Tanzania - Participatory Agricultural Development and Empowerment Project

1 ISDS THE WORLD BANK GROUP AWorld Frec ol Poverty "r'fmShop lte Wil Hank Report No: AC45 lintegratedl Safeguards Data Sheet (Updated) Date ISDS Prepared/Updated: 04/28/2003 Section I - Basic Information A. Basic Pro ject Data Country: TANZANIA Project ID: P067103 Project: Participatory Agricultural Development and Task Team Leader: Ladisy Komba Chengula Empowerment Project Authorized to Appraise Date: April 11, 2003 IBRD Amount ($m): Bank Approval: May 27, 2003 IDA Amount ($m): 56.58 Managing Unit: AFTRI Sector: General agriculture; fishing and forestry Lending Instrument: Specific Investment Loan (SIL) sector (70%); Sub-national government Status: Lending administration (30%) Theme: Rural services and infrastructure (P); Other rural development (P) I.A.2. Project Objectives: The project seeks to raise the production of food, incomes, and assets of participating households and groups in about 840 villages in a sustainable manner through the implementation of small agricultural development sub-projects planned and managed by community members and farmers groups. This objective will be achieved by: (i) empowering self-selected rural communities and farmers' groups to make decisions regarding choice of sustainable and remunerative productive technology; (ii) sharing of costs by the public sector and participants, and hence sharing the risk of adoption of improved technologies, again for self-selected participants; (iii) enhancing demand for products and services provided by the private sector in rural areas by increasing the purchasing power of participating groups and encouraging the growth of savings; (iv) promoting improved land and crop husbandry practices by participants; (v) supporting the ongoing decentralization process at the district level; and (vi) partially financing maintenance and/or construction of roads, bridges, and other small sub-projects to improve access to markets. I.A.3. Project Description: The project has two components: (i) Community Agricultural Development Sub-projects; and (ii) Capacity Building and Institutional Strengthening. The total project cost is estimated to be US$ 69.99 million equivalent, of which IDA will finance US$ 56.58 million, beneficiaries will contribute US$ 11.82 million, and Government (national and district councils) will provide US$ 1.59 million. The project comprises of the Agricultural Development Subprojects, benefiting either the community at large, of a village (Community Subprojects) or a group of farmers in a village (Farmer  2 ISDS Group Subprojects) and complimentary Institutional Strengthening and Capacity Building Program at the district and community and national level. The subprojects will cover all aspects of community development initiatives such as identification, design, implementation, monitoring and evaluation using participatory approaches. The Capacity Building Program at the local level will cover identification, preparation and implementation of a capacity building program to support the community initiatives. The Capacity Building Program at the national level will cover aspects of Policy Planning and Regulatory Mechanism, Technology Linkages and Capacity for Project Implementation. Component 1: Community A2ricultural Development Sub-projects This project component will consist of (a) Community Investment Sub-projects (CIS); and (b) Farmer Group Investment Sub-projects (FGIS). The aim of this component is to empower rural communities and farmer groups to make decisions to improve their economic well-being and to act on them. Communities and organizecl farmers' groups will have the primary responsibility for using participatory approaches in implementing small-scale investment activities supported by the project, including identification and planning of subprojects, implementation of technical recommendations, local procurement of inputs, contracting of service providers and monitoring and evaluation. The project will build capacity of local authorities, communities and farmers' groups by conducting tailor-made basic training in participatory methodologies (PRA), sub-project cycle, basic financial and procurement skills, participatory monitoring and evaluation (PM&E), environmental and social assessments, and HIV/AIDS awareness and prevention. A community is defined as a single village, or a significant portion thereof, with a common investment interest. Thus a community sub-project will be any investment, that draws public interest and brings common benefits. A "Farmer Group" is defined as a small group (10 - 40 households) of the same village in which members have voluntarily agreed, with endorsement of their Village Council, to engage in an investment sub-project that introduces technological innovation. Possible sub-projects include: soil fertility and better land management (watershed management for soil and water conservation, restoration of soil fertility using rock phosphate, conservation and no tillage techniques, and fuel efficiency technologies - biogas); agricultural investments and technologies (integrated plant nutrition strategy (IPNS), integrated pest management (IPM), rainwater harvesting, improvement of traditional schemes, production of non-traditional crops and improved livestock); and input-output marketing (production of organic fertilizers, primary processing of crop and livestock products, contract farming etc.). Criteria for approval of sub-projects will include gender balance, sustainability and empowerment of rural communities. In order to share risks involved in adopting new improved technologies, efforts of communities and farmers' groups will be complemented with direct transfers of financial resources to them (through local governments) on a matching-grant basis. This will allow them to shop and compare prices among several suppliers of goods and services needed to implement their sub-projects. Mechanisms for community-driven development will be introduced in a phased manner, to allow for improvements in the course of project implementation. Before implementing the sub-projects, each Village Council or farmer group will undergo a participatory planning process to identify opportunities key challenges and practical ways to overcome them. The sub-projects thus derived will then be costed and the implied share of the cost to the beneficiaries made clear., If the beneficiaries wish to undertake the project, it will be submitted for approval to the District Management Team (DMT) of the District Authority. With each participating community or farmers group, the cycle of sub-projects will unfold over three years. The initial year will be devoted mainly to capacity building PRA, identification and preparation of the subprojects. The  3 ISDS initial year will be devoted a village mainly to capacity building, PRA, and identification and preparation of the sub-projects. The second and third years will be devoted to implementation. For CIS, beneficiaries will contribute (labor, materials or in cash) at least 17% of total sub-project costs, excluding technical assistance and training and the project will contribute the difference up to a maximum of US$ 30,000 equivalent per village. Additionally the project will contribute 100% of the cost of technical assistance and training up to a maximum of US$ 5,000 equivalent. For FGIS, the project will contribute in cash 50% of the cost of consumable inputs (seeds, fertilizers, and plant protection chemicals) up to US$ 25 equivalent per household per.year for a maximum of 2 years or 80% of costs of technological innovations other than agricultural input and up to US$ 8,000 per village. In addition, the project will contribute 100% of the cost of technical assistance and training up to a maximum of US$ 3,000 equivalent. The total project contribution for CIS and FGIS subprojects per village will be US$ 46,000 equivalent. Farmers participating in the group investment sub-projects will be required to have a savings account and deposit at least 50% of the cost of consumable inputs to be purchased prior to receiving the matching contribution grant. At the end of the season they will be required again to deposit at least 50% of the value of inputs needed for the following season in order to qualify for another matching grant from the project. In this way farmers are expected to build savings habits required to purchase inputs for the following seasons and will be encouraged to build up relationship with financial institutions and input dealers. Component 2: Capacity Building and Institutional Strengthening This component enhances the institutional and human capacity to ensure that the subprojects chosen are adequately considered in key dimensions, including environmental, economic, financial and social, and implemented with acceptable quality. In all participating districts the project will support training to upgrade capacities in participatory planning methodologies, project irnplementation, monitoring and evaluation, financial and procurement management skills, environmental and social assessments, and public-private partnership in service delivery. Staff of the district councils will also undergo training to enable them guide communities and farmers' groups as needed. Technical assistance will be provided in the preparation of District Agricultural Development Plans (DADPs), which are integral part of the overall District Development Plans (DDPs). Under this component conditional block grants to the districts will be in cash in the amount of US$ 175,000 equivalent for three years. The District Councils will contribute 10% of the grant (US$ 17,500 equivalent). Planning for the use of these funds will be the responsibility of the District Councils through the DMTs. Support of the project at national level will include funding for capacity building in key entities and for project preparation, management and implementation and additional analytical work to underpin ongoing reforms. The capacities of national institutions responsible for policy analysis, regulatory functions, and project preparation, management and implementation such as planning, monitoring and evaluation, and financial management will be strengthened through training, technical assistance and provision of required equipment. The project will also finance various policy studies aiming at reviewing, harmonizing and rationalizing agricultural taxes, levies and fees on crop and livestock sub-sectors. Other studies to be supported will cover surveys of sectoral performance and beneficiary assessments. The project will support further development and updating of the agricultural sector monitoring and evaluation system, and improvement of its management information system (MIS). In addition, the project will support the implementation of the Seed Act (1973) and the Plant Breeders Right Act (2002), which provide the regulatory framework for seed industry, including the establishment of  4 ISDS Seed Executive Agency. The project will carry out the rehabilitation of four strategically located soil testing laboratories, provide the required laboratory chemicals and equipment, including soil-testing kits for on-site soil diagnosis. Finally, the project will finance the national coordination and facilitation unit operating costs. Zanzibar Component The Zanzibar islands (Unguja and Pemba) will during the first year of the project undertake the Capacity Building Program, and begin the detailed preparation of its Agricultural Development Plans for implementation in the second year of the project. It will be a condition of disbursement that the Agricultural Development Plans and the Capacity Building Programs are prepared and cleared by the Bank. The overall institutional and implementation arrangements have been prepared and appraised. Grant allocation for the districts in Zanzibar for the Agricultural Development Subprojects have been estimated at an equivalent of US$ 2.8 million and for the Capacity Building Program at US$ 0.7 million. The grant ceiling for each subproject will not exceed the ceiling for the mainland districts. The funds allocated for capacity building will cover requirements at the level of the districts and at MANREC. A detailed Project Operational Manual (POM), including Guidelines for the Preparation and Implementation of the Subprojects, a Project Implementation Plan (PIP) and the Annual Work Program and Budget (AWP&B) for the first year of the project (FY 2004) have been prepared by the Government of Zanzibar. These documents,have been reviewed and steps to finalize them have been agreed at appraisal. The adoption of the POM and the PIP and the AWP&B for FY 2004 by the Zanzibar Project Steering Committee will be a condition of disbursement against the Zanzibar component. I.A.4. Project Location: (Geographic location, information about the key environmental and social characteristics of the area and population likely to be affected, and proximity to any protected areas, or sites or critical natural habitats, or any other culturally or socially sensitive areas.) The project will target an estimated 500,000 smallholder farmers in about 840 villages, including Zanzibar over a five year project period. It will cover 26 districts in the main land and the islands of Unguja and Pemba in Zanzibar (equivalent to 2 mainland districts). The target number of villages in each district will be 30 in the mainland. In Zanzibar, a total of 60 villages, spread over 27 Shehias (Group of villages for community administrative purposes, with each Shehia consisting of 2 - 3 villages), will be covered. The project implementation in each participating district in the main land will be spread over three years with the first year earmarked for capacity building, subprojects preparation and for project implementation in at least 2 villages. The districts will be brought into the program in a phased manner. Of the mainland districts, 8 will enter the program in the first year, followed by another 8 in year 2, and 10 in year 3. In Zanzibar, the investment in subprojects will begin during the second year and will be completed by the end of the fifth year. The project will contribute to the Government of Tanzania's povety reduction efforts by assisting the rural poor to increase their incomes. About 70% of the grants will finance community subprojects, which are implemented by a large portion of the village, and matching contribution is primarily in kind. The project is also gender-sensitive, with women comprising at least 40% of membership in subprojects, and women only farmer groups subprojects are allowed. Further, at least two signatories of subproject accounts shall be women. In terms of subproject leadership, either the chair or the secretary of any subproject shall be a woman. B. Check Environmental Classifiuation: B (Partial Assessment)  5 ISDS Comments. The project has been classified B because community investment subprojects may involve the use of fertilizers and other agrochemicals, minor civil works, small-sccale irrigation subprojects and may lead to change of land ownership or access of land resources. Accordingly, the project has been classified as S2. C. Safeguard Policies Triggered Policy Applicability Environmental Assessment (OP/B1'/GP 4.01) 0 Yes 0 No Natural Habitats (OP/BP/GP 4.04) 0 Yes * No Forestry (OP/GP 4.36) 0 Yes 0 No Pest Management (OP 4.09) * Yes 0 No Cultural Property (OPN 11.03) 0 Yes * No Indigenous Peoples (OD 4.20) 0 Yes * No Involuntary Resettlement (OP/BP 4. 12) * Yes 0 No Safety of Dams (OP/BP 4.37) 0 Yes * No Projects in International Waterways (OP/BP/GP 7.50) * Yes 0 No Projects in Disputed Areas (OP/BP/GP 7.60)* 0 Yes * No *By supporting the proposed project, the Bank does not intend to prejudice thefinal determination of the partlies' claims on the disputed areas Section II - Key Safeguard Issues and Their Management D. Summary of Key Safeguard Issues. Please fill in all relevant questions. If information is not available, describe steps to be taken to obtain necessary data. II.D.la. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts. This project is classified as category B for environmental purposes, which calls for partial assessment. The project does not present major environmental or social issues, and is likely to have a positive environmental and social impact. Environmental and social management will be an important contributor to success of the community subprojects under Component 1. Therefore, PADEP will ensure that the World Bank environmental and social safeguard polices are adhered to. The safeguard policies that are triggered by the proposed PADEP project are: OP/BP 4.0] Environmental Assessment, OP 4 09 Pest Management, OP 4 12 Involuntary Resettlement, OP 4.36 Forests and OP 7.50 Projects on International Waterways. Since the subprojects to be supported by PADEP are small and because rural people will be the drivers of the subprojects, the process of environmental and social screening has been made simple and informative. II.D. I b. Describe any potential cumulative impacts due to application of more than one safeguard policy or due to multiple project component. No major impacts expected. TT.D. I c Describe any potential long term impacts due to anticipated future activities in the project area. No major impacts expected. II.D.2. In light of 1, describe the proposed treatment of alternatives (if required)  6 ISDS Not applicable I.D.3. Describe arrangement for the borrower to address safeguard issues An Environmental and Social Management Framework (ESMF) and a Resettlement Policy Framework (RPF) have been prepared and disclosed in Tanzania mainland, to address the safeguard issues noted above. Subproject-specific Pest Management Plans (PMP) based on Integrated Pest Management (IPM) will be prepared as part of Environmental and Social Management Framework to be implemented under the respective subproject. In addition, relevant riparians have been notified of the potential small scale irrigation subprojects on international waters. The project will not finance subprojects which will involve significant conversion or degradation of natural forests or related critical habitats. Due to the Borrowers late request to include a Zanzibar component and ESMF and RPF have not been prepared and disclosed for this component. Actions needed to prepare and disclose Safeguard documents in Zanzibar will be discussed during credit negotiations. Disclosure of Safeguard documents will be a condition of disbursement for the Zanzibar component. II.D.4. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. Key stakeholders have been involved throughout the process of project design, and consultation has been extensive. Consultation is built into the subproject cycle through the emphasis on PRA and participatory monitoring and evaluation. The NGOs and Civil Society led by the Economic and Social Research Foundation (ESRF) and Tanzania Development Research Group (TADREG) conducted a comprehensive review of the project and held a workshop to discuss the findings and forwarded their recommendations to PADEP/MAFS. The workshop was attended by people from academia, NGOs, CBOs, the private sector, farmers' organizations, government and donor agencies. The safeguard documents were disclosed at a press conference, in national newspapers of wide circulation and are available on the Ministry of Agriculture and Food Security (MAFS) website. E. Safeguards Classification. Category is determined by the highest impact in any policy. Or on basis of cumulative impacts from multiple safeguards. Whenever an individual safeguard policy is triggered the provisions of that policy apply. SI. - Significant, cumulative and/or irreversible impacts; or significant technical and institutional risks in management of one or more safeguard areas [X] S2. - One or more safeguard policies are triggered, but effects are limited in their impact and are technically and institutionally manageable S3. -No safeguard issues SF. - Financial intermediary projects, social development funds, community driven development or similar projects which require a safeguard framework or programmatic approach to address safeguard issues. F. Disclosure Requirements Environmental Assessment/Analysis/Management Plan: Expected Actual Date of receipt by the Bank 1/31/2003 2/28/2003 Date of "in-country" disclosure 3/31/2003 Date of submission to InfoShop 2/25/2003 3/31/2003 Date of distributing the Exec. Summary of the EA to the ED (For category A projects)  7 ISDS Resettlement Action Plan/Framework: Expected Actual Date of receipt by the Bank 1/31/2003 3/26/2003 Date of "in-country" disclosure 2/15/2003 3/31/2003 Date of submission to InfoShop 2/25/2003 3/31/2003 Indigenous Peoples Development Plan/Framework: Expected Actual Date of receipt by the Bank Not Applicable Not Applicable Date of "in-country" disclosure Not Applicable Not Applicable Date of submission to InfoShop Not Applicable Not Applicable Pest Management Plan: Expected Actual Date of receipt by the Bank 7/31/2001 Date of "in-country" disclosure 12/15/2003 Date of submission to InfoShop 12/19/2003 Dam Safety Management Plan: Expected Actual Date of receipt by the Bank Not Applicable Not Applicable Date of "in-country" disclosure Not Applicable Not Applicable Date of submission to InfoShop Not Applicable Not Applicable If in-country disclosure of any of ihe above documents is not expected, please explain why Signed and submitted by Name Date Task Team Leader: Ladisy Komba Chengula 04/21/03 Project Safeguards Specialists 1: Edeltraut Gilgan-Hunt Project Safeguards Specialists 2: Dan Aronson 04/21/03 Project Safeguards Specialists 3: Approved by: Name Date Regional Safeguards Coordinator' Charlotte S. Bingham 04/21/03 Sector Manager/Director: Karen Mcconnell Brooks 04/21/03 For a list of World Bank news releases on projects and reports, click here SEARCH FEECOACK Si|EMA 1 SHOWCASE