GUIDELINES ON BUILDING PRODUCTIVE PARTNERSHIPS in the NMPRP-2 Dien Bien Workshop, October 2011

STEPS For FORMING PARTNERSHIPS with COMPANIES - PPMUs/DPMUs PLANNING 1.All PPMUs, DPMUs and communes discuss Guidelines. Proactive approach -- all can initiate contacts with companies and provide information 2.Identify interested commune sites & potential production, processing, trading ideas, etc 3.Advertise opportunities under Project and invite potential companies to apply. Give copies of Guidelines & information on sites 4.Bring companies, districts & communes together to discuss investments. Site visits 5.Companies to submit written proposals

STEPS for FORMING PARTNERSHIPS with COMPANIES - PPMUS/DPMUS PLANNING 6.Select suitable companies based on set up criteria 7.Work with selected companies, districts & communes to prepare fully detailed proposals (Discuss contract arrangements & determine that farmers will receive fair prices & relevant technical information and active support through training/backup by the companies; explain monitoring, financial aspects, reports) 8.Define company & project contributions & roles 9.Approve proposal (PPMU with others as needed)

STEPS for FORMING PARTNERSHIPS with COMPANIES -- DPMUS IMPLEMENTATION 1.Companies implement contracts, provide back-up support to farmers as in contract 2.Financial management and procurement arrangements as per contract 3.Social and environmental safeguards as per contract 4.DPMU monitors implementation quarterly, & advises companies in reports on key issues affecting implementation, including recommendations for improvement 5.DPMU evaluates contract end of Yr 1 & reports

PARTNERSHIPS WITH COMPANIES - ELIGIBLE EXPENDITURE For the CIGs 1.70% input costs for the households (seeds, fertilizer, …) 2.Costs of farmer and staff training in production and quality control 3.Project provided extension services, if any

For the Companies 1.Training supplies for farmers 2.Advertisements & related materials 3.Printing leaflets, training materials & provision of information in local languages PARTNERSHIPS WITH COMPANIES - ELIGIBLE EXPENDITURE

ELIGIBLE AREAS Farming activities: -Cultivation -Livestock -Fisheries Non- farming activities: -Set the priority on the traditional non-farming activities or the high benefits activities: Tailoring, cinnamon oil, handicraft, making brick, and etc…

OTHER PARTNERSHIPS Partnerships with NGOs and donors Partnerships with Universities and Research institutions Partnerships with Training Colleges Partnerships with Banks Partnerships with other Government Departments Partnerships with Cooperatives and Trade Associations Partnerships with Others