LURAS support for Farmer Organisations

SPACE Partnershop, Feb’17 1

LURAS support for Farmer Organisation Development


Introduction

• The Lao Upland Rural Advisory Service (LURAS) started in Jan 2015. Funded by SDC. Implemented by Helvetas and SNV in collaboration with Dept of Agricultural Extension and Cooperatives (DAEC).

• Central to the design of the project is support for the development of Farmer Organisations (FOs) as service providers for their members and communities

• At the national level, the project focuses on: a) supporting the Lao Farmer Network (LFN), and b) capacity building for DAEC to perform it’s mandate with respect to FOs

• In 2 provinces – Oudomxay and Xieng Khouang – the project is working with a number of farmer groups to improve two types of ‘service’: farmer-to-farmer learning (F2F) and market engagement.


National level activities, 2015-16

• With DAECo FO data base and First National Report on FOs – more details latero Training in business planning/management for Govt staff and LFNo Meeting of FOCUS (learning alliance of projects supporting FOs)o DAEC guidelines for sustainable FO capacity-buildingo Workshop to discuss options for registering FOs

• With LFNo Regular support for Secretariato Establish management structure / financial procedureso Strategy development workshops with each member FOo Piloting a market outlet run by LFNo Raising awareness of farmers debt problems


Selected FOs operating in the project area

Oudomxayo Houay Oun (and other) organic veg groups in Xay * #o Tea production groups in Beng and Pakbeng *o Nampheng bitter bamboo group * #o Paknamthong pig production group in Namo (*LEAP)o Bee keepers association, province wide

Xieng Khouango Organic Farmers Assoc.n, in Pek District * #o Keoset Cluster coffee network *o KKN rice seed producer group * o Phousan tea producers *o Khoun FASAP *#o Ban Hoi vegetable group

* = some support from LURAS# = member of LFN


First National Report on Farmer Organisations

• By September 2016, DAEC had completed a nationwide survey and report of FOs in Laos with the support of LURAS

• The report consists of 4 parts:o Institutional frameworko Description of Lao Farmer Networko Data on FOs across the countryo Summary of support for FO capacity

development


1st National Report: Institutional Framework for FOs

• The report includes a summary of policies relating to FOs, including:o NSEDP 2016-2020: focus on small holder

farmerso ADS: 2025: importance of producers’ groups

and FOso PM Decrees on Associations (2009) and

Cooperatives (2010): describes procedures for official registrations

o MAF Agreements on Production Groups and Agricultural Cooperatives (2014): explains the logic of starting from groups towards cooperatives


1st National Report: Lao Farmer Network

• The report describes how LFN was established, including details of Farmer Conferences held in 2012, 2013 and 2014.

• Also included is a description of the current status of the Network:o Objectives: include provision of credit, market

access, information, sharing resources, support and exchanges

o Membership: 16 FOs in 9 provinces representing more than 2,650 farmers (44% women)

o Structure: General Assembly, Management Committee, Advisory Committee, Secretariat


1st National Report: Data on FOs across the country

• A survey was carried out by PAFOs in 15 provinces (3 remaining provinces will be covered in 2017)

• There were issues with data quality, but the survey has provided a useful baseline. Key findings are: o In total, 2031 FOs were identified, of which

1994 (98%) can be considered informal. o The size of most FOs is in the range of 10-30

members. o Only 17% of members are women. o 4 provinces account for 50% of members:

Xayabury, Xiengkhouang, Phongsaly and Champasack

o Cattle groups are the most common, accounting for 441 organisations with 6,949 members.


1st National Report: Support for FO Development

• This section examines how various organisations – both Government and non-government - are supporting the development of FOs.

• FOs are usually classified by function and/or legal status. Common functions are related to the market orientation of most new FOs.

• DAEC would also like to classify groups by ownership. A high level of ownership means a group can be self-reliant. A low level means they are dependent.

• Most supporting organisations aim to promote self-reliance, and thereby ensure FOs become sustainable.

• The strengths and weaknesses of different types of supporting organisations are also described.


What we are learning

General Observations• Most FOs are village-based producer groups, with limited functions

beyond collecting and selling a single commodity.• The creation of these groups by Govt., private sector and development

projects has resulted in high levels of dependency, raising questions about sustainability.

• The path to self-reliance is further undermined by registration requirements that are confusing and onerous, and which give a high level of control to Govt agencies.

• Another feature of weak groups is a lack of transparency and accountability. Group leaders are often unelected and they fail to consult members before making decisions. Solidarity among members is often weak.


What we are learning

Specific to LURAS• The weak capacity of FOs for preparing proposals and managing

grants is a constraint to the demand-driven approach that LURAS has tried to apply.

• The priority needs of small farmers are credit, inputs and infrastructure, and this is largely outside the scope of the project, which is focussing on learning and facilitation.

• The LURAS Mid Term Review concluded that the project should focus on capacity-building at the grassroots more than at the national level

• The MTR also advised that support for informal networking should precede any efforts to create new formal structures.


Thank You!

LURAS support for Farmer Organisations

Government & Nonprofit