FAO/GLOBAL ENVIRONMENT FACILITY PROJECT DOCUMENT FAO/ PROJECTPROJECT DOCUMENT TITLE: Securing the Future of Global Agriculture in the face of climate change by conserving the Genetic Diversity of the Traditional Agroecosystems of Mexico PROJECT CODE: GCP/MEX305/GFF COUNTRY: MEXICO FINANCING PARTNER: GEF Trust Fund FAO Project ID: 640631 GEF/LDCF/SCCF Project ID: 9380 EXECUTING PARTNERS: National Commission for the Knowledge and Use of Biodiversity (CONABIO) Expected EOD (Starting Date): May 2018 Expected NTE (End Date): April 2023 CONTRIBUTION TO a. Strategic Objective/Organizational Result: Indicators of Outcomes FAO’s STRATEGIC OUTCOME 2.1: Producers and natural resource managers adopt practices FRAMEWORK: that increase and improve agricultural sector production in a sustainable manner. OUTCOME 2.2 Stakeholders in member countries strengthen governance – the policies, laws, management frameworks and institutions that are needed to support producers and resource managers –in the transition to sustainable agricultural sector production systems. OUTCOME 4.2 Agribusinesses and agrifood chains that are more inclusive and efficient are developed and implemented by the public and private sectors. b. OUTCOMES 5.3 Countries reduce risks and vulnerability at household and community level. b. Regional Result/Priority Areas: RI3 “Sustainable use of Natural Resources, Climate Change Adaptation and Disaster Risk Management” c. Country Programming Framework Outcome: GEF/LDCF/SCCF Focal Area: Biodiversity 1 GEF/LDCF/SCCF strategic objectives: Programme 7, Objective 3 of the GEF Biodiversity Focal Area: Securing Agriculture’s Future: Sustainable Use of Plant and Animal Genetic Resources Environmental and social risk classification (insert √): Low risk √ Moderate risk High risk Financing Plan: GEF/LDCF/SCCF allocation: USD 5,329,452 Co-financing: CONABIO USD 4,812,629 SAGARPA USD 4,166,667 CDI USD 1,944,444 SEMARNAT USD 1,688,200 SEDESOL USD 1,500,000 INAES USD 1,500,000 SEDUMA (YUCATAN) USD 6,000,000 AZP (MEXICO CITY) USD 5,700,000 INIFAP USD 565,745 IDESMAC USD 1,875,000 SEMA (COAHUILA) USD 228,050 INCMNSZ USD 6,004,444 FA0 USD 200,000 Sub-total cofinancing: USD 36,185,188 Total Budget: USD 41,514,640 Executive Summary The aim of this project is to build and strengthen mechanisms that help to conserve agroecosystems where traditional agriculture is practiced in Mexico, a country that is the centre of origin and diversity of more than 130 plant species important to agriculture. These agroecosystems contain wild and domesticated species adapted to a host of agroecological conditions. Here, several processes are carried out with human invention, allowing the species to evolve in response to decisions taken over selection, management and utilization as well as in response to environmental conditions. Traditional agriculture is therefore the driving force behind the evolution of species that are already domesticated or due for domestication in Mexico (together with other natural forces affecting their wild relatives). It is necessary to protect, showcase and enhance the potential service that this offers to the future of agriculture through the various strategies presented in this project. The unavoidable consequence of the loss of these genetic resources is that many sources of the traits that could be used to develop the resilient and nutritious crop varieties needed to feed an over-increasing population in the face of climate change are going extinct. This type of agroecosystem and the associated agrobiodiversity are threatened by several factors such as climate change, the expansion of monoculture-based production systems, changing social dynamics in rural areas that undermine the survival of knowledge and traditional farming practices, existence of perverse incentives, lack of care and coordination in interinstitutional conservation efforts, lack of systematized scientific information on the subject as well as failure to appreciate the value of these systems and the use of the agrobiodiversity they harbour. 2 The project objective is to develop policies and mechanisms that support agrobiodiversity conservation, sustainable use and resilience, by promoting the knowledge of traditional agro- ecosystems and the cultural methods that maintain that agrobiodiversity in Mexico. However, this project is not meant to address the comparative differences between traditional and large-scale intensive and monocrop production systems. The project will be implemented through 4 components: Component 1: Information and knowledge management; Component 2: Strengthening of local capacities; Component 3: Improvement of public policies; and Component 4: Valuation of agrobiodiversity and market linkages. Each component has one expected outcome: Outcome 1.1 Comprehensive knowledge about globally-important agrobiodiversity, its values, the traditional practices, the scientific and technological research and development activities, associated knowledge base and capacities that maintain the diversity in Mexico, has been generated, communicated and made available for its use: Indicators: i) N° of existing data bases for agroBD species converted / transformed according to a Comprehensive Agrobiodiversity Information System (SIAgroBD) (Baseline: 0, Target: 12 databases included in the Information System; ii) N° of analysis and synthesis based on the SIAgroBD and on results of research projects to guide decision making (Baseline 0, Target: 3 analysis and synthesis published); iii) Increased level of awareness of the economic and cultural values of agroBD among key stakeholders. Outcome 2.1 Local capacities have been strengthened to support long-term plans and actions for agroBD conservation and sustainable use, to develop strategies for revaluating traditional knowledge, and to support continuous adaptation to climate change. Indicators: i) Area in hectares where the knowledge, practices and/or management derived from capacity-building projects for agroBD conservation are applied (Baseline: 604 has, Target: 2,180 has); ii) Number of producers having received different benefits for conserving and sustainably using agroBD (Baseline: 2,268; Target: 4,100); iii) Number of globally significant species (cultivated and wild) maintained (Baseline: 168 species, Taregt: the number is maintained). Outcome 3.1 The protection and promotion of traditional knowledge, practices and production systems have been mainstreamed into public policies and planning, generating effective partnerships with the communities, and disseminating values associated with agroBD and local cultures. Indicators: No of plans and programmes (National Development Plan, 4 sectoral programmes and 9 budget programmes) incorporating agroBD (Baseline 0, 0, 2, Target: 1, 4, 9). Outcome 4.1 The marketing and consumption of agroBD products have been enhanced through new strategies of agroBD valuation and market incentives, with a short value chain approach. Indicator 1: Strategy for agroBD product promotion and marketing campaigns designed and implemented (Baseline: 0, Target: 1 strategy). Indicator 2: Accessibility of agroBD products to local and regional markets, measured through a compound index of 7 indicators of marketing facilities (Baseline: 2, Target: 58). The project will work at different scales - national, regional, local. Component 1 and 3 consider both a national and regional/local scale implementation. Components 2 and 4 will be implemented at regional/local levels. The selected states are: Chiapas, Chihuahua, Mexico City, Michoacán, Oaxaca, and Yucatán, as well as a twinned project in Coahuila State, which will work on native walnut resources Juglans spp. The project focuses on 12 types of native crops in their centre of origin. Their genetic diversity (present in local strains and varieties managed in traditional crop systems as well as in the wild relatives of those crops) is mainly expressed within Mexico but has not, in the main, been properly described and studied. 3 With regard to Project funding, the GEF will donate USD 5,329,452 and various national and international bodies will contribute with a cofinancing of approximately USD 36 million. 4 Table of Contents Acronyms 7 1 SECTION 1 – PROJECT RATIONALE 10 1.1 PROJECT CONTEXT 10 1.2 THE CURRENT SITUATION 19 1.3 THE GEF ALTERNATIVE 39 1.4 LESSONS LEARNED 64 1.5 STRATEGIC ALIGNMENT 66 2 SECTION 2 – FEASIBILITY 70 2.1 ENVIRONMENTAL & SOCIAL STANDARS – Appendix 5 70 2.2 RISK MANAGEMENT – Appendix 4 Risk Matrix 82 2.3 ANALYSIS OF FIDUCIARY RISKS AND MITIGATION MEASURES 84 3 SECTION 3 – IMPLEMENTATION AND MANAGEMENT ARRANGEMENTS 86 3.1 INSTITUTIONAL ARRANGEMENTS 87 3.2 IMPLEMENTATION ARRANGEMENTS 89 3.3 PLANNING AND FINANCIAL MANAGEMENT 96 3.4 PROCUREMENT 105 3.5 MONITORING AND REPORTING 106 3.6 EVALUATION PROVISIONS 112 3.7 COMMUNICATION AND VISIBILITY 112 4 SECTION 4 – SUSTAINABILITY OF RESULTS 114 4.1 SOCIAL SUSTAINABILITY 114 4.2 ENVIRONMENTAL SUSTAINABILITY 116 4.3 FINANCIAL AND ECONOMIC SUSTAINABILITY 116 4.4 SUSTAINABILITY OF CAPACITY DEVELOPMENT 116 4.5 APPROPRIATENESS OF TECHNOLOGIES INTRODUCED and 117 COST/EFFECTIVENESS (Technologies) 4.6 INNOVATIVENESS, REPLICATION and SCALE-UP 117 APPENDICES App. 1 RESULTS FRAMEWORK 119 App. 2 WORK PLAN 131 App. 3 PROJECT BUDGET 146 5 App. 4 RISK MATRIX1 147 App. 5 ENVIRONMENTAL AND SOCIAL ASSESSMENT 151 App. 6 TRACKING TOOLS 152 App. 7 TERMS OF REFERENCE (Draft for PCU personnel)2 153 App. 8 DESCRIPTIVE FACTSHEETS OF PROJECT INTERVENTION AREAS 174 App. 9 DESCRIPTIVE FACTSHEETS OF THE CROPS AND SPECIES