LOCAL ECONOMIC DEVELOPMENT

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LOCAL ECONOMIC DEVELOPMENT

• Action for
• Sustainable Agro-Industry in Lebanon (ASAIL)
• Case Example

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What is ASAIL?

• ASAIL was a project developed by ACDI/VOCA and
  Vitech Consulting in Lebanon and financed by
  USAID.
• ASAIL sought to expand economic opportunities in
  Lebanon in two sub-sectors using a Value Chain
  Approach rooted in Geographic Agro-Industrial
  Specification
• Niche Lebanese Food Products within three
  growth poles (Northern Lebanon, Bekaa valley and
  Southern Lebanon)
• Small Ruminants Dairy Products in Bekaa Valley
  

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What Were the Goals of ASAIL?

• Increase the income profitability of SMEs
  within selected value chains in the Lebanese
  agro-food sector by increasing the efficiency of
  input, production, processing and marketing
• Strengthen the capability of agricultural
  producers to manage their farm businesses by
  responding to market demands for increased
  quality and quantity of primary products,
  enabling them to consistently supply agro-food
  businesses while increasing their profits
• Upgrade the technical and management capacity of
  small and medium agro-food businesses, including
  their links to suppliers of fresh raw materials

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What Were the Choice of Sectors?
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What Were the Choice of Services?
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What Was Approach for Analysis?Value Chain
Analysis for SR NLP
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Distillates, Honey Molasses
Fruits Vegetables Based Products
Dairy Products
Biscuits Sweets Based Products
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What Determined These Choices?

• Local Production Capacity
• Market Supply
• Market Demand (local/regional/intl)
• Market Capacity
• Consumer Preference

• BASED ON
• ACDI/VOCA strength in Value Chain Approach
• Market Research
• Consumer Preference Survey
• FAO Studies Statistics
• Primary Secondary Data

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Rooted in What Values Conditions?

• Cultural Values
• Geographic Specialty
• Agricultural Demographics
• Traditional Practice
• Community Life

• Technical Conditions
• CCIAs Interest
• Pilot Plant Locations

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For Example

• Each area, town, or village in Lebanon
• was traditionally known for certain agricultural
  practice
• The idea was to go back to the root and
  search for this particularity!

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Digging into tradition..

• If you want carob molasses, you have to go the
  Iklim Al Kharoub in Mount Lebanon and/ or Jezzine
  in South Lebanon
• If you want honey, you have to try that of Jabal
  Al Sheikh in Rachaya
• If you want rose water, you have to go to Akkar
  Plains
• If you want labneh in olive oil, you have to go
  to west beqaa.

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Example of NLP Specialty

• Carob Molasses
• Women Cooperative Association in Akkar Al Atika
• Women Cooperative association in Fourzol- Beqaa
• Rose Water
• Women Agricultural Coop in Ain Yacoub
• Amirat El Tabiaa Cooperative in Al Maalaka
• Nejmit El Soboh Cooperative-Mohaidse
• Simsmiye
• Cooperative association of Halloussieh

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Carob Molasses ProcessingSouth (Jezzine) North
(Koura) Specialty
Carob sprouts
Milling, extraction elimination of seeds
Soak in clean water at room temperature for 3
hours (according to experience)
Mix with Tahini
Filtration after being soaked
Boiling the extract obtained after filtration for
3 hours and a half, up to 115 degrees
Carob Molasses
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Semsemieh Processing TechniquesA South (Saida)
Specialty
Sesame Seeds
Sugar Water Lemon Juice drops
Roasted Sesame Seeds
Syrup
HOT MIX
COOLING (at room Temperature)
Product blocks
CUTTING (End product in small squares)
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Rose Water Processing TechniquesA tradition
practiced in the Northern Lebanon
clean water (7 liters)
Flowers - Rosa Damascena (5 Kg)
Heat on intense fire
First drop of rose water obtained after 30 minutes
Decrease heat Vapor is cooled
water transformed into rose water
1 gallon of 3.75 liters in one hour and a half
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Why Beqaa?

• Lebanon
• 12 of GDP - Agriculture
• 22 of GDP - Industry
• 10 of GDP- Manufacturing
• GDP per capita of 4360
• 88 of population urbanized
• Av. Family size is 4.8 people
• 1.36 m (34 of the population) active in labour
  force

• Beqaa
• 20.5 of population works in agriculture
• 12.5 of population works in industry
• 70 of population below the poverty line
• Av. Family Size is 6 people
• 11 of families have more than 8 members-
  particularly in Beqaa

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Why SR Sector in Beqaa?
Lebanon SR Dairy Sector Awassi Sheep / Baladi
Goat 305,000 Sheep5245 Farms 432,000 Goat 7166
Farms Beqaa SR Dairy Sector 305,000
Sheep(80)-2710 Farms 432,000 Goat (49)-3106
Farms 70 dairy processors out of 129 are
located in Beqaa
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Why Dairy Sector in Beqaa?

• The dairies are mainly concentrated in the
  Chtaura, Jidta, Mreijat, Tanail, Zahle, Kaa El
  Rim
• This region has acquired a notorious reputation
  as main production area for dairy products in
  Lebanon
• Names like Tanail, Jdita or Chtaura became well
  known brands in Lebanon and overseas.

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What Was ASAIL Market Share?

• Producers Coops
• North-East Beqaa
• 1312 producers
• 82,747 heads
• South-West Beqaa
• 148 producers
• 34,383 heads

• Hallabs
• 16 Middlemen
• SMEs Coops
• 14 Processing SMEs
• 1 Processing Coop
• 3 Producers Coops

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What Were Major Achievements? ()

• Producers
• Over 2000 producers outreached
• Over 3000 Jobs maintained/ created
• Over 1300 producers benefited from trainings,
  feed provision and vaccination campaigns
• Over 11 M in USD in input savings as a result of
  reducing diseases occurrence.
• Over 25 K in USD in input savings as a result of
  group price savings for cost of vaccine.
• Hallabs
• ASAIL maintains milk linkages with 16 Hallabs in
  North-East and South-West Beqaa
• Processors
• 15 processors benefited from ISO/GMP training
  program, marketing and BDS technical assistance
  in areas related to access to European and North
  American markets, financial management and
  budgeting.
• 11 clients attend the SIAL show held in Paris in
  2006 and this week 10 other clients will attend
  Dubai food show/buyer seller meetings.

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MAJOR CONTRIBUTIONS

• Private Public Sector Partnership
• Bringing rural tradition to mainstream Beirut and
  diaspora
• Bridging the gap between tradition and practice
• Articulating village-based production
• Maintaining community life and preventing rural
  exudos

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Keeping the Tradition..Building on traditional
practices
Goat Labneh Preserved in Olive Oil
Honey Cooked in a Mill
Cow Labneh Produced in Clay Jar
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Improving the Practice ..Dairy-by Products
Production Processing

• Laban
• Labaneh(with/without olive oil)
• Labneh (Ambaris)
• Halloum (Sheep)
• Akkwih-Checki (Sheep)
• Baladi (Goat)
• Kishk
• Shanklish
• Double Crème (Mixed)
• Mchallal (Mixed)
• Mjaddaleh (Mixed)
• Nabulsi (Mixed)
• Bulgari (Mixed)

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Bridging the DistanceFrom Rachaya, Beqaa to New
York
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Celebrating Traditional Heritage Food
Making..Cheese Festivals, Garden Shows, Feed
Heritage Festival
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What Were Challenges Constraints?

• Political Uncertainty It is a challenge to
  maintain a certain level of normalcy in a rapidly
  changing environment and extremely volatile
  situation.
• Market Research Information Lack of consistent
  market research data and information services
  available to clients
• Local Demand ? in local demand for certain
  products. Consumer purchasing habits changes
  from one day to another.
• Local Supply Inconsistent supply of raw material
  Value Added Products products.
• Product Price List Unavailability of clear
  product and price list available for buyers
• Time Limitations 2 year is a short-time to
  induce positive and sustainable marketing impact.
  
• Product Information Lack of information
  documented on types of products, exact
  quantities, prices and other.
• Investment Limited investment readiness and
  willingness.

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Thank you