HIGH-VALUE AGRICULTURE ACTIVITY QUARTERLY REPORT for the Period April – June 2018

USAID/HVAA

HIGH-VALUE AGRICULTURE ACTIVITY QUARTERLY REPORT For the period April – June 2018

This report is made possible by the support of the American People through the United States Agency for International Development (USAID). The contents of this report are the sole responsibility of Chemonics International and do not necessarily reflect the views of USAID or the United States Government

HIGH-VALUE AGRICULTURE ACTIVITY

QUARTERLY REPORT For the period of April - June 2018

CONTRACT NO. AID-117-C-17-00001

USAID COR: RODICA MIRON

CHIEF OF PARTY: CYNTHIA STEEN

JULY 2018

ACRONYMS

AITTF Agricultural Innovation and Technology Transfer Fund ANSA National Food Safety Agency APESM National Table Grape Association B2B Business to Business BoM “Berries of Moldova” Association CEO Chief Executive Officer CIS Central Irrigation System COR Contracting Officer's Representative EU European Union FF Family Farm GAP Good Agricultural Practice GLOBALG.A.P. Global Good Agricultural Practice (voluntary standard managed by FoodPlus) HEKS-EPER Swiss Church Aid Office in Moldova HVA High Value Agriculture HVAA High Value Agriculture Activity IEE Initial Environmental Examination IPM Integrated Pest Management Ltd. Privat limited company MARDE Ministry of Agriculture, Regional Development and Environment MCC Millennium Challenge Corporation M&E Monitoring an Evaluation MEL Monitoring, Evaluation and Learning MFA Moldova Fruct Association MIEPO Moldova Investment and Export Promotion Organization MoU Memorandum of Understanding NBARM National Beekeepers Association of the Republic of Moldova NVS Nisporeni Vocational School OCA Organizational Capacity Assessments PERSUAP Pesticide Evaluation Report and Safer Use Action Plan PHH Post Harvest Handling PMEP Project Monitoring and Evaluation Plan SOW Scope of Work STTA Short-Term Technical Assistance SEMP Sector Export Marketing Plans ToT Training of Trainers UAE United Arab Emirates USAID United States Agency for International Development WUA Water Users Association

CONTENTS

Acronyms ...... 1 EXECUTIVE SUMMARY ...... 3 SECTION I: Project Accomplishments by Objective ...... 7 A. Objective 1: Expand and Strengthen Linkages to Domestic, Regional, and International Markets for Targeted Value Chains ...... 7 B. Objective 2: Improve Productivity, Post-Harvest Handling, and Private Sector Capacity to Comply with EU and International Standards in Targeted Value Chains ...... 10 C. Objective 3: Strengthen Capacities of Member-Based Groups (Producer Groups, WUAs, and Industry Associations) to Serve Their Members in Targeted Value Chains ...... 17 D. Objective 4: Improve the Enabling Environment Leading to Increased Investments and an Improved Work Force in Targeted Value Chains ...... 19 E. Cross-Cutting Activities to Support Implementation ...... 24 Progress Toward Targets under the Performance Monitoring and Evaluation Plan ...... 29 SECTION II. Deliverables ...... 32 SECTION III. Schedules ...... 32 SECTION IV. Problems ...... 32 SECTION V: Major Activities planned for next quarter ...... 33

EXECUTIVE SUMMARY

During the reporting period, HVAA focused its efforts on developing connections between local producers and international markets for the fruit, table grape, and honey sectors, and helped broker unprecedented access to major international buyers in Europe. Under the Agricultural Innovation

and Technology Transfer Fund (AITF), HVAA signed 19 new agreements with organizations and producers from all regions of Moldova during the reporting period. With HVAA support, the Berries of Moldova Association (BoM) launched new editions of the Berry Fairs, offering producers the opportunity to exhibit, promote, and sell berries to local consumers, as well as share and learn new marketing, packaging, labelling, and selling practices from one another. USAID/HVAA brokered a partnership between USAID, the Ministry of Agriculture, Regional Development and Environment (MARDE), the National Office of Vine and Wine (ONVV, as it is

known in Romanian), HEKS-EPER, Geographic presentation of HVAA activities and events and the Horticulture Research Institute (HRI), resulting in a signed Memorandum of Understanding (MoU) to commit approximately $400,000 for the rehabilitation of HRI’s tissue culture laboratory, greenhouses, and scion mother stock plantations. Thanks to the $20 million U.S. Government investment under the Millennium Challenge Corporation (MCC) Compact, which rehabilitated former Central Irrigation Systems (CIS), the Cosnita and Puhaceni Water User Associations (WUAs) are able to provide irrigation to over 3,000 hectares of farmland, servicing more than 5,000 small and medium farmers. To help farmers improve water use and benefit from irrigated land, HVAA provides complex support to Water User Associations and their members. During the reporting period, over 920 participants from 370 new unique firms and farms benefitted from HVAA assistance. 3

The table below shows the distribution of beneficiaries per type of event:

The largest number of events during the period focused on stone fruit. The majority of events involved technical assistance related to apricot, sweet and sour cherry intensive and super-intensive production. This was followed by support for honey vertical hives and bee treatment trainings in the field. Main cross-cutting value chain activities for the period included the presentation of the farm crew feasibility study and business model, the feasibility study for the Horticulture Center of Excellence, and support for improved water consumption by WUAs.

NUMBER OF EVENTS PER VALUE CHAIN IN Q3 FY18

Apples Vegetables 2% Berries 11% Table 11% grapes 4%

Cross- cutting Stone Fruit 23% 29%

Processed fruits and Honey vegetables 18% 2%

The geographic locations of events organized by number of participants and by value chain is shown on the maps below:

Number of participants per type of event Number of participants in events per value chain

Highlighted Accomplishments Year 2

SECTION I: PROJECT ACCOMPLISHMENTS BY OBJECTIVE

OBJECTIVE 1: EXPAND AND STRENGTHEN LINKAGES TO DOMESTIC, REGIONAL, AND INTERNATIONAL MARKETS FOR TARGETED VALUE CHAINS

• During the reporting quarter, HVAA, Moldova Investment and Export Promotion Organization (MIEPO) and Moldova Fruct Association (MFA) reviewed the results of the joint activities implemented for 2017/18 fresh produce marketing season supporting the expansion and diversification of Moldovan HVA exports. 2017/18 HVAA marketing efforts specifically worked to connect Moldovan exporters with potential buyers in non-traditional, high-paying, reliable markets as alternatives for exporters to shift away from the traditional, less-stable Russian market. As part of a grant initiative, HVAA and MFA provided technical support to participants to learn how to effectively present their product availability and meet buyers with concrete offers in hand. Overall, the HVAA-MIEPO-MFA joint activities have facilitated exports valued at $16 million, including $3.9 million (or 25 percent) to the European Union (EU). Several of these transactions were pilot shipments that will be expanded into large supply programs in the upcoming seasons. • As part of its grant activity with HVAA, MFA continued to disseminate the results of its marketing efforts, and provided market insights to the grower community, including appearances on AgroTV and Jurnal TV to present outcomes from its trade mission at Gulfood International Exhibition (February 18 – 22, 2018) in Dubai, United Arab Emirates (UAE). During a television special, MFA’s Marketing Specialist and the director of a major fruit exporter, FreshTime Ltd., shared lessons learned regarding buyers’ requirements for apple varieties, sizing, and packaging, as well as discussed export logistics. FreshTime is one entity that is committed to allocating a significant portion of its upcoming harvest for buyers in the Middle East. To prepare committed buyers, MFA and HVAA will develop a “Shipping by Sea Container” Guide, which will assist exporters to ensure high-quality fruit arrivals in the terminal market. • HVAA has supported MFA to organize the trade mission of a Delta-Fruct representative, a member of Delta-Agrar Holding which is a large exporter registered in Serbia that sources fruits from many countries and exports to Europe and Russia. The buyer visited or met with fifteen MFA producers and exporters and expressed interest in Moldovan apples, plums, grapes, peaches, and nectarines. With HVAA assistance, MFA is supporting its members to prepare follow-up commercial offers. Initial linkages with Delta-Fruct were established by HVAA’s marketing consultant at FruitLogistica in February 2018. • HVAA’s International Marketing Specialist facilitated the trade mission of Greenyard, a large global fresh produce trader. Following visits to and meetings with multiple MFA and National Table Grape Association (APESM, as it is known in Romanian) members, Greenyard has expressed its firm interest in Moldovan plums and table grapes, with multiple pilot shipments being planned for this fall from three plum and three grape growers. HVAA is supporting these companies to obtain GLOBALG.A.P. certification (a Greenyard mandatory requirement) and to meet the

buyer’s product specification and pesticide residue requirements. In the coming months, multiple similar trade missions for EU buyers are planned to be carried by HVAA’s grantees. • In June, Ceteronis Ltd. launched its sweet cherry packinghouse in Gura Bicului, the only Moldovan Post Harvest Handling (PHH) facility equipped with a hydrocooling and cherry packing line. The facility incorporates recommendations provided by HVAA’s Cherry PHH international consultant during her mission in March 2018. Now that it is able to supply a high-quality fruit with a longer shelf life, Ceteronis has secured a large contract with a French buyer at prices by at least 30 percent higher than those offered by the Demonstration of the hydrocooling and cherry packing Russian market. Unfortunately, the export was not allowed by the French authorities because Moldova’s National Food Safety Agency (ANSA, as it is known in Romanian) could not provide enough guarantees for the control of dimethoate, a pesticide banned for use on cherries by France and other European countries. During the upcoming period, HVAA will provide assistance to ANSA to improve its control procedures in order to gain market access for Moldovan cherries for the next marketing season. • As the Moldovan high value agricultural sector grows, stakeholders are continually looking for new markets, but are often not strategic with the marketing efforts, leading to failed efforts to penetrate markets in a sustainable manner. As a follow-up to the Table Grape Sector Export Marketing Plan (SEMP) workshops, HVAA is supporting a group of exporters to target the November - January market window in Spain. During the reporting period, HVAA helped facilitate the inward mission of the Chief Executive Officer (CEO) of Spanish firm Hispabarna. The Hispabarna CEO visited three production sites and at the end of the trip, the parties reached an agreement to establish a supply program of approximately 300 tons of table grapes as a pilot. HVAA is supporting the group of exporters in formalizing their internal business relations and implementing a common quality management system covering production, storage, and packing. • Due to positive feedback from stakeholders regarding the SEMP process for the table grape value chain, HVAA launched the SEMP process for the fresh fruit sector (apples and stone fruits), engaging AGROinform and MFA as key partners. The project held two workshops on Internal Analysis and External Analysis with leading producers, exporters, crop advisors, and representatives of MARDE. A Strategy and Action Plan Workshop is planned for late July. The need to further develop the Romanian market for Moldovan fruit clearly emerged from the first two workshops due to multiple reasons, including growing demand, language and cultural similarities, payment capacity of buyers, and the substantial number of buyers. The traditional Russian market for Moldovan apples is becoming saturated from incoming exports from neighboring countries as well as Russia’s own production growth, which is causing many

exporters to shift toward other markets. • Participation at ANUGA fair in October 2017 confirmed the demand for quality dried fruit from Moldova on the European market. HVAA has provided a grant to Dried Fruit Ltd. to support the production and export of chocolate-covered dried fruit line under “King of Fruits” brand. Dried Fruit Ltd. locally sources all of its fruit, Products produced by Dried Fruit Ltd. providing additional opportunities for Moldovan growers without export capability to sell their products. With the new glazing equipment provided by HVAA, the processor will more than double its productivity and increase product quality. In June, Dried Fruit Ltd. made its first shipment to the UK valued at $200,000. The company also initiated efforts to enter the Middle East market. • Moldova’s domestic retail market is attracting increased attention from private sector associations and their members, but multiple roadblocks for farmers to successfully sell to retailers in Moldova remain. One constraint is the lack of knowledge of domestic consumers’ demands and preferences, which have been drastically understudied in a systematic manner. To address retailers, producers, and the project’s gaps in knowledge about the domestic market, HVAA launched a comprehensive domestic market study that will explore and define market opportunities for producers from the project’s targeted value chains. During the reporting period, HVAA completed 1,200 interviews. The draft report on survey findings will be developed in early July. • HVAA supported the participation of 17 of its grantees at the “Differentiation and Innovation in Retail and Fast-Moving Consumer Goods” conference, organized by Romanian firm, Modern Buyer. The grantees are participants in HVAA’s “Production of open-field vegetables under contract for retail and processing” grant program, designed to establish and strengthen linkages with distributors and retailers. HVAA grantees at the Modern Buyer conference HVAA also presented the preliminary findings of the domestic market study – with a focus on the Chisinau market – to key stakeholders during the Conference.

OBJECTIVE 2: IMPROVE PRODUCTIVITY, POST-HARVEST HANDLING, AND PRIVATE SECTOR CAPACITY TO COMPLY WITH EU AND INTERNATIONAL STANDARDS IN TARGETED VALUE CHAINS

APPLE & STONE FRUIT VALUE CHAIN • Moldovan fruit growers are increasingly investing in stone fruits, which provide higher profits and are in greater demand in export markets as compared to apples. To address the multiple production, food safety, and market challenges faced by growers diversifying into stone fruits, HVAA provided a grant to MFA under its Agricultural Innovation and Technology Transfer Fund (AITTF). During the month of June, MFA organized three international study tours to expose Moldovan growers to international best practices:

o “Intensive cherry and apricot production" study tour to Italy in partnership with Advice & Consulting Ltd. with participation of 18 growers;

o "Intensive apple and apricot production" study tour to Austria in partnership with Fruit Security and Pessl Instruments, with HVAA inspires young farmers to invest in high value participation of 18 growers; agriculture o "Intensive sour and sweet cherry production" study tour to Hungary in partnership with Pullulo Faiskola Kft, with participation of 17 growers. • Several best practices and technologies identified will be disseminated through MFA social media pages and will be incorporated into the HVAA-MFA training program for 2018.

• In June, two fruit sector field days were There are currently only 4,000 hectares of sour cherries organized: registered in Moldova, and all of them are traditional orchards HVAA grantee Amonti-Agro Ltd. that yield only approximately two tons of fruit per hectare as o compared to twenty tons per hectare in an intensive orchard. demonstrated harvesting platforms and Under a grant activity, USAID/HVAA sponsored a study tour forced-air cooling of sweet cherries to to Hungary for Moldovan farmers to learn about new growers from Falesti rayon; technologies and varieties of sweet and sour cherry producers. The tour inspired Vadim Lupu, a young farmer o Ceteronis Ltd. demonstrated the sweet from Briceni rayon, to commit to planting an intensive sour cherry hydrocooling and packing line to cherry orchard based on what he learned from Hungarian growers from all key cherry-producing experts. Recognizing the need to diversify his markets away from Russia, Vadim will plant up to 15 hectares of sour regions, including Transnistria. cherries by the end of the year, with the goal of exporting the fruit to the EU market for significantly higher returns. The • During the reporting period, HVAA cherries will result in a yield ten times higher than a traditional hosted the second assignment of an annual yield, and the higher product quality will open doors to international apricot production more profitable markets. 10

consultant from Italy. The consultant provided field advice on pruning apricot trees and fruit thinning in orchards to 12 growers. Additionally, HVAA organized a field day at a leading apricot grower on summer pruning, fruit thinning, and crop nutrition for 33 growers and crop advisors. The consultant’s next visit is scheduled for early September to support growers in preparing apricot orchards for the winter. • HVAA organized a video seminar with the project’s U.S.-based international sweet cherry consultant on the use of gibberellin (plant hormone) and calcium treatments to increase the quality of sweet cherries, as well as the use of irrigation in a cherry orchard. Participants were able to ask targeted questions, send photos of their orchards for the expert to examine, and participate in real-time conversation with a world-class cherry advisor. The video conferencing technology worked well, and HVAA intends to organize several other video seminars with international consultants to supplement their visits with farmers in Moldova. • HVAA continues to provide technical assistance to Moldovan fruit growers Video training on sweet cherry production to adopt improved varieties and intensive fruit production technologies. Due in part to HVAA’s assistance, the Plaiul Birladean Company, a large woman-led fruit producer, established its first intensive apple and sweet cherry orchard on 25 hectares (representing a USD 500,000 investment). • Due to requirements from international buyers, more Moldovan farmers are aiming to acquire GLOBALG.A.P. certification. During the reporting period, HVAA continued to provide implementation support to 15 fruit and vegetable producers to better prepare them for eventual GLOBALG.A.P. audits. The certification process requires significant effort and investment, but GLOBALG.A.P. certification will open doors for growers to buyers in Europe, the Middle East, and beyond. • Some of the growers involved in HVAA’s GLOBALG.A.P. implementation program lack post- harvest handling facilities of their own. Instead, they plan to use the services of nearby facilities that have appropriate food safety management systems to ensure proper safety and handling from “farm-to-fork.” During the reporting period, an HVAA consultant provided ISO 22000 implementation support to seven companies with operational post-harvest handling facilities including pre-coolers, cold store rooms, packing areas equipped with grading and packing lines, and refrigerated trucks. • MFA, in partnership with Euroforța Ltd. and SORTER Spolka, a Polish manufacturer of grading lines, organized a seminar on “New approaches to sorting, calibrating and storing apples” on May 25. Roughly 25 fresh fruit growers, handlers, and exporters attended the seminar. HVAA’s

Food Safety and Post-Harvest Specialist delivered a presentation on “Quality and food safety requirements for fresh apples in key export markets.”

• A “Safe Use of Pesticides” poster was designed and printed in two languages: Romanian and Russian. The posters are being distributed to all relevant grantees and other stakeholders participating in technical trainings organized by HVAA.

TABLE GRAPE VALUE CHAIN • To build local capacity in intensive grape production, HVAA hosted a grape production consultant from Italy. The consultant visited all four grantees under the “Implementation of table grape intensive production technologies and practices” grant program and provided on-the-job training for the grantees’ staff on crop nutrition and the use of growth regulators to increase bunch and berry size. Results are already visible. HVAA also organized a field day at Training on table grape production on pergola system systems one grantee’s Pergola vineyard for more than 25 growers that are considering investing in intensive grape plantations. • Quality certified planting material is critical for establishing competitive vineyards, yet almost none of the planting material produced in Moldova meet requirements for certified planting material. Solving this problem is not simple, and after years of neglect, multiple stakeholders are needed to systematically commit to improve the sector. USAID/HVAA brokered a partnership between USAID, Official launch of the NHI`s greenhouse MARDE, the National Office of Vine and Wine (ONVV), HEKS-EPER, and the Horticulture Research Institute (HRI), resulting in the signing of a MoU that will commit approximately $400,000 for the rehabilitation of HRI’s tissue culture laboratory, greenhouses, and scion mother stock plantations. HVAA has invested more than $45,000 in equipping and conducting non-structural improvements to a greenhouse at the HRI’s tissue culture laboratory

to make it functional. These investments will enable private nurseries to produce certified, virus- free vines beginning in 2020, which will be transformative for the sector. • Through its grant program, HVAA helped install the first thermo- treatment equipment for table grape planting materials in the Republic of Moldova at a major commercial nursery. Applying thermo-treatment ensures that planting materials are virus-free, leading to improved quality and quantity of harvested grapes. Thermo-treated planting material is a mandatory procedure in the EU, and future Moldovan legislation may also make it a requirement soon. After the The heat treatment procedure of table grape planting material new equipment was installed, HVAA’s grantee held a demonstration event to share the innovative technology with sector stakeholders. More than 20 nurseries from Moldova produce up to 6 million planting materials each year, and applying thermo-treatment will help safeguard farmers’ investments, ensure that Moldovan grapes remain high quality, and increase competitiveness in international markets.

BERRIES VALUE CHAIN • As the Moldovan berry sector grows, producers are orienting themselves to invest in production technologies that improve quality and increase yield. Cunicea village in Florești rayon is a well-known community of strawberry growers in Moldova, made up of over 40 growers in close proximity. As part of its Berry Innovation Program, USAID/HVAA awarded a grant to the Fedorciucova Zoia Family Farm to establish a A stone-burying rotary cultivator to be used by 40 farmers from a well- demonstration plot for strawberry known community of strawberry growers production using a stone-burying rotary cultivator that automatically and simultaneously tills, raises soil beds, lays plastic film, and lays drip irrigation lines. Cultivation of strawberries on raised beds with polythene mulch reduces the risk of waterlogging and soil-borne disease, increases available rooting depth, warms at a more rapid pace – which yields earlier crops – and subsequently increases overall yield. The new equipment will be used on more than 30 hectares owned by over 40 growers from Cunicea,

including youth farmers. After the first day of using the equipment, Mr. Fedorciucov mentioned that the grant is transforming his production, stating, “This equipment is like a fairy tale.” • Many growers are interested in cultivating berries, but lack knowledge of and access to varieties that are in demand in the market and appropriate for Moldovan conditions. The majority of berry growers in Moldova use the same varieties of berries, which leads to a surplus of berries at the exact same time, and ultimately lowers sales prices and profit margins. HVAA has worked with US commercial nurseries to help The strawberry plantation at the Family Farm “Bejinari Ion” identify and import four new strawberry varieties and four new raspberry varieties that are able to be harvested earlier and later than typical varieties in Moldova, which will allow growers to sell when market prices are higher. The new cultivars represent some of the leading North American varieties and will be evaluated for their performance under Moldovan conditions with HVAA technical assistance. The new varieties will be housed on two demonstration plots owned by local farmers, who will host trainings and information sessions for other interested growers. The farmers are expecting the first harvest in 2019. At the demo plot site, HVAA’s grantee will organize several field days with invitations to berry producers and students from the Center of Excellence and Horticulture from Taul. • Thirteen strawberry growers from Transnistria participated in a one-day practical training on “Using modern equipment for the formation of raised beds and installation of drip irrigation and mulching film,” organized with HVAA grantee Belyi Most Association to “Improve production and development of the berry sector.” Participants learned how the mulching film-laying machine (stone burying rotary cultivator) works and how this equipment facilitates labor and reduces costs. Under the same grant, Belyi Most Association identified 10 producers who were willing to make investments and grow uniform berries using the same technologies and practices, which will allow them to pool their resources and sell at larger volume. Under the grant, Belyii Most procured and distributed 100,000 meters of drip irrigation pipe and 34,000 meters of mulching film for the Transnistrian strawberry growers, who in turn imported high quality planting materials from Italy. The beneficiaries also received detailed training on all aspects of the technology, including fertigation and post-harvest handling, and will receive ongoing consulting to ensure that their products are uniform and high quality.

HONEY VALUE CHAIN • Under a HVAA grant activity, the National Beekeepers Association of the Republic of Moldova (NBARM) distributed 2,400 vertical beehives to 30 competitively-selected Moldovan beekeepers from around the country, including Transnistria. By receiving the vertical hives, beekeepers will be able to dramatically expand their production, transforming it from

a hobby to a business. Distributed vertical hives

• NBARM and HVAA initiated the monitoring of the performance of 30 vertical hive beneficiaries. No major issues were identified: all hives were assembled and started to be populated. The first honey will be produced in the hives during the sunflower flowering season, and results will be collected during the second round of inspection in October. • As part of the Vertical Hive Distribution and Training grant activity, NBARM continued to deliver trainings to beekeepers across the country. Two seminars were organized in May on disease management and another four in June on pastoral honey harvesting which were attended by more than 180 beekeepers. The trainings have sparked significant Populated vertical hives interest from beekeepers, and NBARM is becoming a key resource for beekeepers around the country, which is a dramatic organizational transformation in a very short time. • With support from a US beekeeping expert and television professional, HVAA and AgroTV continued to develop a series of educational programs on improved beekeeping practices. Six clips were finalized and began airing on AgroTV, and initial material for another four clips were shot and will be finalized during the Educational program on beekeeping on AGRO TV 15

next Short-Term Technical Assistance (STTA) assignment, planned for June. A similar TV program in Romania also asked for permission to broadcast the educational films there for Romanian beekeepers. According to AgroTV, the films are highly appreciated by viewers. The last film was viewed by more than 24,251 people on social media, “liked” by 11,000 people, and shared 129 times. • International honey experts boast that Moldovan honey is some of the highest quality in the world, but larger neighboring countries are fierce competition for Moldovan beekeepers and exporters. Therefore, it is increasingly critical for Moldovan beekeepers to develop niche products for non-traditional, high paying markets. Organic honey has the potential to provide dramatic income increases for local beekeepers, yet there are no bio-certified apiaries in Moldova. To address this issue, HVAA issued a grant to Regina Naturii Ltd., a honey exporter that has signed agreements with 60 beekeepers to convert from traditional practices to organic practices.

OPEN FIELD VEGETABLES

• Under a contract growing model, ten Innovative technologies for open-field vegetable HVAA grantees sowed seeds for the production to quadruple the harvest production of open-field vegetables for retail and processing, adopting innovative technologies, practices, and business management techniques. • HVAA has engaged top-notch local experts to provide technical assistance to the grantees throughout the production and harvest seasons, and to organize and deliver trainings during 33 field days for approximately

650 farmers during the summer and fall. Even the simplest technologies can be transformative if applied correctly, and through its Agricultural Innovation and • The first two field days were Technology Transfer Fund, HVAA has identified lead vegetable farmers who are willing to shift away from traditional practices organized in June at Sergiu Bunduchi and begin producing at higher standards. HVAA awarded a FF on gherkin production for grant to Sergiu Bunduchi, a young farmer from southern processing, and at FructAgro-Prut Ltd. Moldova who planted 2.5 hectares of net-trellised gherkins for on sweet pepper production for the processing. Under the grant, the farmer received drip irrigation lines, a hydraulic hoeing plow, and an electric fresh market. Both events have harvesting scooter to improve production and harvesting sparked a large interest in the techniques. Producing net-trellised gherkins is a novelty for vegetable producing community. The Moldovan agriculture, but by applying this technology, Mr. field days were attended by 27 and 41 Bundunchi will increase the quality and health of the plants, which will help him to quadruple his yield at harvest. growers, respectively.

OBJECTIVE 3: STRENGTHEN CAPACITIES OF MEMBER-BASED GROUPS (PRODUCER GROUPS, WUAS, AND INDUSTRY ASSOCIATIONS) TO SERVE THEIR MEMBERS IN TARGETED VALUE CHAINS

• As a result of a series of meetings with the WUA Cosnita executive board on how to make the association more sustainable by increasing their sales of water and other services, HVAA identified several producers interested in extending irrigated areas that will be assisted during the next quarter. • The HVAA Business Development Facilitator provided on-going technical assistance on agribusiness development and finance opportunities to Irina Racovet, a young land owner from CIS Cosnita and member of WUA Cosnita, who recently started up a fruit production business. By working with exemplary farmers who understand the value of irrigation, such as Irina, HVAA hopes to showcase successes and inspire others to take advantage of the USG investment in the irrigation systems. • On May 7, 2018 HVAA provided in-field technical assistance to four fruit producing companies from CIS Zone Cosnita and members of WUA Cosnita on improving fruit quality. In addition, on June 5, 2018 HVAA organized a training on “Technical practices applied in fruit orchards to increase the quality of fruits.” The training was attended by 11 fruit producers who are members of WUA Cosnita. These trainings are designed to encourage smart water usage, and drive demand in WUA areas. • On May 17, 2018 HVAA organized a training on Access to Finance in Agriculture for WUA members. Participants included land owners located in immediate proximity to identified locations for new irrigation infrastructure who are either fruit producers or intend to become fruit producers. The training covered: basic definitions of finance; advantages and disadvantages of distinct types of finance; sources of information on available finance options and donors; grants, and how to apply for a grant. During the training, HVAA presented a business model for the construction of new irrigation infrastructure to expand coverage provided by the centralized irrigation system managed by WUA Cosnita. The business model was deemed feasible by the participants, and the WUA decided to apply for an International Fund for Agricultural Development Grant. HVAA supported the working group during the application process. • On June 21, 2018, HVAA organized a training on Seasonal Workers and Integrated Pest Management (IPM) for vegetable production. The training took place in Puhaceni village, Anenii Noi district and was attended by 15 vegetable producers and members of WUA Acva Grup.

• Due to a number of factors - including lack of experience and knowledge about the benefits of irrigation - access to irrigation in Moldova is underutilized. To help producers benefit from existing infrastructure and to promote good irrigation practices, HVAA organized a a local study tour on berry production for a group of 15 female members of WUA Acva Grup and WUA Cosnita Women from the CIS areas learning about berry production and irrigation techniques from CIS areas. The group visited plantations that are taking advantage of rehabilitated irrigation systems and learned more about berry production and irrigation techniques. The group visited Pomrubus FF, a female owned blackberry producing company and Malai Valerian FF, who is producing black currant, strawberries, gooseberries and raspberries. By facilitating a women-led, women-focused study tour, female stakeholders were empowered to discuss critical challenges and shared opportunities in the sector. • Meeting the standards of an organized marketing event, rather than selling on the open market, is a critical step for producers to eventually meet international standards required for export. Through a partnership with HEKS Foundation and under a grant to BoM, HVAA organized the first of three Summer Berry Fairs to promote local berry consumption and educate consumers on the benefits of buying berries outside of the open market. The activity simultaneously provided technical assistance on marketing standards to local farmers, promoted berry consumption to local consumers, and supported BoM to develop new services for its members. As fair participants, berry producers received uniform clamshells, food safety labels, business cards, and refrigerated storage to use during the fair. The first Summer Berry Fair was organized on June 24, 2018 and drew over 3,000 visitors who bought 2,100 kilograms of fresh berries, despite harvesting constraints due to bad weather. One participating company, Lolly Berry, sold 470 kilograms of blueberries, which is four times more than during last year’s fairs. Sales from the event resulted in a 3:1 return on investment, and the fair attracted double the number of visitors as compared to 2017. • HVAA assisted BoM to make needed structural changes that will enable the organization to better serve its members. During the reporting period, BoM conducted its General Assembly and elected a new President, who is a committed leader in the organization. The Association is strong and was able to: revise the list of BoM members; weather its president’s resignation and election of a new president; make modifications to the association statutes; organize the Summer Berry Fair events; organize two demo plots and six trainings within HVAA’s Partnership trainings 18

program; elect the Censor Board; and identify berry sector national consultants for training and consulting services. The organization is very nascent, yet recent changes show significant potential for it to become a thriving association that will support a grower pool of berry growers and exporters in Moldova. • HVAA is supporting NBARM to develop its Strategic Action Plan. NBARM prioritized the most important actions and transformed them into Projects to develop the Association’s capacity in one year. Based on Strategic priorities for Year 1, with HVAA assistance, NBARM is determined to develop two types of paid services for the beekeepers: trainings and consultancy. For the first time, NBARM rented an office space in the center of Chisinau and members have a concrete location to meet with leadership. • HVAA conducted several meetings with the Executive Director of APESM to explore further collaboration in the view of developing Associations capacity through developing the Association’s Strategic Action Plan. The list of members relevant to participate to the Strategic Planning sessions was determined with the aim of organizing the first workshops in June-July 2018. In the beginning of March 2018, HVAA assisted APESM organize the Table Grapes Sector Conference and the Association’s General Assembly.

OBJECTIVE 4: IMPROVE THE ENABLING ENVIRONMENT LEADING TO INCREASED INVESTMENTS AND AN IMPROVED WORK FORCE IN TARGETED VALUE CHAINS

• HVAA plays an active role to ensure that the private sector is involved in the policymaking process. The Project helped organize a public consultation meeting to discuss MARDE’s draft of new rules and requirements for designing and planting orchards and berry plantations. During the consultation, MFA, BoM, and representatives from design companies provided their inputs and proposals to improve the Fruit & berry producers and MARDE representatives discussing the draft regulations and to be new regulations for design and plantation of orchards and berry considered in its approval plantations process. HVAA is continually fostering a greater climate of private sector involvement in governmental decision making, both by empowering the private sector to use its voice, and by facilitating organized platforms for authorities to work with their constituents. • HVAA initiated a practice to provide an update on the latest changes to the legislative framework relevant for HVAA’s value chains to industry associations, mainly as it relates to seasonal

workforce in agriculture and meal tickets, a recently approved requirement by the Parliament and that will directly impact employment in the targeted value chains. Thus, detailed descriptions and an explanation of the new legal provisions were provided to the industry associations, such as MFA, NBARM, BoM, and APESM, who channeled the information to their members. In addition, HVAA is holding information sessions on new legal requirements regarding employing of seasonal workers in agriculture that aim to increase awareness of beneficiaries regarding specific rules on employment of seasonal workers in agriculture, their remuneration, registration, and reporting. • HVAA facilitated discussions with key sector stakeholders and government authorities on new legal provisions related to seasonal agriculture workers in Law No 22/2018, including certain unqualified seasonal activities performed by day workers. Several weaknesses and constraints were revealed by participants from the private sector. As such, HVAA will lead a consultation process with stakeholders, industry associations, and public authorities to address the issues identified. While it is not entirely uncommon for roundtable discussion to occur between the government and private sector, meetings often end with no actionable resolutions. At the end of the meeting, several stakeholders committed to be involved in a working group that will propose solutions and/or modifications to the upcoming requirements. • A working group was established as a result of discussions hosted by HVAA on its Farm Management Services feasibility study. MARDE, State Agrarian University, think tanks, and associations shared their opinions on the main constraints identified during the Vetting Workshop. The farm management services business model was perceived by the participants as a necessity for modern HVA farming in Moldova that requires support. In order for farm crews to operate profitably with no legal constraints, there is a need to change the law on seasonal workers. As this Law will enter into force in September 2018, the subsequent feedback for changes will be analyzed in spring 2019. HVAA will address the issues in Operational Year 3. • HVAA launched four grant activities that connect youth with private sector actors, provide valuable skills needed in the workforce, and promote careers in agriculture. A kickoff event for three of the activities was held in April, which brought together students of the Agricultural University to learn about upcoming opportunities. In Transnistria, the Belyi Most Association launched a training program that will teach students skills and place them in on-farm internships to apply their knowledge. The non-governmental association DNT secured partnerships with major IT firms, including Orange Mobile, to pair students with IT professionals and agricultural experts for the AgroChallenge Moldova Hackathon. Over the summer and fall, students and industry leaders will meet to pinpoint sector challenges, and will develop IT-based solutions during a Hackathon in September. ProEntranse will develop crop-specific business planning software and will train students to use it, equipping them with tools to either become attractive employees or start their own businesses. NGA Infoconsulting will teach students at the Agricultural University to design new multiannual fruit and table grape plantations using GPS technology.

• Recognizing the need to engage more students in agricultural educational tracks, HVAA is focusing its efforts to support vocational schools to attract and develop the next generation of Moldovan farmers. With continual technical assistance from HVAA, Nisporeni Vocational School (NVS) will roll out a new horticulture curriculum in September, with a focus on berry cultivation. In the near future, the school hopes to launch an “agricultural occupations” curriculum that will Yuri Tarii is demonstrating the science of berry farming to youth include elements of horticulture, viticulture, and hospitality and tourism services. To draw youth toward careers in agriculture, HVAA partnered with Nisporeni Professional School to organize an “Open Doors” event on May 28. The event was promoted with the slogan “Be AgriCOOL!” and was designed to orient potential NPS students toward agricultural occupations. More than 230 9th-grade students from Nisporeni, Calarasi, and Ungheni rayons learned about educational opportunities offered by NVS, including programs in apiculture, horticulture, and mechanization. Following presentations and tours of NVS’ facilities (including tractor demonstrations), students visited the nearby Lolly Berry blueberry plantation. Lolly Berry owner, Yuri Tarii, demonstrated the science behind berry farming, including Lolly Berry’s pre-cooling and irrigation infrastructure. The school will start recruiting students in July and hopes to receive more applications for agricultural occupations. • Students from Tiraspol Agrarian College received in- field practical trainings on berry production, protection, and storage as part of the Agri-Business Development and Collaboration Opportunities grant activity that was awarded to the Belyi Most Farmers Association from Transnistria. The project brought together youth from Tiraspol Agri-technical College and Beliy Most Students out of the classroom and into the field to learn about berry production Farmers Association members with the aim of enhancing entrepreneurship among youth and women in the production of high-quality berries. 21

• On June 12, Beyli Most Association organized a practical training with HVAA support on “Creating strawberry plant nurseries, planting, and nourishing.” The training was attended by 16 students of the Frunze Agrarian College from Tiraspol. The practical training goal was to teach the beneficiaries on correct selection of the new shoots, preparing the strawberry plants for being planted in cells, planting in cells, arranging the cells in the greenhouse. One of the participants indicated in her Questionnaire, “Thanks to Beyli Most, I think I’ve decided on what I will do in the future [after graduating].” • HVAA presented the final version of the Feasibility Study developed for the Center of Excellence in Horticulture from Taul. The first event was attended by the major international donors, organizations implementing related projects, representatives of MARDE, and Agricultural University. Main points for discussion included assistance needed for the Center of Excellence to perform its role of preparing a highly skilled workforce for the agricultural sector as well as to serve as a promoter and disseminator of agricultural innovations in the sector. Participants also discussed ways to better cooperate with different donors involved in educational development. The second round of presentations were dedicated to the financial side of the study. The study maintained that financial support to laboratories and demonstration plot infrastructure is less effective without interventions at the management level of the Center and an increase in human resources capacity. HVAA is planning to support the Center by providing support for curricula development in partnership with other donors. • HVAA provided its support to NBARM to engage in advocacy on behalf of its members. HVAA offered support to NBARM to formulate and present proposals to MARDE for amendments to subsidies regulations, including additional subsidies and increases to budget allocations for apiculture sector support. • HVAA led the process for drafting regulations on quality standards for honey by-products, such as bees’ wax, propolis, royal jelly, and pollen intended for human consumption, the main objective being to establish a proper regulatory framework for honey by- products that will provide quality and safety requirements for these products to pursue the highest level of protection of consumer health and well-being. The drafting process consisted of analysis and assessment of the existing quality requirements for honey by- Drafting quality requirements for honey by-products plantations products in the EU, including discussions Romania, that provide the most

appropriate honey by-products examples for Moldovan producers and processors, development of quality requirements draft for honey by-products congruent with best EU and international practices. 22

• To ensure awareness and consultation of sector stakeholders, including dissemination on development of new quality requirements for honey by-products, HVAA organized a vetting workshop with the participation of key stakeholders relevant to the honey sector, such as NBARM, small and large beekeepers, processor/exporters, MARDE, and ANSA. The final version of the draft of quality requirements for honey by-products was submitted to MARDE for its official endorsement and approval.

CROSS-CUTTING ACTIVITIES TO SUPPORT IMPLEMENTATION

COMMUNICATION • Beginning with the onset of the HVAA MEDIA COVERAGE agriculture season, local mass media have showed a higher interest for the April May June

USAID/HVAA Activities. The most 80 76 active media institutions to promote 70 agricultural news are the specialized 60 platforms: Agrobiznes, AgroTV 50 46 Moldova, AgroExpert, AgroConect 40 and East-fruit. Media are particularly 30 24 interested in human stories, including 20 those on farmers who adopted new 10 technologies and reached solid results 0 in agriculture activities. HVAA continually shows project results, its impact on local farmers, and emphasizes the generous support of the American people that is transforming the Moldovan agricultural sector. • The Facebook page Agricultura Performanta in Moldova, managed by HVAA, reached more than 1,150 followers by the end of the Q3 of Y2. The page became an important source for agriculture information for many sector stakeholders and media. https://www.facebook.com/agricultura.performanta/

INCLUSIVE DEVELOPMENT In this reporting period, 20.8 percent of participants were women and 32.4 percent were youth. Beneficiaries participated in 64 HVAA-sponsored youth-focused events and activities. The tables below provide disaggregated information. Women were mostly active in trainings and FEMALE PARTICIPATION IN technical assistance activities. Ten percent of the HVAA EVENTS DURING Q2 FY18 grants during this period were signed with women-owners of women-administrators, but a Round higher proportion of end-beneficiaries are Tables Grants 6% women, as the grant programs often require 8% greater female participation. Study Visits 9% Due to the vertical hives grant activity (20 Trainings 49% percent of hives beneficiaries were women), the number of women involved in the honey value

Technical chain increased considerably. HVAA organized a Assistance women-focused study tour for 15 women from 26% the Acva Group and Cosnita WUAs to Trade Expo plantations in the rehabilitated irrigation system 2% areas to learn more about berry production and irrigation techniques. The group visited Pomrubus Ltd, a female owned blackberry producing company, and Malai Valerian FF, producing black currant, strawberries, gooseberries and raspberries. Female stakeholders were empowered to discuss critical challenges and shared opportunities in the sector. The distribution of women participants per value chain is presented in the chart below. FEMALE PARTICIPATION IN HVAA WOMEN AND MEN PARTICIPATION IN HVAA VALUE EVENTS PER VALUE CHAIN IN Q3 FY18 Apples CHAINS, Q3 FY18 0% 400 Table grapes Berries 350 5% 9% 300 Vegetables 250 4% 200 150 Stone Fruit 100 20% 50 0 Cross-cutting 34% Processed fruits and vegetables 6%

Honey 22% Women Men

Honey and stone fruit value chains had the highest concentration of youth participation during the period. For honey, this was a significant spike in comparison to the previous period

MONITORING AND EVALUATION Indicator assessments where performed during the period, in accordance with the PMEP methodology. The monitoring and evaluation manager visited one berry and two apple and stone fruit producers to spot-check and confirm practices adopted in FY 2017, as indicated in the Year 1 report. Positive feedback was received from the farmers, since the practices applied have been reflected on the productivity per ha, as well as in product quality. Details from the monitoring visits are presented below: Lolly Berry registered new packaging and labeling practices in 2017. In 2018, the association used their own packaging and labelling. Lolly Berry participated in both Berry Fairs and received technical assistance from HVAA. Now the company is investing in cold chain and performs soil and water analysis for PHH regularly. They sold 27 tons of blueberries in 2017, most of it on the local market. Amonti Agro Ltd. benefited from HVAA technical assistance and is now using the UFO new flat peach variety. They have also modernized their crown forming for apple and sweet cherry trees. They have recently planted a new apricot orchard using modern rootstock varieties of apricot suggested by HVAA specialists, and are also using pheromone traps. The company has also benefited from an HVAA grant, receiving platforms for fruit harvesting. The director mentioned the platforms have been extremely helpful. With credit from commercial banks, they have built a refrigerator. Borivas Agro applied K.G.B. pruning technique at the recommendation of HVAA’s agronomist and used modern rootstock varieties after seven of their representatives participated in six HVAA trainings. After applying the method to all of his orchards (plums, apples, apricots, sweet and sour cherries), his harvest increased substantially, even doubling for sour cherries. A typical harvest using 26

the KGB method is between 5-10 tons of cherries per hectare. His orchard offered a harvest of 12 tons per hectare. The owner was extremely satisfied with the results obtained. The plantations will continue to be monitored during 2019-2021 to evaluate the progress of the given methods. Beneficiaries from other value chains will be visited in the coming period as well for a comprehensive assessment of the practices applied during FY17.

GRANT ACTIVITIES Under the Agricultural Innovation and Technology Transfer Fund, nineteen new agreements with organizations and producers from all regions of Moldova were signed by HVAA during the reporting period. HVAA has signed 45 Grant Agreements in total, and has obtained USAID approval for 54 grants. Signed grants are shown below.

Grantee Rayon Locality Grant Description 1. Casa Albinei LLC Chisinau Hulboaca Honey containers Beekeepers 2. Regina Naturii LLC Ialoveni Costesti Honey containers for Beekeepers 3. Vastidal & Co LLC Anenii Noi Bulboaca Honey containers for Beekeepers VED-MAR AGRO CI Ialoveni Milestii Mici/ Table Grape Tray Forming Machine 4. Costesti STRUGURELE Stefan-Voda Popeasca Plastic Film Liners 5. AURIU CI S - P Hort. Inst. And Chisinau Chisinau Improvements to the existing 6. FT greenhouse FF Chitoraga Ungheni Napadeni Packaging operation for rose hips 7. Dumitru FF Fedorciucova Floresti Cunicea Strawberry production demoplot 8. Zoia SC "Fruct Agro Leova Tochile- Vegetables, Contract Farming 9. Prut" SRL Raducani SC "Daion Service" Criuleni Miclesti Table Grapes Tendone / Pergola / Gable 10. SRL Agrotorginvest Transnistria Tiraspol Vegetables, Contract Farming 11. Group 12. GT Listovoi Grigoriopol Speia Vegetables, Contract Farming 13. SC "Fructmer" SRL Ialoveni Horesti Table Grapes Tendone / Pergola / Gable SC "AMV-GRAPE" Cahul Vadul lui Isac Table Grapes Tendone / Pergola / Gable 14. SRL 15. GT Bunduchi Sergiu Causeni Hagimus Vegetables, Contract Farming 16. Sermal-Com Stefan-Voda Talmaza Vegetables, Contract Farming 17. Orhei-Vit Chisinau Chisinau Vegetables, Contract Farming 18. GT Isac Igori Riscani Ramazani Vegetables, Contract Farming GT Sirbu Viorel Orhei Biesti Vegetables, Contract Farming 19. Valerian 20. II S. Uritu Dubasari Ustia Vegetables, Contract Farming 27

21. Terravitis Cahul Burlacu Table Grapes Tendone / Pergola / Gable 22. GT Bejinari Ion Donduseni Plop Strawberry varieties from US 23. S.R.L. Frukt-Laine Donduseni Pocrovca Berry PHH 24. Colomicenco Causeni Copanca Berry PHH Agribusiness Dubasari Pirita Vegetables, Contract Farming 25. Cooperative Agrogrupprod GT Iliescu Natalia Singerei Copaceni Raspberry new varieties & practices, 26. demo plot 27. APEF Moldova Fruct Chisinau Chisinau Promotion of marketing activities 28. ELVITIS-COM LLC Straseni Sireti Thermal treatment for seedlings 29. APEF Moldova Fruct Chisinau Chisinau Creating new marketing opportunities 30. APEF Moldova Fruct Chisinau Chisinau Fruit Logistica & Trail Shipment 31. Berry Moldova Ass. Chisinau Chisinau National Berry Conference 32. DNT Chisinau Chisinau Youth training and engagement 33. ProEntranse Chisinau Chisinau Youth training and engagement 34. SC "Poliglia" SRL Telenesti Negureni Vegetables, Contract Farming 35. FIKS OOO Slovozia Ternovca Vegetables, Contract Farming 36. Sandu Nelu Stefan-Voda Rascaieti Vegetables, Contract Farming 37. Amonti Agro Falesti Navirnet Sweet cherry post-harvest Dried Fruit Chisinau Chisinau Develop and export added -value 38. products 39. Regina Naturii LLC Ialoveni Costesti Organic Honey production 40. NGA InfoConsulting Chisinau Chisinau Youth Engagement Beekeepers As. of Chisinau Chisinau Vertical Hives, training and distribution 41. M. 42. Beliy Most Causeni Copanca Youth training and engagement Moldova Fruct Chisinau Chisinau Innovative partnership and training 43. activities 44. Beliy Most Causeni Copanca Berry Production Innovation 45. Berry Moldova Ass. Chisinau Chisinau Summer Berry Fairs 2018

PROGRESS TOWARD TARGETS UNDER THE PERFORMANCE MONITORING AND EVALUATION PLAN

Cumulative achievement Targets Results Unit of Data towards Y2 N/o. Indicator Disaggregation Frequency Baseline measure Source target Y1 Y2 Life of Y1 Q1Y2 Q2Y2 Q3Y2 target target project

GENERAL

Proportion of female participants in US Gov- assisted programs Location/ region, designed to GNDR- HS code, age, Project 13 (21 24.4 (22 20.78 (20 increase % Quarterly 0 25 28 40 19.5 75% 2 type of records cumulative) cumulative) cumulative) access to resources productive resources (assets, credit, income, or employment)

SUB-PURPOSE 1. Expand trade and strengthen linkages to domestic, regional and international markets for targeted value chains

Cumulative achievement Targets Results Unit of Data towards Y2 N/o. Indicator Disaggregation Frequency Baseline measure Source target Y1 Y2 Life of Y1 Q1Y2 Q2Y2 Q3Y2 target target project

Direct beneficiaries with signed MOUs Number of (assisted enterprises enterprises), with sales Location, sex, indirect 5 facilitated Number age, HS code, Quarterly 0 50 100 250 50 7 40 1 98% beneficiaries through US business size (monitored government association assistance sources, statistics, data from GOM)

Number of assisted enterprises exhibiting or participating Location, sex, age, HS code, at trade Project 6 Number business size, Quarterly 0 20 40 150 53 23 62 1 347% shows or records participating type of in business- organization to-business events

SUB-PURPOSE 2. Improve productivity, post-harvest handling and private sector capacity to comply with European and international standards in targeted value chains

Cumulative achievement Targets Results Unit of Data towards Y2 N/o. Indicator Disaggregation Frequency Baseline measure Source target Y1 Y2 Life of Y1 Q1Y2 Q2Y2 Q3Y2 target target project

Number of enterprises (except Assisted primary enterprises, producers) grantees, receiving Location, sex, investors, project- 7 # age, HS code, partnering Quarterly 0 50 130 350 84 60 58 70 209% related business size institutions, assistance to associations, improve and project knowledge, staff. processes, technologies and practices

Number of Project (primary) Location, sex, records, 10 # Quarterly 0 1000 2000 5000 685 168 426 300 79% producers age, HS code associations, trained enterprises

SECTION II. DELIVERABLES

• April Monthly Report; • May Monthly Report; • Quarter 3, Year 2 Report;

SECTION III. SCHEDULES

HVAA is implementing activities according to the approved working plan. There are no significant potential or actual slippages to report.

SECTION IV. PROBLEMS

There are no problems to be mentioned in the current report.

SECTION V. MAJOR ACTIVITIES PLANNED FOR NEXT QUARTER

Y2 Q4 Activities/ Table Grapes Value Chain Jul Aug Sep Objective 1. Expand and strengthen linkages to domestic, regional, and international markets for targeted value chains Activity 1.3. Facilitate increased sales Organize inward buyer missions for buyers from Romania (with MFA) and other EU

countries (with International Marketing STTA) Provide technical assistance to the exporters targeting the EU market (supply to

Greenyard, Spain, Romania, Poland) Jointly with APESM, HEKS EPER, and MARDE, design the grape promotion activity on the

Polish market Objective 2. Improve productivity, post-harvest handling and private sector capacity to comply with EU and international standards in targeted value chains Sub-objective 2.1 Improve adoption of innovative technologies and agricultural practices in targeted value chains Activity 2.1. Introduce innovative grape production technologies and agricultural practices Provide technical assistance in setting-up the improved vine training demonstration plots

(local and international consultants) Establish the demonstration plot at the Horticulture Institute with the seedless varieties

imported earlier from USA Activity 2.2. Improve productivity in Table Grape VC

Organize field days at improved vine training demonstration plots (Pergola & Gable) with

APSM Cahul Sub-objective 2.2 Improve private sector compliance with international/EU food/quality standards Activity 2.5. Provide support to the private sector to reach international quality and food safety certification Support GLOBALG.A.P. and ISO22000 implementation and certification (including at

grant beneficiaries) Objective 3. Strengthen capacities of member-based groups to serve their members in targeted value chains Activity 3.1. Strengthen APESM Summarize conclusions from APESM Organizational Capacity Assessment (OCA)

conducted in year 1 Provide support to APESM based on needs priorities identified through OCA process Support APESM to update the association's strategic plan Organize a local study tour for WUAs' members to observe modern table grape

production and PHH Objective 4. Improve the enabling environment leading to increased investments and an improved workforce in key value chains

Sub-objective 4.1 Increase private sector linkages with the education/research sector, leading to a competitive workforce in targeted value chains Activity 4.1. Establish new educational, research, or agribusiness partnerships, leading to a more competitive workforce in targeted value chains Facilitate curricula development workshops at the Ag. University, Stauceni College, Leova and Nisporeni technical schools and improve the curricula for table grape production taught at University, Centers of Excellence and Vocational Schools

Y2 Q4 Activities/Apples&Stone Fruit Value Chain Jul Aug Sep Objective 1. Expand and strengthen linkages to domestic, regional and international markets for targeted value chains Activity 1.1. Develop SEMP Organize the Strategy and Action Plan workshop as part of the SEMP process for fresh fruit exports Activity 1.3. Facilitate sales in new markets Organize inward buyer missions for buyers from Romania (with MFA) and other EU countries (with Goran Damovski, International Marketing STTA) Support pilot shipments to new markets (market segments) to demonstrate technical and economic feasibility Organize the country stand at World Food Moscow fair jointly with MFA and MIEPO

Y2 Q4 Activities/Honey Value Chain Jul Aug Sep Objective 2. Improve productivity, post-harvest handling and private sector capacity to comply with EU and international standards in targeted value chains Sub-objective 2.1 Improve adoption of innovative technologies and agricultural practices in targeted value chains Activity 2.1. Increase adoption of new production and management practices Continue the implementation of the training program in vertical hives management and techniques (in cooperation with NABRM and exporters)

Initiate the second round of inspection of vertical hive beneficiaries

Provide support to conversion to organic beekeeping (groups of beekeepers led by

Regina Naturii) Objective 3. Increase capacities of member-based groups to serve their members in targeted value chains Activity 3.1. Strengthen the NABRM Summarize conclusions from NARBM OCA conducted in year 1 Provide support to NABRM based on needs priorities identified through OCA process

Support NABRM to update the association's strategic plan Objective 4. Improve the enabling environment leading to increased investments and an improved workforce in key value chains Activity 4.1. Establish new educational, research, or agribusiness partnerships, leading to a more competitive workforce in targeted value chains In cooperation with donor community, initiate and develop the framework (Occupational Profile, Curriculum, didactical equipment) for a new work-based VET system in honey production (tentatively at Bubuieci vocational school) Establish business-education partnerships (advanced beekeepers and Bubucieci vocational school) Sub-objective 4.3 Improve the policy and enabling environment for selected value chains Activity 4.2. Improve the management of land with pollen and nectar-bearing plants Support NABRM in its advocacy effort and to partner with MOLDSILVA and exporters, to save the pollen and nectar-bearing plants and varieties, and to promote plantations of pollen and nectar-bearing plants through reforestation Activity 4.3. Improve quality standards for honey by-products Draft the regulation on beekeeping byproducts (quality standards) to enable export of these products to the EU Coordination of activities with key stakeholders (MARDE, honey board, sector associations) and other development partners in the honey sector

Y2 Q4 Activities/Berries Value Chain Jul Aug Sep Objective 1. Expand and strengthen linkages to domestic, regional and international markets for targeted value chains Activity 1.2. Develop individual marketing plans for key exporting entities Develop export plans for 2 companies involved with strawberries and raspberries Activity 1.3. Facilitate increased sales locally and international markets

Support BoM and consolidators to organize Berry Promotion Campaign II in Chisinau Objective 2. Improve productivity, post-harvest handling and private sector capacity to comply with EU and international standards in targeted value chains Sub-objective 2.1 Improve adoption of innovative technologies and agricultural practices in targeted value chains Activity 2.1. Introduce new production, PHH technologies and management practices Organize study tours in Europe to observe advanced berry production and PHH technologies Activity 2.2. Facilitate adoption of innovative berry production technologies and agricultural practices Provide grants for Berry Innovation Program for producers/enterprises to establish demonstration sites for new production and PHH technologies for others

Activity 2.3. Facilitate adoption of new PHH technologies and management practices Provide post-grant technical assistance for grantees to implement innovations Objective 3. Increase capacities of member-based groups to serve their members in targeted value chains Activity 3.1. Strengthen Berries of BoM and Belyi Most Association Summarize conclusions from OCAs conducted for two berry associations in year 1 Provide support to Associations based on needs & priorities identified through OCA process Support Associations to draft strategic plans

Organize HVAA trainings/local study tours in partnership with BoM and WUAs Objective 4. Improve the enabling environment leading to increased investments and an improved workforce in key value chains Sub-objective 4.1 Increase private sector linkages with the education/research sector, leading to a competitive workforce in targeted value chains Activity 4.1. Establish new educational, research, or agribusiness partnerships, leading to a more competitive workforce in targeted value chains Provide grant support to upgrade the training and laboratory facilities as part of the work-based education system in HVA (Nisporeni Vocational School, Taul Center of Excellence)

Y2 Q4 Activities/Open field vegetables Value Chain Jul Aug Sep Objective 1. Expand and strengthen linkages to domestic, regional and international markets for targeted value chains Activity 1.1. Implement a “Produce under the contract for processing and retail = guaranteed market” campaign Conduct media campaigns through TV and other media to promote contract growing of open field vegetable production Activity 1.2. Implementation of marketing plan for processed products Provide grants to establish market linkages with buyers though participation of processors at international fairs and B2Bs Objective 2. Improve productivity, post-harvest handling and private sector capacity to comply with EU and international standards in targeted value chains Sub-objective 2.1 Improve adoption of innovative technologies and agricultural practices in targeted value chains Activity 2.1. Implementation of partnerships and demonstration plots for the production of open field vegetables (including WUA regions) Implement the approved grants under the "Produce under the contract for processing – guaranteed market” program Implement the approved grants under the "Produce under the contract for retail – guaranteed market” program Conduct trainings on open field vegetable production for retail and processing (production, IPM, safe pesticide use) for grantee and other farmers Activity 2.2. Introduce new PHH technologies and partnerships for open field production Develop feasibility studies for establishing vegetable consolidation centers to supply processors and retailers (at least 3 studies) Objective 3. Increase capacities of member-based groups to serve their members in targeted value chains Activity 3.2. Strategic planning for the Association of Moldovan fruits and vegs canneries "Speranta-Con" Support the Association to develop an association development strategy based on OCA and identified needs and priorities

Y2 Q4 Cross cutting Activities Jul Aug Sep Objective 1.1. Expand and strengthen linkages to domestic, regional and international markets for targeted value chains Activity 1.1. Complete domestic market research study Conduct market research study

Disseminate findings of the study through private sector associations Activity 1.3. Participate in domestic festivals promoting Moldova high-value agriculture products Support planning, logistics, farmer participation, promotion, etc., as necessary for festivals 37

Objective 2. Improve productivity, post-harvest handling and private sector capacity to comply with EU and international standards in targeted value chains Sub-objective 2.1 Improve adoption of innovative technologies and agricultural practices in targeted value chains Activity 2.1. Develop educational TV programming for selected value chains Working with grantee(s) and project experts, develop series of season-long training episodes to highlight new technologies Activity 2.2. Promote technology adoption in other value chains through media coverage of demonstration farms, study tours, etc. Working with grantee under Activity 1 and project experts, develop in-depth news segments on technologies promoted at demonstration farms or through study tours Objective 3. Increase capacities of member-based groups to serve their members in targeted value chains Activity 3.1. Support associations to expand membership base and to provide services to members Based on the needs and priorities identified through OCA process conduct workshops with each association on inclusive development practices Provide support for establishment of new producer groups in targeted value chains/regions Activity 3.2. Strengthen WUAs Provide grants to WUA Cosnita and AcvaGrup to increase member services and access to irrigation Provide technical support to WUAs to implement more efficient irrigation services Train WUA staff in developing new services to its members Objective 4. Improve the enabling environment leading to increased investments and an improved workforce in key value chains Sub-objective 4.1 Increase private sector linkages with the education/research sector, leading to a competitive workforce in targeted value chains Activity 4.1. Establish new educational, research, or agribusiness partnerships, leading to a more competitive workforce in targeted value chains Contribute to the publishing/updating of the educational/training resources (guides, manuals, other didactical material) for the targeted value chains (incl. work-based system programs in HVA) Activity 4.2. Initiatives for youth, vocational schools, colleges, university involvement in HVA value chains Implement grants to support initiatives for youth involvement in HVA

Activity 4.5. Promote new educational programs and agriculture as a career.

This task will be accomplished in part through the cross-objective media relations subcontract to a local PR firm described in Cross-Objective Activity 1 below. Sub-objective 4.3 Improve the policy and enabling environment for selected value chains Activity 4.6. Support sector associations to engage in advocacy on behalf of members Provide assistance to industry associations and other private sector stakeholders to identify, prioritize and advocate for policy revisions

Support the GoM in drafting legislation to meet the requirements of the private sector Cross-Objective Activities

Activity C.1. Increase quality and quantity of coverage of media coverage of high-value agriculture Monitor performance of PR contractor

Activity C.2. Perform routine project communications Maintain media tracker

Maintain Facebook page

Produce collateral materials as needed

Update basic materials

Develop "Snapshot" success stories

Support project bi-weekly, monthly, quarterly, and annual reports

Activity C.3. Environmental compliance Conduct environmental screening/reviews/assessment of activities funded through HVAA, namely AITTF and sub Review SOWs for STTAs, and other draft SOWs, to ensure compliance to IEE and PERSUAP Ensure GAP, IPM and safe pesticide use practices are incorporated in project publications i.e. apricot and sweet cherry technological guides Ensure GAP, IPM and safe use pesticide use practices (including protection of bees) are incorporated in all ToTs and training activities

Activity C.4. Monitoring and Evaluation Conduct annual M&E Quality Assurance Review

Conduct Quarterly MEL Exercises (HVAA staff)

Conduct Annual MEL Exercises with Associations