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World Bank Document Document of The World Bank FOR OFFICIAL USE ONLY Report No: PAD236 Public Disclosure Authorized INTERNATIONAL DEVELOPMENT ASSOCIATION PROJECT APPRAISAL DOCUMENT ON A PROPOSED CREDIT IN THE AMOUNT OF SDR 52.1 MILLION (US$80 MILLION EQUIVALENT) Public Disclosure Authorized AND A PROPOSED GRANT FROM THE GLOBAL ENVIRONMENT FACILITY TRUST FUND IN THE AMOUNT OF US$6 MILLION TO THE REPUBLIC OF SENEGAL Public Disclosure Authorized FOR THE SUSTAINABLE AND INCLUSIVE AGRIBUSINESS DEVELOPMENT PROJECT November 22, 2013 This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Public Disclosure Authorized Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective October 31, 2013 Currency Unit = CFA Francs CFA 482.71 = US$1 US$1 = SDR 0,65017815 FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS AAA Analytic and Advisory Activities AGS Accelerated Growth Strategy AFD French Development Agency AfDB African Development Bank AGEROUTE Works and Road Management Agency/Agence des Travaux et de Gestion des Routes AIDP Agriculture Insurance Development Project ANCAR National Agency for Agricultural and rural Advisory Services/Agence Nationale du Conseil Agricole et Rural ANGMV National Agency for the Great Green Wall/Agence Nationale de la Grande Muraille Verte APIX Private Investment Promotion Agency/Agence de promotion des Investissements et des Grands Travaux ARMP Public Procurement Regulatory Authority ASER Senegalese Agency for rural Electrification BRICKS Building Resilience through Innovation, Communication, and Knowledge Services Project BCEAO Central Bank of the West African States/Banque Centrale des Etats de l’Afrique de l’Ouest BDS Business Development Services CPS Country Partnership Strategy CC Climate Change CDH Horticulture Development Center/Centre pour le Développement de l’Horticulture CFAHS Horticulture Inter-Professional Cooperation/Coopération Fédérative des Acteurs de l’Horticulture du Sénégal CFPH Horticultural Center for Vocational Training/Centre de Formation des Professions Horticoles DA Designated Account DAPSA Directorate for Analysis and Prediction of Agricultural Statistics / Direction de l’Analyse, de la Prévision et des Statistiques Agricoles DGID General Directorate of Taxes and Domains ECOWAS Economic Community of West African States EIG Economic Interest-based Groups ERR Economic Rate of Return ESIA Environmental and Social Impact Assessment ESMF Environment and Social Management Framework EU European Union FAO Food and Agriculture Organization FDI Foreign Direct Investment FCFA Franc CFA FOB Free On Board FOS Fondation Origine Senegal FPD Finance and Private Sector Development GDP Gross Domestic Product GEF Global Environment Facility GOANA Great Agricultural Offensive for Food and Abondance/Grande offensive agricole pour la nourriture et l’abondance GoS Government of Senegal IBRD International Bank for Reconstruction and Development ICA Investment Climate Assessment ICB International Competitive Bidding IDA International Development Association ICR Implementation Completion Report IEG Independent Evaluation Group IFAD International Fund for Agricultural Development IFC International Finance Corporation IMF International Monetary Fund IPM Integrated Pest Management ISRA Senegalese Institute of Agricultural Research/Institut Sénégalais de Recherche Agricole IWRM Integrated Water Resource Management LD Land Degradation LIB Limited International Bidding M&E Monitoring and Evaluation MCA Millennium Challenge Account MDG Millennium Development Goals MEF Ministry of Economy and Finance MOA Ministry of Agriculture and Rural Equipment NCB National Competitive Bidding NEPAD New Partnership for Africa’s Development NPV Net Present Value OHADA Organization for Harmonization of Business Law O&M Operation and Maintenance OLAG Office du Lac de Guiers OMVS Organization for the Development of the Senegal River Valley/Organisation pour la Mise en Valeur du Fleuve Sénégal PACR Support to Rural Communities Project/Projet d’Appui aux Communautés rurales PCR President of the rural community PDMAS Agricultural Markets and Agribusiness Development Program/Programme de Développement des Marchés Agricoles du Sénégal PIM Project Implementation Manual PCU Project Coordination Unit PMP Pest Management Plan PNIA National Agricultural Investment Program/Programme National d’Investissement Agricole POAS Land Use and Allocation Plan/Plan d’Occupation et d’Affectation des Sols PPA Project Preparation Advance PPP Public-Private Partnership PRSC Poverty Reduction Support Credit PRSP Poverty Reduction Strategy Paper PSC Project Steering Committee QCBS Quality-and Cost-Based Selection RAI Principles for Responsible Agricultural Investment RAP Resettlement Action Plan RPF Resettlement Policy Framework SAED Agency for the Development of the Delta and Valleys of the Senegal and Faleme Rivers / Société d’Aménagement et d’Exploitations des terres du Delta et des Vallées du fleuve Sénégal et de la Falémé SAWAP Sahel and West Africa Program in support of the Great Green Wall SCA Accelerated Growth Strategy/Stratégie de Croissance Accélérée SDRs Special Drawing Rights SESA Strategic Environmental and Social Assessment SFM Sustainable Forest Management SLM Sustainable Land Management SLWM Sustainable Land and Water Management SMP Small and Medium Producer SPSCA Permanent Secretariat of Accelerated Growth Strategy/ Secrétariat Permanent de la Stratégie de Croissance Accélérée SSIAP Senegal Sustainable and Inclusive Agribusiness Project TA Technical Assistance UGB Gaston Berger University UNCTAD United Nations Conference on Trade and Development UNDP United Nations Development Programme USAID United States Agency for International Development WAEMU West African Economic and Monetary Union ZAPA Zones Agro-Pastorales à Priorité Agricole ZAPE Zones Agro-Pastorales à Priorité Elevage Regional Vice President: Makhtar Diop Country Director: Vera Songwe Sector Director: Jamal Saghir Sector Manager: Martien van Nieuwkoop Task Team Leader: Jean Philippe Tré REPUBLIC OF SENEGAL Sustainable and Inclusive Agribusiness Project TABLE OF CONTENTS Page I. STRATEGIC CONTEXT .................................................................................................... 1 A. Country Context ...................................................................................................................... 1 B. Sectoral and Institutional Context ........................................................................................... 4 C. Higher Level Objectives to which the Project Contributes .................................................... 8 II. PROJECT DEVELOPMENT OBJECTIVES ................................................................... 9 A. Project Development Objective (PDO) .................................................................................. 9 B. Project Beneficiaries ............................................................................................................. 10 C. PDO Level Results Indicators ............................................................................................... 10 III. PROJECT DESCRIPTION ........................................................................................... 11 A. Project Components .............................................................................................................. 12 B. Project Financing .................................................................................................................. 18 C. Lessons Learned and Reflected in the Project Design .......................................................... 19 IV. IMPLEMENTATION .................................................................................................... 22 A. Institutional and Implementation Arrangements .................................................................. 22 B. Results Monitoring and Evaluation ...................................................................................... 26 C. Sustainability......................................................................................................................... 27 V. KEY RISKS AND MITIGATION MEASURES ............................................................. 27 A. Risk Ratings Summary Table ............................................................................................... 27 B. Overall Risk Rating Explanation .......................................................................................... 28 VI. APPRAISAL SUMMARY ............................................................................................. 29 A. Economic and Financial Analyses ........................................................................................ 29 B. Technical ............................................................................................................................... 32 C. Financial Management .......................................................................................................... 32 D. Procurement .......................................................................................................................... 33 E. Social (including Safeguards) ............................................................................................... 34 F. Environment (including Safeguards) .................................................................................... 36 Annex 1: Results Framework
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