The World Bank Report No: ISR11102 Implementation Status & Results Cameroon Agricultural Competitiveness Project (P112635) Public Disclosure Copy Operation Name: Agricultural Competitiveness Project (P112635) Project Stage: Implementation Seq.No: 10 Status: ARCHIVED Archive Date: 03-Dec-2013 Country: Cameroon Approval FY: 2009 Product Line: IBRD/IDA Region: AFRICA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 18-Jun-2009 Original Closing Date 30-Nov-2015 Planned Mid Term Review Date 12-Nov-2012 Last Archived ISR Date 23-May-2013 Effectiveness Date 29-Jan-2010 Revised Closing Date 30-Nov-2015 Actual Mid Term Review Date 03-Dec-2012 Project Development Objectives Project Development Objective (from Project Appraisal Document) Increase the competitiveness of beneficiary producer organizations working on target value chains. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Rehabilitation of Key Rural Infrastructure 21.50 Economic Partnerships 22.70 Institutional Support and Capacity Development 5.00 Project Coordination, Monitoring, and Evaluation 7.40 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Satisfactory Overall Risk Rating Substantial Substantial Implementation Status Overview 1. This ISR has been updated based on findings of the Progress report of the project that was issued on September 30, 2013 by the Project Coordination Unit (PCU) and of the updates on the Project monitoring in November, 2013. 2. The disbursement rate for the IDA credit is at 54 percent compared to 30 percent in January 23, 2013. Disbursement of IDA is expected to reach 73 percent (US$44.03 million) by Page 1 of 7 The World Bank Report No: ISR11102 the end of March 2014 based on the volume of additional expenditures estimated at US$11.643 million which includes the contracts signed, the procurements activities to completed at this date, as well as the financing of SPs. Disbursement of the counterpart funds is still low (23 percent). Based on the results achieved to date, the Project is judged to be firmly on track to achieve its Outcome Indicators (OIs) and Intermediate Outcome Indicators (IOIs) by the scheduled closing date of November 30, 2015. Public Disclosure Copy 3. Project Development Objective (PDO). Progress toward the achievement of the PDO is satisfactory (S) as evidenced by the achievement level of Project Outcome Indicators (POI). The final target in the value of selected marketed/traded products in targeted areas has been achieved at 260 percent (target: 20 percent, result: 52 percent). The final targets of the crop yields have been achieved at 93.93 percent for rice (target: 6.10 tons per ha, result: 5.73 tons per ha), 93.33 percent for maize (target: 3 tons per ha, result: 2.80 tons per ha) and 80 percent for plantain (target: 7.50 tons per ha, result: 6 tons per ha). The final target of one POI, namely ''Reduction of post-harvest losses from supported Producer Organizations (POs) with access to the new transport infrastructure'' is not yet available since rehabilitation of rural roads have made little progress. The indicator relating to the yield of Palm oil has been dropped following the project restructuring. Although indicators for animal value chains have not been provided in the Project Results Framework, the team has collected the information and data has showed that livestock production financed under SPs has improved: (i) average annual pig live weight: baseline: 23 kg/m2, result: 60 kgPv/m2 (121.72 percent); (ii) average annual poultry live weight: baseline: 21.63 kg/m2, result: 55.63 kg/m2 (257.18 percent); and (iii) average annual egg production: baseline: 198 eggs per hen, result: 279 eggs per hen (141 percent). 4. Implementation Progress (IP). Overall IP is satisfactory (S). Indeed, significant progress has been achieved as evidenced by the achievement level of Intermediate Outcomes Indicators (IOIs) as follows: (i) 52 percent SPs profitable (positive Gross Profit) 1 year after completion compared to the target of 80 percent (achieved 65 percent); 91 percent unqualified technical and safeguards audits compared to a target of 80 percent (achieved at 113 percent); (iii) 100 percent of POs have adopted a business plans compared to the target of 70 (achieved at 143 percent); (iv) 1351 POs engaged in economic partnerships compared to the final target of 1000 ( achieved at 135.1 percent); (v) 1005 SPs have been presented by POs compared to the final target of 2000 (achieved at 50.25 percent); (vi) 946 SPs have been approved (and agreements signed), compared to the final target of 1000 SPs (achieved at 94.6 percent); (vii) 37 percent of POs in targeted areas are satisfied with support services received from apex POs compared to the final target of 80 percent (achieved at 46.25 per cent); (viii) 267 POs receiving support services through apex POs compared to the final target of 500 POs (achieved at 53.4 percent); (ix) 87 percent of POs managed effectively (hold regular meeting, record their decision, open and manage a bank account and have regularly elected officials) compared to the target of 80 percent (achieved at 109 percent); (x) 1120 tons of annual certified seeds produced against a final target of 500 tons (achieved at 224 percent), (xi) 50km of rural road have been rehabilitated compared to the final target of 500km (achieved at 10 percent). The Ministry of Public Works (MINTP) is responsible for the rehabilitation of rural roads under the Project. 5. Thanks to the local forums organized with POs, suppliers and buyers that have been launched and are being facilitated by the Project Regional Coordination Units since 2011, POs have made good progress in establishing 712 commercial partnerships with suppliers and buyers to get inputs (fertilizers, seeds, small agricultural equipment) and sell their products (maize, rice, poultry, pig). Thanks to the support of the Project through the provision of advices and training (technical and financial management) and investments, POs are not only making better technical and financial results but a lso paying full rental fee/services royalty to SEMRY. Moreover, since the September 2011 national forum focusing on access to rural finance, practical solutions to the problem of lack of access to finance rural producers are being supported within the Project through partnerships between the Project Coordination Unit and Micro-Finance Institutions. With the facilitation of the Project, about 80 conventions have been signed between POs and micro-finance institutions to raise a credit in the total amount of more than CFA441 million through the signed contracts. It is important to mention in this ISR that the organiza tion of that national forum on access to rural finance was recommended by the January 2011 supervision and support mission to the Project. 6. In addition, the Project has contributed to the employment of more than 30,000 people. This figure includes employment generated through the financing and implementation of the Public Disclosure Copy SPs for POs, as well as jobs created for local consultants and service providers (about 900 people). 7. Following the recommendations of the MTR, the project was restructured at level II and restructuring became effective on October 1, 2013. The restructuring did not entail any change in the PDO, Project design, scope, or expected outcomes. The proposed reallocation represents a reallocation of 8.9% of the IDA Credit proceeds. As a result, the restructuring is considered a minor change under BP13.05 on Project Supervision and may be approved at the Country Director level. The key changes have been made to improve the project performance: (a) Changes in the Results Framework (RF): One out of the three breakdowns of the outcome indicator on ''Increase in crop yields for three other targeted crop value chains'' has been dropped following the cancellation of the activities on palm oil. Any sub-project has been submitted by producers for that value chain at Mid-Term despite the sensitization and awareness campaigns that have been implemented by the Project team. The other remaining two breakdown indicators on maize and plantain are maintained. Two IOIs ''Increase in rice production in rehabilitated perimeters'' and ''Irrigation area rehabilitated'' have been dropped as per the scale down of the Rehabilitation of the Rice Irrigated Perimeters (RRIP) Page 2 of 7 The World Bank Report No: ISR11102 sub-component. The funds initially allocated to RRIP have been reallocated to the institutional support of SEMRY and UNVDA as recommended by the MTR mission. Apart from those changes, the RF is still the same as at origin. Increasing average rice yields is not affected by the restructuring. In fact, the Project provides direct financing and support to the rice producers (and rice production) in SEMRY and UNVDA zones through its sub-component 2.1 and 2.2 respectively ''Support to economic partnerships'' and ''Co-financing of producer organizations sub-projects'' under Component 2. The support consists in the provision of training, improved seeds, fertilizers and other inputs, small agricultural equipment, Public Disclosure Copy support to marketing, etc. (b) Reallocations: The main objective of the reallocation was to increase: (i) Category 4''Sub-grants under Part B.2 of the Project'' by SDR2,115,000 in order to complete the financing of the sub-projects and (ii) Category 6''Goods, Operating Costs, Training and services for Part D of the Project'' by SDR1,500,000 for the purpose of strengthening data collection, monitoring and evaluation, internal audit, financial management, training, operational equipment, as well as support to producers on the ground. Following this relocation, the PCU of PACA is able to support implementation of the newly approved Cameroon Flood Emergency Project (P143940) until the latter’s coordination unit is established, as well as preparation and early implementation of the Cameroon Agriculture Investment and Market Development Project (P143417). The PCU of PACA is implementing both of these projects until their own PCUs are functional. 8. PACA is providing many lessons towards the proposed the Cameroon Agriculture Investment and Market Development Project; the PACA PCU is also taking the lead on preparing this new project and establishing implementation arrangements. Locations Country First Administrative Division Location Planned Actual Cameroon South Province South Region Cameroon West Province West Region Cameroon North-West Province North-West Region Cameroon North Region North Region Cameroon Littoral Province Littoral Region Cameroon Far North Province Far North Region Cameroon Centre Region Centre Region Cameroon Adamaoua Region Adamaoua Region Public Disclosure Copy Results Project Development Objective Indicators Page 3 of 7 The World Bank Report No: ISR11102 Indicator Name Core Unit of Measure Baseline Current End Target Increase in the value of sales from Producer Percentage Value 0.00 260.00 20.00 Organizations supported by the Proejct Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Public Disclosure Copy Comments Target value reached at 260 percent. Based on the outcomes of the Impact Evaluation (IE) on maize and rice sub-projects. Reduction of post-harvest losses from Percentage Value 0.00 0.00 20.00 supported POs with access to the new Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 transport infrastructures Comments Data are not yet available as rehabilitation of rural roads is not completed yet. Increase in average rice yields in the Number Value 5.20 5.73 6.10 rehabilitated irrigated areas (tons/ha) Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 93.93 percent. Increase in crop yields for three other targeted Number Value 2.50 2.80 3.00 crop value chains (tons/ha) Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 92.6 percent for maize. Based on the outcomes of the IE. Maize Number Value 2.50 2.80 3.00 Sub Type Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Breakdown Comments Target value reached at 92.6 percent. Based on the outcomes of the IE. Plantain Number Value 6.50 6.00 7.50 Sub Type Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Public Disclosure Copy Breakdown Comments Target value reached at 80 percent. Based on the outcomes of the IE. Intermediate Results Indicators Page 4 of 7 The World Bank Report No: ISR11102 Indicator Name Core Unit of Measure Baseline Current End Target Reduction in transportation time to closest Percentage Value 0.00 0.00 20.00 market Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Public Disclosure Copy Comments Work on rural roads has just started and not yet completed. Only the rehabilitation of the first 50 km has been completed. Roads rehabilitated, Rural Kilometers Value 0.00 50.00 500.00 Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Rehabilitation of 50 km has been completed. Sub-projects profitable (positive gross profit) 1 Percentage Value 0.00 52.00 80.00 year after completion Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 65 percent. Based on the outcomes of IE and Beneficiary Assessment (BA). Unqualified technical and safeguards audits Percentage Value 0.00 91.00 70.00 Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 112 percent. Based on the outcomes of IE and BA. POs engaged in economic partnerships Number Value 0.00 1351.00 1000.00 Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 135 percent. Based on the outcomes of IE and BA. Sub-projects approved Number Value 0.00 946.00 1000.00 Public Disclosure Copy Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 94.6 percent. POs in targeted areas satisfed with support Percentage Value 0.00 37.00 80.00 services received from apex organizations Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 46.26 percent. Based on the outcomes of IE and BA. Page 5 of 7 The World Bank Report No: ISR11102 POs receiving support services through apex Number Value 0.00 267.00 500.00 organizations Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 53.4 Public Disclosure Copy percent. Based on the outcomes of IE and BA. POs managed effectively (hold regular Percentage Value 0.00 87.34 80.00 meeting, record their decision, open and Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 manage a bank account and have regularly Comments Target value reached at 109 elected officials) percent. Based on the outcomes of IE and BA. Incremental volume of annual certified seeds Number Value 0.00 1120.00 500.00 produced (tons) Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 224 percent. Based on the outcomes of IE and BA. Sub-projects presented Number Value 0.00 1005.00 2000.00 Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Target value reached at 39 percent. Based on the outcomes of IE and BA. POs aopting business plans Percentage Value 0.00 100.00 70.00 Date 30-Jun-2009 19-Nov-2013 30-Nov-2015 Comments Data on Financial Performance (as of 23-Oct-2013) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P112635 IDA-46120 Effective 18-Jun-2009 16-Sep-2009 29-Jan-2010 30-Nov-2015 30-Nov-2015 Public Disclosure Copy Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P112635 IDA-46120 Effective XDR 40.30 40.30 0.00 21.63 18.67 54.00 Disbursement Graph Page 6 of 7 The World Bank Report No: ISR11102 Public Disclosure Copy Key Decisions Regarding Implementation The completion of the rehabilitation of the rural roads that was planned by the MTR on November 2014 was rescheduled to June 30, 2015 due to the delay in the procurement. Accordingly, a work plan has been prepared and agreed between the Bank and the Government teams. Restructuring History CD Decision on 01-Oct-2013 Related Projects There are no related projects. Public Disclosure Copy Page 7 of 7