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Progress ReportOctober 2006 – March 2007Submitted byJOBS-IRIS BangladeshRoad # 6A, Plot # 3, Block - JBaridhara, Dhaka – 1212Tel: 880-2-8829037, 9895218Fax: 880-2-8826154Email: info@jobsiris.dhaka-bd.net

Nodi O Jibon ProjectPROGRESS REPORTOctober 2006 -March 20071.0 Note from the desk of the Country Representative2.0 Highlights of JOBS Activities(Oct. 2006 – March 2007)Over the past two quarters, JOBS has worked veryclosely with the private sector and the Nodi o Jibonpartner NGOs to implement its market linkage activitiesin the targeted char areas. Following the sub-sectoranalysis conducted by JOBS in late 2006, severalinterventions have been identified in different sectorsthroughout the project area which are currently beingimplemented.Despite certain periods of political instabilitythroughout the country, JOBS has remained productivethroughout the reporting period and has investedsubstantial time and effort to contribute to the economyof the targeted Nodi o Jibon beneficiaries.Interventions in both the livestock and agriculturesectors are currently underway and several clustersamong the char-based households have beendeveloped. In the livestock sector, JOBS has teamedup with Bengal Meat Ltd. to design a short term pilotproject where selected households are taking part in acow fattening and subsequent market linkage programthat will ultimately generate a monthly income for them.In the agriculture sector, JOBS has joined forces withEnergypac Agro Ltd to implement a pilot program thataims to increase the quality and yield of various cashcrops produced by the char dwellers. Energypac Agrois a producer and supplier of different types of crops toboth local and foreign consumers. In partnership withEnergypac Agro, JOBS plans to launch a contractfarming program with selected Nodi o Jibonhouseholds in the Lalmonirhat chars. This particularinitiative has the potential to provide the targeted chardwellers with new technology that will increase thequality and yield of their produce and subsequentlycreate a marked increase in their incomes.As sector specialists, we believe that interventions thataim to improve the livelihoods of the poorest achievethe most success when implemented in directcoordination with the private sector. As JOBS’ incomegeneration activities in the chars continue, we lookforward to seeing significant improvement in thelivelihoods of all participating Nodi o Jibon projectbeneficiaries.A. Imran ShauketCountry RepresentativeOver the past two quarters, JOBS has been activelyinvolved in identifying lead enterprises operating in themainland that demonstrate a sincere desire to establishmarket linkages with selected households in the charlands. JOBS’ primary goal of working with the privatesector in its initiatives is to provide the char dwellers withnot only an ensured market for their products, but also tosecure various technical and financial services for themthat are not available from any governmental or nongovernmental program. Over the last reporting period,JOBS has accomplished this objective in both thelivestock and agriculture sectors. In the livestock sector,a cow-fattening program is now running with theassistance of Bengal Meat and the Nodi o Jibon partnerNGOs. The char dwellers have received technical trainingon cattle fattening and cow shed construction. They’vealso received the first round of subsidized medicines andvaccines for their cows. To ensure thorough monitoringand evaluation, representatives of JOBS, Bengal Meatand the Pabna-based PNGOs have been visiting theclusters intermittently to solve technical problems andanswer all questions raised by the households.Over the past two quarters, JOBS, Bengal Meat and thePabna-based PNGOs have worked jointly to accomplishthe following: JOBS and its partners have;-Gathered advice and technical direction frominstitutions that have successfully demonstrated theCow Fattening program in other areas;-Finalized the implementation strategy for the CowFattening pilot project in collaboration with the Nodio Jibon partner NGOs and the private sector;-Managed to secure an alternative source offinancing for the pilot project;-Developed three producer groups/ clusters,comprising of 15 households that are willing toparticipate in the Cow Fattening program; and,-Negotiated with private sector enterprises toprovide technical assistance to the selectedhouseholds.PG-01

Nodi O Jibon ProjectPROGRESS REPORTOctober 2006 -March 2007In the agriculture sector, JOBS has been working closelywith Energypac Agro Ltd. to assess the feasibility offorming contract farming1 relationships with certainselected households in the Hatibandha chars ofLalmonirhat. Recently, JOBS and Energypac traveled toseveral potential chars together and held Focus GroupDiscussions with selected households to gain anunderstanding of the current market scenario andfarming trends among the community. Energypac alsoconducted soil analyses to measure the potential forintroducing different varieties of high-yield cash crops.inappropriate beneficiaries for the pilot project and thepostponed collection of pertinent baseline informationcreated a cloud of confusion among both the privatesector and the project beneficiaries.Pilot Project: Cow FatteningRepresentatives of JOBS, Concern, BOSS, JSKS and UDPS atthe MoU signing event to launch the first phase of the cowfattening pilot project in Pabna.Representatives of Energypac Agro Ltd. and JOBS conducting a cost/benefitanalysis on maize production in Poschim Holdibari char, LalmonirhatJOBS, in collaboration with the partner organizations ofthe Nodi O Jibon project and Concern Bangladesh, hasdeveloped a pilot project that links selected, Pabnabased, Nodi o Jibon project clients with Bengal Meat, alarge scale meat processing facility in Shathia upazilla,Pabna. This linkage will serve to increase the incomes ofthe targeted households and to create new, sustainableemployment.The length of the pilot project is for one year and is beingimplemented collaboratively by JOBS, Bengal Meat andthe relevant Nodi o Jibon partner NGOs.A boy feeding a recently purchased cow in Akbakshoha—oneof the Pabna-based chars participating in the pilot projectDespite these successes, however, the projectexperienced a critical and unavoidable delay during thereporting period. The recent political situation and certainfinancial constraints among JOBS’ implementing partnershad driven back the JOBS agenda. Because of the lowfinancial capacity of its partners, JOBS was obliged toleverage credit assistance for the clients from a differentsource, which caused JOBS to lose precious time inorder to put together a new innovative approach toproject implementation. Additionally, the selection of1 Contract farming refers to a contractual agreement between a farmer or farmergroup and a buyer where the buyer adds value to the raw commodity in some way(Processing, storage, seed distribution, etc.) in order to ensure product quality andthe commitment of the farmer or farmer group to the buyer.The pilot can be described as an NGO-led approach thatwill demonstrate the effectiveness of using the Nodi oJibon partner organizations as the primary technical andfinancial facilitators of the producer groups/clusters. Thisapproach will not only test how the pre-existingrelationship between the partners and their clientsbenefits the project, but will also help identify theconstraints and opportunities associated with extendingmicro finance to the targeted chars. Minimizing logisticalrisks and maximizing effective communication betweenthe clusters and their lead buyer are key elements to thesuccess of the pilot. If successfully implemented, thispilot may lead towards an increase in direct privatesector involvement/investment in the char islands.“This pilot initiative will create amarked increase in the incomes of thetargeted households and create new,sustainable employment.”PG-02

Nodi O Jibon ProjectPROGRESS REPORTOctober 2006 -March 2007Participatig stakeholders Roles and ResponsibilitiesRepresentatives of JOBS and UDPS conducting a survey ofpotential households for the pilot project in Dhalarchar, PabnaHousehold Selection:In preparing to implement the pilot, JOBS worked closelywith its partner NGOs and Bengal Meat to finalize theselection of households in each of the three targetedchars. The following criteria were followed in the initialselection of each household:-Each household demonstrates a significant need forincreased household income;-Each household demonstrates the manpowercapacity to rear three cows;-Each household can manage sufficient space toconstruct both night and day sheds for the cows;-Each household demonstrates motivation and awillingness to participate in the project;collaboration with Concern, the partner NGOs and BengalMeat to;-Organize the selected households into threeseparate production clusters that will train and worktogether to fatten locally procured cattle;-Raise the awareness of the selected householdsabout the potential benefits of the project;-Organize and deliver intensive technical skilldevelopment training to the households in order toraise the quality of their cattle to the standards ofBengal Meat;-Develop the resources of the Nodi o Jibon partnerorganizations to ensure that continued advisory,counseling and financial services are provided tothe producer groups throughout the pilot projectperiod; and,-Prepare training curricula and materials for thedelivery of Basic Business Management training inthe field.The ultimate goals of this pilot project are to increase thelevel of investment of the private sector and local donoragencies and to increase access to micro finance andgovernment services throughout the selected chars.Representatives of JOBS, Bengal Meat and UDPS conductingand awareness raising session with members of the selectedhouseholds in Dhalarchar, Pabna.Market Development effort:A group meeting with the Akbakshoha char cluster, facilitatedby JOBS, Bengal Meat and JSKS.Cluster Formation and Awareness Raising:Once the households were selected, JOBS worked inDuring the reporting period, JOBS has investedsubstantial time and effort to identify and create newmarkets for the products available in the chars. Inaddition to the several potential private sector partnersthat JOBS identified during its initial period of sectoridentification, several others have been identified.Among them, Energypac Agro Ltd. is one that hasparticular potential for partnership. Energypac Agro is aprocessor/supplier of various crops to local and foreignmarkets. They have expressed an interest to work withJOBS in raising the quality and yield of various cashPG-03

Nodi O Jibon ProjectPROGRESS REPORTOctober 2006 -March 2007crops produced by the char dwellers. Currently, thequality of seeds and the agricultural technology beingused in the chars prevents the char-based farmers frommaximizing their profit. The technology that Energypaccan offer to the farmers has the potential to revolutionizethe current farming methodologies used in the targetedchars and effectively improve the lives of many chardwellers in addition to those originally selected for directintervention.The JOBS team discussing the pilot project implementationstrategy with the Concern field staff and all Pabna-basedpartner NGOs as the JSKS office in Kashinathpur, Pabna.Representatives of JOBS, ASOD and Energypac holding an FGDwith Nodi o Jibon selected households in Poschim Holdibarichar, Lalmonirhat.Organizing Meetings with PNGOs:The Nodi o Jibon team members paid several visits to theproject sites and met with the staff of several partnerNGOs in order to streamline some of the critical issuessuch as credit operations for the cluster members,program implementation strategy, and the roles andresponsibilities of all partners. In the case of the cowfattening pilot project, JOBS, Concern and all of thePabna-based PNGOs managed to find a workablesolution to the above issues. After much deliberation, allpartners joined together to sign a Memorandum ofUnderstanding that outlines in detail all of the mutuallyagreed upon technical and financial roles andresponsibilities of each partner.The signing of this MoU was a huge step forward and haslaid the foundation for future collaborations with the Nodio Jibon partner NGOs. The process of deliberation theled up to the signing of the MoU helped JOBS and all ofthe PNGOs involved better understand each other’sconstraints and available resources. Future negotiationswill no doubt be conducted with greater ease andefficiency as a result of this achievement.Problems Encountered:Over the past two quarters, JOBS was faced with aseries of technical and financial hurdles which caused asignificant delay in implementing its project activities.The recent political situation and certain financialconstraints among JOBS’ implementing partners haddriven back the JOBS agenda. Because of the lowfinancial capacity of its partners, JOBS was obliged toleverage credit assistance for the clients from a differentsource, which caused JOBS to lose precious time andforced the JOBS team to put together a new innovativeapproach to project implementation. Furthermore, theselection of inappropriate beneficiaries for the pilotproject and the postponed collection of pertinentbaseline information created a cloud of confusion amongboth the private sector and the project beneficiaries.It was found that most of the partner organizations havelimited resources, which restrict them from extendingsome of the necessary technical and especially financialservices to the selected beneficiaries.Despite these constraints, however, JOBS and thePabna-based partner NGOs have made considerableheadway in improving the efficiency with which theyjointly coordinate their project activities.Lessons Learned:All of the problems that JOBS encountered over the lastreporting period provided a great opportunity to learnnew ways to overcome obstacles and how to avoidpotential set backs in the future. The following bulletedlist outlines the lessons that JOBS learned over the pasttwo quarters:-Private sector enterprises are eager to increasetheir geographical parameters with regard tofinancial assistance, while the NGO sector iscontent with focusing solely on developmentinterventions that have fewer risk factors. Thisreduces the potential for char-basedentrepreneurship and precludes them from gettinginvolved in economic activity equal to what isavailable on the mainland;PG-04

Nodi O Jibon ProjectPROGRESS REPORTOctober 2006 -March 2007-The cluster approach encourages outreachactivities and enables lead firms to expand theirbusinesses to previously ‘unattractive’ areas;-Ensured markets encourage producers to undertakerisks and establish sustainable businessrelationships with new lead buyers;-It has been observed that working with lead firmsreduces the dependency of the clusters ongovernment and non-governmental resources plus itincreases their motivation to be more efficient andproductive;-Effective marketing and support mechanisms forproduct development and production are a hugepriority for the char dwellers.Planned Activities in the Next QuarterJune 2007):(April –Business Development Services and TechnologyTransfer-Business Development Services provided to theproducer groups;-Skill and Capacity Development training provided tothe producer groups;-Market promotion for traditional and non-traditionalproducts;-Counseling to producer groups by JOBS and thepartner organizations;-Identification of potential markets and new leadbuyers for the products produced by the producergroups;-Introduction of High Yield Variety seeds for variouscash crops to selected households in Lalmonirhat.JOBS expects the next quarter to be full of new andinteresting challenges. With the cow-fattening pilot nowin motion, monitoring and evaluation will be given theutmost priority as we strive to achieve the goals of theproject. In a separate intervention that is being plannedand prepared in coordination with Energypac Agro Ltd.,JOBS looks forward to making substantial progresstowards the finalization of potential contract farmingarrangements with selected households in Lalmonirhat.Moreover, after having achieved success in overcomingseveral technical and financial constraints over the pasttwo quarters, JOBS expects full cooperation from thePNGOs and greater ease in streamlining its activities inorder to achieve the project objectives. The specificplanned activities for the next quarter are as follows:Pilot Project ImplementationConclusion:-Advancement of the pilot project implementationschedule-Follow-on technical trainings delivered to thehouseholds in separate batches.-Technical support services and monitoring providedon a continuous basis to each cluster;-Three rounds of cattle purchasing and distribution.Overall, JOBS has experienced both substantial as wellas considerable set backs in implementing its projectactivities throughout the last reporting period. The longawaited cow-fattening pilot program is now underwayand all Pabna-based NGOs along with ConcernWorldwide are working closely together to make theprogram a success. A memorandum of understandingwas signed by all parties whereby each implementingpartner has agreed to carry out specific roles andresponsibilities. Furthermore, with the help of ConcernWorldwide, several ‘partnering’ constraints have beenovercome, which have strengthened the commitment ofthe partner NGOs to work more closely with JOBS in itsproject interventions. In coordination with EnergypacAgro Ltd., JOBS has identified new prospects for marketlinkage in the agriculture sector for the Lalmonirhatbased beneficiaries. Over the next quarter, JOBSexpects to finalize the necessary assessments leadingtoward potential contract farming relationships for bothlandless and near-landless households in the region.New Producer Group/Cluster Development-Identification and selection of new NoJ projectbeneficiaries (households) for forming new producergroups/ clusters on traditional and non traditionalsectors;-Data collection on the selected beneficiaries.-Formation of cluster(s) with the selectedbeneficiaries.PG-05

Nodi O Jibon ProjectPROGRESS REPORTOctober 2006 -March 2007Furthermore, all development agencies including theNodi o Jibon partner NGOs/MFI2s should address theeconomic needs of the people living in the char islandsmore closely. Without significant effort on that front, itmay not be possible to create sustainable sources ofincome for a significant number of char dwellers.In closing, the project continues to advance toward apositive result. Despite the existing constraints, JOBS isconfident that significant economic development in thetargeted char areas is absolutely within reach. As thecommunication and coordination among JOBS, Concernand the partner NGOs continues to improve, we can lookforward to more rapid success in the coming months.However, the issue of low micro finance lending capacityand the unwillingness of several key Nodi O Jibon partnerNGOs to distribute loans to the project beneficiariescontinues to be a serious constraint. This particularissue is one that should have been considered at the firststage of the project design. The impact of strategicdevelopment will always be limited without thecontribution of financial assistance to the projectbeneficiaries.There are challenging situations ahead for establishingprivate sector presence in the char islands. More fundsmay be required to successfully demonstrate the sectordevelopment approach and to reap the benefits of theprivate sector’s involvement and contribution in the charlands.Acknowledgement:Concern BangladeshHouse No. 58, Lane No. 1, Kalabagan, Dhaka 1205P.O. Box 650, Dhaka 1000, desh Organization for Social Service (BOSS)Own Village Advancement (OVA)Chhinnomukul BangladeshJumuna Samaj Kallyan Sangstha (JSKS)Uttara Development Program Sangstha (UDPS)Assistance for Social Organization and Development (ASOD)Plot # 3, Road # 6A, Block # J, Baridhara, Dhaka-1212.Ph: 8829037, 9895218, Fax: 8826154InformationA. Imran ShauketErika Hoffman-KiessA.H.M. Zaman KhanSk. Md. Moshiur RahmanNathan ReynoldsE-mail: info@jobsiris.dhaka-bd.netLayout DesignMd. Abdur RazzakPhotosJOBS ProjectJob Opportunities and Business Support (JOBS) is an integrated Private SectorDevelopment Program implemented by the IRIS Center at University of Maryland.2Micro-Finance InstitutionPG-06

PROGRESS REPORT October 2006 -March 2007 1 Contract farming refers to a contractual agreement between a farmer or farmer group and a buyer where the buyer adds value to the raw commodity in some way (Processing, storage, seed distribution, etc.) in order to ensure product quality and the commitment of the farmer or farmer group to the buyer.

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