
Syrian Arab Republic
Agricultural Rural Development
in the Governorate of Idlib
Loan No.: 433 Interest Rate: 4.5 % Beneficiary: Ministry of Agriculture and Agrarian Reform Grace Period: 6 years Project Cost: KD 14.7 million Maturity: 22 years Amount of Loan: KD 5.5 million Repayment: 33 semi-annual installments Date of Loan Agreement: 21/07/2002 First Installment: 6 years from the first disbursement Date of Effectiveness: - Objectives:
The project aims at increasing the agricultural production and improving the living conditions of small farmers and enhancing the role of rural women in the project area. This will be attained through land de-rocking and development, planting fruit trees and different seasonal crops, strengthening of the agricultural extension services and development of water resources. It also aims at the national level at raising the percentage of the country’s self-sufficiency in some of the agricultural products, improvement of the balance of trade through increasing the export of olives and olive oil.
Description:
The project, which is expected to be completed by the end of 2007, comprises the following main components:
1. Land Development: This component includes the procurement and operation of machinery and equipment necessary for the de-rocking of about 20,000 acres of agricultural land and construction of terraces and contour in sloping land. This includes the following two partial components:
a. Machinery and Equipment: This includes procurement of 30 Bulldozers (400 Hp), 10 Truck Loaders, 10 Tractors, 2 mobile workshops, truck-trailers, water tankers, fuel and oil tankers and primary spare parts for the equipment repair.
b. Operation and Maintenance of the Equipment: This includes provision of fuel, oil, materials and spare parts needed to operate and maintain the heavy equipment. This also includes establishing a fully equipped workshop, exclusively for repair and maintenance of heavy equipment. Stores for fuel and oil, and spare parts would complement the workshop.
2. Agricultural Development: This component comprises:
a. Agricultural activities: This includes helping the farmers in planting of 12,000 acres fruit trees and cultivation of 8,000 acres seasonal crops. The project will provide plants, fertilizers, and necessary machineries for digging ditches, soil blowing and trees irrigation.
b. Agricultural extension: This includes construction of 5 new extension centers and 5 veterinary units. Each center and unit will be provided with the necessary extension, audio-visual and veterinary equipment for animal vaccination.
3. Water Resources Development: This includes the construction of 25 small dams, rehabilitation of 100 wells and 16 springs, construction of 14 collecting water pools, and cisterns for water harvesting.
4. Women and Rural Development: This component includes the establishment of local funds for rural credits specifically for rural women to create new small productive investment projects, procurement of small farm animals, food processing and marketing, sewing and knitting.
5. Institutional Support: This includes construction of a project management unit, provision of necessary equipments and vehicles needed by the project management, recruiting and training personnel for the project and employment of international short term consultants.
Financing:
The Arab Fund loan constitutes about 37% of the total cost of the project. It will also be co-financed by a loan to the amount of KD 6.3 million from the International Fund for Agricultural Development (IFAD) and a technical assistance of KD 0.6 million from the United Nations Development Programme (UNDP). The contribution of the beneficiaries will amount to KD 1.5 million. The Syrian Government will finance the remaining cost and any additional unexpected cost.
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