Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date 02 Feb 2007
PDS Updated as of 21 Oct 2013

Project Name Aquatic Resource Development and Quality Improvement
Country Sri Lanka
Project/Program Number 34318-013
Status Approved
Geographical Location The Project will initially be implemented in nine districts in six provinces in the Dry Zone of the country. Sites have also been identified in other districts, including Vavuniya, Ampara, and Batticaloa in the northeast, which can be developed.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector and/or Subsector Classification Agriculture, natural resources and rural development
/ Fishery
Thematic Classification Private sector development
Gender Mainstreaming Categories

Financing

Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan1910Ordinary capital resources6,200
Loan1911Asian Development Fund13,800
Counterpart 8,400
TOTAL US$ 28,400

Safeguard Categories

For more information about the safeguard categories, please see http://www.adb.org/site/safeguards/safeguard-categories

Environment B
Involuntary Resettlement C
Indigenous Peoples C

Summary of Environmental and Social Issues

An initial environmental examination conducted during project preparation showed that only a few minor environmental impacts are likely as a result of (i) introducing culture-based fisheries in seasonal tanks, (ii) constructing water- and land-based minihatcheries, (iii) undertaking civil works renovate ADCs, (iv) constructing various production and marketing facilities, and (v) using abandoned brackish water ponds for red tilapia and milkfish culture. The potential impacts are small and avoidable, and can be mitigated by other project interventions included in the project costs. None of the proposed interventions is environmentally critical or anticipated to create significant adverse or negative impacts on the environment. Instead, the Project is likely to bring about benefits in the form of enhanced fisheries management in major and medium perennial reservoirs, optimized utilization of the productivity of seasonal tanks, improved environmental sanitation at fish-landing sites, improved quality of fish for human consumption, and greater public awareness of the need for resource management and environmental protection. Nevertheless, environmental conditions at project sites will be monitored regularly to determine changes in levels of essential parameters mainly those pertaining to water quality to prevent fish mortality or disease conditions. ADCs will be equipped with a basic chemistry and water quality laboratory where samples can be brought from the field for testing. Portable water test kits will also be procured to enable NAQDA field personnel to conduct on-site water quality monitoring. Environmental considerations have been included in selection criteria for specific sites for establishing various production and marketing facilities, to ensure that none of these facilities is set up in environmentally critical or protected areas. Construction of water treatment facilities and settling/sedimentation ponds/tanks in brackish water ponds will be a prerequisite for issuing permits or licenses to private fish farmers, to minimize the risk of water quality deterioration in receiving waters. NAQDA, through the PMO, will play an important role in environmental monitoring and management by coordinating the activities of its technical and extension personnel involved in field-level monitoring.

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples

Stakeholder Communication, Participation and Consultation

During Project Design
During Project Implementation

Description

The Project will promote market-driven and sustainable management of inland fisheries and aquaculture through resource development and quality improvement. It will initially be implemented in nine districts in six provinces in the dry zone. Model aquaculture and fish processing enterprises will be developed, which may be replicated in other parts of the country, including the north and east, where the water resources exist. The Project is organized in five parts: inland fisheries and aquaculture development, fish quality improvement and marketing, facilitation of access to credit, institutional strengthening, and project management. The successful implementation of these is expected to result in the following outcomes: (i) increased production of freshwater fish and other aquatic products for the rural, urban, and export markets; (ii) improved quality and increased consumption of inland fish; (iii) improved access to credit for use in inland fisheries and aquaculture; and (iv) strengthened capacity of NAQDA and other sector institutions. Increased investment by small- and medium-scale private entrepreneurs will be encouraged, and community-based fisheries management will be strengthened.

Project Rationale and Linkage to Country/Regional Strategy

Fish are the principal source of protein for Sri Lanka?s population, and play a vital role in meeting basic nutritional and livelihood needs. Extensive water bodies constitute a potentially rich source of food and income for the rural population living in their proximity. However, in 2000, only 12% of the country?s fish production came from inland fisheries and aquaculture. The production potential of the freshwater and brackish water resources has not been optimally utilized due to several factors, including lack of (i) fish seed for stocking, (ii) trained extension staff and outreach, and (iii) medium-term credit to finance increased production. An analysis of consumption trends shows a growing demand for fish in both rural and urban markets. Significant opportunities are also emerging for sale of freshwater fish and aquatic products beyond traditional local markets. Both community-based and private sector initiatives and interest exist to avail of these opportunities, given appropriate support to invest in developing inland fisheries and aquaculture production and marketing. Fish are the principal source of protein for Sri Lanka's population, and play a vital role in meeting basic nutritional and livelihood needs. Extensive water bodies constitute a potentially rich source of food and income for the rural population living in their proximity. However, in 2000, only 12% of the country?s fish production came from inland fisheries and aquaculture. The production potential of the freshwater and brackish water resources has not been optimally utilized due to several factors, including lack of (i) fish seed for stocking, (ii) trained extension staff and outreach, and (iii) medium-term credit to finance increased production. An analysis of consumption trends shows a growing demand for fish in both rural and urban markets. Significant opportunities are also emerging for sale of freshwater fish and aquatic products beyond traditional local markets. Both community-based and private sector initiatives and interest exist to avail of these opportunities, given appropriate support to invest in developing inland fisheries and aquaculture production and marketing. ADB?s strategy in Sri Lanka focuses on assisting the country's poverty reduction efforts through improved efficiency, more sustainable pro-poor growth, and better development opportunities for the poor. ADB's support for aquatic resource development and quality improvement will boost generation of productive employment opportunities and increase rural incomes. The intervention recognizes that both investment, and policy and institutional development are required to enhance productivity and increase employment opportunities for the poor. The Project is in line with the operations of ADB in the fisheries sector, which are steered by the objectives of resource sustainability, equity in balancing interests of various resource users, and efficiency in developing and managing aquatic resources.

Development Impact

Improved food security and reduced poverty, especially in rural areas.

Project Outcome

Description of Outcome
Sustainable management of market-driven inland fisheries and acquaculture. [Taken from the Project Framework.]
Progress Towards Outcome
A significant improvement had been made to the inland fisheries and acquaculture sector as the end of the project.

Outputs and Implementation Progress

Description of Project Outputs
1. Inland Fisheries and Aquaculture Development 1.1 Fish Production Enhancement 1.2 Community-based fisheries management 1.3 Enterprise Development 1.4 Applied Research 2. Fish Quality Improvement and Marketing 3. Facilitating Access to Credit 4. Institutional Strengthening 5. Project Management
Status of Implementation Progress (Outputs, Activities, and Issues)
Construction completed at Anuradhapura, Monaragala,Polonnaruwa and Kurunegala RAEO. Construction work for Ampara office is also complete Stockings completed in 3129ha seasonal tanks (283 tanks) identified under 2008/09 programme 97 tanks covering 10,075 ha utilized under 2008/09 programme.(cumulative). About 7 million fish fingerlings stocked during 2009. 25 mini hatcheries established and fully operational and reared about 8 fingerlings during 2009. A consignment of GIFT Tilapia, brought with the help of WorldFish Center. Negotiating with Chinese Govt. for import of Grass carp. A total of 10 fish species/varieties/stock supplied. 50 tanks selected for the introduction of community based fisheries under 2009 programme. CBOs strethened. Representives of CBO's trained in CBO's trained in CBO management and leader (50 tanks cumulative) NGOs completed services in respect of 4 districts. NAQDA has signed agreements with the private partner. Construction of Tissue culture laboratory is complete and equipment supplied. production is in progress. NAQDA has signed agreements with the private partner. Broodstocks are being raised and reared and fish are maturing. NAQDA has signed agreement with the private partner. Production of Artemia in progress. Post harvest processing and canning successful and production is introduced to the market and farming operations are continuing. (d) Private partner identified. Agreement signed. Construction of ponds and other facilities at Pelwehera, Dambulla completed. (e) Very poor response for the EOI. (f) Very poor response for the EOI. Construction of the laboratory building completed. Scientific equipment supplied; The center is in operation. Construction of the laboratory building has been completed at battuluoya and is in operation Two model drying/smoking units operational. Three sites for establishment of solar drier units identified and construction at Hakwatunawa is in progress. 32 fisheries organization (cumulative) have been registered as partner organization, Rs.10.13m (cumulative ) of loans disbursed. 121 loans approved amounting to Rs.72 million and Rs.67 million disbursed The contract was awarded in 2008 and completed the construction and the building is occupied Construction is complete and in operation Information system handedover to NAQDA. Frame survey data analysis completed. Field officers trained on samling based on catch assesment is completed. 5 double cabs; 6 crew cabs; 50 motor bicycles; 1 tractor; 3 hand tractors procured and supplied.1 truck supplied. Submersible/sledge pumps netting materials, office equipment, Generators, computers, scientific equipment etc. procured and supplied; 9 contracts awarded for the supply of scientific equipment. training of fisheremen is completed.. cumulative 25 persons (9 p/m) cumulative 3,585 offices (6,982.5 p/d) cumulative 3050 farmers (4864 p/d) 2.89 p/m (cumulative 49.65 p/m) International and 14.08 p/m (cumulative 1540 p/m) inputs provided. Total inputs are provided. Consultants contracted for design/construction supervision of 10 civil works contracts which was completed as of 30 June 2010. ADB will fied its Project Completion Mission during July-August 2011.
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2007 Feb 02
Consulting Services
A team of consultants will be engaged by Ministry of Fisheries and Aquatic Resources Development (MFOR) to support PMO in Project management and provided technical advice and assistance in the implementation of specific interventions. The consultants will be engaged through an international consulting firm in accordance with ADB Guidelines on Consultant Selection. Consulting services requirement is estimated at a total of 197 person-months, comprising 51 person-months of international; and 146 person-months of domestic consultants. The Project Management Support Specialists will assist and support PMO and the PIUs in project implementation. The Technical Support Specialists will provide technical advice and guidance to PMO and the PIUs in the following areas: (i) inland fisheries and aquaculture; (ii) mariculture; (iii) fish health management; (iv) fish processing and quality improvement; (v) marketing; (vi) community development; (vii) institutional development and training; (viii) fisheries information systems; and (ix) policy and legislation. Advance action for recruitment of consultants will be taken.
Procurement
All procurement under the Project will be done in accordance with ADB?s Guidelines for Procurement. Major items to be procured through international competitive bidding will be equipment and a small number of vehicles. Civil works will comprise many small contracts for establishing small-scale infrastructure and facilities, which will be contracted through local competitive bidding. Nongovernment organizations and other service providers will also be contracted through local competitive bidding.
Procurement and Consulting Notices
http://www.adb.org/projects/34318-013/business-opportunities

Timetable

Concept Clearance
Fact-finding 05 Mar 2002 to 15 Mar 2002
Management Review Meeting 30 Apr 2002
Approval 05 Sep 2002
Last Review Mission

Milestones

Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 1910 05 Sep 2002 08 Jul 2003 03 Nov 2003 30 Jun 2010 16 Jul 2012
Loan 1911 05 Sep 2002 08 Nov 2002 07 May 2003 30 Jun 2010 26 Nov 2010

Utilization

Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
24 Jul 2014 Loan 1910 5,260 0 94.00%
24 Jul 2014 Loan 1911 14,596 0 98.00%
Cumulative Disbursements
24 Jul 2014 Loan 1910 5,591 0 100.00%
24 Jul 2014 Loan 1911 14,963 0 100.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 1910
Loan 1911

Contacts and Update Details

Responsible ADB Officer Snimer K. Sahni ( @adb.org)
Responsible ADB Department South Asia Department
Responsible ADB Divisions Sri Lanka Resident Mission
Executing Agencies Ministry of Fisheries and Ocean Resources
*

National Aquaculture Development Authority
*

Links

Project Website http://www.adb.org/projects/34318-013/main
List of Project Documents http://www.adb.org/projects/34318-013/documents