Rwanda - Lake Kivu Coffee Improvement and Food Crop Project

Document of FILE COPY The World Bank FOR OFFICIAL USE ONLY Report No. P-2987-RW REPORT ANM RECOMMENDATlON OF THE PRESIDENT OF THE INTERNATIONAL DEVELOPMENT ASSOCIATION TO THE EXECUTIVE DIRECTORS ON A PROPOSED CREDIT TO THE REPUBLIC OF RWANDA FOR A LAKE KIVU COFFEE IMPROVEMENT AND FOODCROP PROJECT March 11, 1981 This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  CURRENCY EQUIVALENTS 1/ US$1.00 Rwandese Franc (RF) 91.91 RF 100 US$1.09 FISCAL YEAR January 1 - December 31 GLOSSARY OF ABBREVIATIONS BGM - Bugesera/Gisaka/Migongo Project ISAR - Institut des Sciences Agronomiques du Rwanda (Agricultural Research Institute of Rwanda) OBM - Office du Bugesera et Mayaga OCIR-Cafe - Office des Cultures Industrielles du Rwanda - Cafe (Agency for Industrial Crops of Rwanda - Coffee) OCIR-The - Office des Cultures Industrielles du Rwanda - The (Agency for Industrial Crops of Rwanda - Tea) OPROVIA - Office National pour le Developpement et la Commerciali- sation des Produits Vivriers et de la Production Animale (National Agency for Development and Marketing of Foodcrops and Animal Products) PAK - Project Agricole de Kibuye (Agriculture Project - Kibuye) PPF - Project Preparation Facility SSS - Service des Semences Selectionnees (Selected Seed Service) TRAFIPRO - Travail-Fidelite-Progres (Transport and Marketing Cooperative) WEIGHTS AND MEASURES Metric System Metric British/US Equivalents 1 meter (m) = 3.3 feet 1 hectare (ha) 2.47 acre 1 are (100 m ) 0.02 acres 1 kilometer (km ) 2 0.62 miles I square kilometer (km ) = 0.39 square mile (sq. mi.) 1 kilogram (kg) 2.2 pounds (lb) 1 liter (1) 0.26 US gallon (gal) 0.22 British gallon (imp gal) 1 metric ton (m ton) = 2,204 pounds (lb) I/ As of December 1, 1980.  FOR OFFICIAL USE ONLY (i) RWANDA - LAKE KIVU COFFEE IMPROVEMENT AND FOODCROP PROJECT Credit and Project Summary Borrower: Republic of Rwanda Amount: SDRs 11.8 million (US$15.0 million equivalent) Terms: Standard IDA terms Beneficiary: OCIR-Cafe Relending Terms: Grant Project (i) Objectives: To build up an effective extension Description: service which would assist farmers in increasing foodcrop and coffee production using field-tested techniques and also help OCIR-Cafe (the implement- ing agency) improve its financial management. (ii) Components: The proposed Project would provide for: (a) strengthening of OCIR-Cafe's financial management; (b) improvement of extension services under the direc- tion of OCIR-Cafe; (c) promotion of improved methods of plantation maintenance, coffee nursery organization and pest control, distribution of improved seed vari- eties, intercropping of banana plantations to increase food crop production and a program to improve soil fertility; (d) improvement of 120 existing hand-pulping centers and establishment of 130 new ones; (e) con- struction of two new landing points on Lake Kivu, of bridges and culverts and minor improvements; to three existing landing points; (f) strengthening of crop- related research, studies and trials; and (g) the services of four internationally recruited specialists, and of short-term consultants. (iii) Benefits: Increased production of foodcrops and of coffee, Rwanda's principal export. All incremental production would either be exported or replace food imports. The planting of tree crops, the development of anti-erosion grass strips and cut off drains, and mulching would help to reverse the process of soil erosion in the Project area. An estimated 60,000 of the 75,000 farm families living in the coffee growing areas would be expected to benefit from the coffee improvement component and about 15,000 from the foodcrop program. An estimated 2,500 of the 10,000 families living in the highland areas are also expected to benefit from the food crop component. Farmers' This document has a restricted distribution and may be used by recipients only in the peroormanceof their official duties. Its contents may not otherwise be disclosed without World Bank auttorization.  (ii) share of the average F.O.B. price of incremental coffee production can be expected to be in the range of 55-60 percent. The benefits from incremental foodcrop production would accrue entirely to the participating farmers. (iv) Risks: The problems most likely to affect the Project would be implementation delays resulting from manage- ment difficulties. The appointment of key Project staff prior to negotiations and the setting in place of most of the physical infrastructure during the project preparation period should reduce these problems. The extension effort might be less successful than planned particularly in view of the difficulties in obtaining increased output experienced in previous projects in Rwanda; however, the emphasis on extension worker training and close follow-up of farmers in the field should offset this risk. Technical risks are low as the technology involving plant material to be used and agricultural practices to be promoted under the Project has already been tested in Rwanda. The commercial risks are also low, as forecasts of coffee prices have been based on prudent assumptions on the expected world coffee production increases. Estimated Costs 1/: US$ Million Local Foreign Total Project Management 0.57 1.29 1.86 Coffee and Food Crop Improvement 2.28 1.27 3.55 Pulping Stations 0.17 0.90 1.07 Research 0.24 0.63 0.87 Extension 1.58 2.29 3.87 Lake Landing Points 0.04 0.16 0.20 Minor Road Improvement 0.01 0.09 0.10 Total Base Costs 4.89 6.62 11.51 Physical Contingencies 0.73 0.99 1.72 Price Contingencies 1.40 1.94 3.34 Total Contingencies 2.13 2.93 5.06 Total Project Cost 7.02 9.55 16.57 1/ Taxes included in Project costs are negligible as all items would be exempt from import duties and local taxes.  ( iii) Financing Plan: US$ Million Local Foreign Total IDA 5.5 9.5 15.0 Switzerland 0.6 - 0.6 Government 1.0 - 1.0 7.1 9.5 16.6 Estimated Disbursement: IDA Fiscal Year (US$ Thousand) 82 83 84 85 86 Annual 2,600 2,800 3,000 3,400 3,200 Cumulative 2,600 5,400 8,400 11,800 15,000 Economic Rate of Return: 22 percent Appraisal Report: Report No. 3192a RW dated March 12, 1981 Maps: IBRD 15210, 15211   REPORT AND RECOMMENDATION OF THE PRESIDENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED CREDIT TO THE REPUBLIC OF RWANDA FOR A LAKE KIVU COFFEE IMPROVEMENT AND FOODCROP PROJECT 1. I submit the following report and recommendation on a proposed credit to the Republic of Rwanda for the equivalent of SDRs 11.8 million (US$15.0 million) on standard IDA terms to help finance a Lake Kivu Coffee Improvement and Foodcrop Project. These funds would be passed on as a grant by Government to OCIR-Cafe, the implementing agency. The Project would be cofinanced with Swiss Technical Assistance (about US$650,000) on a parallel basis. PART I - THE ECONOMY 1/ 2. A report "Memorandum on the Economy of Rwanda" (No. 1108-RW) was distributed to the Executive Directors on July 27, 1976. An economic mission visited Rwanda in February 1979; its major finding are reflected below. Country data are provided in Annex I. 3. Rwanda became independent in 1962. Since the present Government came to power in 1973, the country has enjoyed considerable political stability. This has been partly facilitated by the unity and relative homogeneity of the population and the absence of serious inequalities in the distribution of income and wealth. With a per capita income (GDP) around $180 in 1978, Rwanda is one of the poorest countries in the world. It is one of the smallest but most densely populated countries in Africa, with a population density of around 180 persons per square kilometer or about ten times the average density for all of Sub-Saharan Africa. The population remains predominantly rural, and only about 4 percent were estimated to be in urban areas in 1978. 4. About two thirds of Rwanda's surface area is suitable for agricul- ture, virtually all of it already under cultivation. Small family farms of about one hectare predominate with little use of hired labor. Roughly 95 percent of the cultivated area is devoted to foodcrop production with fairly good diversification over a range of foodcrops (bananas, sorghum, peas, beans, maize, cassava, and sweet potatoes). More than half of all farms also grow coffee, the principal commercial and export crop, and many farms combine crop production with cattle and small stock. Agriculture (including Forestry and Fishing) accounts for about 45 percent of total value added. 1/ Part I of this report is substantially the same as that in Report No. P-2818-RW on the Telecommunication Project, considered by the Executive Directors on July 29, 1980.  - 2 - 5. Apart from coffee, the only other significant agricultural export crops are tea, pyrethrum, and quinine bark (cinchona). Coffee accounted for about 60 percent of the value of merchandise exports in 1978, tea for around 7 percent, cinchona and pyrethrum each for roughly 3 percent. Significant tea production and export only date from the mid-1970s and expansion has been rapid. 6. Cassiterite and wolfram, the principal mineral products, are still important sources of export earnings (together accounting for about 20 percent of merchandise export receipts in 1978) but production has stagnated over the last decade due to resource depletion and rising production costs. 7. The growth of output in manufacturing has been relatively rapid over the past decade with gradual enlargement of the range of manufacturing activities. In 1979 manufacturing accounted for about 15 percent of GDP compared to around 11 percent in the early 1970s. Agro-industry and food processing activities remain the most important. 8. The landlocked position of the country and the great distance to the nearest sea ports (1,700 km to Mombasa) create special problems. Apart from the obvious effect of transport costs on import and export prices, seriously exacerbated by recent increases in the price of petroleum, the country has been periodically subject to serious disruptions in transport links from political events within and between neighboring countries. Although the Government has demonstrated commendable resolve and effective- ness in containing and correcting the direct and immediate effects of these disruptions on the domestic economy, the process of smooth and orderly development has been made more difficult. 9. Under the present Government there has been a marked reorientation in the focus of development strategy towards agriculture and the rural areas. Increased food production is recognized as the cardinal priority, and major emphasis is also placed on improving infrastructure in transport and communi- cations. These objectives are reflected in the current (1977-81) Five-Year Plan and in the new Constitution which was adopted in December 1978. While tangible progress has been achieved, the rapid population growth, general land shortage, diminishing soil fertility and the country's landlocked position impose serious constraints on the pace at which development can take place. 10. While real GDP growth averaged between 5 and 6 percent between 1975 and 1979, progress was rather erratic and uneven. Poor weather conditions in 1977 and 1978 adversely affected agricultural output, particularly domestic foodcrop production which, over the past few years, has barely kept pace with the rate of population growth. Production of coffee and tea, while affected by the adverse weather conditions, has been stimulated by high world prices during much of the period 1976-79. Information on developments in agricul- ture is still very fragmentary and incomplete but it would appear that such increases in foodcrop or export crop output as have taken place in recent years have been due mainly to extension of cultivation area--at the expense of animal pasture and forestry uses--rather than any significant improvements in yields.  11. The closing of the Uganda border during the first half of 1979 created serious supply and export problems. Domestic manufacturing and construction activity were particularly affected as was the production and export of tea. General shortages of imported raw materials and consumer goods resulted in accelerated price increases -- the general inflation rate in 1979 is estimated at about 25 percent. However, the measures which the Government took to allocate import supplies to priority uses an,d to limit monetary and credit expansion did much to contain the adverse effect. 12. The trade balance, which had been in surplus in 1976 (US$8.3 million equivalent) and 1977 (US$22.9 million equivalent), registered a deficit of about US$33.7 million equivalent in 1978. This was due mainly to lower coffee export prices and to delays in exporting the coffee crop at the end of 1978 with the closing of the Uganda frontier. The deficit on services account has grown rapidly over recent years with the effects of higher petroleum prices and transport difficulties on transport costs. With significant exceptional external aid in 1978 to meet the transport crisis, the overall balance of payments remained healthy and Rwanda's foreign exchange reserves at the end of i979, were equivalent to about nine months' imports. This build-up has been sustained except for a small decline in 1978, when coffee prices fell dra- matically and a substantial current account deficit had to be met with recourse to short term credits. With the strengthening of world market funds for coffee in the second half of 1979, coffee export receipts almost trebled, and the current account balance recorded a surplus of about US$55.0 million in 1979. 13. The Government has traditionally followed rather prudent fiscal policies and succeeded in mitigating the financial impact of adverse inter- national developments. Sizeable budget surpluses in 1976 and 1977 enabled the Government to reduce its reliance on the banking system while increasing somewhat its development expenditures. The situation was relatively less favorable in 1978 with a decline of more than 50 percent in coffee receipts owing to reduced market prices. The stagnation of development expenditures in nominal terms resulted, however, in a small surplus in overall Government operations. The prospects of continued depressed coffee prices and the revi- sion of wages and salaries for public employees that took place in July 1978 led to adoption of a financial program supported by an IMF stand-by arrangement approved in October 1979. The outcome for 1979 was remarkably favorable as a result of this program and of a strong increase in the volume and prices of coffee exports in the second half of the year. It is likely, however, that the impact of the salary revision and the employment policy of the Government adversely affected the financial situation in 1980. 14. Economic and financial developments over recent years illustrate the country's vulnerability to external economic factors as well as con- tinuing structural weaknesses in the base of the domestic deve:Lopment effort. The priorities which the Government has established for its development stra- tegy, the initiatives which it has taken in fostering cooperation with neigh- boring countries and its generally sound and responsive management of the economy are encouraging signs. More adequate progress in agricultural development requires intensified efforts in infrastructure and extension services. Better coordination of external aid and technical assistance would  - 4 - also be required. Recent efforts to bolster project identification and appraisal capacity need to be expanded and intensified. A more systematic effort is needed to monitor Plan implementation and, particularly, to better coordinate the annual budget development expenditures with the Plan's invest- ment program. The recent reorganization of the Ministry of Economics, Trade and Commerce, which aims at more effective coordination of policies, is evidence of the Government's awareness of these problems. 15. Even with continued improvement in economic performance over the next few years, the need for external assistance will increase, particularly with the prospect of deteriorating terms of trade. Rwanda's external debt is low and debt service payments represent only about 1.5 percent of export earnings. Given the country's level of poverty, the prospective world trade situation and the length of time which structural adjustments in the economy are likely to take, external assistance should continue to be on the most concessional terms possible. PART II - BANK GROUP OPERATIONS IN RWANDA 1/ 16. Bank Group assistance started in 1970 and initially focused on the improvement of the road network and the strengthening of agricultural produc- tion. Rwanda has received thirteen IDA credits totalling US$115.5 million, of which four (totaling US$43.1 million) were for roads, five (US$49.3 million) for agriculture, two (US$9.2 million) for DFC projects, one (US$6.4 million) for education and one (US$7.5 million) for telecommunications. There have been no Bank loans. An IFC loan of US$535,000 for a tea factory was signed in 1976; a second IFC loan of US$226,000 and contingent equity commitment of up to US$60,000 to expand the tea factory were signed in September 1980. Annex II contains a summary statement of IDA credits, IFC investments and notes on the execution of ongoing projects. 17. The first three highway projects are completed and totally disbursed. A fourth credit for a highway maintenance project (Credit 769-RW) was approved by the Board in February 1978 and became effective in August 1978; the special- ists financed under the technical assistance program are performing satisfac- torily and equipment is being procured. 18. The first agricultural development (Mutara) project was completed in July 1979 and funds have now been completely disbursed. 2/ A second credit 1/ Part II of this report is substantially the same as that in Report No. P-2818-RW on the Telecommunications Project, considered by the Executive Directors on July 29, 1980. 2/ A Project Completion Report (August 1980) concluded that even though the increases in agricultural production were less than originally expected, substantial achievements had been realized under the project in the areas of infrastructure development and in experience acquired by Rwandese staff in project management. In addition, the project had served as a positive instrument for IDA and the Government in developing a sectoral dialogue for the Mutara area.  - 5 - of US$8.8 million, which supports the second phase of a long-term development for the Mutara region, was declared effective on May 30, 1980, but has experi- enced start-up problems due to difficulties in recruiting technical assistance. The credit agreement for a cinchona project (US$1.8 million) and the credit agreement for the Bugesera/Gisaka/Migongo (BGM) mixed farming and rural development project (US$14.0 million) were signed in August 1976 and in March 1977, respectively. Construction, procurement and budgeting are proceeding satisfactorily under the BCM project, though the results of foodcrop and plant improvement components are well below appraisal estimates due to a failure to come up with appropriate technical packages for the relatively dry project area. The Cinchona project is progressing satisfactorily. A project to support reforestation programs in Kigali, Butare and Gisenyi Prefectures (IDA Credit of US$21.0 million) was signed July 2, 1980; the project also includes a study of renewable energy options for Rwanda. A credit for an education project (US$7.9 million) became effective in 1975. Physical implementation has been slow and complicated by procurement problems. The first credit of US$4.0 million to the Development Finance Company (BRD) has now been fully committed. BRD's performance under the credit has been highly satisfactory. A second credit of US$5.2 million to BRD was signed on July 13, 1979, and became effective on January 4, 1980. A credit for a telecommunications project (US$7.5 million) which aims at reducing Rwanda's geographic isolation from other countries and on improving internal telecommunications facilities, was signed on August 13, 1980. 19. Mainly because of shortage of trained manpower and managerial skills in Rwanda, the execution of projects requires substantial assistance from Bank Group staff (through extensive supervision) and from expatriate experts, for whom financing is included in most credits. 20. For the future, the primary emphasis of Bank operations will remain on agriculture and the rural areas, the main objective being to increase food production as well as export crops while maintaining soil fertility. A major emphasis will also be placed on improving transport and communications to reduce the country's isolation and provide incentives to more intensive cultivation and diversification through better marketing. The development of human resources will continue to have high priority. Preparation of a second Bugesera rural development project is under way. In highways, the Government has asked the Bank Group to participate in the financing of the Butare-Cyangugu road, for which a feasibility study and detailed engineering are being carried out; the project would open up the southern region of Rwanda towards Zaire and Burundi and support both the forestry (FY80) and the proposed project. A second education project is being prepared which will focus on improvement of occupationally-oriented secondary education. It is expected that the Bank Group will continue to support industrial development through the development bank (BRD).  - 6 - PART III - THE AGRICULTURAL SECTOR A. General 21. Rwanda spends about 25-30 percent of its agricultural export revenues on foodcrop imports. Government investment in the agricultural sector has been surprisingly low, accounting for about 13 percent of total development expenditures during the period 1977-79. This situation is changing, however; about 20 percent of planned investment for 1979 was earmarked for agriculture. Agriculture in Rwanda is overwhelmingly tradi- tional and is carried out by smallholders on plots averaging 1 ha and using such basic hand tools as the hoe, pick and machete. Fertilizers and improved seeds are seldom used. Agricultural Production 22. Foodcrops. Variations in elevation and climate allow a wide range of crops to be grown. Subsistence crops grown at lower elevations include beans, sorghum, bananas, sweet potatoes, groundnuts and cassava. The principal foodcrops grown at higher elevations are peas, potatoes, maize and beans. About 95 percent of the cultivated land is planted with foodcrops; close to one quarter of this area is under bananas, 18 percent under tubers, 25 percent under cereals and 34 percent under pulses. Rwanda's favorable climatic conditions allow two crops per year in most cases, but soil fertility is declining fast and crop yields are low. Research indicates that yields could be increased with improved cultivation techniques, use of selected seeds and application of some mineral fertilizer mixed with compost. 23. Livestock. The national cattle herd was estimated at 650,000 head in 1978 but has steadily declined since 1971 largely due to the reduction in available pastures and high mortality among young animals resulting from poor health care and over exploitation of the herd as a result of the rising demand for meat. Most cattle belong to farmers who own from three to twelve head; there are no commercial ranches in Rwanda. Milk production is low, estimated at about 68 million liters in 1978, of which about one-third was for human consumption. Meat production was estimated at 10,000 tons carcass weight. Goats and sheep provide most of the meat consumed in rural areas; their numbers are estimated at 770,000 and 270,000 respectively. '?rbduction of pigs and rabbits has been increasing and their numbers are estimated at 100,000 and 130,000 respectively. 24. Coffee Production. There are two principal coffee growing regions, the central zone and the zone bordering on Lake Kivu. The central zone accounts for 75 percent of the area planted with coffee and 60 percent of total production; the Lake zone for 25 percent of the area planted and some 40 percent of the crop. All coffee in Rwanda is grown by smallholders who, on average, own 150 trees each covering an estimated .08 ha, usually one plot. Coffee husbandry is generally poor. Pruning is not regularly done, the trees are poorly mulched and no fertilizer is applied. Annual countrywide insect control campaigns are organized by OCIR-Cafe (para 32). Yields are  low, in the neighborhood of 350-500 g of parchment coffee per tree or 700-800 kg/ha. There are an estimated 440,000 coffee growers, about half of the smallholder families in the country. Coffee plantations cover a total area of approximately 30,000 ha or 2.2 percent of all arable land. Coffee produc- tion fluctuates between 20,000 and 24,000 tons of parchment coffee per year, giving exports of between 15,000 and 18,000 tons of green coffee. It is estimated that the number of trees and the area under coffee have doubled over the past 20 years. The output per tree has on average, however, declined by 20 percent. The reduction in yields is attributable to lack of an organized extension system following up on proven field-tested extension themes: mulching where possible, regular pruning and spraying, and adherance to sound soil control practices. Because of population pressure and the competition with foodcrops for land, there is not much scope for increasing the area under coffee. However, increased production could be brought about in the short run through better maintenance of coffee plantations and in the long run through development of cultivation methods which protect soil fertility and retain soil moisture. Section B, paras 31-34, provides a more detailed discussion of the coffee sub-sector. Constraints on Agriculture 25. Because of the shortage of cultivable land, increases in production to meet the needs of the growing population can only come from intensification. In the past, crop rotation together with long fallow periods preserved soil fertility. However, during the last 30 years, population pressure on the land has become so strong that the fallow period has gradually been reduced and today it has practically disappeared causing serious soil erosion on most of the tilled land and progressive loss of soil fertility. Agricultural residues are burned as domestic fuel instead of being used to improve soil structure and fertility, thereby further reducing crop yields and soil fEertility. 26. Seventy percent of the cultivated land and 60 percent of the pasture have a slope of more than 17 percent and it is estimated that half of the cultivated land has a slope of more than 20 percent. During the colonial period, contour planting of grass strips, as a conservation measure, was imposed on farmers. After independence, however, grass strips were abandoned and contours were even destroyed. Today, only a fraction remain. Any in- creases in foodcrop production over the past decade have been largely achieved through cultivation of poorer quality land previously devoted to pastoral and forestry uses. The general picture is one of stagnating or declining yields. Government Services 27. The Ministry of Agriculture and Livestock is responsible for all activities related to agriculture in Rwanda; it has four operating depart- ments: Agronomy, Rural Engineering and Soil Conservation, Livestock, and Lands. In addition, the Ministry operates a Selected Seeds Service and is the umbrella organization for four parastatal companies, the largest of which is the Office des Cultures Industrielles du Rwanda (OCIR-Cafe -- para 32). The Agricultural Research Institute of Rwanda (ISAR) is responsible for  - 8 - agricultural research; most of its activities and trials are carried out on the research station at Rubona. Crop and livestock research have both been good but due to lack of funds and insuffient coordination with donor-financed projects, trials at the field level have been inadequate. For coffee, ISAR has concentrated its efforts on plant selection, fertilizer trials and entomological research. Rwanda has a well-established foodcrop seed selection and multiplication service, the Service des Semences Selectionees (SSS). ISAR provides foundation seed which is multiplied by SSS at five centers in different ecological zones. The main seeds produced are beans, sorghum, maize, peas and vegetables. The varieties distributed have been well tested and selected to improve yields with little or no fertilizer inputs and to be tolerant or resistant to disease. In theory, SSS produces selected seeds and supplies them through the Prefectures to the communes for further multiplica- tion and the production of commercial seed. This organization, although logical in concept, does not work well in practice because the communes lack the necessary personnel, physical facilities and organization for seed multiplication and distribution. 28. Agricultural Training. The absence of trained manpower for the implementation of development projects is a serious constraint in Rwanda. The Agronomy Faculty of the National University of Rwanda at Butare is being developed with Canadian aid to train agricultural engineers and veterinary assistants; the first class of four students graduated in 1977. The School of Agriculture, also in Butare, operates a four-year post-secondary course for higher level technicians with French technical assistance; it trains 10-25 agricultural technicians and 10-15 assistant level zootechnicians and vete- rinarians each year. The Nyagahanga School in Byumba Prefecture trains female agricultural technicians; the first class of about 30 students graduated in 1980. The agriculture school at Kibuye offers a two year course and trains about 20-25 lower level agricultural technicians each year; this school is expected to be transferred to the Ministry of Education for the training of high level agricultural staff by the end of 1981. Thereafter, agricultural development projects will have to provide the training for lower level staff. The IDA financed Bugesera/ Gisaka/Migongo project (Credit 668-RW) is presently training lower level assistant zootechnicians and veterinarians. 29. Agricultural Credit. Credit to farmers is not well developed at present. Some credit is channelled through the People's Bank (Banque Populaire) which receives deposits and makes short-term loans to cooperatives and individuals for working capital. Experimental credit programs are being developed under the IDA financed Bugesera/Gisaka/Migongo (Credit 668-RW) and Mutara (Credit 937-RW) projects (para. 18). Credit for the coffee campaign is provided by a consortium of local Banks. 30. Local Administration. Rwanda is divided into ten Prefectures, each of which is headed by a 'Prefet' appointed by the President on the recommenda- tion of the Minister of the Interior. Prefectures are divided into communes (usually seven or eight per Prefecture), headed by a Bourgmestre who is appointed by the President. Each commune is divided into sectors (10-14) and each sector is subdivided into cells (six to eight per sector). Each cell has about 60 farm families. The commune is governed by a council, "Conseil  - 9 - de Commune", made up of one elected representative from each sector (the Sector Chief) and the Bourgmestre. Each commune has a development committee but these have not, so far, been particularly dynamic. Theoretically, there is one agronomist per commune paid by the Government and one extension worker per sector who is to be paid by the commune. As taxes are generally not sufficient to meet all the communal needs, many of the extension posts are vacant. Each Rwandese citizen works half a day per week on a community project ("umuganda"); in the project area the results of communal work, for the most part, have been good. Local administrative structures permeate the social fiber of the community and offer a sound framework for development projects. B. The Coffee Sub-Sector Background 31. Coffee was first established in Rwanda in 1905 with a Guatemalan variety, "Mibirizi". This is still the main variety grown and although well adapted to local conditions, it is not high yielding. Other strains have been introduced subsequently and have a higher yield potential than Mibirizi. All coffee grown in Rwanda is of the Arabica type. A permanent coffee breeding unit at Rubona is the sole supplier of coffee planting material within the country, serving neighboring Burundi also. 32. OCIR-Cafe (para 27) has responsibility for activities in the coffee subsector including staffing, budgetary, procurement, accounting, production, storage, pricing, and licensing for export activities; it is diLvided into three services: administrative, commercial and production. OCIR-Cafe is a parastatal whose Director and Board of five members are nominated by the President of the Republic on the recommendation of the Minister of Agricul- ture. Although management and technical staff are competent, OCIR's accounts have not been properly maintained since 1975; technical assistance provided under Credit 656-RW (Cinchona Project) has helped to update these accounts, and a complete audit, expected by end-April 1981, would be a condition of Credit effectiveness (Section 5.01(c) of the Development Credit Agreement). Prime responsibility for coffee extension work was transferred to the communes in 1975, although OCIR-Cafe continues to finance a number of extension posts in each. The absence of an organized extension system for coffee with systematic follow-up and logistic support to farmers is one of the principal reasons for the decline in the maintenance of coffee plantations. Processing 33. The object of processing coffee is to separate the green bean from the ripe cherry and then to dry it. Where sunshine is adequate, the whole cherry can be dried in the sun and the outer and parchment skins removed in one hulling process. Because of the high rainfall in Rwanda during the harvest season (March-June), this method is not practicable. Instead, ripe cherries are pulped by hand or at pulping centers, and the resultant mucilage-coated beans are then dried in the sun to produce a "semi-washed coffee." Pulping centers have manually operated disc pulpers and water-fed troughs which partially remove the mucilage from the bean. Pulping in these  - 10 - centers is speedier than the manual on-farm process and gives a higher quality product. The pulping centers, established in the coffee growing areas prior to independence, are maintained by OCIR-Cafe but lack of preventive mainte- nance and the resulting frequent breakdowns have greatly reduced their effectiveness. Pricing and Marketing 34. Each year, usually in mid-May, Government, on the recommendation of OCIR-Cafe, fixes producer prices for parchment coffee, traders' margins, export commissions and transport and hulling margins in relation to the expected world market price. Coffee is bought from growers by licensed private traders who obtain credit from private banks and 'caisses populaires'; all transactions are in cash. The traders transport the parchment coffee to one of three hulling factories and are paid at Government prices. After hulling, the coffee is bagged and sent to the OCIR stores in Kigali where lots are sampled and classified by grade. It is then exported through Drucafe, a private company. The coffee is then transported by road or air to Mombasa. Rwandex, a company in which the Government has a 51 percent interest, is responsible for most of the hulling (transformation from parchment to green coffee) and the transport of the coffee to Mombasa. Sales are made on the basis of offers received after sample inspection or on a consignment basis. Approximately 70 percent of all exports are sold in the US market and 15 percent in EEC countries. PART III - THE PROJECT Background 35. A report entitled "Appraisal of the Lake Kivu Coffee Improvement and Foodcrop Project" Rwanda, No 3192a-RW is being circulated to the Executive Directors separately. A Credit and Project summary is provided at the begin- ning of this report. A map of the Project area is attached (IBRD-15211). Supplementary data on the Project are contained in Annex III. Negotiations were held in Washington from January 26 to 28 1981. The Rwandese delegation was led by H.E. Frederic Nzamurambaho, Minister of Agriculture and of Livestock. The Project was appraised in June 1980 by an IDA mission comprised of Messrs. A. Levi, R. Egli, B. Rambocus and A. Bialer (consultant). The Project Area 36. The Project area, which accounts for 25 percent of the total area planted with coffee and 40 percent of total coffee grown, is located on the Western slope of the Zaire-Nile divide and borders on Lake Kivu (Map -- IBRD 15211). In the northern end of the Project area, between Kibuye and Gisenyi, the shoreline is fjordlike in character. The Project area is densely popu- lated with an estimated 475,000 inhabitants (75,000 farm families in the coffee growing and 10,000 in the highland areas), 99 percent of whom are engaged in agriculture on individual holdings of 1.0 to 1.5 ha. It includes  - 11 - 2 communes in the Prefecture of Gisenyi, 4 (and parts of 2 others) in Kibuye Prefecture and 8 communes in the Perfecture of Cyangugu. Land use and property rights are determined in accordance with traditional custom; limited usufruct rights exist for cultivated land but the Government (which in principle owns all land in Rwanda) exercises property rights on all unoccupied land. Project Objectives and Description 37. The Project design builds on existing institutions. The Project would promote improved agricultural practices which have been field tested but not introduced on a wide scale due to lack of adequate extension and logistical support. A major objective of the Project would be to build an effective system of extension which would better utilize exist:lng resources to ensure increased foodcrop and coffee production. The Project would be implemented over five years. 38. The Project would include the following components: (i) strength- ening of OCIR-Cafe's financial management; (ii) improvement of extension services under OCIR-Cafe; (iii) promotion of improved methods of plantation maintenance, coffee nursery organization and pest control, distribution of improved seed varieties and intercropping of banana plantations to increase foodcrop production and a program to improve soil fertility; (iv) improve- ment of 120 existing hand-pulping centers and establishment of 130 new ones; (v) construction of two new landing points along Lake Kivu, of bridges and cul- verts and minor improvements to three existing landing points; (vi) strength- ening of crop-related research, studies and trials; and (vii) the services of three internationally recruited specialists (a financial adviser and two extension specialists), and of short-term consultants. Detailed Features 39. Assistance to OCIR-Cafe. Staff housing, vehicles and equipment would be provided at OCIR-Cafe's headquarters in Kigali, at Project head- quarters in Kibuye and at the training center to be constructed at Kibogora. Project investments would include provision for a financial adviser who would assist the head of OCIR-Cafe's accounting unit in the preparation of the budget, accounts and financial planning and would assume speciLal responsi- bility for staff training in financial matters. 40. Improvement of the Extension Services. There are 99 extension agents working in the Project area, 58 of them financed by OC:tR-Cafe, 41 by the communes; they often work in isolation from each other. Project activi- ties would be geared to developing the extension services and providing training, follow-up and logistical support. OCIR-Cafe would 'be responsible for all agricultural extension in the coffee growing areas of Gisenyi Prefec- ture, 8 communes of Cyangugu Prefecture and Rwamatamu Commune in Kibuye Prefecture. The on-going Swiss-financed agricultural project would be re- sponsible for all extension activities in Kibuye Prefecture with the exception of Rwamatamu (para. 52). Increased extension activities would be financed under the proposed IDA credit, and all extension agents in the 3 project area Prefectures would apply the same extension themes. An additional 83 extension  - 12 - agents would be recruited so as to provide one agent per sector. Assurances were obtained during negotiations that (i) the communes, OCIR-Cafe and the Government would, over the life of the Project, maintain the number of extension agents presently working in the Project area and that Government would continue to provide one agronomist per commune (Section 3.02 of the Development Credit Agreement and Section 2.09 of the Project Agreement); and (ii) supervision responsibility for all extension activities in the Project area would be given to OCIR-Cafe. (Section 3.04 of the Development Credit Agreement). Extension themes would focus on erosion control, preservation of soil fertility, intensification of coffee and foodcrop production and reforestation. Provision would be made for agents to visit neighboring countries to study coffee and foodcrop cultivation. Teams of six farmers would be formed and an extension agent would visit four teams a day over seventeen days or sixty-eight teams each month. 41. Improved Coffee Cultivation. The aim of the proposed Project is not to increase the area under coffee but to improve production on existing plantations. About 15 percent of the coffee trees planted in the Project area are almost barren, as they have been planted in unsuitable locations. On the authorization of Project Staff, plantations of nonproductive trees would be uprooted and approximately the same area of new plantations established where more favorable conditions exist. This would require an estimated 2 million seedlings. In addition, about 10 percent of the existing trees should be replaced, requiring an additional 1.3 million seedlings. Thus, about 660,000 seedling would be required per year for five years. About 450 nurseries, two per sector where possible, are planned to accommodate about 1,500 coffee seedlings each as well as forest and fruit trees and grasses for contour planting. Each team of farmers would receive a set of tools to carry out a three year pruning program. Control of Antestia Lineaticollis, the most serious coffee pest in Rwanda, would be achieved through better organization of pesticide spraying and the substitution of rotary sprayers for the less efficient hand dusters currently used. OCIR-Cafe presently provides pesticide free of charge, costs of which are recovered through coffee export taxes. Assurances were obtained at negotiations that OCIR-Cafe would continue to provide farmers with at least 210 tons of pesticides per year (the pre-Project level) for the duration of the Project (Section 2.11 of the Project Agreement). 42. Foodcrop Production. The Project would promote intercropping of beans with bananas and the use of selected seeds for beans, peas, maize and sorghum. Three seed multiplication centers, one in each Prefecture, would be established and operated by a seed officer who would distribute the seed at the sector level for further multiplication. Five of the seven basic extension themes, those focussing on erosion control, preservation of soil fertility, use of improved seeds, interplanting of bananas with beans, and reforestation would have direct impact on increased food production. 43. Soil Protection and Improvement. Extension agents would work with farmer groups to establish, on average, 500 m of contour hedge per farm. Planting material would be produced in the coffee nurseries. Most farmers in  - 13 - the Project area have some livestock which are grazed mostly on communal land Extension agents would help farmers with construction of modest animal stalls and compost pits. To increase the volume of organic fertilizer produced, the animals would be stall-fed with fodder from the anti-erosion hedges and crop residues; the manure would be composted with other organic material such as bean stalks, banana leaves and coffee pulp. Farmers would be provided with leguminous tree crop planting material for use along farm boundaries, in contour hedges and on land which is not suitable for crops. Leguminous trees do not compete with food crops, they increase soil fertility, are easily removed should the farmer wish to use the soil after its ferti:lity has been augmented and can be used for fuel in lieu of increasingly scarce fuelwood. 44. Coffee Processing. About half of the coffee grown in the project area is pulped by hand and half in 120 pulping centers equipped with hand operated machines. Most of these centers are in need of repair. Pulping coffee with the hand operated machines has two important advantages: it permits the farmer to pulp large quantities and results in a higher quality "semi-washed" coffee. An additional 130 centers would be established at suitable locations so that most of the coffee grown in the Project area could be pulped by machine. Investments would be for piping and valves, pulper machines, cement, salaries for local masons, who would carry out minor repairs, and spare parts. In addition, two mobile teams would be established with responsibility for preventive maintenance. 45. Roads and Lake Landing Points. A dense network of roads and tracks exists in the Project area and maintenance is adequately carried out. Some 300 small bridges and culverts are, however, in need of repair; the necessary materials for their reconstruction would be provided. In addition, three existing landing points at Cyangugu, Kibuye and Gisenyi would be improved and two new landing points would be constructed using local materials at Kirambo and Mugunero. 46. Research Trials and Surveys. The Project would support ISAR at Rubona with its research on coffee and food crop production. Arrangements have been made with the 'Institut Francais du Cafe, du Cacao et Autres Plantes Stimulantes' (IFCC) to work with ISAR staff through short term consultancy visits, and IFCC would also establish a research program to focus on insect and disease problems and on husbandry techniques applicable by smallholders, including trials with chemical fertilizers. Imlprovement in food crop yields requires an integrated approach with emphasis on soil conservation. Research in this area would be carried out by existing ISAR staff guided by one of the expatriate extension officers and would include field trials aimed at developing adequate farm management techniques and at testing their accept- ability to farmers. Assurances were obtained at negotiations that terms of reference for all studies and trials would be submitted to IDA for approval (Section 2.12 of the Project Agreement). 47. Technical Assistance. Technical assistance would be required for the extension activities and to train Rwandese staff to manage extension services. Specialists to be engaged include three extension advisers  - 14 - to be financed by Swiss Technical Assistance (60 man-months each), a financial adviser (36 man-months) and short term consultants for the research component (four man-months per year for five years or 20 man-months). Recruitment of two of the three extension specialists would be a condition of Credit effective- ness (Section 5.01(b) of the Development Credit Agreement). The average man- month cost (including salary, fees, and international travel) for the extension and financial advisers is expected to be about US$9,000. The average man-month cost for the short term consultants (including salary, fees, international travel and subsistence) is expected to be about US$11,000. Project Costs and Financing 48. Total Project costs in January 1981 prices are estimated at about US$16.6 million equivalent, of which 58 percent represents foreign exchange costs. A physical contingency of 15 percent was applied to all Project components to reflect the general uncertainty of the detailed scope of Project investments and staffing requirements. Price contingencies were calculated on a cumulative basis: local costs at 15 percent from 1981 to 1986; foreign exchange costs at the rate of 9 percent in 1981, 8 percent in 1982, 7 percent in 1983, 1984 and 1985, and 6 percent in 1986. The financing of Project costs would be shared as follows: Government of Rwanda, US$1.0 million equivalent or 6 percent of the total Project costs; Swiss Aid, US$0.6 million equivalent or 4 percent of total; and IDA, US$15.0 million or 90 percent of total. The proposed IDA Credit of SDRs 11.8 million (US$ 15.0 million equivalent) would be made to the Government of Rwanda on standard IDA terms and passed on by Government as a grant to OCIR-Cafe under a Subsidiary Agreement. Signature of the Subsidiary Agreement is a condition of effectiveness (Section 5.01(a) of the Development Credit Agreement). The Credit would finance all foreign exchange costs as well as about US$5.5 million of local costs which is justified in view of Rwanda's very limited own financial resources (para. 15). The contribution of the Government of Rwanda would cover an increasing portion of local salaries over the life of the Project. The Swiss contribu- tion, provided as a grant, would finance the recruitment costs, salaries and international travel of the three extension specialists. On November 11, 1980, an advance of US$815,000 was made to the Government under the Project Preparation Facility to meet the costs of acquisition of vehicles and equip- ment, building construction, the financial adviser (who has already begun work), start-up training of extension workers, salaries and incremental operating costs. 49. Because the Government may have difficulty in pre-financing expendi- tures to be reimbursed under the IDA Credit, a pre-financing revolving fund of SDRs 0.25 million (US$0.3 million equivalent) would be established in an account with a commercial bank in Rwanda. IDA would replenish the account from the Credit upon receipt of evidence of disbursements from the revolving fund for allowable expenditures. Should any disbursements be made from the revolving fund which are not acceptable to IDA, the Government would deposit the corresponding amount in the Project account. During negotiations, agree- ment was reached on terms and conditions for the operation of this account (Section 2.02 (c) through (g) of the Development Credit Agreement).  - 15 - Procurement 50. Civil works totalling about US$2.9 million (including contingencies) would generally be small, scattered and could not easily be grouped for simultaneous tendering. These contracts would therefore be awarded follow- ing local competitive bidding procedures which are satisfactory. These proce- dures allow participation of foreign firms. Vehicles and farm implements totalling about US$2.8 million (including contingencies) would be purchased after quotations had been obtained from at least two suppliers represented in Rwanda who offer adequate guarantees of service and spare parts. Hand pulping machines totalling about US$1.1 million (including contingencies) would be purchased under international competitive bidding following Bank/IDA guidelines. Assurances as to these procedures were obtained a,t negotiations (Schedule 1 of the Project Agreement). Technical assistance (the financial advisor to OCIR-Cafe) and consulting services estimated to cost US$550,000 and US$1.0 million respectively, would be hired in accordance with the Bank's guidelines on the use of consultants. Disbursements 51. Funds from the Credit account would be disbursed over five years on the following basis: US$'000 (a) Category I: Incremental Operating expenses: (i) 100 percent of foreign and 95 percent 2,400 of local expenditures for fuel, vehi- cles and equipment maintenance, mater- ials and agricultural inputs; (ii) 95 percent year 1, 80 percent year 2, 2,600 70 percent year 3, 60 percent year 4 and 50 percent year 5 for local salaries; (b) Category II: 100 percent of foreign and 85 percent 2,200 of local expenditures for civil works; (c) Category III: Vehicles and Equipment: (i) 100 percent of foreign and 95 percent 2,000 of local expenditures for vehicles and small hand tools; (ii) 100 percent of foreign expenditures for 1,035 hand pulpers; (d) Category IV: 100 percent of total expenditures for 1,600 technical assistance costs, Project related training and studies;  - 16 - (e) Category V: refunding Project Preparation Facility 815 advance; (f) Category VI: initial deposit in Project Account; 300 (g) Unallocated: 2,000 Total proposed IDA Credit 15,000 Disbursements against (b), (c), (d) and foreign expenditures under (a) would be fully documented. Disbursements for local costs against (a) would be made against statements of expenditure certified by the Project Director and Accountant. These would be retained by OCIR-Cafe, made available for inspec- tion by IDA in the course of supervision and would be audited by the external auditors selected for the Project. Assurances were obtained at negotiations that all expenditures would be in accordance with annual work plans acceptable to the Association (Section 2.08(b) of the Project Agreement). Project implementation 52. OCIR-Cafe would be fully responsible for implementing all Project components, except research, which would be implemented in collaboration with ISAR and Project personnel. A Project Department would be established as a new operating unit of OCIR-Cafe. Its chief, the Project Director, would report to the Director-General of OCIR-Cafe. The Project would be adminis- tered through three divisions: one for extension, a second for logistical support, and a third for administrative and accounting matters. Studies, monitoring, and evaluation would be the responsibility of the Project Director. The Project would rely, in part, on OCIR's existing services for logistic support; the production service would supply seeds and pesticides, the finan- cial and administrative services would assist with the procurement of mate- rials, and the accounting section of this same service would help establish the accounting system and monitor accounts. OCIR-Cafe would be responsible for extension services in the coffee growing areas in Gisenyi and Cyangugu Prefectures and in the Commune of Rwanatamu in Kibuye Prefecture; other communes in Kibuye would be serviced under an ongoing Swiss bilateral agri- cultural project (para 40). Three internationally recruited extension special- ists financed by Swiss Technical Assistance and responsible to the Project Director, would supervise the extension component and, assisted by short-term consultants, run the extension training programs (para 47). The extension specialists would be assisted by three Rwandese agronomists who would operate at the prefecture level. A financial adviser has been recruited and is assisting OCIR-Cafe with accounting, financial management and training of accounting personnel (para 50). Assurances were obtained at negotiations that the terms of reference and conditions of employment for these specialists would be submitted to IDA for approval. Terms of reference for all key Project staff were discussed at negotiations and assurances obtained that appointments to these posts and any subsequent reappointments would be made in consultation with IDA (Section 2.02 oS the Project Agreeement). Given the  - 17 - critical importance of training, assurances were obtained that OCIR-Cafe's annual work plans submitted to IDA would include a section on the progress of the on-the-job training programs (Section 2.08(a)(iii) of the Project Agreement). Accounts and Audit 53. Project accounts would be maintained by a Project accountant under the general supervision and with the assistance of an internationally recruited financial adviser (para 52). The financial adviser would also assist OCIR-Cafe in establishing and maintaining proper books of accounts. The accountant would be stationed at the liaison office in Kigali and be responsible for ensuring that adequate records were kept by the administrative assistant at Project headquarters; he would coordinate and verify these records. Control would be provided through a budget established at the beginning of the fiscal year under the financial adviser. Assurances were obtained at negotiations that (i) accounts would be maintained in such a way as to enable separate identification of all Project accounts from other OCIR-Cafe accounts; (ii) independent auditors acceptable to IDA would be appointed to audit Project accounts; and (iii) the audited accounts would be forwarded to IDA no later than six months following the end of the financial year to which they relate (Sections 4.01(a) and 4.02 of the Project Agreement). Annual Project Review, Work Plans and PPF 54. Project implementation would follow an annual work plan containing a detailed project budget; budgetary targets within each work plan would be projected twice a year. The Project Director would prepare a plan each year to be reviewed in September by the Development Committee of each Prefecture and subsequently by the Board of Directors of OCIR-Cafe expanded to include the Prefets of the three Prefectures affected by the Project and the Project Director. The work plan would be reviewed with Project staff and the Director General of OCIR-Cafe during IDA supervision missions. Assurances were obtained at negotiations on the above points and that the work plan for each year would be submitted to IDA for review by the first week of October of each year, commencing in 1981, so that the approved budget could be entered in the normal budget cycle of the Government (Section 2.08 of the Project Agreement). A work plan covering the period, November 1980 to June 1981, and a Plan for the period, June 1981 to December 1981, have already been approved by the Association. Project Implementation Schedule 55. The Project would be implemented over a five year period starting in June, 1981. The Project Director and accountant were recruited prior to Credit negotiations. The extension specialists are to be recruited by June 1981, and initial training of extension workers would take place during the third quarter of 1981. Preparatory activities, with the exception of the three extension specialists financed by Swiss Technical Assistance (para 48), would be financed under the Project Preparation Facility.  - 18 - Monitoring, Evaluation and Completion Report 56. The Project Director and the Director General of OCIR-Cafe, with assistance from the financial and extension advisers and the Institut Africain et Mauricien des Statistiques et de 1'Economie Appliquee and in consultation with IDA, would establish a simple monitoring plan to provide key indicators on Project progress. These indicators would be kept under constant review by IDA supervision missions, and the plan would be amended from time to time if necessary. (OCIR-Cafe would prepare a completion report summarizing Project performance and evaluating successes and problems.) Benefits and Risks 57. Benefits resulting directly from Project investments would include increased production of foodcrops and coffee. All incremental production would either be exported or replace foodcrop imports. At full development (Project year 10), the value of incremental coffee production (a 30 percent increase) is expected to be US$4.4 million equivalent a year in 1981 constant prices and of foodcrops (year 6) US$1.6 million equivalent a year (at 1981 constant prices). The annual net foreign exchange earnings from coffee exports would be US$550,000 equivalent in Project year 5, and US$3.8 million equivalent from year 10 onwards. This estimate reflects only the direct production increases and does not include other benefits which are difficult to quantify such as those arising from soil protection and land improvement measures, the development of basic agricultural services, staff training and improvements to rural roads and lake landing points. Project investments and activities would have a positive environmental impact. The planting of tree crops, the development of antierosion grass strips and cut off drains, and mulching (where possible) would help to reverse the process of soil erosion while the use of fertilizers for trials and of pesticides is not expected to have any adverse environmental effects. The annual surplus accruing to Government as a result of the Project would be about US$300,000 from years 8 to 20. From years 20 to 50, it would average about US$130,000 per year. Farmers would be asked to pay for selected seed, including distribution costs. Small farm implements, insecticides for coffee, coffee seedlings and hand pulping centers would all be provided free of charge. Farmers would participate in the maintenance of hand pulping centers. 58. The economic rate of return (ERR) measuring incremental benefits resulting from the Project as a whole is estimated at about 22 percent over 25 years. In the calculation of the ERR, foreign exchange was shadow priced. 1/ If foreign exchange were not shadow priced, the ERR would decrease by about three percent to about 19 percent. The rate of return analysis includes all expenditures for capital investments, replacements, and operation and mainte- nance costs for all components. The full costs of the services of the ex- 1/ A rate of RF 110 per US$1.00 (RF 18.09 above the official exchange rate of RF 91.91 per US$1.00) has been used as this reflects more accurately the value of foreign exchange to Rwanda.  - 19 - patriate extension experts are included along with 20 percent of the cost of the expatriate financial advisor. The cost of unskilled labor, including farm labor, was evaluated at the prevailing market price for farm labor which is 72 Rwandese Francs per day. Coffee prices have been projected in accordance with the latest Bank forecasts. Food prices used were those prevailing in Rwanda in January 1981. Costs include neither price contingencies nor taxes or duties (which are negligible). Physical contingencies (representing 15 percent of base cost), however, were included in the calculation of rates of return. The rate of return was tested for sensitivity. If costs increased by 20 percent, the rate of return would be reduced to 19 percent. If benefits were reduced by 20 percent, the rate of return would be reduced to 18 percent. If benefits were to be delayed by one year, the rate of return would be reduced to 18 percent. 59. Employment and Income Distribution. An estimated 60,000 of the 75,000 farm families living in the coffee growing areas would be expected to benefit from the coffee improvement component and about 15,000 from the foodcrop program. An estimated 2,500 of the 10,000 families living in the highland areas are also expected to benefit from the foodcrop component. If successful, Project activities would lift beneficiaries in the coffee growing areas above the threshold of absolute poverty (from US$93 to US$129 equivalent) and lift beneficiaries in the highland areas to the threshold of absolute poverty (from US$68 to US$98 equivalent). In accordance with present pricing policies, farmers' shares of the gross earnings from incremental coffee production can be expected to be in the range of 55-60 percent. The benefits from incremental foodcrop production would accrue entirely to the participat- ing farmers and would be fairly evenly distributed. 60. Risks. The problems most likely to affect the Project would be implementation delays resulting from management difficulties. The appoint- ment of key Project staff prior to negotiations and the establishment of most of the physical infrastructure during the Project preparation pieriod should reduce these problems. The extension effort might be less successful than planned particularly in view of the difficulties encountered in obtaining increased output in previous projects in Rwanda; however, the emphasis on extension worker training and close follow-up of farmers in the field should offset this risk. Technical risks involving plant material to be used and agricultural practices to be promoted are low as the technology to be encour- aged has already been field-tested in Rwanda. The commercial risks are low, as forecasts of coffee prices have been based on prudent assumptions on expected world coffee production increases. PART V - LEGAL INSTRUMENTS AND AIJTHORITY 61. The Development Credit Agreement between the Republic of Rwanda and the Association, the Project Agreement between the Association and OCIR-Cafe and the Recommendation of the Committee provided for in Article V, Section I (d) of the Articles of Agreement are being distributed to the Executive Directors separately.  - 20 - 62. Special conditions of the project are listed in Section III of Annex III to this report. Additional conditions of effectiveness of the Credit would be the recruitment of two of the three extension specialists and execution of the Subsidiary Agreement, and completion of the audit of OCIR- Cafe's accounts (Section 5.01 of the Development Credit Agreement). There are no other special conditions. 63. I am satisfied that the proposed Development Credit would comply with the Articles of the Association. PART VI - RECOMMENDATIONS 64. I recommend that the Executive Directors approve the proposed Credit. Robert S. McNamara President Attachments March 11, 1981  AINEX I - 21 - Page 1 of 5 TABLE 3A RWANDA - SOCIAL INDICATORS DATA SHEET RWANDA REFERENCE GROUPS (WEIGHTED AVERiCES LAND AREA (THOUSAND SQ. KM.) - MOST RECENT ESTIMATE)-- TOTAL 26.3 AGRICULTURAL 15.0 MOST RECENT LOW INCOME MIDDLE INCOME 1960 /b 1970 t ESTIMATE /b AFRICA SOUTH OF SAHARA AFRICA SOUTH OF SAHAPA GNP PER CAPITA (USS) 80.0 110.0 210.0 260.0 868.0 ENERGY CONSUMPTION PER CAPITA (KILOGRAMS OF COAL EQUIVALENT) .. 11.0 17.0 80.0 699.4 POPULATION AND VITAL STATISTICS POPULATION, MID-YEAR (MILLIONS) 2.8 3.6 4.5 URBAN POPULATION (PERCENT OF TOTAL) 2.4 3.2 4.1 17.1 2F. 9 POPULATION PROJECTIONS POPULATION IN YEAR 2000 (MILLIONS) 8.0 STATIONARY POPULATION (MILLIONS) 24.0 YEAR STATIONARY POPULATION IS REACHED 2160 POPULATION DENSITY PER SQ. rM. 106.0 137.0 171.0 27.4 6:1.7 PER SQ. KM. AGRICULTURAL LAND 185.0 229.0 300.0 82.6 126.0 POPULATION AGE STRUCTURE (PERCENT) 0-14 YRS. 44.5 43.8 46.4 44.9 45.5 15-64 YRS. 53.0 53.2 50.8 52.2 51.6 65 YRS. AND ABOVE 2.5 3.0 2.8 2.8 2. 8 POPULATION GROWTH RATE (PERCENT) TOTAL 2.2 2.6 2.9 2.7 2.7 URBAN 11.5 5.3 6.2 6.8 4. 9 CRUDE BIRTH RATE (PER THOUSAND) 51.0 50.0 51.0 47.4 46.8 CRUDE DEATH RATE (PER THOUSAND) 27.0 22.0 19.0 19.6 16.4 GROSS REPRODUCTION RATE 3. 3/c 3. 4 3.4 3.2 3.2 FAMILY PLANNING ACCEPTORS, ANNUAL (THOUSANDS) .. .. USERS (PERCENT OF MARRIED WOMEN) .. .. POOD AND NUTRITION INDEX OF FOOD PRODUCTION PER CAPITA (1969-71-100) 81.0 102.0 103.0 91.8 94.0 PER CAPITA SUPPLY OF CALORIES (PERCENT OF REQUIREKENTS) 80.0 96.0 98.0 90.2 92. 7 PROTEINS (GRAMS PER DAY) 49.0 61.0 59.0 53.0 '53.0 OF WHICH ANIMAL AND PULSE 25.0 34.0 30.0 18.4 15.6 CHILD (AGES 1-4) MORTALITY RATE 41.0 32.0 27.0 27.7 21.3 HEALTH LIFE EXPECTANCY AT BIRTH (YEARS) 37.0 42.0 46.0 45.3 50. 1 INFANT MORTALITY RATE (PER THOUSAND) .. 127.0 ACCESS TO SAFE WATER (PERCENT OF POPULATION) TOTAL .. .. 35.0 23.2 31.0 URBAN .. .. 41.0 58.0 66.8 RURAL .. .. 35.0 16. 8 ACCESS TO EXCRETA DISPOSAL (PERCENT OF POPULATION) TOTAL .. 53.0 57.0 28.9 URBAN .. 83.0 87.0 67.0 RURAL .. 52.0 56.0 POPULATION PER PHYSICIAN 138095.0 / 57629.0 36442.0 30910.4 14'508.2 POPULATION PER NURSING PERSON 11197.0Jd 7292.0 9827.0 5793.2 3279.5 POPULATION PER HOSPITAL BED TOTAL .. 760.0 611.0 1198.9 1141.5 URBAN .. 32.0 RURAL .. 3994.0 ADMISSIONS PER HOSPITAL BED .. 21.2 21.3 HOUSING AVERAGE SIZE OF HOUSEHOLD TOTAL .. .. URBAN .. .. RURAL .. .. 4.5 AVERAGE NUMIBER OF PERSONS PER ROOM TOTAL .. .. URBAN .. .. .. RURAL .. .. .. ACCESS TO ELECTRICITY (PERCENT OF DWELLINGS) TOTAL .. .. .. URBAN .. .. .. RURAL .. .. ..  -22- ANNEX I Page 2 of 5 TABLE 3A RWANDA - SOCIAL INDICATORS DATA SHEET RWANDA REFERENCE GROUPS (WEIGHTED AVEAGES - MOST RECENT ESTIMATE)- MOST RECENT LOW INCOME MIDDLE INCOME 1960 /b 1970 /b ESTIMATE /b AFRICA SOUTH OF SAHARA AFRICA SOUTH OF SAHARA EDUCATION ADJUSTED ENROLLMENT RATIOS PRLIARY: TOTAL 49.0 70.0 61.0 57.7 61.7 MALE 68.0 79.0 66.0 74.2 69.2 FEMALE 30.0 62.0 57.0 54.1 51.4 SLCONDARY: TOTAL 2.0 2.0 2.0 10.0 20.6 MALE 2. 0 3.0 3.0 13.7 29.2 FEMALE 1.0 1.0 1.0 7.1 14.7 VOCATIONAL ENROL. (i OF SECONDARY) 40.0 12. 0 17.0 6.8 7.0 PUPIL-TLACHER RATIO PRIMARY 39.0 60.0 53.0 45.0 36.6 SECONDARY 14.0 13.0 15.0 25.2 24.3 ADULT LITERACY RATE (PERCENT) 16. O/d .. 23.0 25.5 CONSUMPTION PASSENGER CARS PER THOUSAND POPULATION 1.4 1.0 1.6 3.6 38.8 RADIO RECEIVERS PER THOUSAND POPULATION .. 8.0 16.0 31.5 83.5 TV RECEIVERS PER THOUSAND POPULATION .. .. .. 1. . NEWSPAPER ('DAILY GENERAL INTEREST") CIRCULATION PER THOUSAND POPULATION .. .. 0.04 4.6 24.2 CINEMA ANNUlAL ATTENDANCE PER CAPITA .. .. 14.6 0. 7 LABOR FORCE TOTAL LABoR FORCE (THOUSANDS) 1563.6 1940.6 2369.1 PDIALE (PERCENT) 48.7 48.3 48.0 33.5 38. 1 AGRICULTURE (PERCENT) 95.4 93. 2 91.0 80. 7 54. 3 INDUSTRY (PERCENT) 1. 1 1.6 2.0 8. 1 17.8 PARTICIPATION RATE (PERCENT) TOTAL 55.4 54.0 53. 2 42.2 38. 8 MALE 57.6 56.5 55.9 55.1 48.4 FEMALE 53.4 51. 6 50.6 29.5 29.4 ECONOMIC DEPENDENCY RATIO 0.9 0. 9 0. 9 1.2 1.3 INCOME DISTRIBUTION PERCENT OF PRIVATE INCOME RECEIVED BY HIGHEST 5 PERCENT OF HOUSEHOLDS .. HIGHEST 20 PERCENT OF HOUSEHOLDS .. LOWEST 20 PERCENT OF HOUSEHOLDS LOWEST 40 PERCENT OF HOUSEHOLDS .. POVERTY TARGET GROUPS ESTIMATED ABSOLUTE POVERTY INCOME LEVEL (US$ PER CAPITA) URBAN .. .. 148.0 138.2 RURAL .. .. 85.0 86.1 ESTIMATED RELATIVE POVERTY INCOME LEVEL (USS PER CAPITA) URBAN .. .. .. 107.0 RURAL .. .. 43.0 65.0 ESTIMATED POPULATION BELOW ABSOLUTE POVERTY INCOME LEVEL (PERCENT) URBAN .. .. 30. 0 RURAL .. .. 90. 0 66.9 Not available Not applicable. NOTES /a The group averages for each indicator are population-weighted arithmetic means. Coverage of countries among the indicators depends on availability of data and is not uniform. lb Unless otherwise noted, data for 1960 refer to any year between 1959 and 1961; for 1970, between 1969 and 1971; and for Moat Recent Estimate, between 1974 and 1978. Ic 1957; /d 1962. Mcst recent estimate of GNP per capita is for 1979, all other data are as of April, 1980. October, 1980  - 23 - ANNEX I Page 3 of 5 DEFLINI_TIONS (in SQU IAL INyLcT'.ul Piseit Olcoog,. ti dune it,decen Irae sr consg...rei. Jugdtems stonoiead reliable, ct should mIn be noted nha: the- ma, not be inter- natonaly omarale ecetnel hc ac of lenaoandizod delieitlion ao, coocopt-' use bo 'dnleocIct - icn no ocletn thedos daarenn- theess uotu tdese fi edue i eoc nude Inicaite trends, and oh-aracrnlac cnu-i e c dittec.ube ; ate uontlie of the mebleot -notocIeen u o upii Srcio 01 t,Eposrsgop eStesOle c Soroh Arued M eii feeti chosen bsoaame of strogec anniecuttraT fitrtleu. I: thertroc gru en h ae..reg.. .ee populoti-oeiabt-d arhtbntl -n. for aezhnn, rmonud ehows nnl-7 roant a least alf ofthrooanrircIn a geuf 'e dotefor tha ndunn.Nic tine cevrage oh conrnna og ton ..indIctor d.p-erd noteuohatlls o data -4 i not -nlnm c_ nc ms ..... eeceoin ecitng . . .vema el ... eilna--n ear-hr. ICh-a s ege ir- ni afi.n emaegthe na1ue of ... indluateasatoIeamoo-gohrcu.t- cod retern.ce gecp..P. IAND iRBA (thru-ea aq.km.l poultion -e Ph,mIotrrpiso ni deeld op sameer or practitieg phy- Tete1 - Total surface ara ne-pr" ig ledorsad intodaen. liens. qualIfied tree a dlm achna at f u ..nesiy leve. Agiclunl- teinate ef arcltue erausdtemoarl orpermnentY Poualn S Rms Pemo - Popolar-e dliodd bnIste fpatno for -rpi.psue, nabn n--cbn adoae n i fallen; 1977 dana. male and female graduate noes.s, peettinal e.rse., asd ...nistast tnurse. GNP PER CAPITA it - GNPp er onpine -slstnaa urn see nn no- nhn and e.ra. 'divdd by terrmetienme f optlbd ealated by Isae IeIeIo meho.d an Worl Bthte (1977-79 beau.); 1960, avilable is public and private genera ae .d syiolai.ed he.pta ende_ 1970, and 1979 data. habilitetleecntes opnt r establishmen ts permaaetlplstaffed LN.ERYCONSM .PTLNPER API-A- A ... 1 .o.-pI, Ifle- 11,1 Iby at le-ot on. pyios. Estish eotI. pvidieg prisnipally n..tsdis1 EnERGY C0NSINPTIN PEE cuilIg - aso dl e .......i . at c endneaereeg I oal rer arrest itpolo'ded. uRe-l hespitats, howne, nnod health and medice sodtigtt, ptroeu. etoal as odsyde-,nulea ed gnheeslie- c isnet Per thonnly afed yIl ePhypsI.i. (bus by e adi-aIsiees cnotfl iVo., o ol qialn e upita; 1960. 1910. end 1978 nus.mdef,ito. cIc I Ifeet-pnt noeandte o rsd dana. l~~~~~~~~~~~~~~imited ran ge of medical facilities. or-mais:a porpeecs Ib o hen asi- POPtULATION ANDS fETAL STATISTICS tela inilude Wits pnisnipa1 geseral aed perteliend h,eitle md r..nI beet tle oca o r he . bepitnn nsdmdictna trisy ceters. Tntnl Pepalantee. Mid-Year (milllons) - A. of JulY 1; 1960, 1970, h-p17N Ad isales prIneril. e - er!e o disos to rdshre Uehes Prleltise (p.enet of tesslI) - Rtaie of orhen to tota1 pepulnniee;II.hptl did bth.bIfb:. dfeetdefisiti_n of orb. as ees ma y ffeot nnmpa-olitny of data HOUS51NG ameg setrino:;i1960. 1970, and 1979 dnts.Aeee Sloe of HN.u.ebhld (ocr..s P., isoseb.hld) - tete1. orban. enedel .Peesl.tt. P-eletlon .ti. :b..d.190 A ho..ethold onsin fagruofedivid-lts who share tining qoe1rtar Petaien is y..e 210-lrespplnn rjotn r aado 90 coierml el .oe rldjec may or may vet be i-nloded is total populotios by age nod see and thei motlity and tenlofrts he h,o.mehoid for soeislparpeons Projecinpaaees r otatity IIIeI InpIne oI.f three te.e, asI-ueeenoe fissynro- tta. o'hes.so rua.. oraesit inglf epecntacy ahtrhioainwshnutepr biptrthnmeter f eenspret.i n"i aeb ts adrrleopd HIc-nnatio..al leesl,nad faute lie erpetanny tahil teing at 77.5 years. The pare- doe11ings, reapettnely. D.e11ise - 'ode -o-poreer-t Itrasu eend maters fee fertility reta als av three leel aes=ing danlsa to unoccu.pied Darts. feritIIIy aoording to Income level end pest family planning performance.. bosecfetIcito frees f dwlInr2 I- tota.- erbas. and rara1 - Eachi n..ntry Im then emeinmed one ot tbeeaise yombinatinna of aenalitty - oynna wlins. thtb eletic Liity in living qoarters an perne..tege and fertility trends for prejentien perpenee. of total, -vine, and ruro1 doeJli tgs reap-niv-ly. Inetnisarr osoto Is a a.tnimary pepalatie there In asgoth since the hirih easiI qa nthe daath,rate, and.also the agI traitore re- EDUEATION ma in notst. Ths Is ani d oe1 aftrferility rates decine5 iutdfueletNto ehe ealce -t ee of enae net repred-ctica rate, ohms each geea n Psimary school - tonal, male aend female-CGross tst1, male and femal of wemeereplanee islnacly. The statiasry population sle wa - enrollmen..t of all ages an the yrimary leve am perneategee of r-pe-tee esntmte.d.en the ,basist f the pre,Jenned faateino atthe popula.tion primary ochnl-age pplelt lone; noraly icciodes childen agad 6-11 im the yea lOtI nsdnhe rtee deie of fertility rate to replace- yasbtdjte fordiffern iegthm If primar ad-taios; for meon leel eunertes with u-l-erma cdeusio eIt.' i ayecedltpecn Yeee statin...ry pnpulatton Is reanhed -The year when statia..ary population since some ppile are blia or shov the official shool age. slee has been reac.hed. Seco.ndary enbool - statl mal and f"a_ - CmP.tad as boe-; .....adary Pepalani.Den.Ba tyn edoe..tleoreqairesa least. for ynara' of appvn-edprImary tnstractieal Pee so. bi. -Mid-year Vpepaltien pee square kilometer flat hentereal of pr-videm generarl,-venti-eil, or tno..her training iset-teni... for papib. "t" 11~~~~~~~~~~~~~~~~~~umal of 11 to 17 yearn of agel neteepandee ... aesea.. are genera11y Pee em k. aiala eland - competed as above fee agrir.a1tar1 load e..aded only. vaatoa naletIacnto1esdrl-Ictea tasitoeskea PepalaIne hg)Ax StErut... (percentl - Children (0-li years). working-age (15- incad teheica.I todnteintl,' eether programs wich operate indepe- 6Gyar) Imarcred (61 peara a ad aver as percetatges of mid-year pope- dnlydra dprass faeedty-sitnoe lanCes; 1960, 1970, ad198dta.Prltoherne-ti. -sad scodry i - totai. stdnt carolled ie Pooan rowth keae fprertoese1tl. errei - tete1 - A-nua groath brtes ef ntal. mid- primary enod marndary tenet divde by usheTt of tenhae te the year pepalatis fee 1950-60. 1960-7t, and 1970148.. nre-p-disg levels. Paetla ins Cret pttefeen to) - arba - Annea groth ennee of erbne pOpO- Adolt IItIr... rane (nernesnl - Literate AdaIte (able to e-d end write) laniesa far 1951-60C.t 196t-Pt, Isd 1970-78. as a pernestge of total ada1t popalatia aged 15 years and sever. Erode Bir th fae oe thead)- Annua live births per tha.....d f mdd-ye.n popalat irs; 1960, 1970, and 1978date. CONSUMPTI0 Erode tent Bes re theaead)I -Annea deatbe per nhnenod of mid-peer Peeseseer cars feer thousan nenalttoel - .Paeeger cars eampriae mater p haeis 9t, 1971, end 197 date, cars seating less thar et'gt per_t.o; aecladee anholases., hearses and Fre. esEpeedonti.n Nate - Average un fra dsaghtars a nones will hear Is ailitary eils her norma rsprd-tni-e period If abs experiannee pee..eent e-s-spanifi to fe- Rdie teetnra `an h..a.a.d popsl.ttirL - All types of receives- rra rilny eEs; uualy is-yer aeraeaending in 1960, 1970, aed 1977. branast gnrlpbi prtosn e euain acee mi fmlPnisn -Acespea Anea (tho..anad,) Annea musher of Iaceitoee ....end ra...ivere is . trsnies and Is yer I bnregistration of .ndi. e of bYiet-MNoorel d-eita ndrnopoa fnisi fam,ily pleinsigP~ro.ge_ nein effect; data for recent years may net he com.p-bla since mast eamenl E ofohldherin ealo I 1-g yers whd mbrthcotrol deIcedt l. Betivera free.l t IIen r.o...)...frnine frheann y~~~~~~~~~~~~~~~~~~~wsae Ciruh(Po freeetousand., eoalTVa - hn heaeae ie. ladw nf Peed Pr-acin ear isia(99-tltr adno.a cpt nop iso.dal aea intees eceppen,hef ned I asprindicet tab is n clenar earbais.inmediimsnoae rimry ood (.g.eacnas s b "dily" Iif toapear ahn leastrtifear onim VsIseeb. rOsDAtND NURTOf mgn hihaedilanotintret(egnffead cinem u Cno_l Atnac a atn a erBtde h mushe n t I Ier Let foed.LAgegt pre II_eo eah cea.s.ry d handeed en d iticket sod.vtdap .rng ythe yer,eincdioSg admeafse..IntdIne-tenidsmad Par neita enelv f calries rerceti. ofI resirem yNe)d - I Eampodiytifitp..ed from.. I-- -k energy eqoIveeto neth foodibsplesen evatlahlnetis eatry pe, e onitnLBt P IAtn...prItiCEr .,-B- h .bI. pe.r. dey.dAvailAbl regmpptse cepr else. .. d heei pod...ntly, bmeeslee oaldae PIre thouaaodm7 Economicall amine.. ptses dri- oieg. eI9n,nd hna sstn.BteppieeEo eanima feed ceede armedt foces e-ndgsmlydhtaooighawie,oo t,ec netee.eer...tImaapId.b.e thnedo pro ' hyalolgi9 elneed 8foe armalantil1978dana Ptep aI bnI nealern pevreo.entaIf tempoesana, bod weights,d agfr..(een)-Fml abrfrea seeng ftta ae ae sad men distrtbsnosf p. opodatplie, amd 1eblonn 0peetfewsea ernlo (eat ao oc in forming,yfPreanry, buntingRan Pe -Ypt eul of. inrcIt faam eR day)pli- Peolein enite ofe pe dspBt Ttad Lebro Fnrest) -tho-dr fi- in.. minIngy cti-neonion, manfetaIg se spyly. _dof odprdaI Ntdp1yo odisdfnda abn.i- adeatilp ae n gsa eonaeo ao oes;191 qolenoests Eonall coentetes stablishedrby.t enpravidl.fr-minimum.1in0andt1970 data alewre fI tgrd ofn tota proteing pe ayad 20.. i gi.rams fanIma andi. PartiGitaiu..n fae-prne... toal male nodfemale -90 P 19i7paio or pelst protein, tof ebi FA 10grame should be animl protei. Theme_ atne- anvnroaeomoe sttl ae n eaelbrfeea ardtar berthnthsdod5 es of na talperenein andy 23grams of penenaee oftoa.1ae sado female Iyopeacaiis of Intaege1.especfively endl esana an avagb fo the-I - eneld,prpoedb 0 pAl int thf hid 190 1971,andt197 dat., Thesr se ill' patiianertile relctn Beeld Ped Serey; 198-65, 170 ned1977 data.fihgI.pre.gott1 brf 6, 70nd91dt Per cenita neoteinsaynlo F rem emiml and dales - Protin eapply of feeddin- agc-ie.ntroctee ni.the pinpblaiof , end tong.nn metrend.ti fwo f ati ,r ined ! Ero afeooad per eed is gram - per- day; 191-5 1970i end 1977 dees EconmicYendnoEti- atofppunioner1ad65sdvr childnanes ll ieratitoBetatearntdnsard)- Annal-deths pefthoetnd1in tobth tonallabe196e0e aegep -ipo.1 so. chidrentbin his age gSDAp-; d for msdeloing coos nnire date danced from life tablee; 1961, 197t and 1977~~'. .. . I date.d bIb dISTt 8tdTt.O Pf e'It In ninth - p: n e .yed Petennagie oPRivte Incom n hon incshad id - tabrtiend bytohes- .rd. e. I .. I tb. th...f 75 g- f t..1 pr.i.-d 3 g5-percenvt, ihof 20.1 peI.eent, pooes 20 pericent nod p11-en h.P potent inelproein.. n - 8. - Average , somer.of year FOf life reaIing of I-Ie at biech; lOhIt. 1971 and 19P0 data. ~ ~ ~ ~ ~ ~ ~ ~ ~ ~~ie 7 d 95 .t. h.. LO. ..ilp.ln .t 1 rn hot et Oetmlny Sf~,jsr neoead) annual7. deths af lofh pteoidee one yonegPliEnTin TdRCA c_oii efat ertruaddo hfr.a. .n.maad7bsoltetfveriA,s - Level (If peeirj onnita -5 endha and roa- ACcessd tn -at Genr (pcat' of anathIel) - toa. uras andtb peratl.. - n t ' lthe ovt rn ineen lei