Geographical Focus

1. FAO’s Technical Assistance Framework for Trust Funds in the Western Balkans 2006 – 2009- Food Chain ApproachRaimund JehlePolicy OfficerRegional Office for Europe Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

2. Geographical Focus Albania Bosnia and Herzegovina FYR of Macedonia Kosovo Serbia and Montenegro Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

3. Why a framework now? • FAO has developed significant field programmes in the WeBa countries during the last 10 years due to: • emergency and reconstruction • donor money available • New situation • consolidation and clarification roles of the main institutions donors and IO • reduction of donor money Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

4. Framework Objectives and Basis? • Coherency of the Organization’s work in the Region • EU Integration Process in the Western Balkans Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

5. Rural Region… % of people living in rural areas Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Source: WB Global poverty monitoring

6. … Importance of Agricultureshare of agriculture in the economy in % It implies… The WeBa countries must count with the agricultural sector to sustain their growth But… Non-farm employment must be also addressed in rural areas to improve the competitiveness of agriculture Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Source: WB WDI 2001

7. Institutional Challenge… • Requirements on the road to EU Membership • Competitive agriculture production and processing • Globalization and Free Trade • Management and marketing skills for high value crops • Cross Border Collaboration and Regional Integration • Rural Development could reduce ethnic tensions Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

8. FAO’s Focus in the Western Balkans • Facilitate income generation through agriculture and non-farm activities; • Food Chain Approach, Farmers Group Formation, Capacity Building in Rural Communities; Specific Population Groups; Rural Development, Research and Education • Bottom-up approach for policy change • Regional collaboration Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

9. Food Chain Approach • Improved production and diversification at small scale farm level • Linking farmers to markets, processors and retailers • Facilitate better access to credit by establishing links to local banks/microfinance institutions or revolving funds • Mobilization/Integration of local expertise Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

10. Group Formation • Thematic training and demonstration days for commodity groups • Contract farming • Bulk purchase of inputs and marketing of high value produce Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

11. Capacity Building of Communities • Identification of non-farm income opportunities (e.g. Wool processing, tourism, sport fishing; arts and crafts); • Regional Marketing( e.g. Rural Fairs, labeling); • Training in business planning and SME formation Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

12. Research and Education • Educational programmes in partnership with agricultural schools • For future agricultural technicians and young agriculture entrepreneurs • Including marketing and farm management • Postgraduate curricula on subjects such as: • Agriculture Economics; • Rural Development etc. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

13. Vulnerable Groups • Adapt activities to the specific needs of vulnerable groups • Facilitate the integration of vulnerable groups and improve their livelihood • Technical assistance and methodological support to other agencies (IO, Int’l and national NGOs) Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

14. Policy Change • Mapping and zoning of rural areas • Definition of micro-regional development strategies • Targeted support to young farmers of marginal rural areas to stop outmigration • Promote and assist incentive policies for farm business development Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

15. Cross-border und Regional Collaboration • At regional level • Assistance in networking for e.g. food safety, phytosanitary and veterinarian services in order to adopt common approach in the implementation of the recommended preventive measures • At local cross-border level • Development of projects in line with the proposed approach of RD Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

16. Importance of the Food Chain Approach • Raises awareness at farmer‘s level; • Establish business links between farmers, processors and traders; • Shows results and brings investment to the farmers • Creates a business environment (contract farming, competition); • Identifies institutional gaps at policy level (Regulations, Standards, EU-laws, EUOPGAP, HACCAP); • Allowes testing of regulations in pilot areas; • Provides a demonstration effect. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006

17. Thank you for your attention Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006