Project to Reduce Postharvest Losses for Rice Farmers in Cambodia and Viet Nam
MANILA, PHILIPPINES (26 February 2004) - ADB has approved a US$750,000 grant, from its Japan Fund for Poverty Reduction (JFPR), funded by the Government of Japan, to reduce postharvest losses on rice farming in Cambodia and Viet Nam. The assistance aims to improve food security, boost livelihoods, and reduce poverty levels in villages reliant on rice production, through a comprehensive training package in cost-effective postharvest methods. The training will be provided to three farmer intermediary institutes (FII), such as government and nongovernment agencies, in each country. Practitioners from these FIIs will learn about new developments in cost-effective storage and milling technologies, work with farmers to identify and address postharvest constraints, undertake farm and rice mill surveys to assess the incremental losses experiences during rice processing, and to conduct market analyses. The FIIs will work with at least 800 farmers in eight poor villages in drying and pesticide-free storage techniques that will improve and maintain the quality of their harvest. Ten rice millers will also be trained in improved rice milling techniques. Equipment developed by the International Rice Research Institute (IRRI) will be adapted to locally available materials that farmers can afford. To increase the returns on their harvest, FIIs will train farmers and rice millers on the workings of the local rice market, including consumer preferences, quality requirements, and pricing mechanism. A subregional rice postharvest network will be established among practitioners trained through the project to continue building postharvest information and technology, share market intelligence, and deliver information to other poor farmers. "Previous projects to improve post harvest technology have had limited impact due to their staged approach, which focused on drying, storage, or milling. It is important to link and comprehensively tackle the issue of postharvest loss, quality, and price," says Juri Oka, an ADB Social Development Project Specialist. Poor farmers in Cambodia and Viet Nam, where rice is a staple, suffer disproportionately from postharvest losses. Farmers in the two countries may require two or three times as much rice grain as they consume to meet their food needs because of spoilage from poor storage techniques. They are often forced to sell whatever extra they produce immediately after harvest for low prices. Aside from this, limited market knowledge constrains the farmers' bargaining power. Inefficient milling techniques also result in low milling yield. An IRRI study showed that yield could be as low as 53% in local village milling facilities and as low as 63% at commercial millings in Southeast Asia. In addition, when these poor farmers run out of rice to eat, they are forced to buy rice in the market when prices are higher due to seasonal fluctuations. This project complements the Agriculture Sector Development Program policy loans for Viet Nam and Cambodia, approved in 2002 and 2003, respectively. IRRI is the executing agency for the grant, which can be utilized until 2006. The two Governments are contributing US$25,000 equivalent each and IRRI will add US$165,000 toward the total project cost of US$940,000. The JFPR was set up in 2000 with an initial contribution of Y10 billion (about $90 million), followed by additional contributions of $155 million and a commitment of $50 million. The fund supports projects that target poor people. About ADB | 
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