Income Generation through Ecological Fruit Processing



Contract partner: HORIZONT3000 - Österreichische Organisation für Entwicklungszusammenarbeit Country: Uganda Funding amount: € 148.440,00 Project start: 01.04.2006 End: 31.03.2008

Short Description:

Overall goal


Agricultural markets in Uganda are currently characterised by disorderliness and lack of standards. In many of such markets, there are "invisible cartels" which operate the business and impose barriers (both tariff and non-tariff) for farmers who may wish to access them.

Marketing of agricultural produce in the rural setting is very hazardous and one of the biggest challenges farmers face in the farming business. Farmers face a multitude of problems in that they make un-informed decisions which at most times show disastrous result. This is further aggravated by lack of protection by the GoU and other prohibitive policies such as liberalisation that have unleashed forces of the free market on to the small farmers. In addition, farmers suffer tremendous pre- and post-harvest losses due to the kind of farming techniques they employ. These can range between 5-15% for low-perishable crops (grains), 20-35% for semi-perishables (root crops) and 40% for high perishables (fruits and vegetables).

Uganda is far from tapping the potential of processing and exporting dried fruits and vegetables as shown by the limited number of fruit processors and exporters currently available. (Agona et al., 2002). The project builds on the local potentials which include significant amounts of fruits grown by the farmers and their local knowledge of producing and harvesting fruits. The interventions of this project aim at increasing market access and improving market information available to farmers. Therefore, they are enabled to make well-informed decisions and achieve higher prices for their produce. Furthermore, farmers selling their produce to the fruit drying unit will be offered fair prices and contracts with farmers' associations ensure reliable and constant sale of their fresh produce. Providing value-added processing technologies opens new markets for fruit growers in the project area.

project number 2421-00/2006
source of funding OEZA
sector Landwirtschaft
tied
modality
marker
  • Policy marker: are used to identify, assess and facilitate the monitoring of activities in support of policy objectives concerning gender equality, aid to environment, participatory development/good governance, trade development and reproductive, maternal, newborn and child health. Activities targeting the objectives of the Rio Conventions include the identification of biodiversity, climate change mitigation, climate change adaptation, and desertification.
    • 1= policy is a significant objective of the activity
    • 2= policy is the principal objective of the activity
  • Donor/ source of funding: The ADA is not only implementing projects and programmes of the Austrian Development Cooperation , but also projects funded from other sources and donors such as
    • AKF - Foreign Disaster Fund of the Austrian federal government
    • BMLFUW - Federal Ministry for Agriculture, Forestry, Environment and Water
    • EU - Funds of the European Commission
    • Others - various other donors are listed in ADA’s annual business report.
  • Type of Aid – Aid modalities: classifies transfers from the donor to the first recipient of funds such as budget support, core contributions and pooled programmes and funds to CSOs and multilateral organisations, project-type interventions, experts and other technical assistance, scholarships and student costs in donor countries, debt relief, administrative costs and other in-donor expenditures.
  • Purpose/ sector code: classifies the specific area of the recipient’s economic or social structure, funded by a bilateral contribution.
  • Tied/Untied: Untied aid is defined as loans and grants whose proceeds are fully and freely available to finance procurement from all OECD countries and substantially all developing countries. Transactions are considered tied unless the donor has, at the time of the aid offer, clearly specified a range of countries eligible for procurement which meets the tests for “untied” aid.
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