Case stories on capacity development and sustainable results

LAO PDR21selected to participate in the programmethrough an abbreviated selection process,local governments and project staff investtime to train them and get them on track.The project works closely with provincialAgriculture and Forestry Offices, the departmentsof Industry and Commerce,and the private sector. Government agencieshave increasingly realized the valueof alignment with the private sector. InBolikhamxay Province, for example, theGovernment exempted fertilizers fromimport tax as an additional incentive formillers to work with smallholder farmers.The provincial authority has supportedmillers by officially approving MillerGroups in line with government policy.Support to the capacitydevelopment processNational investmentsFind out morePlease contact Robin van KippersluisPortfolio Coordinator, SNV Lao PDREmail: rvankippersluis@snvworld.orgPhone: +856 (0)21 414091Or: Ranjan ShresthaSector Leader Agriculture, SNV Lao PDREmail: ranjan@snvworld.orgPhone: +856 (0)20 55312080Web: www.snvworld.orgThe Lao PDR government has demonstratedits vision as it has steadily commercializedagriculture and promotedsmallholder farming, but has struggledto find effective operational approaches.Launched in January 2010 by the Ministryof Agriculture and Forestry, and jointlyimplemented with Helvetas and SNV, theEnhancing Milled Rice Production projectpiloted a new approach. It used existingLao entrepreneurship and competencies.Leading at the provincial level are theprovincial Agriculture and Forestry Offices,and the departments of Industryand Commerce in six target provinces.They build trust, encourage fair tradingrelations between millers and smallholderfarmer groups and – with nationalgovernment – organize and facilitate public-privatepolicy dialogue between stakeholdersin the rice sector.Development partners’ supportThe project operated on a budget of €2.3million: 90 percent came from the EUFood Facility, with Helvetas and SNVproviding the other 10 percent. Aboutone-third was used to co-invest in millingfacilities, one-third supported farmers,capacity building, and training, andone-third went to human resources (twointernational and 12 national advisers,covering six provinces). The developmentpartners offered substantial guidance onthe overall approach of inclusive businessin the rice sector, and supported capacitydevelopment of government stakeholdersand rice millers to work efficiently withthe smallholder farmer groups.