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Evaluation of Rural Sector Cooperation Between Nicaragua and Finland

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Evaluation of Rural Sector Cooperation Between Nicaragua and Finland Evaluation of Rural Sector Cooperation between Nicaragua and Finland Final Evaluation Report for: Integrated Rural Development Programme (PIDR) and Livestock Development Programme (PRODEGA) Authors: Maaria Seppänen Lars Eriksson Benicia Aguilar Kristina Boman Thomas Pijnenburg Impact Consulting Oy Ltd May 2013 INDEX 1 Executive summary ..................................................................................................................................... 6 2 Introduction ................................................................................................................................................ 13 2.1 Organization and background of the mission ....................................................................... 13 2.2 Objectives of the evaluation and topics addressed ............................................................. 15 2.3 The report’s structure .................................................................................................................... 17 3 Description of the Intervention ........................................................................................................... 19 3.1 Background ......................................................................................................................................... 19 3.2 Project formulation.......................................................................................................................... 21 3.3 The three phases of PRODEGA .................................................................................................... 24 3.3.1 PRODEGA I: PIDR 1990-1993 ............................................................................................. 24 3.3.2 Phase II: PRODEGA 1994-1998 .......................................................................................... 28 3.3.3 Phase III of PRODEGA (1999 – 2003) .............................................................................. 30 3.4 Conclusion of the project and subsequent development .................................................. 32 4. Impact of PRODEGA on the Dairy Sector ....................................................................................... 36 4.1 Status of the cooperatives ............................................................................................................. 36 4.2 Situation of the Dairy Sector at the National Level ............................................................. 38 4.2.1 Value chains, their potential and market .................................................................. 38 4.2.2 PRODEGA’s impact on the dairy sector ..................................................................... 39 4.2.3 Probable economic impact ............................................................................................. 41 5. Environmental impact ........................................................................................................................... 45 5.1 Advance of the agricultural frontier .......................................................................................... 45 5.2 PRODEGA environmental activities .......................................................................................... 47 5.3 Assessment of PRODEGA’s impact on environment ........................................................... 49 6. Cross-cutting Objectives: Gender Equality .................................................................................... 53 7. Special Aspects of PRODEGA .......................................................................................................... 56 7.1 Different impact in different contexts ...................................................................................... 56 7.2 Challenges remaining in the diary sector................................................................................ 57 8. Conclusions ........................................................................................................................................... 59 8.1 Relevance and design ...................................................................................................................... 59 8.2 Implementation; continuity, feedback and adaptation ..................................................... 59 8.3 Efficiency and effectiveness ......................................................................................................... 60 8.4 Political changes ............................................................................................................................... 60 8.5 Social capital and trust ................................................................................................................... 60 8.6 Aid for Trade ...................................................................................................................................... 61 8.7 Trickle-down theory ....................................................................................................................... 61 2 8.8 Impact and sustainability .............................................................................................................. 61 9. Recommendations .............................................................................................................................. 62 10. Lessons learned ................................................................................................................................ 64 10.1 Implementation modalities........................................................................................................ 64 10.2 Ex post evaluations ....................................................................................................................... 65 Annexes ............................................................................................................................................................ 66 Annex 1 Consulted documents ........................................................................................................... 66 Annex 2 People interviewed ................................................................................................................ 69 Annex 3 Terms of reference ................................................................................................................ 72 3 ABBREVIATIONS ACO Milk Collection (component of PRODEGA) ALBA Bolivarian Alliance for the Americas ALI Cattle Feeding (component de PRODEGA) APEN Nicaraguan producers and Exporters Association APP People’s Property Areas BCN Central Bank of Nicaragua CAFTA-DR Dominican Republic – Central America Free Trade Agreement CAM Road Maintenance (component of PRODEGA) CANISLAC Nicaraguan Chamber of the Dairy Sector CAP Training and extension (component of PRODEGA) CARUNA National Rural Bank CAS Sandinista Agricultural Cooperatives CDC Peasant Development Centre CENILAC Nicaraguan Dairy Commercial Exporter CEPAL United Nations Economic Commission for Latin America and the Caribbean CONAGAN National Livestock Commission of Nicaragua COOPA Acoyapa Cooperative CTA Chief Technical Advisor (of a project) ECO Agricultural economy (component of PRODEGA) EEUU United States of America ET Evaluation Team FADES Promotion of Social Self-development (Finnish project) FAGANIC Farmer and Rancher Federation of Nicaragua FEM Female Development (component of PRODEGA) FENACOOP National Federation of Agricultural Cooperatives FIN Farm improvement (component of PRODEGA) FINNIDA (formerly) Finnish International Development Agency FNUAP United Nations Fund for Population Matters (UNFPA) FOMEVIDAS Promotion of Sustainable Means of living (Enhancement Programme for Rural Development and Poverty Reduction in Boaco and Chontales) FondeAgro Agricultural Development Fund FUNDE Foundation for Development of Nicaragua GAD Gender and Development GON Government of Nicaragua ha hectare IADB Inter-American Development Bank IDR Rural Development Institute INTA Nicaraguan Institute of Agricultural Technology MFA Finnish Ministry for Foreign Affairs MAG Ministry of Agriculture and Livestock MAGFOR Agricultural and Forestry Ministry MEC Agricultural Mechanisation (component of PRODEGA) MIDINRA Ministry for Agricultural Development and Agricultural Reform MIFIC Ministry of Development, Industry and Commerce MIPYMES Micro, Small and Medium Business MZ Manzana; surface measurement (0.705 hectares) NIFAPRO Nicaragua-Finland Agro-biotechnology Programme NIO Nicaraguan Córdoba (the currency) NITLAPAN Institute for Applied Research and Promotion of Local Development OECD-DAC Organization of Economic Cooperation and Development – Development Assistance Committee 4 ONG Non-Governmental Organization PANIF Environmental Programme Nicaragua-Finland PIDR Integral Rural Development Programme (first phase of PRODEGA) PLC Liberal Constitutional Party PNDR National Rural Development Programme (predecessor to IDR) POP Promotion of Producer Organizations (component of PRODEGA) PRODEGA Rural Livestock Development Project PRODESA Foundation for Promotion and Development PROPEMCE Enhancement of Small Business in Nicaragua through the Development of Existing Value Chains PRORURAL Rural Sector Development Programme QUE Construction of Cheese Processing Plants (component of PRODEGA) REF Reforestation (component of PRODEGA) Sida Swedish International Development Agency UAT Ultra High Temperature UCA Central American University UNAG National Farmers and Ranchers Union UNFPA United Nations Fund for Population
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