Rice SDPricesdp.org/asset/technicals/Rice SDP Q2 QPR Final.pdf · CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM Q2 2016 QPR i TABLE OF CONTENTS A. INTRODUCTION

ADB Loan 8271-CAM (SCF) / 3007-CAM (SF) ADB Grant 0350-CAM (SCF)

CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM

QUARTERLY PROGRESS REPORT Q2 2016

MEF/PMO 9/15/2016

CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM Q2 2016 QPR

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TABLE OF CONTENTS

A. INTRODUCTION ............................................................................................................................... 1

B. BASIC DATA ..................................................................................................................................... 2

C. PROGRAM PURPOSE AND IMPACT ................................................................................................. 4

D. SUMMARY OF PROJECT STATUS ..................................................................................................... 6

E. UTILIZATION OF FUNDS .................................................................................................................. 7

F. SUMMARY OF PHYSICAL IMPLEMENTATION PROGRESS ................................................................ 8

G. PROGRESS AND ACHIEVEMENTS DURING Q2 2016 ........................................................................ 9

H. GENDER ACTION PLAN .................................................................................................................. 12

I. ENVIRONMENT AND CLIMATE CHANGE ....................................................................................... 12

J. RESETTLEMENT ............................................................................................................................. 13

K. ASSESSMENTS OF RISKS, ASSUMPTIONS AND COMPLAINCE WITH CONVENANTS ...................... 13

L. PROGRAM ISSUES AND REMEDIAL ACTION .................................................................................. 15

Annex 1 Monitoring Frameworks

Annex 2 Financial Summaries

Annex 3 Policy Complaince Matrix

Annex 4 Summary of Physical Progress 2 – 6

Annex 5 GAFSP Progress Report

Annex 6 Gender Action Plan

Annex 7 PIC Activities

Annex 8 Status of Procurement of Contract Packages

Annex 9 Agreed Action Plan

Annex 10 Summary of Priority Sub-projects

Annex 11 Risk Management Matrix

Annex 12 Compliance with Loan and Grant Covenants


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ACRONYMS AND ABBREVIATIONS

ADB Asian Development Bank

AEA Agro-ecosystems Analysis

AFD Agence Française de Développement

AFD-SCCRP AFD Support to the Commercialization of Cambodian Rice Program

BER Bid Evaluation Report

CARDI Cambodian Agricultural Research and Development Institute

CARM ADB Cambodian Resident Mission

CCCA Cambodia Climate Change Alliance

CEFP Committee for Economic and Financial Policies

CISIS Cambodia Information System on Irrigation Schemes

CLUP Commune Land-use Planning

CS Construction Supervision

DAE Department of Agricultural Extension

DAEng Department of Agricultural Engineering

DD Detailed Design

DMF Design and Monitoring Framework

EARF Environmental Assessment Review Framework

EIA Environmental Impact Assessment

EMP Environment Management Plan

EoI Expression of Interest

FAO Food and Agriculture Organization (of the United Nations)

FS Feasibility Study

FWUCs Farmer Water User Community

GAFSP Global Agriculture and Food Security Program

GAP Gender Action Plan

GDA General Directorate of Agriculture (of MAFF)

GIS Geographic Information System

IEE Impact Environment Examination

ISS Implementation Support Specialist

LLL Laser Land Levelling

LUP Land Use Planning

M&E Monitoring and Evaluation

MAFF Ministry of Agriculture, Forestry and Fisheries

MEF Ministry of Economy and Finance

MIH Ministry of Industry and Handicrafts (formerly under MIME)

MLMUPC Ministry of Land Management, Urban Planning and Construction

MOWRAM Ministry of Water Resources and Meteorology

NIO National Implementation Office

O&M Operation and Maintenance

PDA Provincial Department of Agriculture

PDWRAM Provincial Department of Water and Resources and Meteorology


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PIC Project Implementation Consultants

PIO Provincial Implementation Offices

PMO Project Management Office

PPCR Pilot Program for Climate Resilience

PPMS Program Performance Monitoring System

PPP Public-Private Partnership

PPTA Preparatory Project Technical Assistance

QPR Quarterly Progress Report

RGC Royal Government of Cambodia

RSPG Rice Seed Producer Group

SCF Strategic Climate Fund

SDP Sector Development Program

SIP Sub-project Identification Proposal

SNEC Supreme National Economic Council

SPCR Strategic Program for Climate Resilience

TA Technical Assistance

ToT Training of Trainers

TOR Terms of Reference

UNFCC United Nations Framework Convention on Climate Change

WICI Weather-indexed Crop Insurance


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A. INTRODUCTION

1. The Climate Resilient Rice Commercialisation Sector Development Program (Rice-

SDP), which commenced in November 2013, supports the implementation of the ‘Policy on

the Promotion of Paddy production and Rice Export’ of the Royal Government of Cambodia

(RGC). It is designed to help transform the predominantly subsistence rice sector into a

commercially oriented one by improving household and national food security and expand rice

export through (i) removing the legal and regulatory constraints inhibiting rice

commercialization; (ii) improving productivity of paddy crops and consistency in quality of

milled rice; (iii) enhancing rice value chain support services; and (iv) addressing risks of

climate change through mitigation and adaptation.

2. The Quarterly Progress Report (QPR) for Quarter 1 of 2016 provides a description of

the progress that has been achieved during that period. The PPMS that has been developed

by the PIC team is being integrated into the QPRs commencing in this quarter, in order to

allow more time for training of the PIO and NIO teams in the collection of the data for each

indicator and the establishment of the database for each office. The QPR also includes as

summary of the financial progress although the rates of disbursement are still very low due to

the long delays in the commencement of many activities. It is anticipated that commencing in

Q2 the rates of disbursement will improve.


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B. BASIC DATA

ADB Loan/Grant Numbers

ADF Loan 3006 - CAM; ADF Loan 3007 - CAM; SCF Loan 8271 - CAM; Grant SCF 0350 - CAM; GAFSP Grant 0349 - CAM.

Program Title Climate Resilient Rice Commercialization Sector Development Program (Rice SDP)

Borrower Royal Government of Cambodia

Executing Agency Ministry of Economics and Finance (MEF)

Implementing Agencies

Ministry of Agriculture, Forestry and Fisheries (MAFF) Ministry of Water Resources and Meteorology (MOWRAM) Ministry of Land Management, Urban Planning and Construction (MLMUPC) Provincial Governments (Battambang, Kampong Thom and Prey Veng)

Program Steering Committee

Committee for Economic and Financial Policies (CEFP)

Total Project Cost (USD million)

87.41 (excluding taxes and duties of USD 5 million)

Program Financing (USD million)

ADB Loans

ADF 3006 - CAM: 24.00 ADF 3007 - CAM: 31.00 SCF 8271 - CAM: 5.00 ADB Grants

SCF 0350 - CAM: 4.50 GAFSP 0349 - CAM: 14.60

Date of Loan/Grant Approval by ADB

27th June 2013 for all Loans and Grants

Date of Signing of Loan/Grant Agreements

26th August 2013 for all Loans and Grants

Date of Effectiveness of ADB Loan/Grant

13th November 2013 for all Loans and Grants

Closing Date of ADB Loan/Grant

30th June 2017 for ADB Loan 3006 - CAM 31st March 2020 for other ADB Loan and Grants and GAFSP Grant

Dates of Last ADB Review Mission

21 Apr - 10 May 2016

Program Impact Increased net incomes of stakeholders along the rice value chain.

Program Outcome Enhanced production of quality rice in Cambodia while preserving the natural resource base.

Components

1. Conducive legal framework and regulatory environment established to facilitate climate-resilient commercialization:

- Promoting production and distribution of improved quality seed. - Strengthening agricultural land management. - Strengthening farmer’s organisations and promoting contract farming; - Facilitating the domestic trading and export of milled rice.

2. Agricultural land-use zoning improved:

- Establishing land-use zones. - Updating rice ecosystems and soil classification maps for identification of higher

yielding rice growing areas. - Incorporating agro-ecosystems analysis into commune land-use planning; - Developing the capacity of MLMUPC at national and sub-national levels to

undertake joint work in relation to agricultural land-use planning. 3. Climate resilient rice value chain infrastructure developed

- Rehabilitation and climate proofing of irrigation systems.


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- Construction of paddy drying and storage facilities. - Construction of seed cleaning, drying, grading and storage facilities.

4. Rice value chain support services enhanced to improve quality of Cambodian rice

- Improving the availability and quality of commercial rice seed; - Upgrading technical extension materials to guide production in the four main

rice crops. - Capacity building (technical and financial) of mill managers and operators; - Facilitating access to credit by farmers, traders and millers.

5. Weather Indexed Crop Insurance (WICI) piloted

- Undertaking a detailed Feasibility Study (FS) to determine the appropriateness of a WICI scheme.

- Designing the operational parameters, product penetration plan and institutional arrangement.

- Piloting the scheme in selected areas in three target provinces. 6. Efficient program management and implementation

- Effective project management; - Capacity building of the Project Management Officer (PMO) and each national

Implementation Offices (NIOs) and the Provincial Implementation Offices (PIOs).

- Coordination between policy development and investment activities.

Program Area

The Project covers three provinces: Battambang (BTB), Kampong Thom (KPT) and Prey Veng (PRV). A number of sub-projects will be carried out in each target province for (i) rehabilitation of existing irrigation, drainage and flood control systems; (ii) paddy drying and storage facilities to be operated by private sector under Public Private Partnerships (PPPs); and (iii) rice seed drying and storage facilities to be operated by private sector under PPP arrangements.


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C. PROGRAM PURPOSE AND IMPACT

4. The Climate Resilient Rice Commercialization Sector Development Program (Rice-

SDP) comprises a policy-based program loan together with other loans and grants from ADB

sources. The Rice=SDP impact will be increased net incomes of stakeholders along the rice

value chain. The outcome is enhanced production of quality rice in Cambodia while preserving

the natural resource base.

5. The Rice-SDP will address key high priority and strategic measures stated in the Rice

Policy to improve national food security and expand rice export through (i) removing legal and

regulatory constraints inhibiting rice commercialization; (ii) improving productivity of paddy

crops and consistency in quality of milled rice; (iii) enhancing rice value chain support services;

and (iv) addressing risks of climate change through mitigation and adaptation. The Rice-SDP

has the following six outputs:

Output 1 - A Conducive Legal and Regulatory Environment established to facilitate

Climate-Resilient Rice Commercialization

This output focuses on legal and regulatory reforms that (i) promote production and

distribution of improved quality seed; (ii) strengthen agricultural land management; (iii)

strengthen farmers’ organizations and promote contract farming; and (iv) facilitate the

domestic trading and export of milled rice.

Output 2 - Agricultural Land-use Zoning improved

This output comprises: (i) establishing land-use zones; (ii) updating rice ecosystems

and soil classification maps for identification of higher yielding rice growing areas; (iii)

incorporating Commune Agro-Ecosystem Analyses into commune land-use planning;

and (iv) developing the capacity of Ministry of Agriculture, Forestry and Fisheries

(MAFF) and Ministry of Land Management, Urban Planning and Construction

(MLMUPC) at the national and sub-national levels to undertake joint work in relation to

agricultural land-use planning.

Output 3 - Climate Resilient Rice Value Chain Infrastructure developed

This output comprises high priority investments in three major rice-producing provinces

– Battambang (BTB), Kampong Thom (KPT), and Prey Veng (PVG). The investments

include: (i) rehabilitation and climate proofing of irrigation systems; (ii) construction of

paddy drying and storage facilities; and (iii) construction of seed cleaning, drying,

grading and storage facilities. The investments have been identified and prioritized

based on provincial development priorities.

Output 4 - Rice Value Chain Support Services Enhanced to Improve Quality of

Cambodian Rice

This output comprises: (i) improving the availability and quality of commercial rice

seed; (ii) upgrading technical extension material to guide production in the four main

rice crops; (iii) capacity building (technical and financial) of mill managers and

operators; and (iv) facilitating access to credit by farmers, traders, and millers.


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Output 5 - Weather-indexed Crop Insurance (WICI) Piloted

This output comprises: (i) undertaking a detailed feasibility study to determine the

appropriateness of a weather-indexed crop insurance scheme; (ii) designing the

operational parameters, product penetration plan, and institutional arrangements; and

(iii) piloting the scheme in selected areas in three program provinces.

Output 6 - Efficient Program Management and Implementation

This output comprises: (i) effective program management; (ii) capacity building of the

Program Management Office (PMO) and each National Implementation Office (NIO)

and Provincial Implementation Office (PIO); and (iii) coordination between policy

development and investment activities.


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D. SUMMARY OF PROJECT STATUS

Status of project scope/implementation arrangements compared with those in the report and RRP, and whether major changes have occurred or will need to be made:

The Program has made slow progress so far due to a number of factors concerning the Project Implementation Consultant (PIC) team and also the limited capacity of the IAs and

their relative unfamiliarity with ADB project procedures. The scope and implementation arrangements remain in line with those of the RRP to date.

Assessment of the likelihood that the Project purpose will be met in part or in full, and whether remedial measures are required based on the current project scope and

implementation arrangements:

It is too early to make any definitive judgement on this. The Program has made very limited progress during the first year but the achievement of the compliance conditions for the

Program loan fund release are reasonably well on track. With the restructuring of the PIC team and the mobilisation of key team members there can now be much more consistent

and skilled technical support provided to the IAs. The production of the PPMS and the AWPB for 2016 these will provide a guide for the implementation during 2016 and a better

means of tracking performance.

An assessment of changes to the key assumptions and risks that affect attainment of the development objectives:

Of the risks identified in the RRP the most challenging issue concerns “the inherently complex nature of sector development program modality and limited technical skills and resources

to implement legal and regulatory reforms”. PIC Agricultural Policy Specialists are assisting the government in implementing legal and regulatory reforms for compliance with the

release of the Second Tranche in Q2 2016. The current situation is summarised in Annex 3.

Other program developments, including monitoring and reporting on environmental and social requirements that might adversely affect the pro's viability or

accomplishment of immediate objectives:

At this early stage, no significant factors have emerged which might adversely affect the project’s long-term viability. The accomplishment of immediate objectives is partly

constrained by the issues that are described in Section J.

CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM Q2 QPR 2016

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E. UTILIZATION OF FUNDS

6. The Climate Resilient Rice Commercialization Sector Development Program (Rice-

SDP) is funded through loans/grants from ADB with a total amount of USD 63.3 million,

together with a Program loan amounting to USD 24 million. The breakdown is as follows:

ADB Program Loan No. 3006 - CAM USD 24.0 million

ADB Loan No. 3007 - CAM USD 31.0 million

Global Agriculture & Food Security program (GAFSP) Grant No. - 0349 USD 14.6 million

Strategic Climate Fund (SCF) Loan No. 8271 - CAM USD 5.0 million

SCF Grant No. 0350 - CAM USD 4.5 million

Royal Government of Cambodia USD 8.3 million

7. The cumulative disbursement (for investment and recurrent costs) for each funding

source is as follows:

Table 1

Summary of Cumulative Disbursement by EA/IAs and Funding Source (to 30 June 2016)

(USD)

8. The overall cumulative disbursement, for investment and recurrent (implementation

and supervision costs), at the end of Q2 2016 was USD 1,703,369 (70 percent) and 728,971

(30 percent) respectively and the overall disbursement rate was 6.8 percent.1 The cumulative

disbursement during 2016 amounted to USD 992,198 which represented a disbursement rate

of 15 percent against the AWPB for 2016.

1 Annex 2 contains Summary Tables of Expenditure and Disbursement Progress.

Agency/

Category

Overall

Budget

Cumulative

Disbursement to

date

Budget

Balance

%

Disbursement

rate

MEF/PMO 11,424,300 1,590,779 9,833,521 14%

MAFF/NIO 23,751,900 221,212 23,530,688 1%

MOWRAM/NIO 17,957,200 241,209 17,715,991 1%

MLMUPC/NIO 2,917,500 103,353 2,814,147 4%

BTB/PIO 2,144,800 91,490 2,053,310 4%

KPT/PIO 2,144,800 99,391 2,045,409 5%

PVG/PIO 2,144,800 84,905 2,059,895 4%

ADB Loan No. 3007 - CAM 30,073,600 1,278,023 28,795,577 4%

GAFSP Grant No. 0349 14,601,400 260,631 14,340,769 2%

SCF Grant No. 0350 - CAM 4,997,600 0 4,997,600 0%

SCF Loan No. 8271 - CAM 4,501,200 313,823 4,187,377 7%

RGC 8,311,500 579,863 7,731,637 7%

Total Budget 62,485,300 2,432,340 60,052,960 4%

EA/IA

Source of Funds


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F. SUMMARY OF PHYSICAL IMPLEMENTATION PROGRESS

9. Early in the quarter the Annual Work Plan and Budget (AWPB) for 2016 received an

endorsement from the ADB/CARM and a launching workshop was conducted on 10th June

with the participation of all NIOs and PIOs.

10. Some further progress on agricultural policy in relation to seed which have reached

the 2nd draft stage meaning that full compliance for these conditions can be achieved within

the October 31 timeframe. However, in the case of land and plant protection there has been

slower progress and additional time may be required in order to achieve full compliance.

11. Under Output 2 the ToT for the conduct of the Commune Agro-Ecosystems Analysis

(CAEA) has commenced in BTB province with the support of the PIC team. The ToT for the

Commune Land Use Planning (CLUP) service contract has been drafted and the training

materials for the Training of Trainers (ToT) for CLUP are being prepared. A training on soil

surveying and soil classification techniques was conducted by MAFF/NIO in KPT province for

provincial and district extension staff.

12. For Output 3 the Feasibility Study, Detailed Design and Construction Supervision

(FS/DD/CS) consultants recruited by MOWRAM/NIO were mobilised and commenced work

on the Detailed Designs for two core irrigation sub-projects in BTB and KPT provinces. The

ToR for the FS/DD/CS for paddy drying and storage was revised and split into two phases to

cover the initial assessment/feasibility study of selected facilities and then the preparation of

detailed designs and construction supervision respectively. A further round of meetings

occurred to discuss the implementation approach for the Laser Land Levelling (LLL), field level

consultations took place with farmers in some irrigation sub-projects sites and a consultative

workshop was conducted in KPT with local contractors to discuss further contractual

arrangements.

13. Under Output 4 the MAFF/GDA has allocated working space for the establishment of

the seed testing laboratory, and the bids for the supply of the seed testing equipment are being

evaluated. The MAFF/NIO team commenced the ToT for rice seed production with extension

staff from all three provinces.

14. For Output 5 the ToR for the WICI has been revised and split into two phases to cover

the initial feasibility study and then the conduct of the pilot testing respectively.

15. There was a total of eight international consultants and ten national consultants

working during the quarter. The new international and national Business Finance and Credit

Specialists were both mobilised.

16. ADB conducted a Review Mission from 21st April to 10th May which was led by the

Project Officer from ADB/Cambodia Resident Mission (CARM). The Aide Memoire included

an agreed action plan and the current status of the action plan in shown in Annex 9.


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G. PROGRESS AND ACHIEVEMENTS DURING Q2 2016

17. The main accomplishments during Q2 can be summarised as follows:2

G.1 Output 1: Conducive Legal and Regulatory Environment

18. The current status of the progress of the compliance with the covenants is summarised

as follows:

Promoting local seed production and distribution: No regulations related to seed

(policy conditions 1 to 5) have yet been issued. The 1st drafts have been submitted to

MEF and the Technical Working Group (TWG) is organising meetings and/or

consultations as needed to prepared the 2nd drafts. It is expected that the 2nd drafts will

be submitted to MAFF early in July 2016. This 2nd drafts will be reviewed by MAFF as

a part of the weekly committee meeting in charge of policy review. In the event that

additional revisions may be requested by MAFF to the TWG 3rd drafts will be prepared

which will constitute the final draft that is issued/approved by MAFF. The finalisation of

this process will take four months meaning that the compliance can be fully satisfied

by October 2016.

Strengthening agricultural land management: The documents related to the Policy

Conditions on Land (conditions 7 to 9) still require more work, particularly related to

the role of women. Consultations at national and regional level are also yet to be

undertaken.

Improvement phytosanitary restrictions: A 1st draft has been submitted to MEF by

the TWG with a copy to MAFF but there has not yet been any consultation on this draft.

It will require further work to clarify its content and incorporate stakeholders (particularly

private sector) comments. MAFF will also need to conduct inter-ministerial

consultations and submit the draft law to the Council of Ministers.

G.2 Output 2: Agricultural Land-Use Zoning Improved

G.2.1 Output 2.1: Undertake Commune Agro-Ecological Analysis

19. The ToT for CAEA was completed in BTB province and during reflection and review

by the MAFF/NIO team assisted by the PIC team there were a number of lessons identified

and necessary changes will be made to the methodology. The ToT for CAEA in KPT

commenced on 27 June and will be completed in mid-July. The PIC team are participating in

this ToT also so support the MAFF/NIO and PDA staff.

G.2.2 Output 2.2: Incorporation of the CAEAs into the Commune Land Use Plans

20. The guidelines for the CLUP have been revised with the support of the PIC team

members and the ToR for the CLUP contract services have been drafted and are currently

being reviewed by the MLMUPC/NIO team. It is intended that the Training of Trainers (ToT)

on CLUP for provincial and district team members will be conducted in Q3 and the preparation

of the training materials has commenced.

2 See Annex 3 for more detailed status report on agricultural policy work (Output 1) and Annex 4 for description of

the progress for Outputs 2 to 6.


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G.2.3 Output 2.3: Rice ecosystem Mapping

21. The MAFF/NIO team have conducted a training on soil surveying techniques for the

PDA and DOA staff in KPT province. The training included both classroom sessions and also

field practice on the procedures for collection of soil samples. Further training will be required

to enable the staff to gain a better understanding of the principles of soil science and rice soil

classification.

G.3 Output 3: Climate Resilient Rice Value Chain Infrastructure developed

G.3.1 Output 3.1: Recruitment of national consultants for irrigation sub-project

feasibility studies

22. There are 19 irrigation sub-projects that have been prioritized by the Ministry of Water

Resources and Meteorology (MOWRAM). During the quarter the FS/DD/CS consultant team

(KCC) recruited by MOWRAM were mobilised and they commenced work on the two irrigation

sub-projects that were studied during the PPTA, namely Prey Sangha in BTB and Chuck

Ckhsach in KPT. In both cases they have commenced the preparation of the detailed designs

and also updated the Initial Environment Examination done during the PPTA.

G.3.2 Output 3.2: Recruitment of national consultants for seed/paddy drying and

storage facilities

23. In the case of the FS/DD/CS for rice seed/paddy drying and storage facilities there are

11 sub-projects identified by the MAFF/NIO. Following further discussions with ADB/CARM

during the Review Mission it was decided to revise the ToR for the consultants and to separate

the task into two phases. Phase 1 would comprise an initial examination of the proposed sites

and the conduct of feasibility studies after land issues have been resolved. Phase 2 will then

consist of the detailed designs for those facilities which are found to be viable and the

supervision of construction after the civil works contracts have been awarded.

G.3.3 Output 3.3: Works contract procurement for rehabilitation of identified irrigation

schemes

24. The award of the first civil works contracts for the two irrigation sub=-projects currently

under study is expected in Q3.

G.3.4 Output 3.4: Works contract procurement for paddy drying and storage facilities

25. There has been no progress yet. It is envisaged that the works contract procurement

for the first facilities will not commence until Q2 2017.

G.3.5 Output 3.5: Works contract procurement for rice seed drying and storage

facilities

26. There has been no progress yet. It is envisaged that the works contract procurement

for the first facilities will not commence until Q2 2017.

G.3.6 Output 3.6: Contract services for implementation of sub-project associated

initiatives

27. A Concept Paper on Laser Land Levelling (LLL) was prepared by the PIC Team Leader

after consultations with local contractors mainly in BTB province to determine the costs of the

field operations. The Concept Paper included a proposal for the use of a PPP arrangement

for the conduct of the LLL through local contractors. After further discussions with the

MAFF/NIO team it was decided to assess the level of interest of farmers within some of the


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irrigation sub-project site areas and to determine the extent to which they would pay for

service. T further regional workshop was conducted in KPT with the participation of local

contractors to discuss the mechanism for implementing the LLL but there remained a lack of

agreement on the most effective approach.

28. No activities have commenced for strengthening of agricultural extension services,

capacity building of the FWUC/FWUGs, market facilitation support or contract farming for rice

seed production all of which will be implemented by the PIOs.

G.3.7 Output 3.7: Procuring Public-Private Partnerships (PPPs) to operate paddy

drying and storage facilities

29. The PIC team have conducted field visits to each province to meet with rice millers and

other stakeholders in the rice sector and as a result have prepared an outline Concept Paper

that identifies three potential models (Options) for the PPP support to paddy drying and

storage. It is planned to conduct a PPP forum in July with private and public sector

participation.

G.4 Output 4: Enhanced rice value chain support services

G.4.1 Output 4.1: Increased availability of quality rice seed

30. Office space within the MAFF/GDA compound has been identified for the

establishment of the seed testing laboratory but no plans have been yet prepared for the

conversion work required. The bidding for the supply of the seed testing equipment has been

completed and the Bid Evaluation Report (BER) has been submitted to ADB/ARM for no

objection.

31. Work has commenced on the preparation of a Rice Seed Action Plan by the PIC team

that includes operational guidelines for a national seed certification scheme. There have been

further discussions with the MAFF/NIO team regarding the mechanisms for involving the

existing MAFF agriculture stations in each province in the production of registered seed of

selected rice varieties. The PIC TL conducted a field visit to Porlos agriculture station in PVG

to collect information on the rice seed production program at that station.

32. The ToT for rice seed production with the participation of 10 staff from the PDAs and

DOAs in each province commenced at Prey Phdao agriculture station in Kampong Speu

province.

G.4.2 Output 4.2: Expand and develop technical extension services

33. No progress has yet been made. This is an activity which is under the responsibility of

the PIOs. There is a need for further discussion between the MAFF/NIO and the PDAs to

identify the scope of these extension activities that will be implemented.

G.4.3 Output 4.3: Enhance business management capacities

34. No progress has been made yet. However, the PIC team mobilised the international

Business Finance and Credit Specialist to conduct an initial study on the management

capacity within the rice milling sector and the availability of financing to rice millers.

G.4.4 Output 4.4: Improved Access to and Reduced Cost of Financing

35. No progress has been made yet. This activity will commence in 2017.


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G.5 Output 5: Feasibility Study, Design and Pilot Testing of Weather Indexed Crop

Insurance

36. During the Review Mission there were further discussions with the MAFF/NIO team

and ADB/CARM and it was decided to split the original ToR into two Phases. Phase 1 would

comprise the conduct of the Feasibility Study to determine the viability of the scheme and the

opportunities for its application in Cambodia for rice production. Subject to a satisfactory

outcome of Phase 1 there would follow a Pilot Test of WICI which wold be implemented

through one or more local insurance companies.

G.6 Output 6: Efficient Program management and Implementation

37. The PMO and MAFF/NIO commenced the procurement of the motorcycles for the

PIOs. The PMO commenced the procurement of two additional vehicles. The PMO completed

the procurement of the office furniture and office equipment for the three PIOs. The MAFF/NIO

recruited a Procurement Adviser and the MLMUPC/NIO recruited a Finance Adviser.

38. The PIC team continued to provide technical support to the NIOs and PIOs during the

quarter and mobilised the international Business Finance and Credit Specialist for his first

input. The PIC team have continued to work within the respective line agencies that they are

supporting which has helped to build better working relationships.

39. The PIC team have prepared the first draft of the Project Performance Monitoring

System (PPMS) and delivered the first round of training for the NIO M&E staff and the PIO

teams in each province.

H. GENDER ACTION PLAN

40. Gender considerations are cross-cutting throughout the Rice-SDP and the Program

will enhance access by women at all levels to decision making, resources and services.

Gender issues have also been incorporated into appropriate covenants of the Program Loans

and Grants. A comprehensive Gender Action Plan has been prepared and will be regularly

updated on a quarterly basis.3

41. The PIC team includes two gender experts, one international and one national, who

will be mobilised in early Q3 2016 to support the gender mainstreaming training program and

the assist in the incorporation of guidelines for gender consideration into al manuals that are

developed.

I. ENVIRONMENT AND CLIMATE CHANGE

42. Through the preliminary capacity needs assessment conducted in 2015, it was

identified that the staff of the PMO, NOIs and POIs have a limited knowledge of climate

change. This is in terms of technical, economic, social, political and policy issues and actions

needed on climate change vulnerability and adaptation. It includes the prediction of climate

change impacts and incorporating climate resilience engineering designs for the rehabilitation

of irrigation systems as well as Climate Smart Agriculture (CSA) technologies into rice seed

production programs and agricultural extension programs.

43. During Q2 there were trainings conducted for initial awareness raising on

environmental issues for delivery to all NIO and PIO teams. The climate vulnerability

3 Annex 6 provides the current Gender Action Plan.


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assessments for irrigation system and crop insurance produce that are weather-indexed will

be conducted though collecting historical data on climate information over the last ten years

and consultations with key stakeholders in the area of each sub-project in the three provinces.

Climate risk assessments will be conducted to identify the climate change adaptation options

applicable for the sub-project civil works to ensure that they incorporate proofing for climate

change

J. RESETTLEMENT

44. The FS/DD/CS consultant teams that have been recruited by MOWRAM have

commenced a reassessment of the resettlement requirements for the two irrigation sub-

projects in BTB (Prey Sangha) and KPT (Chuck Khsak).

K. ASSESSMENTS OF RISKS, ASSUMPTIONS AND COMPLAINCE WITH

CONVENANTS

K.1 Assessment of Risks and Assumptions

45. A comprehensive assessment of risks and assumptions was undertaken from the

onset on project implementation. This was updated in Q1 2016 to ensure that risk and

assumptions are in line with the current status of implementation. A copy of the updated risk

matrix for the Rice-SDP project can be found in Annex 12.

K.2 Compliance with Covenants

46. The relevant loan agreements covering the Rice-SDP are as follows:

Loan Type Date

Loan Agreement (Special Operations) for Climate Resilient Rice Commercialization Sector Development Program (Loan 3006)

Agreements, Loan Agreement (Special Operations)

August 2013

Loan Agreement (Special Operations) for Climate Resilient Rice Commercialization Sector Development project (Loan 3007)


August 2013

Grant Agreement (GAFSP) for Climate Resilient Rice Commercialization Sector Development Project

Agreements, Grant Agreement August 2013

Loan Agreement (ADB Strategic Climate Fund) for Climate Resilient Rice Commercialization Sector Development Project


August 2013

Grant Agreement (ADB Strategic Climate Fund) for Climate Resilient Rice Commercialization Sector Development Project

Agreements, Grant Agreement August 2013

K.3 Compliance conditions for ADB Program Loan - 3006 (CAM)

47. The Program Loan Covenants are established in the loan and grant agreements with

further reference to the Development Policy Letter (April 2013) and Appendix 4 Policy Matrix

of the RRP (June 2013).

48. The Loan Agreement for the Commercial Sector Development Program, ADF 3006

(August 2013) includes a specific agreement under Schedule 3 on the withdrawal of funds:

“4. No withdrawal shall be made from the Loan Account for the First Tranche unless

ADB is satisfied that the Borrower has met the policy actions for the release of the

tranche specified in Attachment 2 to this Schedule.


14

5. Notwithstanding any other provisions of this Loan Agreement and except as ADB

may otherwise agree, no withdrawals shall be made from the Loan Account for the

Second Tranche unless ADB is satisfied, after consultation with the Borrower, that (a)

sufficient progress has been achieved by the Borrower in the carrying out of the

Program; (b) the policy actions that were met for the release of the First Tranche

continue to be complied with by the Borrower; and (c) the Borrower has met the policy

actions for the release of the Second Tranche specified in Attachment 3 to this

Schedule.”

49. The PIC team have continued to provide support to the MAFF/NIO and the TWGs to

enable the achievement of the compliance conditions for the release of the 2nd tranche, which

also require continued compliance by the Borrower for the actions under this 1st tranche. Most

are currently not yet compliant, although for most of these items the Government (MAFF) is in

the process of drafting the necessary legislation or establishing Technical Working Groups to

consider these issues. An update on the progress towards achieving compliance is shown in

Annex 3.

CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM Q2 QPR 2016

15

L. PROGRAM ISSUES AND REMEDIAL ACTION

50. A series of issues were identified during Q1 2016 which are summarised below, together with where appropriate remedial action which is

being applied or is required.

Issue/Problem Proposed Remedial Action(s)

Output 1: Conducive Legal and Regulatory Environment established

Issues and Constraints in Policy Development

There has been some further progress towards achieving compliance with the conditions 1 to 5 relating to seed. However, in the case of the conditions relating to land and plant protection there

remains further progress to be made. In view of the resignation of the PIC national Agricultural Policy Adviser there is an urgent need for a replacement to be recruited, and in order to ensure skilled

support the position will be split and two advisers will be recruited with skills in land and plant protection respectively. In the case of the policy documents on land there is an urgent need for

expertise in gender aspects to examine the drafts that have been prepared. This necessitates the immediate mobilisation of the PIC Social and Gender Experts.

Output 2: Agricultural Land Use Zoning Improved

The award of the contract for CLUP consulting services has been delayed.

The preparation of the ToR for the CLUP service contract has taken an extended period and the draft

has been revised a number of times. There appears to be an acceptance of the fact that a contract

award may not be feasible until Q1 2017 and this will require a rescheduling of the work to ensure

that it can be completed within the Rice SDP timeframe. There are also concerns that the resources

that will be provided to the consultants may not be adequate. In order for the CLUP to be done it is

necessary for the CAEA to be completed and tis process has also been delayed by the absence of

an effective mechanism for funding the district field staff involved in the CAEA field work. MAFF/NIO

should expedite the arrangements for the conduct of the CAEA so that field work can commence

without further delay.

The training on soil surveying and soil classification revealed the very low level of

understanding by the provincial and district extension staff.

Further training and follow up will be needed for the extension staff in each province if there is to be

an improvement in their knowledge. This will need to be given consideration in the AWPB for 2017.

Output 3: Climate Resilient Rice Value Chain Infrastructure developed

There are insufficient funds available to support all of the prioritised irrigation subprojects.

In view of the cost escalations that have occurred since the PPTA was conducted there will need to

be some prioritisation of the irrigation sub-projects. The decision on which sub-projects to complete

should be made in consultation with the PIOs and PDWRAM.

Local contractors have a lack of experience and expertise on land levelling.

There are very few local contractors that have had past experience with LLL. It will be necessary for

the MAFF/NIO to organise training for the contractors who show interest in being contracted for LLL

services. Also farmers need to be made aware of the benefits of LLL and this can only be achieved

by the organisation of demonstrations within some of the irrigation sub-project site areas. The

availability of the equipment for LLL needs to be researched and information shared with local

contractors so that they are aware of potential suppliers of the equipment. The possibility of using a

PPP approach for LLL should be further explored.


16

Issue/Problem Proposed Remedial Action(s)

The proposed PPP modality in the PAM may not result in interest from the private sector.

The establishment of paddy drying and storage facilities as standalone facilities needs further

consideration to verify that they would be viable and would attract private sector investment. The

proposed management arrangements whereby they remain the property of the provincial

governments also need to be re-evaluated. In the case of the seed drying and storage facilities these

would be best targeted at existing Rice Seed Producer Groups (RSPGs) that have sufficient capacity.

There has been very slow progress on formulating the activities under the Associated

Interventions within the irrigation sub-project site areas.

MOWRAM/NIO and MAFF/NIO will both need to provide additional support to the PIOs to assist them

in the identification of activities to support the formation of FWUC/FWUGs, strengthening of

agricultural cooperatives, enhancing extension services, etc.,

Output 4: Enhanced Rice Value Chain Support Services

A large proportion of the extension staff that are attending the ToT on rice seed production

are not project assigned staff.

This will present a difficulty when the season long FFS are conducted in each province since these

staff will not be eligible to receive the benefits in terms of salary supplements and motorcycles. Given

that there are insufficient district staff deployed under the Rice SDP to support the season long FFS

that will be conducted it will be necessary to propose a different financing mechanism though a LoA

with the PDAs for the payment of DSAs to non-Rice SDP staff and also possible the procurement of

additional motorcycles.

Output 5: Feasibility Study, Design and Pilot Testing of WICI

The structure of the ToR is inappropriate in that the consultants who conduct the

Feasibility Study would also be responsible for the Pilot Study.

The ToR should be revised to split the responsibilities into two phases. The 1st phase is concerned

solely with the Feasibility Study. If the outcome is satisfactory and it is felt to be a viable opportunity

to subject to a Pilot Study then the 2nd phase can proceed.

Output 6: Efficient Project Management and Implementation

Lack of financial capacity within the PIO teams. Long delays have been experienced in

the submission of the financial reports by the PIOs.

The PIOs are all taking steps to recruit a Financial Assistant and once this has been completed the

PMO will be required to organise regular hands-on training for them to ensure they have a sound

understanding of the financial reporting mechanisms.

Lack of office space within the MAFF/NIO

The PIC team members who are supporting the MAFF/NIO have been relocated to their office but

there is a shortage of office space to accommodate them. Some additional office furniture has been

procured but there remains a lack of working space.

Annex 1

CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM Quarterly Progress Report Q2 2016

17

DESIGN AND MONITORING FRAMEWORK FOR OVERALL PROGRAM

Design Summary

Performance Targets and Indicators with Baselines

Data Sources and

Reporting

Mechanisms

Assumptions and Risks

IMPACT:

Increased net

incomes of

stakeholders along

the rice value chain

Average farming household incomes increased from

$400 in 2010 to $700 by 2020

Revenue of rice exporters increased from

$100 million in 2012 to $600 million in 2020

Net profit of rice exporters increased from

$30 million in 2012 to $180 million by 2020

National Institute of Statistics’ Yearbook

Ministry of Commerce annual trade statistics

Assumption Medium-term macro-economic

Stability.

Risks

Lack of political commitment in Rice-SDP

implementation.

Climate change impacts may undo the intended gains and reduce anticipated benefits.

OUTCOME:

Enhanced production

of quality rice in

Cambodia while

preserving the natural

resource base

Paddy production increased from 8.0 million tons in

2012 to 9.5 million tons by 2018

Milled rice exports increased from 200,000 tons in

2011 to 1.2 million tons in 2017

Wet paddy exports to Viet Nam and Thailand reduced to 0.2 million tons by 2018 (2011 baseline: 2.2 million tons per annum) a.

MAFF annual crop

production

statistics

Ministry of Commerce annual trade statistics

Risks

Institutional and implementation risks from lack of

technical skills and resources.

Improper natural resources management may exacerbate the impacts of climate change.

OUTPUTS:

1. Conducive legal

and regulatory

environment

established to facilitate climate- resilient rice commercialization

By 2015, (i) policy and regulatory framework for local seed production are in place, (ii) guidelines for establishing agricultural land use zones are completed, (iii) legislation on sustainable management and use of agricultural land are operational, (iv) regulatory systems for farmers’ organizations and contract farming are functional, and (v) milled rice standards and trade facilitation measures in place

Tranche compliance reports prepared by the executing agency

Assumption Political parties and beneficiaries are

cooperative in the reform process.

Risk

Policy coordination and enforcement

are not strong.

Annex 1


18


Design Summary


Data Sources and

Reporting

Mechanisms


2. Agricultural land-use zoning improved

90 rice growing communes in target provinces

complete AEAs and incorporate into CLUPs by

2017.

90 groups of farmers consulted (with at least

40% female representation) during the

preparation of CLUPs by 2015.

Progress reports produced quarterly by the executing agency

Assumption MLMUPC can accommodate AEAs

as an input to CLUPs.

3. Climate- resilient

rice value chain

infrastructure

developed

23,000 hectares (ha) of command area served

by climate-resilient rehabilitated irrigation

structures by 2017 (40% unskilled laborers

employed in the rehabilitation are women; 50%

of construction subcommittee members are

women; two FWUCs established in each

irrigation scheme, with women occupying 30%

of the management positions).

Four seed drying and storage facilities constructed by 2017 with a combined storage capacity of 8,000 tons (30% unskilled laborers and 50% administrative staff are women).

Capacity for drying paddy in target provinces extended

by 2,000 tons per day and capacity for paddy storage in

target provinces extended by 40,000 tons by 2018.

Progress reports

produced quarterly

by the executing agency

Assumptions

Climate-resilient infrastructure is economically viable

and politically acceptable.

Efficient operation of control structures to deliver water to canals.

Private entities are interested and capable of managing facilities.

Risk

River basin studies do not take climate change impact into

Account.

Annex 1


19


Design Summary


Data Sources and

Reporting

Mechanisms


4. Rice value

chain support services enhanced to improve quality of Cambodian rice

2,400 tons of fragrant rice seed produced per

annum in target provinces by 2018

70% of farmers (disaggregated by sex) in target provinces using commercial seed every 2 years by 2018 (2012 baseline: 10%)

30% of farmers (disaggregated by sex) have leveled their paddy fields by 2018 (2012 baseline: 5%); 50% of farmers in target provinces (disaggregated by sex) obtain technical advice through trained input suppliers by 2016 (2012 baseline: 10%)

10 rice millers in target provinces use independent financial management advisory services by 2016 (2012 baseline: 0)



Assumptions

Growers accept the higher price needed

to purchase quality

seed

Farmers have resources to part finance the land leveling

Risk

Drying and storage facilities are not

operated at full

capacity

5. WICI piloted

100,000 ha of rice producing areas covered by

WICI by 2017 (50% of the policy holders

are women, of which 10% are from

households headed by women)

(2012 baseline: 0)

15 local input suppliers, 3 local financial institutions, and 3 local marketing agencies participating in the pilot tests in three provinces by 2015 (2012 baseline: 0)

Feasibility study

report

Design of WICI and evaluation report

Quarterly reports by the insurance firm

Assumption

Feasibility study recommends design and piloting

Risk

Piloting WICI shows no feasibility in

Cambodia

Annex 1


20


Design Summary


Data Sources and

Reporting

Mechanisms


6. Efficient program management and implementation

Rice-SDP performance monitoring system,

disaggregated by sex, designed and operational within 6 months of effectiveness. Baseline surveys completed within 12 months of loans and grants effectiveness and end-line impact evaluation undertaken 6 months

before Rice-SDP completion date

For PMO and PIOs, 30% of administrative

and technical positions are filled by women by

Q3 2013; progress of gender actions included as part of Rice-SDP progress reports. For PMO and PIOs, 30% of administrative

and technical positions are filled by women by

Q3 2013; progress of gender actions included as part of Rice-SDP progress reports

Progress reports produced quarterly by the executing agency. Base-line and end-line impact evaluation by the executing agency


Assumption

Qualified staff are appointed for

Implementation

Risks

Provincial capacity is insufficient

The availability of qualified staff is limited

ADB - Asian Development Bank; ADF -Asian Development Fund; AEA - Agro-Ecosystems Analysis; CLUP - Commune Land-use Plan; FWUC - Farmer Water User Community; GAFSP - Global Agriculture and Food Security Program; MAFF - Ministry of Agriculture Forestry and Fisheries; MLMUPC - Ministry of Land Management Urban Planning and Construction; NIO - National Implementation Office; PIC - Program Implementation Consultant; PIO - Provincial Implementation Office; PMO - Program Management Office; Rice-SDP - Climate Resilient Rice Commercialization Sector Development Program; SCF - Strategic Climate Fund; WICI - weather-indexed crop insurance.

a A separate survey on baseline and target indicator will be conducted during the second year of the program to validate information of informal paddy

trade across the border with Thailand and Viet Nam.

Annex 1


21


Activities with Milestones Inputs

1. Improvement of legal and regulatory environment

1.1. Establish policy working groups by Q4 2013

1.2. Produce compliance report for second tranche by Q2 2016 2. Improvement of agricultural land-use zoning

2.1. Undertake commune AEAs by Q4 2017

2.2. Incorporate the AEAs into CLUPs by Q4 2017

2.3. Develop three provincial rice ecosystem maps by Q4 2017 3. Development of rice value chain infrastructure

3.1. Recruit national consultants for subproject feasibility studies by Q3 2014

3.2. Rehabilitate identified irrigation schemes by Q4 2018

3.3. Establish paddy drying and storage facilities by Q4 2018

3.4. Establish seed drying and storage facilities by Q4 2018 3.5. Implement subproject-associated initiatives by Q4 2018 4. Enhancement of rice value chain support services

4.1. Increase availability of quality rice seed

4.1.1. Develop a national seed certification scheme by Q4 2015

4.1.2. Produce foundation and certified seed by Q4 2017

4.2. Expand and develop technical extension services

4.2.1. Revise six “technology information procedures” on rice production by Q4 2015

4.2.2. Develop extension services material by Q4 2015

4.3. Enhance business management capacities

4.3.1. Study the adoption of bulk handling by Q2 2015

4.3.2. Provide technical assistance to rice mill by Q4 2018 4.3.3. Organize study tours and training for millers by Q4 2016

4.4. Improve access to and reduce cost of finance

4.4.1. Develop capacities of financial institutions by Q4 2016 5. Feasibility study, design and pilot testing of WICI

5.1. Engage consultants for feasibility study by Q1 2014

5.2. Determine feasibility of WICI in Cambodia by Q2 2014

5.3. Upgrade automatic weather stations by Q4 2014

5.4. Pilot WICI in selected areas by Q2 2015 6. Project management and implementation

6.1. Appoint and mobilize PICs by Q1 2014

6.2. Design and operate Rice-SDP’s gender disaggregated program performance monitoring system by Q2 2014

1. ADF Policy Loan: $24.00 million

2. ADF Loan: $31.00 million

Item Amount

Civil Works 17.60 Associated Initiatives 0.53

Vehicles & Equipment 0.65

Consulting Services 3.75

Implementation Support 7.54

Interest Charges 0.93 3. GAFSP Grant: $14.60 million

Item Amount Civil Works 0.62 Equipment 7.17

Contract Services 3.28

Office Equipment 0.10 Consulting Services 1.11

Training and Studies 1.81

Implementation Support 0.51 4. ADB SCF Loan: $5.00 million

Item Amount

Civil Works 3.31

Associated Initiatives 1.10

Contract Services 0.59 5. ADB SCF Grant: $4.50 million

Item Amount

Civil Works 0.42

Crop Insurance 2.00

Consulting Services 2.08

6. Government: $8.33 million Item Amount

Staff Costs 1.46

Resettlement Costs 0.43

Land Purchase 0.88

Taxes and Duties 5.54

SCF Loan Service Charge 0.02

Annex 1


22

MONITORING FRAMEWORK FOR GAFSP

GAFSP Results Area

Indicators in Cambodia’s GAFSP Rice-SDP Indicators

(with reference to the GAFSP M&E Plan)

1. Raising Agricultural Productivity

An increasingly productive and diversified agricultural system that is capable of assuring food security.

40,000 beneficiary farmers (20,000 are women farmers) and 400

farmer organizations are benefited by extension, technology transfer,

improved production trainings and sets of low-input and improved

technical packages.

- Six technical information procedures for lowland rice production

upgraded by 2017.

- 20,000 days of training to raise agricultural productivity provided to

extension agents, agro-dealers, farmers, community members etc.

(disaggregated by gender).

- 30 subproject contracts providing extension services executed between

Rice-SDP and participating provincial department of agriculture (PDAs)

by 2018, covering an estimated 30,000 households.

- An increment of 30,000 hectares of paddy land on which modern

production technology has been adopted by 2018.

- At least 30,000 households will adopt water saving technology by land

levelling promoted by Rice-SDP by 2018.

Pro-poor and pro-women

community groups, particularly of food-insecure households, who are empowered to actively develop their potentials, opportunities and minimize risks and represent their own interests in political and administrative environment.

Community projects are implemented using participatory

planning techniques.

- Paddy area with improved/rehabilitated irrigation and drainage services

will be 23,000 ha by 2018

- Number of water users provided with new/improved/rehabilitated

irrigation and drainage services (disaggregated by gender) estimated to

be 23,000 by 2018

- Number of operational water user associations estimated to be 23 by

2018 within the subproject areas.

Annex 1


23


GAFSP Results Area



Farmers have secure tenure to their land.

Land titles for rural land use are provided to project beneficiaries, including indigenous communities.

- 90 communes will have completed commune land use plans (CLUPs)

based on the agro- ecosystem analyses performed in these communes

by 2017.b/

2. Linking Farmers to Markets

Reduce transfer and transaction costs.

Traditional value chain partnerships strengthened for four commodities in 10 provinces over 3 years.

- 30,000 farming households become members of production association

and water user community members (30% are women) by 2017

Other value addition. Distribution of post-harvest storage systems to project villages by end

of year 4.

- Volume of paddy under improved post-harvest management increased

by 30,000 tons (in terms of storage capacity) by 2018

- Paddy drying capacity increased by 2,000 tons per day by 2018 in

participating provinces

- Six public-private seed processing facilities (grading, dying and storage)

installed by 2018

- 50,000 client days of training on better post-harvest procedures

provided (50% of participants being women)

3. Reducing Risk and Vulnerability

Community self-reliance for food security and nutrition and health.

40,000 households (20,000 women-headed households) are trained in home gardening techniques by year 4.

- A weather-indexed crop insurance scheme introduced to improve

weather-related risks by 2017 (co-financed by PPCR)

- 100,000 ha of rice producing areas covered by a WICI scheme

directed towards vulnerable groups (co-financed by PPCR)

4. Improved Non-farm rural livelihoods

Annex 1


24


GAFSP Results Area



Promoting non-farm rural

entrepreneurship. 4,000 self-help groups organized and functioning by end year 4. Basic administration training conducted within 6-months of self- help group formation. 1,000 micro-businesses (women headed) & 1,000 small-scale agro-processing developed and functioning at basic level by year 3 Community micro-projects are implemented by year 4. Set of vocational training packages are developed by end year 2. 4,000 (2,000 are women) are trained in new and/or additional vocational skills by year 4.

- Number of people trained:

- 10 rice millers trained through advisory services by 2016;

- 100,000 FWUC members trained in group management and irrigation

scheme operations and maintenance by 2018; 100 staff of financial

institutions in participating provinces receive training on the needs of

farmers wishing to diversify their livelihood sources by

- 2018: 1,000 farmers trained in requirements of financial institutions to

assist in gaining access to credit by 2018 (with 30% women participants)

Component 5: Technical assistance, institution building, capacity development

Policies, Plans and regulatory

framework of MAFF are fully established, maintained and coordinated.

MAFF have implemented and enforced

policies, plans, regulations for which they are responsible under this program.

- Five legal and regulatory frameworks will be in place by 2016 to promote

rice commercialization

- 300 participants in M&E workshops, training events, seminars,

conferences etc. (disaggregated by gender and affiliation)

Gender is mainstreamed in MAFF.

The gender unit in MAFF is functioning and fully funded to continue implementation of gender mainstreaming policies.

- Gender targets are mainstreamed into each of the component

outputs under Rice-SDP

Policies and information on aspects of food security related to agriculture and water management.

Food security concepts are integrated

into development programs and policy.

- Food security aspects of the Rice Policy are fully accommodated

under Rice-SDP by 2018

b/

Rice-SDP is not involved in land titling due to its political complexity. However, CLUPs established with assistance from Rice-SDP will facilitate the Government’s work in land titling.

Annex 1


25

MONITORING FRAMEWORK FOR SCF PPCR

Results Indicators (consistent with PPCR Core Indicators)

Increased resilience of households, communities, businesses, sectors and society to climate change and climate variability through investments in irrigation subprojects being rehabilitated and climate proofed.

Numbers of people supported by the PPCR-supported Project to cope with effects of climate change as demonstrated by:

- 50,000 farmers will benefit from climate resilient irrigation structures by 2018

(2012 baseline: 0)

- Enhanced gender mainstreaming - 30% unskilled laborers employed in the rehabilitation are women by

o 2018; 30% of construction sub-committee members are women; 2 farmer water user committees

o established in each irrigation scheme, with women occupying 30% of the management positions.

(2012 baseline: 0)

- At least five local engineering firms will practice commercial design and construction of irrigation system that incorporated climate resilience options by 2019 (2012 baseline: 0).

- 100,000 ha of rice producing areas covered by WICI within the three participating provinces by 2017 (50% of the policy-holders is women, of which 10% is from female headed household) (2012 baseline: 0)

- 15 local input suppliers, 3 local financial institutions, and 3 local marketing agencies participating into the pilot

tests in three provinces (2012 baseline: 0).

- Four seed drying and storage facilities constructed by 2017 with a combined storage capacity of 8,000 tons

(30% unskilled laborers and 50% administrative staff are women)

- Capacity for drying paddy in target provinces extended by 2,000 tons per day by 2018

- Capacity for paddy storage in target provinces extended by 40,000 tons by 2018.

Annex 1


26



Climate responsive investment approaches implemented through land leveling as adaptation demonstrations being conducted in each irrigation subproject.

- Quality of and extent to which climate responsive instruments/investment models are developed and tested, as

reflected by

- 30% of farmers (disaggregated by sex) have leveled their paddy fields in target provinces by 2018 (2012

baseline: 0)

- At least nine private contractors in three project provinces engaged and trained to offer land leveling services by

2016 (2012 baseline: 0).

- Twenty private contractors, including 5 led by female entrepreneurs, replicated offering land leveling services at

their own initiatives in three participating provinces by 2018 (2012 baseline: 0).

- Strengthened capacity of provincial departments in Project provinces in improving efficiency of irrigation water

use through land leveling - baseline: 0% paddy land area leveled, target: 15% paddy land area leveled by 2018

Strengthened climate responsive

development planning

Degree of integration of climate change in national, including sector planning, as reflected by:

- Strengthened capacity of provincial departments in Project provinces in improving efficiency of irrigation

water use through land leveling - baseline: 0% paddy land area leveled, target: 15% paddy land area

leveled by 2018.

- A joint working group including female representatives established by the government to develop

agricultural land-use zoning as a climate adaptation strategy; developed and issued a framework providing

procedures for establishing agricultural land-use zones, incorporating measures and targets for involving

women in planning and decision making.

Annex 1


27



Strengthened adaptive capacity through

mill management training initiatives that

integrate climate change concerns.

- Extent to which vulnerable households, communities’ businesses and public sector services use improved

PPCR supported tools, instruments, strategies, activities to respond to CV&CC, as reflected by:

- 30% of rice mills in three project provinces equipped with knowledge to address change in paddy supply

patterns induced by climate change by 2018 (2012 baseline: 0).

- Post-harvest losses reduced from 15% of crop yield in 2012 to 10% of crop yield by 2017.

- Enhanced quality and participation of the private sector in providing advisory services to rice millers to address

climate change impacts, as reflected by: 10 local firms participating in providing advisory services to rice millers

by 2018. (2012 baseline: 0)

- Increased leverage factor of PPCR funding, reflected by an estimated $5 million from private sector mills by

2018 to address change in paddy supply patterns induced by climate change (2012 baseline: 0).

Strengthened adaptive capacity through developing and piloting weather-indexed crop insurance scheme.

Quality of and extent to which climate responsive instruments/ investment models are developed and tested, reflected by:

- 100,000 ha of paddy areas in three Project provinces covered by WICI by 2017 (2012 baseline: 0).

- 50% of insured rice farmers (i.e., policy-holders) is women.

- Enhanced capacities and participation of the private sector in paddy crop risk mitigation, reflected by: 15 local

input suppliers, three local financial institutions, and three local marketing agencies participating in crop

insurance services by 2017 (2012 baseline: 0).

Annex 1


28



Improved institutional framework in place through the adoption of sector development program approach encompassing policy and institutional reform and appropriately coordinated climate resilient investments.

Evidence of strengthened government capacity and coordination mechanisms that demonstrate integration of climate vulnerability in national, including sector planning to mainstream climate resilience, reflected by

- Three important legal documents (a law, a policy and an action program) will be in place by 2016 to address

climate change risks and/or adjusted to incorporate climate change risks, including (i) Law on Management and

Use of Agricultural Land (ii) Framework providing procedures for establishing agricultural land-use zones; and

(iii) National action program to combat land degradation in Cambodia.

- Under the guidance of the Committee for Economic and Financial Policies (CEFP), a cross-sectoral mechanism

taking into account of climate variability and climate change will be established by 2016 as part of the review

and adjustment of the Policy on the Promotion of Paddy Production and Rice Export.

Annex 2


29

Rice SDP - Climate Resilient Rice Commecialisation Sector Development Program

ADB Loans 3006 & 3007 - CAM; GAFSP Grant 0349; SCF Loan 8271 & Grant 0350

Statement of Expenditure

Cumulative since Effectiveness Date

Reporting for the Quarter End 30 June 2016

PMR 1: Project Monitoring Report: Uses of Funds By Category for the Quarter Ending 30-Jun-16

(Note: Q = Quarter, YTD = Year to date, CTD = Cummulative to date) (Quaterly Report. In USD)

Overall 2015 2016 Unliquidated Q2 YTD Q2 CTD Q2 2016 Budget

Budget budget Budget Obligations 2016 2016 2016 Balance

(1) (2) (3) (4) (5) (6) (7)=(2)-(3)-(5) (8)=(5)/(2) (9)=(6)/(1)

I- INVESTMENT COSTS MEF/PMO 8,821,200.0 1,254,292.2 2,680,410.0 389,429 488,021.71 1,306,499.5 1,373,910.5 18.21% 14.81%

MAFF/NIO 22,521,100.0 124,356.0 1,528,904.0 11,070.6 -16,164.40 92,331.6 1,436,572.4 -1.06% 0.41%

MOWRAM/NIO 16,701,400.0 100,110.0 885,000.0 43,625.0 43,625.00 134,737.8 750,262.2 4.93% 0.81%

MLMUPC/NIO 1,808,600.0 86,890.0 252,483.7 0.0 43,000.00 43,000.0 209,483.7 17.03% 2.38%

BTB/PIO 690,100.0 68,375.0 45,930.0 0.0 0.00 41,900.0 4,030.0 0.00% 6.07%

KPT/NIO 690,100.0 68,375.0 45,930.0 0.0 43,000.00 43,000.0 2,930.0 93.62% 6.23%

PVG/NIO 690,100.0 68,375.0 45,930.0 14,665.0 41,900.00 41,900.0 4,030.0 91.23% 6.07%

Sub Total (I): Investment Costs 51,922,600.0 1,770,773.2 5,484,587.7 0.0 458,789.3 643,382.31 1,703,369.0 3,781,218.8 11.73% 3.28%

II. IMPLEMENTATION AND SUPERVISION COSTS MEF/PMO 2,603,100.0 287,924.8 268,220.0 39,476.0 137,427.59 284,279.9 -16,059.9 51.24% 10.92%

MAFF/NIO 1,230,800.0 133,910.0 189,990.0 31,631.6 49,293.83 128,880.7 61,109.3 25.95% 10.47%

MOWRAM/NIO 1,255,800.0 125,126.0 98,040.0 20,000.0 31,056.0 47,886.95 106,471.3 -8,431.3 48.84% 8.48%

MLMUPC/NIO 1,108,900.0 97,720.0 177,840.0 10,246.0 21,793.00 60,352.9 117,487.1 12.25% 5.44%

BTB/PIO 1,454,700.0 77,372.7 145,940.0 14,697.31 47,445.18 49,589.9 96,350.1 32.51% 3.41%

KPT/NIO 1,454,700.0 85,642.0 149,360.0 16,366.6 27,375.08 56,391.2 92,968.8 18.33% 3.88%

PVG/NIO 1,454,700.0 73,670.7 147,080.0 9,873.9 17,593.84 43,004.8 104,075.2 11.96% 2.96%

Sub Total (ii): Implementation

and

Supervision Costs 10,562,700.0 881,366.1 1,176,470.0 20,000.0 153,347.4 348,815.47 728,970.67 447,499.3 29.65% 6.90%

GRAND TOTAL (I)+(II) 62,485,300.0 2,652,139.3 6,661,057.7 20,000.0 612,136.7 992,197.78 2,432,339.63 4,228,718.1 14.90% 6.8%

Category

Disbursem

ent Rate

% Overall

Actual Expenditure

Disburse

ment

Rate %

2016

Annex 2


30

Rice SDP - Climate Resilient Rice Commecialisation Sector Development Program

ADB Loans 3006 & 3007 - CAM; GAFSP Grant 0349; SCF Loan 8271 & Grant 0350

Disbursement Accounts by Financiers (USD)

Cumulative since Effectiveness Date

Reporting for the Quarter Ending: 30 June 2016

Cat.

Ref.EAs/IAs Total Allocation (1)

Unliquidated

Obligations (2)

Cumulative

Expenditure (3)

Budget Balance

(4) = (1)-(2)-(3)

I. LOAN 3006 - CAM (SF)

MEF/PMO 24,000,000

MAFF/NIO

Sub-Total 24,000,000 0 - 0

I. LOAN 3007 - CAM (SF)

MEF/PMO 6,183,000 910,741.7 5,272,258

MAFF/NIO 7,850,400 83,250.07 7,767,150

MOWRAM/NIO 11,476,300 138,209.9 11,338,090

MLMUPC/NIO 840,600 31,372.7 809,227

BTB/PIO 1,241,100 38,499.5 1,202,601

KPT/PIO 1,241,100 38,436.5 1,202,664

PVG/PIO 1,241,100 37,512.8 1,203,587

Sub-Total 30,073,600 0 1,278,023.1 25,186,725.66

II. GAFSP GRANT

MEF/PMO 1,230,700 192,761.8 1,037,938

MAFF/NIO 10,929,400 52,662.08 10,876,738

MOWRAM/NIO 782,800 15,206.8 767,593

MLMUPC/NIO 1,609,900 1,609,900

BTB/PIO 16,200 16,200

KPT/PIO 16,200 16,200

PVG/PIO 16,200 16,200

Sub-Total 14,601,400 0 260,630.6 14,292,169.40

III. SCF LOAN

MEF/PMO -

MAFF/NIO 588,500 588,500

MOWRAM/NIO 3,306,600 3,306,600

BTB/PIO 367,500 367,500

KPT/PIO 367,500 367,500

PVG/PIO 367,500 367,500

Sub-Total 4,997,600 0 - 4,997,600.00

IV. SCF GRANT

MEF/PMO 2,080,000 313,823.2 1,766,177

MAFF/NIO 2,000,000 2,000,000

MOWRAM/NIO 421,200 421,200

Sub-Total 4,501,200 - 313,823.2 4,187,377

V. RGC

MEF/PMO 1,928,800 173,452.8 1,755,347

MAFF/NIO 2,385,500 85,300.18 2,300,200

MOWRAM/NIO 1,970,200 20,000 87,792.4 1,862,408

MLMUPC/NIO 467,000 71,980.2 395,020

BTB/PIO 520,000 52,990.4 467,010

KPT/PIO 520,000 60,954.7 459,045

PVG/PIO 520,000 47,392.0 472,608

Sub-Total 8,311,500 20,000 579,862.8 7,711,637

GRAND TOTAL 86,485,300 20,000 2,432,339.63 56,375,509

Appendix 3


31

STATUS OF POLICY COMPLIANCE (30 June 2016)

No. Policy Actions for the Release of the Second Tranche Status Expected Date of

Compliance

1. MAFF will have issued the Cambodian Seed Policy. (Copy

of the issued Cambodian Seed Policy).

FIRST DRAFT

submitted to MEF. 30 October 2016

2. MAFF will have issued the National Seed Standards. (Copy

of the issued National Seed Standards).

FIRST DRAFT

submitted to MEF 30 October 2016

3.

MAFF will have issued the Prakas on Procedures for

Providing Seed Quality Certification. (Copy of the issued

Prakas on Procedures for Providing Seed Quality

Certification).

FIRST DRAFT


4.

MAFF will have issued the General Introduction to the

Examination of Distinctiveness, Uniformity and Stability of

New Varieties of Plants. (Copy of the issued General

Introduction to the Examination of Distinctiveness,

Uniformity and Stability of New Varieties of Plants).

FIRST DRAFT


5.

MAFF will have issued the Guidelines for the Conduct of

Tests for Distinctiveness, Uniformity and Stability of Rice.

(Copy of the issued Guidelines for the Conduct of Tests

for Distinctiveness, Uniformity & Stability of Rice).

FIRST DRAFT


6.

The Government will have issued the Land Policy “White

Paper”, including a chapter on Land and Gender Policy.

(Copy of the issued Land Policy “White Paper”).

Issued on 28

August 2015

Complied

7.

MAFF will have drafted the Law on Management and Use of

Agricultural Land, focusing inter alia, on (a) women’s access

to information on land administration, management and

distribution; (b) women’s equal participation and

representation in all commissions and committees; and (c)

equal benefits for women in land related initiatives. (Copy

of the draft Law on Management and Use of Agricultural

Land).

FIRST DRAFT

submitted to MEF

consultations

30 December 2016

8.

MAFF will have prepared and submitted to the Council of

Ministers the national action program to combat land

degradation in Cambodia. (Copy of the national action

program to combat land degradation in Cambodia).

FIRST DRAFT

submitted to MEF 30 December 2016

9.

MAFF will have issued guidelines for establishing

agricultural land-use zones, incorporating measures and

targets for involving women in planning and decision

making. (Copy of the issued guideline for establishing

agricultural land-use zones).

FIRST DRAFT

submitted to MEF 30 December 2016

10.

MAFF will have submitted the draft Law on Agricultural

Cooperatives to the National Assembly. (Copy of the

submitted Law on Agricultural Cooperatives).

Law passed on

May 22, 2013 Complied

11.

MIH will have issued the standards for two varieties of

Cambodian milled rice, Phka Rumduol and Phka Chan

Sensor, (Copies of the issued standards for various

varieties of Cambodian milled rice).

FIRST DRAFT

submitted to Rice

Standards TWG

30 September

2016

12.

MAFF will have submitted the draft Law on Plant Protection

and Phytosanitary Measures to the Council of Ministers.

(Copy of the submitted Law on Plant Protection and

Phytosanitary Measures).

FIRST DRAFT

submitted to MEF 30 November 2016

Annex 4

CLIMATE RESILIENT RICE COMMERCIALISATION SECTOR DEVELOPMENT PROGRAM Quarterly Progress Report Q2 2016

32

Summary of Physical Progress

Output 2: Agricultural Land Use Zoning Improved

ACTIVITY 2.1: COMMUNE AGRO-ECOSYSTEMS ANALYSIS TO IDENTIFY ZONES FOR RICE CROPPING SYSTEMS

Activities:

- Preparation of CAEA training materials for conduct of ToT.

- Delivery of provincial ToTs in each target province.

- Conduct of field work for CAEAs in target communes.

- Preparation of CAEA reports

- Approval of CAEAs by the CCs.

- Entry of CACA data into the FSMIS.

- Endorsement of CAEAs to the PDLMUPC.

Province Quarterly Achievement

National

- After the completion of the ToT in BTB province a joint review of the CAEA results identified a number of lessons and necessary changes in the methodology. These

lessons were analysed and improvements agreed to by the GDA/DAE team, and the Extension Specialist revised the CAEA Manual accordingly. The review also

revealed a number of weaknesses and shortcomings in the RRA and Systems Analysis phases of the training that were not dealt with at the time due to the absence

of the Extension Specialist. These issues need to be addressed for the field work in the next CAEA TOT training.

Battambang

- The ToT for CAEA was completed with a total of 36 participants (6 women). The ToT extended over a 10-day period and included field practice in Knach Romeas

commune. The previous CAEA report had been obtained from the Dept. of Agricultural Extension archives. However, the bio-physical and socio-economic data for the

commune had not been downloaded from the DAE FSMIS database and plans, reports and details of the proposed rice-SDP sub-projects had not been copied. Also

soil maps and soil identification manuals had not been obtained for use during the CAEA. Finally, the data recording formats and templates for use on the field during

the TTA had not been prepared. These were all important lessons for the next ToT for CAEA.

- The field work for CAEA in other communes has not yet commenced due to uncertainty about the budget allocations and the mechanism for transfer of the funds form

the MAFF/NIO to the PIO.

Kampong Thom - The ToT for CAEA commenced on 27 June and will be concluded in mid-July.

Prey Veng - The ToT for CAEA is scheduled for August 2016.

Annex 4


33

ACTIVITY 2.1: COMMUNE AGRO-ECOSYSTEMS ANALYSIS TO IDENTIFY ZONES FOR RICE CROPPING SYSTEMS

Activities:

- Conduct of national level ToT on CLUP process for NIO staff.

- Conduct of provincial TOTs on CLUP process for NIO staff.

- Deployment of CLUP consultants in each province.

Indicators Unit Quarterly

Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of revised CAEA Manual produced manual 0 1 1 100 %

No. of provincial ToTs completed on CAEA courses 2 2 3 67 %

Total no. of participants at ToT on CAEA pax 74 74 90 82 %

Total no. of female participants at ToT on CAEA pax 13 13 30 43 %

No. of CAEAs completed communes 2 2 34 6 %

No. of CAEAs approved by the CC communes 0 0 34 0 %

No. of CAEAs with data entered into the FSMIS communes 0 0 34 0 %

No. of completed CAEAs submitted to PDLMUPC communes 0 0 34 0%

Annex 4


34

ACTIVITY 2.2: PREPARATION OF COMMUNE LAND USE PLANS

Activities:

- Revision of the guidelines for CLUP integrating the results of the CAEA.

- Conduct of ToT for CLUP for NIO staff and PIO representatives.

- Conduct of provincial level training on CLUP for PDLMUPC and district teams.

- No. of provincial hotspots maps produced.

- Consultation with farmer groups for CLUP preparation.

- No. of CLUPs prepared for target communes in each province.


National

- The guidelines for the CLUP were revised with the support of the PIC team members. The ToR for the external service providers who are to be contracted by

MLMUPC to undertake the CLUP were prepared and discussed a number of times with the MLMUPC NIO team. The ToR was revised a number of times and by the

end of the Q2 was still not finalised.

- The preparation of the training materials for the conduct of the ToT for the CLUP for NIO staff and NIO representatives commenced with the support of the PIC team.

Battambang - No activity planned in this quarter.

Kampong Thom - No activity planned in this quarter.

Prey Veng - No activity planned in this quarter.

Annex 4


35

ACTIVITY 2.2: PREPARATION OF COMMUNE LAND USE PLANS

Activities:

- Revision of the guidelines for CLUP integrating the results of the CAEA.

- Conduct of ToT for CLUP for NIO staff and PIO representatives.

- Conduct of provincial level training on CLUP for PDLMUPC and district teams.

- No. of provincial hotspots maps produced.

- Consultation with farmer groups for CLUP preparation.

- No. of CLUPs prepared for target communes in each province,


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of national ToTs conducted on CLUP # 0 0 1 0 %

No. of participants attending national ToT on CLUP # 0 0 20 0 %

No. of female participants attending national ToT on CLUP # 0 0 7 0 %

No. of provincial ToTs conducted on CLUP # 0 0 3 0 %

Total no. of participants attending provincial ToT on CLUP # 0 0 60 0 %

Total no. of female participants attending national ToT on CLUP # 0 0 20 0 %

No. of provincial hotspot maps produced # 0 0 0 0 %

No. of CLUPs prepared # 0 0 0 0 %

Total no. of farmer groups consulted for CLUP preparation # 0 0 0 0 %

Total no. of women participating in farmer group consultations # 0 0 0 0 %

No. of national ToTs conducted on CLUP # 0 0 1 0 %

No. of participants attending national ToT on CLUP # 0 0 20 0 %

Annex 4


36

ACTIVITY 2.3: DEVELOPMENT OF PROVINCIAL RICE ECOSYSTEMS MAPS

Activities:

- Conduct of training for soil surveying.

- Preparation of rice eco-systems map for soil sampling in KPT

- Collection and analysis of soil samples.

- GIS training for PIO staff in each province.

National/


National - No activity planned in this quarter


Kampong Thom

- MAFF/NIO have completed the training on Soil Surveying and Classification in KPT in June with participants from the PDAs and DOAs in that province. The training

covered the theoretical aspects of soil study and soil profiles and explained the key points for the rice soil classification. There was also field practice at five locations

in three communes in Santuk district for demonstrations of soil sampling techniques. .


Annex 4


37

ACTIVITY 2.3: DEVELOPMENT OF PROVINCIAL RICE ECOSYSTEMS MAPS

Activities:

- Conduct of training for soil surveying.

- Preparation of rice eco-systems map for soil sampling in KPT

- Collection and analysis of soil samples.

- GIS training for PIO staff in each province.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

Training on conduct of soil survey in KPT # 1 1 1 100%

No. of participants attending training on conduct of soil survey # 29 29 25 116%

No. of female participants attending training on conduct of soil survey # 9 9 10 90%

Preparation of rice eco-systems map for soil sampling for KPT # 0 0 1 0%

Collection of soil samples based upon rice eco-systems map # 0 0 200 0%

Analysis of soil samples # 0 0 200 0%

Training on GIS for PIO staff from each province # 0 0 1 0%

No. of participants attending GIS training # 0 0 15 0%

No. of female participants attending GIS training # 0 0 5 0%

Annex 4


38

Output 3: Development of Rice Value Chain Infrastructure

ACTIVITY 3.1: RECRUITMENT OF NATIONAL CONSULTANT FIRM TO CARRY OUT FEASIBILITY STUDY AND DETAILED DESIGNS ON SUB-PROJECTS FOR CLIMATE RESILIENT IRRIGATION REHABILITATION

Activities:

- Advertisement for EoIs for consultants for FS/DD/CS for Irrigation Sub-Projects, evaluation of submissions and RFPs issuance.

- Conduct of Feasibility Studies on selected irrigation sub-projects sites in each province.

- Preparation of Detailed Designs for feasible irrigation sub-projects in each province.

National/


National - MOWRAM recruited KCC to provide consultant team to support the FS/DD/CS for 19 selected irrigation sub-projects.

Battambang - KCC have mobilised to the province and have completed the revision of the Feasibility Study documents for Prey Sangha sub-project that were prepared during the

PPTA and these were submitted to ADB for no objection. They have commenced the preparation of the Detailed Design and are also updating the Resettlement Plan.

Kampong Thom - KCC have mobilised to the province and have completed the revision of the Feasibility Study documents for Chuck Khsak sub-project that were prepared during the

PPTA and these were submitted to ADB for no objection. They have commenced the preparation of the Detailed Design and are also updating the Resettlement Plan.


Annex 4


39

ACTIVITY 3.1: RECRUITMENT OF NATIONAL CONSULTANT FIRM TO CARRY OUT FEASIBILITY STUDY AND DETAILED DESIGNS ON SUB-PROJECTS FOR CLIMATE RESILIENT IRRIGATION REHABILITATION

Activities:

- Advertisement for EoIs for consultants for FSDDCS for Irrigation Sub-Projects, evaluation of submissions and RFPs issuance.

- Conduct of Feasibility Studies on selected irrigation sub-projects sites in each province.

- Preparation of Detailed Designs for feasible irrigation sub-projects in each province.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of contracts awarded for FS/DD/CS for irrigation sub-projects contracts 0 1 1 100 %

No. of FS reports completed for irrigation sub-projects reports 2 2 8 25 %

No. of DDs completed for irrigation sub-projects reports 0 0 8 0 %

Annex 4


40

ACTIVITY 3.2: RECRUITMENT OF NATIONAL CONSULTANT FIRM TO PREPARE FEASIBILITY STUDIES AND DETAILED DESIGNS OF PADDY AND COMMERCIAL SEED DRYING AND STORAGE FACILITIES

Activities:

- Advertisement for EoIs for consultants for FSs for Paddy and Commercial Seed Drying and Storage Facilities.

- Conduct of preliminary survey of selected paddy and commercial seed drying and storage facilities in each province to determine which are feasible to construct.

- Conduct of Feasibility Studies on selected paddy and commercial seed drying and storage facilities in each province.

- Advertisement for EoIs for consultants for DDs and CS for Paddy and Commercial Seed Drying and Storage Facilities.

- Preparation of Detailed Designs for viable paddy and commercial seed drying and storage facilities in each province.

National/


National

- ToR for the national consultant for FS/DD/CS that was the basis for the earlier round of invitation for EoIs was revised following the ADB Mission in May so that is was

split into two phases. The first phase covers the conduct of a preliminary survey of each of the selected sites to determine their suitability and the availability of the

land after which the FSs can be conducted. Based upon the outcome of the FSs the second phase will cover the conduct of the DDs for facilities that are found to be

viable.




Annex 4


41

ACTIVITY 3.2: RECRUITMENT OF NATIONAL CONSULTANT FIRM TO PREPARE FEASIBILITY STUDIES AND DETAILED DESIGNS OF PADDY AND COMMERCIAL SEED DRYING AND STORAGE FACILITIES

Activities:

- Advertisement for EoIs for consultants for FSs for Paddy and Commercial Seed Drying and Storage Facilities.

- Conduct of preliminary survey of selected paddy and commercial seed drying and storage facilities in each province to determine which are feasible to construct.

- Conduct of Feasibility Studies on selected paddy and commercial seed drying and storage facilities in each province.

- Advertisement for EoIs for consultants for DDs and CS for Paddy and Commercial Seed Drying and Storage Facilities.

- Preparation of Detailed Designs for viable paddy and commercial seed drying and storage facilities in each province.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of contracts awarded for FSs for paddy and commercial seed drying and storage facilities contracts 0 0 1 0 %

No. of FSs completed for paddy drying and storage facilities reports 0 0 5 0 %

No. of FSs conducted for commercial seed drying and storage facilities reports 0 0 5 0 %

No. of contracts awarded for DDs for paddy and commercial seed drying and storage facilities contracts 0 0 0 0 %

No. of DDs completed for paddy drying and storage facilities reports 0 0 0 0 %

No. of DDs conducted for commercial seed drying and storage facilities reports 0 0 0 0 %

Annex 4


42

ACTIVITY 3.3: WORKS CONTRACT PROCUREMENT FOR REHABIITATION OF IRRIGATION SUB-PROJECTS

Activities:

- Advertisement for bidders for rehabilitation of each irrigation sub-projects (Single Stage: One Envelope).

- Bid evaluation and award of contract to winning bidders.

- Monitoring and Supervision of Construction by MOWRAM consultants for authorisation of progress payments to contractors.

- Final Inspection of civil works after warranty period for contract completion.

National/


National - Contract awards for rehabilitation of irrigation sub-projects will commence in 2017.

ACTIVITY 3.4: WORKS CONTRACT PROCUREMENT FOR CONSTRUCTION OF PADDY DRYING AND STORAGE FACILITIES

Activities:

- Advertisement for bidders for construction of paddy drying and storage facilities (Single Stage: One Envelope).


- Monitoring and Supervision of Construction by MAFF consultants for authorisation of progress payments to contractors.


National/


National - Due to delays in the commencement of the Feasibility Studies and Detailed Designs for the paddy drying and storage facilities the award of contracts for the civil works

construction is deferred to 2017.

Annex 4


43

ACTIVITY 3.5: WORKS CONTRACT PROCUREMENT FOR CONSTRUCTION OF COMMERCIAL SEED DRYING AND STORAGE FACILITIES

Activities:

- Advertisement for bidders for construction of commercial seed drying and storage facilities (Single Stage: One Envelope).


- Monitoring and Supervision of Construction by MAFF consultants for authorisation of progress payments to contractors.


National/


National - Due to delays in the commencement of the Feasibility Studies and Detailed Designs for the commercial seed drying and storage facilities the award of contracts for the

civil works construction is deferred to 2017.

Annex 4


44

ACTIVITY 3.6: ASSOCIATED INITIATIVES FOR IRRIGATION SUB-PROJECTS

Activities:

- Advertising for bidders to implement land levelling services.

- Organisation of land levelling demonstrations within irrigation sub-projects site areas.

- Recruitment of service providers to deliver agricultural extension services.

- Implementation of capacity building activities for Farmer Water User Groups/Communities (FWUGs/FWUC) within irrigation sub-project site areas.

- Recruitment of service providers for strengthening agricultural cooperatives and providing market facilitation support.

- Implementation of contract farming for rice seed production.

National/


National

- Concept paper on precision land levelling has been prepared with the support of the PIC team which examines the cost of doing land levelling by local contractors and

also considers the benefits for the farmer in terms of increased productivity. Proposals were also presented for the implementation of the land levelling through a PPP

arrangement where local contractors would be provided with the laser land levelling equipment by the PIOs.

Battambang

- Consultations with farmers within some of the irrigation sub-project site areas have been conducted to determine the level of contribution that they would be willing to

pay for the land levelling services.

- No activities have yet been implemented for strengthening agricultural extension services, capacity building of FWUGs/FWUCs, market facilitation support or contract

farming for rice seed production.

Kampong Thom


pay for the land levelling services. A regional workshop was conducted with local contractors from all three provinces to discuss the mechanism for implementing the

land levelling. However, there remain uncertainty on how to implement this activity.



Prey Veng


pay for the land levelling services.



Annex 4


45


Activities:








Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of local agricultural contractors trained on land levelling. trainees 0 0 0 0 %

No. of contracts awarded for land levelling services contracts 0 0 0 0 %

No. of hectares of land levelled ha 0 0 0 0 %

No. of farmers who have levelled paddies farmers 0 0 0 0 %

No. of on-farm demonstration plots organised demos 0 0 0 0 %

No. of field days organised at sites of on-farm demonstrations days 0 0 0 0 %

No. of women attending the field days at sites of on-farm demonstrations women 0 0 0 0 %

No. of FFS organised training 0 0 0 0 %

No. of farmers graduating from FFSs farmers 0 0 0 0 %

No. of women graduating from FFSs women 0 0 0 0 %

No. of agricultural technical literature booklets/pamphlets printed documents 0 0 0 0 %

No. of capacity building trainings for FWUGs/FWUCs trainings 0 0 0 0 %

Annex 4


46


Activities:








Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of capacity building trainings for Agricultural Cooperatives trainings 0 0 0 0 %

No. of farmers attending the capacity building trainings for Agricultural Cooperatives farmers 0 0 0 0 %

No. of women attending the capacity building trainings for Agricultural Cooperatives women 0 0 0 0 %

No. of contracts signed between Agricultural Cooperatives and Rice Millers for rice seed production

contracts 0 0 0 0 %

Quantity of certified rice seed produced through contract farming agreements tons 0 0 0 0 %

Annex 4


47

ACTIVITY 3.7: PROCUREMENT OF PPPs FOR OPERATION OF RICE PADDY DRYING AND STORAGE FACILITIES

Activities:

- Advertisement for EoIs from private operators for participation in PPP agreements for paddy drying and storage facilities.

- Evaluation of EoIs received and sort listing of potential partners for PPP agreements.

- Signing of PPP Agreements for operation of the paddy drying and storage facilities

National/


National - PIC team have prepared outline concept paper identifying three potential models (options) for the PPP supporting paddy drying and storage. These will be presented

during a planned PPP Forum to be conducted in July with public and private sector stakeholders.

Battambang - PIO team assisted in facilitating field visits by PIC team to meet with rice millers within the province to assess the level of interest in participation in the PPP

agreements.

Kampong Thom - PIO team assisted in facilitating field visits by PIC team to meet with rice millers within the province to assess the level of interest in participation in the PPP

agreements.

Prey Veng - PIO team assisted in facilitating field visits by PIC team to meet with rice millers within the province to assess the level of interest in participation in the PPP

agreements.

Annex 4


48


Activities:

- Advertisement for EoIs from private operators for participation in PPP agreements for paddy drying and storage facilities.

- Evaluation of EoIs received and sort listing of potential partners for PPP agreements.

- Signing of PPP Agreements for operation of the paddy drying and storage facilities


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of EoIs received from private operators EoI 0 0 0 0 %

No. of private operators shortlisted for PPP agreements for paddy drying and storage operators 0 0 0 0 %

No. of PPP agreements signed with private operators agreement 0 0 0 0 %

Annex 4


49

Output 4: Enhanced Rice Value Chain Support Services

ACTIVITY 4.1: INCREASED AVAILABILITY OF QUALITY RICE SEED

Activities:

- Rehabilitation of seed testing laboratory, procurement and installation of seed testing equipment.

- Training for laboratory staff in seed testing procedures.

- Development of operational guidelines for national seed certification scheme.

- LoAs with Tuolsomraong, Balang and Porlos Agriculture Stations for production of registered seed.

- Training on seed certification and seed production.

- ToT on rice seed production for district staff.

- Season long FFS on seed production for rice seed producers (Agricultural Cooperatives/Rice Seed Producer groups)

National/


National

- Office space within the MAFF/GDA compound has been allocated for the establishment of the seed testing laboratory. The bidding for the seed testing laboratory

equipment has been completed and the BER has been prepared and submitted to ADB for NOL

- Work has commenced on the production of a Rice Seed Action plan for GDA which includes operational guidelines for a national seed certification scheme.

- Details of the LoAs between Balang Agricultural Station and the GDA and KPT/PDA have been provided by the ADB funded TSSD projects and these are being used

as the basis for similar agreements with the three stations in BTB, KPT and PVG provinces.

- ToT on rice seed production for 10 district staff from the three provinces has commenced at Prey Phdao station in Kampong Speu province.

Battambang - No activity planned in this quarter

Kampong Thom - No activity planned in this quarter

Prey Veng - No activity planned in this quarter

Annex 4


50

ACTIVITY 4.1: INCREASED AVAILABILITY OF QUALITY RICE SEED

Activities:

- Rehabilitation of seed testing laboratory, procurement and installation of seed testing equipment.

- Training for laboratory staff in seed testing procedures.

- Development of operational guidelines for national seed certification scheme.

- LoAs with Tuolsomraong, Balang and Porlos Agriculture Stations for production of registered seed.

- ToT on rice seed production for district staff.

- Season long FFS on seed production for rice seed producers (Agricultural Cooperatives/Rice Seed Producer groups)


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

Contract award for procurement of laboratory equipment contract 0 0 1 0 %

Training for laboratory staff in seed testing procedures training 0 0 1 0 %

No. of laboratory staff attending training on seed testing procedures trainees 0 0 10 0 %

No. of female laboratory staff attending training on seed testing procedures women 0 0 3 0 %

Operational Guidelines for national seed certification scheme guideline 0 0 1 0 %

LoAs with Tuolsomraong, Balang and Porlos Agriculture Stations for production of registered

seed LoAs 0 0 3 0 %

No. of ToT on rice seed production training 1 1 1 100 %

No. of district staff attending the ToT on rice seed production trainees 30 30 30 100 %

No. of female district staff attending the ToT on rice seed production women n.a. n.a. n.a. n.a.

No. of season long FFS on seed production for rice seed production trainings 0 0

Annex 4


51

ACTIVITY 4.2: EXPANDED AND DEVELOPED TECHNICAL EXTENSION SERVICES

Activities:

- Training of extension staff on agricultural extension methodologies (3 months).

- Refresher training on post-harvest technologies to PDA, DOA and other stakeholders.

National/


National - No activity planned in this quarter.




Annex 4


52

ACTIVITY 4.2: EXPANDED AND DEVELOPED TECHNICAL EXTENSION SERVICES

Activities:

- Training of extension staff on agricultural extension methodologies (3 months).

- Refresher training on post-harvest technologies to PDA, DOA and other stakeholders.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of trainings of extension staff on agricultural extension methodologies training 0 0 1 0 %

No. of extension staff attending training on agricultural extension methodologies trainees 0 0 30 0 %

No. of female extension staff attending training on agricultural extension methodologies women 0 0 10 0 %

No. of refresher trainings on post-harvest technologies to PDA, DOA and other stakeholders trainings 0 0 1 0 %

No. of PDA, DOA and other staff attending refresher trainings on post-harvest technologies trainees 0 0 30 0 %

No. of female PDA, DOA and other staff attending refresher trainings on post-harvest

technologies women 0 0 10 0 %

Annex 4


53

Output 5: Feasibility Study, Design and Pilot Testing for WICI

ACTIVITY 5.1: FEASIBILITY STUDY AND DESIGN FOR WICI

Activities:

- Advertisement for EoIs for conduct of Feasibility and Design of WICI scheme.

- Contract award for conduct of Feasibility Study and design of WICI scheme.

- Conduct of field work in target provinces to gather information for use in design of the WICI scheme.

- Preparation of ToR for Phase 2: Pilot testing of the WICI in target provinces.

National/


National

- The advertisement for EoIs which was done on the basis of the original ToR for the combined feasibility study, design and pilot testing of the WICI failed to attract

sufficient bidders. During this quarter the ToR was completely revised and was split into two phases. Phase 1 covers the conduct of the Feasibility Study and the

Design of the scheme. Phase 2 covers the Pilot Testing if the outcome of the Phase is satisfactory. The advertisement for EoIs for Phase will be done in early Q3.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of contract awards for Phase 1: Feasibility Study and Design of WICI contracts 0 0 1 0 %

Annex 4


54

Output 6: Effective Project Management and Implementation

ACTIVITY 6.1: ESTABLISHMENT AND OPERATIONALISING PMO, NIOs and PIOs

Activities:

- Procurement of two additional vehicles.

- Procurement of motorcycles.

- Procurement of office furniture for PMO, NIOs and PIOs.

- Procurement of office equipment for PMO, NIOs and PIOs.

- Recruitment of Procurement Advisers for MAFF/NIO and Finance Adviser for MLMUPC.

National/


National

- PMO commenced the procurement of two additional vehicles to be available for the use of the PIC and NIOs upon request.

- PMO and two NIOs have commenced the procurement of a total of 64 motorcycles to be allocated to the PIO staff. MOWRAM awarded contract for procurement of 27

motorcycles in Q1.

- PMO completed the procurement and distribution of the office furniture and office equipment for the three PIOs.

- MAFF/NIO recruited and deployed Procurement Adviser and MIMULC/NIO recruited and deployed a Finance Adviser.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of contracts awarded for procurement of additional vehicles contract 0 0 1 0 %

No. of additional vehicles procured Vehicle 0 0 2 0 %

No. of contracts awarded for procurement of motorcycles contract 0 0 4 0 %

No. of motorcycles procured motorcycle 0 0 64 0 %

No. of contracts awarded for office furniture contract 1 1 1 100 %

No. of contracts awarded for office equipment contract 1 1 1 100 %

Recruitment of additional advisers by MAFF/NIO and MLMUPC/NIO contract 2 2 2 100 %

Annex 4


55

ACTIVITY 6.2: RECRUITING AND MOBILIZING PICs

Activities:

- PIC team provide continuing technical support to the PMO, NIOs and PIOs.

National/


National - During this quarter the PIC team provided a total input of 10.27 and 25.05 person months of inputs for international and national respectively. During this quarter the

international Business Finance and Credit Specialist commenced his first input.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of person months of input by international PIC team members months 10.27 21.64 56.1 38.6 %

No. of person months of input by national PIC team members months 25.05 48.05 112.3 52.1 %

Annex 4


56

ACTIVITY 6.3: DESIGN AND OPERATION OF GENDER DISAGGREGATED PPMS

Activities:

- Develop the PPMS based upon the three monitoring frameworks relating to the ADB, GAFSP and SCF funding.

- Provide capacity building training to NIO and PIO staff to enable them to gather the required data for the PPMS.

- Revise the Gender Action Plan to ensure effective monitoring of the gender issues.

National/


National - The PIC team have completed a first draft of the PPMS and this has been endorsed by the PMO to the ADB/CARM for review and comment. During the GAFSP

Mission in June there were comments made on the complexity of the PPMS and the need for simplification.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

Training for NIO and PIO staff on the PPMS structure and data collection requirements training 3 3 3 100 %

No. of NIO and PIO participants attending the PPMS training participant 30 30 30 100 %

No. of female NIO and PIO participants attending the PPMS training Women 3 3 10 33 %

Annex 4


57

ACTIVITY 6.4: UNDERTAKING INTERNAL AUDITS, MID TERM REVIEW AND PROGRAM COMPLETION REPORT

Activities:

- Recruitment of Internal Auditors by the PMO.

- Conduct of regular Review Missions by the ADB/CARM

National/


National - The internal auditors conducted the regular internal audit of the program financial progress and disbursement activities.


Achievement

Annual

Cumulative

Achievement

Annual

Target

%

achievement

of annual

target

No. of contracts awarded for Internal Audits to be conducted contracts 1 1 1 100 %

No. of Regular Mission conducted of ADB/CARM mission 1 2 2 100 %

Appendix 5


58

Project Progress Report (Period: January 1 2016 - June 30 2016)

1. Basic Project Information & Milestones

Project Cambodia - Climate-Resilient Rice Commercialization Sector

Development Program (Rice-SDP)

Supervising Entity (SE) ADB

SE Primary/Secondary team contact Chanthou Hem <[email protected]>

Project approval date by SE 27 June 2013

Project effectiveness date 13 November 2013

Date of first disb. of GAFSP funds 31 March 2014

Expected closing date of GAFSP funds 31 March 2020

If this has changed, enter new date:

Next planned supervision mission n.a.

Commitments and Disbursements

Commitment

($m)

Disbursed as of

June 2015 ($m)

Disbursed as of

Dec 2015 ($m)

Disbursed as of

June 30, 2016 ($m)

% of total

commitment

disbursed as of

June 30, 2016

Total

Project1 63.43 0 0.95 2.20 3.5 %

GAFSP

portion 14.6 0 0.21 0.50 3.4 %

SE’s Official Ratings2

Previous Rating

December 2015

Current Rating

Rating date: June 2016

Progress towards achieving PDO Moderately Satisfactory

(March 2016) Moderately Satisfactory

Overall implementation progress Moderately Satisfactory

(March 2016) Moderately Satisfactory

2. Implementation Status Overview

1) Provide a paragraph or two describing the project implementation progress, highlighting key outputs

and outcomes that have resulted during the reporting period of January 1, 2016 to June 30, 2016.

Focus on key outputs and outcomes as opposed to administrative or process-related activities.

Better progress has achieved under this reporting period. Under output 1, MAFF is in the process of complying

with the 12 policy conditions to obtain the release of the second tranche. Two conditions have been achieved.

Due to difficulty in coordinating among line ministries, the that compliance date for the second tranche policy

1 Including all financing sources, such as other donors, government, beneficiary, etc. 2 If the SE’s rating scale differs from a five point scale of Highly Satisfactory (HS), Satisfactory (S), Moderately Satisfactory (MS), Moderately Unsatisfactory (MU), and Unsatisfactory (U), then please attach an explanation of the scale being used.

Appendix 5


59

conditions is extended from currently 30 June 2016 to 31 October 2016 not 31 December 2016 at the request of

MAFF.

Under Output 2 MOWRAM has recruited the consultants for the feasibility studies, detailed designs and

construction supervision of the proposed 19 irrigation sub-projects. The feasibility studies that were completed

during the PPTA for two irrigation sub-projects have been reviewed by the consultants and submitted to ADB for n

objection prior to recruitment of contractors for the civil works. The consultants are in the process of conducting

feasibility and detailed technical engineering designs for the remaining subprojects.

Under Output 3 the bidding for the procurement of equipment for the seed testing laboratory at MAFF/ GDA

has been completed and the bid evaluations submitted to ADB/CARM for no objection. Office space has been

identified within the MAFF/GDA building as the site for the laboratory. The PIC team have reviewed the

laboratory equipment to be purchased and have commenced the preparation of training materials for use later

this year when the laboratory has been established and the equipment installed. Under Output 6 (Effective

Project Management and Implementation) office equipment and furniture has been procured for all National

Implementation Offices (NIOs) and Provincial Implementation Offices (PIOs). The PIC team members have

continued to provide technical support to all the EA and all IAs, a contract variation was approved following

the ADB Mission in June 2016 that made adjustments to the inputs of some of the international team

members. The PPMS has been developed and initial training has been provided to NIO and PIO staff on its

use. The PMS will be used as the basis for quarterly reporting from Q2 2016.

2) Has project implementation been affected by the recent El Nino phenomena? If so, provide details.

The drought conditions experienced in Cambodia in 2016 were reported to be the worst for 50 years.

3) Has there been any political or social instability in the project target zone that have affected project

implementation? If so, provide details.

None reported so far.

4) Has the project undergone any official sanctions either by the Supervising Entity or the Government

(e.g. a qualified audit report, suspension, fraud allegation, investigation) during the reporting period

of January 1, 2016 to June 30, 2016?

Sanction by SE: YES ☐ NO ☒, if Yes, date:

Sanction by Government: YES ☐ NO ☒, if Yes, date:

No sanction during the reporting period but it had happened once which in the last reporting period which was

from June to July 2015 but consultants resumed work in August the same year. Probation period extended for

the following three months.

5) If you have answered Yes in 4), provide a brief explanation of the sanction.

n.a.

Appendix 5


60

3. Project Results

1) Direct project beneficiaries (report for entire project totals – do not prorate for GAFSP

financing)

Unit

Reached

as of

June

2015

Reached

as of Dec

2015

Reached

as of

June 30,

2016

End of Project

Target

(Enter revisions

in the next

column)

Revisions

to Project

Target

(if any)

Total direct

beneficiaries

Individuals/

Persons 0 0 0 50,000 n.a.

Households - - - - n.a.

% women % 0 0 0 40% n.a.

2) Cross-cutting themes: How does your project contribute significantly to any of these

topics?

a) Nutrition: Does your project implement activities that directly and intentionally contribute to

improving nutritional status of its beneficiaries? YES ☐ NO ☒

Specifically, does your project implement any of the following activities?

• Dissemination of bio-fortified seeds/crops YES ☐ NO ☒

• Construction of homestead gardens YES ☐ NO ☒

• food fortification YES ☐ NO ☐

• promoting production of food with high nutrient content, e.g., horticulture, pulses, meat, dairy, fish)

YES ☐ NO ☒

• Nutrition education (through community programs or extension programs) YES ☐ NO ☒

• Awareness campaigns on breastfeeding YES ☐ NO ☒

• Providing supplements, e.g. folic acid, iron, calcium, multiple vitamin A, zinc) YES ☐ NO ☒

• Producing or distributing ready to use therapeutic foods YES ☐ NO ☒

• Other activities YES ☐ NO ☒

If you have answered YES above, please provide detail on activities carried out and its results to date.

b) Climate smart agriculture: Does your project implement activities that directly and intentionally

adapt to climate change or mitigate greenhouse gas emission? YES ☒ NO ☐

Specifically, does your project implement any of the following activities?

• Climate-resilient irrigation/water management practices (Describe the specific aspects of climate-

resilience in the text box below) YES ☒ NO ☐

• Traditional agronomic techniques such as mulching, intercropping, conservation agriculture, on-

farm water management, and/or pasture and livestock management YES ☒ NO ☐

• Innovative practices such as improved climate-resilient seed varieties, better production

management of emission-intensive crops, integrated pest and disease control technologies YES ☒

NO ☐

• Management systems using agro-climate data to better manage/predict climate variability risks YES

☒ NO ☐

Appendix 5


61

• Extension services/training on climate-resilient farming techniques YES ☐ NO ☐

• Other activities YES ☒ NO ☐

If you have answered YES above, please provide detail on activities carried out and its results to

date.

Although no field activities have yet commenced the projects will include the following features:

Design of irrigation sub-projects projects will incorporate modified structures to mitigate for the

increased risk of flooding as well as more efficient water distribution; land leveling will be introduced

to reduce water requirements through increased water use efficiencies; drought tolerant rice

varieties will be introduced to farmers through demonstrations and seed production programs;

weather indexed crop insurance will be piloted in selected areas; agricultural extension messages

will incorporate climate smart agricultural techniques.

c) Jobs: Does your project implement activities that directly and intentionally lead to employment

creation? YES ☒ NO ☐

• Setting up of post-harvest facilities with new job opportunities YES ☒ NO ☐

• Cash/food for works schemes YES ☐ NO ☒

• Vocational training programs (only when post-training employment is specifically tracked)

YES ☒ NO

• Other activities YES ☐ NO ☒

If you have answered YES above, please provide detail on activities carried out and its results to

date (including numbers of jobs created).

Constructions of civil works will require local labor force.

3) GAFSP Core Indicators3 (report for entire project totals – do not prorate for GAFSP

financing)

GAFSP Core

Indicator Baseline

Reached

as of June

2015

Reached

as of Dec

2015

Reached

as of June

30, 2016

End of Project

Target (Enter

revisions in the

next column)

Revisions

(if any)

Number of client

days of extension

services provided

to farmers,

community

members etc.

(disaggregated by

gender)

- 0 0 0 20,000 client

days nil

Number of farmers

who have adopted

the technology

being promoted

- 0 0 0 30,000 farmers nil

3 If there have been any changes to the applicable GAFSP Core Indicators for your project, please add or delete them in the table.

Appendix 5


62

GAFSP Core

Indicator Baseline

Reached

as of June

2015

Reached

as of Dec

2015

Reached

as of June

30, 2016

End of Project

Target (Enter

revisions in the

next column)

Revisions

(if any)

Number of

additional hectares

which have

adopted the

technology being

promoted

- 0 0 0 6,900 ha nil

Area with

improved/rehabilitat

ed irrigation and

drainage services

(ha)

- 0 0 0 23,000 ha nil

Number of water

users provided with

new/improved/reha

bilitated irrigation

and drainage

services

(disaggregated by

gender)

- 0 0 0 30,000 farmers nil

Number of

operational water

user associations

- 0 0 0 23 WUAs nil

Number of targeted

clients who are

members of an

association

including producer

association,

cooperative, water

user association

etc (disaggregated

by gender)

- 0 0 0 30,000 farmers nil

Volume of farm

produce under

improved post-

harvest

management

- 0 n.a. n.a. 40,000 tons nil

Number of private

or public-private

agro-processing

and quality control

facilities installed

- 0 n.a. n.a. 6 facilities nil

Appendix 5


63

GAFSP Core

Indicator Baseline

Reached

as of June

2015

Reached

as of Dec

2015

Reached

as of June

30, 2016

End of Project

Target (Enter

revisions in the

next column)

Revisions

(if any)

Number of client

days of training on

better post-harvest

storage,

transportation,

and/or

management

practices provided

(disaggregated by

gender)

- 0 0 0 50,000 client

days nil

Number of systems

introduced or

restored to improve

food security

monitoring and

early warning for

weather-related

risks

- 0 n.a. n.a. 1 system nil

Number of policies,

strategies,

frameworks or

investment plans

adopted

- 0 n.a. n.a. 5 policies nil

Number of

participants in M&E

workshops, training

events, seminars,

conferences etc.,

(disaggregated by

gender and

affiliation)

0 0 0

235 (full

disaggrega

ted data

not

available

yet)

300 participants nil

Annex 6

CLIMATE RESILIENT RICE COMMERCIALISATION SECTOR DEFVELOPMENT PROGRAM Quarterly Progress Report Q2 2016

64

GENDER ACTION PLAN

The program is categorized as effective gender mainstreaming. It will enhance access of women farmers to decision making, resources, and services. Gender issues were incorporated into appropriate tranche conditions as stated in the policy matrix and gender indicators were included in all program outputs.

Gender Action Plan (GAP Activities, Indicators and Targets,

Timeframe and Responsibility)

Progress

Issues and Challenges

Output 1. A Conducive Legal and Regulatory Environment established to facilitate Climate Resilient Rice Commercialization

Gender issues will be subsequently main-streamed into the Agricultural Land Law and the Law on Management and Use of Agricultural Land Responsibility: MAF, PDS, GSS Time: dependent on progress in Output 1: Policy

Gender issues are reflected in Agricultural Land Policy and the Law on Management and Use of Agricultural Land; however, qualitative and quantitative sex-disaggregation of the beneficiaries are not yet reflected in reports.

The Agricultural Land Policy and the Law on Management and Use of Agricultural Land are of particular importance because they are conditional to the release of the second tranche of funds by ADB.

Considering MAFF is a pioneer in gender mainstreaming, it was a surprise that the issue has completely left out gender issues in Land Policy White Paper, Agricultural Land Policy and Law on Management and Use of Agricultural Land.

Ensure gender analyses included in development of all policies Responsibility: PMO, NIOs MAFF, and PDS, GSS Time: by Q1 2016

The ADB has very clear guidelines and policies on consultations and in general expects as full and as meaningful consultation as is practically possible with all PIOs but with more intensive consultations with primary stakeholders, which include groups of people that are targeted to benefit from projects it finances.

Review draft policy documents stated in the second tranche of the policy matrix before the Government’s submission to ADB to ensure inclusion of gender mainstreaming issues. (Relevant policy documents reviewed and include gender issues by Yr 3)

Ensure inclusion of gender expertise in working groups for policy development

Responsibility: PMO, NIOs, LUP/GIS Time: by Q3 2015

The terms of reference for the Gender Specialists have been carefully reviewed with a few queries that need to be clarified by ADB.

Women staff comprise 17.7 % of total 96 NOI, PMO, PICs staffs which is below the 30% target as per project GAP.

The ambitious percentages as indicated in the GAP for women participation vary from 30 % to 50% e. Within PIC team and PMO, NIOs and PIOs, it was interpreted with caution because from experience, conditional clauses especially in construction/civil works may hamper progress.

All laws and legal documents will be adequately disseminated among male and female groups. Responsibility: PMO, NIOs, MAFF, MLMUPC, MOWRAM, LUP/GIS Time: dependent on progress in Policy issues

Not yet accomplished

Content of documented material for dissemination to be determined

Annex 6


65



Progress


Output 2. Agricultural Land Use Zoning Improved

The guidelines for Establishing Agricultural land-use Zones will incorporate measures for involving women in planning and decision making.

Responsibility: NIO, MAFF and LUP/GIS Time: by Q1 2016

Landownership as indicator of wealth is acceptable but should include female-headed households as a sub-indicator.

A balance will have to be accepted so that technical activities will not override gender issues and vice versa. This matter has been brought up with the Gender Consultant at ADB Cambodia Resident Mission.

Ensure participation of women and women heads of households in collection of data and information relating to land-use zoning through use of women focal group discussion meetings. 90 groups of farmers consulted (with at least 40% female representation) during the

preparation of commune land use plans by 2018 Responsibility: PDA, PDLMUPC, LUP/GIS Time: by 2018


Time frame has to be fine-tuned and fitted in with the other activities

The Rice-SDP monitoring system will incorporate sex disaggregated data. The GAP will be implemented within each and every program activity where relevant.

The GAP is prepared in order to highlight and remind the implementing agencies of their responsibilities.

Output 3. Climate Resilient Rice Value Chain Infrastructure Developed

Women will comprise 50% of the community

membership of construction sub-committees Responsibility: PDWRAM, RIE-H, CMS Time: concurrent with rehabilitation activities


In the planned updating of the project GAP next year at Q3, 2016, the targets will be re-validated through series of participatory data gatherings with project beneficiaries and other stakeholders.

Separate women farmers’ meetings to discuss their needs related to location, alignment and access to irrigation infrastructure Responsibility: PDWRAM, PIOs and CMS Time: concurrent with rehabilitation activities


Pending on timeframe of implementation of irrigation-related sub-projects

Final designs on infrastructure investments will be signed by construction sub-committees and commune councils. Further changes to the design must again be approved by the construction sub-committee


The process of approval is to be determined. Sub-projects implementation to commence after feasibility studies (for some) and detailed design (for all)

Annex 6


66



Progress


Responsibility: PDWRAM RIE-H, CMS Time: concurrent with rehabilitation activities

In labor-based civil works, 40% of unskilled laborers will be women. Women will receive

equal pay for equal work. Child labor will not be employed. These conditions are to be included in all construction contracts Responsibility: PIOs, PDWRAM, PDA and

Procurement Specialists Time: during sub-project implementation


Construction contracts of each sub-project have differing conditions, including targets and will be addressed as sub-projects become implemented

Employment opportunities targeted at men and women will be communicated to communities Responsibility: PIOs, PDA, PDWRAM, RIE-H, CMS Time: during sub-project implementation


Targeted for implementation as project implementation progresses.

Target of at least 30% employment of women as unskilled laborers in rice drying and

warehousing facilities Responsibility: PIOs, PDA and Procurement Specialists Time: at pre-construction phase

Construction and other civil works will be started after recruitment of consulting engineers; some preliminary design activities are currently implemented

Evidenced from employment list of facility after it is in operation

The nature of construction works involving women will be determined during pre-construction orientation with contractors

Target 50% women’s employment as administrative staff in rice drying and storage

facilities Responsibility: PIOs, PDA, RIE-H, Procurement Specialists Time: post facility establishment

A balance will have to be accepted so that technical activities will not override gender issues and vice versa.

Contract stipulates special conditions. Employment list of facility after it is in operation

Target 50% women employed in seed production facilities as unskilled and semi-

skilled laborers, e.g. seed and seed bed preparation, weeding and seed grading and sorting, packaging etc.

Discussions have been held with Some Seed Growers’ Groups in Farmers’ Cooperatives in target areas. This process will be expanded.

Target in business contracts. List of employment in each and every production facility, after they are in operation

Annex 6


67



Progress


Responsibility: PIOs, PDA, Facility Operators, Business Dev. & Comm. Specialists, PPP Specialist Time: post facility establishment

Occupational safety measures and training provided to all workers. Responsibility: PDA, Facility Operators and Business Dev. & Comm. Specialists, PPP Specialist Time: pre-construction

To be implemented during pre-construction phase Targeted for implementation as project

implementation progresses.

Farmer Water User Communities (FWUCs) will accept membership registrations from husband and wife – 50% target for each. Responsibility: PDWRAM, PIO and CMS Time: throughout sub-project development

Community Mobilization Specialist (CMS) has been increasing awareness and encouraging commune authority preparation for FWUC to increase the participation of women.

Formal documentation, public announcements and membership lists of each FWUC are to be developed

Target at least 30% women in management positions in FWUCs. Women will be provided

training on leadership and management and will be remunerated for their roles. Responsibility: PDWRAM, PIO and CMS Time: throughout sub-project development

Community mobilization specialist (CMS) has been providing awareness and encouraging commune authority preparation for FWUC to increase the participation of women.

FWUC in Battambang (Prey Sangha) were established by ECOSORN project and recognized by PDWRAM, but they require strengthening

Some FWUCs require strengthening

List of attendees in training to be assessed during implementation of each sub-project

FWUC advisory committees established to monitor FWUC activities will comprise 50% women. Responsibility: PDWRAM, PIO and CMS Time: throughout sub-project implementation


Facilitate gender mainstreaming training at community level with all project financed activities.

PIOs undertake training in all sub-project activities

Affected members dissatisfied with FWUC resolutions of disputes have the right to appeal to the FWUC advisory committee. Responsibility: PDWRAM, PIO and CMS Time: during facility operation


FWUC advisory committee has a procedure for disputes and appeals after FWUC formation, pending on each sub-project

Affected women/households in FWUC will be identified and the information will be transferred to MAFF and PDA in the 3 provinces to be

Annex 6


68



Progress


included and prioritized in work-plans and training activities.

Water provision where feasible, will include both irrigation and non-irrigation water needs of households.

Responsibility: FWUC, PDWRAM and CMS Time: during sub-project implementation


Villagers consulted in each and every sub-project on irrigation; pending on timeframe of sub-project implementation

Output 4. Rice Value Chain Support Services Enhanced to improve Quality of Cambodian Rice

Target at least 30% women in management positions in farmer cooperatives Responsibility: PDA, PIO, CMS Time: during sub-project implementation

Not yet accomplished. Preliminary discussions held with farmer cooperatives in Battambang.

Women in farmer cooperatives are the primary recipients of the project’s livelihood skills training to be conducted tentatively by 2016

Women will be provided training on leadership and management of cooperatives Responsibility: PDA, PIO and CMS Time: during sub-project operation

The GSS’s TOR and PAM’s GAP guide gender mainstreaming targets in the 30 sub-projects.

The GAP has been discussed with the other PICs ensuring that it is understood and that they include the stipulated targets in their activities. Review of policies and development of M&E have resulted in full gender inclusion.

In the planned updating of the project GAP in early 2016, the targets will be re-validated through a series of participatory data gathering missions with project beneficiaries and other stakeholders.

Farmer cooperatives will target membership of 50% men and 50% women. Responsibility: PDA, PIO and CMS Time: during sub-project implementation

Not yet accomplished. Preliminary discussions held at target sites in Battambang.

In the planned updating of the project GAP in early 2016. The formation and structure of cooperatives depends on the specifications of each sub-project.

Women will comprise 50% of participants in all project supported training in extension and

water management. Responsibility: PDA, PIO and Extension

Specialist Time: 2015-2017


Undertake gender training at central and provincial levels Training to be completed by Yr 3 (Many government staff have been trained from different projects in the past 10 years. Training if required will be repetitive.)

Annex 6


69



Progress


Agricultural extension training materials and revision of technology implementation procedures will include specific training needs identified by women farmers on enhancing productivity, diversification of produce, animal husbandry and safety procedures and new income generating activities. Responsibility: PDA, PIO and Extension Specialist Time: throughout


PIOs, the main provincial and district staff and contracted service providers will undertake training on relevant sub-project activities involving diversification to establish community-based sub-committees’ roles and responsibilities.

50% of farmers in pilot on farm trials and

demonstrations will be women. Responsibility: PDA, PIO and Extension

Specialist Time: during sub-project execution

Not yet accomplished. Discussions at sites in Battambang show awareness and practice of this to varying extents.

Selection procedure stipulates women participation at commune targets.

Extension training activities will ensure location and timing convenient for women. Responsibility: PDA, PIO and Extension Specialist Time: throughout


Extension training schedule will be implemented at every sub-project from Year 2016

Training material will be designed to meet the needs of female and male farmers including illiterate farmers Responsibility: PIO, PDA and Extension Specialist Time: throughout

Not yet accomplished. Build upon work done by JICA and IRRI

Select material by considering women’s needs in the community.

Some 25% of agricultural extension workers

trained shall be women. Not yet accomplished

Facilitate the mainstreaming of safety issues into MAFF/PDA animal husbandry training

Annex 6


70



Progress


Responsibility: PDA, PDWRAM and Extension Specialist Time: 2016 through sub-project operation

List of extension workers in each province provided for action in 2016

Mass media extension material to be gender sensitive. Responsibility: PIOs, PDAs and Extension Specialist Time: throughout


PIO will monitor the mass media extension material.

Facilitate linkages with Ministry of Health/Communicable Disease Project Phase 2, the Zoonotic Disease Unit and MAFF/GDA to provide occupational health and safety training to especially women poultry raisers

Address lack of access to credit by women and poor households (similar to TOR item xii). Responsibility: PDA, PIO, BAFS and CMS Time: during sub-project implementation


Train provincial and district staff and contracted service providers in establishing and strengthening women’s savings and loan groups

Training depends on the formation of co-operative in each sub-project (use cross- provincial expertise among the 3 provinces. Some PDAs have experience in facilitating savings and loan groups)

Output 5. Weather-Indexed Crop Insurance (WICI) piloted

Some 50% of farmers under the pilot insurance scheme will be women and 10% of these to be female headed households. Responsibility: PMO, NIOs, PIOs, PIC, WICI

Consultants Time: Q4 2018 if feasible

Not yet accomplished Activity depends on the results of the WICI scheme pilot program

Output 6. Efficient Program Management and Implementation

Support PMO and PIOs. Responsibility: PMO, ISS-PIOs, PIC-GSSs Time: throughout

An orientation on GAP has been undertaken for the PMO and NIO MAFF and 3 PIOs.

Continuing discussions with PMO regularly

Gender balance may be achieved after the series of gender sensitization workshops with NIO, PMO and PICs.

The PIO has members who were not at all involved in the PPTA so the awareness and knowledge of Rice-SDP is weak. Wonder,

Annex 6


71



Progress


however, why the Program set such high percentages especially in women participation as unskilled workers in construction / rehabilitation activities knowing that out-migration from villages has almost depleted the able-bodied population, both men and women. PPTA did not mention this phenomenon.

Ensure sex-disaggregated performance monitoring system is established and operational. Responsibility: PMO-M&E, GSSs, MIS/Database Specialist Time: pre-construction phase as sub-project

implementation progresses

The GSSs have contributed to the drafting of the TOR for FS of sub-projects. The GAP in English and Khmer versions has been widely distributed.

There are hurdles to be overcome including over-saturation of gender training, ambitious targets, imbedded preference for separate gender activities and perception that gender inclusion interferes in technical activities.

All PMO and PIO staff shall be provided with gender training and roles and responsibilities involved in implementing the GAP. Responsibility: PMO, PIOs and GSSs Time: Q4 2014 and continuous

Training materials were produced in Khmer language by national gender consultant and distributed to participants during the training.

Total participants attending the training was 85 of which 15 (18%) were women.

Some challenges were raised during the training:

- Lack of budget for gender activities: training, meeting for villagers ,etc

- Number of women participating in the project is high but less women at decision making level

Note: - Fewer women attended gender training in

line NIO, PMO and PICs.

About 30% of technical and administrative positions to be filled by women (originally by Q2, 2013). Responsibility: PMO and GSSs Time: Q4 2015 – Q4 2017

To be implemented

Facilitate gender mainstreaming training at community level within all project-financed activities by preparation of material by Yr 1 and Training during Yrs 1, 2 and 3 (use material from other relevant projects)

Ensure participatory evaluations are conducted with male and female farmer groups at mid-term and end of the project reviews. Responsibility: PMO and ADB Time: periodically throughout

To be implemented

Review/monitor program progress and monitoring reports including baseline surveys and end-line impact evaluation reports to ensure data is gender disaggregated (Review progress reports quarterly).

Appendix 7

CLIMATE RESILIENT RICE COMMERCIALISATION SECTOR DSEVELOPMENT PROGRAM Quarterly Progress Report Q2 2016

72

Progress Report for Program Implementation Consultants (Q2 2016)

April 2016

- Further progress was made by the national Policy Development Specialist on the

review of the draft prakas on seed certification and the technical guidelines for

Distinctness, Uniformity and Stability of varieties. A meeting was attended on the

Taskforce on drafting the national strategy on land degradation. Also attended a

meeting of the Working Group on Plant Protection which is now chaired by the

GDA/Director General. The general specifications of seed certification were prepared.

There also a meeting with CARDI on seed production strategies and constraints. There

was a meeting of the working group for Agricultural Land Zoning and the composition

of the group had been changed. Further discussions were held with the head of this

working group on the regional technical workshops that will need to be conducted as

well as the overall slow progress in the development of the guideline for agricultural

land use zoning.

- The draft Concept Paper on Certified Rice Seed Production that had been prepared

by the MAFF/NIO team was reviewed by the Team Leader (TL) and Deputy Team

Leader (DTL) and substantial changes were made to expand the scope and content.

The initial draft focussed only on the conduct of the Farmer Field Schools for certified

seed production and did not discuss the activities needed to address the shortage of

foundation seed, the mechanisms for multiplication of registered seed and the support

for rice seed producer groups to strengthen their own production capacity.

- A draft Concept Paper on Land Levelling was prepared by the TL and sent to the

MAFF/NIO for review and comment. This document was prepared based upon

information that was collected during field trips to Battambang and Kampong Thom

provinces to meet with contractors and also meetings in Phnom Penh with local dealers

in agricultural machinery.

- The DTL attended the meetings between ADB/CARM Project Officer and MAFF/NIO,

MOWRAM/NIO and MLMUPC/NIO teams when briefings were provided on the status

of activities and there was discussion of coordination mechanisms, commune target

selection, Annual work Plans and Budgets and other related issues.

- All PIC members joined the Kick Off Meeting for the ADB Review Mission. PIC Team

Leader (TL) and DTL participated in the ADB Review Mission to each target province

including meetings with the PIOs and visits to selected sub-projects sites.

- DTL and Land Use Planning Expert joined meeting between MAFF/NIO and

MOWRAM/NIO on the selection of target communes. The Land Use Planning Expert

then coordinated with each PIO to achieve a consensus on the final selection of the

target communes.

- DTL and TL attended the discussion at ADB/CARM together with the PMO Finance

Adviser to clarify the fund allocations for each NIO and PIO under each Output.

- DTL joined meeting at MAFF/NIO to review the seed standard.

- Field visit was made to Kampong Thom and Battambang provinces by the PPP

Specialist, together with the international and national post-harvest specialists, to

identify opportunities for PPP investments and to discuss and analyse these

arrangements with operators in the rice sector. The field visits were facilitated BY THE

Implementation Support Specialists (ISSs) based in each province. In Prey Veng four

rice mills and three agricultural cooperatives were visited and the cross border trade

for paddy into Vietnam was also observed. In Battambang there were also visits to four

Appendix 7


73

rice mils and three agricultural cooperatives as well as discussions with paddy traders.

Possible business models are being developed based on the information gathered

from these consultations.

- The international M&E Specialist completed the reports for the PPMS training were

completed and the final version of the draft PPMS Manual was submitted to the PMO

and ADB for review. The excel worksheets for CLUP and irrigation sub-projects were

finalised and sent to the PIOs. A draft ToR for the baseline survey was prepared.

- The national M&E Specialist Rice SDP website was further refined through updating

the interface and content management. There was also further work done to develop

the needed documentation link between the CLUP and pre-CLUP.

- The national Environment and Climate Change Expert (ECCE) completed the

preparation of the materials for the environmental safeguarding training and conducted

the training in each target province for the PIO staff and also for the NIOs/PMO staff.

Upon completion of the training articles were prepared on the environment

safeguarding reporting and these were uploaded to the Rice SDP website.

- A workshop organised by the Ministry of Environment and IIED for the launch of the

Cambodia National Climate Change Monitoring and Evaluation Framework was

attended by the national ECCE and the TL. During the workshop the ECCE provided

inputs for the preparation of sectoral M&E frameworks for climate change for MAFF

and MOH.

- The provincial ISSs assisted the PIO team to develop the ToRs for each of their staff.

These were submitted to the PMO but needed to be assembled into a common ToR

for all three provinces which can be incorporated into the PAM. They also assisted in

the organisation and facilitation of the monthly coordination meetings in each province

and supported the PIO during the ADB Review Mission visit.

- In Kampong Thom the ISS assisted with the facilitation of a field visit by the

MOWRAM/NIO team and the FS consultants to visit five irrigation sub-projects during

which there were meetings with local authorities and residents. In Battambang

province the ISS joined a visit by the PIO to one irrigation sub-project which overlaps

with a JICA funded project.

May 2016

- Further work was achieved by the national Policy development Specialist on policy

compliance including the following (i) the draft technical guidelines on DUS were

reviewed; (ii) the draft outline for land use zoning were reviewed and discussions with

the chair of the WG for land use zoning on the progress of the draft law; (iii) agreement

was reached with the WG responsible for agricultural use zoning on the outline of the

guideline; (iv) the draft seed standards and draft technical guideline for seed

certification were reviewed; (v) there was a meeting of the task force on drafting of the

National Action Program on land degradation; and (vi) the draft NAPLD was reviewed.

- The TL and DTL participated fully in the ADB Review Mission which commenced in

late April and concluded on 10th May with the wrap up meeting at SNEC. All PIC team

members attended the wrap up meeting. The PIC team has commenced working with

the PMO and NIOs to implement the agreed actions contained in the Aide Memoire.

- The TL and the international climate change expert reviewed the ToRs for the

FSDDCS for Paddy Drying and Storage and also the WICI were reviewed and revised

top incorporate climate change mitigation aspects. The revised ToRs were given back

to MAFF/NO for consideration prior to the re-advertisement for EoIs.

Appendix 7


74

- Support was provided by the international Extension Expert to the conduct of the ToT

on CAEA in Battambang organised by MAFF/NIO. Following the completion of the

training the CAEA manuals were revised and plans were made for the conduct of the

next round of ToT in KPT province to commence on June 27th.

- The international PPP Specialist completed further field visits to KPT province during

which there were meetings with operators (rice mills and cooperatives). Other

meetings were held in Phnom Penh with AMRU and AQUIP. He also facilitated the

meeting with MAFF/NIO team members as well as other stakeholders on the PPP

mode of operation and how it might be applied to the Rice SDP.

- The international and national Postharvest Specialists joined the field visits on KPT

with the PPP Specialist and also conducted further meetings in Phnom Penh with rice

millers. He also contributed during the meeting with the MAF/NIO with presentations

on rice milling operations and rice milling standards that are is use in Thailand.

- The TL, DTL and Postharvest Expert attended the meeting at MAFF/NIO to discuss

land levelling together with ISS and PDA representatives from each province. There

was agreement reached for the conduct of consultations with farmers in each proposed

irrigation sub-project site area, which will be coordinated by the PIC/ISSs, to discuss

and gauge the reaction of farmers to contribution to the cost of land levelling

- The RiceSDP website was restructured and new content updates were made for the

NIOs. Further work was done on the FSMIS and data extracted fir use in the ToT for

CAEA un Battambang. The use of social media was shared with the NIO and PIC

teams for more effective sharing of information. Further discussions were held with the

three ISSs for updating and revision of the PPMS indicators.

- The national Postharvest Specialist assisted MAFF/NO to prepare the list of grain

sampling equipment for procurement.

- The national Environment and Climate Change Expert met with MOWRAM to discuss

the safeguard reporting for the first two irrigation sub-projects and also worked in

partnership with the international Environment and Climate Change Expert during the

initial meetings including discussions with PMO Project Manager on future roles.

- The national Land Use Planning Specialist facilitated discussions with each NIO and

PIO to re-evaluate the selection of the target communes. He also assisted the

international Extension Specialist during the review of the CAEA manual and

completed the preparation of the ToR for the CLUP ToT.

- The ISSs provide on-going support in each province to the PIOs for (i) translation of

the PPMS for each sector and review of the formats for the recording forms and the

indicators; (ii) joined field visits by the MOWRAM/FSDDCS team to selected irrigation

sub-projects sites; (iii) assisted the PIO team during the auditor visit; (iv) joined the

ADB/CARM Mission wrap up meeting in Phnom Penh; (v) participated in field

consultations with farmers on the land levelling proposals; (vi) assisted the PIOs to

develop ToRs for their team members and in the preparation for recruitment of

additional incremental staff; (vii) participated in meeting to revise the PPMS recording

formats and review the indicators.

June 2016

- All PIC team members participated in the AWPB Launching Workshop which took

place 9th of June 2016, and was also attended by PMO, NIO and PIO team members.

Appendix 7


75

- The IEEs for the first two priority irrigation sub-projects prepared by MOWRAM were

reviewed and suggestions made on improvement and updating as well as

incorporation of climate change elements. An agreement was reach with MOWRAM

for the PIC Environment and Climate Change Experts to be mobilised when needed to

support the review of future IEEs.

- The Terms of Reference for the FSDDCS and WICI were extensively revised following

a meeting at ADB with MFF/NIO Project Coordinator. The two consultancy packages

have been split into two stages and the new versions for Phase 1 of each study have

been submitted to ADB for no objection.

- The final version of the National Seed Policy was discussed at a workshop organized

by MAFF/GDA, and it has been agreed that the Khmer version will be reviewed prior

to submission to MAFF.

- Further work was done on the CLUP ToR and PIC members participated in discussions

with the MLMUPC/NIO. Work also commenced on the preparation of a Concept Note

for CLUP describing the roles and responsibilities of the MLMUPC national and sub-

national teams as well as the national consultant firm that will be hired to conduct the

CLUP.

- The GAFSP Review Mission took place where project progress what presented for the

PMO, and the TL participated in a field mission to KPT to visit sub-project sites and

PIC team members joined the Kick Off and Wrap Up Meetings.

- A Finance Assistant has been hired and will be mobilized in July to support BTB PIO,

and an advertisement for a Finance Assistant for PVG PIO was posted.

- A Precision Laser Land Levelling Assessment Report based upon the consultations

with farmers in each province has been compiled and submitted to PMO.

Annex 8


76

Time Bound Action Plan from May 2016 Mission

Ref.

Par.

Agreed Action Deadline Focal Point Progress

7

Make concerted efforts to meet policy compliance

for tranche 2 particularly

(i) MAFF will have drafted the Law on Management

and Use of Agricultural Land;

(ii) National Action Plan for Land Degradation will

be ready by June 2016.

(iii) MAFF will have prepared and the Government

will have adopted the national action program to

combat land degradation in Cambodia”

(iv) Ministry of Industry and Handicrafts can issue

the standard specifications for ten varieties of

Cambodian milled rice

By 25 June 2016

PMO,

MAFF

MIME

Not Completed

PMO have submitted letter to ADB/CARM on July

5 requesting an extension of the deadline to 31

December 2016.

10

Assess whether any of the target communes

already have AEAs and CLUP or not to avoid

overlapping

By 31 May 2016 PIOs

Not completed

Additional time is required to complete the

assessment in all provinces.

11

Engage one district staff from 13 districts from

MLMUPC line, TORs prepared by MLMUPC and

PIOs recruit. They will be equipped with a

motorbike.

Concept note detailing roles and responsibility

within CLUP will be prepared and submitted for

endorsement.

30 June 2016

30 June 2016

MLMUPC and

PIOs

Partly completed

The ToR for the district staff for MLMUPC has

been prepared. Draft Concept Note is under

preparation.

12

Complete the concept paper for land leveling for

endorsement

Recruit services to conduct land leveling with

contract signed activity started on the ground

July 2016

October 2016

MAFF NIO/PIC

MAFF NIO/PIO

On Going

Field consultations with farmers in each province

have been completed. Consultative workshop has

been conducted in KPT with contractors.

Annex 8


77

Ref.

Par.


15

Follow and monitor closely the milestones for

irrigation as listed in Appendix 4.

No replacements subproject candidate to be

discussed at this stage and NIOs and PIOs will

have to prioritize the subprojects.

Discussion with other projects that have links

before any subprojects are constructed.

Ongoing MOWRAM

On Going

FSs for first two priority irrigation sub-projects have

been revised to include updated IEEs and climate

change considerations. No consideration yet of

replacement or discussions with other projects that

overlap/link with proposed sub-projects.

16

The concept on paddy drying and storage facility,

with recommendations for proposed PPP model is

ready for discussion.

PMO endorsed concept note submitted to ADB for

no objection

Feasibility study and design team should engaged

June 2016

July 2016

August 2016

MAFF NIO/PIC

MAFF NIO/PMO

MAFF/NIO

On Going

PPP Concept paper was produced and reviewed.

Consultative Workshop with private sector

stakeholders will be conducted in late July.

18 Submit request for budget reallocation with the

amount of $1.5 million for feasibility studies By July 2016

MAFF NIO /

PMO

Not completed

21 Engagement of the service provider for WICI MAO NIO

On Going

After consultations with ADB/CARM the he WICI

FS has been revised.

23

Organize national AWPB Launching Workshop for

all NIO Teams, PIO management teams plus

provincial focal points (PDA, PDOWRAM &

PDLMUPC) and PIC members.

20 May 2016 PMO/PIC

Completed

AWPB Launching Workshop was conducted on

June 10th.

24 Conduct regular coordination meetings On-going Steering

committee

Partially Completed

Regular monthly coordination meetings are being

organized by the PIOs and the MAFF/NIO. Other

coordination meetings have not yet commenced.

Annex 8


78

Ref.

Par.


25

PPMS endorsement and put into use

Regular update of Program Website

Baseline Study conducted and information is

available.

15 June 2016

On-going

Q3 2016

PMO/ADB

PMO/NIOs/PIOs

PMO/PIC

On Going

PPMS has been submitted to the ADB/CARM.

During the GAFSP Mission in last week of June it

was agreed to revise the activity indicators to

simplify them and also to separate the three

monitoring frameworks.

26 Assign focal points to update website and social

media. By 31 May 2016 PMO/NIOs/PIOs

Completed

With support from the PIC team each NIO and PIO

has now an assigned focal point for uploading

material to the website and social media and

training has been provided.

27 Review the needs and procure two more vehicles By July 2016 PMO

On Gong

The Procurement Plan has been revised to include

the procurement of two additional vehicles.

32 Submit contract variation number 2 reflect the

changes made and the requirement for better

effectiveness

By 25 May 2016 PMO/PIC Completed

CV2 has been approved by ADB/CARM.

Annex 9


79

Status of procurement of contract packages (30 June 2016)

Contract Package / Description Status EA/ IA

No. of contracts

Date of Award

Estimated Value [USD]

Contract Amount [USD]

GOODS

GD-EQPT1 Supply and installation of paddy drying and storage equipment.

No Prequalification of Bidders. No. of packages to be determined after detailed designs completed.

MAFF n.a. - 3,800,000 n.a.

GD-EQPT2 Supply and installation of seed paddy drying and storage equipment.

No Prequalification of Bidders. No. of packages to be determined after detailed designs completed.

MAFF n.a. - 4,000,000 n.a.

GD-EQPT3 Procurement of office equipment.

No Prequalification of Bidders. Equipment for the PMO, NIOs and 3 PIOs was procured by respective PMO, NIO, and PIOs. Five contracts already signed for PMO, MAFF & MLMUPC computers.

PMO/MAFF/MOWRAM/ MLMUPC/

PIOs

5 2015 322,500 205,959

GD-EQPT4 Procurement of equipment for seed laboratory.

No Prequalification of Bidders. Bidding document: Goods Contract signed but goods not delivered yet.

MAFF 1 - 163,800 251,840

GD-FUR1 Office furniture for PMO and NIOs.

No Prequalification of Bidders.

PMO 1 28/12/15 50,000 47,483

GD-FUR2 Office furniture for PIOs. No Prequalification of Bidders. PMO 1 11/04/16 24,000 24,677

GD-MAT1 Producing certified / foundation seeds.

No Prequalification of Bidders. One contract completed in 2015.

MAFF 2 22/07/15 40,000 24,696

GD-VEH1 Procurement of vehicles. No Prequalification of Bidders. Procurement method includes UN method.

PMO/ NIOs

4 2015 361,000 339,400

GD-VEH2 Procurement of motorcycles. No Prequalification of Bidders. Total of 97 motorcycles: PMO (28), MAFF (26), MLMUPC (18) for PIO staff and one motorcycle for each NIO & PMO.

PMO/ MAFF/

MOWRAM/ MLMUPC

3 2016 175,000 134,829

GD-VEH3 Procurement of two vehicles for PMO.

No Prequalification of Bidders.

PMO 1 16/8/16 98,000 99,000

GD-EQPT5 Procurement of Training Tool Kits & one set of Grain Quality Testing Machine

No prequalification of Bidders.

MAFF 1 n.a. 20,000 n.a.

Annex 9


80


No. of contracts

Date of Award



CIVIL WORKS

CW-FAC1 Construction of paddy drying and storage facilities.

No Prequalification of Bidders. No of packages to be determined after detailed designs are completed. Recruitment of consultants under CON-FS/DD/CS AGR (1 & 2) has made slow progress and construction will not commence until mid-2017.

MAFF n.a. n.a. 5,400,000 n.a.

CW-FAC2 Construction of seed drying and storage and Construction Supervision.

No Prequalification of Bidders. No of packages to be determined after detailed designs are completed. Recruitment of consultants under CON-FS/DD/CS AGR 1 & 2) has made slow progress and construction will not commence until mid-2017.

MAFF 4 n.a. 2,300,000 n.a.

CW-SP1 Civil works for irrigation rehabilitation subprojects.

No Prequalification of Bidders. Contract awards will commence after completion of detailed designs under CON-FS/DD/CS (IRR).

MORWAM 19 n.a. 14,310,000 -

CW-LL1 Precision land leveling contracts. No Prequalification of Bidders. Award of small land levelling contracts will be managed by the PIOs but no action yet on bidding process.

PIO 15 n.a. 1,200,000 -

CW-OFF1 Office renovation for PMO and NIOs.

No Prequalification of Bidders. PMO 1 17/11/15 70,000 63,849

CONSULTING SERVICES

CON-PIC1 Program Implementation Consultants.

Assignment: International Quality/Cost Ration: 80/20 Procurement by PMO in coordination with NIOs.

PMO 1 20/10/14 7,180,000 7,160,842

CON-FS/DD/CS (IRR) National for FS, detailed design and construction supervision for irrigation subprojects.

Assignment: National Contract awarded and consultants were mobilized in March 2016.

MOWRAM 1 15/02/16 2,100,000 2,054,485

CON-CIS (1) Firm for design and FS, and if feasible, pilot testing of WICI.

Assignment: International. Advertisement for EoIs in April was unsuccessful.

MAFF 1 n.a. 500,000 -

CON-CIS (2) Pilot testing of a weather-indexed crop insurance scheme.

Assignment: National. No action yet.

MAFF 1 n.a. 500,000 -

CON-FS/DD/CS (AGR 1) Feasibility Study of Rice Seed Processing, Paddy Drying and Storage Facilities.

Assignment: National. Advertisement for EoIs in March 2016 was unsuccessful.

MAFF 1 n.a. 200,000 -

Annex 9


81


No. of contracts

Date of Award



CON-FS/DD/CS (AGR 2) Detailed Design of Rice Seed Processing, Paddy Drying and Storage Facilities.


MAFF 1 n.a. 800,000 n.a.

CON-MS Miller service contracts for capacity development.


MAFF 1 n.a. 500,000 n.a.

CON-BH1 Bulk handling study. Assignment: National. ToR is under preparation

MAFF 1 n.a. 18,200 n.a.

CON-ME1 Recruitment of independent monitoring entities.


PMO 6 n.a. 557,200 n.a.

CON-LUP National for services to prepare CLUPs.

Assignment: National. ToR under preparation.

MLMUPC 1 n.a. 1,500,000 n.a.

CON-NIO1 Procurement specialists for MAFF/NIO.

Assignment: National. Expertise: Procurement

MAFF 1 04/05/16 90,000 31,740

CON-NIO2 Financial management specialists for NIOs.

Assignment: National Expertise: Financial Management

PMO/MAFF MOWRAM

3 2015/6 180,000 84,804

CON-PMO1 Procurement Specialist for PMO.

Assignment: National Expertise: Procurement

PMO 1 05/02/15 96,000 79,212

CON-PMO2 Financial Management Specialist for PMO.

Assignment: National Expertise: Financial Management

PMO 1 05/02/15 90,000 70,726

CON-AUD1 Program audit. Assignment: National No action yet.

PMO 1 - 74,200 n.a.

Annex 10

CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOE DEVELOPMENT PROGRAM Quarterly Progress Report Q2 2016

82

Summary of priority sub-projects

No. UnitRiels

(Billion)

USD

(Million)

B-7 Rehabilitation of Anglong Ruon system Thmor Korl Irrigation Rehabilitation of 6.3 km of link canal, 21 km of secondary canals and associated structures 1,200 ha 6 2 4 1,065 3 2

B-8 Rehabilitation of Ta Maov Irrigation System Thmor Korl Irrigation Rehabilitation of 4.0 km of link canal, 5.8 km (5) secondary canals and associated structures 200 ha 5 1 1 195 2 4

B-9 Rehabilitation of Mok Rea Secondary Canal Rokha Kiri Irrigation Rehabilitation of 5 km of secondary canal 800 ha 5 1 1 510 6 9

B-6 Rehabilitation of O’ Voir Irrigation System Moung Roussei Irrigation Construction of 1.9 km dike and rehabilitation of 7.3 km of canal and associated structures 1,800 ha 5 1 4 720 9 6

B-3Support for Seed Production in Chong Samnay

with Irrigation RehabilitationMoung Roussei Seed Production

Rehabilitation of 4 km of secondary canal and associated water management structures with support for

seed producing cooperative4,500 ha 2 1 19 5,343 4 5

B-2 Prey Sangha Rice Seed Production Bavel Seed ProductionRehabilitation of 4.4 km of main canal and associated water management structures with support for

seed producing cooperative1,145 ha 2 1 9 522 1 (RS) 1 (RS)

B-4 Seed Drying and Storage Facility Bavel Seed Production Construction of seed drying and storage facility for PPP operation (to be defined) 600 ton 7 2 9 522 5 3

B-5 Seed Drying and Storage Facility Moung Roussei Seed Production Construction of seed drying and storage facility for PPP operation (to be defined) 600 ton 7 2 19 5,343 7 7

B-1 Paddy Drying and Storage Facility Thmor Korl Paddy Storage Construction of 10,000 ton paddy drying and storage facility for PPP operation 10,000 ton 16 4 335 102,978 8 8

K-7 Rehabilitation of Chhuk Khsak Canal Barray Irrigation Rehabilitation of 9 km of secondary canal and associated structures 1,430 ha 4 1 9 1,253 1 (RS) 1 (RS)

K-10 Rehabilitation of Bat Trang Irrigation System Stoung Irrigation Construction of new 120 m weir and rehabilitation of 6 km of irrigation canals 2,000 ha 8 2 16 2,951 7 2

K-9 Rehabilitation of Ta Soong Canals Barray Irrigation Rehabilitation of 1 secondary canal and associated structures 1,330 ha 5 1 12 2,715 5 6

K-8Rehabilitation of Kampaeuy Secondary Canal of

Stung Chinit Irrigation SystemBarray Irrigation Rehabilitation of 7 km of secondary canal and associated structures 650 ha 6 1 4 1,234 4 4

K-3Support for Rice Seed Production with

Rehabilitation of Trach Canal

Stoung & Kg

SvaySeed Production

Support for seed production in San Kor Mean Chey, Kg Svay District, and Trach Canal Stoung District;

and rehabilitation of 4 existing canals and associated structures 947 ha 7 2 18 2,304 3 3

K-4Support for Rice Seed Production with

Rehabilitation of Pnov Irrigation SystemSantuk & Barray Seed Production

Support for rice seed production in Chhuk Ksach, Barray District, in Kvek Baray Dst, and Pnov, Santuk

Dst, and rehabilitation of 8.2 km of Pnov irrigation canal and associated structures1,056 ha 6 1 12 2,834 8 8

K-5 Seed Drying and Storage Facility Barray/ Stoung Seed Production Construction of seed drying and storage facility for PPP operation 600 ton 7 2 12 2,834 6 7

K-6 Seed Drying and Storage Facility Kg Svay/ Stoung Seed Production Construction of seed drying and storage facility for PPP operation 600 ton 7 2 18 2,304 10 10

K-1 Paddy Drying and Storage Facility Stung Sen Paddy Storage Construction of 10,000 ton paddy drying and storage facility for PPP operation 10,000 ton 16 4 59,000 2 5

K-2 Paddy Drying and Storage Facility Stoung Paddy Storage Construction of 10,000 ton paddy drying and storage facility for PPP operation 10,000 ton 16 4 331 60,000 9 9

P-10 Rehabilitation of Ansong Irrigation System Kg Trabek Irrigation Rehabilitation of 6 km of main and 24 km of secondary canals (6), and associated structures 1,192 ha 8 2 5 1,073 4 3

P-9 Rehabilitation of Anlong Char Canal Preah Sdach Irrigation Rehabilitation of 15km of main canal and structures 2,659 ha 7 2 10 2,135 6 7

P-11 Rehabilitation of Rumlech Irrigation system Sithor Kandal IrrigationRehabilitation of reservoir, rehabilitation of 130 m of existing dam, construction of new spillway, and

rehabilitation of 3 km of main and 9 km of secondary canals and associated structures2,117 ha 7 2 10 1,011 5 4

P-7Rehabilitation of Chhue Teal, Boeung Khanhey

Irrigation SystemSvay Antor Irrigation Rehabilitation of 4.8 km of existing dike and 8 km of main canal and associated structures 3,032 ha 6 2 26 2,602 9 8

P-8Rehabilitation of Chamcar Kuoy Canal

RehabilitationSvay Antor Irrigation Rehabilitation of 8.5 km of existing main canal and structures 1,900 ha 6 1 9 1,428 3 9

P-4Support for Seed Production Program at Russey

Sanh VillageSithor Kandal Seed Production

Capacity building in rice seed production, and rehabilitation of associated irrigation system, including

7.5km of main and 20km of secondary canals1,200 ha 7 2 9 3,447 8 2

P-3Support to Seed Production Program at Kg.

Thnal VillagePreah Sdach Seed Production Capacity building in rice seed production, and rehabilitation of 4 km of irrigation canals 550 ha 2 1 6 84 2 6

P-6 Seed Drying and Storage Facility Sithor Kandal Seed Production Construction of 600 Ton seed drying and storage facility for PPP operation 600 ton 7 2 9 3,447 7 5

P-5 Seed Drying and Storage Facility Preah Sdach Seed Production Construction of 600 Ton seed drying and storage facility for PPP operation 600 ton 7 2 6 n.a. 10 10

P-1 Paddy Drying and Storage Facility Svay Antor Paddy Storage Construction of 10,000 ton grain drying and storage facility for PPP operation 10,000 ton 16 4 9 1,623 1 (RS) 1 (RS)

P-2 Paddy Drying and Storage, Facility Preah Sdach Paddy Storage Construction of 10,000 ton grain drying and storage facility for PPP operation, at Kg Thnal Village 10,000 ton 16 4 375 72,732 11 11

Overall Totals 223 56 1,307 344,209

Priority

(2012)

Prov. Re-Priority

(Jan 2015)

BATTAMBANG PROVINCE

KOMPONG THOM PROVINCE

PREY VENG PROINCE

No Name of Subproject District Type Summary Description

Details Estimated CostNo. of

Villages

No of Direct

Beneficiaries

(HH)

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Compliance with Loan and Grant Covenants (Q2 2016)

SN Covenant Reference in Loan / Grant

Agreement Status as of Q2 2016

Financial

1 (a) The Recipient shall (i) maintain separate accounts and records for the Project; (ii) prepare annual financial statements for the Project in accordance with accounting principles acceptable to ADB; (iii) have such financial statements audited annually by independent auditors whose qualifications, experience and terms of reference are acceptable to ADB, in accordance with international standards for auditing or the national equivalent acceptable to ADB; (iv) as part of each such audit, have the auditors prepare a report (which includes the auditors' opinion on the use of the Grant proceeds and compliance with the financial covenants of this Grant Agreement as well as on the use of the procedures for the imprest fund and statement of expenditures) and a management letter (which sets out the deficiencies in the internal control of the Project that were identified in the course of the audit, if any); and (v) furnish to ADB, no later than 6 months after the end of each related fiscal year, copies of such audited financial statements, audit report and management letter, all in the English language, and such other information concerning these documents and the audit thereof as ADB shall from time to time reasonably request. (b) ADB shall disclose the annual audited financial statements for the Project and the opinion of the auditors on the financial statements within 30 days of the date of their receipt by posting them on ADB's website. (c) The Recipient shall enable ADB, upon ADB's request, to discuss the financial statements for the Project and the Recipient's financial affairs where they relate to the Project with the auditors appointed pursuant to subsection (a) (iii) hereinabove, and shall authorize and require any representative of such auditors to participate in any such discussions requested by ADB. This is provided that such discussions shall be conducted only in the presence of an authorized officer of the Recipient, unless the Recipient shall otherwise agree.

Grant 0349, Section 4, para 2

The PMO and also NIOs and PIOs have all established separate Imprest Accounts for receipt of project loan and grant funds. Annual financial statements for end of financial year 2015 were prepared and external audits will be conducted in Q2 2016. PMO have provided training to the NIO and PIO accounting staff on the SOPs.

2 (a) The Borrower shall (i) maintain separate accounts and records for the Project; (ii) prepare annual financial statements for the Project in accordance with accounting principles acceptable to ADB; (iii) have such financial statements audited annually by independent auditors whose qualifications, experience and terms of reference are acceptable to ADB, in accordance with international standards for auditing or the national equivalent acceptable to ADB; (iv) as part of each such audit, have the auditors prepare a report (which includes the auditors' opinion on the use of the Loan proceeds and compliance with the financial covenants of this Loan Agreement as well as on the use of the procedures for the imprest fund and statement of expenditures) and a management letter (which sets out the deficiencies in the internal control of the Project that were identified in the course of the audit, if any); and (v) furnish to ADB, no later than 6 months after the end of each related fiscal year, copies of such audited financial statements, audit report and management letter, all in the English language, and such other information concerning these

Loan 3007, Article 4, para 2


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documents and the audit thereof as ADB shall from time to time reasonably request. (b) ADB shall disclose the annual audited financial statements for the Project and the opinion of the auditors on the financial statements within 30 days of the date of their receipt by posting them on ADB's website. (c) The Borrower shall enable ADB, upon ADB's request, to discuss the financial statements for the Project and the Borrower's financial affairs where they relate to the Project with the auditors appointed pursuant to subsection (a)(iii) hereinabove, and shall authorize and require any representative of such auditors to participate in any such discussions requested by ADB. This is provided that such discussions shall be conducted only in the presence of an authorized officer of the Borrower, unless the Borrower shall otherwise agree.

3 (a) The Recipient shall (i) maintain separate accounts and records for the Project; (ii) prepare annual financial statements for the Project in accordance with accounting principles acceptable to ADB; (iii) have such financial statements audited annually by independent auditors whose qualifications, experience and terms of reference are acceptable to ADB, in accordance with international standards for auditing or the national equivalent acceptable to ADB; (iv) as part of each such audit, have the auditors prepare a report (which includes the auditors' opinion on the use of the Grant proceeds and compliance with the financial covenants of this Grant Agreement as well as on the use of the procedures for the imprest fund and statement of expenditures) and a management letter (which sets out the deficiencies in the internal control of the Project that were identified in the course of the audit, if any); and (v) furnish to ADB, no later than 6 months after the end of each related fiscal year, copies of such audited financial statements, audit report and management letter, all in the English language, and such other information concerning these documents and the audit thereof as ADB shall from time to time reasonably request. (b) ADB shall disclose the annual audited financial statements for the Project and the opinion of the auditors on the financial statements within 30 days of the date of their receipt by posting them on ADB's website. (c) The Recipient shall enable ADB, upon ADB’s request, to discuss the financial statements for the Project and the Recipient's financial affairs where they relate to the Project with the auditors appointed pursuant to subsection (a)(iii) hereinabove, and shall authorize and require any representative of such auditors to participate in any such discussions requested by ADB. This is provided that such discussions shall be conducted only in the presence of an authorized officer of the Recipient, unless the Recipient shall otherwise agree.

Grant 0350, Section 4, para 2


Safeguards

4 The Borrower shall ensure that the preparation, design, construction, implementation and operation of the Project, each Subproject and all Project facilities comply with (a) all applicable laws and regulations of the Borrower relating to environment, health and safety; (b) the Environmental Safeguards; and (c) all measures and requirements set forth in the lEE, the EMP, and any corrective or preventative

Loan 3007, Schedule 5, para 2

Work has not yet commenced on the feasibility studies for the sub-projects.

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actions set forth in a Safeguards Monitoring Report.

5 The Borrower shall ensure that climate change considerations are incorporated in the design and implementation of the Subprojects.



6 The Borrower shall ensure that no subproject which meets ADB's category A environmental criteria set out in the Safeguard Policy Statement is included in the List of Candidate Subprojects, and that no subproject with category A environmental criteria is financed under the Project.



7 The Borrower shall ensure that all land and all rights-of-way required for the Project, each Subproject and all Project facilities are made available to the Works contractor in accordance with the schedule agreed under the related Works contract and all land acquisition and resettlement activities are implemented in compliance with (a) all applicable laws and regulations of the Borrower relating to land acquisition and involuntary resettlement; (b) the Involuntary Resettlement Safeguards; (c) the RF; and (d) all measures and requirements set forth in the respective RP, and any corrective or preventative actions set forth in a Safeguards Monitoring Report.



8 Without limiting the application of the Involuntary Resettlement Safeguards or the RP, the Borrower shall ensure that no physical or economic displacement takes place in connection with the Project until: (a) compensation and other entitlements have been provided to affected people in accordance with the RP; (b) a comprehensive income and livelihood restoration program has been established in accordance with the RP; and (c) all land and all rights-of-way required for a Subproject is free of all encumbrances.



9 The Borrower shall ensure that no subproject which meets ADB's category A resettlement criteria set out in the Safeguard Policy Statement is included in the List of Candidate Subprojects, and that no subproject with category A Resettlement Criteria is financed under the Project.



10 The Borrower shall ensure that the Project does not have any indigenous peoples impact, all within the meaning of the Safeguard Policy Statement. In the event that the Project does have any such impact, the Borrower shall take all steps required to ensure that the Project complies with the applicable laws and regulations of the Borrower and with the Safeguard Policy Statement.



Social

11 The Borrower shall ensure that the GAP is fully implemented and that all Project related activities are designed and implemented in accordance with ADB's Policy on Gender and Development (1998). In particular, the Borrower shall ensure: (a) 50% female membership in community construction sub-committees; (b) 40% female employment as unskilled laborers in Works; (c) 30% female in management positions in farmer cooperatives and farmer water user's committees; (d) 50%


GAP is being updated as a part of the QPRs

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female farmers in pilot on farm trials and demonstrations and pilot crop insurance schemes; and (e) 50% female trainees in all Project training.

12 The Borrower shall ensure that Project Provinces promote active community awareness and stakeholder participation in the design, implementation and performance monitoring of the Subprojects, though (a) disseminating information regarding the nature of the Subprojects in open public forums, and (b) establishing a mechanism for public consultation.



Sector

13 The Borrower shall: (a) ensure that all policy actions adopted under the Program as set forth in the Policy Letter and the policy matrix continue to be in effect for the duration of the Program and subsequently; and (b) adopt all policy actions under the Program, as set forth in the Policy Letter and the policy matrix, in accordance with the planned schedule and shall ensure that such policy actions continue to be in effect for the duration of the Program and subsequently.


Work on completion of the policy documents for compliance with June 30 deadline is not yet completed.

14 The Borrower shall keep ADB informed of policy discussions with other multilateral and bilateral aid agencies that may have implications for the implementation of the Program and shall provide ADB with an opportunity to comment on any resulting policy proposals. The Borrower shall take into account ADB's views before finalizing and implementing any such proposal.



15 The Borrower shall ensure that the Counterpart Funds are used to finance the structural adjustment costs relating to the implementation of the reforms under the Program and other activities consistent with the objectives of the Program. The Borrower shall further ensure that the Counterpart Funds are used in accordance with its Standard Operating Procedures.



16 The Borrower shall ensure that each contract for Eligible Items is awarded on the basis of the purchaser's normal commercial procurement practices in the case of procurement by the private sector, or the Borrower's prescribed procurement procedures in the case of procurement by the public sector, having due regard for principles of economy and efficiency.



17 The Borrower shall, and shall cause MEF, MAFF, MLMUPC and MIME to, (a) comply with ADB's Anticorruption Policy (1998, as amended to date) and acknowledge that ADB reserves the right to investigate directly, or through its agents, any alleged corrupt, fraudulent, collusive or coercive practice relating to the Program; and (b) cooperate with any such investigation and extend all necessary assistance, including access to all relevant books and records, for satisfactory completion of such investigation.



Others

18 The Borrower and MEF shall ensure that the Project is implemented in accordance with the detailed arrangements set forth in the PAM. Any subsequent change to the


Work on revision of the PAM will commence in Q2 led by the PIC team.

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PAM shall become effective only after approval of such change by the Borrower and ADB. In the event of any discrepancy between the PAM and this Loan Agreement, the provisions of this Loan Agreement shall prevail.

19 a) The Borrower shall maintain, or cause to be maintained, records and documents adequate to identify the Eligible Items financed out of the proceeds of the Loan and to record the progress of the Program. (b) The Borrower shall enable ADB's representatives to inspect any relevant records and documents referred to in paragraph (a) of this Section


PMO will introduce recording systems for all IAs to ensure that all relevant information is recorded.

20 (a) As part of the reports and information referred to in Section 6.05 of the Loan Regulations, the Borrower shall furnish, or cause to be furnished, to ADB all such reports and information as ADB shall reasonably request concerning (i) the Counterpart Funds and the use thereof; and (ii) the implementation of the Program, including the accomplishment of the targets and carrying out of the actions set out in the Policy Letter, (b) Without limiting the generality of the foregoing or Section 6,05 of the Loan Regulations, the Borrower shall furnish, or cause to be furnished, to ADB quarterly reports on the carrying out of the Program and on the accomplishment of the targets and carrying out of the actions set out in the Policy Letter.



21 The Borrower shall enable ADB's representatives to inspect the Project, the Goods and Works, and any relevant records and documents.



22 The Recipient shall enable ADB's representatives to inspect the Project, the Goods and Works, and any relevant records and documents.

Grant 0349, Article 4, para 3


23 The Recipient shall enable ADB's representatives to inspect the Project, the Goods and Works, and any relevant records and documents.



24 The Recipient shall (a) ensure that the proceeds of the Grant are used for the purposes of the Project and not diverted for any other purpose; (b) promptly inform ADB if it becomes aware that the proceeds of the Grant are being or have been used for the purpose of any payment to a person or entity, or for import of goods, if such payment or import is prohibited by a decision of the United Nations Security Council taken under Chapter VII of the Charter of the United Nations; and (c) take necessary measures to ensure that entities to which the Recipient makes the proceeds of the Grant available comply with the provisions of this paragraph.



25 The Borrower shall make available necessary budgetary and human resources to fully implement each EMP and RP.



26 The Borrower shall ensure that all bidding documents and contracts for Works contain provisions that require contractors to: (a) comply with the measures relevant to the contractor set forth in each lEE, EMP



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and RP, and any corrective or preventative actions set forth in a Safeguards Monitoring Report; (b) make available a budget for all such environmental and social measures; (c) provide the Borrower with a written notice of any unanticipated environmental or resettlement risks or impacts that arise during construction, implementation or operation of the Project that were not considered in each lEE, EMP and RP; (d) adequately record the condition of roads, agricultural land and other infrastructure prior to starting to transport materials and construction; and (e) fully reinstate pathways, other local infrastructure, and agricultural land to at least their pre-project condition upon the completion of construction.

27 The Borrower shall do the following: (a) submit semi-annual Safeguards Monitoring Reports to ADB and disclose relevant information from such reports to affected persons promptly upon submission; (b) if any unanticipated environmental and/or social risks and impacts arise during construction, implementation or operation of the Project that were not considered in each lEE, EMP and RP, promptly inform ADB of the occurrence of such risks or impacts, with detailed description of the event and proposed corrective action plan; and (c) report any actual or potential breach of compliance with the measures and requirements set forth in an EMP or RP promptly after becoming aware of the breach.



28 The Borrower shall ensure that no proceeds of the Loan are used to finance any activity included in the list of prohibited investment activities provided in Appendix 5 of the Safeguard Policy Statement.



29 The Borrower shall ensure that candidate subprojects in each Project Province are considered and feasibility studies and detailed design of such candidate subprojects are carried out in the order of priority indicated in the List of Candidate Subprojects.



30 After completion of the requisite feasibility studies, the Borrower shall cause the PMO to ascertain whether the candidate subprojects meet the following criteria to be eligible for financing under the Project: (a) a subproject should be technically feasible and economically viable. If the estimated economic rate of return is below 12%, other significant benefits shall be quantified to demonstrate economic viability of such subproject; (b) procurement package(s), method(s) of procurement and cost estimates shall have been prepared; (c) a detailed financing plan for operation and maintenance of the subproject shall have been prepared: (i) identifying the entity which shall be responsible for the operation and maintenance of the subproject; and (ii) confirming the Project Province's commitment though budgetary allocation to provide requisite funds needed for the operation and maintenance of the subproject; (d) public hearings on a subproject proposal shall have been held in concerned communes and villages, and beneficiary representatives shall have been included in



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the subproject implementation subcommittee to ensure continued public consultation and supervision; (e) the subproject must be shown to have no significant negative environmental or social impacts, and mitigation measures shall have been identified for minor impacts; (f) the subproject must be shown to have no significant resettlement impacts, and if such subproject Is categorized as Category B, a RP has been prepared in accordance with the RF, the Borrower's laws and regulations and the Safeguard Policy Statement; and (g) the subproject must be shown to have no outstanding social safeguards issues resulting from existing facilities. In case there are any such outstanding issues, the Borrower shall ensure that the PIO concerned shall have prepared a corrective action plan in accordance with the Safeguard Policy Statement to address the same.

31 In case that a candidate subproject does not meet the criteria provided in paragraph 15 above, it shall be replaced by the next priority candidate subproject for the respective Project Province under the List of Candidate Subprojects. If a candidate subproject not listed in the List of Candidate Subprojects is to be considered, such subproject shall be examined and screened by MEF with the support from an independent consultant acceptable to ADB and the Borrower and submitted to ADB for approval.



32 Within 12 months of the Effective Date, the Borrower shall cause MEF to engage a suitably qualified and experienced social science institute, university, consulting firm or a non-governmental organization, acceptable to ADB, to monitor Project benefits and submit annual benefit monitoring reports to the Borrower and ADB.


Not due yet.

33 The Borrower shall and shall cause MEF, MAFF, MOWRAM, MLMUPC and the Project Provinces to (a) comply with ADB's Anticorruption Policy (1998, as amended to date) and acknowledge that ADB reserves the right to investigate directly, or through its agents, any alleged corrupt, fraudulent, collusive or coercive practice relating to the Project; and (b) cooperate with any such investigation and extend all necessary assistance, including access to all relevant books and records, as may be necessary for the satisfactory completion of any such investigation.


Not due yet.

34 The Borrower shall and shall cause MEF, MAFF, MOWRAM, MLMUPC and the Project Provinces to ensure that the anticorruption provisions acceptable to ADB are included in all bidding documents and contracts, including provisions specifying the right of ADB to audit and examine the records and accounts of MEF, MAFF, MOWRAM, MLMUPC, Project Provinces and all contractors, suppliers, consultants, and other service providers as they relate to the Project.


Not due yet.

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Rice-SDP RISK MANAGEMENT MATRIX

(L = Likelihood: (5 = Almost Certain; 4 = Likely; 3 = Possible; 2 = Unlikely; 1 = Rare; C = Consequence: (5 = Severe; 4 = Major; 3 = Moderate; 2 = Minor; 1 = Negligible) R = Risk Level: (4 = Extreme; 3 = High; 2 = Medium; 1 = Low)

Identified Risk Damage to Project L C R Risk Response Responsibility for

Managing

Project Outcome

Farmers fail to make the

transition from export of paddy

to Viet Nam / Thailand, to sell

to local millers and rice

exporters

Failure in transition would negate the

longer-term objectives of increase in

revenue from rice exports and increase

in net profit of rice exporters.

5 5 4

Ensure that a separate survey on baseline and target indicator is

conducted during the second year of the program to validate

information of informal paddy trade across the border with Thailand

and Viet Nam, as provided for in the PAM.

PMO & MAFF with

support from PIC

Project Outputs

Output 1: A Conducive Legal and Regulatory Environment Established to Facilitate Climate-Resilient Rice Commercialization

Delays in finalizing and

approving the Seed Policy

Delayed release of 2nd Tranche might

affect implementation of investment

components of the Project.

2 4 2 Ensure that the latest version of the Seed Policy is reviewed as

quickly as possible and passed to MAFF for approval MAFF

Delays in finalizing the Prakas

required to implement Chapter

3 of the Seed Law (2008)



components of the Project; lack of good

Prakas will impede the implementation

of the seed certification scheme, which

is a key ‘value chain service’

3 4 2

The latest versions of the Prakas must be critically reviewed to

ensure that they provide a sound basis for the operation of the seed

certification scheme and of the seed testing laboratory.

MAFF

Delays in meeting the deadline

for submission of Law on

Agricultural Land Use and

Management by the Tranche 2

due date (June 2016).



components of the Project.

4 3 2

Ensure that sufficient resources are available to GDA/MAFF on time

to carry out the required preparation of documents and

consultations. Agree on a timeline for preparation of intermediate

drafts of regulations. Recruit experts (e.g. for land and women

issues) to assist in the formulation of drafts for discussion. Use PIC

experts to facilitate review of documents and meetings.

MAFF

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91


Managing

Output 2: Agricultural Land-use Zoning Improved

Implementation of CAEA and

CLUP is delayed and the

annual target cannot be met.

CEAE lays the foundation and provides

essential information to guide the

implementation of Rice SDP sub-

projects and other activities. Any delay

in CAEA implementation will have

serious impacts on all other project

components.

2 4 3

Despite good preparation (the CAEA manual has been upgraded,

training materials have been produced and communes prioritised

for CAEA implementation) there remains a risk of delay. Close

technical backstopping will be important to avoid this, especially in

the early rounds of CAEA until experience is gained. Un-coupling

CAEA from CLUP has significantly reduced the likelihood of delays

and the plan to involve the Rice SDP Extension Specialist in the 3

CAEA pilots will greatly reduce this risk.

MAF, DAE

backstopping, POIs,

Output 3: Climate Resilient Rice Value Chain Infrastructure Developed

Delay of the implementation of

the planned and scheduled

sub-projects

If the certain infrastructure/building

implementation projects are delayed,

that can cause in worst case almost one

year delay for implementation because

of the seasonal and weather conditions.

In addition this can have affect for the

other planned & scheduled activities.

3 4 2 Strong and on-going project management and following the critical

and scheduled milestones agreed. EAs/IAs/PIC

Output 4: Rice Value Chain Support Services Enhanced to Improve Quality of Cambodian Rice

Insufficient certified/improved

seed is available due to slow

implementation of the seed

certification scheme

Increase in paddy production and

improvements in quality of milling paddy

will not be achieved

4 3 2

Ensure that seed certification is implemented in line with the

Prakas and that all necessary resources are available to launch

certified seed production; this includes the availability of sufficient

basic (foundation) seed from CARDI, which may need to be

addressed by the project.

MAFF/CARDI

Use of certified seed is

unpopular among farmers due

to prohibitive price or other

reasons

This would adversely affect the targeted

increase in paddy production to 9.5

million tons in 2018.

3 4 2

What type or variety to plant is the decision of the farmer. If non-

certified seeds have a lower price and there is a ready market for

paddy from such seeds, a farmer will decide to use non-certified

seeds. Rice-SDP needs to strongly support dissemination of new

technologies to farmers such as the use of commercial seeds.

MAFF

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92


Managing

Mixture of different rice

varieties without clearly

identified will affect to the

rice market and export.

This mixture can be done in each

of rice value supply chain from

farming, trading, milling, exporting

for sake of the business, especially

the imitated fragrant rice variety

Sen Kraob mix with the original

fragrant rice Phka Romduol.which

hard to identify by normal physical

analysis.

4 4 3

GDA/MAFF must use Cambodia Rice Standard for all rice products

and set up Central Lab with adequate equipment to measure and

certify the rice samples in time.

Ministry of Commerce shall enforce all millers and rice exporters to

respect code of conduct and true to label.

MAFF/MoC

Output 5: Weather-indexed Crop Insurance Piloted

Farmers fail or have no interest

to buy insurance for their

crops.

Smallholder farmers still depending on

donation provided by relief agencies

when their crop damaged by disasters.

4 3 2

Crop insurance concept is new to Cambodia. Thus, it will require a

considerable effort to develop legal infrastructure, promote private

sector participation and raise awareness among stakeholders.

Government subsidies on the premium payout is one of the best

way to get farmer participating in the initial stage/piloting phase.

MAFF, MEF, PIC

Output 6: Efficient Program Management and Implementation

Coordination between all

involved agencies

As the project structure is complex and

there are many different stakeholders,

the coordination of the implementation

and other activities is crucial

3 3 2 PPMS and other management tools in place and effective use.

Strengthen the coordination role and mechanisms of the EA. EAs, IAs, PIC

Documents

Rice SDPricesdp.org/asset/technicals/Rice SDP Q2 QPR Final.pdf · CLIMATE RESILIENT RICE COMMERCIALIZATION SECTOR DEVELOPMENT PROGRAM Q2 2016 QPR i TABLE OF CONTENTS A. INTRODUCTION