1. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 FAO’s Technical Assistance Framework for Trust Funds in the Western Balkans 2006 – 2009 - Food Chain Approach Raimund Jehle Policy Officer Regional Office for Europe

2. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Geographical Focus Albania Bosnia and Herzegovina FYR of Macedonia Kosovo Serbia and Montenegro

3. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Why a framework now? FAO has developed significant field programmes in the WeBa countries during the last 10 years due to: – emergency and reconstruction – donor money available New situation – consolidation and clarification roles of the main institutions donors and IO – reduction of donor money

4. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Framework Objectives and Basis? Coherency of the Organization’s work in the Region EU Integration Process in the Western Balkans

5. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Rural Region… % of people living in rural areas Source: WB Global poverty monitoring

6. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 … Importance of Agriculture share of agriculture in the economy in % Source: WB WDI 2001 It implies… The WeBa countries must count with the agricultural sector to sustain their growth But… Non-farm employment must be also addressed in rural areas to improve the competitiveness of agriculture

7. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Institutional Challenge… Requirements on the road to EU Membership – Competitive agriculture production and processing Globalization and Free Trade – Management and marketing skills for high value crops Cross Border Collaboration and Regional Integration – Rural Development could reduce ethnic tensions

8. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 FAO’s Focus in the Western Balkans Facilitate income generation through agriculture and non-farm activities; – Food Chain Approach, Farmers Group Formation, Capacity Building in Rural Communities; Specific Population Groups; Rural Development, Research and Education Bottom-up approach for policy change Regional collaboration

9. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Food Chain Approach Improved production and diversification at small scale farm level Linking farmers to markets, processors and retailers Facilitate better access to credit by establishing links to local banks/microfinance institutions or revolving funds Mobilization/Integration of local expertise

10. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Group Formation Thematic training and demonstration days for commodity groups Contract farming Bulk purchase of inputs and marketing of high value produce

11. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Capacity Building of Communities Identification of non-farm income opportunities (e.g. Wool processing, tourism, sport fishing; arts and crafts); Regional Marketing( e.g. Rural Fairs, labeling); Training in business planning and SME formation

12. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Research and Education Educational programmes in partnership with agricultural schools – For future agricultural technicians and young agriculture entrepreneurs – Including marketing and farm management Postgraduate curricula on subjects such as: – Agriculture Economics; – Rural Development etc.

13. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Vulnerable Groups Adapt activities to the specific needs of vulnerable groups Facilitate the integration of vulnerable groups and improve their livelihood Technical assistance and methodological support to other agencies (IO, Int’l and national NGOs)

14. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Policy Change  Mapping and zoning of rural areas Definition of micro-regional development strategies Definition of micro-regional development strategies Targeted support to young farmers of marginal rural areas to stop outmigration Targeted support to young farmers of marginal rural areas to stop outmigration Promote and assist incentive policies for farm business development Promote and assist incentive policies for farm business development

15. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Cross-border und Regional Collaboration At regional level – Assistance in networking for e.g. food safety, phytosanitary and veterinarian services in order to adopt common approach in the implementation of the recommended preventive measures At local cross-border level – Development of projects in line with the proposed approach of RD

16. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Importance of the Food Chain Approach Raises awareness at farmer‘s level; Establish business links between farmers, processors and traders; Shows results and brings investment to the farmers Creates a business environment (contract farming, competition); Identifies institutional gaps at policy level (Regulations, Standards, EU-laws, EUOPGAP, HACCAP); Allowes testing of regulations in pilot areas; Provides a demonstration effect.

17. Meeting of the CEI Working Group on Agriculture – Rome, 22 May 2006 Thank you for your attention