SFG2263 REV World Bank Loan Project Public Disclosure Authorized Shaanxi Poor Rural Areas Community Development Project (P153541) Public Disclosure Authorized Social Assessment Report (SA) Public Disclosure Authorized Undertaken by Shaanxi Provincial Foreign-funded Poverty Alleviation Project Management Center Compiled by Shaanxi Provincial Academy of Social Sciences May 2016 Public Disclosure Authorized Main Participants Person in charge of the Report: Wang Jiankang, Researcher and President of Shaanxi Provincial Academy of Social Sciences Authors: Luo Cheng, Researcher at Shaanxi Provincial Academy of Social Sciences Zhang Chunhua, Associate Researcher at Shaanxi Provincial Academy of Social Sciences Lai Zuolian, Associate Researcher at Shaanxi Provincial Academy of Social Sciences Li Bing, Associate Researcher at Shaanxi Provincial Academy of Social Sciences Yang Lan, Assistant Researcher at Shaanxi Provincial Academy of Social Sciences Feng Yuwen, Assistant Researcher at Shaanxi Provincial Academy of Social Sciences Wang Xiaojuan, Assistant Researcher at Shaanxi Provincial Academy of Social Sciences Ding Jieqing, Graduate student at Chang’an University Bao Yudan, Graduate student at Chang’an University Lu Shaobo, Graduate student at Chang’an University Data Analysts: Cheng Yuxi, Graduate student at Northwest University Zhang Maotuan, Graduate student at Xi’an Wenli College Min Dong Graduate student at Xi’an Wenli College Technology Consultant: Fang Haiyun, Associate Researcher at Shaanxi Provincial Academy of Social Sciences Expert on Agriculture planting technologies: Wang Zhedu, Researcher on Promotion of Agriculture Technologies at Shaanxi Provincial Station of Agriculture Technologies Expert on Animal farming technologies: Liu Shouxuan, Senior Livestock Engineer at Shaanxi Provincial Bureau of Husbandry and Veterinary Services Contents Contents ..................................................................................................................................................................... I 1 Preface ................................................................................................................................................................... 1 1.1 Project Background ................................................................................................................................... 1 1.2 Project Content and Investment Budget ................................................................................................... 2 1.3 Definition of Project Areas ...................................................................................................................... 17 1.4 Scope and Subjects of Social Assessment ............................................................................................. 19 1.5 Social Assessment Tasks ......................................................................................................................... 23 1.6 Main Content of Social Assessment ....................................................................................................... 23 1.7 Social Assessment Methodology ............................................................................................................ 25 1.8 Summary .................................................................................................................................................. 30 2 Project Area Social and Economic Development Overview ........................................................................... 32 2.1 Project Area Social and Economic Development Overview ................................................................ 32 2.1.1 Baiyu Mountain Project Area ...................................................................................................... 32 2.1.2 Project Area along the Yellow River ........................................................................................... 33 2.1.3 Project Area on the Dry Highland North of Weihe River .......................................................... 34 2.2 Cooperative Status in the Project Areas ................................................................................................. 34 2.3 Development of Leading Industries in the Project Areas ...................................................................... 40 2.4 Status of Poverty Alleviation and Projects to be Built in the Project Area ........................................... 43 2.4.1 Poverty Alleviation Progress in the Project Areas ...................................................................... 43 2.4.2 Status of Content to be Built in the Project Areas ...................................................................... 46 2.5 Summary .................................................................................................................................................. 51 3 Stakeholders Analysis ......................................................................................................................................... 53 3.1 Identification of Stakeholders ................................................................................................................. 53 3.1.1 Identified Stakeholders ................................................................................................................ 53 3.1.2 Stakeholders Overview ................................................................................................................ 54 3.2 Stakeholders’ Roles and Responsibilities in the Project ........................................................................ 56 3.2.1 Farmers’ Role and Responsibility in the Project ........................................................................ 61 3.2.2 The Roles and Responsibilities of the poverty population, women, the aged, the young, migrant workers, the ill and the disabled ............................................................................................. 61 3.2.3 The Role and Responsibility of Cooperatives in the Project ..................................................... 62 3.2.4 The Role and Responsibility of Related Enterprises in the Project........................................... 64 3.2.5 The Role and Responsibility of Village Officials in the Project ................................................ 64 3.2.6 The Role and Responsibility of Project Management Offices in the Project ........................... 64 3.2.7 The Role and Responsibility of Other Related Government Agencies in the Project ............. 67 3.3 Stakeholders’ willingness to participate and expectations of the project.............................................. 69 3.3.1 Farmers’ willingness to participate and expectations of the project .................................................. 69 3.3.2 Village Committee’s willingness to participate and expectations of the project ............................... 72 3.3.3 Enterprises’ willingness to participate and expectations of the project ............................................. 73 3.3.4 Related Government Agencies’ willingness to participate and expectations of the project ............. 73 3.4 Summary .................................................................................................................................................. 75 4 Analysis of the Poverty Households .................................................................................................................. 76 4.1 State of Poverty ........................................................................................................................................ 76 4.1.1 Poverty Dimension Overview ..................................................................................................... 76 4.1.2 Causes of Poverty ........................................................................................................................ 77 I 4.1.3 Livelihood of the Poverty Households ....................................................................................... 80 4.1.4 Poverty Households’ Participation in Cooperatives ................................................................... 80 4.1.5 Capability of the Poverty Households to Participate in Industries with Unique Advantages . 82 4.2 Participation of the Poverty Households in Project Activities .............................................................. 84 4.2.1 Identification of Poverty Household Participators in Project Activities ................................... 84 4.2.2 Poverty Households’ Knowledge and Participation in Project Activities ................................ 85 4.2.3 The Poverty Households’ Expectations and Effect Evaluation of the Project Activities ......... 87 4.2.4 The Poverty Households’ Needs and Preferences of Project Activities ................................... 90 4.3 Impact of Project Activities on the Poverty Households ....................................................................... 92 4.3.1 Positive Influence ......................................................................................................................... 92 4.3.2 Potential Risks .............................................................................................................................. 93 4.4 Summary .................................................................................................................................................. 94 5 Cooperative Analysis .........................................................................................................................................