Announcement of Fifteen Million Dollars IDA Credit for Livestock Development in Afghanistan on June 28, 1976

•World Bank • 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 IDA NEWS RELEASE NO. 76/40 JUNE 28, 1976 The International Development Association, an affiliate of the World Bank, has approved a $15 million credit to help ffnance a second livestock dew~lopment project in Afghanistan. The project, wfth an estfmated total cost of $18 million, consists of the establishment of about 14 Sheep Improvement Centers, a Heavy Equipment and Water Supply Division for the construction of wells and farm access roads and two addltlonal range Improvement field stations. The project also fncludes the provision of Improved veterinary health services, credft for on-farm development, technical assistance and tratntng and a wool scouring plant study • • The proj~ct alms at ratstng export earnings from meat and livestock by-products through utilizing the facflltfes of the livestock slaughterhouse built under the first project and by provtdlng addltlonal market outlets to producers through the development of Sheep Improvement Centers. The project wt 11 also Increase the supply of meat on the local market and Improve the sheep flocks and Incomes of nomadic and semi- nomadic flock owners through Increased forage productfon and the creation of an effective animal health service to all producers In the project area. The project also alms at creating pt1ot primary cooperatives for small livestock producers who, because of their smallness, are unable to take advantage of Institutional credit facilities. n Through the provision of credit and technical servfcesp the project as a whole will directly benefit about 1,050 famtlfes, or approxlrnately 10,000 lndfvfduals. Indirectly, through the extended animal health program, the project wl 11 exert a major tmpaet on the estimated 144,000 sheep and goat owners and their famf1Jes wfthfn thia project area. The I DA credl t wtl 1 be for a term of 50 years 1nc hidf rig ~ 0 If years of grace. It wt 11 be f nterest-free but w!l 1 carry ~ se.:rvklf:, charge of 3/4 of 1% to cover IDA's admfnfstratlve costs. -- ........... ..... ...................... _.. • .-. ~ ______ ._ NOTE: Money figures are expressed in US doJlar equJvalents~ .. _.. ,. ____ ..,. Form No. 1121 (9-75) PROJECT: T E CHNI CAL DATA Second Livestock Development • COUNTRY: Afghanistan TOTAl. COST: $18 mi 11 ion I DA FINANCING: $15 million; standard IDA terms OTHER FI NANC Pm: Government (Sl.4 million}; the Agricultural Development Bank of Afghan i st an ( $0 . 8 mi 11 i on} and s u b - bo r rnwe rs ( $0. 8 mf 11 ion) IMPLEMENTING ORGANIZATION: Herat Livestock Development Company (HLOC), P.O. Box 7, Herat, Afghanistan. Cable: HLDC, Herat, Afghanistan Agricultural Development B~nk of Afqhanrstan, P.O. Box 414, Kabul, Afghanistan. Cable: AGBANK, Kabul, Afghanistan Ministry of Agriculture, Kabul, Afghanistan. Cable: Ministry • of Agriculture, Kabul, Afghanistan PROJECT DESCRIPTION: The project consists of the establishment of a) about 14 Sheep Improvement Centers; b) a Heavy Equipment and Water Supply Division for the construction of wells and farm access roads; and c) 2 additional range improvement field stations. It also includes provision of a) improved veterfnary health services; b) credit for on-farm development; c) technical assistance and training; and d) a study of a wool scouring plant. PROCUREMENT: Heavy equipment, farm machinery and vehicles wi 11 be procured under international com~etitive bidding. Contracts will be grouped tn order to ensure effective competition for procurement. Pumpsets wi 11 either be imported by local dealers or assembled from locally made pumps ~nd imported engines. Veterinary laboratory equipment will be procured through competitive bidding. locally advertised or, where applicable, through international shopptng with at least three quotes. Medicaments wlll be procured under the same procedures as the laboratory equipment. Vaccines will be supplied by Government either from the vaccine laboratory of its Ministry of Agriculture or through international shopping on the basis of three quotes. The constructton of wells, irrigation systems, pro,tection walls and stock housing will be carrted out by farni labor or force account, or under negotiated contracts awarded on the basis of local competitive bidding. CONSULTANTS: Consultants wil 1 be required for veterinarian services, agricultural, engineering and administrative technical assistance and cooperative services. ECONOMIC RATE OF RETURN: 16% ESTIMATED COMPLETION DATE: l983 • -0-