The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434) Malawi Agricultural Commercialization Project (P158434) EASTERN AND SOUTHERN AFRICA | Malawi | Agriculture and Food Global Practice | IBRD/IDA | Investment Project Financing | FY 2017 | Seq No: 12 | ARCHIVED on 23-Oct-2022 | ISR53364 | Implementing Agencies: Ministry of Agriculture, Ministry of Finance and Economic Affairs, Malawi, Ministry of Trade, Republic of Malawi Key Dates Key Project Dates Bank Approval Date: 23-May-2017 Effectiveness Date: 30-May-2018 Planned Mid Term Review Date: 30-Sep-2020 Actual Mid-Term Review Date: 21-Sep-2020 Original Closing Date: 31-May-2023 Revised Closing Date: 31-May-2024 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective is to increase commercialization of agriculture value chain products selected under the project. Has the Project Development Objective been changed since Board Approval of the Project Objective? Yes Board Approved Revised Project Development Objective (If project is formally restructured) To increase commercialization of agriculture value chain products selected under the Project and to provide immediate and effective response to an Eligible Crisis or Emergency Components Table Name COMPONENT 1: BUILDING PRODUCTIVE ALLIANCES:(Cost $55.50 M) COMPONENT 2: SUPPORT INVESTMENT ENABLING SERVICES:(Cost $15.60 M) COMPONENT 3: CONTINGENT EMERGENCY RESPONSE COMPONENT (CERC):(Cost $20.00 M) COMPONENT 4: PROJECT COORDINATION AND MANAGEMENT:(Cost $8.90 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating High High Implementation Status and Key Decisions This ISR is based on the findings of an implementation support mission conducted from September 28 to October 7, 2022. The AGCOM project performance continues on track with increase sales value, sales volume and value chain commercialization. Therefore, both key project ratings, i.e., progress towards achievement of the PDO and implementation progress remain 'satisfactory'. The most notable achievements are the following: 10/23/2022 Page 1 of 7 The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434)  255 (versus 151 in March 2022) Producer Organizations (POs) signed, reaching over 63,000 beneficiaries (up from 40,000 beneficiaries in March 2022), of whom 54 percent are women and 32 percent are youth. The total value of the active portfolio of subprojects is approximately US$24.6 million.  Number of value chains supported increased from 20 (in March 2022) to 27, with majority investments in soybeans and dairy, as others are fast emerging. This provides an opportunity to promote productive diversification.  Improved land tenure security, as over 12,600 farmers (versus 7,620 in March 2022) benefited from land parcel adjudication and demarcation (above target of 12,000). The Land Information Management System (LIMS) has been set up and on track to go live by January 2023.  6 reforms have been achieved (from 4 reforms in March 2022) aimed to improve the enabling environment for agricultural commercialization. Access to fiancé through Partial Credit Guarantee has supported 6 POs who have managed to get loans amounting to MWK125 million. There is also increased certification of POs to standards, with 4 POs certified. Moving forward, close monitoring is needed to speed up the implementation (and disbursements) by POs, while also ensuring that associated Last Mile Infrastructure investments and reforms to improve agribusiness environment remain on track to drive agricultural commercialization efforts further. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Substantial Substantial Macroeconomic High High High Sector Strategies and Policies Substantial Substantial Substantial Technical Design of Project or Program High Substantial Substantial Institutional Capacity for Implementation and Substantial Substantial Substantial Sustainability Fiduciary High High High Environment and Social Moderate Moderate Moderate Stakeholders Moderate Moderate Moderate Other -- Low Low Overall High High High Results PDO Indicators by Objectives / Outcomes To increase commercialisation of agriculture value chain products selected under the project IN01200220 ►Increase in sales of producer organizations within productive alliances (Metric tons/year, Custom) Baseline Actual (Previous) Actual (Current) End Target 10/23/2022 Page 2 of 7 The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434) Value 0.00 16,120.95 19,789.63 15,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200246 Supplemental sub indicator: Value of sales (Amount(USD), Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 12,000,000.00 18,850,774.87 10,000,000.00 IN01200247 ►Value chain products with at least 50% increase in commercialization (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.00 7.00 5.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200248 ►Farmers reached with agricultural assets or services (Number, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 39,442.00 63,533.00 40,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200249 Farmers reached with agricultural assets or services - Female (Number, Corporate Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 22,343.00 34,943.00 16,000.00 to provide immediate and effective response to an eligible crisis or emergency IN01200219 ►Beneficiaries of emergency response (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 391,000.00 430,000.00 391,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 Intermediate Results Indicators by Components COMPONENT 1: BUILDING PRODUCTIVE ALLIANCES IN01200255 ►Subprojects financed with matching grants (Number, Custom) 10/23/2022 Page 3 of 7 The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 6.00 37.00 200.00 Date 03-Jul-2017 18-Mar-2022 18-Mar-2022 31-May-2023 This indicator tracks number of business plans of PAs financed through matching grants Comments: IN01200256 Youth-based producer organizations accessing matching grants (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8.00 12.00 20.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200259 Subproject agreements signed (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 151.00 255.00 210.00 IN01200261 Women-only producer organizations accessing matching grants (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 19.00 25.00 20.00 IN01200263 ►Producer organizations accessing financing supported by the Partial Credit Guarantee Fund (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.00 7.00 50.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200264 ►Producer Organizations benefited by last-mile infrastructure subprojects (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 50.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 4 contracts for 2 LMI clusters are under implementation. Achievement will be captured in the next ISR Comments: IN01200265 ►Increase in yield of commodities by supported producer organizations participating in Productive Alliance (Metric tons/year, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 16,034.58 19,789.63 16,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 10/23/2022 Page 4 of 7 The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434) Indicator measures increase in production not yields per year Comments: COMPONENT 2: SUPPORT INVESTMENT ENABLING SERVICES IN01200257 ►Project supported Agro-business organizations that obtained one or more certifcations (disaggregated by type of certification) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 3.00 15.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 2 POs received pre-certification and one received full certification by the Malawi Bureau of Standards. Comments: IN01200258 ►Automatized systems, policies and regulatory instruments implemented to support agriculture business and commercialization (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 6.00 12.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 30-May-2023 IN01200260 ►Beneficiaries of the warehouse receipt system (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 3,511.00 2,264.00 2,264.00 4,100.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200262 ►Number of smallholder households with secure land tenure (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 7,620.00 12,811.00 12,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 COMPONENT 4: PROJECT COORDINATION AND MANAGEMENT IN01200250 ►12. Smallholders/farmers/beneficiaries (male and female farmers or businesses) satisfied with services provided by the project (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 86.00 86.00 80.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200253 12.a Female farmers satisfied with services provided by the project, % of all respondents (Percentage, Custom Breakdown) 10/23/2022 Page 5 of 7 The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 88.00 88.00 80.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 CERC IN01200251 ►Volume of maize delivered to National Food Reserve Agency (Metric ton, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 21,000.00 21,000.00 21,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200252 ►Area under irrigation through rehabilitated systems (Hectare(Ha), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2,000.00 2,000.00 2,000.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200254 ►Distance improved with rehabilitated transport works (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 100.00 Date 03-Jul-2017 18-Mar-2022 30-Sep-2022 31-May-2023 IN01200716 ►Volume of inputs (maize seeds and fertilizers) delivered to CERC beneficiaries (Metric ton, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 280.80 2,100.00 Date 01-Apr-2022 -- 30-Sep-2022 31-May-2024 New indicator to measure volume of inputs (maize seeds and fertilizers) procured and delivered to Comments: households affected by Cyclone Ana. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) 10/23/2022 Page 6 of 7 The World Bank Implementation Status & Results Report Malawi Agricultural Commercialization Project (P158434) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P158434 IDA-60480 Effective USD 95.00 95.00 0.00 73.25 21.88 77% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P158434 IDA-60480 Effective 23-May-2017 02-Feb-2018 30-May-2018 31-May-2023 31-May-2024 Cumulative Disbursements Restructuring History Level 2 Approved on 26-Feb-2021 Related Project(s) There are no related projects. 10/23/2022 Page 7 of 7