Samoa: Samoa AgriBusiness Support Project

Sovereign Project | 46436-002

Summary

The project will promote commercializing and exporting agricultural produce and processed products along agro-value chains to stimulate agriculture's role in economic growth and poverty reduction in Samoa. It will provide business support services and financing to agribusinesses.

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Procurement Documents


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Project Name Samoa AgriBusiness Support Project
Project Number 46436-002
Country Samoa
Project Status Approved
Project Type / Modality of Assistance Grant
Source of Funding / Amount
Grant 0392-SAM: Samoa AgriBusiness Support Project
Asian Development Fund US$ 5.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change Partnerships
Private sector development
Sector / Subsector Agriculture, natural resources and rural development - Agro-industry, marketing, and trade
Gender Equity and Mainstreaming Effective gender mainstreaming
Description The project will promote commercializing and exporting agricultural produce and processed products along agro-value chains to stimulate agriculture's role in economic growth and poverty reduction in Samoa. It will provide business support services and financing to agribusinesses.
Project Rationale and Linkage to Country/Regional Strategy

Samoa has yet to return to pre-tsunami (2009) economic growth levels which the government seeks to redress through promoting tourism and agriculture. Revitalizing agriculture and increasing exports feature therefore prominently in the government's policy framework including the Strategy for Development of Samoa, the Agricultural Sector Plan, and the National Export Strategy.

In the agribusiness subsector, including commercial farming and agro-industrial enterprises, trade statistics show a total agriculture food export (fresh and processed) decline from ST61 million in 2002 to ST45 million in 2012. Agribusinesses are critical for stimulating agricultural production. Even though their total number is small, they support many mall holder farms through supply chain arrangements.

Impact Agriculture sector regains its prominence for the Samoan economy
Project Outcome
Description of Outcome Selected commercial agribusinesses grow sustainably
Progress Toward Outcome The project start up activities have commenced and the facility manager was fielded in October 2014. ANZ and Westpac are the first two partner banks that have signed subsidiary financing agreements with the government. The two banks have fulfilled the disbursement conditions and the drawdown of funds ($1.2 million each) was completed in Nov/Dec 2014.
Implementation Progress
Description of Project Outputs

Partner agribusinesses are provided with suitable financing instruments

Partner agribusinesses are provided with business support services

Project is efficiently and effectively managed

Status of Implementation Progress (Outputs, Activities, and Issues) The project started with the fielding of the facility manager end of last year and the set up of the project management unit in Q1 2015. Preparational activities are still under way and the partner agribusinesses pipeline is currently being developed.
Geographical Location
Safeguard Categories
Environment FI
Involuntary Resettlement FI-C
Indigenous Peoples FI-C
Summary of Environmental and Social Aspects
Environmental Aspects An Environmental and Social Management System Arrangement has been prepared for the project since the specific enterprises to be supported by the project are unknown at this stage.
Involuntary Resettlement It is not expected to involve physical displacement or involuntary acquisition of land. Any purchase/lease of freehold land or leasing of customary land for agricultural production will be undertaken through voluntary agreements between private agribusiness enterprises and landowners on a willing-buyer/willing-seller basis or with full consent of the landowners.
Indigenous Peoples The project is not expected to impact any distinct and vulnerable group of indigenous peoples as defined under ADB's Safeguards Policy Statement 2009. Community consultations will be undertaken and engagement with rural households will be done.
Stakeholder Communication, Participation, and Consultation
During Project Design The government, and civil society organizations (including the Chamber of Commerce, the Samoa Association of Manufacturers and Exporters, and the Samoa Farmers Association) were consulted during project preparation.
During Project Implementation A private sector representative will sit on the project advisory committee. The gender action plan provides for the equitable participation of women in the project. Community consultation will be required for agro-industrial facilities in accordance with Samoan environmental impact assessment regulations.
Responsible ADB Officer Sabine Spohn
Responsible ADB Department Pacific Department
Responsible ADB Division Pacific Liaison and Coordination Office in Sydney, Australia
Executing Agencies
Ministry of FinanceMinistry of Finance
Government of Samoa
Private Bag, Apia, Samoa
Timetable
Concept Clearance 04 Dec 2012
Fact Finding 20 Jan 2014 to 24 Jan 2014
MRM 19 Feb 2014
Approval 17 Jun 2014
Last Review Mission -
Last PDS Update 18 Mar 2015

Grant 0392-SAM

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
17 Jun 2014 19 Jun 2014 04 Aug 2014 31 Jan 2022 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 10.34 Cumulative Contract Awards
ADB 5.00 17 Jun 2014 3.07 0.00 61%
Counterpart 5.34 Cumulative Disbursements
Cofinancing 0.00 17 Jun 2014 2.62 0.00 52%
Title Document Type Document Date
Project Agreement for Samoa AgriBusiness Support Project (PA2) Project/Program Agreement Aug 2014
Grant Agreement (Special Operations) for Samoa AgriBusiness Support Project Grant Agreement Jun 2014
Project Agreement for Samoa AgriBusiness Support Project Project/Program Agreement Jun 2014
Samoa AgriBusiness Support Project: Procurement Plan Procurement Plans May 2014
Samoa AgriBusiness Support Project Reports and Recommendations of the President May 2014
Samoa AgriBusiness Support Project Project/Program Administration Manual May 2014
Samoa AgriBusiness Support Project Gender Action Plans May 2014
Private Sector Development Project Initial Poverty and Social Analysis Jan 2013

Safeguard Documents

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Evaluation Documents

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