Support for agricultural cooperatives and small farmers through an investment fund (FODEAL II)

Project completed

The programme intends to reach a significant increase in local milk and meat production, in the 14 municipalities of the Holguín province (1 200 000 inhabitants). By acceding to investments, training in entrepreneurship and efficient use of bank credits, small farmers, cooperatives and enterprises of the agricultural and livestock sectors will produce and earn more. Through the partner organization, the Cuban Association for Animal Production ACPA, the experiences of the FODEAL programme will be spread over the whole country.

Country/region Topic Period Budget
Cuba
Agriculture & food security
Employment & economic development
Agriculture value-chain development (til 2016)
SME development
01.10.2012 - 31.03.2017
CHF 1'020'000
Background

In the framework of the current economic reforms undertaken by the Cuban government, food production for import substitution is a priority. Small farmers and cooperatives, which still depend on the highly centralized distribution of inputs and resources, should become efficient entrepreneurs in the management of their land and livestock.

Objectives

To contribute to a sustainable increase of productivity in the local production of meat and milk by the small farmers in the Holguín province (10 % of the Cuban population).

Target groups

  • Small farmers, cooperatives, enterprises and livestock farms in the Holguin province.
  • Local population (1 200 000 inhabitants)
  • Medium-term outcomes

  • 30% increase in meat and milk produced and available for the inhabitants of all 14 Holguín municipalities (6 additional) , compared to the previous production and supply, thanks to more investments and better farm management.
  • Good entrepreneurial practices and proven instruments in the farming and livestock sectors are systematized and communicated, in order to be adopted by at least 30 municipalities more in other provinces.
  • Results

    Results from previous phases:  

  • In 8 out of 14 municipalities of the Holguín province, meat and milk production has increased up to 150%, generating additional revenues of 4,5 mio Cuban pesos (equivalent to CHF 580’000.-).
  • In 3 out of the 8 abovementioned municipalities, imported milk reserved for children has completely been substituted by locally produced milk.
  • The complementarity of investments in hard currency through the programme and credits of the local credit bank BANDEC (Banco de Crédito y Comercio) has multiplied the investment effects. To be able to apply for the available investment funds, the farmers had to be prepared in commercial and market issues.
  • As the investments have to be approved by municipal committees, the programme promotes at the same time the decentralization of the sector.

  • Directorate/federal office responsible SDC
    Credit area Development cooperation
    Project partners Contract partner
    International or foreign NGO
    • Cuban Association for Animal Production (Asociación Cubana de Producción Animal ACPA)


    Budget Current phase Swiss budget CHF   1'020'000 Swiss disbursement to date CHF   1'096'790
    Project phases

    Phase 1 01.10.2012 - 31.03.2017   (Completed)