Public Private Partnership Performance Enhancement Project Presented by lao group Bangkok, 31/10/2012 What is PPP • A Public private partnership (PPP) is a long-term contract between a private entity and community, • Where the private company is involved in delivering public infrastructure service through some combination of financing, designing, constructing, operating, and maintaining an infrastructure asset. g a • The private company is then repaid through either revenue collected from user fees or government payments that depend on the availability of the service, or both. Priority areas/Issues needed to be enhanced • Public-Private-Partnership for sustainable rural development : Coffee plantation and coffee production. • Knowledge management • Capacity building of coffee producers for their benefit • Make the community stand for what is right for them • Develop community leadership skills • Create linkages between producers Identification of PEP Team • Coffee producers in Bolavens plateau ( cover 03 Provinces : Sekong ,Champassack and Saravane) • Knowledge management organizaton (Such as AGPC and GOV) Purpose of the PEP • The Bolaven Plateau Coffee Producers’ Groups Association (AGPC) is an organization of coffee producers consisting of 53 groups and comprising of 2,625 families that produce coffee. The AGPC was legally created on the 7th August 2007, in order to help its members produce and market gourmet coffees. Main Purposes • Provide a better price to members for quality coffee • Secure competitive price for through competition with traders. • Increase farmers negotiation skills • Increase production through adoption of best technologies • Quality improvement • Improve packaging, branding • Improve national and international image of Lao coffee Specific Objectives SMART objectives: • Sustainable production of coffee in Plateau (3 provinces) and supply of high quality coffee in local and international market. • Economically sound farmers families manages and expands coffee plantation (By organic methode) • Attracting more private investment to mobilize additional finance and more rapidly meet producers needs • Prioritizing PPP projects to improve efficiencies, control timing and cost, and attract private sector expertise. Key results to be achieved • Well trained farmers provides leadership to community • Capable farmers to study market and do price negotiations • Farmers are able to present their skills to guests and visitors • Developed vision of farmers for further development and step by step action plan Stake holders analysis • Group of farmers (Implementation) • Traders (PPP) • IFAD, SNRMPEP, Traders and Public sector ( Knowledge management) • AGPC (Resource Mobilization) • Department of industry and trade (to ease the export of coffee) Risk Analysis • Assumptions – There is no resettlement because of foreign direct investment – Expanded coffee plantation in the region – Company provide regular services to coffee producers at very competitive prices – Farmers adopts modern technology Outline action plan for implementation • Reorganizing group • Identification of company to develop PPP • Knowledge management network with the support of IFAD, SNRMPEP and Public sector • Seminar on learning route PPP with partnership ( Jan 2013) • Further capacity building of group members (March 2013) • Installation of wet coffee mille for 20 villages ( April 2013) • Expansion of coffee plantation (May 2013) • Training of leadership, branding and knowledge management (March 2013) • Training on packaging and branding (June 2013) • Training on land management (July 2013) • Economic impact assessment (March 2014) Identification of special requirements • Technical support from private sector and Public sector. • Knowledge management support from PAFO, SNRMPEP. • Land management support from department of agriculture and NAFRI. • Quality control ( PAFO, ACT, PICO and ACL ). PPP structure Private sector Public sector PPP Donors Farmers PPP • Public ( PAFO , DAFO, SNRMPEP ) • Private (ACL, PICO, ACT, FLO, NAPP, Green Hill , Enterprise ) • Donors ( IFAD , ADB ) • Farmers The total amount of this proposal is resumed in following table Reorganizing group 160 000 Identification of company to develop PPP Knowledge management network with the support of IFAD, SNRMPEP and Public sector Seminar on learning route PPP with partnership 50 000 Further capacity building of group members 20 000 Installation of wet coffee mille for 20 villages 140 000 30 000 10 000 Expansion of coffee plantation 30 000 Training of leadership, branding and knowledge management 20 000 Training on packaging and branding 10 000 Training on land management 10 000 Economic impact assessment 20 000 Administration & management cost Contingency 200 000 5 000 Total in USD 705 000 Centre de Kapheu 15 Centre de Phokem 16 Centre de Nongchoua 17 Utilisation de la prime pour la construction Utilisation de la prime pour la construction