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First Aliade's Integrated Development Pole In FIRST ALIADE’S INTEGRATED DEVELOPMENT POLE IN DOMINICAN REPUBLIC OASIS DOÑA ISABEL POLE Index 1. EXECUTIVE SUMMARY 1.1.The problem that gives rise to The Project: Rural depopulation. 1.2. The project’s value proposition. 2.The leading actors of The Project. 3.Justification for ALIADE’S action in The Project. 4. ALIADE’S developments model 4.1. General Introduction of ALIADE. 4.2. SIESCO System of ALIADE. 4.3. Detail of the four members of the System.. 4.4. ALIADE’s Programmes. 5. AgroFamily’s Programme. 6. Dominican Republic AgroFamily Cacao 7. The first Integral Development Pole: Oasis Doña Isabel 8. Oasis Doña Isabel 9. Main parameters for structuring 10. The management team 11. The consequences for the territory and its inhabitants 1. EXECUTIVE SUMMARY 1.1. The problem that gives rise to The Project: Rural depopulation. The abandonment of the countryside and rural depopulation resulting from the move of the population to the city, due to lack of opportunities and a Sustainable Life Project in rural areas, are creating an increasingly serious problem, but they are also giving rise to a new social awareness in search of formulas for improving living conditions in that environment. Rural emigration to the cities often leads to human overcrowding, promiscuity, crime, lack of services, lack of opportunity and, ultimately, an increasing new type of poverty that is degrading and enveloping more and more the inhabitants. That is why it is necessary and urgent to emerge new opportunities for young people and, in this way, to revive the appetite of the population for staying in their land, with new reasons for rooting in rural areas. Several factors are involved: o Lack of professional agricultural training o The ignorance of new technologies o The Small-scale farming of the property, which reduces the dimensions of the farms to impossible surfaces to achieve productions with sufficient entity for their self-commercialization o Lack of funding o The excessive cost of supplies and insurance, as well as their unavailability o The intermediation chain’s abusive practices in the sale of products o The lack of quality infrastructure and living conditions, in general, that can compete with the city in health services, education, commerce or housing, and the consequent small income that, in many cases, ultimately lead to a lack of manpower and a difficulty in the modernization and creation of technical infrastructures and crops. Policies for rural development have traditionally proved insufficient and, as a result, have increased the gradual abandonment of the countryside and the loss of opportunities in this realm of life. All specialists agree that any solution requires: o To train and professionalize producers o Securing the market from the start of production o Investing in new technologies for cost reduction and increased production o Achieve funding for supplies and modernization o Improve living conditions and opportunities for young people ALIADE, as a specialist in Regional Ethical Development with Social Integration, has designed a specific rural development program with an axis in the Agroindustry that it has been named “AgroFamily”, which is set out in the following points of this document. 1.2. The project’s value proposition This Document contains the proposal for the creation of the First Integrated Development Pole in the Dominican Republic. The first project, contained in this document, is intended to be the pilot of one of the projects in the Dominican Republic for the application of ALIADE’s Integrated Development methodology. It is the production of the Model Farm “Oasis Doña Isabel” located in Pulgarín (Bayaguana), Province of Monte Plata, as the main physical base of the “Investment Project for the Development Oasis Doña Isabel”, hereinafter “The Project”, which is explained widely in the pages that follow. 2. THE LEADING ACTORS OF THE PROJECT ALIADE GLOBAL CORPORATION is a Limited Liability Company, created in Madrid (Spain) and head of a business group whose social object is based on the Regional Ethical Development with Social Integration of urban and rural populations, in developing countries. This object is carried out by implementing Programs, Products and Services that promote the development of populations through the design, implementation and fulfillment of a “Project of Life” adapted to the situation and circumstances of the families included in them. ALIADE GLOBAL CORPORATION has permanent establishment in the Dominican Republic, not acting directly in the different projects, for obvious reasons of specialization and adequate technical structuring. But it is the entity from which arise all the projects designed to suit her corporate purpose; and remains, therefore, as the owner of the physical, intellectual and technological assets of the Group of Companies on which all the activity to be carried out through the aforementioned Programs, Products and Services that the ALIADE entities design in each country is structured. ALIADE CONSORTIUM S.A.S. is a 99% owned subsidiary by the parent company of the Group of Companies, ALIADE Consortium S.A.S. is the entity that concentrates all the economic development activity of the business Group in the Dominican Republic. It is therefore the executor of all the Programs, Products and Services that the Corporation implements in the country. For this reason, it turns out to be the long-term beneficial owner of the Model Farm Oasis Doña Isabel with the aim of executing an AgroFamily Program specifically designed in this regard. For this purpose, and for the Project’s operation, a specialized entity of specific purpose (SPV), OASIS DONA ISABEL S.R.L. has been created. In Summary: ALIADE GLOBAL CORPORATION is the Owner the Model Farm Oasis Doña Isabel. ALIADE CONSORTIUM, S.A.S. is the Long-term beneficial owner of the Oasis OASIS DONA ISABEL, S.R.L. is the Project Development Operator of the Model Farm. The fundamental object of this structure, beyond the organizational, is specialization. Each entity that acts into the “Oasis Doña Isabel Development Pole” will be a specialist in its field of action to act very specifically in the aforementioned development of the different Projects to be implemented in the Model Farm, as the parts that make up the AgroFamily Program designed to this regard. From this we get a higher yield from the earth, derived from: • Specific specialized methodologies for each action within the Project. • Successful allocation of agro/stockbreeding/industrial/services activities, depending on the capacity of the land to support them and the proven demand for future production, as well as peripheral opportunities. • Knowledge of the needs and specificities of the domestic and international production, markets and transport/logistics of the products. • Application of Intellectual Property of the Corporation, own or incorporated with specialized allies for this purpose, to improve production. For example, high- performance organic inputs, production of organic fertilizer varieties at Oasis Doña Isabel, monitoring systems, etc. To meet these specialization objectives, the Project also involves other companies or entities of the Group or related to it, as is the case of ALIADE FOOD S.A.S. ALIADE FOOD S.A.S. is created in the Dominican Republic based in the city of Montecristi and is 99% owned by ALIADE CONSORTIUM S.A.S. Its specialization is the agronomic programming and the marketing of products, as well as the logistics, transport and national and international physical distribution thereof. As such, ALIADE FOOD will establish the production, marketing and final placement strategies of the products at the buyer’s headquarters. On the other hand, the non for profit Solidary Saving Bank and multiple services entity, LA CAS, named “COOPCAS” in the Dominican Republic, is the associative entity that carries out the invaluable work of bringing together families that are incorporated into the Ethical Development and Social Integration Programs offered by ALIADE. In COOPCAS the families, essential protagonists of all the Programs, learn coexistence, are trained, participate, receive products and services to improve their Life Project; and, as a result of all this, they generate the basis to act together in the different Programs of which they are part. Without LA CAS, families who must work in a Program would be dispersed, lacking a common objective and incentive, and it would be impossible to cohesive them socially for the Development Project and its intended effects, becoming a Project of Life in itelfs by each family and for all as a whole. COOPCAS, together with the Public Dominican “Banco AGRÍCOLA” (Agricultural bank), are the co-financiers of the AgroFamily Program. Finally, for the purposes of achieving this cohesion and social integration of the families participating in the Project, the “FAIR DEVELOPMENT FOUNDATION” (FDJ), legally incorporated in the Dominican Republic and whose Main Patron is ALIADE, comes into action. The FDJ draws on 50% of ALIADE’s benefit before tax, without prejudice to other sources of funding such as donations or third-party shares related to the Programs in which it operates. Its objective is to integrate socially the families participating in the Programs. It has specific specialists and methodologies for this purpose. 3. JUSTIFICATION OF ALIADE’S ACTION ON THE PROJECT Once the relationship of entities acting in the Project, and its interrelationships, always focused on the social object of Ethical Economic Development with Social Integration of ALIADE has been stablished, it is possible to explain the reasons that drive these Programs and the vocation that constitutes their Object. ALIADE is a set of private for-profit companies but nuanced by its statutory social vocation described below. ALIADE consists of two groups of development specialists: One dedicated to the development of Human Habitat: Territory Planning, Urbanism, Housing, Equipment, etc. and the Technology. The other is created by experienced specialists of recognized solvency in Regional Development and Infrastructure, dedicated for decades to this activity in many countries around the world.
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