Document of The World Bank FOR OFFICIAL USE ONLY Report No: PAD655 Public Disclosure Authorized INTERNATIONAL DEVELOPMENT ASSOCIATION PROJECT APPRAISAL DOCUMENT ON A PROPOSED CREDIT Public Disclosure Authorized IN THE AMOUNT OF SDR 64.6 MILLION (US$100 MILLION EQUIVALENT) TO THE REPUBLIC OF CAMEROON FOR AN AGRICULTURE INVESTMENT AND MARKET DEVELOPMENT PROJECT Public Disclosure Authorized August 29, 2014 Agriculture Global Practice Country Department AFCC1 Africa Region This document has a restricted distribution and may be used by recipients only in the Public Disclosure Authorized performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective April 30, 2014) Currency Unit = CFA Francs SDR 0.64529035 = US$1 FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS AAACP All ACP Agricultural Commodities Program AB Agri-business AIMDP Agricultural Investment and Market Development Project ANEMCAM National Association of Microfinance Institutions APECCAM Association of Commercial Banks ARMP Agence de Régulation des Marchés Publics (Public Procurement Agency) AWPB Annual Work Plan and Budget BCC Behavioral Change Communications BEAC Banque des Etats de l’Afrique Centrale (Central of Central African States) BICEC Banque Internationale du Cameroun pour l’Epargne et le Crédit (International Bank of Cameroon for Savings and Credit) BP Business Plan CAA Caisse Autonome d’Amortissement (National Debt Managememt Agency) CAADP Comprehensive Africa Agricultural Development Program CAMLEASE National Association of Leasing Companies CAS Country Assistance Strategy CEMAC Communauté Economique et Monétaire de l’Afrique Centrale (Economic and Monetary Community of Central Africa) CIG Common Initiative Group CMA Collateral Management Agreement CNOPCAM Conseil National des Organisations de Producteurs du Cameroun (Producer Organizations National Council) COOP-CIGUs Cooperatives/ Common Interest Group Unions COOPEC Savings and Loan Cooperatives CQS Consultants’ Qualifications CSO Civil Society Organization CSR Corporate Social Responsibility CTA Cassava Transformation Agenda DA Designated Account DSCE Document de Stratégie pour la Croissance et l’Emploi (Growth and Employment Strategy) DSDSR Document de Stratégie de Développement du Secteur Rural (Rural Development Strategy) EA Environmental Assessment EIA Environmental Impact Assessment EIRR Economic Internal Rate of Return EMP Environmental Management Plan EOI Expression of Interest ESA Environmental and Social Assessment ii ESIA Environmental and Social Impact Assessment ESMF Environmental and Social Management Framework ESMP Environmental and Social Management Plan FCFA Franc de la Coopération Financière en Afrique Centrale (Franc of the Financial Cooperation in Central Africa) FI Financial Institution FM Financial Management GAC Governance and Anti-Corruption GDP Gross Domestic Product GICAM Groupement Inter-patronal du Cameroun (Cameroon Corporations Network) GIIF Global Index Insurance Program GOC Government of Cameroon GPN General Procurement Notice GRM Grievance Redress Mechanism GWFP Global Warehouse Finance Program Ha Hectare IAP Independent Appraisal Panel ICB International Competitive Bidding IDA International Development Association IEG Independent Evaluation Group IFAD International Fund for Agricultural Development IFC International Finance Corporation IFR Interim Financial Report IITA International Institute for Tropical Agriculture IMF International Monetary Fund IPAP Indigenous People Action Plan IPF Investment Project Financing IPPF Indigenous People Policy Framework IRAD Institut de Recherche Agricole pour le Développement (Agricultural Development and Research Institute) LCS Least-Cost Selection LIB Limited International Bidding LRM Locally Resourced Material LSP Local Service Providers M&E Monitoring and Evaluation MDG Millennium Development Goal MECAM Mouvement des Entrepreneurs du Cameroun (Movement of Entrepreneurs of Cameroon) MFI Micro-Finance Institution MG Matching Grant MINADER Ministère de l’Agriculture et du Développement Rural (Ministry of Agriculture and Rural Development) MINAS Ministère des Affaires Sociales (Ministry of Social Affairs) MINEPAT Ministère de l’Economie, de la Planification et de l’Aménagement du Territoire (Ministry of Economy and Planning) MINEPDED Ministère de l’Environnement, de la Protection de la Nature et du Développement Durable (Ministry of Environment, Protection of Nature and Sustainable Development) MINMAP Ministère des Marchés Publics (Ministry of Public Contracts) MINTP Ministry of Public Works MIS Management Information System MoU Memorandum of Understanding NCB National Competitive Bidding iii NCU National Coordination Unit NGO Non-Governmental Organization NPV Net Present Value OHADA Organization for the Harmonization of Business Law in Africa ORAF Operational Risk Assessment Framework PA Partnership Agreement PACA Projet d’Amélioration de la Compétitivité Agricole (Agricultural Competitiveness Project) PADMIR Projet d’Appui au Développement de la Micro-finance Rurale (Project for the Development of Rural Microfinance) PAP Project-Affected People PARI Projet d’Appui à la Réforme Institutionnelle (Institutional Reform Support Project) PCD Plan Commune Development (Communal Development Plan) PCT Project Coordination Team PDO Project Development Objective PFI Participating Financial Institution PFM Public Financial Management PHRD Policy and Human Resource Development PIM Project Implementation Manual PLANOPAC Plateforme Nationale des Organisation des Producters du Cameroun (Cameroon National Platform of Agricultural Producer Organizations) PMFP Public Financial Management Modernization Plan PMP Pest Management Plan PNDP Programme National de Développement Participatif (Community Development Program Support Project) PNDRT Programme National de Développement des Racines et Tubercules (National Program for Development of Roots and Tubers) PNIA Plan National d’Investissement Agricole (National Agriculture Investment Plan) PO Producer Organization PP Productive Partnership PPA Project Preparation Advance PPP Public-Private Partnership PSC Project Steering Committee QBS Quality-Based Selection QCBS Quality-and Cost-Based Selection R&D Research and Development RAP Resettlement Action Plan RCU Regional Coordination Unit REER Real Effective Exchange Rate RER Real Exchange Rate RPF Resettlement Policy Framework RRC Regional Road Committee RSC Regional Selection Committee SBD Standard Bidding Documents SFB Selection Under a Fixed Budget SGBC Société Générale des Banques du Cameroun SMAE Small and Medium Agricultural Enterprise/ Industry SP Sub-Project SPC Special Procurement Committee SSS Single Source Selection TA Technical Assistance TMT Technical Monitoring Team ToR Terms of Reference iv TOT Training of Trainers UN United Nations US$ United States Dollar WA Withdrawal Application WHR Warehouse Receipts WPB&PM Work Plan and Budget and Procurement Plan YR Year Regional Vice President: Makhtar Diop Country Director: Gregor Binkert Senior Global Practice Director Juergen Voegele Practice Manager: Severin Kodderitzsch Task Team Leader: Maniével Sène v REPUBLIC OF CAMEROON Agriculture Investment and Market Development Project TABLE OF CONTENTS I. STRATEGIC CONTEXT .................................................................................................1 A. Country Context ............................................................................................................ 2 B. Sectoral and Institutional Context ................................................................................. 3 C. Higher Level Objectives to which the Project Contributes .......................................... 7 II. PROJECT DEVELOPMENT OBJECTIVE ..................................................................8 A. PDO............................................................................................................................... 8 B. Project Beneficiaries ..................................................................................................... 8 C. PDO Level Results Indicators ....................................................................................... 8 III. PROJECT DESCRIPTION ..............................................................................................9 A. Project Components ...................................................................................................... 9 B. Project Financing ........................................................................................................ 10 C. Lessons Learned and Reflected in the Project Design ................................................ 11 IV. IMPLEMENTATION .....................................................................................................13 A. Institutional and Implementation Arrangements ........................................................ 13 B. Results Monitoring and Evaluation ............................................................................ 15 C. Sustainability............................................................................................................... 16 V. KEY RISKS AND MITIGATION MEASURES ..........................................................17 A. Risk Ratings Summary Table ..................................................................................... 17 B. Overall Risk Rating Explanation ...............................................................................