Document of
The World Bank
Report No: 69624-SD
RESTRUCTURING PAPER
ON A
PROPOSED PROJECT RESTRUCTURING OF
REVITALIZING THE SUDAN GUM ARABIC PRODUCTION AND MARKETING
PROJECT
MULI-DONOR TRUST FUND- NORTH SUDAN (MDTF-NS)
INTERNATIONAL FUND FOR AGRICULTURAL DEVELOPMENT (IFAD)
July 10, 2009
TO THE
REPUBLIC OF SUDAN GOVERNMENT OF NATIONAL UNITY
June 23, 2011
Agricultural and Rural Development Unit
Sustainable Development Department
Country Cluster AFCE3
Africa Region
ABBREVIATIONS AND ACRONYMS
FOB
GAPAs
IFAD
LIU
MDTF-NS
MoFT
MT
PDO
PCU
SD
SDG
SIFSIA
Full on Board
Gum Arabic Producers Associations
International Fund for Agricultural Development
Locality Implementation Unit
Multi-Donor Trust Fund- North Sudan
Ministry of Foreign Trade
Metric ton
Project Development Objectives
Project Coordination Unit
Sudan
Sudanese Pound
Sudan Integrated Food Security Information for Action
Regional Vice President:
Country Director:
Sector Director
Sector Manager
Task Team Leader:
Obiageli Katryn Ezekwesili
Ian Bannon
Jamal Saghir
Karen Mcconnell Brooks
Mohamed Osman Hussein
ii
REPUBLIC OF SUDAN
REVITALIZING THE SUDAN GUM ARABIC PRODUCTION AND
MARKETING PROJECT
P110588
CONTENTS
PROJECT DATA............................................................................................................. iv
A. SUMMARY ............................................................................................................... 1
B. PROJECT STATUS ................................................................................................. 1
C. PROPOSED CHANGES .......................................................................................... 1
ANNEX 1: RESULTS FRAMEWORK AND MONITORING .................................... 2
iii
REVITALIZING THE SUDAN GUM ARABIC PRODUCTION AND MARKETING
PROJECT
Project Data
Restructuring Status:
Restructuring Type: Level II (Extension of closing date)
Last modified on date : 16 June 2011
1. Basic Information
Country
Republic of Sudan
Task Team Leader
Mohamed Osman Hussein
Sector Manager/Director
Karen Mcconnell Brooks/Jamal Saghir
Country Director
Ian Bannon
Original Board Approval Date
10 July 2009
Original Closing Date:
30 June 2011
Current Closing Date
30 June 2011
Proposed Closing Date [if applicable]
30 June 2012
EA Category
B-Partial Assessment
Revised EA Category
B-Partial Assessment
EA Completion Date
30 April 2008
Revised EA Completion Date
28 October 2010
Revised Financing Plan (US$ m)
Source
Original
Revised
Muli-Donor Trust Fund- North Sudan (MDTF-NS)
7.0
7.0
International Fund for Agricultural Development (IFAD)
3.0
3.0
Total
10.0
10.0
Borrower
Organization
Department
Ministry of Finance and National Economy
Location
Sudan
Implementing Agency
Organization
Forestry National Corporation
Department
Location
Gum Arabic Section
Sudan +249183471575 & 465218
iv
5. Disbursement Estimates (US$ m)
Fiscal Year
Annual
Cumulative
2012
3.2
7.0
Actual amount disbursed as of 06/16/2011
Fiscal Year
Annual
Cumulative
2010
0.9
0.9
2011
2.90
3.80
Total
3.8
6. Policy Exceptions and Safeguard Policies
Does the restructured project require any
exceptions to Bank policies?
No
Does the restructured project trigger any new
safeguard policies? If yes, please select from the
checklist below and update ISDS accordingly
before submitting the package.
No
7a. Project Development Objectives/Outcomes
Original/Current Project Development Objectives/Outcomes
The original and current PDO is the same, to help increase the income of small scale gum Arabic
producers in selected areas of the Recipient's gum Arabic belt through improved performance of
gum Arabic production and marketing system.
v
SUDAN - REVITALIZING THE SUDAN GUM ARABIC PRODUCTION AND
MARKETING PROJECT
RESTRUCTURING PAPER
A. SUMMARY
This is Level 2 restructuring, encompassing an extension of the closing date and revisions
to the results framework of the MDTF-NS project Grant TF094764 for the Sudan’s
Revitalizing the Sudan Gum Arabic Production and Marketing Project from June 30,
2011 to June 30, 2012.
B. PROJECT STATUS
The project development objective (PDO) is to increase the income of small-scale gum
Arabic producers in selected areas of the gum Arabic belt through improved performance
of the production and marketing systems. The PDO indicator is percentage change in the
income level of beneficiary households from Gum Arabic production after project
intervention. The project registered encouraging progress in the milestone to achieve its
development objectives, during the last 6 months and the current ISR rating is moderately
satisfactory. The current disbursement percentage is 54.28 percent.
The implemented policy reforms have improved in the production and marketing of Gum
Arabic in Sudan. The price received by producers has increased from 15 percent of FOB
before the reform to 50 percent of FOB after the reform. Export of Gum Arabic also
reached more than 53,000 MT in 2010 production year, an increase of more than 134
percent as compared to the three years (2007 to 2009) average of 22,560 MT. The subgrants for targeted Gum Arabic Producers Associations (GAPAs) have benefited more
than 8,600 producers organized in 110 GAPAs, of which women beneficiaries constitute
between 19 -24 percent. The project disbursed SDG 2.5 million (US$0.9 million)
following contract signing with executives of the selected 110 GAPAs, out of the targeted
125 GAPAs. As part of the physical capacity building and strengthening of vital service
provision efforts, the project financed the construction and equipping 3 training centers
with a total capacity of more than 200 trainees, 4 offices, and 7 tree nursery sites. The
nursery sites are strategically located in the five beneficiary localities and have a total
growing capacity of 770,000 seedlings per annum. These facilities are now completed
and most of them are functional.
C. PROPOSED CHANGES
The proposed extension is necessary to complete the study on global market conditions
and to allow for provision of basic services in production areas and development of
potential auction markets and investment opportunities. The additional 12 months would
include analysis of the interventions in auction marketing and the market information
system, and will allow strengthening of arrangements for operation and maintenance of
basic infrastructure in targeted communities and production sites. The client has put in
place an action plan and approved procurement plans to complete and deliver the
different components of the project.
1
PDO Level Results Indicators*
Core
ANNEX 1:
Results Framework and Monitoring
SUDAN: SUDAN MULTI-DONOR TRUST FUND FOR REVITALIZING THE SUDAN GUM ARABIC PRODUCTION &
MARKETING PROJECT
Project Development Objective (PDO): is to increase the income of small scale gum producers in selected areas of the gum belt
through improved performance of the production and marketing systems
D=Dropped
C=Continue
N= New
R=Revised
Percentage change in the income
level of beneficiary households
from Gum Arabic production after
project intervention
Unit of
Baseline
Measure
Cumulative Target Values**
2011
(Actual)
2012
Frequency
Data Source/
Methodology
Responsibility
for Data
Collection
GAPAs
LIUs
2013
C
%
Zero1
10
15
20
Annual
C
Number
0
9,875
11,475
12,275
Quarterly
C
%
0
18%
20
25
Quarterly
Beneficiaries
Direct Project Beneficiaries
Direct Project Beneficiaries of
which female
Indirect Project Beneficiaries
PCU, LIUs,
GAPAs
PCU, LIUs,
GAPAs
PCU & LIUs
PCU & LIUs
D
INTERMEDIATE RESULTS
Revised Intermediate Result (Component One):
% change in quantities of gum
Arabic marketed by GAPAs
% Change in the number of new
entrants to the market (exporters)
Revised Intermediate Result (Component Two):
Gum Arabic Sector Reform and Support
R
%
0
10
20
25
6 monthly
GAPAs
LIUs
N
%
0
128%
150%
200%
Quarterly
MoFT
PCU
Institutional Capacity Building and Support to GAPAs
% of targeted GAPAs with effective
saving and credit systems
R
% of women in targeted GAPAs
R
Number of Hashab seedlings produced
by project nurseries (000’)
1
N
%
2.4
48
72
100
6 monthly
LIUs
LIUs
%
0
15
20
25
Quarterly
GAPAs
LIUs
Number
0
350
1,250
1,950
Quarterly
GAPAs
LIUs
Baseline household average income from gum Arabic is estimated at SDG 8,410.
2
Number of GAPA members who
received training on financial
management
Number of GAPA members who
received training on business
management
Number of Agro forestry training
session for GAPAs conducted by
extension officer
Number of in-country and
exchange visits of GAPAs
conducted to share experience
Number of Matching Grants for
Marketing: For Media Promotion
Number of Matching Grants for
Marketing: For Research and
Technology
Number of Matching Grants for
Marketing: For Infrastructure support
N
Number
0
125
300
350
Quarterly
GAPAs
LIUs
N
Number
0
125
500
600
Quarterly
GAPAs
LIUs
N
Number
0
34
180
230
Quarterly
LIUs
LIUs
N
Number
0
2
12
16
Quarterly
LIUs
LIUs
N
Number
0
4
10
10
Quarterly
PCU
PCU & LIUs
N
Number
0
4
9
9
Quarterly
PCU
PCU & LIUs
N
Number
0
45
30
30
Quarterly
GAPAs
PCU & LIUs
MoFT, Local
Markets
PCU, LIUs
Revised Intermediate Result (Component Three): Project Management & Supervision
Percentage of the FOB price
received by small scale gum
producers after project intervention
Percentage change in domestic use
compared to export
C
%
10-15
50
50
60
Quarterly
N
%
0
5
7
10
Quarterly
Number of visitors to the dynamic
N
Number
0
0
5,000
9,000
Monthly
website of MoFT
Number of SMS text messages
N
Number
0
0
1,000
1,200
Monthly
communicated to producers
*Please indicate whether the indicator is a Core Sector Indicator (see further http://coreindicators)
**Target values should be entered for the years data will be available, not necessarily annually will be available, not necessarily annually
3
MoFT, Ahfad
University
MoFT
(website)
SIFSIA
PCU
PCU
PCU