China - Agricultural Support Services Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No: 23194-CN IMPLEMENTATION COMPLETION REPORT (IDA-24620) ONA CREDIT IN THE AMOUNT OF SDR 83.7 MILLION (US$115 MILLION EQUIVALENT) TO THE PEOPLE'S REPUBLIC OF CHINA FOR AN AGRICULTURAL SUPPORT SERVICES PROJECT December 17, 2001 Rural Development and Natural Resources Sector Unit East Asia and Pacific Region This document has a restricted distribution and may be used by recipients only in the performnance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  CURRENCY EQUIVALENTS (EKlchange Rate Effective September 2001) Currency Unit = Yuan (Y) US$ I = At Appraisal (June 1992): Y5.45 Comnpletion Year (Septemrber 2001): Y8.tO Intermediate years as follows: 1992 & 93: Y5.82 1994: Y8.49 1995: Y8.32 1996: Y8.30 1997 to 2000: Y8.28 FISCAL YEAR January I - December 31 Weights and Measures Metric System ABBREVIATIONS AND ACRONYMS AHVSC Animal Husbandry and Veterinary Services Centre AQSIQ Administration for Quality Supervision and Inspection and Quarantine ATEC Agro-technical Extension Centre BAU Beijing Agricultural University CAAS Chinese Academy of Agicultucal Science CABTS China Agricultural Broadcasting and Television School CAS Country Assistance Strategy CATEC County Agro-technical Extension Centre CNCQSTF China National Centre for Quality Supervision and Testing of Feed CPMO Central Project Management Office DOA Department of Agriculture ERR Economic Rate of Retum FA Farmers' Association FAO/CP Food and Agriculture OrganisationlWorld Bank Cooperative Programme ICB Intemational Competitive Bidding ICR Implementation Completion Report IDA Intemational Developmnent Association IPM Integrated Pest Management IRRI International Rice Research Institute MOA Ministry of Agriculture MOF Ministry of Finance MTR Mid-Terrn Review NAHVSC National Animal Husbandry and Veterinary Services Ccntre NAPQS National Animal and Plant Quarantine Service NATESC National Agro-technical Extension Services Centre NPV Net Present Value OD Operational Directive OP Operational Memorandum PATEC Provincial Agro-technical Extension Centre PMO Project Management Office PPMO Provincial Project Management Office QAG Quality Assurance Group PLG Project Leading Group PMO Project Management Office PPMO Provincial Project Management Office SAR Staff Appraisal Report SDR Spial Drawing Rights SPF Specific pathogen-free WB World Bank WTO World Trade Organisation Vice President: Jernal-ud-din Kassum, EAPVP Country Manager/Director: Yukon Huang, EACCF Sector Manager/Director Mark D. Wilson, EASRD Task Team Leader/Task Manager Mohamed N. Benali, EASRD  FOR OFFICIAL USE ONLY CHINA AGRICULTURAL SUPPORT SERVICES CONTENTS Page No. 1. Project Data 1 2. Principal Performance Ratings 1 3. Assessment of Development Objective and Design, and of Quality at Entry 2 4. Achievement of Objective and Outputs 4 5. Major Factors Affecting Implementation and Outcome 8 6. Sustainability 9 7. Bank and Borrower Performance 10 8. Lessons Learned I1 9. Partner Comments 11 10. Additional Information 12 Annex 1. Key Performance Indicators/Log Frame Matrix 13 Annex 2. Project Costs and Financing 22 Annex 3. Economic Costs and Benefits 24 Annex 4. Bank Inputs 25 Annex 5. Ratings for Achievement of Objectives/Outputs of Components 26 Annex 6. Ratings of Bank and Borrower Performance 27 Annex 7. List of Supporting Documents 28 Annex 8 Implementing Agency ICR 29 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.   Project ID: P003559 Project Name: AGRIC. SUPPORT SERVI Team Leader: Mohamed N. Benali TL Unit: EASRD ICR Type: Core ICR Report Date: December 17, 2001 1. Project Data Name: AGRIC. SUPPORT SERVI L/C/TFNumber. IDA-24620 Country/Department: CHINA Region: East Asia and Pacific Region Sector/subsector: AE - Agricultural Extension; AR - Research KEY DATES Original Revised/Actual PCD: 06/01/90 Effective: 07/16/93 07/16/93 Appraisal: 05/22/92 MTR: 03/26/96 03/26/96 Approval: 02/23/93 Closing: 12/31/2000 06/30/2001 Borrower/lImplementing Agency: People's Republic of China/Ministry of Agriculture Other Partners: STAFF Current At Appraisal Vice President: Jemal-ud-din Kassum Gautam S. Kaji Country Manager: Yukon Huang Shahid Javed Burki Sector Manager: Mark D. Wilson Joseph Goldberg Team Leader at ICR: Mohamed N. Benali W. P. Ting ICR Primary Author: John Weatherhogg; Food and Agriculture Organization of the United Nations (FAO); Ajay Markanday (FAO); Burton E. Swanson (Consultant) 2. Principal Performance Ratings (HS=Highly Satisfactory, S=Satisfactory, U=Unsatisfactory, HL=Highly Likely, L=Likely, UN=Unlikely, HUN=Highly Unlikely, HU=Highly Unsatisfactory, H=High, SU=Substantial, M=Modest, N=Negligible) Outcome: S Sustainability: HL Institutional Development Impact: SU Bank Performance: S Borrower Performance: S QAG (if available) ICR Quality at Entry: S Project at Risk at Any Time: No  3. Assessment of Development Objective and Design, and of Quality at Entry 3.1 Original Objective: The project objective was to assist the Government in increasing agricultural production and farmers' income. This was to be achieved by strengthening the institutions that provided support services to farmers. The project aimed at increasing the efficiency of their operations and the effectiveness of their research, extension and other support programmes. It was expected that the indirect result of this improvement in institutions and programmes would be an increase in productivity and intensity of crop and livestock productions. The above project objectives were clear and well understood by the participating provinces and municipalities. The project's objective was fully in line with central and provincial policies and strategies as well as the Bank's Country Assistance Strategy. However, project design was ambitious with seven components including agro-technical extension, livestock services, seed production, quality control and regulatory services and animal and plant quarantine services spread out over some 10 provinces and the Beijing and Shanghai municipalities. Project organisation and management arrangements were not well developed. The Ministry of Agriculture (MOA) was to have overall responsibility for the project, but the Ministry of Finance was made responsible for financial management. A Special Account was provided which was to be administered by a Central Project Management Office (CPMO) under MOA. This degree of complexity and wide area coverage was highly demanding of project management. In view of the project's size and complexity the project design envisaged that the central and provincial PMOs would play a major role in supervision of the project's progress. The project was prepared with assistance of the FAO/CP over the period 1990-1991, appraised in 1992, approved in February 1993 with credit effectiveness in July 1993. Total project costs were estimated at US$ 238.3 million, including an IDA credit of US$ 115 million (SDR 83.7 million). 3.2 Revised Objective: The project's objectives remained unchanged throughout the extended implementation period. 3.3 Original Components: The project had the following seven components: a) Agricultural Management and Information. Restructuring the extension services of the agricultural departments at the national, provincial and local levels, improving their management capability and establishing information, networking, monitoring and evaluation systems. b) Agricultural Extension Services. This included five activities: (i) reorganising the Agro-technical Extension Centre (ATEC) system by integrating subject matter specialisation at each level and creating new extension, training and communications units at all levels; (ii) provision of laboratories, training and office facilities, vehicles and equipment to the ATECS; (iii) in-service education and training for ATEC staff; (iv) farming systems and adaptive research as part of a demand-driven research programme to field test new technologies; and (v) support expansion of farmers' associations as a means of strengthening feedback linkages between extension and farmers, and extension linkages with research institutes, agricultural universities and colleges. c) Seed Supply Services. The project provided finance for civil works, equipment, training and technical assistance mainly for county seed companies but also for some provincial and municipal -2 -  companies. The project also supported reorganisation to allow seed testing and certification to be separated from seed production, providing laboratories and equipment for this purpose. d) Livestock Services. This consisted of two sub-components, Livestock Field Services were improved through investment in facilities, equipment and training for the Animal Husbandry and Veterinary Service Centres (AHVSC); and Livestock Support Activities which included investments to establish: (i) a National Animal Husbandry and Veterinary Service Centre (NAHVSC); (ii) a specific pathogen-free (SPF) vaccine egg production unit in Nanjing; (iii) a National Plant and Livestock Genetic Resource Centre under the Chinese Academy of Agricultural Science (CAAS); and (iv) a national Veterinary Diagnostic Reference Laboratory with Epidemiology and Library Units under the Beijing Agricultural University (BAU). e) National Animal and Plant Quarantine Services. This included upgrading laboratory and quarantine facilities, provision of local and overseas training and technical assistance to allow for the modemisation and streamlining of quarantine practices. f) Quality Control and Regulatory Services. The component supported: (i) development of effective regulatory and monitoring services for fertilisers and pesticides, including the Institute for Control of Agrochemicals (ICAMA) at the national level and its counterpart agencies at the provincial level; (ii) establishment of provincial seed testing laboratories and improvement of provincial and prefectural inspection facilities; (iii) upgrading the human and physical resources of the National Control Institute for Veterinary Bioproducts and Pharmaceuticals and nine provincial centres; (iv) upgrading of human and physical resources of the China National Centre for Quality Supervision and Testing of Feed (CNCQSTF) in Beijing, and nine provincial centres; (v) the establishment of a new National Centre for Quality Control of Veterinary Equipment under the NAHVSC; and (vi) the establishment of a new National Centre for Quality Control of Veterinary Products, also under the NAHIVSC. g) Project management. This included strengthening national and provincial project coordination offices by providing equipment, facilities, training, technical assistance and study tours. The components were generally well related to achieving the project's objectives. However the high degree of complexity both in component and area coverage proved a heavy task to implement. Also, the provision in the project design for the CPMO to administer the Special Account does not appear realistic in a situation where the design also assigned responsibility for financial management to the Ministry of Finance (MOF). The inability of the project management the CPMO to use the Special Account to provide flexibility in financing initial expenditures prevented any assistance being given to the more poverty affected prefectures and counties who had difficulty in raising the necessary counterpart finance required. Adjustments following the mid-term review in 1996 were relatively minor. They consisted of some reallocation of funds to allow for higher than expected expenditure on goods and services. As a result, credit allocation for goods was increased and that for civil works reduced. In addition, due to entrance exam requirements most provincial, prefecture and county level ATEC staff had difficulty entering master's courses and long-term training was accordingly converted into 1-year Extension Diploma courses, and B.Sc. degree and 3-year agricultural college diploma courses. In addition, short-term in-service training was substantially expanded. With the rapid development of technology, it was decided to spend more on computer procurement, with corresponding reduction in other items such as on-fann research equipment. -3 -  3.4 Revised Components: Component; Cost; Rating CROP/EXTENSION; $100,000,000.00; S SEED; $28,500,000.00; S LIVESTOCK; $97,700,000.00; S QUARANTINE SERVICES; $12,100,000.00; S 3.5 Quality at Entry: This project was not rated for quality at entry. The rating at completion is satisfactory, since the project was fully in line with Government policies and strategy and a timely investment initiative. Project design could have been improved avoiding any ambiguity over project fmacial management responsibilities - particularly in regard to operation of the Special Account. 4. Achievement of Objective and Outputs 4.1 Outcome/achievement of objective: The project has successfully achieved its objectives. Performance in project implementation is generally uniformly successful, but shows some variation from highly successful performance in strengthening ATECs and AHVSCs at the township and county levels to a lesser impact on municipal and provincial services. The project objectives and achievements were completely in line with the Government's Ninth Five Year Plan (1996-2000) and with the Country Assistance Strategy (CAS of February 25, 1997). 4.2 Outputs by components: Agricultural Management and Information. As proposed, MOA successfully established a new data base and information retrieval system which was commissioned in 1995. The China Agricultural information web site established (www.agri.gov.cn) was one of the earliest in the country. The system provides the means for conveying information on policies, technology and mnarkets to farmers as well as for collecting local agricultural production information. Agricultural Extension Services. The project successfully strengthened the National Agro-Technology Extension and Service Centre (NATESC) and the ATECs in 9 provinces, 13 prefectures (or municipalities), 55 counties and some 705 townships. This included construction or rehabilitation of over 215,000 mr of offices, laboratories, training and sales rooms and supply of 780 vehicles and almost 13,000 items of laboratory and training equipment. In many cases, civil works targets have been significantly exceeded since land scarcity and building regulations encouraged taller buildings than those foreseen at appraisal. The irnprovement in infrastructure and facilities has had a particularly beneficial impact at the township level where ATEC staff were normally housed in local government offices which were inadequate and very poorly equipped. Reorganization of the ATEC system, in particular to combine the four elements of extension; soil and fertiliser technology; plant protection; and seed technolgy aspects was developed in module form with the help of foreign technical assistance in 1993. The following year, each project entity formulated its reorganisation based on this module and modified it as necessary to fit with their own requirements. Following the lead of the NATEC, starting in 1995, some project units started trial operation of a reorganised structure. However, in most cases, reorganisation was effectively frozen as a result of government's overall national government services reforms. As a result, to date only the NATEC, a couple - 4 -  of provincial ATECs (PATECs), most county ATECs (CATECs) and all township ATECS (TATECs) have completed the reorganisation. As a result of the project, a large and important programme of training has been completed. A total of 190 staff took overseas training and study tours, almost 12,000 staff took long-term domestic training - of which 261 were for Masters and Post-Graduate Degrees and 3,112 completed 1-year Extension Diploma courses; more than 30,000 staff took short term technical training courses. In addition overseas and domestic training was provided by the Intemational Rice Research Institute (IRRI), including foreign technical assistance by the IRRI staff to institutionalize adaptive research training capacity within each province (PATECs). Pilot development of Farmers'Associations (FAs) has proven successful. Following studies by the Central Station for the Administration of Rural Cooperative Economy, technical assistance in 1993 and 1994 and a programme of overseas study tours by 28 FA specialists from MOA, five pilot counties have been selected. In these counties, in-depth studies have been made to review the organisation and operation of FAs. Information from these studies has been presented at a 51 person seminar, including intemational participants and representatives from the five pilot counties, with a view to applying the experience more generally in encouraging development of FAs. As a result of the project, 13,362 new FAs and 2,244 new livestock associations (LAs) have been established. In a similar manner, six counties have been selected to pilot Integrated Pest Management (IPM) technology and methods, focusing on rice, cotton and vegetables. Over the period 1993 to 1995, a total of 60 farmer field schools were conducted, over 4,000 people received training of trainers instruction and more than 42,000 farmers were trained. Since MOA was not in a position to recover costs of the IPM pilot activities and repay credit funds, after 1995 the programme has been continued using regular budget appropriations Sichuan Province alone currently spends over US$2 million annually from its own resources on IPM. Investment in equipment for the China Agricultural Television and Broadcasting School (CATBS) in 1995 and staff training programmes have had a very satisfactory impact. Some 26 teaching-by-video courses have been produced with a total running time of 258. Fourteen programmes on practical agro-technology and teaching materials with a running time of 35 hours were also produced. These programmes have been broadcast on CCTV and by the China National Education TV station, as well as being released as videocassettes or VCDs for use by the CATBS at all levels, thereby supporting higher education and technical training of farmers. Seed Supply Services. The project financed the construction of over 96,000 m of offices, seed testing laboratories, seed processing sheds, warehouses and drying floors at 60 locations and provided 188 vehicles and over 1,500 items of laboratory, processing and office equipment. Training included overseas training and study tours for 53 staff; domestic postgraduate, college and professional education for 283 technicians; and short-term training for over 10,500 staff. The separation of seed production and regulatory functions was satisfactorily introduced during the project, so that by the end of 2000 the division of these functions was complete at all project sites. All the seed companies are commercially operating and financially autonomous entities, many of which have already taken some steps to becoming private companies. Regulatory aspects continue to be under DOA and include seed testing, certification, popularisation of new varieties and market management. - 5-  Livestock Services. The project established the National Animal Husbandry and Veterinary Services Center (NAHVSC) and strengthened the AHVSC system in 9 provinces, 18 prefectures, 56 counties and 308 townships. This included the construction or rehabilitation of over 201,000 m of offices, laboratories, training and sales rooms, provision of 549 vehicles and about 12,000 item of laboratory and training equipment. A large training programme was also financed, which provided overseas training and study tours for 387 staff and domestic training, both long and short-term, to more than 92,000 staff. As with the ATEC component the targets set for building sizes at appraisal were generally exceeded and the impact has been most pronounced at the township level where the improved facilities - both in buildings and equipment, together with the staff training programme, have enabled a dramatic increase in the volume and quality of the services delivered. The Specific Pathogen Free (SPF) egg production unit has also been developed as envisaged at Nanjing. With foreign technical assistance, an AHVSC reorganisation module was developed in 1993 and subsequently used by the provinces to draw up reorganisation plans. Starting in 1995 some provinces and municipalities have undertaken their reorganisation, despite being delayed or halted by the government's more general reform programme. At credit closing the reorganised plan had been adopted by the NAHVSC and the AHVSCs in the provinces of Heilongjiang, Hebei and Henan and the Guangxi Autonomous Region and the municipality of Beijing. National Animal and Plant Quarantine Services (NAPQS). The full programme of building construction foreseen at appraisal was not carried through, only 1,670 m' being built, compared with the SAR estimate of 4,470 mn. This was partly accounted for by the decision to reduce the number of quarantine facilities to be developed and also the fact that in 1998 the NAPQS was split off from MOA and combined with the former Sanitation and Quarantine Bureau of the Ministry of Health and the former China Commodities Inspection Bureau. These three entities were combined to form the State Administration for Quality Supervision and Inspection and Quarantine (AQSIQ). This changed institutional arrangement meant that component implementation was prematurely completed in 1998. Despite this, equipment procurement was in line with appraisal estimates - 370 sets of laboratory equipment, as well as computers, office and training equipment. The training programnmes have been carried out more or less as planned with some reductions in overseas training due to the shorter implementation period. Thus about 260 months of overseas training were completed and 74 months of study tours, in both cases about three quarters of the SAR targets. Domestic training delivery at 1,350 months was in line with SAR expectations. Use of foreign technical assistance was broadly in line with SAR estimates and was considered particularly valuable by AQSIQ. Quality Control and Regulatory Services. With the project's support, eight provinces and the Beijing municipality have upgraded their fertiliser and pesticide testing laboratories. With the exception of the latter, all have obtained certification from the national or provincial Bureau of Technical Supervision, which gives them authority to supervise quality and also arbitrate disputes. Beijing's application remains to be processed. As mentioned above the arrangements for seed testing, inspection and certification have been developed as foreseen at appraisal. The project strengthened national laboratories for the testing and quality control of veterinary bioproducts, pharmaceuticals, feed, and veterinary instruments; as well as to establish a national laboratory for animal products quality testing and control. At the provincial level, the project has improved laboratories for testing and quality control of animal pharmaceuticals and feed, and strengthened laboratories for veterinary - 6 -  diagnosis. As a result, all national and provincial quality control laboratories have obtained authorisation from the national or provincial level Bureau of Technical Supervision to conduct quality supervision and arbitration for these veterinary bioproducts, pharmaceuticals, feed, and instruments, exceeding the target set at appraisal. At prefecture (municipality) and county levels, the AHVSC laboratories have been upgraded and some have been certified by the local technical supervision bureaus. Project Management. The project provided buildings, equipment, technical assistance and training to the MOA Central Project Management Office (CPMO) and for the provincial PMOs. This support materially assisted successful project implementation. 4.3 Net Present Value/Economic rate of return: The ERR was recalculated for the crop and livestock component separately and for the project as a whole. For the project as a whole the ERR was re-estimated at 48%, (NPV at a 12% discount rate is estimated at Y3.4 million) compared to 49% at SAR for Scenario II, considered then the most probable outcome. 4.4 Financial rate of return: Yield Growth. Crop yield in the project areas has increased over the pre-project level and costs have decreased. According to a farm household sample survey carried out in June 2001 yields of the main crops in the pre-project situation, areas not covered by the project (Without Project) and in the project situation, together with yield projected at SAR are as follows. At SAR At ICR Crop Existing Without W With Project Before Without With Practice Project improved New tech. Project Project Project -existing tech. Ideve_opment_ ........................................... metric tons per ha .................................................... Rice 5.0 5 .6 6.2 6.6 5.6 7.2 7.5 Wheat 2.5 2.7 3.2 3.5 3.2 3.3 4.0 Maize 3.4 3.8 4.4 4.9 4.0 4.6 4.8 Soyabean 1.4 1.5 1.8 2.1 1.4 1.4 1.6 The financial analysis is based on the June 2001 survey in areas covered by the project (the with-project situation) as well as areas outside the project (without-project situation). The farm models derived from the survey show no significant difference in farning systems. The main impact of the project appears to have been rather in improving productivity and hence incomes in the project areas. Annual farm incomes with project as set out in the SAR and those calculated at ICR are summarised in the table below: Estimate of Annual Farm Income Yuan) At SAR At ICR With project** With projectWithout roject Crop farning system*** 2,294 3,4682,970 Livestock farming system*** 6,519 6,5956,300 ** Adjusted to 2001 price using CPI extrapolated from per capita income at SAR using 3.7 personslhh and scenario II adoption rates. * Provincial with and without project average -7 -  4.5 Institutional development impact: Project impact on institutional development has been positive and substantial. The institutional restructuring of ATEC and AHVSC systems has not been completed, largely due to the government's more general institutional reforms mid-way through implementation. However, although in several provinces and prefectures (municipalities) the institutional structure remains unchanged, at the county and township level (where close integration of services is really essential) the restructuring has been generally adopted. Moreover, many of those provinces and prefectures that have not yet changed are contemplating restructuring according to the pattern demonstrated by the project. In addition, the staff at all levels in the concerned agencies have acquired valuable experience in project planning and implementation. It is of particular interest that whereas at preparation and the early stages of implementation greatest priority was given to building construction and using project funds for creation of fixed assets, at ICR, the majority of project staff stated that the most valuable aspect of the project was in its training programmes. The large training programmes financed by the project have had a profound impact in improving institutional competence. 5. Major Factors Affecting Implementation and Outcome 5.1 Factors outside the control ofgovernment or implementing agency. Agricultural development and project implementation suffered from the severe floods in both 1994 and 1998. Rapidly developing technology in computers, scientific and training equipment intensified the difficulties associated with bulking of procurement for ICB. 5.2 Factors generally subject to government control: Government's overall programme for the reform of government institutions had a major impact on the project, slowing or stopping the institutional restructuring promoted by the project. Also, the Special Account set up for the project was intended to be administered by the CPMO of MOA, but in fact was maintained and managed by MOF. As a result, the Special Account never operated to provide the flexibility and fund availability for initial expenditures which was its original purpose and objective. Apart from these two aspects, Government support to the project was generally good and compliance with covenants was satisfactory. Raising and allocation of counterpart funds was sometimes difficult for the poorer prefectures and counties. 5.3 Factors generally subject to implementing agency control: Implementation agency performance was generally satisfactory and contributed strongly to successful implementation of the project. The main difficulties were caused by the practice of bulking of procurement, mainly for ICB tendering. The problems in procurement were compounded by the rapid advances in technology and specifications of the items procured and the extended procurement period. The worst aspect of these difficulties was that the individual provinces had little control over the final procurement of the items. In some instances they found that the cost of the equipment supplied, and for which they had to repay, was higher than what they could have procured through local shopping. 5.4 Costs andfinancing: Total project cost at completion is estimated at US$214.4 million or about 90% of the appraisal estimate of US$238.3 million. Lower than expected costs are largely accounted for by economies in management and -8 -  operating expenditures and the early termination of the quarantine component. A total of SDR 81,789,055.91 (US$ 118,265,739.53 equivalent) was disbursed. This amount represents 97.7% of the total SDR 83.7 million (US$ 115 million equivalent). 6. Sustainability 6.1 Rationale for sustainability rating: Project sustainability is highly likely. Government commitment to the project continues to be high and policies for rural development aimed at increasing farm incomes and living standards have priority. The transition to a market economy has resulted in major reductions in public sector employment and the requirement that most public service institutions, such as crop and livestock extension, cover some or all of their operating costs. In anticipation of these changes, the project design incorporated commercialized agricultural services. Agro-technical extension centres sell seed, balanced fertilizer, and quality agrochemicals, while many counties have established fertilizer-blending plants. In the case of livestock extension stations, in addition to full cost recovery for artificial insemination (Al) services, vaccinations and the treatment of animals, township offices also sell livestock feed, antibiotics, and drugs. Extension centres use the profits from these commercial services to fund and expand extension services. As a result, most county and township level extension offices have become financially self-sufficient. In addition to funding extension programmes, ATECs (county and township) currently employ over 4,000 farmer technicians (contract employees) to provide one-on-one consultations to farmers, while the regular extension staff handles demonstrations and farmer training. This approach, which is now being widely adopted throughout China, has partially privatized crop and livestock extension and is expected to be maintained. The components' sustainability is therefore rated highly likely. All the seed companies included for support by the project are reported to be operating profitably. In some cases these have already developed from being merely financially autonomous to becoming companies with varying degrees of private ownership, including publicly quoted shares. The quarantine facilities charge for their services and are given very high priority by Government in view of China's entry to the World Trade Organisation (WTO). Sustainability of both the seeds and plant and animal quarantine components is also therefore highly likely. 6.2 Transition arrangement to regular operations: All the project facilities and infrastructure are owned and operated by the line departments, government agencies and seed companies involved in project implementation. Each of these have already operated the facilities for several years and have adequate allocations for operation and maintenance of the facilities. Some provinces plan to replicate the model established by the project to other counties. In 1998 Guangxi allocated Y30 million over five years to extend the basic project design to all counties and townships in the province, with some economies in equipment provided. Beijing is also extending the basic project design to all counties and townships in the municipality. 7. Bank and Borrower Performance Bank 7.1 Lending: Through identification, preparation and appraisal, Bank performance was generally satisfactory. However, with the benefit of hindsight the experience of implementation shows that the project design was over-ambitious, both in the range of components and the area coverage that could be attempted within a -9-  single project. It also now appears that project design was unrealistic, or even inconsistent, in believing that the Special Account would in fact be administered by the CPMO of MOA, while expecting MOF to be responsible for financial management of the project; as well as in expecting MOA to be able to play a major role in project supervision. 7.2 Supervision: Project supervision by the Bank was regular and generally constructive and supportive of project implementation. Supervision staffing for livestock aspects lacked continuity. Quite severe problems arose on procurement, largely as a result of bulking of items required by the various participating provinces. These difficulties could have been overcome by greater flexibility on the part of the Bank over procurement procedures to be adopted. 7.3 Overall Bankperformance: The overall Bank performance was satisfactory. Project objectives were relevant to the country's needs and Government and Bank development priorities and strategies. Project preparation, appraisal and supervision were generally satisfactory. The Bank also showed a sensitive and pragmatic approach in allowing extension of the credit closing by six months, so as to allow completion of staff training programmes and other activities. Borrower 7.4 Preparation: Experience has shown that the project design developed by the local teams, with the assistance of FAO/CP, was really too complex and had too large a geographic scope to be implemented as a centrally managed project. MOA's attitude during preparation was very positive, supporting a number of innovative ideas, including a much increased emphasis and investment in training, training and employment of women, greater commercialisation of services, and introduction of IPM and Farmers'Associations. Project design also included some ambiguity over the roles of MOA and MOF, in particular over adrninistration of the Special Account. 7.5 Government implementation performance: Government commitment and support for the project has been good and consistent throughout implementation. Government's national administrative reform programme had a markedly adverse effect on the project in slowing or stopping some of the institutional restructuring being supported by the project (at provincial and prefecture levels). Lack of control of the administration of the Special Account by the CPMO meant that the account was of no help in expediting the reimbursement of expenditures financed by scarce local counterpart funds, particularly for relatively poor prefectures and counties. Splitting off the NAPQS from the MOA in 1998 resulted in the ternination of the Animal and Plant Quarantine Services component without adversely affecting the plant quarantine devices. 7.6 Implementing Agency: The institutional arrangements for project implementation have proved adequate to bring the project to a successful conclusion. However, procurement aspects were particularly problematic. The centralised procurement and bulking of equipment into a few large tenders meant that individual provinces had less say than they would have liked in the equipment procured, while at the same time being wholely responsible for repayment of the equipment costs. Some special procurement arrangement and provincial staff training in procurement would have helped alleviate the slow execution of procurement actions. Despite the agreed - 10-  design as set out in the SAR, the CPMO did not administer the Special Account and consequently was unable to accelerate reimbursements to cover the cost of initial purchases financed by local counterpart funds. The CPMO never managed to develop the strong supervisory role expected of it in the SAR and project monitoring and evaluation (M&E) has been correspondingly adequate but not superior. Close coordination between the participating agencies has been generally good and arrangements made for future project operation and maintenance are satisfactory. The overall performance of the implementing agency is rated as satisfactory. 7.7 Overall Borrowerperformance: The overall performance of the borrower was satisfactory since the Government continued to support the project throughout the implementation period. All covenants were complied with and not in a timely manner. 8. Lessons Learned Lessons learned based on the review of the ICR mission are as follows: a) Strong, stable and consistent management both for the Borrower and the Bank is essential for the successful implementation of institutional development projects (para. 7.7). b) In multi-province projects, special arrangements and greater autonomy in project procurement needs to be given to the individual provinces in the interests of appropriate equipment procurement and good accountability (para. 7.2). c) Project staff should receive more substantial training in contract management, ICB and WB procurement procedures at or before project commencement if delays in implementation are to be minimised (para. 7.6). d) The project Special Account is intended to provide some accelerated reimbursement of expenditures made from local counterpart funds and can only operate effectively if it is managed by the agency responsible for project implementation (para. 7.6). e) Adequate funding and priority has to be given to monitoring and evaluation if project management is to have up to date and good information for project operation (para. 7.6). 9. Partner Comments (a) Borrower/implementing agency: Comments From CPMO Of MOA We believe the assessment of the project in the ICR generally reflects the actual situation of the project. We are satisfied with the mission's assessment for the achievements of project objectives, outputs, project management as well as supporting services. We appreciated very much the efforts made by all of the ICR mission members. However, we would like to propose that you make the following modifications. Section 2.1. We do not fully agree with the mission's assessment that project management was over centralized in the hands of CPMO with little autonomy provided to the participating provinces. This point was mentioned in paragraph 2, 5, 30, and 32 of the ICR several times. We think the point was over emphasized. CPMO's roles in the project are mainly to coordinate the project implementation activities - 11 -  and to monitor the progress of the project. We think what the CPMO did in terms of management was in full accord with its responsibilities as designed in the SAR ( SAR 4.2). We agreed that there was a few cases of over centralized management for how it should procurements, especially for ICB procurement of vehicles, fertilizer, steel, which was conducted in the early implementation period of the project. However, those ICB procurements mentioned above have all been agreed by PPMOs and have all been approved by the Bank. According to the Bank's procurement guidelines, it is impossible for each PPMO to do their own ICB procurement. Section 2.2. In paragraph 13, DOA should be replaced by "Center Station of Administration Rural Cooperative Economy". Section 2.3. There are two paragraph 29. Section 2.4. Paragraph 29( second ), Devaluation of the Yuan did not increase the need for counterpart funds, because the imported equipment was entirely paid for from the credit since equipment was 100 percentage financed from the credit. With the proposed changes mentioned above made to the ICR, we would be in full agreement with findings and assessment of the ICR mission. (b) Cofinanciers: N/A (c) Other partners (NGOs/private sector): N/A 10. Additional Information N/A - 12 -  Annex 1. Key Performance Indicators/Log Frame Matrix Key Performance Indicators Annex i OutcomelOulput Indicators Annex la Output Indicators Projected in Revised at Mid Term ActuallLatest SAR/PAD Review Estimate A. CROPS Agro-Technical Extension Centers Strengthened No Strengthened (and Reorganized Units)) (No Reorganized) National 1 1 1 (1) Provincial 9 9 9 (2) Prefecture 13 13 13 (2) County 52 52 55 (55) Township 649 649 705 (705) Civil Works Completed (mi) National 4,910 Provincial 24,580 26,696 34,196 Prefecture 27,455 28,126 28,666 County 71,962 73,746 79,133 Township 62,980 63,499 73,755 Total Civil Works (in) 186,977 192,067 220,660 Laboratories Completed & TBS Approved (Units) National CQ Labs (ICAMA) 1 1 1 Provincial Pesticide QC labs 9 9 10 Provincial Fertilizer QC labs 9 9 10 Prefecture Micro-nutrient soil tesbing 13 13 13 County Macro-nutrient soil testing 52 52 55 Total Labs Completed and TBS Approved 84 84 89 Human Resources Development In-Service Education (No of Persons) M.Sc. Degree 183 94 121 Post-Graduate Diploma (1 Yr.) 223 67 140 B.Sc. Degree (4 Yr.) 200 293 806 Agricultural College (3 Yr.) 90 664 1,614 Extension Diploma (1 Yr.) 174 1,281 3,112 CABTS Diploma (3 Yr.) 1,786 3,248 6,166 Total In-Service Education Completed 2,656 5647 11,959 In-Service Training (No of Persons) FSRICMT at IRRI 41 49 49 FSRICMT in provinces 319 1,959 9,068 Extension managemnent 250 2,916 7,224 Laboratory training 275 696 1,134 Quality Control 8 0 58 Overseas training 96 150 190 Video training 43 35 250 ComputerTraining 513 1,605 1,965 Other In-Service Training 272 8,977 10,270 Total In-Service Training Completed 1,817 16,387 30,208 Women Receiving In-Service Education Total No. of Women Receiving EdlTraining 14,970 Percent Women Receiving EdlTraining 30%1 30% 36% - 13-  Outcome/Output Indicators: Output Indicators Projected in Revised at Mid Actual/Latest SARIPAD Term Review Estimate B. SEEDS Separation of Seed Company from Seed Certification and Quality Control Labs (Units) _ National 1 1 1 Provincial 10 10 10 Prefecture 14 14 14 County 41 41 41 Civil Works Completed (m) . National NA NA Provincial NA NA 10,903 Prefecture NA NA 18,199 County NA NA 68.525 Total Civil Works (in2) NA NA 97,627 Laboratories Completed & TBS Approved (Units) Natonal 1 1 1 Provincial 10 10 10 Prefecture 14 14 14 County 41 41 41 Total Labs Completed and TBS Approved 66 66 66 Human Resource Development In-Service Education (No of Persons) M.Sc. Degree 8 8 10 B.Sc. Degree (4 Yr.) 85 51 80 Agricultural College (3 Yr.) 167 100 143 CABTS Diploma (3 Yr.) 0 0 50 Total In-Service Educaton Completed 260 159 283 In-Service Training (No of Persons) l Quality Control Training 296 2289 2621 Seed Produdion Training 732 2,213 3,186 Financial Management 852 1,536 1,934 Seed Processing 751 1,677 1,676 Language Training 22 123 132 Other In-Service Training 353 1,736 980 Total In-Service Training Completed 3006 9,574 10,529 Overseas Training (No of Persons) Seed Company Management 13 15 17 Quality Control Training 13 14 27 Other Overseas Training 9 9 9 Total Overseas Training Completed 35 38 53 Women Receiving In-Service Education Total No. of Women Receiving Ed/Training 990 2931 3,004 Percent Women Receiving Ed/Training 30%' 30% 28% - 14 -  Outcome/Output Indicators: Output Indicators Projected in Revised at Mid Term Actual/Latest Estimate SARJPAD Review C. LIVESTOCK Animal Husbandry Extension Centers Strengthened No Strengthened (and Reorganized Units)) (No Reorganized) Natonal 1 1 1 (1) Provincial 9 9 9 (5) Prefecture 18 18 18 (10) County 56 56 56 (56) Township 308 308 308 (308) Civil Works Completed (Sq Meters) National Provincial 29,654 NA 44,954 Prefectu re 35,212 NA 37,019 County 86,332 NA 94,306 Township 46,699 NA 25,008 Total Civil Works (Sq Meters) 197,897 NA 201,287 Quality Control Laboratories Strengthened & TBS Approved (Feed and Veterinary Units) National QC Laboratories (Feed, Vet, Equip.) 3 3 3 Provindal QC Laboratories (Feed & Vet.) 9 9 9 Total QC Labs Completed/TBS Approved 12 12 12 Diagnostic Laboratories (Units) National Vet. Disease Diagnostic Lab 1 1 1 Provindal Diagnostic Laboratories 9 9 9 Prefecture Diagnostic Laboratories 18 18 18 County Diagnostic Laboratories 56 56 56 Total Diagnostic Labs Completed 84 84 84 Provincial Cold Chain Vaccine Distibution System 9 9 9 (Prefecture-County-Township Units)) Specific Pathogen Free (SPF) Egg Production I 1 Facility (for vaccine prod. Units) Human Resource Development In-Service Education (No of Persons) M.Sc. Degree 23 Not specified 73 Post-Graduate Diploma (1 Yr.) 69 Not specified 98 B.Sc. Degree (4 Yrs.) 64 Not specified 184 Agricultural College (3 Yrs.) 165 Not specified 1,288 Technical School Diploma (2 Yrs.) 40 Not specified 1,787 CABTS Diploma (3 Yr.) 2,096 Not specified 7,481 Total In-Service Education Completed 2,457 10,911 In-Service Training (No of Persons) Livestock Mgt (includes spec. households) 4,336 Not specified 77,589 Animal Health (includes spec. households) 6,514 Not specified 55,545 Quality Control 450 Not specified 7,840 Project Management 392 Not specified 4,963 Computer Training 599 Not specified 2,723 Overseas training 207 Not specified 270 - 15-  Outcome/Output Indicators: Output Indicators Projected in Revised at Mid Term Actual/Latest Estimate SAR/PAD Review Other In-Service Training 752 Not specified 31,838 Total In-Service Training Completed 13,250 180,768 Women Receiving In-Service Education Total No of Women Receiving Ed/Training 2,626 28,031 Percent Women Receiving Ed/Training 28% 30% 21% D. QUARANTINE Civil Works Completed (Mn) 4,470 - 1,670 Equipment Laboratory 370 - 370 Training 1 - 1 Human Resource Development Overseas training (person mnonths) 357 - 259 Local training (person months) 1,352 - 1,370 Overseas study tours (person months) 98 . 64 Technical Assistance _ _ _ Intemational (person months) 10- 9.3 Domestic (person months) 100 66 -16 -  Key Performance Indicators Annex I Outcomellmpact Indicators: Annex lb Performance Indicator Unit Projected in SAR Actual A. CROPS Township Extension Activities Completed Farmer training courses No courses Not estimated 64.099 Farmers trained No Not estimated 45,460.164 Demonstrations completed No Not estimated 65,023 Extension leaflets prepared (types) No Not estimated 8,536 Extension leaflets distributed No distributed Not estimated 10,607,819 Fam er consultations No Not estimated 30,055.580 Soil samples collected No. Not estimated 67,033 Farmer Associations Estabished No. Not estimated 13,362 Commercialized Agricultural Servkes Seed sold Tons Not estimated 286.402 Compound or balanced fertlizer sold Tons Not estimated 3,946274 Other fertilizer sold Tons Not estimated 23,126.932 Pesticides sold 000 Y Not estimated 892,222 Increase i farmers technicans (TATES) No. added Not estimated 4,019 Gross CAS sales 000 Y Not estimated 7,046,661 Net profit from CAS 000 Y Not estmated 524,088 CAS investments in extension pmgrams 000 Y Not estimated 181 808 County Farmer technician training courses No courses Not estimated 12,532 Farmer technicians trained Number Not estmated 365,657 Extension leaflets produced Types Not estmated 11,177 Extension leaflets produced No distibuted Not estimated 7,563,035 Demonstrations planned and supervised No Not estimated 6,559 Adaptive research trials (CMT) completed No Not estimated 5.106 N-P-K soil tests completed No Not estimated 150,862 CommerializedAgicultural Services Not estimated Output from fertilizer blending plants Tornyear Not estimated 1,060,475 Gross CAS sales 000 Y Not estimated 4,833,661 Net proft from CAS 000 Y Not estmated 228,101 CAS investments in Ext. Programs 000 Y Not estmated 117,843 Prefecture Appled research trials (FSR) No of trials Not estmated 4,352 Micro-nutrient soil tests completed No completed Not estimated 3,164 Fertilizer quality oontrol samples tested No completd Not estimated 529 Training materials produoed No of tyes Not estimated 452 Training materials produced No disbuted Not estimated 562,772 County livestock staff trained No trained Not estimated 23,504 -17 -  Outcomelimpact Indicators: Performance Indicator Unit Projected in SAR Actual Provincial Pesticide 0C tests No completed Not estimated 14,789 Fertilizer QC tests No completed Not estimated 14,185 Training materials developed No of types Not estimated 347 Training materials developed No of copies Not estimated 1,354,956 Training videos developed No of videos Not estimated 433 Training videos developed Minutes Not estimated 10,872 Promotional videos developed No of videos Not estimated 893 Promotional videos developed Minutes Not estimated 79,393 Training courses organized No Not estimated 1,423 National Pesticide QC tests completed No completed Not estimated 3610 Fertilizer QC tests completed No completed Not estmated 3770] Training materials developed No of types Not estimated 86 Training materials developed No of copies Not esUimated 37400 Training videos developed No of videos Not estimated 21 Training videos developed Minutes Not estimated 541 Promotional videos developed No of videos Not estimated 42 Promotional videos developed Minutes Not estimated 1185 Training courses organized No Not estimated 144 Central Agricultural Television and Broadcasting School (CABTS) Distance Leaming Courses Developed No of new courses Not estimated 26 Training videos developed Hours Not estimated 258 Extension videos developed Hours Not estimated 35 Outcome/lmpact Indicators: Performance Indicator Performance at Project Performance at Project Percent Increase in Inception Completion Performance B. SEEDS Quality Control Laboratory Com Seed Samples-No Tested 10,937 16,492 51% Rice Seed Samples-No Tested 11,353 30,703 170% Wheat Seed Samples-No Tested 5,489 10,164 85% Soybean Seed Samples-No Tested 1,076 1,911 78% Oilseed Seed Samples-No Tested 1,362 1,855 36% Cotton Seed Samples-No Tested 413 1,625 293% Other Crop Seed Samples-No Tested 2,584 7,241 180% Total No. of Samples Tested/Yr. 33,214 69,991 111% Seed Produced (Tons) Com 211,358 253,717 20% Rice 32,118 76,642 139% Wheat 29,049 45,876 58% Soybeans 3,642 4,586 26% Other Oilseeds 984 1,470 49% Cotton 4,719 6,447 37% Other Crops 2,825 3,115 105% Total 284,693 391,851 39% - 18 -  Outcomenlmpact Indicators: Performance Indicator Performance at Project Performance at Project Percent Increase in Inception Completon Performance Seed Processed (Tons) _____ Comr 212249 259,725 22% Rice 30,442 76,423 151% Wheat 28,245 45,381 61% Soybeans 3,500 4,809 37% Other Oilseeds 1,111 1,519 37% Cotton 4,700 6,422 37% Other Crops 806 1,651 105% Total 281,053 395,929 41% Seed Sold (Tons) Com 213,563 259,881 22% Rice 29,759 74,810 151% Wheat 30,301 47,905 58% Soybeans 6,899 8,827 28% Other Oilseeds 1,206 '1,636 36% Cotton 4,714 6,538 39% Other Crops 1,891 2,448 29% Total 288,333 402,045 39% Gross An_nual Income (Y millions) 694 1,663 140% Net Annual Incorne (Y millions) 176 532 203% Performance Indicator Total Number Completed Training Courses Organized (No) 9,846 Farmers Trained (Total No) 2,466,10 Women Farmers Trained (No) 590,100 Women Farmers as Percent of Total 24% Outcome/impact Indicators: = Impact Indicators Actual/Latest Estimate Percent Increase 1993->1999 No of New HybridsNariebes Released Com 34 140% Rice 22 167% Wheat 43 150% Soybeans 0 0% Other Oilseeds 17 200% Cotton 0 0% Other Crops 17 700% - 19-  Outcome/lmpact Indicators: I Performance Indicators Unit Projected in SAR Actual C. LIVESTOCK _ ___ Township Improved Animal Services Vardnations Completed No (000) Not estimated 5,103,365 Diagnostic Samples Collected No (000) Not estimated 3,176 Animal TreatmenVFirst Aid No (000) Not estimated 14,623 Artificial Insemination Value (OOOY) Not estimated Y 153408 Extension Activities Completed Livestock producer training courses No courses Not estimated 34,449 Outcome/lmpact Indicators: Performance Indicators Unit Projected in SAR Actual Livestock producers trained No Not estimated 2,293,585 Demonstrations completed No Not estimated 98,107 Extension leaflets distributed No distributed Not estimated 1,762,756 Extension booklets distributed 941,662 Livestock producer consultations No Not estimated 68,978,028 Livestock associations (FAs) established No Not estimated 2,244 Spedalized households established No Not estimated 900,682 Commercialized Livestock Services (CLS) Livestock feed sold Tons Not estimated 915,589 Drugs and antibiotics sold 000 Y Not estimated 449,941 Increase in livestock technicians for CAS No added Not estmated 1,206 Gross CAS sales 000 Y Not estimated 1,464,862 Net proft from CAS 000 Y Not estimated 43,023 CAS investments in extension programs 000 Y Not estimated 4,342 County _ Livestock technician training courses No courses Not estimated 5.420 Livestock technicians trained ____ Persons trained Not estimated 427,766 Extension leaflets Copies distributed Not estimated 6,377,120 Extension booklets Copies distributed Not estimated 1,303,814 Demonstrations planned & supervised No conducted Not estimated 1,838,388 _Diagnostc tests No conducted Not estimated 1,907,558 Livestock Associations No established Not estimated 2,174 Commercialized Livestock Services ICLS)_ _-__ Livestock feed sold O_ OOY Not estimated 3,539,694 Drugs & antibiotics sold OOOY Not esfimated 915,465 Artificial Insemination -Value (OOOY) Not estimated 153,408 Gross CLS sales OOOY Not estimated 4,608,567 Net profit from CLS OOOY Not estimated 102,277 CLS investment in extension programs OOOY Not estmated 38,578 - 20 -  Performance Indicators Unit Projected in SAR Actual Prefecture Feed QC samples tested No samples Not estimated 8,750 Diagnosic tests No completed Not estimated 9,834 Training materials produced Copies distributed Not estimated 141,616 Training courses organized for county staff No courses Not estimated 1,988 County livestock staff trained Persons trained Not estimated 166,918 Provincial Feed & Veterinary QC samples tested No samples Not estimated 18,306 Diagnosic tests No completed Not estimated 68,865 Training materials produced Copies distributed Not estimated 4,320 Training videos developed No minutes Not estimated 760 Promotional videos developed No minutes Not estimated 1,520 Training courses organized for county staff No courses Not estimated 1,236 Outcomellmpact Indicators: Performance Indicators Unit Projected in SAR Actual National Feed QC samples tested No samples Not estimated 8,406 Veterinary QC samples tested No samples Not estimated 7,938 Diagnostc tests No completed Not estimated 3,986 Training materals produced Copies distributed Not estimated 5,568 Training videos developed No minutes Not estimated 1,830 Promotional videos developed No minutes Not estimated 960 Training courses organized No courses Not estimated 105 D. QUARANTINE '_L Technical extension No reached 94-98 Not estimated 3,280 Samples tested No '000 from 94-98 Not estimated 2,964 Staff receiving overseas training No from 94-98 Not estimated 236 Book pubishing No from 94-98 Not estimated 5 Research reports No from 94-98 Not estimated 155 Women engaged in the project No from 94-98 Not estimated 154 - 21 -  Annex 2. Project Costs and Financing Project Cost by Component (in US$ million equivalent) Appraisal Actual/Latest Percentage of Estimate Estimate Appraisal Project Cost By Component US$ million US$ million (Total Project Cost) Bank - 115.0; Govt. 123.3; CoF. 0 Crops/extension 83.30 97.50 117 Seeds 24.10 25.67 107 Livestock 81.73 84.62 104 Quality control Quarantine 10.00 6.66 66 Total Baseline Cost 199.13 214.45 Physical Contingencies 16.20 Price Contingencies 23.00 Total Project Costs 238.33 214.45 Interest during construction Front-end fee Total Financing Required 238.33 214.45 Bank financing was provided to a Credit of US$ 115 million Project Costs by Procurement Arrangements (Appraisal Estimate) (US$ million equivalent) Procurement Method Expenditure Category ICB NCB 2Other N.B.F. Total Cost 1. Works 0.00 64.30 2.80 0.00 67.10 (0.00) (32.20) (1.40) (0.00) (33.60) 2. Goods 43.90 6.00 7.30 0.00 57.20 (38.70) (3.00) (3.70) (0.00) (45.40) 3. Services 0.00 0.00 0.00 0.00 0.00 (0.00) (0.00) (0.00) (0.00) (0.00) 4. Miscellaneous 15.60 0.00 0.00 11.10 26.70 Vehicles (14.00) (0.00) (0.00) (0.00) (14.00) 5. Miscellaneous 0.00 0.00 28.00 0.00 28.00 Training and Technical (0.00) (0.00) (22.00) (0.00) (22.00) Assistance 6. Miscellaneous 0.00 0.00 0.00 59.30 59.30 Management and operating (0.00) (0.00) (0.00) (0.00) (0.00) costs Total 59.50 70.30 38.10 70.40 238.30 (52.70) (35.20) (27.10) (0.00) (115.00) Note: NIF- Vehicles; Reserved procurement of 660 vehicles valued $11.1 million. NIF- Management and operating costs; Include operation and maintenance of 660 vehicles valued $6.4 million. - 22 -  Project Costs by Procurement Arrangements (Actual/Latest Estimate) (US$ million equivalent) Procurement Method Expenditure Category ICB NCB Mtho'2 N.B.F. Total Cost NCB Other 1. Works 0.00 12.10 62.90 0.00 75.00 (0.00) (0.00) (0.00) (0.00) (0.00) 2. Goods 45.00 17.30 12.70 8.90 83.90 (0.00) (0.00) (0.00) (0.00) (0.00) 3. Services 0.00 0.00 0.00 0.00 0.00 (0.00) (0.00) (0.00) (0.00) (0.00) 4. Miscellaneous 0.00 0.00 0.00 0.00 0.00 Vehicles (0.00) (0.00) (0.00) (0.00) (0.00) 5. Miscellaneous 0.00 0.00 24.80 0.00 24.80 Training and Technical (0.00) (0.00) (0.00) (0.00) (0.00) Assistance 6. Miscellaneous 0.00 0.00 0.00 30.70 30.70 Management and operating (0.00) (0.00) (0.00) (0.00) (0.00) costs Total 45.00 29.40 100.40 39.60 214.40 (0.00) (0.00) (0.00) (0.00) (0.00) 'Figures in parenthesis are the amounts to be financed by the Bank Loan. All costs include contingencies. DIncludes civil works and goods to be procured through national shopping, consulting services, services of contracted staff of the project management office, training, technical assistance services, and incremental operating costs related to (i) managing the project, and (ii) re-lending project funds to local government units. Project Financing by Component (in US$ million equivalent) |Percentage of Appraisal| Component Appraisal Estimate Actual/Latest Estimate e Bank Govt. CoF. Bank Govt. CoF. Bank Govt. CoF. Crops/extension 43.50 39.80 51.95 45.54 119.4 114.4 Seeds 11.90 12.10 12.52 13.15 105.2 108.7 Livestock 38.10 36.70 46.47 38.14 122.0 103.9 Quality Control 3.60 3.30 0.0 0.0 Quarantine 6.00 4.00 5.57 1.09 92.8 27.3 Total 103.10 95.90 116.52 97.92 113.0 102.1 Appraisal Estimate - this is the Base Costs - 23 -  Annex 3. Economic Costs and Benefits Crop 3,551 66' 1,314 50 Livestock 1,340 31 1,633 47 Project 4,970 49 3,387 48 Estimates for Scenario 11 -24 -  Annex 4. Bank Inputs (a) Missions: Stage of Project Cycle No. of Persons and Specialty Performance Rating (e.g. 2 Economists, I FMS, etc.) Implementation Development Month/Year Count Specialty Progress Objective Identification/Preparation 3/90 4 OP, BD, LS, TTL 9/90 7 OP, RD, LS, BD, TTL, CS, E 4/91 3 TTL, LS, A Appraisal/Negotiation 7/92 7 TTL, BD, LS, A, SS, E, PA, 9/91 8 OP, BD, LS, A, TDS, SS, E, PA, Supervision 7/93 2 PA, A HS HS 11/93 3 OP, A, E HS HS 5/94 5 LS, ETS, QS, SS, A S S 9/94 3 BD, OP, A S S 7/95 5 LS, ETS, QS, A, E S S 3/96 5 LS, AER, SS, QS, A S S 7/97 5 A, LS, AER, QS, SS S S 7/98 5 LS, ETS, SS, QS, A S S 4/99 2 ETS, TM S s 3/00 2 TTL, AE S S 11/00 2 TTL, AE S S 3/01 2 TTL, AE S S ICR 9/01 3 ML, E, AERSC HS HS (b) Staff: Stage of Project Cycle [ Actual/Latest Estimate No. Staff weeks US$ ('000) Identification/Preparation 198.20 369.50 Appraisal/Negotiation 217.50 230.50 Supervision 168.93 570.00 ICR 4.00 25.00 Total 588.63 1,195.00 A = Agriculturist; AER = Agricultural Extension Research; AERSC = Agricultural Extension and Research Specialist; BD - Biodiversity; CS = Communication Specialist; E = Economist; ETS = Extension Training Specialist; LS = Livestock Specialist; ML = Mission Leader; OP = Operation Officer; PA = Procurement Analyst; QS = Quarantine Specialist; RD = Rural Development Specialist; SS = Seed Specialist; TM = Task Manager: TTL - Task Team Leader; TDS = Technical Development Specialist - 25 -  Annex 5. Ratings for Achievement of Objectives/Outputs of Components (H-High, SU=Substantial, M=Modest, N-Negligible, NA=Not Applicable) Rating FMacro policies O H O SU O M O N * NA FSector Policies OH *SU O M 0 N O NA F Physical * H O SU O M O N O NA F Financial O H * SU O M O N O NA 2 Institutional Development 0 H * SU O M 0 N 0 NA IEnvironmnental O H O SU O M ON * NA Social X Poverty Reduction O H O SU * M O N O NA 3Gender OH *SUOM ON ONA 0 Other (Please specify) O H OSUOM O N O NA F Private sector development 0 H 0 SU 0 M 0 N 0 NA Z Public sector management 0 H O SU O M 0 N 0 NA 0 Other (Please specify) 0 H 0 SU 0 M 0 N * NA - 26 -  Annex 6. Ratings of Bank and Borrower Performance (HS=Highly Satisfactory, S=Satisfactory, U=Unsatisfactory, HU=Highly Unsatisfactory) 6.1 Bank performance Rating [ Lending OHSOS OU OHU