Cambodia : Climate Resilient Rice Commercialization Sector Development Program (Additional Financing)
On 27 June 2013, the Asian Development Bank (ADB) approved the Climate Resilient Rice Commercialization Sector Development Program totaling $87.43 million. The program comprised a $24 million policy-based loan and a $31 million project loan, both from ADB's concessional ordinary capital resources; a $14.60 million grant provided by the Global Agriculture and Food Security Program (GAFSP); a $5 million loan and a $4.50 million grant provided by the Strategic Climate Fund; and a $8.33 million of government counterpart contributions. The Ministry of Economy and Finance (MEF) is the executing agency. The financial closing date is 30 September 2023.
Project Details
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Project Officer
Hem, Chanthou
Southeast Asia Department
Request for information -
Country/Economy
Cambodia -
Sector
- Agriculture, natural resources and rural development
Related Projects
| Project Name | Climate Resilient Rice Commercialization Sector Development Program (Additional Financing) | ||||
| Project Number | 44321-014 | ||||
| Country / Economy | Cambodia |
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| Project Status | Active | ||||
| Project Type / Modality of Assistance | Grant |
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| Source of Funding / Amount |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth |
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| Drivers of Change | Gender Equity and Mainstreaming Partnerships Private sector development |
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| Sector / Subsector | Agriculture, natural resources and rural development / Agricultural policy, institutional and capacity development - Agricultural production |
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| Gender | Effective gender mainstreaming | ||||
| Description | On 27 June 2013, the Asian Development Bank (ADB) approved the Climate Resilient Rice Commercialization Sector Development Program totaling $87.43 million. The program comprised a $24 million policy-based loan and a $31 million project loan, both from ADB's concessional ordinary capital resources; a $14.60 million grant provided by the Global Agriculture and Food Security Program (GAFSP); a $5 million loan and a $4.50 million grant provided by the Strategic Climate Fund; and a $8.33 million of government counterpart contributions. The Ministry of Economy and Finance (MEF) is the executing agency. The financial closing date is 30 September 2023. The original project performed well against the expected outputs, compliance with safeguards covenants, and management of risks. Delivery of expected outputs is rated successful as the project has met 17 of 23 output/targets, while the remaining 6 targets are on track. All gender action plan activities have been implemented, with 93% of the targets/on track. It has completed procurement of all packages, except for the end line survey. As of 19 November 2021, for the project loan and grant components, the cumulative contracts awarded is $48.59 million (88.18%) with a cumulative disbursement of $40.61 million (73.70%). The ongoing civil works subprojects will be completed by December 2021 and will increase disbursement to 80%. The original project has a savings of $3 million, which will finance the project management implementation cost of the additional financing and continue several ongoing project activities. |
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| Project Rationale and Linkage to Country/Regional Strategy | The additional financing is aligned with the government's priorities in addressing the socioeconomic impacts of COVID-19 and avoiding disruptions in the agricultural supply chains that threatens food security. It is aligned with the following operational priorities of ADB's Strategy 2030. Building on the lessons from the original project, the additional financing will (i) provide drying and storage facilities (DSF), including warehouses and drying yards, to agricultural cooperatives to preserve quality of seeds produced by government stations; and (ii) continue to work with MEF to implement weather-indexed climate insurance (WICI) scheme as MEF is the regulating body for the country's financial sector, including the insurance subsector. | ||||
| Impact | Increased net incomes of stakeholders along the rice value chain. | ||||
| Project Outcome | |
|---|---|
| Description of Outcome | Enhanced production of quality rice in Cambodia while preserving the natural resource base |
| Progress Toward Outcome | |
| Implementation Progress | |
| Description of Project Outputs | Conducive legal and regulatory environment established to facilitate climate-resilient rice commercialization Agricultural land-use zoning improved. Climate-resilient rice value chain infrastructure developed Rice value chain support services enhanced to improve quality of Cambodian rice Weather-indexed crop insurance piloted Efficient program management and implementation |
| Status of Implementation Progress (Outputs, Activities, and Issues) | |
| Geographical Location | Nation-wide |
| Safeguard Categories | |
|---|---|
| Environment | C |
| Involuntary Resettlement | C |
| Indigenous Peoples | C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | An environmental assessment and review framework (EARF) was conducted for policy and project interventions during preparation of the original project in September 2012. Policy interventions focus on improving agricultural practices (chemicals and fertilizer application), land-use zoning (to avoid environmentally sensitive areas), watershed protection, and water management in irrigation systems, all of which are likely to have major positive impacts and significantly contribute to improved environment. The EARF was updated in April 2021 to cover the additional works (warehouses for six agricultural cooperatives) under the additional financing. The updated EARF was disclosed on ADB's website on 6 August 2021. Rapid environmental assessment was conducted for the six agricultural cooperatives warehouses and drying yards to screen the potential environmental impacts of the subprojects that may occur during the subproject design, construction, and operation phases. The environmental study was undertaken through field investigations and screening of potential impacts, both negative and positive. The potential environmental impacts that are expected to occur due to the project activities during pre-construction, construction, and operation phases are noted and their mitigation measures established. Based on the results of rapid environmental assessment checklist and the ADB classification system to reflect the significance of a project's potential environmental impacts, the six subprojects are classified as category C. Overall, the additional financing grant is categorized C for Environment. |
| Involuntary Resettlement | The additional financing grant is categorized C for involuntary resettlement impacts. The additional financing will involve the construction of six agricultural cooperatives warehouses, but these facilities will not involve any involuntary land acquisition as they will be built on the land owned by the agricultural cooperatives and will be located within the agricultural cooperatives' compounds. An external monitor will be recruited using the original project's fund to validate land ownership of agricultural cooperatives. This is to ensure compliance with ADB's Safeguard Policy Statement (ADB SPS, 2009). |
| Indigenous Peoples | The original project is categorized as C for indigenous people impacts. The six civil works subprojects are located in (i) Bansay Treng commune of Thmar Kaul district, (ii) Prey Kpos commune of Bovel district in Battambang province, (iii) Trea commune of Stoung district, (iv) Trapaing Reussey commune of Kampong Svay district in Kampong Thom province, (v) Lvea commune of Preah Sdach district, and (vi) Ampil Krao commune of Sithor Kandal district in Prey Veng province. Commune database information and socioeconomic survey indicate there are no indigenous people living within the subproject areas. Local authorities and residents confirmed this finding. Therefore, these six subprojects will not cause any impact on indigenous people. |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | Consultations with stakeholders took place during the original project's design. During implementation, consultations have continued to provide community groups the opportunity to voice their views on subproject design and operation. The additional financing will continue to hold community consultation meetings at the community level. The meetings will be carried out by the MEF-PMO, MAFF-NIO, and PIOs and the implementation consultants, with the participation of commune, district, and provincial officials. It will include the participation of representatives from the local government, civil societies, and nongovernment organizations. The communities will be briefed on all aspects of the subproject including safeguard issues of environment and resettlement. Women will be particularly encouraged to actively participate in the consultation meetings and voice their opinions and views about the subproject design and implementation arrangements. |
| During Project Implementation | The agricultural cooperatives will be informed of the operations and maintenance needs of the warehouse subprojects and their expected responsibility on operations and maintenance. They will be encouraged to provide ideas and feedback to the design team and raise their concerns regarding potential negative impacts of the subproject design on the environment and the welfare of the community. The process of consultation is expected to build awareness of the subprojects needs by the agricultural cooperatives and hence foster better sustainability of the investment. |
| Business Opportunities | |
|---|---|
| Consulting Services | The additional financing will make use of the individual implementation consultants already recruited for the original project. There will be (i) an extension for the eighteen existing individual implementation consultants (two international and sixteen national), and (ii) recruitment of two new individual national consultants following the 2013 Guidelines on the Use of Consultants by ADB and Its Borrowers. |
| Procurement | Procurement for the additional financing will follow the 2015 Procurement Guidelines, same as the original project. There are four procurement contracts, one for civil works and three for goods. |
| Responsible ADB Officer | Hem, Chanthou |
| Responsible ADB Department | Southeast Asia Department |
| Responsible ADB Division | Cambodia Resident Mission |
| Executing Agencies |
Ministry of Economy and Finance [email protected] Street 92, Sangkat Wat Phnom Khan Daun Penh, Phnom Penh City Cambodia Ministry of Economy and Finance Street 92, Sangkat Wat Phnom Khan Daun Penh, Phnom Penh City Cambodia |
| Timetable | |
|---|---|
| Concept Clearance | - |
| Fact Finding | 25 Mar 2021 to 05 May 2021 |
| MRM | - |
| Approval | 14 Jan 2022 |
| Last Review Mission | - |
| Last PDS Update | 19 Jan 2022 |
Grant 0818-CAM
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 14 Jan 2022 | 24 Mar 2022 | 16 Jun 2022 | 30 Sep 2023 | - | - |
| Financing Plan | Grant Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 3.92 | Cumulative Contract Awards | |||
| ADB | 0.00 | 04 Jul 2022 | 0.00 | 0.00 | 0% |
| Counterpart | 0.12 | Cumulative Disbursements | |||
| Cofinancing | 3.80 | 04 Jul 2022 | 0.00 | 0.00 | 0% |
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.
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| Title | Document Type | Document Date |
|---|---|---|
| Grant Agreement (Externally Financed) for Grant 0818-CAM: Climate Resilient Rice Commercialization Sector Development Program (Additional Financing) | Grant Agreement | Mar 2022 |
| Climate Resilient Rice Commercialization Sector Development Program (Additional Financing): Gender Action Plan | Gender Action Plans | Jan 2022 |
| Climate Resilient Rice Commercialization Sector Development Program (Additional Financing): Additional Financing Report | Additional Financing (Cofinancing) | Jan 2022 |
| Climate Resilient Rice Commercialization Sector Development Program (Additional Financing): Project Administration Manual | Project/Program Administration Manual | Dec 2021 |
| Climate Resilient Rice Commercialization Sector Development Program (Additional Financing): Procurement Plan | Procurement Plans | Oct 2021 |
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
| Title | Document Type | Document Date |
|---|---|---|
| Climate Resilient Rice Commercialization Sector Development Program (Additional Financing): Environmental Assessment and Review Framework | Environmental Assessment and Review Framework | Aug 2021 |
Evaluation Documents See also: Independent Evaluation
None currently available.
Related Publications
None currently available.
The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
Requests for information may also be directed to the InfoUnit.
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Tenders
Contracts Awarded
Procurement Plan
| Title | Document Type | Document Date |
|---|---|---|
| Climate Resilient Rice Commercialization Sector Development Program (Additional Financing): Procurement Plan | Procurement Plans | Oct 2021 |