USAID/LEBANON

LEBANON INDUSTRY

VALUE CHAIN

DEVELOPMENT (LIVCD)

PROJECT

LIVCD QUARTERLY PROGRESS REPORT - YEAR 3, QUARTER 4

JULY 1 – SEPTEMBER 30, 2015

FEBRUARY 2016

This publication was produced for review by the United States Agency for International Development. It was prepared by DAI.

CONTENTS

ACRONYMS ...... 3

YEAR 3 QUARTER 4: JULY 1 – SEPTEMBER 30 2015 ...... 4 PROJECT OVERVIEW ...... 4 EXCUTIVE SUMMARY ...... 4 QUARTERLY REPORT structure ...... 5

1. LIVCD YEAR 3 QUARTER 4: RESULTS (RESULTS FRAMEWORK & PERFORMANCE INDICATORS) ...... 6 Figure 1: LIVCD Results framework and performance indicators ...... 7 Figure 2: Results achieved against targets ...... 8 Table 1: Notes on results achieved ...... 8 Figure 3: quarterly Performance Results ...... 9

2. VALUE CHAIN UPGRADING STRATEGIES & ASSISTANCE: HIGHLIGHTS & CHALLENGES (Y-3 Q-4) ...... 10 Pome Fruits (Apples and Pears)...... 10 Stone Fruits (Cherries) ...... 12 Avocado ...... 15 Grapes ...... 18 Olive Oil ...... 22 Honey ...... 27 Rural Basket ...... 33 Rural Tourism ...... 36 Processed Foods ...... 41

3. CROSS CUTTING ELEMENTS & SPECIAL THEMES ...... 45 Access to Finance ...... 45 Marketing (Marketing Intelligence & Promotion) ...... 45 Institutional Capacity Building ...... 47 Water & Environment ...... 49 Gender Considerations ...... 51

ANNEX 1: INDICATOR PERFORMANCE TRACKING TABLE ...... 52

ANNEX II: LIVCD GRANTS TO DATE ...... 53

ANNEX III: QUARTERLY FINANCIAL INFORMATION ERROR! BOOKMARK NOT DEFINED.

LEBANON INDUSTRY VALUE CHAIN DEVELOPMENT (LIVCD) PROJECT – Y3Q4 REPORT 2 ACRONYMS

EOI Expression of Interest GMP Good Manufacturing Practices IP Integrated Development IPTT Indicator Performance Tracking Table JAZ Jezzine and Zafarani Company LARI Lebanese Agricultural Research Institute LIBNOR Lebanese Standards Institution LIVCD Lebanon Industry Value Chain Development LOP Life of Project MSME Micro, Small and Medium Enterprise PSC Production Service Center PPPs Private Public Partnerships SCSA Sannine Cooperative for Sustainable Agriculture SLFI Syndicate of Lebanese Food Industrialists USAID United States Agency for International Development PIRS Performance Indicators Reference Sheets

LEBANON INDUSTRY VALUE CHAIN DEVELOPMENT (LIVCD) PROJECT – Y3Q4 REPORT 3 YEAR 3 QUARTER 4: JULY 1 – SEPTEMBER 30 2015 PROJECT OVERVIEW

LIVCD is a five-year activity implemented through a contract (No. AID-268-C-12-00001) signed with DAI in September 2012. The LIVCD activity contributes to USAID/Lebanon Development Objective 2: “Enhance economic opportunity for the poorest segments of Lebanese society, particularly in areas outside metro Beirut.”1 LIVCD contributes to this USAID/Lebanon Development Objective by providing assistance to micro-, small-, and medium-sized enterprises including farmers and entrepreneurs in rural areas, to upgrade targeted value chains and support jobs and incomes. In the initial phase of the activity in Year 1, LIVCD conducted in-depth assessments of 10 value chains (and shorter assessments for four additional value chains), to select target value chains for upgrading according to the following selection criteria: 1) Competitiveness, i.e., which of the value chains have the potential during the period of the project to be fully upgraded and compete successfully in domestic and international markets; 2) Development impact. i.e., which of the value chains offer broad based positive impacts in the rural sector in Lebanon and have the potential to integrate small and medium farmers and businesses into larger more competitive value chains; this set of criteria also includes gender and youth; and 3) Feasibility, i.e., which value chains offer the opportunity for LIVCD to facilitate positive and real change within the life of the project and within the contract budget. These assessments identified for each of the value chains the constraints and opportunities to increasing competitiveness and an upgrading strategy with a range of activities to address these constraints. 2 The following value chains were selected and approved by USAID in May 20133. Pome Fruit (Apples and Pears) Stone Fruit – Avocado Stone Fruit – Cherry Grapes Olive Oil Processed Foods Honey Rural Basket Rural Tourism and handicrafts Floriculture (removed in Year 2)

EXCUTIVE SUMMARY

As of September 30th 2015, LIVCD has completed 35 grants, 7 grants are completed and in the close-out process, 78 grants are active, and 4 have been approved by USAID for implementation.

1 Per the USAID/Lebanon draft Country Development Cooperation Strategy, provided to LIVCD by Performance Management Plan for Lebanon

2 A concise review of the main findings from the detailed value chain assessments is provided in the Value Chain Synthesis, dated April 2013. 3 COR concurrence on recommendations to select value chains received May 22, 2013.

LEBANON INDUSTRY VALUE CHAIN DEVELOPMENT (LIVCD) PROJECT – Y3Q4 REPORT 4

Some of the quarterly highlights are as follows.  July: LIVCD conducted a demonstrative training in Jbaa (South Lebanon) on summer pruning for apples. A professional trainer explained the importance of such practices to around 12 apple farmers, focusing on three main reasons: to improve the quality of this year’s crop, to improve the quantity of next year’s harvest, and to increase the production of Grade A apples.  July: LIVCD established a climate-controlled packaging room for farmers in Rachaya Al- Foukhar to sort, pack and store grapes and a bought refrigerated truck to transport the packaged grapes from the climate-controlled packaging room to the market.  July: LIVCD organized a conference on the honey sector in Lebanon on July 22 in Beirut. The event was attended by H.E. Minister Akram Chehayeb, Minister of Agriculture, and H.E. U.S. Ambassador . Around 120 persons attended. The conference was highly successful and many attendees praised all the efforts made by LIVCD. The conference received wide media coverage in several newspapers, magazines, web portals, and on televisions.  July: LIVCD supported the Union of Jezzine Municipalities through a marketing campaign promoting the Jezzine region of the mountainous South Lebanon. The campaign took place in malls in Beirut and Saida and encouraged shoppers to visit the region, as well as promoted products from the region.  August: The Rural Tourism Strategy for the Caza of Aley was launched for discussion and public review. The strategy was developed by LIVCD and For Development Company in cooperation with DELTA Association for the Development of Aley. One Aley Member of Parliament, representatives of the Minister of Tourism and the Minister of Agriculture, and rural tourism stakeholders in the Aley Caza were present.  September: LIVCD participated in “Made in Beqaa”, an exposition organized by the Chamber of Commerce, Industry and Agriculture of Zahle. The exposition showcased products manufactured in the Beqaa, and several food processors supported by LIVCD were featured.  September: LIVCD organized a conference on September 22, 2015, to highlight improvements achieved in the cherry industry in Lebanon during the 2014-2015 seasons. Around 120 stakeholders including farmers, trainers, and exporters of the Beqaa and Mount Lebanon regions attended the conference.  September: LIVCD organized a workshop to promote avocado processing and increase the marketing opportunities for avocado producers. The LIVCD team organized the workshop in coordination with El Moasat Association and demonstrated avocado products for cosmetic use.

QUARTERLY REPORT STRUCTURE

This report provides a progress update for major LIVCD program activities for the quarter beginning July 1 and ending September 30, 2015.

Section One provides a summary of achievements of the whole of the LIVCD activity, articulating progress towards achieving the LIVCD Objective and Intermediate Results per the approved Results Framework.

Section Two provides a detailed summary of LIVCD assistance provided through the Value Chain Upgrading Strategies to date, including all grants and technical assistance. In this section, the major highlights and challenges encountered this quarter are noted.

LEBANON INDUSTRY VALUE CHAIN DEVELOPMENT (LIVCD) PROJECT – Y3Q4 REPORT 5 Section Three discusses the following cross-cutting elements and special themes: • Access to Finance • Access to Markets: Marketing Intelligence & Promotional Support • Institutional Capacity Building • Water & Environment • Gender Considerations

Annex 1 presents the Indicator Performance Tracking Table (IPTT) providing LIVCD project results for the Performance Indicators reported quarterly, per the approved LIVCD M&E Plan.

Annex 2 shows the status of LIVCD grants to date.

Annex 3 presents LIVCD financial information for the quarter.

1. LIVCD YEAR 3 QUARTER 4: RESULTS (RESULTS FRAMEWORK & PERFORMANCE INDICATORS)

LIVCD tracks results on the project level according to the LIVCD Results Framework and the associated set of Performance Indicators, which measure progress towards achieving the Intermediate Results and Objective; these are noted in Figure 1 below. LIVCD Objective: Develop competitive, functional value chains to increase incomes of the rural population including MSMEs LIVCD Intermediate Result 1: Increased access to markets in targeted value chains LIVCD Intermediate Result 2: Increased business linkages in target value chains LIVCD Intermediate Result 3: Increased productivity in target value chains LIVCD Intermediate Result 4: Constraints to lending reduced in target value chains Challenges: The M&E team has succeeded, with the support of the value chain coordinators and field officers in collecting all data related to this quarter. However, due to the limited number of M&E assistants and coordinators, it remains a challenge to report all results achieved in the exact period they occurred. All remaining data will be reported in the next reporting period.

LEBANON INDUSTRY VALUE CHAIN DEVELOPMENT (LIVCD) PROJECT – Y3Q4 REPORT 6 FIGURE 1: LIVCD RESULTS FRAMEWORK AND PERFORMANCE INDICATORS

LEBANON INDUSTRY VALUE CHAIN DEVELOPMENT (LIVCD) PROJECT – Y3Q4 REPORT 7 The project-wide results achieved during Year 3 Quarter 4 (July 1 – September 30, 2015) are summarized in the table below.

FIGURE 2: RESULTS ACHIEVED AGAINST TARGETS

No. Indicator Title - Disaggregation- Reporting Freq. Target Y3 Q1 Q2 Q3 Q4 Actual Y3 USAID/Lebanon Development Objective 2: Enhance Economic opportunity for the poorest segments of Lebanese society, particularly in areas outside Beirut CDCS Goal: insert when approved Curve of project performance 35% LIVCD Objective: Develop fully functioning, competitive value chains to increase incomes of the rural population including MSMEs

Number of MSMEs, including farmers, and other organizations receiving business 1 4,463 1,636 989 1,361 844 4,830 development services from USG assisted sources

Proportion of female participants in USG-assisted programs designed to increase 4 access to productive economic resources (assets, credit, income or 10% 13% 14% 15% 16% 14% employment) 5 Number of jobs impacted by LIVCD implementation 875 853 493 991 511 2,848 CDCS IR 2.2: Enhanced competitiveness that expand Micro, Small, and medium-sized enterprises LIVCD Sub-IR 2: Increased business linkages in target value chains

Number of MSMEs, including farmers, benefiting from new horizontal & vertical 7 683 399 599 50 49 1,097 linkages

LIVCD Sub-IR 3: Increased productivity in target value chains

Number of farmers and others who have applied improved technologies or 9 2,888 1,232 579 962 523 3,296 management practices as a result of USG assistance

Number of private enterprises, producers organizations, water users associations, women’s groups, trade and business associations and community- 10 149 11 8 7 199 225 based organizations (CBOs) that applied improved technologies or management practices as a result of USG assistance

Number of individuals who have received USG- supported short-term 11 4,148 1,264 895 1,332 990 4,481 agricultural sector productivity or food security training USAID/LEB - CDCS IR 2.3: Increased access to finance for micro-, small-, and medium-sized enterprises LIVCD Sub-IR 4: Constraints to lending and investment reduced in target value chain

12 Number of public-private partnerships formed as a result of FtF assistance 175 3 15 11 27 56

Number of MSMEs, including farmers, assisted by USG to apply for value chain 14 263 47 13 281 113 454 finance

TABLE 1: NOTES ON RESULTS ACHIEVED

Achieved Performance results for Actual Target Quarter this quarter Notes on results Y3Q4 Y3 Indicators in percentage Number of On track toward Y3 target, as in previous quarters LIVCD MSMEs receiving 844 4,463 19% exceeded the quarterly targets B.D.S Proportion of 185 446 16% On Track female Number of jobs LIVCD will propose in the mid-term review to review the impacted by 511 875 58% indicator target based on the project’s progress results LIVCD

8

implementation

Number of MSMEs 49 683 7% On track toward Y3 target, as in previous quarters LIVCD benefiting from exceeded the quarterly targets new linkages

Number of farmers applying On track toward Y3 target, as in previous quarters LIVCD 523 2,888 18% improved exceeded the quarterly targets technologies Number of MSMEs applying LIVCD exceeded the target, as the Rural tourism VC has reported a 199 149 134% improved large number of B&B that applied improved technologies technologies Number of individuals 990 4,148 24% On Track receiving training Number of PPPs LIVCD will propose in the mid-term review to review the 27 175 15% formed indicator target based on the project’s progress results Number of LIVCD will propose in the mid-term review to review the MSMEs assisted 113 263 43% to access VCF indicator target based on the project’s progress results

FIGURE 3: QUARTERLY PERFORMANCE RESULTS

9

2. VALUE CHAIN UPGRADING STRATEGIES & ASSISTANCE: HIGHLIGHTS & CHALLENGES (Y-3 Q-4)

POME FRUITS (APPLES AND PEARS)

Summary: The pome fruit value chain team conducted 12 trainings that included 175 participants. Four grants are currently active, and two grants were completed and in the process of closing. One is also recently approved by USAID.

Challenges: During this quarter, there were no specific challenges to report on.

Activity Highlights Axis 1 - Marketing: Support Exporters and Local Traders to Identify and Access High Value Local and Export Market Opportunities to Increase Sales and Exports to Targeted Markets (GCC Counties, Europe, UK, and local market)

Under the pome fruits value chain, LIVCD supported the Sannine Cooperative for Sustainable Agriculture (SCSA) to establish a traceability system that allowed the cooperative to establish new business-related linkages with traders and exporters.

Activity Highlights Axis 2 - Aggregation & Processing: Improve Aggregation and Storage by Increasing Efficiency and Capacity of Sorting, Packing, Cooling, and Processing Facilities to Extend Marketing Opportunities for Fresh and Processing Apples

Under the Liban Village grant, LIVCD installed a cold storage and packing service center to introduce several technology improvements such as: mechanical sorting line, photovoltaic solar system, new designed crates to store apples, as well as a metal structure to stock crates in the cold storage. This resulted in immediately improved quality of apples by 40% by reducing bruising during the sorting and packing process. It also reduced the cost of sorting by 20%.

Activity Highlights Axis 3 - Production: Work With Lead Partners to Oversee Regionally Specific Programs to Increase Apple Orchard Production per Square Meter and Increasing Percentage of Grade 1 Apples and Pears

The Sannine Cooperative for Sustainable Agriculture recently made major upgrades to the services they offer, all with the support of LIVCD. They established a demonstration plot using new technology for growing pome fruit on trellises on new varieties of dwarf root stock. They established a local nursery that sells certified plant material. They also put in place a composting unit for recycling organic waste into low cost compost to be used by farmers to increase their soil’s organic matter. In addition, they created a team of technicians with high expertise in pruning, and introduced the use of electrical pruning shears to increase their work efficiency. As part of the latter effort, the cooperative was able to establish a local school for pruning as well as produce a quality manual allowing the cooperative to have its system certified as (IP) Integrated Production System: a quality and technical control system that is recognized internationally and creates consumer trust.

During this quarter, LIVCD continued to implement trainings related to apples. During the first week of July, LIVCD conducted a demonstrative training in Jbaa (South Lebanon) on summer pruning for apples. A professional trainer explained the importance of such training to around 12 apple farmers. Summer pruning serves to improve this year’s crop, to improve next year’s harvest, and to increase the Grade A apples. The trainer demonstrated correct pruning techniques and how to preserve the fruits. These techniques will reduce the occurrence of pests and diseases. The

10

trainer also explained the benefits of thinning the fruits. The trainer visited several orchards, which subsequently put into practice the lessons he gave.

Apple farmers learning new pruning techniques in Jbaa with the support of LIVCD

Y3 Q4 Pome Fruit Training Provision

Date Location Training Title Trainers # of Participants Training on Irrigation Fadi Karam, Lynda 7/3/2015 Jbaa Systems and Water 30 Khalil Monitoring (Apples) 7/6/2015 & Kfardebiane Strategic Retreat Nazih Al Morr 12 7/8/2015 Training on Summer Pruning 7/10/2015 Kobayat Charbel Hobeika 21 (Apples) 7/16/2015 Kfardebiane Negotiation skills Nazih Al Morr 7 7/17/2-15 – Baskinta Building Strategy Jihan Akiki 19 7/18/2015 Training on Summer Pruning 7/23/2015 Fnaydek Charbel Hobeika 21 (Apples) Training on Summer Pruning 7/28/2015 Akoura Charbel Hobeika 12 (Apples) Communication Skills, 7/30/2015 Kfardebiane Power Base & Groups Nazih Al Morr 7 Decision 7/31/2015 Baskinta Communication Training Jihan Akiki 17 Field Training on Irrigation Systems and Water Fadi Karam, Lynda 8/21/2015 Akoura Monitoring, and Installation 3 Khalil of Tensiometer Technology in demo plot 9/4/2015 Baskinta Communication Skills Nazih Al Morr 7 Training on Irrigation 9/10/2015 Fnaydek Systems and Water Joseph Youssef 19 Monitoring (Apples) TOTAL 175

Active and Recently Closed Grants (Pome Fruit):

11

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD Sannine Improving Pome Fruit G-LIVCD- Cooperative for Competitiveness in Jouroud Al Maten Active Grant 49,000 137,100 027 Sustainable through a Production service center Agriculture (SCSA)

G-LIVCD- Proximity Agriculture Center [pome Completed – Caritas 19,375 73,995 030 fruit and cherry value chains] Not closed out

G-LIVCD- Proximity Agriculture Center [pome Completed – Caritas 22,649 96,113 031 fruit and cherry value chains] Not closed out Mitigating Legal and Financial Setbacks of Rural Cooperatives and G-LIVCD- MSMEs [multiple value chains: Olive Atayeb el Ref Active Grant 25,242 86,748 063 Oil, Pome Fruit, Processed Food, Rural Basket, Honey, Rural Tourism] Upgrade Liban Village to a model G-LIVCD- sorting, packing, and cooling storage Liban Village cold Active Grant 206,600 431,727 079 to facilitate access of pome fruit store s.a.l farmers to new technology. Upgrade Liban Village to a model G-LIVCD- sorting, packing, and cooling storage Liban Village cold Active Grant 36,200 47,771 080 to facilitate access of pome fruit store s.a.l farmers to new technology Increase sales of fresh fruits (cherry, grape, apple, and avocado) in export Approved/Conc G-LIVCD- markets through Branding, KARMA Lebanon urred By 40,250 77,300 121 Repackaging, Marketing support, and SAL USAID Technical assistance [multiple value chains]

STONE FRUITS (CHERRIES)

Summary: The Stone Fruits Value Chain conducted 11 trainings that included 191 participants. Two grants are currently active, and two grants have recently been approved by USAID.

Challenges: During this quarter, there were no specific challenges to report on.

Activity Highlights Axis 1 - Marketing: Support Actors to Identify and Access Market Opportunities to Increase Exports of Fresh Cherries to Select Markets and Sales in Domestic Market.

No activities to report on.

Activity Highlights Axis 2 - Aggregation & Processing: Improve Aggregation and Storage by Increasing Efficiency and Capacity of Sorting, Packing Cooling, and Processing Facilities to Extend Marketing Opportunities for Fresh and Processing Cherries.

LIVCD made around 100 field visits to meet farmers supported by the Liban Village grant (related to cherries). The purpose of the visits is to provide direct technical assistance and guidance for the farmers: advices on pruning, irrigation and other technical issues farmers might face.

Activity Highlights Axis 3 - Production: Increase Quantity and Improve Quality of Cherry Production

LIVCD organized a conference on September 22, 2015, to highlight improvements achieved in the cherry industry in Lebanon during the 2014-2015 seasons. Around 120 stakeholders including farmers, trainers, and exporters of the Beqaa and Mount Lebanon regions attended the conference. During the conference, LIVCD presented a video entitled “Cherry Value Chain Intervention and Farmers’ Success Stories” showcasing farmers’ experiences, obstacles, and improvements achieved with USAID’s assistance. In addition, a professional manual for producing

12

and marketing cherries was distributed to all participants. The manual was prepared by the LIVCD team in cooperation with respected cherry producers in Lebanon.

LIVCD has helped increase cherry production by 50% and revenues by 100% among beneficiary farmers in Lebanon through several types of assistance. LIVCD has introduced new cherry varieties in response to market demand and linked farmers to packaging and processing facilities, as well as exporters. This was highlighted in the conference. The event also discussed the findings of a feasibility study on cherry investment and the availabilities to apply for loans. Five farmers who have gone to the United States with the support of USAID shared their stories and testimonies related to learning about cherries (harvesting, latest techniques and technologies, sharing experiences with other farmers, etc.).

A large number of attendees at the Cherry conference in Taanayel, Beqaa

One of the agriculture engineers who went to the U.S. sharing her experience and findings

13

The LIVCD Cherry booklet and a copy of the Cherry video

Y3 Q4 Cherry Training Provision

Date Location Training Title Trainers # of Participants Cherry farmers' Training no. 3, Ghassan 7/4/2015 Kaah el Rim 20 2015 - "Cultural Practices" Feghali Cherry Farmers' Training no. 4, Ghassan 7/14/2015 Ain Kfarzabad 2015 - "Irrigation-Monitoring & 19 Feghali Soil Sensors Installation" Cherry Farmers' Training no. 4, Ghassan 7/15/2015 Zahlé - Maalaka 2015 - "Irrigation-Monitoring & 11 Feghali Soil Sensors Installation" Cherry Farmers' Training no. 4, Ghassan 7/15/2015 Kaah el Rim 2015 - "Irrigation-Monitoring & 18 Feghali Soil Sensors Installation" Cherry Farmers' Training no. 4, Ghassan 7/17/2015 Ferzol 2015 - "Irrigation-Monitoring & 10 Feghali Soil Sensors Installation" Cherry Farmers' Training no. 4, Ghassan 7/24/2015 Wadi El Karm 2015 - "Irrigation-Monitoring & 25 Feghali Soil Sensors Installation" Cherry Farmers' Training no. 5, Ghassan 8/21/2015 Ferzol 10 2015 - "Varieties & Rootstocks" Feghali Cherry Farmers' Training no. 5, Ghassan 8/21/2015 Kfarzabad 13 2015 - "Varieties & Rootstocks" Feghali Cherry Farmers' Training no. 5, Ghassan 8/22/2015 Kaah el Rim 21 2015 - "Varieties & Rootstocks" Feghali Cherry Farmers' Training no. 5, Ghassan 8/22/2015 Zahlé - Maalaka 12 2015 - "Varieties & Rootstocks" Feghali Cherry Farmers' Training no. 5, Ghassan 8/29/2015 Wadi El Karm 32 2015 - "Varieties & Rootstocks" Feghali TOTAL 191

Y3 Q4 Active and Recently Closed Grants (Cherries):

Grantee Total Grant Grant Title Grantee Grant Status Contribution Budget Number USD USD

14

Developing a Sustainable Association for G-LIVCD Cherry Value Chain in the Protection of Active Grant 5,400 28,850 -034 Jabal Moussa Jabal Moussa Developing a Sustainable Association for G-LIVCD Cherry Value Chain in the Protection of Active Grant 12,303 42,247 - 035 Jabal Moussa Jabal Moussa Upgrade the Cherry G-LIVCD Agripharm Approved/Concurred Value Chain in Caza 20,400 40,013 -127 S.A.R.L. By USAID Bcharre Upgrade the Cherry G-LIVCD Agripharm Approved/Concurred Value Chain in Caza 34,600 69,652 -128 S.A.R.L. By USAID Bcharre

AVOCADO

Summary: During this quarter, LIVCD implemented a series of activities related to avocado. The avocado value chain team conducted six trainings for a total of 288 participants. Two grants are currently active.

Challenges: During this quarter, there were no specific challenges to report on.

Activity Highlights Axis 1 - Marketing: Support Exporters and Local Traders to Identify and Access High Value Local and Export Market Opportunities to Increase Sales and Exports to Targeted Markets (GCC Counties, Europe, UK, local market).

Recently, LIVCD has been focusing on developing and expanding avocado oil production. By promoting this product, LIVCD is providing an extra push for the avocado industry: it will guarantee that avocados that cannot be sold will not go to waste. This will encourage avocado farmers to produce more avocados and not worry about their ability to sell them. The project has so far conducted several trials to extract oil from avocados and produce soap from the oil. LIVCD conducted the trials in a soap factory with the help of an expert. These trials, based on traditional recipes, are considered to be as one of the few remaining traditional methods in Lebanon to create pure oil soap. LIVCD and partners have managed to create avocado oil soaps but continue to conduct laboratory tests to identify the best formulas.

LIVCD and partners trying recipes for avocado oil soap production

15

The mixture of soap becoming solid and then cut in small bars

Activity Highlights Axis 2 - Aggregation & Processing: Improve Aggregation and Storage by Increasing Efficiency and Capacity of Sorting, Packing Cooling, and Processing Facilities to Extend Marketing Opportunities for Avocado.

During the month of September, LIVCD organized a workshop to promote avocado processing and increase the marketing opportunities for avocado products. The LIVCD team organized the workshop in coordination with El Moasat Association. 48 women, who graduated in cosmetic from the El Moasat educational center, attended the workshop. The main purpose for the attendees was to learn new skills in the cosmetic field and apply them in their lines of work.

A large number of attendees during the LIVCD Workshop Mask ingredients: Avocado, boiled rice, lemon and lime juice, honey, floor, yeast, olive oil, cucumber juice and rose water

16

Cleansing and facial application

Activity Highlights Axis 3 - Production: Increase Quantity and Improve Quality of Avocado Production.

On September 16, 2015, LIVCD organized a workshop on avocado for farmers coming from north Lebanon. The event focused on avocado varietal selections and good agricultural practices. A large number of people attended: 132 attendees representing NGOs, cooperatives, the Ministry of Agriculture, suppliers, farmers, engineers, and representatives of the Lebanese Agricultural Research Institute (LARI). The workshop focused on orchard establishment, irrigation of avocadoes (as part of good agricultural practices), access to finance (mainly how to apply for bank loans) and avocado oil soap production. The last session demonstrated live how to produce soap from avocado oil.

LIVCD team members giving their presentations Demonstration on avocado oil soap production

Y3 Q4 Avocado Training Provision # of Date Location Training Title Trainers Participants Training on Avocado Varieties and 7/14/2015 Klayaa Ibrahim Hariri 19 Rootstocks Majdel Training on Avocado Varieties and 7/25/2015 Ibrahim Hariri 17 Meouch Rootstocks Fadi Karam, Training on the Importance of Avocado 8/10/2015 Sidon Georgette 48 to Health and Skin Lahoud 8/26/2015 Tripoli Training on Avocado Varieties and Ibrahim Hariri 24 17

Rootstocks

Introduction of LIVCD and Training on 9/11/2015 Jahlieh Ibrahim Hariri 52 Avocado Varieties and Selection Hussein Ali Abou Yehia, Mansour Training on Avocado Varieties and Mdawar, Reem 9/16/2015 Tripoli Selection & Good Agricultural 128 ElDerbass, Practices (GAP) Roland Andari, Sandra Fahed TOTAL 288

Y3 Q4 Active and Recently Closed Grants (Avocado):

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD G-LIVCD - Develop Lebanese Avocado Active Hariri Foundation 73,879 98,479 084 Production (DLAP) Grant G-LIVCD - Develop Lebanese Avocado Active Hariri Foundation 23,698 112,284 085 Production (DLAP) Grant

GRAPES

Summary: During the reporting period, the grapes value chain team finalized the implementation of the Rachaya El Fokhar and Khreybe grants. There are currently two active grants and two completed but not closed. There were six trainings benefitting 130 farmers. Additionally, the LIVCD team introduced improved technologies to a number of grape farmers and conducted field visits to monitor and support other farmers.

Challenges: During this quarter, there were no specific challenges to report on.

Activity Highlights Axis 1 - Marketing: Support Producers In Entering High Value Target Markets Through Appropriate Variety Selection and Better Understanding of Market Requirements, Increasing Availability of New Grape Varieties, Creating New Market Opportunities and Expanding Existing Ones.

LIVCD completed a study through a private sector company—ECE—concerning market requirements for grape sales, including suitable varieties, packaging, consumer/shopper preferences, entry barriers and regulations for the target markets. LIVCD distributed the study to farmers and stakeholders to help them improve their products and businesses.

Activity Highlights Axis 2 - Aggregation & Processing: Improve Aggregation and Storage by Increasing Efficiency and Capacity of Post-Harvest Facilities to Improve Quality and Extend Marketing Opportunities

Early in the project, LIVCD determined that Rachaya Al-Foukhar grape farmers produce a high quality product, and they produce it early in the season when prices are high. But farmers struggle with transportation: they are unable to benefit from the high early season prices because the long ride to nearby markets in the hot summer sun significantly reduces the quality of the harvest. Recently, LIVCD created a climate-controlled packaging room to sort, pack, and store grapes, and purchased a refrigerated truck to transport the packaged grapes from the climate-controlled packaging room to the market. On July 12, the farmers of Rachaya Al-Foukhar cooperative initiated their grape harvest. The workers took the grapes to the sorting room where they were packed into high quality boxes and stored. The next day, in the early morning of July 13, the cooperative made its first shipment of high quality Superior grapes (2.3 tons) in the newly 18

purchased refrigerated truck to the Ferzol Wholesale Market, located in the Beqaa region. The cooperative’s grapes were the first in the market and fetched the best prices relative to grapes sold by other producers.

A climate-controlled packaging room to sort, pack and store grapes in Rachaya Al-Foukhar

A refrigerated truck to transport the packaged grapes to the market

Activity Highlights Axis 3 - Production: Upgrade Production, Harvest and Post-Harvest Practices

During the reporting period, LIVCD made many follow-up visits to farmers who benefited from leveraged investments to establish their grapes trellises during 2014 and 2015. The LIVCD team also accomplished more than 130 field visits to 68 farmers who benefited from technical assistance. During the follow-up visits, LIVCD provided training on best harvest and post-harvest practices.

19

The grapes orchards installed with the support of LIVCD

The LIVCD providing the necessary support for grape farmers

During the month of August, LIVCD continued to introduce to farmers cardboard cones as an alternative to harmful, expensive, and banned pesticide. Cardboard cones are a novel but simple and inexpensive solution to dealing with birds and avoiding their direct and indirect damage to grapes. Instead of using a banned and extremely harmful pesticide, farmers can use a cardboard cone to cover each grape cluster. Prior to receiving them, the farmers attended trainings and received the necessary guidance on how to use the cones. By continuing to introduce new and simple technologies, LIVCD is making sure to gradually improve the table grapes value chain in Lebanon and at the same time encouraging more farmers to plant grapes. So far LIVCD has reached 70 farmers.

20

The LIVCD team distributing cardboard cones to farmers

Cardboard cones properly installed to protect the grapes

Y3 Q4 Grape Training Provision

Date Location Training Title Trainers # of Participants Rachaya el Grapes Harvest and Post- 7/17/2015 Paulette Chlela 35 Fokhar Harvest Practices Training on Grapes Water Fadi Karam, 7/21/2015 Niha Bekaa 19 Management Paulette Chlela Training on Grapes Water 7/23/2015 Kfarmechki Paulette Chlela 33 Management Training on Grapes Water 7/31/2015 Ferzol Paulette Chlela 16 Management Training Session on the Use Charbel 7/31/2015 Rachaya 13 of Cones on Grape Clusters Rouphael Daher Training on Grapes Water 8/12/2015 Zahlé - Maalaka Paulette Chlela 14 Management TOTAL 130

21

Y3 Q4 Active and Recently Closed Grants (Grape):

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD Stimulating Investment in New Completed G-LIVCD - Jaber Trading Variety Grape Orchards - Not 158,571 238,545 019 Company Demand Closed Stimulating Investment in New Middle East Completed G-LIVCD - Variety Grape Orchards Business Company - Not 269,571 405,440 020 Demand SARL Closed Stimulating Investment in New G-LIVCD - Active Variety Grape Orchards Medigardens 285,429 429,290 021 Grant Demand Investment to Upgrade the Ag. Coop Asso G-LIVCD - Active Grape Cold Chain in Rachaya Rachaya Al 28,000 96,690 088 Grant Al Fakhar and Khraybe. Foukhar - Khraybe

OLIVE OIL

Summary: During the reporting period, the following activities were implemented: - Preparing 28 proposals for the mechanical harvesting program grants - Installing the Automatic line in Kobayat mill (August-September 2015) - Implementation of Good Manufacturing Practices (GMP) in Darbechtar mill (July-August- September 2015) There are currently 31 active grants and one completed but not closed. Additionally, there were two trainings benefitting 73 farmers.

Challenges: During this quarter, there were no specific challenges to report on.

Activity Highlights Axis 1 - Marketing: Create New Market Incentives Favoring Lebanese Olive Oil Through the Use of a Seal of Quality and Origin

No activity to report on.

Activity Highlights Axis 2 - Aggregation & Processing: Facilitate Increased Investments and Improvements in Quality of Olive Oil through Improved Standardization of Olive Milling and Storage LIVCD visited the Kobayat Cooperative to supervise the delivery of a milling line to the olive mill.

The equipment being installed inside the Kobayat Cooperative 22

The LIVCD team branding the equipment with the USAID logo

The LIVCD team also made a follow-up visit to monitor the GMP implementation in Darbechtar Cooperative’s mill.

Lavatory Plexiglas windows

Main door covered by aluminum boards Hinges for all doors

Activity Highlights Axis 3 - Production: Improve Olive Orchard Productivity During the reporting period, the LIVCD olive oil team made several visits to partners either to distribute new equipment, to provide technical assistance, or for regular follow-ups.

23

During this reporting period, LIVCD started implementing the “Capacity Building for the Mechanical Harvesting Program (2015-2016). The team ended the first phase which included the signing of the grant and sharing the necessary information with all grantees. During this period, LIVCD started distributing the mechanical harvesters and training grantees on how to use them.

A large number of attendees at the capacity building of the mechanical harvesting program

Signing of grants between LIVCD and cooperatives

The distribution and training on mechanical harvesters 24

Y3 Q4 Olive Oil Training Provision

Date Location Training Title Trainers # of Participants Anissa Sabaayoun, Georgette Lahoud, Hussein Capacity Building for the Ali Abou Yehia, Issam Bou 9/18/2015 Sidon Mechanical Harvesting Rached, Joseph Youssef, 34 Program (2015-2016) Mohammad Al Ozeir, Reem ElDerbass, Roland Andari, Sawsan Mouzahem Capacity Building for the Joseph Youssef, Nataly 9/30/2015 Tripoli Mechanical Harvesting Chbib, Reem ElDerbass, 39 Program (2015-2016) Roland Andari TOTAL 73

Y3 Q4 Active and Recently Closed Grants (Olive Oil):

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD Cooperative association for Improving olive producers’ organic agriculture and olive Completed - G-LIVCD- productivity and production in Lebaa and competitiveness in Lebaa and Not Closed 8,556 23,420 036 neighboring villages (OLEA neighboring villages Out Cooperative) G-LIVCD- Development of the Olive Oil Cooperative Association for Active Value Chain in Kobayat and Agricultural in Kobeiyat, 88,290 292,540 038 Neighboring Villages in Akkar Akkar Grant Improving the olive oil sector in G-LIVCD- Hasbaya through upgrading Fouad Mohamad Zouweihid Active 53,200 106,200 042 olive mill equipment and Mill (Al Rachid Modern Mill) Grant processing standards G-LIVCD- Establishing a Comprehensive Active Olive Oil Service Center in Der Bechtar Olive Oil Coop 54,500 22,100 092 Darbechtar Grant G-LIVCD- Establishing a Comprehensive Active 136,840 Olive Oil Service Center in Der Bechtar Olive Oil Coop 37,510 093 Darbechtar Grant Increasing competitiveness of olive farmers by decreasing cost of production through G-LIVCD- Agricultural Cooperative Active improved harvesting practices Association of Aydamoun 13,172 3,255 099 and capacity building of Grant cooperatives and farmers in Aydamoun Agricultural Cooperative G-LIVCD- Increasing competitiveness of Active Association for processing olive farmers … in Bkarzla 13,867 3,950 106 olive waste in Bkarzla Grant G-LIVCD- Increasing competitiveness of Agriculture Cooperative Active 12,417 4,350 107 olive farmers… in Chadra Association of Chadra Grant

G-LIVCD- Increasing competitiveness of Agricultural Cooperative Active 12,017 3,950 100 olive farmers …in Douma Association in Douma Grant

Increasing competitiveness of G-LIVCD- Association for Lebanese Active olive farmers … in Joumeh Rural Development (LRD) 14,267 4,350 101 (Akkar) Grant Agricultural Cooperative G-LIVCD- Increasing competitiveness of Association for the Active 13,692 3,775 102 olive farmers … in Kashlak development of the olive Grant sector in Kashlak Agricultural Cooperative G-LIVCD- Increasing competitiveness of Active Association of Ibrin and olive farmers …in Ibrin 12,017 3,950 103 Neighboring Villages Grant

25

G-LIVCD- Increasing competitiveness of General Argricultural Active 12,322 4,255 109 olive farmers …in Al Hajjeh Cooperative of Hajeh Grant

G-LIVCD- Increasing competitiveness of Agricultural Cooperative Active 11,912 3,845 111 olive farmers … in Deir Ames Association in Deir Aames Grant

G-LIVCD- Increasing competitiveness of Agricultural Cooperative Active 11,392 3,325 112 olive farmers … in Hermel Association in Hermel Grant G-LIVCD- Agricultural Cooperative Increasing competitiveness of Active Association of Karoun and 113 olive farmers … in Karaoun 11,992 3,925 neighboring villages Grant G-LIVCD- Increasing competitiveness of Agricultural Cooperative Active 11,667 3,600 114 olive farmers … in Kfardounine Association in Kfardounine Grant Increasing competitiveness of olive farmers by decreasing G-LIVCD- cost of production through Agricultural Cooperative Active improved harvesting practices Association in Safad El 11,322 3,255 116 and capacity building of Batikh Grant cooperatives and farmers in Safad El Battikh G-LIVCD- Increasing competitiveness of Agricultural Cooperative Active olive farmers … in Sir El Association in Sir El 11,912 3,845 117 Gharbiyeh Gharbiyeh Grant Agricultural Cooperative G-LIVCD- Increasing competitiveness of Active Association for the olive farmers …in Bijjeh 13,867 3,950 118 Development in Bijjeh Grant Agricultural Cooperative G-LIVCD- Increasing competitiveness of Association for the Villages Active 12,217 4,150 119 olive farmers … in Kfeir of Haramoun, Al Berke, Grant (Kfeir Cooperative) Agricultural Cooperative Increasing competitiveness of G-LIVCD- Association for Sustainable Active olive farmers …in Jezzine and Development in Jezzine and 21,642 6,175 122 Chouf Cazas Grant Chouf Cazas-LANDS Agricultural Association for G-LIVCD- Increasing competitiveness of Active Marketting and Processing olive farmers … in Kolayaa 12,217 4,150 120 of Olive Oil in Klayaa Grant

Agricultural Cooperative G-LIVCD- Increasing competitiveness of Active Association for Olive olive farmers … in Jezzine 14,067 4,150 126 Farmers in Jezzine Grant General Agricultural G-LIVCD- Increasing competitiveness of Active Cooperative Association in olive farmers … in Houla 11,217 3,150 124 Houla Grant General Agricutural G-LIVCD- Increasing competitiveness of Cooperative Association of Active 21,267 5,800 125 olive farmers… in Mimes Mimes and Neighboring Grant Villages Cooperative association for organic agriculture and olive G-LIVCD- Increasing competitiveness of Active production in Lebaa and olive farmers… in Lebaa 13,867 3,950 123 neighboring villages (OLEA Grant Cooperative) G-LIVCD- Increasing competitiveness of Lebanese Association for Active 14,042 4,125 129 olive farmers … in Baalbak Urban Agriculture (LAUA) Grant Agricultural Cooperative G-LIVCD- Increasing competitiveness of Association for the Active 11,392 3,325 130 olive farmers … in Al Kaa production and processing of Grant Olive Oil in Al Kaa G-LIVCD- Increasing competitiveness of Cooperative Association for Active 13,867 3,950 131 olive farmers … in Tripoli Olive Farmers in Tripoli Grant G-LIVCD- Increasing competitiveness of Active Al Hadatha Association 13,242 3,325 132 olive farmers … in Berkayel Grant Cooperative Association for G-LIVCD- Increasing competitiveness of Active Agricultural Services and olive farmers … in Koura 13,367 3,450 133 Development of Koura Grant

26

HONEY

Summary: During the reporting period, the honey value chain team organized 59 trainings that benefited 1,403 persons. Additionally, the value chain has 14 active grants, one completed but not closed, and one approved by USAID. The honey value chain was busy implementing activities from trainings, to conferences, to bringing a key expert on bee insemination to Lebanon.

Challenges: The main challenges encountered during the reporting period in the honey value chain are the following: the development of a national honey regulation (to protect local honey from poorly produced imported honey) was faced with some challenges as there were many parties involved in issuing this decree. The difference of opinion between the beekeepers and the traders has halted the quick issuance of the regulation. The critical points were moisture content and Hydroxymethylfurfural and antibiotics residues. However, in collaboration with laboratories, LIVCD will conduct studies to back up the clearance of this most beneficial regulation to the Lebanese honey sector. Activity Highlights Axis 1 - Marketing: Support Actors to Identify and Access Market Opportunities to Increase Exports of Honey and Sales in Domestic Market On September 26, 2015 the Maten el Aala Cooperative participated in the annual Arsoun Exhibition for Rural Foods in Arsoun village. This year was the first year where the Maten el Aala Cooperative participated with a licensed label. The cooperative sold two types of honey, in addition to propolis and wax based facial cream. The total sales amounted to during the two-day event.

The Maten el Aala stand in the Arsoun Exhibition

Activity Highlights Axis 2 - Aggregation & Processing: Improve Aggregation and Processing Facilities to Extend Marketing Opportunities for Honey

During the month of July 2015, LIVCD invited Elizabeth Frost, an expert in artificial bee insemination, to come to Lebanon for three weeks. The main objectives of her presence was to support Lebanese beekeeping experts in determining the most favorable queen bee type to thrive in Lebanon, and to introduce artificial insemination of queen bees to Lebanon. Together with two grantees, LIVCD is investing in queen bee production to upgrade the beekeeping sector in Lebanon. Ms. Frost visited several areas of Lebanon, inspected several apiaries, and worked with local b eekeepers to assess the potential for investments. 27

The expert Elizabeth Frost visiting and evaluating apiaries across Lebanon

LIVCD decided to make the best use of ’s time in Lebanon and organized a conference on the honey sector in the country. The conference took place on July 22, 2015 in Beirut. It was attended by H.E. Minister Minister of Agriculture, and H.E U.S. Ambassador . Around 120 persons attended, including beekeepers, head of agricultural centers, representatives of ministries, representatives of the private sector, professionals from the Lebanese Standards Institution (LIBNOR) and other professionals from the sector. According to Minister Chehayeb: “the Ministry has made improving the sector a priority, in collaboration with projects such as the USAID-funded LIVCD”. U.S. Ambassador mentioned the active role that USAID has played in the past years to upgrade this sector. Ms. presented and discussed queen bee breeding opportunities in Lebanon. The conference was highly successful and many attendees praised the efforts made by LIVCD. The conference received wide media coverage in several newspapers, magazines, web portals, and on television.

A large number of attendees at the USAID Honey conference Agriculture Minister Akram Chehayeb speaking during the Honey Conference

28

U.S. Ambassador presenting his speech during the Honey conference

Agriculture Minister presenting a trophy to the U.S. Ambassador

Activity Highlights Axis 3 - Production: Sustain and Increase Production of Honey The honey value chain team continued to do monitoring visits to beekeepers and cooperatives. During the month of August, they visited the Maten el Aala cooperative for monitoring purposes. The support from LIVCD to the cooperative aims to increase the income and honey production of the trained beekeepers of the Maten el Aala area. The support was given through co-funding of beehives and improvement of the managerial and technical capacities of the cooperative. Additionally, the LIVCD team checked the situation of queen bees that were introduced during Elizabeth Frost’s visit: they are in good shape and have begun laying eggs.

29

The LIVCD team checking the apiaries of the Maten el Aala cooperative

During the quarter, LIVCD continued to give trainings to beekeepers across several regions of Lebanon. For example, on August 25, 2015, LIVCD organized a training session for 25 beekeepers in Rashaya el Wadi on the best methods to identify and treat diseases. Diseases vary from virus to bacterial and fungal diseases. Identifying them before they spread can reduce the risk of death in apiaries and bee colonies. Beekeepers attending the training received smokers and hive tools as part of LIVCD’s assistance.

Beekeepers receiving tools from the LIVCD team

Y3 Q4 Honey Training Provision # of Date Location Training Title Trainers Participants Honey Training, Hive 7/2/2015 Mechmech Ragheb Fadel 29 Management, Ch. 1 & 2 Honey Training, Hive 7/3/2015 Mechmech Ragheb Fadel 26 Management, Ch. 3 & 4 Aramoun el Honey Training, Diseases, 7/4/2015 Ghani Salha 30 Ghareb Section 1 & 2 Honey Training, Diseases, Ch. 7/6/2015 Srayra Raeed Zayden 33 1 Honey training on Diseases, 7/7/2015 Ainata Jad Fahed 23 Ch. 1 & 2

30

Honey Training, Diseases, Ch. 7/7/2015 Srayra Raeed Zayden 33 2 Honey Training, Diseases, Abed EL Nasser Al 7/9/2015 Bireh 35 Section 1 Masri Honey Training, Diseases, Abed EL Nasser Al 7/10/2015 Bireh 35 Section 2 Masri Honey Training on Breeding 7/11/2015 Tyre Queens and Artificial Elizabeth Frost 13 Insemination Practical Training on Bee Andre Gerges 7/13/2015 Kobayat Diseases and How to Treat 9 Hamawi Italian Bees (group 1) Honey Training - Hive 7/13/2015 Kahlounie Raeed Zayden 18 Management, Ch. 1 & 2 Honey Training - Hive 7/14/2015 Kahlounie Raeed Zayden 34 Management, Ch. 3 & 4 Practical Training on Bee Andre Gerges 7/15/2015 Kobayat Diseases and How to Treat 11 Hamawi Italian Bees (group 2) Honey training on Diseases, 7/16/2015 Aytanit Jad Fahed 25 Chapters 1 & 2 Practical Training on Bee Andre Gerges 7/17/2015 Kobayat Diseases and How to Treat 9 Hamawi Italian Bees (group 3) Practical Training on Bee Andre Gerges 7/20/2015 Kobayat Diseases and How to Treat 10 Hamawi Italian Bees (group 4) Honey Training, Hive 7/20/2015 Ain Wzein Raeed Zayden 22 Management, Ch. 1 & 2 Honey Training, Hive 7/21/2015 Ain Wzein Raeed Zayden 22 Management, Ch. 3 & 4 Honey Training on Diseases, 7/23/2015 Kaah el Rim Jad Fahed 23 Ch. 1 & 2 Honey Training on Diseases, 1 Mouhamed Haydar 7/23/2015 Rmeich 40 & 2 Hassan Practical Training on Bee Andre Gerges 7/24/2015 Kobayat Diseases and How to Treat 7 Hamawi Italian Bees (group 5) Honey Training on Diseases, 1 Mouhamed Haydar 7/24/2015 Ayta el Chaeb 40 & 2 Hassan Honey Training on Diseases 7/28/2015 Hermel Jad Fahed 25 Ch. 1 & 2 Honey Training - Hive 7/28/2015 Bazbina Adnan Orabi 21 Management Section, Ch. 1 & 2 Honey Training - Hive 7/29/2015 Bazbina Adnan Orabi 22 Management Section, Ch. 3 & 4 Honey Training on Hive Mouhamed Haydar 7/30/2015 Maarake 24 Management, Ch. 1 & 2 Hassan Honey Training, Diseases 8/4/2015 Hermel Yasser Nasreddin 20 Section 1 & 2 Honey Training on Hive Mouhamed Haydar 8/6/2015 Maarake 28 Management Ch. 3 & 4 Hassan Honey Training, Diseases 8/7/2015 Chebaa Majid Al Halabi 18 Section 1 Honey Training, Diseases 8/8/2015 Chebaa Majid Al Halabi 19 Section 2 8/10/2015 Daher el Ahmar Honey Training, Diseases Ch. 1 Majid Al Halabi 16 Honey Training on Diseases 8/11/2015 Hermel Abdo Folla 21 Ch. 1 & 2 Honey Training - Hive Hussein Mohamad 8/11/2015 Akkar el Atika 26 Management Section, Ch. 1 & 2 Diab Honey Training, Diseases, Ch. 8/12/2015 Daher el Ahmar Majid Al Halabi 22 2 Honey Training - Hive Hussein Mohamad 8/12/2015 Akkar el Atika 29 Management Section, Ch. 3 & 4 Diab

31

Honey Training on Diseases, 1 Mouhamed Haydar 8/13/2015 Maarake 28 & 2 Hassan Honey Training, Diseases, 8/14/2015 Rafid Majid Al Halabi 15 Section 1 Honey Training, Diseases, 8/15/2015 Rafid Majid Al Halabi 18 Section 2 Jbaah - Ain Honey Training on Hive Mouhamed Haydar 8/20/2015 15 Bouswar Management Ch. 1 & 2 Hassan Honey Training on Diseases 8/20/2015 Manara Elie Fares 18 Chapters 1 & 2 Jbaah - Ain Honey Training on Hive Mouhamed Haydar 8/21/2015 16 Bouswar Management Ch. 3 & 4 Hassan Honey Training on Diseases, 8/25/2015 Rachaya Jad Fahed 26 Ch. 1 & 2 Jbaah - Ain Honey Training on Diseases, Mouhamed Haydar 8/27/2015 17 Bouswar Ch. 1 & 2 Hassan Honey Training Diseases 9/3/2015 Baalbeck Chapters 1 and 2 in Baalbeck Kamel Amro 29 for Group 1 Honey Training on Diseases 1 9/4/2015 Ain El Abou Assef el haj 32 & 2 Honey Training on Diseases 1 9/11/2015 Labweh Jad Fahed 30 & 2 Honey Training, Hive 9/11/2015 Hbariyeh Majid Al Halabi 34 Management, Ch. 1 & 2 Honey Training, Hive 9/12/2015 Hbariyeh Majid Al Halabi 31 Management Ch. 3 & 4 Honey Training on Diseases 1 9/12/2015 Ain El Abou Assef el haj 35 & 2 Honey Training, Hive 9/16/2015 Ebel el Saky Majid Al Halabi 21 Management, Ch. 1 & 2 Honey Training, Hive 9/17/2015 Ebel el Saky Majid Al Halabi 24 Management Ch. 3 & 4 Honey Training, Diseases 30 9/18/2015 Hermel Jad Fahed Chapters 1&2 Honey Training, Hive 9/21/2015 Kfarmechki Majid Al Halabi 33 Management, Ch. 1 & 2 Honey Training, Hive 9/22/2015 Kfarmechki Majid Al Halabi 32 Management, Ch. 3 & 4 Honey Training, Hive 9/25/2015 Fardiss Majid Al Halabi 19 Management, Ch. 1 & 2 Honey Training, Hive 9/26/2015 Fardiss Majid Al Halabi 19 Management, Ch. 3 & 4 Honey Training, Diseases 9/29/2015 Ain Wzein Raeed Zayden 20 Section 1 Honey Training, Diseases 9/30/2015 Ain Wzein Raeed Zayden 20 Section 2 Honey Training on Diseases 1 9/30/2015 Bar Elias Jad Fahed 23 & 2 TOTAL 1,403

Y3 Q4 Active and Recently Closed Grants (Honey)

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD G-LIVCD- Jibal Loubnan Completed Increasing Honey Exports and Supporting for Baladi - Not 22,866 41,508 015 Beekeepers through a Joint Product Promotion Production Closed Out G-LIVCD- Improving the Livelihood of 150 Beekeepers in Active the Bekaa and South Regions Caritas 63,000 211,500 022 Grant

32

G-LIVCD- Improving the Livelihood of 150 Beekeepers in Active Caritas 18,900 59,736 070 the Bekaa and South Regions Grant

Upgrade the Lebanese Honey Value Chain G-LIVCD- sector through improving the brand image of a local honey brand and increasing consumer Kaddoum for Active 36,476 72,567 045 awareness through a joint promotion leading to Trading SARL Grant an increase in demand of honey from rural beekeepers Al Kwayteh G-LIVCD- Expand Number of Beekeepers and Increase Beekeepers Active Production of Honey by Small and Medium 075 Cooperative- 25,248 82,772 Beekeepers in Koura Grant Koura Increase income and honey production of G-LIVCD- trained beekeepers of Maten el Aala area Matn el Aala Active 066 through investments in new beehives, and Honey 20,750 86,949 improve managerial and technical capacity of Cooperative Grant the Maten el Aala cooperative G-LIVCD- Association for Bees for Environmental and Economic Active the Protection of 12,282 41,702 073 Sustainability Jabal Moussa Grant G-LIVCD- Association for Bees for Environmental and Economic Active the Protection of 6,972 20,312 074 Sustainability (BEES) Jabal Moussa Grant Cooperative Association for G-LIVCD- Increase income of 59 new and experienced Beekeeping and Active 083 beekeepers in the Kfeir area through delivering Marketing of 22,414 73,264 hives and monitoring the production process. Honey Products Grant in Kfeir and the Surrounding Sustain honey production in the Kobayat area Kobayat G-LIVCD- through co-funding provision of beehives to 70 Cooperative Active 086 beekeepers and establish a complementary 23,200 87,650 oregano (zaatar) plantation and distillation Grant practice Sustain honey production in the Kobayat area Kobayat G-LIVCD- through co-funding provision of beehives to 70 Cooperative Active 087 beekeepers and establish a complementary 2,000 12,000 oregano (zaatar) plantation and distillation Grant practice Establish an apiary to proliferate the most Jabal Amel G-LIVCD- resilient apis mellifera syriaca bees and queen Active 090 bees to ensure preservation, adaptation, and 22,300 53,165 productivity of the subspecies specific to the Grant region G-LIVCD- Establish the first professional queen bee Afif Abou Chedid Active breeding and beekeeping extension service Agriculture and 83,689 167,219 091 center in Lebanon Trade Company Grant

G-LIVCD- Expand honey production of 20 new Kawkaba beekeepers from Kawkaba through delivering Cooperative Active 5,900 18,800 094 hives and an extractor and monitoring the Grant production process. G-LIVCD- Improve the honey value chain in North Maten Ain Kabo by increasing honey production of 60 Active 28,600 91,390 096 beekeepers, and developing managerial and Grant technical capacity of Ain el Abou Cooperative G-LIVCD- Establish the first Beeswax Recycling HOSCO agri Approved/C Sterilization, Processing and Beekeeping SARL 108 Reference Center in Mount Lebanon to serve oncurred 103,390 196,680 rural beekeepers By USAID

RURAL BASKET

Summary: The rural basket value chain has two on-going grants.

Challenges: No major challenges to report on.

33

Activity Highlights Axis 1 - Marketing: Identify and Support Access to Market Opportunities to Increase Sales and Distribution in Local and Export Markets With facilitation by LIVCD, organic food producer Adonis valley was linked to five new local and international markets. For the first time, their products (juices, jams, pickles…) were introduced in the Gulf region.

Activity Highlights Axis 2 - Aggregation & Processing: Support Initiatives for New Product Development and Innovation in Aggregation and Processing

LIVCD supported Adonis Valley to adopt new technology as well as to increase its product diversification: - Adonis Valley was able to adopt a new technology to produce apple and other fruit vinegar. With a new vinegar manufacturing machine, Adonis Valley was able to produce 200 liters of apple vinegar in 10 days, versus in 6 months before. This new vinegar machine also opened the way for Adonis Valley to produce other kinds of fruit vinegar of high value, such as pomegranate vinegar, cherry vinegar, and apricot vinegar. This increased his annual revenue by about 20%. - Adonis Valley was also able to adopt a solar water heating system, which will reduce fuel consumption by approximately 30% at the processing unit. - LIVCD also supported Adonis Valley to introduce high end free range eggs to his product line, increasing their annual revenue by 10%.

Activity Highlights Axis 3 - Production: Increase Productivity by Upgrading Production of Rural Basket Items through Institutional and Technical Training for Identified Actors

During this quarter, the LIVCD team made a field visit to the Pine House in Jezzine in South Lebanon. The purpose of the field visit was to witness the initial operation of a new pine nut cleaner; an automated machine that washes black nuts, saving the cooperative time and energy. The cleaner was purchased under an LIVCD leveraged investment with the Jezzine Pine Nuts Cooperative, JAZ (Jezzine and Zafarani Company), with the cooperation of the Union of Municipalities in Jezzine. The Pine House is now processing Jezzine's pine nuts in Jezzine and packing them under the label J Grove. This is the first instance of branded pine nuts in Lebanon. In addition to processing pine nuts in Jezzine, the Pine House also retails J Grove pine nuts, olive oil, free range eggs, honey, and other products made in Jezzine. LIVCD supported the cooperative to establish a sustainable and long term relationship with the private sector to manage their pine nut production facility and to market the white kernels at competitive prices.

34

The LIVCD team checking the new pine nuts cleaner and automated machine

The new machine cleaning the black nuts

The newly washed black nuts

Y3 Q4 Rural Basket Training Provision No trainings took place in the reporting period.

Y3 Q4 Active and Recently Closed Grants (Rural Basket):

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD G-LIVCD - Expanding Production and Active Adonis Valley 71,736 136,086 039 Sales of Adonis Valley Grant Coop for Pine Nut Improving Production and G-LIVCD - Plantation and Active Retaining the Value of 32,550 107,750 089 Production in Grant Processed Pine Nuts in Jezzine Jezzine Caza

35

RURAL TOURISM

Summary: The summer season is a peak season for the rural tourism value chain, and the LIVCD project implemented a series of activities. It is worth mentioning that this period witnessed an increased demand for rural tourism packages thanks in part to LIVCD’s interventions for the past three years. Three elements have been particularly important: (1) media attention because of the launching of the National Strategy for Rural Tourism by the Prime Minister, (2) LIVCD’s key role in the implementation of the second rural tourism show "Travel Lebanon", (3) LIVCD’s role in the promotion of websites (at both the national and local level). This increase is visible through proxy indicators such as LIVCD partners’ increase in sales values of up to a 100% in the case of the Ehmej and Kfradebian grants, and the increase in prices of bed and breakfast double standard rooms. LIVCD conducted 30 trainings for 215 beneficiaries. There are 7 grants completed but not closed and 6 active grants.

Challenges during the period: Delay in the implementation of Quality Standards for the Chouf Biosphere Reserve rural tourism network. The delay was caused by an overwhelming summer tourism season that took much of the grantee’s time.

Activity Highlights Axis 1 - Marketing: Increase Access to Markets and Increase business linkages: Support promotional and marketing campaign, increase demand for rural tourism and reduce market failure to match supply and demand (because of lack of information). The rural tourism sector in Lebanon continues to attract local and international media attention and during the reporting period, the LIVCD project’s activities were reported in multiple media outlets. In August, one of the leading news agencies in the Arab World, Al Jazeera, wrote about LIVCD’s contribution to rural tourism in the Beqaa region: how LIVCD has created a food tourism project called Darb el-Karam in collaboration with the Food Heritage Foundation, a Beirut-based NGO. The food trail extends from the Higher Chouf area to the West Beqaa region. During the past years, many tourists have refrained from visiting the Beqaa due to the worsened security situation. The food tourism project has supported 23 hosts and farmers who welcome visitors and offer them a taste of the region and traditional food. Since its launch in July, the food trail has welcomed 10 groups of tourists, mainly Lebanese citizens interested in rediscovering their culinary heritage. A number of travel agencies have also expressed interest in working with the Food Heritage Foundation. This might also boost the number of international visitors. http://www.aljazeera.com/news/2015/08/enticing-tourists-lebanon-bekaa-valley- 150805104124159.html

LIVCD finalized the Rashaya Al Wadi website (www.rashaya.org). The website aims at promoting the municipalities and villages of Rashaya Al Wadi Caza as a rural tourism destination. It was developed in consultation with the Rashaya Festival Committee and the Union of Municipalities of Jabal Al Cheik and Rashaya Qalaat Al-Istiqlal. There is great potential for the development of rural tourism in Rashaya, as it is one of the most beautiful areas that include mountain trails and it is home to several Roman temples and religious attractions. Rashaya also has rich living cultural heritages including food and handicrafts.

36

The Rashaya website supported by LIVCD

Activity Highlights Axis 2 - Linkages: Increase Business Linkages: Create synergies within the rural tourism value chain to aggregate rural tourism services/products and link in small actors. Another significant event took place in August: the launching of the Rural Tourism Strategy for the Caza of Aley for discussion and public review. The event took place on August 13, 2015 in Aley. The strategy was developed by LIVCD and For Development Company in cooperation with DELTA Association for the Development of Aley. The conference took place in the presence of one of Aley’s Members of Parliament. Additionally, there were representatives of the Minister of Tourism and the Minister of Agriculture and rural tourism stakeholders in the Aley Caza. This strategy is part of the National Strategy for Rural Tourism, which was adopted in February 2015 by the Ministry of Tourism and the Lebanese Government. During the conference, LIVCD, For Development Company and DELTA Association explained the process behind the strategy’s development.

Aley rural tourism stakeholders attending discussions for the strategy

37

LIVCD representative introducing the project and the purpose of the strategy

Activity Highlights Axis 3 - Capacity: Upgrade local actors and increase the quality and quantity of products and services. During July, LIVCD, in collaboration with ANERA, conducted two training sessions; the first in the village of Deir El-Ahmar (Beqaa) and the second in the Shouf area. The first session targeted restaurants in Deir el Ahmar and surrounding villages to discuss food safety and hygiene issues. The second session was conducted for employees and managers of guesthouses, who were trained on kitchen hygiene and food safety.

] Session on food safety and hygiene in restaurants

During August, the project’s team carried out a monitoring and evaluation (M&E) visit to the HEY Hostel Facility in Ramlieh, located in the Aley region. LIVCD has supported the facility to increase its activities by installing a climbing and rappelling tower. LIVCD also supported HEY in developing marketing and visibility materials. The aim of the M&E visit was to follow up on the installation of the climbing tower and the marketing material. LIVCD also supported the installation of information signs. Thanks to LIVCD’s intervention in Ramlieh, the local community and experts in the field are expecting more visitors to the facility and to the area.

38

Signs for the HEY Hostel facility in Ramlieh and the Tree trail A copy of the Ramlieh eco-tourism map with the USAID logo

The climbing and rappelling tower at the HEY Hostel in Ramlieh

As part of the Hadath el Jebbeh grant that focuses on "increasing the competitiveness of rural tourism in Hadath el Jebbeh”, LIVCD facilitated the initiation of the newly created hiking trails. LIVCD’s intervention in Hadath el Jebbeh has led to a significant increase in tourists visiting the area.

Y3 Q4 Rural Tourism Training Provision

# of Date Location Training Title Trainers Participants Introductory Training on 7/1/2015 Warhanieh Lama Mikati 11 Tourism Asset Evaluation Marketing and Marketing Jad Abou 7/3/2015 Niha Chouf 2 Tools Arrage 39

Strategic Planning for the Jawad Bou 7/18/2015 Ramliyeh 18 Development of Agriculture Ghanem Introductory Training on 7/29/2015 Khraybeh Lama Mikati 11 Tourism Asset Evaluation Introductory Training on 7/30/2015 Damour Networking and Evaluation of Lama Tawk 6 Assets Training of Restaurants on Karim Al- 7/30/2015 Deir el Ahmar 18 Food Safety Taweel Food Safety and Kitchen Karim Al- 8/1/2015 Khraybeh 2 Hygiene Taweel Introductory Training on 8/1/2015 Damour Lama Mikati 6 Tourism Asset Evaluation Food Safety and Kitchen Karim Al- 8/6/2015 Maasser el Chouf 2 Hygiene Taweel Food Safety and Kitchen Karim Al- 8/11/2015 Benteial 30 Hygiene Taweel Training of Restaurants on Karim Al- 8/18/2015 Barouk - Freydiss 14 Food Safety Taweel 8/21/2015 Beirut Website Development Rana Zeidan 4

8/24/2015 Aytanit Website Development Rana Zeidan 6 Marketing and Marketing Jad Abou 8/24/2015 Rachaya 1 Tools Arrage 8/25/2015 Douma Website Development Rana Zeidan 4 Marketing and Marketing Karim Al- 8/25/2015 Baabdat 1 Tools Taweel Food Safety and Kitchen Karim Al- 8/25/2015 Baabdat 1 Hygiene Taweel 8/26/2015 Maasser el Chouf Website Development Rana Zeidan 13

8/27/2015 Jbeil Website Development Rana Zeidan 6 Marketing and Marketing Jad Abou 8/27/2015 Tripoli 1 Tools Arrage 8/27/2015 Niha Chouf Website Development Rana Zeidan 1 Food Safety and Kitchen Karim Al- 8/27/2015 Niha Chouf 1 Hygiene Taweel 8/28/2015 Beirut Website Development Rana Zeidan 4 Food Safety and Kitchen Karim Al- 9/3/2015 Kfardebiane 2 Hygiene Taweel 9/3/2015 Kfardebiane Website Development Rana Zeidan 1 Warhanieh Training on visiting 9/4/2015 businesses and handling of Rola Jabour 9 database records Warhanieh Training on Marketing and 9/5/2015 Bana Al Samra 9 Project Planning Training on Hospitality Albert 9/13/2015 Ehmej 13 Services Management Moukhaiher 9/15/2015 Tannourine Website Development Rana Zeidan 1 Training of Restaurants on Karim Al- 9/15/2015 Tannourine 17 Food Safety Taweel TOTAL 215

Y3 Q4 Active and Recently Closed Grants (Rural Tourism):

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD 40

Establishing a food trail in the American G-LIVCD - Completed - Higher Shouf and West Beqaa University of 23,671 73,931 029 Not Closed regions Beirut G-LIVCD - Upgrading the rural tourism Hadath El Jebbe Completed - 25,000 70,386 040 network in Hadath El-Jebbeh Association Not Closed G-LIVCD - Upgrading the rural tourism Hadath El Jebbe Completed - 6,420 37,106 041 network in Hadath El-Jebbeh Association Not Closed G-LIVCD - Travel Lebanon Show 2nd Hospitality Completed - 46,870 94,030 069 Edition Services Not Closed Increasing the competitiveness Association Youth G-LIVCD - Completed - of the Ramlieh rural tourism Hostels and 12,470 40,696 071 Not Closed facility Environment Increasing the competitiveness Association Youth G-LIVCD - Completed - of the Ramlieh rural tourism Hostels and 2,400 10,500 072 Not Closed facility Environment Increase competitiveness of G-LIVCD - Al-Shouf Cedar the Shouf Biosphere Reserve Active Grant 24,200 96,200 076 Society (SBR) rural tourism network Increase competitiveness of G-LIVCD - Al-Shouf Cedar the Shouf Biosphere Reserve Active Grant 8,109 29,020 077 Society (SBR) rural tourism network G-LIVCD - Travel Lebanon Show 2nd Hospitality Completed - 15,640 29,640 078 Edition Services Not Closed Rock Climbing G-LIVCD - Rock climbing for rural Association for Active Grant 45,138 144,811 082 development in Tannourine Development Promoting local economies American G-LIVCD - through community local University of Active Grant 17,294 47,846 095 tourism Beirut Ehmej G-LIVCD - Upgrading the Ehmej Park Development Active Grant 62,175 175,375 097 Facilities Association Ehmej G-LIVCD - Upgrading the Ehmej Park Development Active Grant 9,150 32,200 098 Facilities Association

PROCESSED FOODS

Summary: The processed food team implemented two trainings for 25 beneficiaries in this period. There are seven active grants and one completed and not closed.

Challenges: LIVCD has faced a number of challenges during the reporting period: - Convincing farmers and cooperatives to replace the traditional way of freekeh processing with new technology. - Reducing the cost of freekeh production to compete with imported freekeh. - Identifying processors’ needs in term of quality and price of freekeh. - Reducing the time of cooking freekeh by doing trials on parboiled freekeh.

Axis 1 - Marketing: Support Food Processors and Cooperatives to Identify and Access Market Opportunities to Enter New Markets and Expand Sales in Existing Ones

The processed food team was quite busy during the reporting period. LIVCD participated in “Made in Beqaa”, an exposition organized by the Chamber of Commerce, Industry and Agriculture of Zahle. The exposition took place over three days on September 4, 5 and 6 in Zahle (Beqaa). The purpose of the exposition was to offer citizens, industrialists, and entrepreneurs the opportunity to get to know the different products manufactured in the Beqaa and to offer the chance for participants to open up towards national and international markets. The LIVCD project had a large exhibition area. Four processed food cooperatives, supported by LIVCD, participated: Mhaidseh, Wadi el Taim, Hariss and Ain Ebel. Additionally, one beekeeping cooperative from the Beqaa participated. More than twenty processed food products were offered, namely juices, molasses, 41

jams, cereal derivate, and honey. LIVCD’s partners managed to sell products worth approximately .

The LIVCD stand at the entrance of the “Made in Beqaa” exhibition

The LIVCD team next to its stand

People buying products from the LIVCD stand

42

Axis 2 - Aggregation & Processing: Support Processors and Cooperatives in Process and Product Development

With the support of LIVCD and as part of a grant agreement with Adonis Valley, a women’s cooperative in Arsal (located in northern Beqaa) is now using the blue plastic boxes, trolley, and the sun drying wooden frames provided to them with the support of LIVCD. According to the cooperative members and Adonis Valley, there is no doubt that this equipment will increase their production of sun dried tomatoes by at least 15%. The cooperative’s sun dried tomatoes are in high demand in restaurants in Beirut as a result of Adonis Valley’s marketing. Every year, Adonis Valley transforms around 28 tons of organic tomatoes into sun dried ones in the village of Arsal. Despite the delicate security and political situation, Adonis Valley is proving that positive and sustainable work can take place in Arsal.

Women preparing sundried tomatoes for Adonis Valley

Sundried tomatoes being prepared in Arsal

Axis 3 - Production: Assist Lebanese Food Processors Including Cooperatives to Increase Efficiency and Meet Food Safety Requirements

43

LIVCD implemented two trainings to increase the efficiency and skills of farmers: on Good Manufacturing Practices and on Jam manufacturing. The team continued to provide technical assistance to partners through field visits.

Y3 Q4 Processed Foods Training Provision

# of Date Location Training Title Trainers Participants Training session on Good 8/19/2015 Hariss Manufacturing Practices at Al Imad Fadi Fayad 15 Coop– Hariss Village Training on Jam Manufacturing 9/18/2015 Hariss Fadi Fayad 10

TOTAL 25

Y3 Q4 Active and Recently Closed Grants (Processed Foods):

Grantee Total Grant Grant Grant Title Grantee Contribution Budget Number Status USD USD G-LIVCD Support to Jana el Ayadi Active Jana el Ayadi 10,660 42,160 -028 Food Processing Coop Grant Completed G- Upgrading the Caritas - Not LIVCD- Food Processing Facility Caritas Lebanon 22,927 86,927 Closed 033 in Deir Al Ahmar Out Societe Natural Apple & Grape G-LIVCD Libanaise de Active Vinegar consumer 41,310 82,920 -043 Boissons Grant awareness campaign (Machaalany) Increasing Production G-LIVCD Active Capacity and Expanding Lebanese mezze 17,548 34,512 -064 Grant Sales of Lebanese Mezze Increasing Production G-LIVCD Active Capacity and Expanding Lebanese mezze 56,381 113,059 -065 Grant Sales of Lebanese Mezze The Ag. Coop Upgrading the line of Asso for G-LIVCD Active production of carob Production and 11,000 44,090 -067 Grant molasses at Ein Ebel Processing in Ein Ebel Societe Introducing New G-LIVCD Libanaise de Active Technology for Automated 65,316 105,316 -068 Boissons Grant Cucumber Sorting (Machaalany) Support to Coop “Al Imad” G-LIVCD Hariss Coop for Active for processing of ag 23,494 94,764 -081 Food Processing Grant products in Hariss

44

3. CROSS CUTTING ELEMENTS & SPECIAL THEMES

ACCESS TO FINANCE

During the reporting period, LIVCD assisted 113 farmers and MSMEs to access finance through trainings, workshops, PPPs, and applying for loans. Three feasibility studies were completed and were used to apply for bank loans. The feasibility study is a main prerequisite to apply for a loan and to convince banks of the viability of the investment. As a consequence, farmers managed to apply for loans thanks to LIVCD support. In addition, LIVCD developed a feasibility study to assess the potential of introducing a high density apple farming technique by comparing the returns per dunam achieved with those of the standard apple farming method. During this quarter, LIVCD assisted three MSMEs in the loan application process and in negotiations with banks. The loan requests consisted mainly of obtaining funding to expand existing business and upgrade orchards. Regular meetings are held with financial institutions to keep LIVCD and farmers updated on the financing sources available – especially with BLC Bank and Kafalat.

MARKETING (MARKETING INTELLIGENCE & PROMOTION)

LIVCD provides specific marketing support to actors in the target value chains. This includes providing marketing intelligence support to identify market opportunities and requirements and then developing specific market strategies. LIVCD is developing assistance to several partners to upgrade packaging and branding; support promotional efforts - partners to attend and benefit from exhibitions and trade fairs; promotional materials; and promotional campaigns including joint product promotion. Here are the main activities that took place during this period:

LIVCD has been supporting several partners in developing their marketing skills to be able to promote themselves and improve their businesses. One of LIVCD’s partners, Lebanese Mezze, has been focusing on improving its sales and management skills. Lebanese Mezze is a family owned business that promotes healthy Lebanese food. The company has already made significant progress in that sector and with the support of LIVCD, is focusing on expanding its market. Lebanese Mezze is currently improving its production through the introduction of new technologies and increasing its brand recognition. As a consequence, the company made important changes in its sales structure. Recently, the company has managed to enter the market of Qatar.

The different products of Lebanese Mezze mentioned on their Facebook page

45

Lebanese Mezze products on display at Spinneys supermarket in Doha, Qatar

The LIVCD project was featured in Marc Beyrouthy’s MTV 'Nature' show which covered the topic of the pome fruit value chain in two consecutive episodes, on September 12 and September 15. The show discussed the training program, focusing on the innovations brought by LIVCD experts to farmers, including trellis cultivation, good agriculture practices through demo plots, and results to date in the value chain. The show featured slides containing figures on the apples value chain and the USAID/LIVCD assistance to farmers, and some video footage from field training, and pictures of demo plots and activities implemented across the country.

Part 1 on apples - September 12: http://mtv.com.lb/Programs/Nature/2015/Videos/%D9%85%D8%B4%D8%B1%D9%88%D8%B9_ %D9%84%D8%AF%D8%B9%D9%85_%D8%A7%D9%84%D8%AA%D9%81%D8%A7%D8%AD _%D8%A7%D9%84%D8%A8%D9%86%D8%A7%D9%86%D9%8A_ Part 2 on apples - September 15: http://mtv.com.lb/Programs/Nature/2015/videos/15_Sep_2015

LIVCD is also supporting the Union of Jezzine Municipalities to promote the Jezzine region located in rural Lebanon Mountains. A promotional campaign took place in malls in Beirut and Saida during the month of July. The objective was to encourage people to visit the region, as well as to promote products from the region, benefiting local producers. LIVCD supported the design and production of two promotional stands, each covering a surface of 2 by 2 meters. The stands were branded with USAID and the Union of Jezzine Municipalities logos on the back wall. The event also included the projection of a 16 minute video developed with LIVCD support, presenting points of interest in Jezzine.

46

The invitation to visit the Jezzine stand

The USAID supported Jezzine stand at the ABC mall

Passersby posing for a photo at the Jezzine stand to promote the area

INSTITUTIONAL CAPACITY BUILDING

Under the capacity building component, LIVCD successfully concluded its Institutional Capacity Building Program which aimed to assist NGOs, firms, associations, and other organizations to build and develop their capacities in proposal writing, fundraising, and managing projects. LIVCD implemented the program with the support of the American Lebanese Language Center. The latter provided a comprehensive and detailed curriculum to 20 institutions, identified by LIVCD. The 20 47

institutions represent all the value chains that LIVCD focuses on, come from different regions of Lebanon, and had 64 participants take part in the program. Each of the 20 institutions completed a self-assessment to identify expertise they can improve. The three skills were proposal writing, project implementation, and project management. As a consequence, the American Lebanese Language Center provided tailored capacity building courses to each institution.

The LIVCD project ended its latest series of workshops on Institutional Capacity Building program. The closeout ceremony took place in Beirut and was attended by the LIVCD team, the different trainers, and representatives of 15 institutions (out of the 20 which were part of the program). The closing ceremony focused on sharing the achievements of the program and discussed what LIVCD and the American Lebanese Language Center can provide in the future.

Participants attending the closing ceremony of the Institutional Capacity Building Program

The American Lebanese Language Center trainer presenting the program and its highlights

48

Attendees assessing the program and their experiences

A photo gathering all participants and their certificates

Under the Institutional Capacity Program, LIVCD continued to implement a grant with Atayeb Al Rif Cooperative for “Finding Solutions for Legal & Commercial Setbacks in Cooperatives”, a project targeting 40 cooperatives and MSMEs across Lebanon. The project’s aim is for cooperatives to achieve economic, legal, and commercial reforms. During that quarter, LIVCD helped achieved the following • Implemented 31 training sessions • Follow up sessions with the cooperatives and MSMEs to make sure that they are benefiting from the information provided and adapting it • Continuous assessment to additional cooperatives and MSMEs to be included in the training program • Working on the content for the guideline reference book

WATER & ENVIRONMENT

LIVCD helps actors in the target value chains to tackle the specific issues related to water and environmental conditions in Lebanon, including drought. LIVCD’s approach to water & environment is to:

49

• Identify the best or new and improved crop, soil and water management practices for improved fruit trees productivity under current conditions in Lebanon, and demonstrating these best/new and improved practices to farmers through training programs in established demo plots; • Support water and energy efficient practices in food processing and post-harvest operations; and • Promote Participatory Water Management (PWM) in selected agricultural/rural communities.

Achievements during the reporting period in water & environment activities include: LIVCD provided class and field trainings on proper irrigation management practices to avoid water stress, which may result in significant yield losses. During this quarter, LIVCD conducted a series of trainings on “Irrigation Systems & Water Monitoring” for apple, cherry, and table grapes farmers. The trainings were conducted throughout the growing season from July through September in different agro-zones (Beqaa, North, South, and Mount Lebanon.). The trainings focused on the importance of knowing the soil’s water need in order to: manage soil moisture, promote high crop yields, optimize and sustain the use of available water supplies and nutrients, manage salts in the crop route zones, minimize irrigation losses, and decrease the source of pollution of surface and groundwater resources.

LIVCD technical staff and invited experts in the field of water talked about water management and irrigation systems in apple and cherry fields. They focused on how to design a proper irrigation scheme, from source to dripper, with emphasis on efficient operation and maintenance. In addition, experts showed farmers in selected demonstration plots in Ainata (Bekaa), Jbaa (South), Fneidek and Qubayat (North) and Sannine and Akoura (Mount Lebanon) how to plan and design an irrigation system for a specific land after testing soil texture and structure and how to determine all factors which affect water pressure in order to identify tubes’ diameter (main and laterals) and the pump efficiency. Moreover, farmers were trained on irrigation scheduling and monitoring for improved tree productivity, with emphasis on apple, cherry, and table grapes, taking into consideration LIVCD’s suggestions regarding soil and water management practices for improved fruit trees orchards.

50

LIVCD trainings related to water management and irrigation

GENDER CONSIDERATIONS

The LIVCD approach to upgrading the target value chains includes considerations of specific gender issues facing actors in the value chains. An initial gender assessment conducted by LIVCD identified key constraints and opportunities for women’s participation in the rural economy, and LIVCD takes these into consideration in designing all new assistance, including training, ways to encourage and facilitate the participation of women and helping them access assets and taking more active roles in decision-making and leadership in cooperatives in the rural sector. LIVCD’s achievements in this area include: LIVCD has consistently been successful in ensuring that at least 10% of participants in LIVCD assistance are women. In the design of new interventions and trainings, Value Chain Leaders take into consideration how women’s participation can be facilitated to impact their access to productive assets, decision-making and leadership. During this quarter, LIVCD successfully engaged women from rural cooperatives in events around Lebanon, including the “Made in Beqaa” Exhibition; engaged women in training (for example, training female beekeepers under the LIVCD Beekeeper Training Program), and supported them in applying new technology (for example, as part of the Olives Mechanical Harvesting Program). An increasing number of women’s cooperatives are submitting Expressions of Interests to benefit from LIVCD grants.

51

ANNEX 1: INDICATOR PERFORMANCE TRACKING TABLE

(See attachment)

52

ANNEX II: LIVCD GRANTS TO DATE

(See attachment)

53

54