIQUE ET ACTION gouvernements, communautés économiques régionales, ONG, médias, universités et secteur privé ACCÈS AU MARCHÉ gouvernements, FAO, FIDA, AGRA, communautés économiques régionales, institutions de recherche, universités et secteur privé QUALITÉ gouvernements, ONG, FAO, institutions de recherche et secteur privé DÉVELOPPEMENT DES CAPACITÉS (compétences, analyse de marché, post-récolte, etc.) gouvernements, FIDA, AGRA, FAO, communautés économiques régionales, ONG, universités et secteur privé The wide spectrum of partnerships, direct or indirect, includes: National Governments Traders & Processors – (private sector like you – we need to find out what type of partnership we can have with you) UN Agencies & World Bank NGOs – national, regional and international Regional Organisations Bilateral Partners Donors (Some donor do not just permit us to purchase in LDCs- some of our donors give us cash but require us to use that cash in the donor nation if no reasonably priced bids are received) Research institutions ________________________________________________________________________________________________ In countries where WFP has operations, offering a part of WFP’s food purchase programme alongside supply-side partnerships for agricultural and market development, will involve a change or adaptation of WFP procurement norms –with a focus and intent going beyond the basic principles of acquiring reliable and cost-effective food for ongoing assistance programmes. With P4P, Country Directors will bring an additional programming element to the table when working with national governments and partners. For example, P4P strategies can be an important point of discussion at UN Country Team meetings designing joint programming approaches, (ie Mozambique’s one UN model with its joint programme on market development). There is an opportunity for P4P to contribute to Government-led National Development Plans, to the UNDAFs, and thereby fit as part of a countries harmonisation and alignment strategy. INFRASTRUCTURES gouvernements, UA, FIDA, Banque mondiale, programmes bilatéraux et secteur privé 9

COORDINATION RENFORCEMENT COFINANCEMENT RENFORCEMENT FAO RENFORCEMENT Assistance technique Développement des capacités Incitants Connexion avec les terres locales CENTA (GOUV.) PNUD (PDP) Assistance technique Développement des capacités post-culturales Soutien continu Gestion des entreprises Renforcement des organisations Connexion avec les acheteurs Nouveaux marchés Développement des capacités ORGANISATIONS PAM Achats Infrastructures Financement Gestion des entreprises / renforcement des organisations Nouveaux marchés COFINANCEMENT RENFORCEMENT

Quelques faits sur P4P 21 pays pilotes Afrique : Burkina Faso, République démocratique du Congo, Éthiopie, Ghana, Kenya, Liberia, Malawi, Mali, Mozambique, Rwanda, Sierra Leone, Soudan, Tanzanie, Ouganda, Zambie Asie : Afghanistan et Laos Amérique latine : Salvador, Guatemala, Honduras, Nicaragua 21 Pilot Countries: Africa (15): Burkina Faso, Democratic Republic of Congo, Ethiopia, Ghana, Kenya, Liberia, Malawi, Mali, Mozambique, Rwanda, Sierra Leone, Sudan, Tanzania, Uganda, Zambia Asia (2): Afghanistan and Laos Latin America (4): El Salvador, Guatemala, Honduras, Nicaragua ________________________________________________________________________________________________________________ Further information on implementation and funding: Bill & Melinda Gates Foundation and WFP have pre-selected 10 countries in Africa: Burkina Faso, Malawi, Mali, Mozambique, Uganda in the first phase and then Ethiopia, Kenya, Rwanda, Tanzania and Zambia Howard G. Buffett Foundation is financing a regional assessment and two year plans in Central America, with initial focus on Guatemala and Nicaragua, but also covering Honduras and El Salvador. They are also particularly interested in supporting countries recovering from conflict and is supporting P4P in Liberia, Sierra Leone and Sudan.

Quelques faits sur P4P Niveau mondial Bénéficiaires : 500 000 agriculteurs Durée : 5 ans (sept. 2008 - sept. 2013) Financement total : 137 millions USD pour les capacités techniques durant 5 ans (alimentation non incluse) Principaux donateurs : Bill & Melinda Gates Foundation, Howard G. Buffett Foundation, Commission européenne, gouvernements de Belgique, du Canada, d'Irlande, du Luxembourg, des États-Unis d’Amérique et du Royaume d'Arabie saoudite

Principaux résultats Achat de nourriture : 50 000 tonnes métriques (mt) d'aliments dans 17 pays Implication des agriculteurs 580 organisations d'agriculteurs représentant presque 700 000 agriculteurs ont été identifiées par P4P. Jusqu'à présent, 80 de ces organisations ont vendu des aliments au PAM. Développement des capacités 25 000 personnes formées, notamment à la gestion des organisations, aux techniques agricoles, au contrôle qualité et à la post-culture. Formation de 700 membres du personnel du PAM et des partenaires. Partenariats Collaboration avec environ 100 partenaires, notamment les gouvernements (ministères et autres agences), agences de l'ONU, ONG locales et internationales Apprentissage et partage Un système complet est actuellement en développement. Un panel d'évaluation technique a été mis en place et a tenu sa première réunion.

Enjeux Accès au crédit et à d'autres services financiers. Faiblesse des organisations d'agriculteurs Correspondance insuffisante entre les partenaires d'approvisionnement et les agriculteurs P4P

Nous sommes impatients d'améliorer nos connaissances (agricoles et commerciales). En renforçant l'information sur l'agriculture commerciale, nous pourrons réduire notre niveau de pauvreté. Nos bénéfices augmenteront car nous aurons accès à un marché plus important. Nos enfants pourront terminer l'école et être mieux habillés et alimentés. Sophia Chemtai, agricultrice ougandaise Kapchorwa district in eastern Uganda where WFP will provide support in building a modern 2000-ton-capacity warehouse under P4P to help small-holder farmers and medium-scale traders access quality grain markets. WFP will work closely with the local community, Kapchorwa Commercial Farmers' Association (KACOFA), Uganda Commodity Exchange, which regulates the warehouse receipt system, the Government of Uganda, USAID and others. It will be the first warehouse that WFP constructs in Uganda under P4P, but several others will be renovated/purchased and commissioned before it is completed in September. Expected complementary advantages of the warehouse will be: The warehouse receipt system The warehouse will be fully equipped with cleaning, drying, bagging, grading and other quality control enhancement machines Continued support to training in post-harvest handling. Farmers will benefit from purchases through the warehouse receipt system, forward contracts, direct purchases as well as tendering. Eventually farmers will have easier access to credit from banks Farmers will have easier access to market information WFP will additionally support the district through rehabilitation of feeder roads Currently, WFP buys maize and beans. It plans to buy other Ugandan staple foods such as rice, millet and sorghum, some of which Kapchorwa can supply. It is crucial to always bear in mind that the ultimate objective of P4P is to strenghten the productive and marketing capacities of small and low-income farmers to enable them to take advantage of market opportunities beyond WFP. Joselyn Mangusho, a mother of six and a farmer in Kapchorwa in Uganda, where P4P is promoting warehouse construction explains clearly what benefits she expects: “we are very grateful to WFP and others. We are going to benefit from the storage, threshing and drying facilities at the new warehouse. Currently, there are few threshing areas, there are no adequate storage facilities and there is limited market. Typically we harvest maize and heap it in small premises. Often times it gets rotten before we can find buyers. On the occasions when we manage to dry it, we then have to take it to Mbale to find a market. Through the warehouse, we will have easier access to markets. This is a very important development.”