LIBERIA : NIMBA COUNTY RL'F.&Z. TECHXOLOGY OPG with ...
LIBERIA : NIMBA COUNTY RL'F.&Z. TECHXOLOGY OPG with ... LIBERIA : NIMBA COUNTY RL'F.&Z. TECHXOLOGY OPG with ...
LIBERIA : NIMBA COUNTY RL'F.&Z. TECHXOLOGY OPG with PARTNERSHIP for PRODUCTIVITY PROJECT No. 669-0154
- Page 2 and 3: A. FUUOING SOURCE FIRST FY I L~FE O
- Page 4 and 5: :. - agriculture, small industry, m
- Page 6 and 7: OPG Proposal for Liberia
- Page 8 and 9: APPENDICES Realizing the Developmen
- Page 10 and 11: . . Gpper Nimba County. The expansi
- Page 12 and 13: : &e currently collaborating to cre
- Page 14 and 15: --a related integrated mral develop
- Page 16 and 17: - . ?f?Is past experience, both pos
- Page 18 and 19: 'wide variety of production pattern
- Page 20 and 21: Sance its inception, PfP/~iberia ha
- Page 22 and 23: The scheme is also being used in Bo
- Page 24 and 25: A major objective of the GOL rural
- Page 26 and 27: subs~stence agrzculture that expand
- Page 28 and 29: eFonomic development approach, is n
- Page 30 and 31: 'tbe develdpment of people in a tow
- Page 32 and 33: are created from the smallest rural
- Page 34 and 35: vzll focus on develop~lg better var
- Page 36 and 37: the process of learning management
- Page 38 and 39: 1978 and is located at the ~f~/~ibe
- Page 40 and 41: general contractors, and explore an
- Page 42 and 43: time on the LAMCO-created community
- Page 44 and 45: The credat operation now needs to b
- Page 46: Imolementation Plan (a) The project
- Page 49 and 50: Assint with nmtnblislunont of new o
<strong>LIBERIA</strong> :<br />
<strong>NIMBA</strong> <strong>COUNTY</strong> <strong>RL'F</strong>.&Z. <strong>TECHXOLOGY</strong><br />
<strong>OPG</strong> <strong>with</strong> PARTNERSHIP for PRODUCTIVITY<br />
PROJECT No. 669-0154
A. FUUOING SOURCE<br />
FIRST FY I L~FE OF DsOJEC-<br />
f 1. 00CzYE'<br />
I COCE<br />
C. F 1 I C - C I 3. -0T.L I C El 1 r L t i. r3-ri<br />
-
ExqcUTIVE SUMMARY<br />
of ~f~/~iberia <strong>OPG</strong> Proposal<br />
The proposed grant is designed to increase the income, economic po-<br />
tential, and s.tandtrd of living of rural and urban poor in Upper Nimba<br />
.. . . .. . co-ty,:hy., ef f ering, :t+e< .appropriate training and development tools that will<br />
. .enab&~~,$h+.,tpr achieve lasting benefits, and to become self-sufficient<br />
.. . .. - -.<br />
,;l-.by: . . -the, yean,.ZQ22,+n the LAMCO iron ore deposits will be exhausted.<br />
In-aetipn, +s&ng_the .present project as a base, the program will be ex-<br />
,p+cfed :to:an.in:tegrated economic development program by (1) accelerating<br />
: agricultur-e and, -rura&.development , (2) Liberianizing industrial and com-<br />
mercial development-,:. andr (3) diversifying the economic base of the project<br />
area..:. Preparatian.wil1 also be made to link up <strong>with</strong> the proposed German<br />
Wtegra-tedRura1 Development Programme for Central Nimba County.<br />
. _ .. Inorder t@:accomplish the above, it is proposed that a grant of<br />
.<br />
$3,.258,.70Q- be: made..to. Partnership for Productivity Foundation/~iberia over<br />
.- a period, of .five_-ye*- ,&arting in FY 1980 to plan and implement an inte-<br />
,-grated: developmen%-program in the Yarmein, Zor and Sehyi clans of Upper<br />
Nimba County.. Total estimated costs of the program is $4,590,300. b d -<br />
ing from: 0-ther . sources- in support of the program would approximate $1,300,000<br />
over;.the. five-year- period. Assistance would be provided for programs in<br />
the fol-low-ing general.:-areas: agricultural production, appropriate tech-<br />
.nology (har*are and software), low-cost, self-help construction, commercial<br />
andindustrial en,terprise development, and credit. As phase two of an on-<br />
.going.program, the grant will enable PfP to *engthen and expand the ap-<br />
propriate technical assistance and credit program to enterprises in Upper<br />
Nimba County.. The expansion will concentrate primarily on producers in
:.<br />
- agriculture, small industry, manufacturing and construction, and the<br />
creation of linkages between rural and urban areas. The program will es-<br />
tablish an integrated economic development approach in the project area<br />
which will include (1) appropriate credit both as an economic facilitator<br />
;. ..- and. :as;. a. develppmental device; ' (2) management and technical assistance;<br />
: :.,i-,c . (3:).. the..necegs.ary economic linkages between rural and urban areas, pro-<br />
- *<br />
'i. . . .: : .duc.ez:. and- wrket,~<br />
w&.l.esaler and re tailer, supplier and distributor , and<br />
:i..: . ..each: le-ye& .<strong>with</strong>... -the, nw+. level, all the way . through<br />
. the export level, both<br />
<strong>with</strong>in and outside the country.<br />
.. . . -.. .<br />
. ..: 1.-Active-participation from the beginning by all beneficiaries is basic<br />
to the success of the project. Initial, and all subsequent decision-<br />
_.= - : .making and: activity must include the. beneficiaries in order to assure<br />
-. their personal commitment (and development), <strong>with</strong>out which the viability<br />
; . of She. comnruniitp cannot. evolve. Such self-help participation is the only<br />
:: :I: assurance; 10:f:- pe?manent- pxoduc'tive results. In institutionalizing develop-<br />
- .: - , : -men&. in=:the:.are&.,: PfP will cooperate, coordinate and strengthen relation-<br />
.. ,... . .-ph%ps,- wi-th. o-ther de~elopmental- activities and organizations, i. e. GOL<br />
;.; ..,ministries, ,and. organiz&tians, particularly the Rural Development Task Force,<br />
L. 3..internationa1.developmen&..agencies such as AID and UNDP, economic concession-<br />
. . - - .<br />
. . . - ariss~ such: as;- LAMCOi private volunta&y agencies such as PACT (private<br />
. . ; Agencies~~ollabora,~: 'Together) -and World Education and most importantly,<br />
the people of the program area.<br />
>. . . . ... . .. ,. .L i As? an orgaqizati-on. ~f~/~iberia will expand and become stronger and<br />
, .,~ . , more,ind5genou~. :. As. .an area-wide organization, it will aim to have all .<br />
, :: -. - parts=. crf~ th.e area represented on its board of directors and on its operating<br />
staff.. PfP has already been established by act of the Liberian Congress.<br />
1t.wilL aim at indigenous self-sufficiency for itself and for the area it<br />
.<br />
i
. .currently assists toward that end. Over the five-year period of the pro-<br />
posal, .~ ~. ~fP/~iberia and P~P/usA will continually evaluate their effective-<br />
ness in offering developmental<br />
, -. opportunities to people who most need such<br />
opportunities, and in their effectiveness in gradually moving the Yekepa<br />
area .. toward self-sufficiency by the target date - 2022. Ongoing evalua-<br />
tio~ will indicate failures and successes and will lead~to pertinent revi-<br />
. - . . sions to be implemented in the ongoing operation.<br />
.5<br />
- . . . .. ~.<br />
. .<br />
. .~<br />
. .<br />
. .<br />
Targets for the end of the grant period are:, ,<br />
. . .---- . . 50% of- .the small farmers in the project area will be using<br />
-. ,<br />
highel- yielding rice varieties . .<br />
_.-,- 1,500.acres of undeveloped. swamp and flood plain will be<br />
brought into cultivation of rice<br />
. . . --42%<br />
~ of<br />
farmers<br />
.~ . currently growing traditional swamp rice will<br />
. be trained in improving swamp rice cultivation<br />
-~. -- impro-vgdvarieties and cultivation practices for coffee and<br />
~- -.<br />
. . . cocoa.will.be used-by farmers already growing these crops and 500 new<br />
farmers.wil1 have been introduced into tree crop production<br />
. .<br />
-- dry season crops and vegetables most suited to the project<br />
-<br />
area will have been determined by variety trials and 250 farmers will be<br />
receiving training annually at the demonstration farm<br />
.. . -- -. approximately 1,500 jobs will have been created and annual<br />
non-mining sales will have increased from the c vent $3,300,000 level to<br />
approximately $10,000,000.
<strong>OPG</strong> Proposal<br />
for<br />
Liberia
Project Purpose<br />
Project Background<br />
Host Country Activities<br />
Economic Effects<br />
Technology<br />
REES<br />
RMLS<br />
SDP<br />
Appropriate Management for -<br />
Appropriate Technology<br />
Sociocultural Factors and ImplementFng<br />
Agency Environment<br />
Location and Organization<br />
Guidelines Governing Funding for Private and<br />
Voluntary Organization in Connection<br />
<strong>with</strong> Development Assistance Under the<br />
Foreign Assistance Program<br />
Poorest Majority<br />
Ins ti tutionalizati on<br />
The Viable ~ conodc Community Model<br />
MNC Involvement<br />
The Program<br />
The Basic Model<br />
Project Implementation<br />
Agriculture Development<br />
Appropriate Technology<br />
Lou-cost Construction<br />
Industrial and Commercial Enterprise<br />
Development<br />
Credit<br />
Implementation Plan<br />
Imp1emen:ation Schedule<br />
Evaluation<br />
Logical Framework Summary<br />
Waivers<br />
Budget
APPENDICES<br />
Realizing the Development Opportunity Created<br />
by a n Iron Ore Concession in Liberia:<br />
The Yekepa Model<br />
Progress Report 1978<br />
Map References<br />
Economic References from German Study<br />
Farmer Preferences from German Study<br />
Letter from U s t r y of Finance<br />
The Principal Elements ofsthe Yekepa Model<br />
and Their Interrelationship (tetrahedron)<br />
Farm Production<br />
Low-costaousing<br />
GOL Rural Task Force<br />
GOL Policy Paper on Small Business Dewelopment<br />
German Study reference to PfP<br />
The Swedish Approach to Hining<br />
Initial Environmental Examination<br />
Environmental Assessment of Pesticide Use<br />
Credit Plan<br />
Linkages Between ~f~/~iberia<br />
and Related<br />
Agricultural Projects
i<br />
Pr,j-ct Title:<br />
Project Location:<br />
PVO Name & Location:<br />
Central Headquarters:<br />
Contact Person:<br />
Date of Submission:<br />
Pro.iect Furuose --. -<br />
PfP/~il,eria<br />
Nimba County, Liberia<br />
Partnership for Productivity<br />
2311 18th St., N.U., Washington, D.C.<br />
Andrew Oerke<br />
*Y .23, 1979<br />
The proposed grant is designed to increase the income, economic poten-<br />
- . .<br />
tial, and standard of li- of rural and urban poor in Upper Ximba County<br />
by offering the appropriate tr- and development tools that wili enable<br />
them to achieve lasting benefits as a result of the iron ore mining opera-<br />
tions of the multinational corporation, LAHCO, and to become self-sufficient<br />
by the year 2022 when the ;tmn ore will be exhausted. In addition, wing<br />
the present project as a base, it will be expanded to an integrated econo-<br />
mic development program by (1) acceleraizhg agriculture and rural develop-<br />
ment, (2) LiberianiziPg industrial and commercial development, and (3)<br />
diversif- the economic base of the proposed project area. Preparation<br />
will also be made to l3n.k up <strong>with</strong> the proposed German Integrated Ruraf<br />
Development Programme for Central Nimba County.<br />
In order to accomplish the above, it is proposed that a @ant of<br />
93,258,700 be made to Partnership for Productivity ~ormdatian/~iberfa over<br />
a period of five' years starting ia FY i980 to plan and jsplernent an iate-<br />
grated development program in the Yarn~eiin, Zor aad S w<br />
clans of Upper<br />
Wimba County. Totat estimate costs of the pmgrram w ill be j/4,590,300.<br />
Otfler frmding sources in support ob the pro- would appro-te $1,300,000<br />
over the five-year perfod. Assistance wodd be provided to assist<br />
in the folloniag general areas: agricultval production, appropriate tech-<br />
nology (hardware and software), low cost, sell-help construction, commercial<br />
and industrid entarprise development, and uedlt. AS phase fvo of an on-<br />
appropriate tecSIIlical assistaoce and credit. pr- to enterprises i;r<br />
1
. .<br />
Gpper Nimba County. The expansion will concentrate primarily on produ-<br />
cers in agriculture, small industry, maaufactLuing and construction,<br />
and the creation of liPkages between rural aad urban areas. The program<br />
will establish an integrated economic development approach in the pro-<br />
ject area which will ioclude (1) access to cred~t at compatible levels,<br />
(2) mazagernent assistance, azld (3) the necessary economic Linkages between,<br />
rural and urbaa areas, producer and market, wholesaler and retailer, sup-<br />
plier and distributor, and each level <strong>with</strong> the next level, all the way<br />
through the export level, both -thin and outside the country.<br />
The evolution of such l-es is the process of moviPg from a<br />
subsistence economy. into an exchappa economy vbich cap more fully serve<br />
the growing needs of the local population. In such an evoiution, PfP<br />
offers tec3mical assistance, i.e. deveiopment help in appropriate m g e -<br />
ment at several levels, the development and application of appropriate<br />
technology, and appropriate credit both as a. economic facilitator a d<br />
as a developmezrtdl device. All such tec-cal assistance emphasizes the<br />
importance of individual and gr~up decisioa-making, participation, and<br />
self-help as the basis for development of the people of the Yekepa area.<br />
Active participation from the begipning by all beneficiaries is<br />
basic to the success of the project. Initial, and a U subsequent, deci-<br />
sion-mAing. and activity must include the beneficiaries, in order to<br />
assure their personal commitment .(and development), -thou% which the<br />
viability of the cormmvlity cannot evolve. Such self-help participation<br />
is the only assurance of permanant productive results. In institution-<br />
a J i w development fm the area, PS will cooperate, coordinate and - -<br />
s bengthea relationships , xith other developmantdl<br />
activities a d organLzations, i.e. GOL ministries and organizations,<br />
particularly the Rural Developnent Task Force, Fnternatiod development<br />
agencies such as AID and UNDP, economic concessiowies scch as -0,
&d prikte voluntary agencies . such as PACT (Pr-vate Agencies Collab'6fatFng<br />
Together) and World Education and the people of the program area.<br />
As an organization, PfP/~iberia must continue to expand and become<br />
stronger and more indig*nous. As an area-wide organization, if will aim<br />
to have all parts of the area represented on its board of &-ectors aad<br />
on its operating staff. PfP has already been established by act of the<br />
Liberian Congress. It will aim at indigenous self-sufficiency for itself<br />
and the area it currently assists toward that end. Over tfie five-year<br />
. . .<br />
period of the proposal, PfP/Liberia and ~fF/USA'will contirmdlly evaluate<br />
their effectiveness in offering devdopmentdL opportrmitkes to people<br />
who most need such opportunities, and in their effectiveness ia gradually<br />
mo& the Yekepa area toward self-sufficiency by the target date - 2022.<br />
As evaluation. indicates failures and successes, pertinent revisions will<br />
be implementedin the ongoing operation.<br />
The t'.llowir,5 conditions are expected at the end of rhe grant period.<br />
Fifty per cent of the small farmers in the project area will be as*<br />
higher yielding rice varieties. One thuusand five hd-ed acres of uudeve-<br />
loped swamp and flood plain will be brought h to culzivation of rice. The 4296<br />
of farmers currently growing traditional swamp rice will be trained in<br />
-roving swaq rice cultivation. Improved varieties and cultivation<br />
practices for coffee and cocoa will be used by f-ers already 6g0vFng<br />
these crops and 500 new farmers will have been introduced into tree crop<br />
production. Dry season crops and vegetables most suited to '*ha project<br />
area will have been determined by variety trials and 250 farmers will be<br />
receiviag ta-a- annually at the demonstration farm. Appro-tely 1500<br />
jobs will have been created aad annual non-mining sales will: have increas&d-<br />
from the current $3,300,00 level to approximately $10,000,000.<br />
Pr0.i ect BaclcPround<br />
Partnership for Productivity, the Govetnment of Liberia and the<br />
Liberian American Swedish 'Xiniug Company ( UCO) and zhe local people<br />
-<br />
>
: &e currently collaborating to create lasting and sustainable benefits<br />
as a result of the iron ore concession in Upper Nimba County. While<br />
concessions frequently bring short-term benefits in the form of employ-<br />
ment, skill acquisition, housing, education, and medical care to resi-<br />
dents of the concession area, the continuation of these benefits is<br />
typically dependent on the continued operation of the concession. If<br />
for some reason, the concession abandons the project,\the people attracted<br />
to the region by employment opportunities are left <strong>with</strong> few alternative<br />
means of support, and have often been separated from their traditional<br />
support mechanisms.' This is especially disturbing in situations where the<br />
local residents might have achieved more sustainable development had<br />
their progress pro~eeded at its own pace rather than at the accelerated<br />
rate generated by the outside concession.<br />
Xnowing that the life of its operation was limited by the size of<br />
the ore body, LAMCO set out in 1973 to 1-7 its dominant impact on the<br />
conmatnity aad to develop the initiative and self-reliance of the local<br />
oztizens. Since 1964 the residents of the Yekepa azea had been almost<br />
totally dependent on LAMCO for economic sunival. PfP was selected by<br />
LAMCO, after company officials obsex-red the PfP/~enya program, as the<br />
agency best qualified to participate <strong>with</strong> UYCO in a joint conmrunity<br />
viability effort. Initial efforts of U C O and PfP to spin-off from<br />
rhe concession a variety of non-mining business enterprises and to sti-<br />
mulate formation of new agricultural, mufactwring, and commercial<br />
enterprises encouraged local residents to take advantage of other re-<br />
sources available in the concession area. In 1978, when LAMCO was struck<br />
-<br />
by a severe recession ip the world marker for iron ore, residents of -<br />
Nimba County, aware by this time that dependence on mixing was precarious,<br />
turned, ia large numbers, to PfT for assistace in realizing other oppor-<br />
tunities. This grassroots upsurge in non-mining economic activity is
-<br />
be- encouraged, channeled and assisted. PfP, *-A the avowed purpose<br />
of broadening and diversifying the economic base of the concession<br />
area, is in the righz place at the right time to encourage, guide and<br />
assist residents<br />
ment goals.<br />
in realizing their own potenzial to reach their develop-<br />
~f P/~iberi.a was created as a non-profit, Liberian development fouadation<br />
by act of the legislature signed by the president iil July 1974.<br />
. -<br />
It uas the result of a recommendation by a coPsultanz, 'he present Ge-<br />
neral .Xanager of Pf~/Liberia, that a Liberian non-profit agency would<br />
be the best organization fonn to implement a program aimed at preventing<br />
the UYCO Concession from becoming a ghost toun den zhe ore<br />
bodies approach depletion at the turn of the cenrt.<br />
All facets of the development process have been mzerdepeadent - in accor-<br />
dance vizh the objective of a viable economic commrmity. In late 1977,<br />
it became clear that PfP szaff and budget were inadequate, and that the<br />
program was spread so thin as to impair its impact. 'The Upited SA&tes<br />
Government, via ~ W/~iberla f'unds and assignment of Peace Corps volm-<br />
teers, strengzhened Pfl dviag 1978. Tbis JSA assistance will c2fl-y over<br />
znrough October 1979. At chat time, ~fP/~iberia rrill be prepared to em-<br />
bark on a five-year program <strong>with</strong> adequate staff and fbdnce. The m o u s<br />
functaons of PfP can then be properly coordinated wi-a the work of other<br />
agencies and integated into Wberia's county and national aeveloprnanz<br />
Four and a hdf years of PfP activity have creazed a solid base<br />
-<br />
on which the program outlined later here- vill build, PfP izself -<br />
presently manages and operares:<br />
-a mixed d emonstration/tw farm<br />
--a farmer tr- center <strong>with</strong> low- for ten<br />
--an agriculnral. exzension service
--a related integrated mral development program<br />
--a farm tool, equipment, seed, chemical and fertilizer<br />
distribution center<br />
-- a par-cly equipped appropriate Technology center<br />
--an intensxve Liberian contractor training effort<br />
--an industrial, commercial and agricultural revolving .<br />
loan fund<br />
PfP has been the ptimary force in creating enterprises owned and<br />
managed by Liberians including:<br />
--a multi-purpose farmers' cooperative <strong>with</strong> 81 members<br />
--a farm supply store and rice'mill<br />
--a piggery<br />
--a pouitry farm (broilers and eggs)<br />
--fifteen fanns (primarily irrigated rice <strong>with</strong> other mixed<br />
crops )<br />
--thirteen rural school agricultural programs <strong>with</strong> demon-<br />
stration and producing plots (either 4H, Young Farmers<br />
or Future Farmers Clubs)<br />
--a sawmilling and forestry enterprise<br />
--an automotive mechanical repair and machiae. shop (Austrian-<br />
Liberian partnership)<br />
--a brick marmfacturiPg enterprise<br />
-a charcoal, production enterprise<br />
-a cinema<br />
--a handicraft production workshop<br />
-an electrical contractor<br />
--four low-cost building construction contractors<br />
--a rural provision store<br />
--two restaurants
PfP assistance has helped to improve the viability, or stimulated<br />
the growth of enterprises which were i9 existence prior to mid 1974<br />
including:<br />
--%-do fiirniture manufac- and lumber sillwork CompaaLes<br />
--a transport company<br />
--a Liberian-Swedish forestation. joint venture<br />
--a supermarket<br />
--a contract tailoring epterprise<br />
--a hotel-bar-restaurant<br />
XlreadY organized and established by PfP are student intern<br />
(practical experience) programs <strong>with</strong> Cuttington College, the GniversiOf<br />
of Liberia, aad Booker Uashington Institute.<br />
The report, "Realizing the Development Opportunity Created by a<br />
Iron-Ore Mining Concession in Liberia: The Yekepa Xodel," and the end<br />
of 1978 progress report, both attached hereto, detail the successes and<br />
failures encormtared by ~fP/Liberia sufficiently to Fndicate the pro-<br />
blems which are typical of the concession-dominated apvLroplnent in wbich<br />
PfP works. (see Appendices A and B. )<br />
Host: Countrv Activities . . -. -. --<br />
LP the past there have been virtually no other o ~ a t i o o beaidee s<br />
PfP/Liberia in Liberia m lved in the rural Mtwtrp and appropriate<br />
technology sector. The Goverpmat of Liberia has oPly recantly -signed<br />
the responsibility for this sector to the Liberiaa Devalopmant Corporatiorr<br />
(LDC). LP the past the LDC has bean pzd.marUy ipvol~ad b major project8<br />
and izmestma~t attraction in the urban areas, and it will take s e v k<br />
y a m for thls orgsaization to "tool up" anl morieat its pro- to<br />
have any major impact on the rUral L-eas.<br />
At the same t ae we feel that<br />
-
-<br />
. ?f?Is past experience, both positive and negative, will be of great value<br />
to LDC as they reshape their organization and policies to address the*<br />
new role and dasion.<br />
In the past, the only area in Uben.a's "ferdle crescentn not<br />
covered by an existing or planned iategratad rural development project<br />
was Nimba County. The Government of Liberia is just be- to become<br />
involved in this area; they have appointed a County Development Officer<br />
for Nimba County.<br />
In the future we erpect even more gova&mnt participation in the<br />
project araa. There are plans for the gov-%nt to open a crad+t Fruti-<br />
tution in -queue, W b a CousWf.<br />
Linkages between PfP/~iberia and related agricultural projects are<br />
discussed in Appendix 4. Other factors which impinge on the selection of<br />
the project's location and a~2roaches are discussed as follows.<br />
Econ-mic Effects -- Prior to the LciMCO I- operation, the Upper<br />
Nimba County area was substaptidlly a subsistenca economy. Now, about a<br />
decade later, <strong>with</strong> 4,000 cash wage earners, 3,000 of which are LAMCO<br />
employees, the area is in traition toward a market economy. But there<br />
are still large subsisterrca aspects, mostly in the rural areas *ere<br />
subsistence agr!iculture domkrates. The god is to have a self-supportipg<br />
area economy by 2022, largely using local raw materials other than iron<br />
ore. The major available resource is unused local labor - nuuderemploymant."<br />
RecogPitio~ of this fact does not automatically mean that wemploymantw in<br />
wage-pa- jobs is the inevitable future of the area. Wage-pa* jobs<br />
result from capitd inosstmtme and market organization. As the employment<br />
by LIHCO'is raduced - we hope slowly - it is unlikely * At mudl of the<br />
underlying in-vestmenl can be shifted to other productive and .j~b-~rociac&- -<br />
invesaents. ?resumably, LAl4CO rill havo deprecaatad a e investment on<br />
its ovn books, and soma social infrastructure investment such as roada<br />
and houses vill continue to be usable.
"<br />
.<br />
However, the goal of this project is the evolution of an economy<br />
which fits comfor-cably into the local context - economic, social and po-<br />
litical. Hence, as Nimba Councy moves through zransition toa-d a aew<br />
form of regional subsistence, in contrast to family or village subsistence,<br />
evoluzion should provide for retention of -he local value systems, cus-<br />
toms, and organizational structures, except as people may decide to change<br />
them-for their owl purposes. PfP's development offeriPgs - management<br />
assistance, other technical assistance as requested, and creciit - are<br />
useful to whatever local social and orgddizational stmcture the people<br />
want. It is <strong>with</strong>in this framework of +Abkiag tbt PfP approaches the<br />
e&nomic aspects of the project.<br />
The long-range economic objective, seen as necessary for the conmru-<br />
nity to attain self-sufficiency, is to create n o n - W g employment for<br />
5,000 persons and enterprises <strong>with</strong> aggregate annual sales of $50,000,000<br />
by the time the iron ore m3siag ceases in Upper Nimba Cormtp. Since the<br />
beginning of PfP's invovement 4+ years ago, the community has reached ap-<br />
proximately 75 of that long-range objective. As a result of PfPts acti-<br />
vities, there have been approximately 420 non-minin.7 jobs created and<br />
approximately $3,300,000 of annual ~terprise sales. The proposed pant<br />
activities will result in a total of 1,100 jobs created and annual enter-<br />
prise sales of P10,000,000 by 1984.<br />
The target group is a31 the- indigenous people in the program area,<br />
but particularly the 5,000 subsistence farm families and the 10,000 up-<br />
employed. or underemployed people in and around the concession area. It<br />
-<br />
will include the non-salaried and casual laborers vho reside in Camp 4 -<br />
and who have. the worst of two possible worlds - the overcrowdiPg and sub-<br />
standard housing of urban slums - and none of -he posizive benefizs of<br />
an urban society. A large percentage, 70-805, of the popuLation or' uhe<br />
program area, are dependent on semi-subsistence -culnue wbich uses a
'wide variety of production patterns. The land is used for shifting cul-<br />
tivation of upland rice <strong>with</strong> long fallow periods, some subsidiary crops,<br />
cassava and greens, and a few cash crops such as cocoa and coffee. P~P/<br />
Liberia has begun to assist agricultural entrepreneurs, small farmers, wizh<br />
appropriate management and technical training to promote mixed farms<br />
ranging from 2 to 20 acres, particularly concenzrating on the product~on<br />
of natural swamp and flood plain rice. One acre of upland rice in Upper<br />
flood plain rice can produce 3 tons an acre valued at $1,500. Liberia's<br />
rice deficit is 33,OuO tons annually, 5,000 tons in Nimba County alone.<br />
The present political disturbances underscore the importance to Liberia<br />
of reducing the dependence on imported rice and PfP aims to promote and<br />
assist local farmers to produce approximately 2,000 tons by 1983 wbich wzll<br />
be valued at $500 per ton or $1,000,000. The project will<br />
attempt to introduce 500 new farmers into tree crop production (coffee and<br />
cocoa) and 250 farmers will receive training in cultivatzon of dry season<br />
crops and vegetables. The intensive nature of flood plain rice cultiva-<br />
t~on will necessitate the partLcipation of a greater number of farmers,<br />
members of their families, and additional hired workers. This iacreased<br />
participation will utilize more of the unemployed or largely underemployed<br />
labor pool in the rural areas around YBkepa. Evidence of the labor pro-<br />
blem in the rural area is the migration of a large number of rural poor<br />
to the U C O concession area ia search of employment. Camp 4 is a shanty<br />
town near Yekepathathas 11,000 of these migrants. It is expected tbat<br />
500 farm jobs w ill be created by PfP.over the 5-year grant period whlch<br />
will have a direct impact on at least 2,00b people in the rural area<br />
around Yekepa. In addition, a direct seed exchange program will introduce<br />
509 of the farmers (2,500 fanners) in the project area to improved LAC-23<br />
seed whach wall increase agricultural yields, and hence incomes.<br />
-
h a promotion of, and assistance to induszrial and conrmercial en-<br />
terprises will result in increased no=-- production, incomes, and<br />
employment in rhe rural areas as well as in and around Yekepa. Ippro-<br />
xirnately 100 small businesspersons will receive assiszance uncier -as<br />
project. Parz of the integration of the Appropriate Technology Center<br />
into the local economy and society will be to briag local smali-scale<br />
entrepreneurs, including artisans, into the Center to receive training<br />
. in business and. in the technical aspects - software as well as hardvare -<br />
of -1 industries. There are also a large d e r<br />
of young hi@ school<br />
graduates who have benefitted from the educational ad-tages of grovFng<br />
up in the concession. Unfortunately, *ere are insufficient jobs to<br />
absorb them and a special effort will be made to reach these gzaduates<br />
and to use their educational training in aeveloping rural-based business<br />
enterprises. The number of new businesses to be started by -he end of<br />
rhe grant period will be approximarely 20 wbich will annually poduce<br />
about 8145,000 of goods and services, and employ up zo 200 people. Also,<br />
4 additional construction contraczar businesses will be created <strong>with</strong> the<br />
owner/operators trained in the technical and business aspects of contruc-<br />
tion. The need for low-cost housing and other construction opponunities<br />
in and around the Yekepa conrmuPizy should provide aple room for growth<br />
of these businesses to an annual volume of $400,000 by zhe fif'A year of<br />
the grant.<br />
PfP is cmently supportjng a program to train women in cloth p a -<br />
ting and dressmaking. In the past they have provided considerable assis-<br />
tance to women entrepreneurs (See Appezidix A, p.38) ~flis assistance<br />
be continued and special courses will be carried out for woman at the<br />
farmer training center.
Sance its inception, PfP/~iberia has worked towards developing its<br />
indigenous staff. Under the proposed grant, there will be sufficient<br />
counterparts to replace mosc of the expatriate staff, thus leaving a<br />
Liberaan-staffed organization at the end of the grant period.<br />
The macroeconormc effects of the pro~am are inrended to closely<br />
follow the National Socio-Economic Developmenr, Plan (1976-1980) and the re-<br />
cently issued Execut~ve Order #1. The Development Plan's major objectives<br />
are to (1) raise the standard of living tbroughout Liberia; (2) diversify<br />
production; (3) disperse sustaFpable socio-economic activities throughout<br />
the country; (4) totally involve the entire populatjon ia the development<br />
effort; and (5) distribute the benefits of economic growth and diversifi-<br />
cation equitably. The activities of PfP address all. of these objectives.<br />
The concept of a viable Nimba society in 2022 will dormnate the eco-<br />
nomic approach of Pf~/Liberia. In addition to the actieties set forth<br />
already in this section, this means a continuing search for linkages a-<br />
mong the various parts of the economy, and a contiauous effort to strengthen<br />
chose linkages, particularly those wbich lead away from, or are outside<br />
of the LAMCO operation. However, this must be done <strong>with</strong>out completely<br />
destroying the traditional subsistence economy. Porty years is a short<br />
Time in the development process, and conscious preservation of a subsis-<br />
tence base for the bulk of the people is essential. Linkages wbich<br />
effectively replace subsistence evolve only over time.<br />
Technoloq -- In computer terms, the technology used, and useful<br />
in the project is largely "software" rather than "hardwara." The emphasis<br />
is, and will continue to be, on traFPzng . . and organization; and the support-<br />
of activities leading to a self-reliant community, particularly those of<br />
small independent entrepreneurs and grass-roots, self-help corm~~nLty gToups.<br />
In this capacity, technological devices become a secondary consideration,<br />
useful if they e a c e peoples' abilities to meec zheir own needs, borh<br />
as individuals and as groups.<br />
12
As already indicated, the Appropriate Technology Cenzer (A%) vill<br />
actively stimulate the people of the entire project area to develop ap-<br />
propriate and feasible technical solutions to problems whia arise in -&eir<br />
darrly activities, and then to work ~ 5th them in fLndj=kg ways to satisfy<br />
the expressed needs. Increased emphasis will be placed on fLaw Local<br />
technological solutions to local problems. In simations where imporced<br />
technology may have been used, the project proposes to move toward added<br />
. emphasis on labor intensive and less exotic technologies.<br />
In its programs in Xenya, Liberia, Botswana, Upper Volta and W avi,<br />
PfP has developed a variety of approaches, all aFmed at ePhancing small<br />
ente-rise development <strong>with</strong> appropriate techniques. All of these approaches<br />
will be utilized in the present program. F o l l o is ~ a brief description<br />
of the technologies that have been developed by PfP which will be drawn<br />
upon and adapted in this project:<br />
-<br />
REES (~ural Enterprise Extension service) -- XEES recruits<br />
and trains local personnel to become d l<br />
business field advi,sors. These<br />
advisors work <strong>with</strong> clients in the places of business to traia them in<br />
management skills looking. toward self-sufficiency of the entreprezIeur.<br />
REES was first developed in Kenya, modified for use in Botswana, and is<br />
berag adapted to conditions in Liberia, Upper Volta and .Halaw'-.<br />
-<br />
RiS (Rural Market Loan scheme) -- BHLS comprises small re-<br />
vol- loan funds a-stered by local market commitr;eesl It MS first<br />
developed in Kenya to complement training in managerid skills. Small<br />
loans are extended to local entrepreneurs who are clients of REES, by a<br />
loan comfittee made up of local btfsinesspeople. Peer pressure is used -<br />
as an Mluence effecting loan repawenti. RMW 2rovide.s r d<br />
business-<br />
people <strong>with</strong> their only source of reasonable credit and provides the train-<br />
ing and experience necessary for the small businessperson to oarticipaTe<br />
in broader economic activity.
The scheme is also being used in Botswana andhasbeen adapted for use<br />
in Upper Volta. in Botswana, Barclays Bank makes loans to small Batswana<br />
enzrepreneurs, the loans berng contingent upon the borrower becomrng a<br />
P ~ P zrauung cl~enz.<br />
-<br />
SDP (self-Developmenz Projeczs) -- PfP has e.xpenmented<br />
m managemenr adnsory servlces for Self-Development Village Projects .<br />
such as cottage iadustnes, cooperatives, and women's production socie-<br />
ties engaged in handicrafts, food presemation, vegetable production and .<br />
vocational skills training. The training and skills development PfP has<br />
tested include product design, quality control, costing, marketing, book-<br />
keeping, budgeting and plssnint,~. The local people choose their own goals<br />
and PfP helps them in creating a profiz-*oriented project in order to achieve<br />
these goals.<br />
Based on self-dezermination, the program gradually adds community<br />
development and a marketing focus to a rural quasi-subsistence economy<br />
wxthout sudden jolts to traditional w ap of life.<br />
AP~ro~ria+.e Management for Aourouriate Technologll -- PfP is ex-<br />
perimenting <strong>with</strong> adapting management practices to the local producers'<br />
limited level of experience. Too often technology and technical skills<br />
are not accompanied by the right level of management. m e small manu-<br />
facturer who is manager, technician and businessperson, and who may also<br />
be non-literate, needs specialized assistance in developing appropriate<br />
management tools.<br />
PfF has an eight-year history of developiag business management<br />
techniques appropriate to the lev& of beneficiary need, partacularly at- -<br />
the lower end of the economic scale and in rural areas. PfP has noticed<br />
that investments in agriculture, manufacture, and the wholesale and retail
-<br />
trades often fail because, no matter how appropriate, only the hardware<br />
aspects of technology are being utilized. It has become apparent a t<br />
however well-trained in, and equipped <strong>with</strong> hardware, il' the enrrepreneur<br />
does noz know how to make a business of such assecs, he or she hill fail.<br />
The rechnological soft-mre that PfP proposes is approprLaze saaag-nent.<br />
In che agriculzural sector the project will use the proven se-&tz&cal<br />
packages developed under the Lofa County Project and otaer development<br />
i projects.<br />
Sociocultural Factors and lmolementine Aesncv Environment - - - . - - - -<br />
Location -- Physically, PfP will be managed from<br />
its present Yekepa headquarters office. It will operate a indusrrial<br />
estate including a mechanicdl mabit-ce and repair vorkshop in Yekepa.<br />
Also in Yekepa, PfP will build and supervise a low-cost construction con-<br />
tractors' tr- center, headquarters office, storage warehouse, and<br />
equipment yard. At-Grassfields ( 1 miles ~ from Yekepa), ?S will operage<br />
a Famer's Training Center, ~emonstr.ation/~rahing Fasm and an Approgriate<br />
T.ecfmologp Training Center. In Unification Town, a town of ll,000 popu-<br />
lation, 2 miles from Yekepa, PfP rrill operate a small business advisory<br />
office.<br />
The territory covered by PfP development programs and s ehces<br />
can be generally- described as Upper Ximba Coun-cy including +&e Yarmein<br />
and Sehyi Edan areas designated as 7, 28 and 27 on map #3 ja Appendix C.<br />
It is estimated that this area is 1,800 square kilometers and ?.at it in-<br />
cludes 60 villages, 3 major towns (Yekepa, Sanniquellie, WEicatioa TO-) -<br />
and a population of approximately 90,000 people.<br />
Xore than half of the people in the area are small holder farse-rs,<br />
though the degree of urbanization is high, especially <strong>with</strong> the large<br />
conrmnity in Yekepa (22,600, of which 1,200 are ex-paeots), Sarmiquellie<br />
. ..<br />
(6,700 in 1974) and Unification Town (11,000),<br />
. .<br />
-
A major objective of the GOL rural development program is to create<br />
a broader distributxon of income by increasing the per Capita income of<br />
che rural poor. The G eman study for Ximba County reports a per capita<br />
income of about $42 among the rural poor target group, the estimate<br />
belng based on annual earnings for the small-scale farmers of abouz $32;<br />
and an average family size of 7.7.<br />
The favorable family economic impact would be appreciable; iacrease<br />
would be from about $325 to about $1,200 for a representative farmer <strong>with</strong><br />
4.5 acres, to about $5,000 for the largest scale fanners, employing 5<br />
laborers from outside the family and each <strong>with</strong> 25 acres of mixed farm.<br />
Expansion and diversification of agriculture, while based on exiszing -<br />
subsistence farming, will provide more nutritious diets for the rural<br />
poor and through the larger market, the urban population will have avail-<br />
able a wider varaety of food at lower costs. PfP stresses the role of<br />
women in agriculture, especially since they, traditionally, supply much<br />
of the productive labor involved. PfP training programs and facilit~es<br />
place the participation and developmenz of women on an equal footing<br />
<strong>with</strong> the men.<br />
A large proportion of the people PfP works vith are either rural<br />
or recent immigranzs to urban life. These people are traditional in<br />
outlook and PfP takes every precaution to preserve and work through the<br />
traditional way of life. In collaboration <strong>with</strong> World Education, PfP is<br />
presently designing methodologies for enhancing participation on the part<br />
of the beneficiaries. These methodologies will be descriptave and ex-<br />
perimental rather than proscriptive and rigid, even nth respect to tra:-<br />
ditional coinmuual and tribal values, for ia the interchange between the<br />
rural and urban, traditional and modern, and immigrants and town areas,<br />
we may find that new values are emerging which must also be taken into<br />
account.
*<br />
The emphasis on integrated economic development will resul: not<br />
only in greater ner: employment and purchasing power through increased<br />
production and more efficient process* and markezjng of a w%der varieq-<br />
of foods, bur: also the increase in cash purchasing power w ill lead to<br />
an increase in the quality of life wich respecc to education, health,<br />
transportation, and water and energy supply. In addition, there -dl1<br />
* be a significant increase in the skill level of farmers and small busi-<br />
nesspersons. PfP's experience in the area and tfle Ge- Study survey of<br />
fanners preferences strongly support this contention (see Axendix E ) .<br />
Guidelines Governina b d i for ~ Priivate and Voluntarv Orzanization in . -.<br />
Conneczion wich Develoument Assistance Gnder the Foreisrn Assiszance Pro-<br />
Poorest Xaioritv -- Historically, the PfP Viable Comnnmitp program<br />
began at the top, <strong>with</strong> an infusion of fiPaPcing and technical know-how<br />
from W CO, zhe la.fge iron-ore mininp venture ia Yekepa. The mediate<br />
need during the first phase was to develop the business iafrastz=c~e<br />
that could support the new town and mining activity and turn as much of<br />
thisinfrastructure as possible over to the Liberians. aut PfP realized<br />
from the beginning that it had also to work at &eating<br />
on a broader base to include the poorest majority.<br />
enterp- rise and<br />
To pursue these. objectives, several years ago PfP began to work<br />
<strong>with</strong> farmers vim a thirty-die radius of Yekepa to creace Li3lcs berxeen<br />
the rural and urban areas. Since Yekepa was not capable of raising its<br />
ova food, this was a reasonable area in which to begin. 9y settizlg up<br />
an Appropriate ~ l e c f i n o l o ~ / ~ ~ ~ r o Center ~ r i ia ~ t cor&Ltct~oa ~ ~ ~ e a ~ - -<br />
<strong>with</strong> a demoastation farm, PfP was able to combine agriculture, maaufac-<br />
ture, technology, management and market- in one operation. By i nclua
subs~stence agrzculture that expands to cash crop agriculture, Pfl is<br />
able to have a human as well as an econormc impact wi~h its programs.<br />
Ins titutionalization<br />
Alrrvdy more ~han half of the PfP staff of ~f~/~iberia, including<br />
the deputy, is Liberian. Promising Liberians have been, a d are being<br />
recruited as the program expands, are being trained and given experience<br />
0; the job, and are promoted accord- to their performance. ~f~/~iberia<br />
exists as a private Liberiaa corporation that was created by a special<br />
act of the Liberian Congress. The U s t e r of Agriculture is the Chair-<br />
man of the PfP Governing Council that includes UYCO officials as well as<br />
LLSerian Government officials and businesspersons.<br />
~fP/Liberia is the institutional mechanism already in place. It<br />
is a legally rncorporated Liberian entity. It is being guided by Liberians<br />
on its Governirrg Council and its staff is gradually becoming Liberianized.<br />
It has an additional advantage in that it enjoys the support of the Go-<br />
vernment of Liberia and at the same time, preserres a measure of independ-<br />
dace as an administrative unit. m e Ministry of Agriculture has contri-<br />
buted regularly in-kind to the progxam. The President of Liberia recently<br />
visited the Pf'P program, and warmly praised it; he has suggested direct<br />
GOL financial support for the program (see Appendix F for letter to<br />
the Deputy Minister of Finance for Fiscal Affairs.)<br />
Pf'P, as stated, is meationed in the Government plans both for rural<br />
development and small-scale enterprise development and in zhe Governmant's<br />
-<br />
.<br />
Lower N W a County integrated aal development plans. While PfF expects -<br />
-<br />
to fully cooperate <strong>with</strong> all of these efforts, it will preserve its own<br />
identity as PfP/Liberia. It: will strengiaen its own operational capa-<br />
bilities during the course of the grant by (a) hiring and trauzing more<br />
Liberian staff; (b) chargiag for its servzces so that approximately $100,000<br />
W a l l be raised - dly at the endof the project; (c) contuwag its pre-<br />
18
'sent relationship <strong>with</strong> WMCO and enjoyiag ongoing support from 'chat source;<br />
(d) adding zhe Government of Liberia and other aZerss~ea donors such as<br />
zhe 'Jorld Bank, the German Goverament to its lisz of financial supporters.<br />
All of the above strategies will combine to jrovide ?f?/iiber;-a<br />
wizh a strong base of supporz to carry on its development acrivi,=ies. Iz<br />
will be up to PfP zo determine by the end of the grsncperiod a% wtrac lsvel<br />
.<br />
of activity the funding and the capability of the organization will rea-<br />
listically merge. We will not be able to finish.the task ahead in five<br />
. .<br />
years, Fortunately, the estimated life of the ore bo y extends beyond<br />
$<br />
five years, and is building the kind of diversified economy that will<br />
not be dependent in the long nm on UCO. PfP is also pursuing macro-<br />
investments for the area <strong>with</strong> Swedish investors in a large forestation<br />
scheme, and w%th an American agribusiness company investigazing the via-<br />
bility of a large-scale rice project.<br />
Duriag the grant period, PfP will have made a dgnSica~t contri-<br />
bution to eliminating the rice deficit, will have substantially increased<br />
production in agriculture and small industry, and will have created the<br />
basis for a diversified economy and its infrastructure and linkages a t<br />
will be able to continue even <strong>with</strong>out a large invesmenr; compooent.<br />
7 3 Viable E onoaric Co -<br />
Historically, in Liberia, PfP1 s developmen$ efforts have been ?nade<br />
possible by the financial contributiops of UCO, among o*&en. Because<br />
UYCO's involvement has been beneficial, the model, thou& unique, re-<br />
presents tremendous potential for ?=eplicability. It can serve to d aw - -<br />
the privatesector directly into supporting development work and improve<br />
the psychological climate bet#een thmelves, the host goverullets and<br />
the local population. Ye vill describe the XNC brvolvemenr fi-st and<br />
separately as "WC Involvementn. However, it must be kept i;l miad '*hat<br />
the basic model of a viable economic cormrmnicy, '&ouglr an incegrazed
eFonomic development approach, is noc at all dependent on a multinational.<br />
A donor agency could easily substitute for, or work <strong>with</strong> the multinational.<br />
The concept or the basic model will be described under "The Basic Xodel"<br />
in this seczion.<br />
XNC Involvement -- The impact of the aczivities of multinational<br />
corporations (~cs) on develop- areas is a SubjeCZ of great current<br />
interest. The operation of a high-technology, fully-monetized sophisti-<br />
cated project in a low-technology, partly-monetized, traditional setting<br />
creates profound social and economic effects. The capacity of all concerned<br />
to cons%nzctively govern these effects may well determine the fate of<br />
future MNC operations in developing countries.<br />
The world economy needs to develop its resources and to construc-<br />
tively utilize capital. There are, at present, psychological factors of<br />
suspicion, hostility and f~llty communicatron, deeply rooted in painful<br />
history, on both sides. On rhe one hand there is the fear of expropria-<br />
tion and nationalization; on the other hand, the fear of exploitation and<br />
manipulation.<br />
Colonial histon provides many examples of exploitation. An ex-<br />
traction operataon, after a limited period, may abandon its activity<br />
leaving the affected area <strong>with</strong> its expectations raised and its means of<br />
fulfilling them lowered. A manufacmrcing or agribusiness operation may<br />
continue indefbitely, crystallizing social disruption into a permanent<br />
pattern. Modern history abounds <strong>with</strong> cases of appropriatiozr or nation-<br />
alization of large MNC operations by governments of developing countries<br />
<strong>with</strong>out adequate compensation. Is'there any framework in wflich MNCs -<br />
can operate in developing areas <strong>with</strong> lasting positive benefits among the<br />
interested parties: the HNC, the host government and the affected popu-<br />
lation? PfP believes the answer is affirmative. Although PIP is moving<br />
away from rts dependence on WCO, UMCO has played such a dominant role
in the pasc, thazwe feel it is useful to document that element which has<br />
provided the base for the present expansion. In %he ?fP Viable C o m t y<br />
Model in Liberia, a process is takLng place which poiilzs cite way zo an<br />
acceptable, posicive see of relationships.<br />
'be h-oeram -- In an isolaced rural siruazion, UXO, an XiC<br />
owned by the Liberian Government, Swedish intereszs, and the aethlehem<br />
Steel Corporation, started minillp iron ore in the 'sixzies in Liber'La on<br />
the Guinea border. LAMCO built, organized and operated a commurrity for<br />
che local employees, but in 1973 decided that such a ctinty was more appro-<br />
priate for a non-minjng organization. PfP was chosen to zake over me<br />
various established small enteqrises in 1974, so, the Yakepa prodecz<br />
is now about five years old.<br />
In its actions, UYCO was motivated to build a more desi,rable,<br />
effective and profitable set of relatiollships among the YXC, the hosz<br />
government and the people directly affected by the projecz. he projecz<br />
offers to che local people of the developing area a w c e zo LmPmve *air<br />
lifestyle in accordance wich their own perceptions.<br />
UYCO also obviously felt that the effort to establish a new set<br />
oS relationships would be helpxf to it, since it supported-and sfill *up-<br />
ports-the PfP operation financially. UYCO is demonstrating its commit-<br />
ment, on a continuing basis, to the people of Yekepa and izs envk-ons Ln<br />
supporting their efforts to construct an ongoing, self-relianz cow~~un%ty.<br />
The balance of the cost is being me= by the host govemet and by inter-<br />
national donors from both Europe and the United States.<br />
Pf? has learned a number of significanz lessons in its four pears -<br />
of experience in the Viable Comrmmity project. It is increwingly avid-t<br />
thaz people will actively participate in their own development and chat<br />
of their community to the extent thaz *Aey are bluded in *e decision-<br />
making abouz their own development activities. The close lidcages bemeen
'tbe develdpment of people in a town and the development of people in the<br />
surrounding rural area are becoming a major part of the PfP approach. We<br />
are assuming an increasingly critical attitude toward the initiation of<br />
specific developmencal activities. They should fit the existing local<br />
economic, social, political, cultural, and developmental programs. Having<br />
started <strong>with</strong> the emphasis on management training as a form of technical<br />
assistance to small rural enterprises, PfP is increasingly convinced that<br />
there must be an accompanying component of credit availability, not only<br />
as a support to business, but also as a LeeJning device for people who<br />
have had limited experience in financial matters.<br />
It is inevitable that the learning process for PfP will continue,<br />
as the learning process expands for UYCO, GOL, and the affected popu-<br />
lation. But it is now clear that the insertion of a "neutral" operating<br />
entity - PfP - has strengthened and expanded a development process which<br />
promises continuing advantages to a11 the interested parties. Success<br />
will not be unremitting, but a process has been established which, <strong>with</strong><br />
adequate financing, is creazing a new and helpful re1ar;ionsbap among the<br />
WC, the host government and the affected population.<br />
'The major elements of the PfT strateay for cooperating <strong>with</strong> MXCs<br />
in a developing area are listed in Appendir G and are based on identifying and<br />
then fusing together the primary concerns of the interested parties. Each<br />
party brings to the program: (1) a set of fairly well-defined goals; (2)<br />
some more or less explicit expectat~ons; and (3) many asswqtions about the<br />
overall operataon and the role of the other parties. Each party also pro-<br />
vides partrcular Fnputs, and this necessitates an appropriate blending -<br />
thereof. In the past, all too often, the validsty of each party's needs -<br />
and contributions have not been N l y ackncwledged. Consequently, fric-<br />
tion and misunderstandjngs have resulted to the detriment of all pasr;ies.<br />
It is only by working closely together that all concerned will be in a<br />
position to make a significant contributron to the pressing issues of<br />
development.<br />
22
underlying the viable economic community model are:<br />
-- zechnical assistance<br />
-- credit<br />
-- an integrated approach creating l u g e s at e vev level<br />
-- char- the most successrW clients for serrrices and re-<br />
cycling that contribution in the form of continuing tech-<br />
nical assistance to those at the boctom of the ladder.<br />
-- creating surplus over subsistence.producti0n uizhin af-<br />
fected area whiJ.0 relying on self-help<br />
-- maximum involvement, socially, culturally, financially on<br />
the beneficiaries<br />
-- institutionalization of the program as much as possible<br />
through self-sustainhg a d self-supporting mechanisms<br />
Perbaps the concept should be subtitled, "A Ladder of Oppo,--tunityn<br />
rather than "A Meld of Opp~r.sunity,~ in that %&e model closely appro-<br />
ximates the double ladder in the DNA double helix molecule- The a s c w<br />
ladder, or staircase, represents the ladder of opportunity. Economic<br />
opportunities, through technicd assistance and credit, are offered ac<br />
every level of group or individual capability wizhln the sociev, fzom<br />
subsistence to the creation of larger businesses and bdustri-as. T&e<br />
desc~dirrg ladder represents the recycling, through direct charges and<br />
membership fees and activities, of the anergies of the more successful<br />
enterprises, through the developipg agent (in th+s case, ?fF/Lii?aer"-a) to<br />
the people at the base aad lower nings of the ladder. The modal is flex^ -<br />
ible and adaptable to political and soCial zkeBds. -<br />
Basic to the model are the cmcepts of appropriacaress and l hkage.<br />
The zechaical assistance is offered at the level a?propr;-ate zo 'he ab-<br />
sorptive capacity of the people and their enT2onment. Then -es
are created from the smallest rural area to village to regional head-<br />
quarters to capital city to external markets rf necessary. Linkages are<br />
also formed between producers, supplrers, and consumers. An effort is<br />
thus made to integrate the Total productive capacity of an area, horizon-<br />
rally and vertically, so That the entire area operates together as an<br />
orgaruc system.<br />
The proposal is tunely in that the Government of Liberia has re-<br />
cently taken steps to encourage both rural development and small-scale<br />
enzerprise development. The GOL Rural Development Task Force, the GOL<br />
Policy Paper on the Development of Small-Scale Enterprises in Liberia,<br />
and the new large-scale G e m<br />
project for rural development in Nimba<br />
County, all mention PfP as one of the implementing agencies in their plans<br />
for rural and small-scale enterprise development. (See Appendices J, K,<br />
and L.)<br />
The Am Missaon in Laberia has expressed a strong interest in see-<br />
the Viable Community Model replicated m other areas in Liberia. Green-<br />
ville, Harper and several other sites have been suggested. As detaled in<br />
the proposal, the Viable Community Model describes a general approach to<br />
xnzegrated aconormc development and can use, but is not dependent on, a<br />
multraational for its development. As in the Harper area, <strong>with</strong> its ply-<br />
wood factory, a n external lavestment may be helpful, but if not present,<br />
attention is focused on strxctly increased productivity of local resources,<br />
partacularly agriculture. Smce the model works from the bottom up as well<br />
as from the top down, even trith investment from the top the overall eco-<br />
noatac drastructuse is developed'as the people are able to absorb tram-<br />
- -<br />
and dete-e the directions of thorr own development.
Project Implementation<br />
The major program areas during the five years will be agricultural<br />
production, appropriate technology (hardware and sofrware), 10s-cost<br />
self-help construction, commercial and industrial enterprise development,<br />
and an appropriate revolving loan fund credit source. These five areas<br />
are intimately interwoven, but each can be given some separate considera-<br />
tion.<br />
Apriculture Develo~ment -- A large number of quasi-subsistence<br />
peasants and smaller numbers of more sophisticated farmers comprise the<br />
. .<br />
agricultural population. PfP will maintain wide flexibility in assisting<br />
in the agriculture sector. A start has already been made in direct help<br />
to rural villages, in the establishment of a demonstration farm and in<br />
the initiation of an agriculture extension service.<br />
The operation and management of the demonstration farm, farmer<br />
training at the farm, theextension service and schools, garden clubs,<br />
4H and Young Farmers Clubs are closely related. Consequently, two senior<br />
agricultural advisors, one of whom will be an expatriate agronomist, will<br />
have overall responsibility <strong>with</strong> three Liberian counterparts, each con-<br />
centrating upon one of the three divisions. At the outset, the senior advisor<br />
will devote a considerable portion of his time to their intensive on-the-job<br />
training to complement their background in indigenous agricultural traditions<br />
and practices. In addition, the Liberian Senior Agriculture Advisor will<br />
attend an intensive course in Integrated Pest Management.<br />
Although the demo farm has a number of allied functions, its pri-<br />
mary purpose is to provide farmers <strong>with</strong> exposure to mixed farm management<br />
through practical experience and training. The demo farm is already con-<br />
structed, a curriculum to include visual aids in the local dialects is in<br />
the planning stages and considerable crop research and variety trials have<br />
been conducted. The mixed farm crops at the demo farm include upland rice,<br />
irrigated rice, tree crops and nursery, fish ponds, animal feed crops,<br />
vegetables, tubers and seed beds. Continued experimentation<br />
25
vzll focus on develop~lg better varieties of locally produced and consumed<br />
food staples such as cassava, collard greens and sweet potatoes in con-<br />
junction <strong>with</strong> other outside varietzes that could improve the nutrition in<br />
the local dlet. here is some reluctace on the part of local faxzers<br />
to accept unfarmliar varieties of crops such as garden vegatables and they<br />
say not find an immediate market in the Yekepa area. herefore, experi-<br />
ments will test the economic feasibility of maxketing the crops in the<br />
large urban centers of ~onrovia/Euchanan and the viable spinning-off of<br />
the enterprise to a Idbarfan entrepreneur. In its initial stages, Chis<br />
project would create revenue to help defray operating costs of the farm,<br />
and would provide seeds for the farm supply store.<br />
Villagers wanting to obtain assistance are called to PfP's atten-<br />
tion by others already receiving assistance. Often the first contact<br />
and subsequent follow-up visits are the responsibality of the extension<br />
aids. They visit rural subsistence farmers and introduce them to a va-<br />
riety of methods forobt- higher yields. They will concentrate on<br />
encouraging farmers to use the many small swamps in Upper Nimba County<br />
for at least a portion of their total rice production, and identifying<br />
farmers interested in cultivating larger scale (4 or 5 acres), higher-<br />
yielding flood plain rice. They will assist tree crop farmers to plan<br />
tree stand locations and to obtain and plant seedlings. There will be<br />
one person who will concentrate on organizfPg and assisting school and<br />
agriculture clubs. These activities 6 1<br />
be expanded and straagthan<br />
considerably by the addition of eight extension aides, brFaging the total<br />
to ten, five for Nimba East and fiye for Nimba Vest. PfP recognizes that<br />
part of the success of any extension s-ce stems from r eme, timely<br />
visits by the aides, together <strong>with</strong> a good level of comnuaAcation <strong>with</strong> the<br />
villagers thamselves. The aides will try to identify a few iadiriduals<br />
ra each village to reinforce the aide's efforts by expl- and assis-<br />
- -
ting ocher farmers in applying the new techniques. Women perform the buT-L<br />
of the work in the fields and they will have every oppor~unicy to parti-<br />
cxpate in the village togerher n th the extension aides.<br />
Eighvlocal farmers have established, n ch Pf? assiszace, tfle<br />
Laake Multi-Purpose Farmers Cooperazive. It is sho- early signs of<br />
. success in spite of deficiencies in the area of finacial management, pro-<br />
cedures and g ened organization and offers room for improvamenz and ex-<br />
pansion. Part of the overall strategy vilZ be to work prim far~ers through<br />
the cooperative using theco- spto distribute famu inputs, provide loans<br />
for suck inputs, collecting payments a= harvest time when the f mers sell<br />
their produce through the coop marketing system. As uizh all credit<br />
sch&es, there is the problem of ensuring repayment of zhe loans. Working<br />
only <strong>with</strong> farmers who are members of the coop provides coasiderably more<br />
leverage upon individuals to repay. Peer pressure, the use of sanctions<br />
where applicable, the cuzting off of loans to other members mil repay-<br />
ment is made are all well-tested methods. Co-op specialists vill be added<br />
zo Strengthen and assist tfris existing co-op to btegrate the PfP traia-<br />
ing operation into their activities, c oowte <strong>with</strong> the cradit officer in<br />
loan procedures and encourage the growth of a similar co-0p.k Yimba Easr;.<br />
An indigenous counterpart will be trained and it is hoped - at Zbe coun-<br />
tespa8.r: will help in the adaptation of the co-op to utilize =he local co-<br />
operative work practices such as eest for uplaPd.rice clearing. The<br />
co-op specialist and coaterpart willtrain local co-op mapagers and vi-<br />
talize the members and board and generally strengthen zhe concept and<br />
operation. of cooperatives. -<br />
Part of the first phase of the Pf'P operation has been to assist rural-<br />
villagers. Villagers often think in tern of community projects as a<br />
first priority, i.e. roads, schools, wells, market areas. Zbis is natural<br />
for a semi-subsistence society and such projects are helped as a par= of
the process of learning management techruques. The villagers indicate<br />
their seriousness by fo- a village development committee to organzze<br />
self-help labor participatzon, set and realize a village fundraiszng<br />
goal, and work out a plan of operatron and follow-up <strong>with</strong> PfF advisors.<br />
(Concurrently, income-geoeratutg projects are promoted, partacularly<br />
rrce producticn, as part of the program target of increasing local rice<br />
production by 1,500 - 2,000 tons and lessen the 5,000 ton deficit of<br />
Nimba County.) A senior nllage development advisor will:supervise this<br />
operation assisted by a Local counterpart to be trained in the locatxon<br />
of suitable agricultural land, surveying, and land clearing.<br />
Assistance to animal husbandry enterprises and larger-scale farms<br />
(5-20 acres) rests <strong>with</strong> the Liberian senior agricultural advisor/deputy<br />
general manager who has overall responsibility for the agricultural arm<br />
of the program. PfP will. assist in the expansion of the already esta-<br />
blished enterprises sucfl as poultry and piggery enterprises to supply<br />
I<br />
from local sources sufficient supplies for the Upper Nimba County market<br />
and earn a reasonable profit in the process.<br />
The creation of all sizes and mixes of farms, e.g. one-acre, three-<br />
acre, five-acre plots, up to about 20 acres comprised of flood plab<br />
rice, cash tree crops, vegetables, fish ponds will be promoted depending<br />
on the ability of a e individual or group concerned. Traditional rice<br />
production has been in tbe uplands using shifting cultivation giving<br />
low yields and contributing to leaclung and erosion. Every effort will<br />
be made to demonstrate the considerable advantages in flood plain and<br />
natural swamp cultivation. Floodplain rice can give two yields per - -<br />
aanum averaging at 2 to 3 tons per acre. Natural swamp provides one<br />
yield per annum but this is still greater than the 3/4 ton per acre from<br />
uplands <strong>with</strong>out subsequent ecological damage. The emphasis will be
--<br />
.placed on increasing rice production vhile o ffea levels of choice to<br />
accomplish this purpose. Not all farmers, of course, are suited to the<br />
larger u ndertw but PfP can already identify a number of fazzers who<br />
are ready to begin to develop farms of this kind. B e PfP cont,ibution<br />
comprises of identi- suitable lazid, clear- the land &d discussing<br />
and arranging repayment of the cost of this operation <strong>with</strong> the farmers.<br />
The land clearing can be done ia a number of ways and PfT is proposing<br />
to dispense <strong>with</strong> mechaalzed equipkt such as caterpillars and tractors<br />
. .<br />
as much as possible and instead apply more labor-intensive tecflniques by<br />
utilizing t h unemployed persons in damp Four as contract labor. These<br />
people have migrated from the rural areas to work as day laborers in the<br />
mine where there is insufficient emplopent. By organizing them on a<br />
daily basis into land clearing groups, PfP can offer the farper a cheaper<br />
alternative to the use of heayr equipmet and -increase the incomes of the<br />
unemployed and unskilled and possibly reintroduce some of these migZaS%ts<br />
to a farming livelihood. ~ppropkate mechanized equipmeat 3uc3 as the<br />
roto-tiller w ill be available for rental on a daily basis for tke far-<br />
mer. The projections for the revenue from the hire of appropriate tech-<br />
nical equipmet and land clearing operations can be found in Appendix H .<br />
Other personnel needed are: one farm tractor operator, a caterpil-<br />
lar operator, a farm me-c, one roto-tiller operator, demonsrration<br />
farm workers and watchmen.<br />
Commodity purchases include four roto-tillers<br />
which will be the bighest lev& of technological mechanization of rlce<br />
production, three pick-up vahicles, tan motorcycles, assorted equipmant<br />
for land clearing and preparation, .water pumps, soil-testa, -eying - -<br />
and radio and connmmication equipment.<br />
A~~rooriate Teehnoloa -- The appropriate technology P r o m will<br />
require strengthening the edstipg AT Canter, both in physical equipmet<br />
and in its small enterprise trabiag aspects. The center mas begun k
1978 and is located at the ~f~/~iberrra Small-Scale Industrial Estate in<br />
Yekepa. The objectives were and are: (1) to create a mechanical workshop<br />
to produce experimental appropriate technology devices for sale or bire<br />
to farmers, contractors, and rural industrialists; (2) to provide an ex-<br />
tension outreach capable of extend* into the rural area and assist-<br />
these people to become famaliar <strong>with</strong> AT devices and methods; (3) to<br />
create a worhhop to maintain and repair all of PfP macbiaery equipment<br />
and AT tools; and (4) to provide mechanical and AT trajning to Liberian<br />
trainees and apprentices. Good progress has been made towards these ob-<br />
jectives. The workshop is on the way to completion, needing additional<br />
machine and hand tools and equipment such as arc welders, drill pressers<br />
and'others. The Center has produced cinvaram block devices which are<br />
used by the Liberian low-cost housing contractors, as well as rakes, r im<br />
threshers, cultivators, charcoal and brick kilns and poultry brooders.<br />
The A'M: has an expatriate senior advisor in place and two apprentice<br />
AT trainers working on metal cutting welding and mechanical repair. Two shop<br />
foremen/trainers will be added, one for the AT side and one for the maintenanc<br />
side. A Liberian AT assistant will. be employed addition to a vehical and<br />
equipment maiat-ce supenrfsor assisted by a field maiatenance mechanic to<br />
conduct repairs on the spot in the nual areas. Two extension aides are<br />
to be employed, <strong>with</strong> the necessary transport (2 motorcycles), to reach<br />
out to the rural areas to i.dantify entrepreneurs for t-raining at the AT<br />
Center, to work on field se-ce problems and to promote the spread and<br />
use of AT tools. The long-term objective is to create a cadre of agri-<br />
zriLtural and AT extension aides rho, <strong>with</strong> the support of the A m, can -<br />
stimulate rural people to organize, plap and undertake a wide variety of -<br />
income-generating and conmamity projects.
-<br />
Low-cost Construction- Trainiw and Develonrnent -- Initial<br />
attempts by U YCO to "spin-off" Liberian-owned and managed construction<br />
firms proved unsuccessful due to the inexperience of t&e v e r s a d<br />
the sporadic volume of contracts. PfP used a different approach, be-<br />
lie* that it would be more realistic to assist in the establishment<br />
of successful small sub-contractors vho might, in time, develop into<br />
general contractors. To this end, PfP conducted evening courses in the<br />
rudiments of estimatiPg, bidding, work planning and job and financial<br />
management. T&e course also served to identify several contractors vith<br />
the basic desire and capacity to grow. PfP obtained +he s-ces of a<br />
Peace Corps construction specialist who assisted in getting and carry5-i<br />
out larger contracts,<br />
Sfncs the start of the program, considerable experimentation has<br />
been conducted b ed at reducing the cast per unit of low-cost busing<br />
to the point where it is affordable and liveable and consfructed w ith<br />
local materials as much as possible. .Xucb progress b s been made; much<br />
more remains to be dane. Tbe coat &as to be further reduced so as to be<br />
<strong>with</strong>in the rea;:b of people lower dovn t&e social and ecanomic scale.<br />
Ways of bcreasiag the degree of self-help participation are ta be fur-<br />
ther explored and implamentad, as are nev AT devices sucb as an increase<br />
the use of local materials, all of vhicb will be of help in further<br />
reducing the cost. The contractors, already progressing we=, w i l l con-<br />
tinue to receive advice and assistance as appropdatkvhile new contrac-<br />
tors, who can organize a successful operation, VFU be idantifid, trained<br />
and assisted in all aspects of low~coat hawing construction. - -<br />
The 11,-r- .;.st construction portion of the Appropriate Tecbaology<br />
Development m ill identify liksly antrepraneurs for on-the-job/clasrroom<br />
t w and train and assist them in e5tabliahin.g *&emselves as sub
general contractors, and explore and adapt the concept of low-cost housing<br />
constructaon along the lines of the cnzeria mentaoned above. m e Con-<br />
structzon Trarning Officer, an expatrrate, will recru~t and intensively traln<br />
two Lrberian counterparts. The intention is chat one of the two kill be able<br />
t> become the eventual re~lacement for the expatrrate advisor. The expansioz;<br />
of the constructaon program will require a bookkeeper/office clerk and a<br />
vehicle driver. As the prime function of the Pf? staff is management and<br />
technical assistance, the comodity inputs required are one light pick-up<br />
truck, office supplies plus some secondary equipment - hand tools, sur-<br />
veying and drafting materials and other training aids.<br />
.To,, e~f-rt: low-cost housing projects turn out to be too expensiva for<br />
low income people to afford or b d s to finance. And often, <strong>with</strong>out the<br />
participation of the people themselves, they turn into uncared-for slums.<br />
The PfP scheme reduces the cost to about $1,200 per unit and includes the<br />
beneficiaries in the planxchg process. See Appendix I for costs and<br />
designs.<br />
A new function of the Appropriate Technology Center nll be to bring<br />
in artisans and upgzada their teobpical skills while teaching them busi-<br />
ness skills. The Liberian artisan wall be trained in the entire tecbnolo-<br />
gy including business. skills. This will include: (1) design; (2) tools<br />
and equipment; (3) technical t r u ; (4) bookkeeping and accounting;<br />
(5) marketing. Emphasis will be placed on recruiting already-operat*<br />
Liberian artisans who exprasspn interest in, and a need for additional<br />
tra3ning. It is planaed to traia these potential entrepreneurs so that<br />
each will be capable of operating & aspects of a d l<br />
enterprise. Th-<br />
credit, via the revolving loan fund, will. be available, as needed, by able<br />
frainees in their own businesses. The Liberian artisan will pay back the<br />
?fP investment over approximately a five-year period through one' or a com-<br />
bination of the folloring: (1) down payment prior to t r w<br />
(<strong>with</strong> or
kLthouz credit); (2) installment payments; (3) percentage of soss sales;<br />
(4)labor contributed to the Center or the employment of apprentices f,wm<br />
the Center in the artisan's business.<br />
such activity could be carried out in steps: szart by ck-g- for<br />
materials, then for use of equipment, then for consultation and other<br />
labor, and finally for the establishment of a new produczion unic under<br />
indigenous control, <strong>with</strong> continuing consultation. Durjng such an evolution,<br />
~f~/~iberia will work out a method of s m . & the profitability of the<br />
projects in order to establish iZseLf as a.self-sustaixbg iastitution.<br />
An equity position, percentage of gross sales or contribution of apprentice<br />
train* . . are among possibilities being considered. It will be necessary<br />
to maintain great flexibility in implement* this program, e.g., tmder-<br />
standing and identifying the needs of under-privileged k&diuiduais aizd<br />
groups, avoiding the imposition of Western ideas and teclmiques, adapting<br />
the speed of impl-tation to the abilities of the recipients.<br />
Industrial and Commercial Enternrise Develoomenz -- In order zo<br />
develop employment opportrmity and income generation in Yekepa whicfl will<br />
be 'independent of iron ore ininjng and be able to use che -rastructure<br />
development (i. e. railroad, roads, housing, workshops, elececiCy, water<br />
system, etc.) which might eventually be abandoned, PfP encourages the de-<br />
velopment of industrid and commercial enterprises using locally available<br />
materids and s e w<br />
other markets as well as Yekepa. Host promising<br />
for long-term viability are the forestry, savmilliz2g, and aroodwor?cing<br />
enterprises.<br />
-<br />
Another category of anterprise encouraged by PfT are those which -<br />
sene the W O<br />
comuunity market primarily but can gradually become less<br />
and less dependenz on that marke t and finally a deve independence. Sood<br />
process-, mechanical serpices, transportation, metal workkg, hotels,<br />
restaurants, tailoring, handcrafts and some semice and retaLl enzeqrises<br />
belong in that category. Even though the enzerprise mig3z d epd for some<br />
33
time on the LAMCO-created community purchasing power, PfP regards it as<br />
worth encouraging because of the entrepreneurral training gained by its<br />
owners and employees wbch LS transferable to another location if ne-<br />
cessary.<br />
Therefore, PfP's marn thrust in the early years, 1973-1976, was to<br />
encowe formatron of industrial and commercial enterpnses in and around *<br />
Yekepa, some of which, like the sawmillirrg company, required foreign in-<br />
vestment and expertise and were, therefore, set up as foreidLiberian<br />
partnershps; others like the frrrnxture companies, were set up as Lzberian<br />
corporations and sole proprietorships.<br />
. The long-term objective is to create enough 'fidustrial and commer-<br />
cial enterprise to absorb the Yekepa conanunity manpower pool as, and when,<br />
iron ore mining winds down and co generate enough income to support the<br />
community.<br />
PfP must work at many different levels to accomplish the objective.<br />
PfP will continue to encourage GOL and other agencies to review small<br />
business regdations, and PfF will endeavor to be an information and<br />
guidance center on how to comply <strong>with</strong> GOL regulations. PfP has encouraged<br />
banks, finance companies and development agencies to open credit facili-<br />
txes in Upper Nimba County. PfP has twice been selected to prepare the<br />
feasibility studies pertinent to financial institution branches in Yekepa.<br />
The Liberian Bank for Development and Lnvestment (LBDI) and the Agricul-<br />
tural Cooperative Development Bank (ACDB) are both talking about opening<br />
branch offices in Yekepa <strong>with</strong>in the next t-so years.<br />
PfP endeavors to attract foreign capital to Yekepa in the form of- -<br />
joint ventures w ith Liberlan entrepreneurs or foreign/Liberian partner-<br />
ships. In this effort, PfF collaborates <strong>with</strong> the Liberian Development<br />
Corp (LDC) and an Association of Scandinavian industry which seeks such
.<br />
Via its revolving loan fund, PfP will make long-tern, low-interest<br />
development loans to entrepreneurs and provide managerial, accounting,<br />
and technical advisory services to them. Sometimes other agencies such<br />
as International Executive Service CO~~(IESC) and Swedish Coope-rative<br />
Center (SCC) are calied upon by PfP for short-term. consulting a ssi~-<br />
ments to specific entrepreneurs..<br />
The second phase of the Fndustrialand commercial program will ex-<br />
pand the range of the accounting, financial,..matkeFipg and rhaaagement<br />
training services. PfP's capacity to respond to. requests-for assis-<br />
. .<br />
tance trill be strengthened by the follorirrg staff: an expatriate Rural In-<br />
dustry Advisor to commence in the first year, one new and one existing Li-<br />
berian counterpart who will receive intensive on-the-job training. The Rural<br />
Lndustry Advisor will initially concentrate on regularizing internal<br />
controls and reporting of the program and then provide adpisorp services<br />
to locd enterprises. To date, the Ganeral Xanager has devoted a consi-<br />
derable portion of hls-time to tbis field. Two additional Liberiazis will<br />
be hired and trained as advisory aides to commercial/industrial enter-<br />
prises, increasipg the outreach to small enterprises in the rural areas.<br />
The proposed commodity expenditures include tuo small sedans for the<br />
additional staff and related office supplies, e.g., a photo-copy machine.-<br />
Creriit -- Credit is the final elemant of the PfP program in Upper<br />
Nimba Couaty. It is part of each of the dements described above and yet,<br />
as a specialized activity, needs to be dealt <strong>with</strong> sepately. Credit has<br />
been an informal part of ~fP/LLberia's. activities from its incept: -on. - -<br />
LAnCO exteuaed to PfP a $100,000 non-interest bearing loan re-<br />
papble in 1985 of vhich $70,000 has been used to develop an industrial<br />
estate and $J0,000 is being w ed as a revolving loan fund. These loan<br />
funds together <strong>with</strong> funds from other sources, have bean used to assist<br />
various individual busiaesses and colmrmpity projects in the rrtrd area<br />
around Yekepa.<br />
3 5
The credat operation now needs to be expanded, strengthened, forma-<br />
lazed and steps need to be taken to institutaodize it. A credit of-<br />
ficer vath two assistants are proposed to coordinate and manage the credit<br />
activitaes related to the various elements of the overall program. They<br />
-11 brrng znto focus the exast- informal loan satuataon and start<br />
lending to individuals and groups on a more orgazuzed basis. The credit<br />
operation will be established as a developmental tool as well as a facili-<br />
Lat,mp3 mechanism. Small businesspersons, small fanners, co-ops etc.<br />
wrll be learning how to borrow money, use it, and repay it. They wall,<br />
<strong>with</strong> this experience, develop to the point of gaining access to conven-<br />
tional credit and financial resources. The credit operation will experi-<br />
ment towards indigenous institutionaiizataon that wll continue to meet<br />
the needs of the people at the lower socio-economic levels throughout<br />
Upper Nimba County. Appropriate credit will be available and actively<br />
used for all Pf~/~iberaa activities. It nil1 be particularly directed<br />
toward inputs for quasi-subsistence farmers and processing and other ac-<br />
tivities related to their outputs, and toward establishing and strangthen-<br />
iPg Linkages betweea the naral and urban sectors. In its human develop-<br />
ment function, credit will also be channelled into small village income-<br />
generating community projects <strong>with</strong> the purpose of expanding the monetasy<br />
and loan knowledge of quasi-monetized people through the actual loan<br />
exp eri enc a.<br />
The following loan fund criteria have been developed and success-<br />
fully applied in other PfF programs in Africa. They will be adapted and<br />
instituted by the credit officer. .(1) Any entrepreneur or group of entre-<br />
preneurs proposiPg projects wuch satisfy the following conditions:<br />
-- are profit-making and therefore self-sustaining, or are<br />
community-oriented<br />
-- contribute to the general economic and social well-beof<br />
the ares<br />
. -- axuphasize increased productivity and self-sufficiency of<br />
the area<br />
36<br />
-
*<br />
-.(2) Existing entrepreneurs must submit a PfP/Liberia loan application<br />
form accompanied by an up to date Balance Sheet, a Profit aPd Loss State-<br />
ment and ~LI analysis of hov the loan vill affect izcome and cosrs. Xev<br />
entrepreneurs must submit the loan application f om wlth statemenzs de-<br />
tailing capital investment needs and estimates of monzhly income a d<br />
operating costs. (3) In keeping vith the nature of the project and in<br />
order to encourage high risks but potentially productive and useful enter-<br />
- priaes, loan collateral is not required. However, in order to emphasize<br />
the importance of timely loan rapayment,, each project proposal will be the<br />
object of a thorough feasibility study,.apd entrepreneurs receivFPg loans<br />
will receive regular PfPrnanage+ant consultation. A follow-up sel-vi-ce<br />
for all loan recipients will discourage late repayments and defaults.<br />
(4) Projects where the entrepreneur furnishes less than 20% of the total<br />
investment will generally not be considered. However, in exceptional<br />
cases, this rule may be waived when the PfP advisor believes the project<br />
vo-y or that it has a reasonable likelihood of success. (5) Money is<br />
to be lent at "going rates" of interest <strong>with</strong> rapaymant tenns to be an=nged<br />
by PfP advisors based on the expected financial perfo-ce of the enter-<br />
prise.<br />
It is understood that a Dutch-sponsored credit project is coatam-<br />
plated for all of Liberia. Also, the new Agriculture Cooperative Deve-<br />
lopment BaPk has mantioned a willingness to open a sub-branch in Yekepa<br />
sometime after 1980. -/Liberia w i l l coordinate its credit efforts vith<br />
any such project, but it believes tbat a PfP-cont;.olled credit source<br />
should be closely integrated <strong>with</strong>ethe other assistaace oifered by pfP/ - -<br />
Liberia. Institutional credit is aot currently available in Uppar Ximba<br />
County to the people rith whom PfP is, and vlLl contirme to be working.<br />
(For a more detailed description of the Credit Plan, see Appendix P.)
Imolementation Plan<br />
(a) The project will be carried out directly by the Partnership<br />
for Productivity (PfP) utilizing small and short-term contracts for con-<br />
sultants or support services as necessary.<br />
(b) PfP will provide the technical assistacce through the use of<br />
paid PfP staff personnel, possibly supplemented by consultancy services<br />
as necessary. Commodities will be provided as detailed in the text, in-<br />
eluding items for experimentation and for staff support.<br />
(c) PfP has connaenced the process of identifying and recruiting<br />
additional senior staff to be assigned -d..thin the t de proposed for start<br />
of klementation. Existing staff are identifying local personael for<br />
possible future recruitment.<br />
(d) Proposed disbursement and procurement procedures and controls:<br />
PfP project manager will be responsible for disbursements, procurement,<br />
accormtiag and control. Accounts will be subject to appual review by a<br />
competent independent auditor. Reports will be filed <strong>with</strong> USAP) in line<br />
<strong>with</strong> contract requirements.<br />
(e) Schedule of actions required:<br />
<strong>OPG</strong> signed august 1979<br />
New staff arrivals<br />
Project implementation Oct. 1979<br />
begins<br />
(f) Pf'P moaitor5ag plan: The project manager will be making quar-<br />
terly progress reports to the PfP director and Board, <strong>with</strong> copies to the<br />
Am Mission. The project vill be'vlszted regularly by PfP intenaatio@<br />
management. In addition, it is expected that close personal contact will<br />
be maintained betweea the project manager and the AID Kission Director<br />
or his appointed representative.<br />
.
Coo~erativee<br />
lilro coqwt "live specialist<br />
llire lorn1 counterpart<br />
Contfww on- the- Job training<br />
~r cwcnLerpart<br />
Cunrmtnrpart replscnd erpat.<br />
advinor<br />
Review exieting coopn<br />
Expand existing coop<br />
Continue to develop exi sting<br />
cool'<br />
Promote h rxpnnd new coops<br />
Mollitor axlstinp animal hue-<br />
bnndx y enterprison<br />
Promote add) tional enterprises<br />
Year 4 Year S
Assint <strong>with</strong> nmtnblislunont of new<br />
ontnrprinns<br />
Coldact mn~~lcnl:J~~(:<br />
stwlios Cor Im~tdJ<br />
crnct ~',",'ll,ctn
~dentli'y 6, rocnuit trsineea<br />
Conduct in1 tin1 training oouree<br />
neview d revise training course<br />
Conduct trninine courses<br />
llire d trait, AT oxtansion aidsa<br />
Deplrty extension aides to field<br />
Extennlovl Alrlnn work In fibld .<br />
otleoiwg 'tmlning of extensioy aidea<br />
Selection or AT proJecte<br />
Development "1' AT projects<br />
Froclectio#r of AT tools
Evaluation<br />
In accordance <strong>with</strong> AID evaluation policy, Pf? plans to carry<br />
on continuing evaluation during the life of the project. The logframe<br />
(means of verification) indicates the periodic documents uMch -%ill be<br />
used to report problems, adaptations, and progress.<br />
As is emphasized throughout this proposal, the projecz will<br />
concentrate on the development of people, as well as the production of<br />
material items. This fact, combined <strong>with</strong> efie well-known scarcity and<br />
usmeliability of most statistics in a largely skbsistence area, dictazes<br />
(1) limited scheduling of planned accomplishments and (2) an exploratory<br />
approach aimed at adapting the conceptual framework for evaluation of +his<br />
and other development programs. Such a framework will include:<br />
(1) The qualitative approach wbich places great import.ance<br />
on zhe subjective, dynamic nature of the development process. Development<br />
is seen as hunan development, meaaing principally the various manifesta-<br />
tions of people's attitudes, values and consciousness. Such a view em-<br />
phasizes the critical nature of the sociocultwal context of the program.<br />
(2) Quantitative Mysis: for e;rampJ.e, cost/benefit<br />
analysis, which seeks to reflect in quantitative tern the tgpe of goods<br />
and amount of monetary income the project will produce year by year, to-<br />
gether <strong>with</strong> CRYP and PQLI statistics.<br />
(3) The defiPition of relationships and lizrkages vhich are<br />
needed at a U levels, horizontal and vertical, forrard and ba&i, to<br />
create the holistic framework necessary for comwzication and economic<br />
progress, and to decrease dependencies on exogenous factors. m s<br />
-<br />
approach<br />
will take into account facts such as the economic ipfrastructure, appro-<br />
priateness of soft-&-e and hardware systems, and credit, factors --ch a-e<br />
not sufficient in and of themselves but wbich are imponanc by vinure of<br />
their relat~onship to other factors.
In order to initxate this evalua%ion strategy, an exper~enced con-<br />
sultant is to spend 3 to 4 months la- the methodological groundwork<br />
m conjunctxon wxzh ~f~/~iberia staff. Thereafter, a senior Program and<br />
Evaluatzon Officer will join the permaaent staff. He will commence by<br />
gathering and collating human and zechaical data on the area, particularly "<br />
in the subsistence agricultural sector, workhg towards a synthesis of<br />
the three levels as the program develop, recoarmending changes in the<br />
methods of operation, end reporting the progress of the project to USAID,<br />
~JXJ/~ashi.a~ton and ~fP/Washiagton. At least one independent evaluation<br />
will.be carried out duriq the life of the program preferably at the end<br />
of the first two years, and the results will be adapted and utilized by<br />
the staff evaluation officer.<br />
a
1. b.F-6.d PrP/LtbVII .LISr Up.(ilW.<br />
I. 0th.I rrp.P1d a..rlupo.uC .Ir.,r=l<br />
ash u cs-zp.x-au- rl-a th. Go- h-<br />
1-c for C a w X- Co. L P ~ a. ~OL<br />
nprrr tad Prom..<br />
3. x7ACzru.d 1.r.l or local krn... rnd<br />
b U V A S i d dPlld .ad -= fez P R<br />
S.dS..-<br />
)I.<br />
.I-. Co.<br />
.s-e asrzirr ~n sppu
I<br />
\&evemne ho9e lunambr-prsc<br />
LIMCO continues to suyporr Jev't. rctivi-<br />
Program pucumenta ,ties r;l the Y.lie?a area.<br />
mupl repofta .Pd audits 'GOL conthe8 50- supjjort growth ~f the<br />
GOL md business statistics able economic- co- Cy<br />
Independent .valuation formi. of indiviw, socisl d econo-.<br />
ic dw't. are in%--r.1at.d at a baaic<br />
level and r y w I holistic approach<br />
t .roarnous facroro, r. rrrth*r or<br />
olitical instability ~ 1 not 1 rander tha<br />
dw't. effaW indfoctLYe.
A. To allow a procurement source waiver from AID Geographic Code<br />
941 (U.S. only) to Geographic Code 93j (Free World) source countries as<br />
. Description of Commodity: small, lightweight irailbFkes<br />
of 175 CCs or less<br />
. Approximate Value: $27,600<br />
. Probable Source: Japan<br />
,. - -- - : ..<br />
. Discussion: ~f~/~iberia is requesting a source waiver to per-<br />
. .<br />
mit procurement of approximately 19 small, lightweight trailbikes from<br />
Code 935 countries as per the guideline #4~2(d) in Handbook $1, Supplement<br />
B, pages 4-8. The mo;torcycles are to enable the appropriate technology<br />
center extension aides and agriculture and rural development extension<br />
aides to reach out to the outlying rural areas. The distances, terrain and<br />
climate invalved necessitate the use of motorcycles as the cheapest and<br />
most efficient means of transport and preclude the use of other forms of<br />
transport, e.g. bicycles. The same applies in the case of the credit offi-<br />
cers and management advisors. The type of motorcycles to be used will be<br />
light trail bikes.<br />
The project already has a number of motorcycles from 935 source<br />
countries which have proved td be well-suited to their purp3ses. Servicing<br />
and spare parts are available for these machines whereas they are not avail-<br />
able for U.S. motorcycles. No motorcycles of the size and type required<br />
are manufactured in the U.S.<br />
B. To allow for a Proprietary Procurement Waiver as follows:<br />
. Description ofCommodity: Caterpillar Front Loader<br />
. Approximate Value: $60,000<br />
. Probable Source: Caterpillar Corporation or agent thereof
. Discussion: ~f~/~zberia is requesting a Proprietary Procure-<br />
ment Waiver for the purchase of one Caterpillar Front Loader as justified<br />
according toGuideline #3~4~(3) and (5) in Handbook #1, Supplement B, pages<br />
3-8 as follows:<br />
The Liberian American Mining Co. (LAYCO) uses Caterpillar .<br />
equipment and Caterpillar has opened the only fully stocked sales and ser-<br />
vice center in Yekepa. Also., due to their experience gained while working G<br />
..., for the Minin&Company, a pool..of machinery operators and mechanics skilled<br />
in the use of Caterpillar equipment exists <strong>with</strong>in the project area.<br />
To take advantage of these existing skills and facilities the<br />
project needs Caterpillar equipment. To use a non-Caterpillar Front-end<br />
Loader, the project would have to develop new channels for the supply of<br />
spare parts and retrain the local operators and mechanics. Th~s means<br />
that operation of the front-end loader would have to rely, at vest, upon<br />
Monrovia as a source of spare parts. If the supplier of the front-end<br />
loader does not have a service facility in Xonrovia, the use of this<br />
equipment would depend upon a supply channel stretching back to the U.S.<br />
Because of the limited nature of this procurement, it is not reasonable<br />
to expect a supplier to create or improve its ability to service a single<br />
front-end loader operating in the project area. This places the full bur-<br />
den for maintaining and operating the equipment upon the project staff.<br />
To avoid the problems and down time inherent in the retraining of<br />
operators and mechanics on unfamiliar equipment, and the need to create<br />
new support channels a proprietary procurement waiver has been requested.<br />
C. To allow for a Proprietary Procurement Waiver as follows:<br />
. Description of Commodity: Yanmar Roto-tillers <strong>with</strong> cage,<br />
wheels, blades and manuals<br />
. Approximate Value: $24,000<br />
. Probable Source: Japan
. Discussion: Pf~/~iberia is requesting a Proprietary Procure-<br />
ment Waiver to permit procurement of approximately 4 Yanmar Roto-tillers as<br />
justified according to Guideline #3~4~(1) (3) and (4) in Handbook 91, Sup-<br />
plement B, pages 3-8 as follows:<br />
PfP/Liberia has experimented <strong>with</strong> a variety of rozo-tillers<br />
., including the W roto-tiller of the Philippines during the past three years<br />
1<br />
-<br />
to test their application in the local conditions of Nimba County, Liberia.<br />
The results of this testing has shokn the Yanmar machine to be the most<br />
*. >.<br />
successful from all points of view - design, job performance and main-<br />
tenance.. As a result, ~f~/~iberia has standardized and is operating two<br />
Yanmar roto-tillers. Staff has been trained to operate, maintain and re-<br />
pair these machines in the field. Stocks of Yanmar spare parts are already<br />
on hand and savings in time and cost of maintenance will be realized.<br />
The roto-tillers are needed to introduce firsz stage mechanization<br />
into soil preparation and irrigation for grain, legume and tree crop pro-<br />
duction. The general shortage of available farm labor in Nimba County<br />
means that plarrs to increase agricultural production necessitazes the use<br />
of these roto-tillers.<br />
Note: Exclusion of procurement from Free World countries ocher than the<br />
cooperating country and countries included in Code 941 would seriously<br />
impede attainment of U.S. foreign policy objectives and objectives of<br />
foreign assistance program.
A. Total Project Cost<br />
Foreign Exchange Costs<br />
Local Currency Costs<br />
B. Proposed Financing<br />
AID<br />
GOL<br />
LAMCO<br />
Other donors<br />
Estimated Prolect Costs<br />
C. Funding Contribution by FY ($000)<br />
- FYI - FY 2 EL2 - FY4<br />
AID 700.1 665.9 673.8 652.1<br />
GOL 50.0 70. o 70.0 70.0<br />
LAMCO 60.0 60.0 60.0 60. 0<br />
Other donors 105.3 134.5 150.4 156.1<br />
Total 915.4 930.4 954.2 938.<br />
D. Total Project Costs by Expenditure Category ($000)<br />
- Item - Fx - LC<br />
Personnel<br />
Vehicles<br />
433.0<br />
226.2<br />
1,493.3<br />
- -<br />
Machinery & Equipment<br />
Operation & Maintenance<br />
191.3<br />
203.6<br />
24.2<br />
249.6<br />
Experimental & Development<br />
Inputs<br />
73.5<br />
350.0<br />
137 5<br />
--<br />
Credit<br />
Buildings - - 21.7<br />
Administration & General 368.0 395.4<br />
Support 1,845.6 2,321.7<br />
TOTAL<br />
* represents O/H on AID grant<br />
566.8<br />
- Total<br />
53,258.7<br />
90.0 350.0<br />
60.0 300. 0<br />
135.3 681.6<br />
852.1 $49590.3
1) Persormel<br />
1009 Px Costs 85.8<br />
2) Perqomel<br />
1,0$ u: costa 95.7<br />
3) Vehloles<br />
loo$ Fx Costs<br />
4) Haoh L Equip<br />
100s Fx Costs 102.5<br />
5) Exp L Development .<br />
Inpu te 100% Fx<br />
. -<br />
15.5<br />
6) Equip cb Maint<br />
Opera tion 31.2<br />
1005 Fx Costs<br />
7) Admin L Genll Support<br />
100% 137.4<br />
8) Credit Fund 100% 25.0<br />
Total Direot 606.1<br />
011 159 91.0<br />
Total Costa - 697.1 662.7 670.6 648.9 563.6 3,242.9<br />
Legal Audit 3.0 5.2 j ; 2- 3.2 3.2 15.8<br />
'rn~n I 7nn. 1 hhr,.o 677.8 652, I 566.8 3.258.7
F. PERSON MAN YEARS BY FY<br />
Ztem FY1 FY2 FY7 FY4 FY5 Total<br />
Personnel<br />
Man Years<br />
(FX costs)<br />
Personnel<br />
Man Years<br />
(LC costs) 41 46 47 47
G. BREAKDOWN OF LINE ITEMS<br />
Machinery and Eouioment Inputs<br />
To include:<br />
Office machines - photocppiers, typewriters<br />
Surveying equipment<br />
Drafting equipment<br />
Mobile jacks<br />
Pallets<br />
Construction equipment and handtools<br />
Construction training aids<br />
AT machine tools, handfwols and assorted equipment<br />
AT stock and supplies<br />
Spare parts for AT machines<br />
Roto-tillers <strong>with</strong> cage, wheels, blades, manuals (4)<br />
Water pumps <strong>with</strong> hoses, filters, pipes, valves (6)<br />
Soil testing, surveying training equipment<br />
Radio and communications equipment<br />
Farm handtools<br />
Front loader<br />
Experimental and Development Inputs<br />
Vehicles<br />
Business systems equipment, supplies and training aids<br />
Material testing equipent for construction<br />
Inputs hito rural industries<br />
F'ublications, training aids, experimental supplies<br />
Inputs into Demonstration Farm<br />
Inputs into Rural Schools Agricultural Programs<br />
Small Sedans 7<br />
Pick-upa 7<br />
Motorcycles<br />
Bkcycles<br />
19
H. RECURRENT COSTS BY EXPENDITURE CATEGORY ($000)<br />
Commodities - 3 Vehicles<br />
Machinery & equipment 47.0 .<br />
Operation & maintenance 61.4<br />
In Kind Costs 50.0<br />
TOTAL 461.3<br />
2. Funding Contributions After Years ($000)<br />
GOL<br />
LAMCO<br />
Revenue from fees/rentals 100.0<br />
Other Donors 150.0<br />
In Kind Contributions 52.0<br />
TOTAL 462.0
~LXZING THE DEVELORIENT ommuxn<br />
CREATED BY .&?I<br />
IRON ORE XIYIXG CDNCXSSION 13 <strong>LIBERIA</strong>
EVOLUTION OF THE YEX'U.4 EXPERDIEYT<br />
Concern for the future of the concession<br />
area after depletion of the ore<br />
Larnco adopts a "spin-off" policy and<br />
starts implementation . .<br />
Spin-off results were disappointing<br />
ORW,XIZIXG AND FUNI)IXG TIE CCPERIXFXT<br />
A private agency is selected to manage<br />
the cowunity viability effort<br />
A program for Yekepa is proposed<br />
PFP's first three-year budget<br />
Applying for funds to supplement Lamco support<br />
First three year funding<br />
Funding tabulation<br />
THE -I GXPEBIWEJlT GETS UNDE8yiAY<br />
Priorities are determined<br />
PFP adopts a development strateqy<br />
The first year program is projected<br />
THE FIRST YEAR<br />
Coping <strong>with</strong> unforeseen public rdation problems<br />
Strengthening existing spin-off enterprises<br />
Starting new spin-off enterprises<br />
Reactivating teraporarily closed down<br />
Liberian enterprises<br />
Assisting enterprises proposed by Liberians<br />
to start up<br />
Starting enterprises to be spun off to<br />
Liberian ownership and management when<br />
proven viable<br />
Page
Rojects started and aanaged by PFP<br />
Other activities undertaken by PFP<br />
Conclusions discussed<br />
Continued assistance to existing<br />
spin-off enterprises<br />
Zlar spin-offs undertaken require<br />
less PFP involvement<br />
Smell-scale enterprises increase in number and<br />
rariety introducing new concerns and problems<br />
PFP builds a mull-scale industrial estate<br />
Conclusions discussed<br />
A senior Liberian Agicultural Advisor<br />
is hired and progam designed<br />
Fbds are obtained for the agricultural<br />
and rural developlent pro-<br />
G.O.L. pledges m agricultural tool and<br />
supply input<br />
PFP org-anizes and equips for the<br />
agricultural program<br />
Implementation begins<br />
Objectives of aasistance to the PFT irrigated<br />
rice, mixed vegetable and tree ears are revised<br />
Assistance to Ajavon Poultry Farm is spt-tized<br />
and becomes wre effective<br />
A Piggem project is studied, capitalized<br />
and imp1 wented in record time<br />
Liberian entrepreneur, James'Tabla, is given a<br />
loan and assistance to start a Farm Supply Store<br />
A demonstration and training farm is started<br />
. -
A strategy evolves for selecting farmers<br />
and rural development groups to assist<br />
Page<br />
Agricultural Extension Services are well 89<br />
received and effective<br />
A farm machinery and equipment center 91<br />
is established<br />
SECOND AND THIN) YEAR OTHER ACTIVITIES<br />
R-ovision of credit and experimental investment<br />
Cuttington College student intern program<br />
Contractor training and rural induatry development<br />
Miscellaneous voluriteer work<br />
Conclusions discussed<br />
OUTXMK PUR THE NEXT TWO YU8S<br />
95<br />
95<br />
95<br />
95<br />
100<br />
One donor agency is unable to continue 101<br />
financial support<br />
Reducing the budget rill alter PTP's capabilities<br />
101<br />
l%e program for 1978-1979 iacorporates 102<br />
espedient changes<br />
Increased reporting burden reduces 102<br />
productive staff time<br />
Conclusions discussed 104<br />
Creating a viable co-ity should be regarded<br />
as a primary purpose, not aa a possible by-product,<br />
of the conc+ssion venture<br />
An experienced development agency should be<br />
invited to laanage the viable community prop;rm<br />
Publicize the program thoroughly<br />
Hake sure that practical advisors are recruited<br />
and hired to run the program<br />
10s<br />
105<br />
106<br />
106<br />
-
Organize the development agency for<br />
the job to be done<br />
ContruI the amount of input into<br />
the program<br />
"Get on rid. it"<br />
Pas<br />
loi<br />
105<br />
108
The experiment described herein<br />
is still on-going. It was started in<br />
1974 by Partnership for Productivity<br />
foundation / Liberia and its parent<br />
affiliate, PFP / USA. The experiment<br />
was conceived, heavily supported and<br />
financed by the hmco iron mining<br />
joint venture in Liberia. Financial<br />
and "in kind" support was also pro-<br />
vided by PACT, a consortium of pri-<br />
vate development agencies; ICFVil-m,<br />
the Swedish YMCA-YWCA Association;<br />
and the Government of Liberia.<br />
Additional funds for the fourth<br />
and fifth years of the experiment<br />
have been pledged by the International<br />
Foundation for Science (IFS) and ap-<br />
plied for from the United States Agen-<br />
cy for International Development(USA1D).<br />
lIhat moderate success has been<br />
achieved so far has been because of<br />
the hard work and cooperation of<br />
Liberian entreprenec~rs and farmers.
The Yekepa Model is,dedicatad<br />
to two practical h-itarians<br />
rho joined in applying<br />
creative leadership to correcting<br />
an internatio~el injustice.<br />
David H. Scdl of America<br />
President, PFP/USA<br />
BEST AVAILABLE COPY<br />
0110 Wijkstram of<br />
General Xanager<br />
klco 1968-1976<br />
. .<br />
. . .~ ._ -
XINING CLAY FOR BRICX<br />
BESTAVAILABLE cow
This article attempts to establish a model<br />
whereby concessionaires, dealing <strong>with</strong> depletable<br />
resources and products . subject to unforeseen<br />
mrld market devaluation, and governments host-<br />
ing such concessionaires, can minimize the s-<br />
ploitive impact of these ventures -by turning<br />
them into development opportunities for the con-<br />
cession comawnities and their-residents.<br />
For too many years. concession agreeuents<br />
betreen sophisticated multi - national corpora-<br />
tions and the governments of developing count-<br />
ries .have been unjust to the local residents of<br />
concession areas. While they experience short-<br />
term benefits in the form of caployment, skill<br />
acquisitioa,housing, education and medical care,<br />
they are frequently left hi& and dm when the<br />
concessionaire leaves or den the exploitable<br />
resource is exhausted or abruptly devalued. This<br />
is especially unjust because these people aight<br />
have been better off if their progress Lad been<br />
allowed to proceed at a natural, rather than an<br />
accelerated pace.<br />
A method to avoid this unjust and inhumane<br />
result. and, in fact, to use the presesca! of a<br />
multi-national concessionaire to create lasting<br />
and sustahable benefits for local citizens. is<br />
being tested right nor in Yekepa, Liberia.<br />
After tbru years, the experiment in Yekcpa<br />
rhich teams up a high-technology, joint aining<br />
venture <strong>with</strong> a small Quaker sponsored private<br />
development agency appears to be aaking progress<br />
toward the creation,of an economically viable<br />
co-ity capable of sustaining itself after the<br />
mining company leaves.<br />
Three years is a short time to prove any-<br />
thing in an African development context.tlorever,<br />
the method which has evolved from the Yekcpa ex-<br />
periment has resulted in sufficient progress to<br />
justify recommending it as a model for airilar<br />
ventures.
During the construction and mine-development years little<br />
thought was given to m~nimizing the long-term exploitive impact<br />
on Liberia of the concession agreement which had a termination<br />
date in the year 2022. This was because such vast amounts of<br />
foreign capital were being spent for infrastructure which<br />
included a port and port tom, 160 miles of railroad, a mining<br />
tom in Nimba rith 3,000 houses, 22,000 population, electrification,<br />
rater purification, sewage treatment and disposal, schools,<br />
training centers, hospitals, churches, markets and recreational<br />
facilities. It seemed impossible then to envision that anything<br />
besides benefit to local citizens cottld result from such<br />
lavish and permanent investment.<br />
PARTIAL YIEW OF THE INDUSTRIAL AE.4<br />
5
Concern for the future of the concession area after depletion<br />
of the ore<br />
Not until 1969 was an1 serioua thought given to the<br />
future of the concession area after depletion of the ore. The<br />
incumbent Swedish General .%nager of hmco, Hr. Olle Wijkstros,<br />
expressed to the participants his conce.-n for the long term<br />
future of the mining and port communities and their Liberian<br />
residents. It was estimated then that 20 to 23 years of<br />
intensive mining might be all that were left.<br />
He convinced the participants that an important humanitar-<br />
ian and self-enlightened objective of the joint venture should<br />
be to convert the "company tomsn into communities which would<br />
remain economically viable after depletion of the ore. An<br />
objective this massive and broad in scope, he reasoned, could<br />
only be achieved by a gradual, but steady. progress which must<br />
be planned and started immediately.<br />
An interesting side glance into the reaction of various<br />
Lamco Board members to b. Wijkstrom's concern took place<br />
during the 1973 Board meeting when a small investment in a<br />
community viability project was proposed. Six out of eight<br />
Board members had approved when the last tn, arrived at the<br />
meeting late because of a flight delay. These two were<br />
generally regarded as "hard nosed" businessmen.<br />
When asked how they voted, one replied, "I find it<br />
difficult to vote on a proposal which I haven't heard."<br />
The senior World Bank Board member commented thus, "Gentlemen,<br />
you'll find it more difficult den you heard, nor vote yes."<br />
They did.<br />
Lamco adoots a "sain-off" uolic~ and starts imulementation<br />
Various managerial and technical personnel already<br />
employed by Lamco were appointed in 1969 and 1970 to study<br />
opportu~itiea for "spi~ing-off" to Liberian omerahip and<br />
management company-nm activities which were not directly<br />
related to the extraction, procsssing, and ahipment of iron<br />
ore. A policy was adopted whereby the company would consider<br />
spinning off to private entrepreneurs any production or<br />
serrics rhich the private enterprise could provide at, or<br />
below, Lanco's cost. Such activities as supermarket operation,<br />
home building, persopnel transport, and furniture repair<br />
were judged to be operations which, <strong>with</strong> pod management and<br />
adequate initial capital, could be independent private<br />
enterprises aer*ing the community efficiently and prosparing<br />
in the process.
2<br />
kaco acted quickly md spun off it8 mpenmrht to USrC ,<br />
an establiahed company rflich had enough capital to purchase<br />
the S80,OCO inventory. Later, a major portion of its house construction<br />
was spun off to Nirba Realty and ~onstructh(NRC~),<br />
a corporation created for this purpose. YRCC ras omed by Liberian<br />
shareholders, of dich only one ras actively employed<br />
by the new corporation aa general wager. The other shareholders<br />
rere fully emplopd elserfiere. hmco loaned YRCC its initial<br />
operating capital and started awarding construction contracts<br />
to NRCC rith prices and time limitations computed by<br />
harro's civil engineers to be comparable to Lamco's om costa.<br />
The aam procssa was followed in creating Hount iiinba Trmsprt<br />
Company Olonitco); knitco's initial fleet of vehicles raa omed<br />
by k o . but leased to, and operated by, Woniteo.One &areholder,<br />
an exceptionallr able Liberian fonerly eqloycd by Lar-<br />
co, was selected to be Wonitco's general manager. In Mu<br />
ahion, the comwnity's mtion-picture recreational program was<br />
made into a private Liberian omed and lanagad enterprise which<br />
leased the colpanjl+ theater and projection equipment for film<br />
shorings. A -11 furniture repair .hop was equipped rrtd turned<br />
over to Liberian ownership. Almst all shareholders of these en-<br />
terprises -re full-tire W o<br />
employees rho agreed to avoid<br />
conflict of interest by staying out of their day-to44 auragement<br />
.<br />
Soin-off results rere diuowfntinq<br />
It mon became evident that these spin-off enterprbea which<br />
wre crested to become sound, independent. Liberian om4 and<br />
managed companies rere not mrking well. The serricr8 provided<br />
by spun-off corpanies sdfered from problem8 relating to poor<br />
technical maintermace, hadequate personnel training, and organ-<br />
izational difficulties. The companies themselves became financi-<br />
ally shaky for reasons most often reflecting lack of rapagerial<br />
e?rperience and accounting drllla and sometimes unforeseen local<br />
concepts as to rhat constitutes mund buainesa judgesvent in the<br />
use of company ftmda and other assets. For a rhile krco endeav-<br />
or-d to prop up tbe spun-off corporations rith mrgency iajut-<br />
ions of capital and advice, reasoning that their start-up prob-<br />
lems night be noma1 phenomena and disappear after a year or tro<br />
of shakedown and experience. Thi8 optirin a8 not justified.<br />
Prablels in aoolication of the soin-off eoncrut<br />
Vhen a specialist in Afriuo enterprle developent n a enga-d<br />
as a consultant in 1973 to nke racnrtndatiorm toncerning<br />
application of the apin-off poliw md to dwelop an over - a11<br />
stnteg and plan for mrkfng t o e w d t y<br />
fa-<br />
riability.hir fi-<br />
ndinm indicatad that while the rpin-off concept- sormd, diaappointiag<br />
rwsultr rdated to application of tha concept, Suc -<br />
cessful inplerentrtion of the concept .odd require a different<br />
-<br />
approach than that ued by k<br />
take into considoration that:<br />
o to &to. The nsr approach nt<br />
'US~C: United States Trading Cowany ( a Fireatone subsidi-<br />
-
a) operational units perceived by Scandinavian nranagers<br />
of a large, high-technology, mining venture as suitable units<br />
to be spun off to local entrepreneurs were too large and too<br />
complex for the level of managerial skill locally available.<br />
h) the artificial mining concession community, which<br />
only a few year* before had been a traditional subsistence<br />
farsing area, suffered a chronic shortage of educated people<br />
<strong>with</strong> entrepreneurial amtivation and businesa experience.<br />
Ereqons <strong>with</strong> maagorial or technical skill potential had<br />
alreae been hired by kxo.<br />
C) .h.rkholders, however well educated and experienced,<br />
who did not invest rubstantial personal savings, or an aqui-<br />
valent in tiwe and effort devoted to the forsation and start-<br />
up of an enterprise, wen not sufficiently motivated to lis-<br />
ten to operating problem and extend their know-how to assist<br />
management.<br />
d) newly formed companies could not expect to produce<br />
goods and services competitive in quality and price to a<br />
depart~ent of u w which had been in the business for five<br />
years <strong>with</strong> skilled expatriate technicians and administrators.<br />
e) the hope that a spun-off enterprise would become<br />
rapidly independent ras unrealistic. In practice, the dominant<br />
role of hrco in conceiving the new enterprise, financing it.<br />
functioning as its sanagement consultant, and being the major<br />
customer created the opposite result, The spun-off company<br />
bocaem mre dependent than it had been as a department or<br />
roetion of LUUO.<br />
f) an7 -bet of hmco management, however detached and<br />
objective, was suspect in his role as advisor to spun-off<br />
anterprims. The entreprrneurs did not bow whether the advice<br />
received ras for their benefit or Lawo's. Therefore respanso<br />
to such advice and counsel was often nertive.<br />
g) in canes where a new spin-off enterprise took over<br />
f0rm.r L.+BCO enplofees. there was considerable resistance to<br />
tho spin-off on the part of these employees who had to give<br />
up Laeo seniority, fringe benefits, housing, and the security<br />
of working for tbe lar-r coqany.<br />
h) an unfortunate by-product of five years of prosperous<br />
minmg and conrtructlon uader the umbrella of a paternally<br />
-aged Swedish eoqany had bee to take away from local<br />
people auch of the initiative, self-reliance, and traditional<br />
ethicd standards fostered by their fomer nay of life.<br />
-
After one year of study and experimentation, the consultant<br />
recommended early in 1974 that a private agency <strong>with</strong> experience<br />
in advising and assisting African entrepreneurs should be<br />
invited by hmco to set up a headquarters in Yekepa. The agency<br />
selected should incorporate as a non-profit Liberian foundation<br />
in order to be eligible for international development financing.<br />
and it should take over numagemeat of the viable cornunity effort<br />
started by hmco. The consultant advised that the long-tern<br />
objective could not be achieved by spin-off alone, but tht a<br />
ride range of agricultural, comercial and industrial enterprises<br />
unrelated to irnn ore mining would be required to make the<br />
cormunity viable after the ore depleted. He agreed <strong>with</strong> hmco's<br />
humanitarian General bnager, Xr. Wijkstrom, that an intensive<br />
effort to foster the formation and start-up of these enterprises<br />
should be launched immediately.<br />
In oversimpIified form, the objective was to create enough<br />
enterprise in the following 20 years to employ 5,000 people<br />
and earn an aggregate sales income of 950,000,000 per year,<br />
thewby providing a tax base to support Yekepa. The tom had<br />
grown to be Liberia's second largest city and was offering its<br />
residents amenities and services which muld cost SS,OCO,OCO<br />
per year to sustain.<br />
A ~rivate aqencv is selected to manaee the cosmrunit~ viabilitv<br />
effort<br />
-.<br />
After an extensive observation trip throughout Africa and<br />
developing nations hosting concessions elsdere. L e o ma%%--<br />
nent agreed that the Partnership for Productivit? program in<br />
Kenya (a Quaker sponsored, dl-ecale enterprise develoPment<br />
agency)most closely approxhated the type of program envisioned<br />
for Yekepa. PFP was invited to establish a headquarters in<br />
the h c o concession area and to start immediately outlining a<br />
thne-year program and budget. PFP ras also asked to forecast<br />
potential funding from other sources so that the mining CorpMy<br />
participants could consider approval of an annual cant to<br />
finance the pmgan.<br />
A ororram for Yekeoa is orooosed -<br />
The program PFP/Liberia ptaaented to k o , the Gave-nt<br />
of Liberia (COL), and to private and public sources of develop-<br />
ment financing had nine principal elements and a uumber of<br />
related activities- Each element was projected for thm<br />
years <strong>with</strong> progress to be evaluated quarterly according to<br />
measurable criteria:
Propram Elements Measurable Propress Yo<br />
Be Achieved in 3 Years<br />
1. Assist enterprises already 6 viable enterprises<br />
spun off to Lamco<br />
2. Generate and assist<br />
additional spin-offs<br />
6 viable enterprises<br />
3. Start experimental new 6 sustainable enterprises<br />
enterprises and demonstrate<br />
their viability<br />
4. Turn over experimental<br />
enterprises to Liberian<br />
ownership and management<br />
6 enterprises<br />
5. Train managerial personnel 40 enterprise managers<br />
and assistant managers<br />
6. Create new employment<br />
7. Create and assist api-<br />
cultural enterprises<br />
desired by GOL<br />
240 skilled or semi-<br />
skilled jobs<br />
636,000 aggregate annual<br />
sales<br />
8. Create and assist new non- 6103,000 aggregate annual<br />
agricultural enterprises sales<br />
unrelated to iron mining<br />
9. Attract investment S700,OOO<br />
Other progam elements and objectives included:<br />
- coordinate P!T1s program in Yekepa <strong>with</strong> GOL's<br />
national development programs and <strong>with</strong> the<br />
other agencies therein involved.<br />
- respond to requests to participate in enter-<br />
prise assistance and business education pro-<br />
grams anywhere in Liberia to the extent of<br />
PFP's capacity to do so.<br />
- design a fully documented model for host gav-<br />
ernments, cnncessionaires, mlti-national and<br />
international ventures to follow in situations<br />
where they are negotiating agreements to ex-<br />
tract depletable resources and want to leave<br />
viable economic communities which can sustain<br />
themselves after the resource is depleted or<br />
abandoned.
PPP's first three-year budqet<br />
Prior to the fornetion of PFPfiiberia, staff and other<br />
costs to implement the .program were projected for three years<br />
in the light of experience to date assisting local enterprises.<br />
It was proposed that PFPfiiheria should start <strong>with</strong> a general<br />
manager rho wuld also be industrial advisor; an economist/commercial<br />
advisor, an accounting advisor, an agri-business<br />
advisor <strong>with</strong> two agricultural project supervisors, a<br />
craft advisor, a mechanical maintenance specialist, an office<br />
manager and tm clerical trainees. It ras estimated that a<br />
total of 5227,000 per year would be required in cash and subscdized<br />
services to support this staff and promam. Efforts<br />
commenced imaediately to obtain cnwitments . for the funding<br />
.<br />
and support. . .<br />
An intensively summarized version of the annual budget<br />
projected at the time lollors:<br />
staff salaries & rages<br />
(1 gen. mgr., 8 staff, 2 employers)<br />
staff support (rent, utilities, medical,<br />
insurance, travel , etc.)<br />
vehicle operation and maintenance<br />
subsidized services (to be provided by<br />
Laarc0<br />
project iaputs (nachiner?, equipment,<br />
supplies)<br />
office operation- (rent, printinq, postage,<br />
etc.)<br />
capital expenditures<br />
(housing, vehi den. equipment)<br />
overseas ahinistration<br />
Total<br />
Apolyinr for funds to suoolentnt ksco auooort<br />
&cause of the intense international intercst in appro-<br />
aches to avoiding the mining "ghast tom" syndroe, several<br />
sources of developlent financing re-nded nth interest to<br />
requests for fuading the Yckepa program. These sources re-<br />
quested a sore detailed pmsram.<br />
Wost internatioaal and funding sources are accustomed<br />
to providing gsllts for programs dealing <strong>with</strong> the ereation<br />
and ataffing of educational and training institutions or<br />
<strong>with</strong> infrastructnrs projects involving construction of mads,<br />
bridges and buildings. They require the irplclmting agen-<br />
cies to project progre~4s in very specific detail. quarter by<br />
quarter, and they expect progress reperts and expenditure<br />
accountr to ralfect that the original program is being im-<br />
plarentcd precisely as projected.
These agencies found it difficult to accept that enter-<br />
prise development cannot be projected in the same way.For exam-<br />
pld, it might be high on PFP/Liberials priority list to get a<br />
poultry farm started because of the coa=nunity demand for chick-<br />
ens and eggs, while a bread bakery sight be included but have<br />
a lower priority because wheat flour must be imported. In im-<br />
plementation, however, the Liberian wading to start the bakery<br />
may raise the initial capital faster than the aspiring poultry<br />
fanner. Therefore, a second priority project gets implemepted<br />
ahead of a first. priority project. X.evertheless, PFP detailed<br />
its three year program by forecasting not only what enterprises<br />
would be promoted, 'started and assisted, but also when each one<br />
would be started, how much capital wouldbe invested, how many<br />
persons it would employ, ,,what its sales volume would be each<br />
quarter and how rapidly it would goa in numbers of employees<br />
and sales volume. In the context of a om-company town in rur-<br />
a1 Africa which had only five Liberian-owned enterprises, this<br />
type of a three year projection necessarily involved a consid-<br />
erable amount of guessing.<br />
Another deeply entrenched concept of the potential donor<br />
agencies was that all development programs should be institu-<br />
tionalized; that is, folded into some branch of the host coun-<br />
try povernment, at the end of three years and .no Ion-r requi-<br />
re outside financing and expertise. While the consultant enga-<br />
ged by Lamco believed that the Yekepa program would require ex-<br />
ternal financing and some foreign expertise for at least 12<br />
years, it was necessary to project that institutionalization<br />
could be achieved in 3 years in order to satisfy the donor a-<br />
gencies and attract the funding. required to start the program.<br />
There was sufficient poaitive response from interested*<br />
rpncies to justify going ahead <strong>with</strong> the establishment ofa head-<br />
quarters in Yekepa and start rvcruiting for the projected pro-<br />
gr-•<br />
First three Year funding<br />
PFP/Lfberia, during its first three years of operation,<br />
was financed principally by equal grants of S 50,000 - per year<br />
frost three donors: the hmco dning company, PACT" ( an asso-<br />
4<br />
ciation of private development agencies receiving USAID support<br />
) and KFUT-KNH ( an associaSion o? Swedish YZ(Cls and<br />
YKUs rtceivmg support from SIM ) .<br />
Additional support 'was made available to PFP / Liberia.<br />
During the period of 16 mntb consultation to design and<br />
test a program, and tbrou@out its operation to date, L a o<br />
has paid for both initial consultation and for a full-tirc<br />
3~~~~ : Private Agonciss Callahorating Togethn, H.Y. ,USA<br />
*USAID: United States Agenef for International Development<br />
Washington, D.C., USA<br />
5<br />
-
general manager for PFPfiiberia. Lama also rade a lorn to<br />
PFP / Liberia of 5100,000, interest free for 10 years to be<br />
administered as a sslall-scale enterprise development " seed<br />
capital " loan fund.<br />
The parent foundation of PFP / Liberia, PPPDSA? pro-<br />
vides services which include technical infornation research,<br />
staff recruiting, purchasing of equipaent,insurance and tra-<br />
vel arrangements, and IiaJson <strong>with</strong> donor agencies. Similar<br />
services are provided in Sweden by KNIC-KFL'H and Gran-s<br />
International Mining (GIX). Lamco's parent corpaty..<br />
At the beginning of the third year .of operation, the<br />
Government of Liberia, as a 50% participant in Lamco,pled-<br />
ged an input of 325,000.in agicultml equipwnt.too1a and<br />
supplies to be administered by PFP as a revolving "in kind"'<br />
credit to mall farmers mplenided each year from farmera'<br />
repayments. This credit is isaued to faraers as viable pro-<br />
jects and needs apse. The actual input cons, rith GOL ap-<br />
proval, from LP?C .<br />
hslco provides a substantial input of non-monetary nrp-<br />
port to PFP in the form of staff housing, utilities, use of<br />
heavy earth-.roving equipment, technical advice repair and<br />
maintenance services and asaignaent of obsolete and scrapped<br />
vehicles and materials to PFP and PFP-aaaisted enterprises.<br />
In order to help the reader get m overview of PFP/Li-<br />
beria's funding and support during the initial planning pha-<br />
se and the first thr+c years of operation, these have been<br />
tabulated on the ne%t page ( urh value of " in kind " con-<br />
tributions is estimated ):<br />
PF'P~sA : Partnership for Productivit~ Paundation/USA,<br />
fadington, -<br />
D .C .<br />
'" kindn:- Equiplaot. tools.or supplies in lieu of money<br />
w : Liberian ~raduct meting firparation.<br />
a parutrtrl corporation controlling the<br />
production md ule of saluted staple and rrporc crops.
C<br />
UI<br />
Initial Plannina Plrnee<br />
(Feb. '73 - June '74)<br />
Planning, experimentation,<br />
formation lcgielation,<br />
program deeign<br />
Totals<br />
Firat 3 rrs. of Operation<br />
7 ~ '74 ~ - June 1 ~ '77)<br />
Caah grants tor program<br />
implementatio4<br />
Program general manager<br />
Subeidised aervicee (estimated<br />
I value)<br />
Overseas service8 (admin.,<br />
racn~lldng, etc.)<br />
Totals<br />
IBAN FUND AND REVOLVING<br />
"IN-K IND', CREDIT<br />
Small-acale enterprise "eeed<br />
capital loan fan4 (loaned to<br />
PFP for 10 yra. intereat free)<br />
Revolving smell farmer credit<br />
(in-kind) LPHC inputs (replanishable<br />
annually from<br />
repayuents)<br />
Totala<br />
GUN0 TOTALS (ALL INPUTS)<br />
I.enlco -<br />
U S A IJOLLARS<br />
PACT KFUK-KFUM -<br />
GOL Totale
PFPfiiberia was created in mid 1974 by the Legislature<br />
and Resident of Liberia. Its chartered purpose is to realize<br />
the development opportunity created by the bmco iron ore<br />
mining venture in Nimba County and to foster the develop-<br />
ment of economic activity which will surrive after the ore<br />
is depleted.<br />
Priorities are determined<br />
The program PFYbiberia undertook ta implement in 1974<br />
had been designed according to standard development procedure.<br />
The locale's natural resources had been assessed, the market<br />
demand for goods and services had been estimated, and related<br />
opportunities for private and cooperative enterprises<br />
identified along <strong>with</strong> the entrepreneurial &ill development<br />
and capital needs to start them. Opportunitxes for locally<br />
produced import substitutes were especially sttxsctive because<br />
of the steady purchasing power of the mining cowunity's<br />
2,000 salary and wage earners.<br />
Therefore it ras possible for PFP to agree on a list of<br />
enterprises which would be given first priority in allocation<br />
of assistance resources because these:<br />
- used local raw materials<br />
- produced needed products and services or import<br />
substitutes<br />
- were well suited to available local land and building<br />
sites<br />
- were labor, rather than capital, intensive<br />
- did not require unobtainable technical and managerial<br />
skills<br />
- could survive after depletion of the iron ore<br />
- and had reasonable chance of success<br />
PFP adopts a develobment stratem<br />
The strategy adopted by PFP to foster the development of<br />
independent enterprises could generally be described as respon-<br />
sive and motivatianal. As one Board member of PFP/USA<br />
recommended, "PFP should encourage and help development to take<br />
place." Early experinentation indicated that it was very<br />
difficult, and sometimes not possible, for PFP to start an<br />
enterprise, Planage it, and then spin it off successfully to
Libeiiaa management. The staff aged, therefore, that PFP<br />
should publicize its presence. its independence from k o ,<br />
the services it offered, criteria for allocating resources,<br />
and try to attract coaiuunity residents rho had entrepreneurial<br />
ideas and ambitions. A brochure was published. PFP w as given<br />
radio time, and staff members joined organizations and commit-<br />
tees concerned rith comnnrnity affairs in order to publicize<br />
and explain PFP.<br />
During this period of publicizing PFP, staff members<br />
were busy attempting to restructure the ailing spin-off en-<br />
terprises, sjstes!atizing FFP's internal operatins procedures<br />
and coordinating PFP activities rith the mrk of other agen-<br />
cies. Despite establishment of a beadquarten removed from the<br />
aura of kmco's main office, it was six months before poten-<br />
tial entrepreneurs began visiting PF'P's'office and accepting<br />
the results of its feasibility studies and advice rithout the<br />
suspicion that PFP raa Laaco directed.<br />
The first war uros~am is projected . . - . - . -<br />
In the detailed projections prepmd for donors, enter-<br />
prises to be strmgthened, advised or started and assisted,<br />
were listed. Other PFP activities were also specified.Brief1y.<br />
the first year program included:<br />
1, Uberian owned and -gad entesprises to be streagt&tned:<br />
hnitco, a transportation corpany providing<br />
personnel bus tnrnsprt of mrkers, school<br />
children and residents; garbage collection<br />
service; r dririag school; and automtive<br />
repair serricss.<br />
-<br />
m,<br />
a building construetion and m8.l estate<br />
management compaoy building homes on contract<br />
md a printe hewing coiplu ou spaculation.<br />
National Taodw~b, a furniture nnufacturing<br />
.hop also producing millmrka, such as door<br />
frames, dndowa. mindor f-8, etc. on contract<br />
*<br />
2. NU .pin-ofr enterprises to be started:<br />
& electrical contractor for houw riring and<br />
nintenancs.<br />
A mwdllinr em- to take over -'s fa-<br />
cilities, .upply the railroad cron-ties and<br />
con8truction. lumber' needed bT Larco, and in-<br />
vest in expaasion of the facilities for addi-<br />
tional production to seme both domestic and<br />
export anrkets.
3. Temporarily closed-down Liberian enterprises to be re-<br />
activated:<br />
Amble's Inn, a hotel/restaurant catering to visi-<br />
tors not ranting or unable to obtain accoasaodation<br />
at the Lama Guest House; the Inn had closed dom<br />
for lack of operating capital.<br />
Buff Bake-, a small scale, but well equipped,brtad<br />
and roll bakery which had closed down beaause the<br />
absentee orners had been unable to engage reliable<br />
and competent management.<br />
4. Eaterprises proposed by Liberian sponsors to be aasis-<br />
ted in start up:<br />
Olma 77, a diner/catering service to be installed<br />
in an obsolete railbus car at the Yekepa railbus<br />
station.<br />
Ajavon Poultry Farm, to be located 6 miles from<br />
Yekepa on 10 acres of leased land and produce<br />
broilers, eggs and stewing chickens.<br />
A handcraft workshop and retail sales outlet to be<br />
Dart of Yskeoa YMCA: this oneration would train 80-<br />
;en in silk-bcrsen cloth printing, dresaaaking,and<br />
retail store management and earn some amall income<br />
for the YMCA to use in its mcreationa1,education-<br />
a1 and youth training divisions.<br />
3. Enterprises to be started by PFT and turned over to Li-<br />
berian omership and management-when proven viable and<br />
when potential managerial personnel could be adequately<br />
trained :<br />
An irrirated rice, nixed reretable and tree farm,<br />
eventually to be turned over to the f~ wrkers<br />
as a cooperatire.<br />
A co- it^ credit union<br />
6. Projects to be atar.ied and -ged by PFP:<br />
Evenine courses for business managers, account-<br />
ants and contractors.<br />
A revolvine loan fund for Ugh-risk, non-bmkable<br />
loans to viable enterprinsa rbose applicat<br />
i o could ~ obtain the unanimus approval of an<br />
objactive loan corittee dth minorit7 PFP representat<br />
ior.<br />
7. Other activities to be undertaken br PFP:<br />
Create a local mvernine council including Liberian<br />
government officials, local bubinesam~en,<br />
Lunco naaagerial and technical personnel and<br />
a~bers representing donor agencies in order to<br />
provide for guidance in detemining policies,<br />
priorities and implementation strategy.<br />
19
Establish close liaison rith the universities, research centers,<br />
and development agencies in Liberia.<br />
Resoond to requests for short-tern business consultation from<br />
enterprises located elsewhere in Liberia deemed important in the<br />
country's over-all development objectives; current requests rere<br />
from private groups proposing tourism development in Robertaport,<br />
a petroleum bulk storage and distribution corporation, a transport<br />
company, and a food processing enterprise.<br />
BEST AVAILABLE COPY
THE FIRST Y UR<br />
Cooinn <strong>with</strong> unforseen public relations problems<br />
As PFP started to implement its first year program, staff<br />
members and vehicles were in evidence throughout the conmunity<br />
and especially at private enterprise business sites. Hindsight<br />
revealed that PFP had neglected to explain its purpoae and<br />
operating plan adequately to local officials representing<br />
various Ministries and Departments of the Liberian Government.<br />
Consequently there was some misunderstanding among local<br />
officials as to what PFP personnel should be permittbd to do.<br />
Overseas staff had work permits authorizing them to work for<br />
PfP as business or agricultural advisors. When local iiwiigra-<br />
tion officials met a PFP staff member advising, for example,<br />
the Liberian owned transport coaparny (Momitto), these officials<br />
assumed that the staff member was violating the terns of his<br />
mrk permit by engaging in work for Honitco instead of PFP.<br />
With commendable law enforcement zeal, the officials<br />
frequently arrested PFP overseas advisors and held them until<br />
a trusted Liberian member of Lamco's personnel department had<br />
time to explain the PFP role to local authorities.<br />
Occasionally an aspiring entrepreneur, whose business<br />
proposition was not given high priority by PFT, believed that<br />
the PFP staff were <strong>with</strong>holding Liberian Government funds and<br />
aaaistance to which he was entitled by law. Sow PPP projects<br />
were sitd on concession land which a Liberian famer claimed<br />
that he planned to uae. Several entrepreneurs who presented<br />
thcpsclvea to PBP as Liberian citizens, and received advisory<br />
assistance, turned out to be citizens of neighboring countries<br />
and thereby caused trouble <strong>with</strong> local autharities far themselves<br />
and PFP.<br />
On one occasion a PFP staff member was arrested by armed<br />
police who ordered him off the tennis court in the middle of<br />
a tense Lamco/Firestone tournament. Taken to the local police<br />
atation, he mked the magistrate to specify the charge.<br />
"You hare a worker at the rice fam, )(r. Samuel Pay, who<br />
owes his landla* $7.501"<br />
It was essiential for FTP staff membera to refrain fma<br />
allowing these probless to instill in them attitudes of fear,<br />
hostility, and the t7pe of reaction which manifests itself as<br />
"OK, if it's going to be like this, 1'11 just stay in the office."<br />
This was accaapliehed in staff meetings where a senae of humor<br />
war encouraged and in meetings <strong>with</strong><br />
and GOL officials<br />
rherrin high level support of the P?'P/Yekcpa Rperiaant was<br />
reaffirmed.<br />
-<br />
-
Strenqthenine existinq s~in-off enternrises<br />
Assisting existing bmco spin-off enterprises which were<br />
in trouble did not prove to be easy.<br />
The transoort camanv (Xonitco) had urgent cash-flow problems<br />
which made it necessary for the PFP advisor to function<br />
initially as an intermediary between hnitco and hmco. He<br />
recommended that advance payments be made on the transportation<br />
contract so that hnitco would meet its payroll and PFP could<br />
gain some time to analyze Honitco's accounts, produce statements,<br />
and make recommendations concerning contract renegotiation<br />
based on reliable past information and reasonably accurate<br />
financial projections.<br />
. .<br />
-<br />
The advisor's recatmendations were carried out thereby -<br />
helping PFP to gain the- confidence and cooperation of Honitco's<br />
General.Xenager in the arduous task of producing statcwnts<br />
and pmjectiona. This took so long that it ras necessary for<br />
Xonitco and hmco to agree on an interim contract and papsent<br />
schedule to be adjusted later when better cost information<br />
could be developed.
Elonitco's Problems all stemmed from the company being too<br />
large and too complex for the managerial personnel to cope nth.<br />
Monltco had 117 employees; a leased fleet of vehrcles to operate<br />
and maintain valued at 5300,000; and a transport contract <strong>with</strong><br />
Lamco totalling 5250,000 annually. The workshop had able mechanics<br />
but was disorganized and out of control. The ~ob card system<br />
of keeping track of specific job costs was not functionrng. Although<br />
records were incomplete, there was enough indication that<br />
maintenance costs on the fleet of Volvo buses were so far out of<br />
line that it would be more economical for Honitco to contract<br />
<strong>with</strong> Lamco for aaintenance and repair of these vehicles. Monitco<br />
had no spare capital to invest in replacement parts, so it was<br />
agreed that hmco should maintain a stock of spares and bill k-<br />
nitco cost plus transportation for parts used.<br />
-
SERVICING A MRILZE AT THE MONlXO GARAGE
Xational Woodworks Inc. (.WI) had been foraed by a group<br />
of five Liberians, none of whom could work in the enterprise.<br />
because they were fully employed elsewhere. hmco jave WI a<br />
workshop equipped vith obsolete woodworking machinery which<br />
had been fully depreciated. The prevailing lack of apprecia-<br />
tion concerning the need tor management was illustrated by the<br />
fact that the shareholders hired a young carpenter for .me per<br />
hour and expected him to function successfully as shop manapr.<br />
The sales volume, which the PFP advisor estimated should<br />
average $6,000 per month, was averasins 5300. Inventories<br />
of lumber and hardwars were reducing <strong>with</strong>out corresponding<br />
sal e.i income. Employees were nrnking furniture to order for<br />
customers; but no documentation of such orders, price quota-<br />
tions, or invoicing existed. Three quarters of the shop<br />
machinery was dam needing repair. There ras no maintenance<br />
promam. The corporation had obtained a 510.000 credit from a<br />
bank on two shar'eholder's personal rarantees. This debt had<br />
increased to almost $15,000 including accrued interest and late<br />
payment penalties.<br />
Recognizing :WI'$ need for full -time, competent manage-<br />
ment PFP advised the omers to hire a manager <strong>with</strong> engineering<br />
and machinery maintenance know-how as re11 as business adminis-<br />
tration experience and assisted in locating a candidate. In order<br />
to pay his and provide funds for zeneral shop renovation, PFP<br />
loaned 515,000 to M I but retained the right in the loan a.Fee-<br />
sent to co-sign all disbursements <strong>with</strong> the manager.<br />
-
PW's experience <strong>with</strong> Nimba Realty and Construction<br />
Conmany (NRCC) did not have such a favorable outcome. NRCC's<br />
management was less willing to share information <strong>with</strong> the<br />
PFP advisor and tended to regard his role solely as intermediary<br />
between YRCC and bmco. The advisor was put into a<br />
posltion where he could nezther advise XRCC nor make recomendations<br />
to bmco because he had so little reliable informatzoo of<br />
NRCC's costs and current financial position. All he could do<br />
was to assist NRCC develop cost estunates for new contract<br />
bids and try to prepare a balance sheet of NRCC's assets and<br />
liabilities as of the specific date these were physically<br />
- inventoried and valued. The balance sheet indicated that<br />
NRCC'a obligations exceeded its assets by an amount which<br />
rendered all hope of eventual solvencv unrealistic. The consultant<br />
was forced to recommend that the company discontinue<br />
operation of its construction divzsion and stay in business<br />
only as owner of its real estate d~vision's ten private houses.<br />
The bank which advanced the money for construction of the houses<br />
threatened to foreclose. The PFP consultant proposed that the<br />
bank refrain from foreclosing if NRCC would direct all tenants<br />
to pay rent directly to the bank. He prepared a projection<br />
indicating that the bank would be fully repaid in 8 years.<br />
This arrangement was accepted by the bank.<br />
Lamco felt partly responsible for the demise of NRCC and<br />
paid the obligations necessary to avert bankruptcy as the<br />
company wound down and sold its assets. The hi& cost of this<br />
course of action had to be written atf to experience. The<br />
XRCC exercise was another lesson to Lamco and PPP underlining<br />
the hazards of spinning off services which required too large<br />
and complex an enterprise to provide.<br />
The NRCC experience also revealed that certain operations<br />
are not appropriate for spin-off. In the Yekepa environment<br />
housing construction tends to he intensively concentrated in<br />
the four lonths of d q season. A multi-depsrtsent organization<br />
like Lamco can transfer mtkera from house construction to<br />
maintenance and other activities hen building is slack. But<br />
an enterprise set up to do housing construction only cannot<br />
prosper when its volume of business varies fmn S42,OCO one<br />
month down to $2,000 the next. 15is is especially true if<br />
the spin-off contractor has been asked by his major customer<br />
to hire and train a permanent staff of akilled supervisors so<br />
that the quality of his work rill meet the high standards<br />
requid by the custoaer. The cantractor then Us to cam a<br />
heavy overhead coat during wntho when available mrk is almost<br />
nil. The cycle is vicious bocauna the contractor then tends<br />
' to bid too low on what work is available in order to t v and<br />
keep his staff occupied.<br />
After the fact, hnco and PFP awed that spin-off should<br />
.tar+ <strong>with</strong> craation of uch sraller enterprises in cases where<br />
nonagarid akills were untested md large amaunts of operating<br />
capital rere needed to survive seasonal dips in incoae.<br />
Pb<br />
23.<br />
-
At the end of P?'PFp's first program year, NsI machinew had<br />
been repaired, accrued interest on the bad loan paid, sales<br />
volume and operating profit were increasing rapidly, a mason-<br />
able inventory of dried ltmber ras on hand, employees had in-<br />
creased from 5 to 15, and a Liberian vocational Training Cen-<br />
ter graduate in woodworking was underguing intensive on-the-<br />
job shop and business management training. WI'a total in-<br />
debtedness, however, had increased to $24,000.<br />
Startine new soin-of f enterprises<br />
In the light of lessons learned advising exiating spin-off<br />
enterprises, PPP and Lamco proceeded cautiously to consider two<br />
additional spin-off propositions.<br />
One Lamco electrician, DonaldJones, had proven to his<br />
supervisors that he had the mtivation, technical ability, and<br />
nupervisor). skills required to operate a small electrical con-<br />
tracting business for installation, maintenance, and repair of<br />
house wiring. A carefully detailed feasibility study made by<br />
Jones and Wf' indicated that the contractor could perfom these<br />
services at a cost slightly under Lamco's cost and make a rea-<br />
sonable profit in the process.<br />
Jones and PFP had to estimate<br />
Lamco's costs by time study at work<br />
sites and convince Laaco that its<br />
om electrical raiatenance de-<br />
partment costs Were higher than<br />
Lasco had realized. In one<br />
instance Jones ras able to<br />
take the LPleo section head<br />
to obserre a job in process<br />
and prove to hi= that Lamco<br />
had coated a job at 5 man<br />
'hours which, in fact, should<br />
have been coated at 12 man<br />
hours.<br />
It took sore tin to get<br />
the contracting compa~*., Jelca<br />
(Jones Electricd ~antractorf aet<br />
up, registerad, licsnsod, ad' capitalized.<br />
Of the initial S8.000 investment<br />
in vehicles, tools, ahd radio<br />
equipment. nacesaary for rapid r8sFaM<br />
to potentiall~ dangerous faults, Jones<br />
put up $S,W of his por.oaal u v b g<br />
md Luco advanced bir $3,000 in<br />
used vehicles and carmnieation.<br />
equiplent to be repaid<br />
over one j.ee by<br />
mntbly doduct ion8<br />
from. his. first lain -<br />
telliilce contract<br />
-
In b.eoring an independent entreprrnenr Jones had to give up<br />
the security and fringe benefits he enjoyed as a Laao employee. As<br />
a contkctor he had to pay house rent and utility charges; con-<br />
traator's license and company rrgistration fees; duty and excise<br />
taxes when purchasing tools, vehicles, gasoline and oil; austeritr<br />
taxes had to be deducted from esployee wages and paid to GDL aa<br />
well as mrkmen's compensation and incone taxes. Be had to register,<br />
license, and insure hid om vehicles, obtain general liability in-<br />
surance, and set up a bookkeeping system which would produce records<br />
for hir om use as well as the satisfaction of internal revenue<br />
collectors.<br />
A11 such expenses had been forrseen and included in the feasibility<br />
study wbicb became the basis for the first sainte~ance contract.<br />
At the end of PFT"s firat prowam year. Jelco was operatins<br />
successfulIy <strong>with</strong> Donald Jones, a foresmn. S employees and 2 vehiclea.<br />
Lamco had agreed to award Jelco a contract to maintain one<br />
ares (255 houses) and to replace an obnolete fuse qstem <strong>with</strong> a<br />
circuit breeker qstera in another area (180 houses). Jelco. <strong>with</strong><br />
PFP assistance, was able to reverse a procedure of long standing<br />
by writing its om contract and price quotation instead of relying<br />
on h c o to prepare the contract and determine the price.<br />
hmco had written a letter of uaderatanding that Jelco would be<br />
given more areas to maintain if perfo-cc of the firat contract<br />
proved satisfactorg.<br />
Thia size spin-off, executed after comprahensive and detailed<br />
feasibility study, and <strong>with</strong> assurance of the entreuraneur'a interest<br />
as evidenced by his willingnese to risk capital and asuuae personal<br />
responsibility for aansgernt, appeared to have promise of success.<br />
PFP and Lmco felt that Jeleo vindicated the spin-off concept and<br />
focused attention on the factors iaolved in selecting and irpltaent-<br />
ing succesdul spin-offs.<br />
A second n u soin-off propond tossed in FW's lap for study<br />
and recornendation ran quite differant from any contesplated or ex-<br />
ecuted so far. A Liberian-Italian-Sltdi.h Conaortiva proposed to<br />
purchase or lease hmco's sarrill, take over Lueo's forest coacts-<br />
#ion area. and enter into a contract to aupply the railroad croas-<br />
ties and construction lumber h.lco required.<br />
The f*asihility study and sgrascnt preparation uudertliren was<br />
extensive and inro1t.d the PfP general asnager's full time for three<br />
onths plus a considerable portion of PPP's office staff and other<br />
resources. A corplete set of financial projections were prepared and<br />
the resorutas of the conmrtiur camfully ebceked out- The conclusion<br />
rss that the spin-off could supply bco. pay for the fscilitiea according<br />
to a leaa~porchasu achadule, proher enou* timber for ex- -<br />
port and other ets. and r& profit; provided the new omera<br />
war0 willing to uke mpr long-term inr*strcntr in lor0 modern pro-<br />
duction uchin*q.<br />
-
Lamco's overriding concern was that the new company must be<br />
forced by agreement to supply the railroad cross-ties (67,000 per<br />
gear) and the construction lumber (50,000 board feet per month)<br />
which were vital to mining and ore transportation operations.<br />
There was fear that the new company operating the sawmill might<br />
find it more profitable to concentrate on extracting and export-<br />
ing the exotic species (i.e. mahogany, teak, African walnut, etc.)<br />
and thereby be encouraged to neglect Lamco needs, especially for<br />
the secondary croaa-tie species. If this should happen, Lamco<br />
might be left <strong>with</strong> insufficient lumber to maintain its railroad<br />
and build houses, and also <strong>with</strong> forest concessions which had been<br />
atripped of valtrable privrry species.<br />
At the end of PFP's first program gear the Liberian-Italian-<br />
Swedish consortium had incorporated under the name Nimba Corpora-<br />
tion (Nimbaco) and signed lease purchase and supply agreements<br />
<strong>with</strong> Lamco which yaranterd that Nimhaco would eventually om the<br />
sawmill and that Lamco's needs would be given first priority. Ha-<br />
chinery and equipment for Nimbaco'a modernization program had been<br />
purchased and was en route to Liberia.
Reactivatine teamoraril~ closed dom Liberian enterprises<br />
Humble's Inn, a 6 mom hotel, restaurant and bar, was built<br />
and owned by a Liberian couple, Mr. and Mrs. Joaeph Collins. Iha.<br />
Collins was an employee at the Laaco post office and Joe ran a<br />
farm in Tappeta, a five hour drive from Yekepa.<br />
A11 the capitaa Joseph 61lina had available h d been spent<br />
on constructing the Inn and purchaing a vehicle for his personal<br />
transportation betreen Tappeta and Yekepa. He and his rife tried<br />
to run the Ian in their spare ti-. When neither could be at the<br />
Inn, they left a young and inexperienced assistant unapr in charge.<br />
Ikployees included a cook, a bartender and a waiter who alw cleaaed<br />
rooms and waded clothes for room guests,<br />
Stocka of food and beverages were chmnicalIy depleted. Neither<br />
the assistant manager nor the cook had authority tr, purchase. Ser-<br />
vices at the Inn deteriorated. %oms and bedding ware not kept clean<br />
and only one or tm itema on an extenaive printed nenu were available<br />
for restaurant patrons. Incoae fall far belor the break-wen point.<br />
Pinally in August 1973 the Collino closed the Inn and started looking<br />
for soatone to lease and aanae it.<br />
Then PW ras approached, an investigation into the Inn'. feasibil-<br />
ity indicated that there was a grnwing deaand for hotel accowdation<br />
and that the commnity would patronize any reeaurant or bar giving<br />
reasonable value, good service, and providing an ataosphere in which<br />
customers felt as if they were not in a company-run facility. In a<br />
"one coapany" torn like Yekepa, rasidents occasionally feel an urgent<br />
need to be in a place dich is not sanaged by "big brother Lamco."<br />
During the second quarter of its first operational year, PFP deci-<br />
ded to lease the Ian from its omars for two years, improve facilities<br />
and train a Liberian manager and staff to operate it. Thr plan raa that<br />
when P'FP's leese expired, the trained uraaer would leaae it directly<br />
from the owners and both muld thereby profit.<br />
In Norearber 1974 the islproved Inn was opened to the public. h e<br />
PFP staff rife <strong>with</strong> hotel management experience superrised the Ian as<br />
a volunteer and eadravored to traia the Liberian scleeted to become<br />
-<br />
manager and the personnel he muld employ. Became the Inn suffered<br />
chronic losses via theft and unauthorized e d i t in Late eve-<br />
rs, and because of the long businesr da7 (6:m<br />
a.m. tbugfi 1:00 a.m.), HP staff funetion-<br />
ed u duty officera on s mtation<br />
basis to maintain constant<br />
supervision over<br />
sales collection, -<br />
room bookiw, Md<br />
cash control. As of<br />
February 1975, when<br />
the fourth and wat<br />
proaiaing Liberian<br />
manager- Fo-training<br />
wa. being tried, the<br />
35<br />
-
Inn began to develop ateady patronage and show r reawnrblr antSly<br />
net profit. Still,- inordinate -wit of staff superririoa m a m-<br />
quid to protect PPP's interests and rrLe car+aia tlnt Liberian<br />
laws and public health regulations were obeyed.<br />
Probably as a result of the high visibility of PTP staff at the<br />
Inn at all times, local imigration and labar officials det--<br />
ed that Liberianization ran progesaing to6 dorly. Under threat of<br />
heavy fines or possible expulsion from Liberia, FTP was directed to<br />
achieve 100% Liberianization by April 20. 1975, after rhich date no<br />
PFP staff member atrould enter the Inn's premises except as a cus-<br />
tomer.<br />
On the Sunday night following FFP's colpliance rith the diraeti-<br />
ve to <strong>with</strong>drar,the Inn arffered a devastating loss; $5,400 cash ( 3<br />
&ys'reeeipta)and inventov valued at approxlmtely f2,000ngot ds-<br />
sing". WP Mdistely closed the Inn pending development of r dif-<br />
ferent mlntion for its future operation.<br />
Buff Bake-, locrted in Tekepa'a waunity abppiygcanter, n8<br />
omed by r Liberian mlan <strong>with</strong> aabatantial catering br-hor and<br />
experience rho ru fully employed in ham-<br />
via. Ber efforts to operate the bake- in
and shipment for flour, yeast and other supplies. In addition,<br />
electrical and mechanical repairs rere needed for the equipment.<br />
During its first year of operation, m's seed capital loan<br />
fund, though proaiaed, was not yet in operation. Therefore in<br />
Noveaber, 1974, PFP made a loan of $900 to Buff &ker~ fme<br />
program funds to pay for equipment repair and start-up costs.<br />
As part of the agreement, PFP was included aa a sigmatov as<br />
all disburaeaents fmm ELff Bakesy'a account. In order to get<br />
hreo to continue supplying electricity, water and other sewices<br />
for which papent8 rere in arrears, PPP guaranteed that<br />
Buff Bakesy muid pay all cussent invoices in JO darn and repay<br />
aa accusulated $2,- in past-due invoicas at a rate no<br />
slower than $123 per month.<br />
As of June, 1975 the bakesy was operating profitabfy. Sden<br />
rcrc averaging 33,000 per month and operating profit f8M). Ey<br />
agseement rith the omer this ras disbursed as follows: SJ00<br />
to seduce the past-due obligation to tmco;$100 to cover PFP'a<br />
consultation costa; $200 into a separate bank account for e-<br />
quipment replacement and possible overreas training for the<br />
chief baker; and $200 to the omer as net profit.
*sistini enternrises mwaed by Liberians to start uE<br />
An PFP's fnnctiom be- better understood,in Yckepa, ian~local<br />
residents cue to the office requesting assistance to<br />
start enterprises. Ropositions ranged from sound, realistic<br />
business iders to .a- rhic5 ram totally ispractical. P P P's<br />
polic~ was to listen to a11 propositions and endeavor to give<br />
advice andfor encouragement rhero direct assistance rae not<br />
possible. Three enterprise propods wre selected for intensive<br />
PFP start-up involrmnt.<br />
The chid dieticius at the Lamen<br />
5u.pit.l wanted to start .:diner st<br />
the rail station to- some people<br />
dting for the railbus or uriving<br />
too late for dinner else -<br />
.here. She planned to uae her<br />
well&om food preparation<br />
skill to cater for parties<br />
and business gatheringa in-.<br />
corporating a real serriee.<br />
She had proposed to name<br />
the diner O W after Ollt<br />
and .%riame Vijkstrom, the<br />
kaco Gcneral Uanager and<br />
his rife: This helped her<br />
to persuade haeo to mve a<br />
scrapped rail passenger car<br />
to the proposed sit* and<br />
aet it oa tm lengths of<br />
tra+ At the dedication<br />
cer&vq the year folloring,<br />
Hr. Tijk.tro.oi affirrrd hi8<br />
pie- in swing the enterprise<br />
undemy. He dd. that running a<br />
re8t-t had beon a dream of the<br />
owner sir yeam and that Lho<br />
had minded hi^ of this drear almat<br />
ever7 therufter.<br />
A projection by PIP'S oeonorist<br />
indieatad ihdi $7,500 wold be noedad<br />
to refurbish ihd quip the railcar u a<br />
mstammt md to finaneo the operating<br />
costs until thew wauld ha covered bJ.<br />
sales incrne. She had 35,000 of pezwd<br />
rings to invest,.<br />
As of the close of the first program -<br />
year, acontractor ru completeing the complex<br />
refurbishing job under 7FP mperviaion md a - z. p.iuslm m0.w us0<br />
credit of $2,500 to the proprietor fmm P1P funds<br />
P I M P ~ R OF OW<br />
had beefr_aqErorod, PL
Another h r o employee had selected a site six milee from Yekapa<br />
for a proposed poultrj. fa-. Both he and Us rife had prerious<br />
experience raising chickens under the ~ ~li. Ajaroa Farm and .<br />
ranted to rue the same m e and benefit from their paat reputation<br />
for supplying qurlity chickena and eggm at reuonsble prices.<br />
Vhen PPP decided in faror of rasisting this project, an eight<br />
jeu lease n m negotiatad <strong>with</strong> the site omer do agreed to lease<br />
the lmd to PFP md allow PF'P to mblet to Ajavon Frrr, but muld<br />
not agree to lease directly to Ajavon Farm. While it waa not en-<br />
erallj considered wine for PPF to enter into long term lmd leaso<br />
agrtoments, the coat -ring to Ajnron Para Fo wing a nite rith<br />
.ars already construetad buildingn and lrnd irprormots seemed<br />
mrth the risk to PHP.<br />
The project omcrm had $4,000 to inreat of a total estinted<br />
capital required of $13,000. PFP entered into an agreerant where-<br />
Afamn Fur could finance purchases approred by PFP up to s t e<br />
tal cradit of 19,M)O. hcawe it ras ecoaolic to iaport --old<br />
chi* in quantities of 1,500 or mere, Ajaron Fsrr needed operat-<br />
ing capital for 8 weaka to pa^ for feed, medication and cue he-<br />
fora the chickens reached the ainimm saleable size of one kilo-<br />
gu 42.3 lbs.) pluckad and dressed.<br />
L the fann got mrderraj, PFP rehiclea were making the 8rdu-<br />
e m runs to marovia for chick. and irported feeds. The sqicul-<br />
tarZ advise?, rho had taken animal husband- trtining in Danma*,<br />
M spending ahst half hie time adrising this one project. A8<br />
RP's first operational year closed, the Governing buncil and<br />
staff rere discus8ing rays to reduce andstante to Ajaron Parn<br />
ritboot jaaprdining it* promising future.
In part because a mjor portion of PPP funding<br />
came fro= SIN via the Sodish hmciation of P1I<br />
and WUs, and in part because the Yekepa m's<br />
youth development prograa was in harmony <strong>with</strong> mP<br />
objectives, a close relationship developed betreen<br />
PYF and ririch included reciprocal Board and<br />
Governing Council mmbership and joint projects.<br />
The tma agtncies agreed to start a handcraft<br />
j/<br />
uroduction and ales division of YXU to be called<br />
Y-Craft. Its putpose n8 to impart handcraft skills<br />
and give part time employment to Liberian romen.The<br />
general rationale was that rives of k o eaployees<br />
lived in close together housing areas which did not<br />
permit mmen to engage in traditional a&-related<br />
octnprtions.Therefom man)- mnn in Yekepa rere experiencing<br />
p6ychological problecls which, according<br />
to the mining company public healtb official, stmed<br />
from inactivity and cansequent self-devaluation.<br />
A secondal~ objective of Y-Ctaft ran to earn money<br />
to support Y13C* activities rhich rere non-income<br />
generating such a6 physical culture and tillage<br />
health programs.<br />
Vhen the Yekepa YMCA apde the Y-Craft plan<br />
knom to the Swedish YM md YISCA Association, the<br />
Ansociation persuaded SIDA to provide a craft trai-<br />
ning volunteer. The SIDA mtunteer came to YICraft<br />
via Afro-Arts, a non-profit organization in Stock-<br />
holm promoting the .ale of African handcrafts in<br />
Scandinavia.<br />
During PPP's firat year of operation the SIOI<br />
volunt8er arrived; a silk-acmn cloth printing,<br />
suing and general craft training m&shop 'ka6 es-<br />
tabliahed in a labor are. house donated by hmco; a<br />
retail store in the co-it7 center. rea leased and<br />
stocked nth saleable handcrafts pade in the mrk-<br />
.hop or purchased from ertisana and traders; aeven<br />
mnn were receiving 8kill training; and one rotcan<br />
ru receiving retail atom management training.<br />
38<br />
I<br />
i
Under the direction of the YHCL executive's wife and the<br />
PFP General Xaneger's wife, Y-Craft began to turn over a re-<br />
spectable voltllne of sales ( approximately $30,000 during the<br />
first year and to earn a moderate profit. all of which raa<br />
ploughed back into inventory. While Y-Craft had a net worth<br />
of approximately $9,000. it alill.required short-terr payrull<br />
and raw material financing from PFP.
Starting enterorises to be soun off to Liberian omershi~ and<br />
management when aroven viable<br />
As part of early experimentation, prior to adoption of<br />
the PFP program nor in progress, the community developaent<br />
consultant to hmco had started a two-acre irritated rice,<br />
mixed venetable and tree farm on a 30 acre piece of land ad-<br />
jacent to Yekepa. Projections made then indicated that <strong>with</strong><br />
two harvests per year and an eventual 20 acres under rice cul-<br />
tivation, each acre could produce 4,000 lbs. of ailled rice<br />
per year. At 1% per lb. this wuld give the project an im-<br />
diate annual income of $1,200 and a potential future income<br />
of 312,000 per year in rice sales. Pbe experimental project<br />
wuld also test the potential for vegetable and tree f ~ i t<br />
production for which M feasibility iaforaation raa available.<br />
At the time, it ran estimated that the project's annual<br />
operation cost wuld be constant at $7,600 before, during and<br />
after land preparation. This was because warehouse and drying<br />
slab construction and learning expenaes rould be spread over<br />
the first few years whereas in theory. .hen the project reach-<br />
ed 20 acres,opesation should be systepatic, partially aechacr-<br />
ized via mto-tillers and more efficient. hnd preparation<br />
wuld cost $250 per acre.<br />
Therefore,if 20 acres of irrigated rice could be brought<br />
under cultivation in seven years, the project could pay for<br />
its land preparation in ten years and be earning a jpfit.
At the c<br />
the project was<br />
still being -aged by PFP and kiability was a long my from<br />
proven. A tendencj on the part o f the rice rorkers to compare<br />
their rages and benefits nth those of mining companj. csployees<br />
had led to a series of strikes and other labor pmblcras which<br />
reduced productiv1ty.The cost of finding and implesentins solutions<br />
to blight caused by iron-toxicit7 proved higher than projected.<br />
Tbe project did, however, have proaise. The trial of nine<br />
varieties led to tm rfrich were resistant to iron-toxicity and<br />
productd reasonable yields. Testa of various rob-tiller urd<br />
thresher desips,fertilizers and fertilizing sehedules,harveat-<br />
ing, dqing and parboiling techniques, and insect and pest con-<br />
trol rere in progress. Tbe PFP staff, cognizant that costs mere<br />
running higher than projections, agreed that solving irrigated<br />
rice production problus had a high oational developaent prior-<br />
ity and that efforts must be continued eien thou@ funds had to<br />
be reallocated to this from other budgeted program elements.
A Peace Corps volunteer specialist had visited Lasco in<br />
1973 and proposed that a Yekeoa comnunity credit union would<br />
be feasible if the mining company labor union agreed to organ-<br />
ize it and encourage me&erahip.Both the company and PFP agre-<br />
ed that a credit union was needed.The tau cowercial banka op-<br />
erating in Yekspa had such high ainimum deposit requirements<br />
that 8C% of the co-ity had ao banking facility to encourage<br />
thrift.<br />
PPP invited the Libarian Association of Credit Unions to<br />
come to Yekepa and conduct a threeday educational and prose-<br />
tional seminar on crsdit unions and their benefits. Tlre mine<br />
rorkera union organized attendance. At the seminar's close a<br />
group of ten charter members signed an application for regia-<br />
tration of the Yekepa Community Credit Union.<br />
It soon became evident that this group ranted PFP to man-<br />
a p the credit union. PFP agreed to act as management consul-<br />
tant, to assist in working out loan and investment policies,<br />
and, if the members deemed it neceaaary, to be a signatory to<br />
all disburseaents. But PFP decliaed to assume amnagtment re-<br />
sponeibility,explrining to the charter memhera that one of the<br />
primary concepts of a credit union is that it should be manag-<br />
ed for the members by officerr elected from the aerberahip.<br />
It was difficult for P- to forego the chance to get the<br />
credit union into operation because enthusiasm was high arrd<br />
iaplementation could easily have been achieved. Borerer, after<br />
considerable soul searching,thc advisors conc~rned agreed that<br />
it muld be a mistake for to push too hard for start-up.<br />
i s Light rusult in a credit union .bid the membem would<br />
perceive aa the "PPP credit unionNirutead of the mrs valuable<br />
long-tern concept that a credit union belongs to the members.<br />
Unfortunately,rhile several charter aubers continued to be en-<br />
thusiastic, they rers unable to keep a cohesive -up together<br />
and take the next implementation steps.<br />
Eventually there will be a credit unioa in Yekepa because<br />
it is a natural wlution to the thrift and credit needs of<br />
rege earners. As of the end of the firat operational year, WP<br />
could not project how and when the credit union muld come<br />
into being.
Projects started and lanaced b_r W<br />
Experience nth locally managed enterprises revealed vcr?<br />
soon and clearly that three mejor facets of -went suffer-<br />
ed from lack of experience and training. These were:<br />
1. hneral management: the role and responsibilities<br />
of the general manager.<br />
2. Financial management: appreciation of accounting,<br />
budgeting, caah flow projection, financial decis-<br />
ion making, dealing <strong>with</strong> bsnks.<br />
3. bntract management: what a contractor is, hor he<br />
related to his custowrs,rhat.he does, how he es-<br />
timates costs, prepares bids and plans work.<br />
mile courae material available from overaeas pmvides a<br />
useful guide and checklist of points to cover, PFP eltcted to<br />
design more specificallj relevant araterial for eveninr sdnar<br />
procrams (4% hours a reek for 12 w eb during )larch, April and<br />
by when there was minimum conflict nth s-r vacations and<br />
heavy dm season wrk schedules ). Participants rcre selected<br />
to have mutual pmbless and one half of each seasion devoted<br />
to gmnp discussion-<br />
Getting participants aware of the importance of regular<br />
attendance proved difficult in the case of the managers and<br />
accountants. 25 contractors, horever, attended all 12 aeasiona<br />
of the course designed for them.<br />
The most important result of the seminar program ras un-<br />
expected candor on the part of participants discussing the<br />
prevailing low level of business ethics and the problema impo-<br />
sed on 6-11-scale Liberian entrepreneurs by COL reylatorj.<br />
agencies. For eranrple, several entrepreneurs complained that<br />
their enterprises were regularly padlocked by local officials<br />
do, having reviewed registration docments, financial atate-<br />
aents and t&x papent rsceipta, declined or refused to cite a<br />
violation or cause for their action. To get the enterprise re-<br />
upened, the entrepreneur muld have to travel to the county<br />
headquarters at his om espenae and shot all his documentation<br />
again to authorities there. Other business men complained of<br />
having no reliable source from .hi& to find out all of the<br />
reylatom coapliance required of them.<br />
These revelations led FFT to atut collectins inforoation<br />
to aaaemble into a " Saall Business Handbook " to be prepared<br />
for copprehension onsophistiuted dl-acale businesn om-<br />
era and managers.
Even before PFP started operation, the coaarunity develop-<br />
ment consultant recommended that Lama discontinue being bank-<br />
er and lending agencl to local private enterprise. Be reasoned<br />
that in this role Lamco eeriously diluted its effort to foster<br />
initiative -- - and self-reliance. There was, however, need for a<br />
aouree of seed caoital to finance feasible enterprises which<br />
were unable to provide the security requirad by the local<br />
banks and the newij formed development bank in Honrovia.<br />
It was not difficult to persuade Lueo to delegate the<br />
lending function to PFP. The mining company agreed to lend FF'P<br />
SlC0,000 interest free for ten ysars,lhich amunt wuld become<br />
a PFP-administered remlving seed capital loan fund. A candid<br />
review of the cost to Lpaco in money, tire, and public rela-<br />
tiom palaver resulting from its poor lending track record<br />
rendered the P?'P solution both attractive riod economic. The<br />
eavorins letter of approval translated from Swedish authorized<br />
$100,000 for "PFP lour funm.As of mid-1973, a three-a~an review<br />
corittee consisting of one representative from bmco,one froa<br />
a local coaaereial bank aad one from PFP, had been appointed.<br />
Unaaimus agreement of the codttee wuld be required to ap-<br />
prove any loan.<br />
Other activities undertaken bv PFP<br />
In its first year PFP aooainted a Covernine Council of<br />
ten .cmhers to provide policy guidance, strateg recommenda-<br />
tions, progar design and progress reriw, and a8sistance <strong>with</strong><br />
Government relations. On the buncil were the Xiaiaters of Ag-<br />
riculture and of Planning and Economic bifairs,the County Sup-<br />
erintendent, representatives of bco,of the Y)ICI, of donor a-<br />
gencies, of the business co-ity, 8nd of m. Appointment of<br />
this Cauncil was regarded as a first step toward eventual ins-<br />
titutionalization of PFP into one or mm bvernment agencies,<br />
and an essential step in aligning W's progar <strong>with</strong> national<br />
development objectives.<br />
Five mnths after PFP war, created, the Governing Council<br />
conducted its first meting. The highlights of Council meabers<br />
resolutions, recomndationr and general discussion were as<br />
follors :<br />
- PFP usistanca should be extended to mall-scale<br />
-1 farmers and entrqtrsieurs rho had no other<br />
source of as8istance.<br />
- In additian to project-bpprofact progass re-<br />
port*, audited financial atatesent8 and pragar<br />
projections, the Gorernin~ Council could give<br />
are ralevrnt guidance if it had an estiute of<br />
the total coat of all PFP rawurces applied to<br />
each client enterprise, and to each project or<br />
actiritj undertaken.
- Discussions rithin the Council meetings and re-<br />
ports distributed to Council members should be<br />
privileged and therefore candid and free of the<br />
inhibitions which normally restrain policy Rlak-<br />
ers and advisors from mentioning problems dich<br />
could be interpreted as criticism of individuals,<br />
pvernment departments or donor agencies.<br />
- A mall executive committee of the Governing<br />
Council composed of Yekepa residents was appoin-<br />
ted and earpowerad to rake deciSi0116 on behalf of<br />
the Council.<br />
- Meetings of the full Council muld take place<br />
trice a year <strong>with</strong> the venue alternating betreen<br />
Yekepq and Monrovia.<br />
Early in the year PFP established liaison rith the Minis-<br />
trr of Agriculture Bsseueh Station at SuakDko ( 90 miles from<br />
Yekepa over difficult road).Agricultural developmnt in Yekepa<br />
needed technical advice and inputs from the ZLinistry.PFP rsnt-<br />
ed to take advantage of all infomation and experience already<br />
available. This liaison was encouraged from the start. The Re-<br />
search Station supplied seed, equipment, mil and plant patho-<br />
logical analysis, and advice. To reciprocate PFP endeavured to<br />
run variety trials. Although these rcre not adequately mper<br />
vised and recorded to produce widely applicable results, they<br />
did indicate dich plant varieties could survive in the later<br />
itic, iron-toxic soils in the concession ma. The liaimn be-<br />
came increasingly constructire as PFP and the Research Station<br />
learned each other's capabilities, lisritations and objectives.<br />
One of Liberia's tm uaiversitie8,Cattineton Collepe,(lo-<br />
cated near Suakoko) had started a business administration fac-<br />
ulty in 1973.The Dean, a frequent visitor to PFP projects,sug-<br />
gested an intern ~ro- whereby students could be given cred-<br />
its for practical murk experience in Ydrepa enterprises drrr-<br />
ing summer break.1t ran agreed that this should be implemented<br />
in 1976 when the students rnre in their third year.<br />
kaw mining eampw's poritire attitude toward Liberia's<br />
national developrent was often put to test. The company was<br />
asked by ODL departaents and many private entreprrneura to eon-<br />
duct feasibility studies and urovide manaotrent cansultation .<br />
A nrnber of such requests rcra paased on to PW, especially<br />
those from prowaed - - entemriscs which rould hare kact on the<br />
concession -a- Durbg the first year, PFP cunducted full<br />
feasibility studies on:<br />
- A proposed petrolmm products rail transport,<br />
bulk storam, md tank tmck distribution systes<br />
located along the kso railroad, RP't study<br />
indicated th8t this project wald not be fea6ible<br />
until coammption of fuel in aortheutern<br />
Liberia and puts of Guinea ~rr4 from Liberia,<br />
increased SIb~t,anti8llj.<br />
48<br />
- -
A proposed investment LO upgrade an existing hotel and<br />
related guest facilities to the level required to attract<br />
tourism to Robertsport and Lake Piao. Ln summary, PFP's recom-<br />
mendation was that if a substantial amount of investment could<br />
be attracted, or allocated, and spent to provide tourists <strong>with</strong><br />
interesting crosa-cultural and recreatioaal activities as well<br />
as comfortable accol~dation, the area could generate income<br />
from a segment of the dmericao tourist mrket to which Liberia<br />
is of special interest,<br />
Conclusions disctursed<br />
In any goup as divergent aa PFP'a Governing Couacil and<br />
staff, and representative8 of donor agencies from several aa-<br />
tiona, all dealing <strong>with</strong> an experimental approach, there was<br />
bound to be disagreeaent and consequent constructive discue-<br />
sion.<br />
While wme felt that too much of PFP's time and resources<br />
rare expended on too few of tho area's larger enterprises,Oth-<br />
em pointed out that artiaana and small-scale farmers could<br />
not be erptcted to generate the eaploy~ent and income required<br />
after depletion of the iron ore.<br />
It was agreed that agricnltural and rural development as-<br />
siatance reaching that portion of the population not benefit-<br />
ing from Lasco's presence should be increased, The concensus<br />
was that F?T would need ta have a specialized agricultural and<br />
-1 developpent departaent <strong>with</strong> experienced Liberian leader-<br />
dip in order to irpleaent an effective a8aistance program to<br />
rural farmers and village drellern. And agricul-a1 and rural<br />
development should be prograased and reported separately from<br />
industrial and coawnial development.<br />
Finally, all Cowcil mbers, staff and donor agencies<br />
coneuned that first year progress justified continuation of<br />
the Yekepa experiment.
SECOND AND TSIRD YEAR INDUSTRIAL AND COMMERCIAL DEYETRP?IEm<br />
Although detailed programs and projections of achievements<br />
were prepared each year and revised each quarter, these rill<br />
be omitted because too much detail nould detract from the con-<br />
cept of the Yekepa experiment as a model for application in<br />
other conceseiona. During the second year of the PFP program,<br />
progress was slow, but steady, and toward the end of the third<br />
year there was a marked increase in the number of Liberians<br />
atarting enterprises <strong>with</strong> relatively little PFP input.<br />
Continued assistance to existine spin-off enternrises<br />
Spin-aff enterprises continued to require inputs, especi-<br />
ally accounting and contract negotiation assistance. On PFP's<br />
recomendation, an experienced transport isaagestent ~d rork-<br />
shop organization consultant was hired by Honitco for three<br />
mnths to help improve fleet maintenance and to provide expert<br />
advice on standardization in the acquisition of new equipment.<br />
This consultant ras recruited by the International Executive<br />
Service Corporation (Hew York City). Half of Ms cost was paid<br />
by USAID and half by Monitco. His work ras practical, well re-<br />
ceived and effective.<br />
National 'Uoodra~'s wrth was astonishing. Sales volume<br />
rent from 5300 per month to $7,000. Employees increased from<br />
15 to 3O.Net profits enabled the company to reduce its iadebt-<br />
edness from S24,Oo to SS,000 and, at the same time, invest<br />
$15,000 in new machinery, tools and a sales showroom and of-<br />
fice, In 1977 the company operated for three months under the<br />
general wagerneat of the Liberian Vocational Tmining: Center<br />
graduate <strong>with</strong> one owner's rife controlling finances. Additional<br />
production supervision, however. rae atill needed, With the<br />
shareholders' agreement,another full-time advisor ras hired to<br />
assist the production manager. The former grorth trend ras<br />
resumed.<br />
Analysis revealed that the foreign advizor's priaarg role<br />
ras to supervise maintenance of machinery equipment and tools<br />
and to keep mrk flow organized for maximum output at each ma-<br />
chine station. At the end of the third year,National Woodrcrirrr<br />
waa riming contracts to provide furniture and mill rork to<br />
Lamco and to other companies and institutions througfrout Li-<br />
beria. PFP and the omers ancurred that a modwarking advisor<br />
<strong>with</strong> mechactical how-hor might be needed for another one to -<br />
two p?srr.
Nimbaco (the logdne and sawmilline coauany <strong>with</strong> exgatri-<br />
ate manacement)continued to invest rith a vier toward increaa-<br />
ing production.In aid 1977 GOL forest conservation reylationa<br />
dealing rith export limits,minirrua diameter cutting aad refor-<br />
eatration and stumpage fees, were undergoing revision in hat<br />
appeared to be an effort to stem the exploitation of irreplac-<br />
eable national resources ( primary forest and exotic species).<br />
Such revisions were cited by sawmillers as a reason to in-<br />
crease prices to local consumers of the " redrood " furniture<br />
manufacturing 8peciea.They seemed to be justified in the light<br />
of long-term reaouree conservation. Foreat concessiobairea in<br />
Liberia for many yeara have been extracting and exparting ex-<br />
otic specie lo@.Such concessionaires are nor being encouraged<br />
to invest in processing machine-, employ more Liberians and<br />
dark on a longer-range and leas exploitive course of grorth.<br />
Nimbaco is one of the companies responding constructively to<br />
this encouragement,<br />
It was sometimes PFP's role in management consultation to<br />
defend GOL actions to investors who have a tendency to feel<br />
persecuted.<br />
The electrical contracting or~ioation, Jelco, continued<br />
to expand and at the end of the third year had a tro-year contract<br />
to maintain all 3,W hco house8.2rpansion was so rapid<br />
that it could not be financed from retained earnings. A FTP<br />
guaranteed baa* loan ($8,000 for one year to be repaid by mathly<br />
deductions from maintenance contract papents ) has been<br />
applied for.<br />
h Fa the case of National Woodrorka, Jones could not yet<br />
leave the managaaent of Jelco to his senior foreman. Vhen he<br />
tried this during a vacation,the vehicles broke dom <strong>with</strong> ser-<br />
ious damp from la& of basic raintenancs and contract perfor-<br />
mance, of course, deteriorated. PFY had to manage the company<br />
until Jones returned to keep &ace from terminating the coa-<br />
tract.<br />
Ner aoin-offs undertaken r%quire leas PFP involvement<br />
A sccond electrical contractor, Willie Zu, ran encouraged<br />
by agreement betreen Lenw and PPP to gat licensed and start<br />
operation in December 1976. Be did not compete <strong>with</strong> Jelco because<br />
he specialized in "high-tension" mmin~enance.Yillie Zu's<br />
contract for raapval, relocation and naintenance of high tension<br />
lines averaged $2,000 per aonth and enabled him to operate<br />
a vehicle and esrplop five workers. IIe visited the PFF' offica<br />
once a week to mvier progresa and discuss probleas.PF'P1s<br />
aechanical advisor asaisted his to reintain his pick-up truck.<br />
&rly in the second propa year PFP and Luo aged to<br />
a s~xth soin-off.In corplim~ee rith ML regulations, Lamco had<br />
been replanting forest to cnapenaate for lo- rrasoved.0ne specia<br />
planted, Gaelina, was known to have desirable fibres<br />
-
for pulp used in making craft and other high grade papers.This<br />
specie seemed to thrive in the concession area's soil, topog-<br />
raphy and c1imate.A Swedish consortium of pulp and ?aper manu-<br />
facturers started Liberian Forest Conorstion(LFC)to create a<br />
belt of forest for pulproods along the Lamco railroad. LFC<br />
wuld eventually build a chipping plant in Buchanan and eqort<br />
mod chips to Sweden for conversion into paper pulp. At LX1a<br />
request.PFP harvested and shipped for trial processins 30 tons<br />
of Cselina. Results of the trials were good and Ln: decided to<br />
set up a headquarters in Liberia and negotiate for a large<br />
concession.In order to have a head start in developing trperi-<br />
mental specie stands, LFC nquested PFP to start and maintain<br />
an arboriturn for 8,000 seedlings of 11 trial species.<br />
PST responded favorably and eomplied rith all requests be-<br />
cause the project promised to be a large future eaployer and<br />
source of post--n-om-development. LFC compensated PF'P for<br />
all services at coat.<br />
Small-scale enternrises increase in number and varietr intm-<br />
dueinc new concerns and problems<br />
Bumble's Inn, rith the omer's and Lamco's approval, raa<br />
leased to a foreign entrepreneur for 5 years. The lessee took<br />
over FW's lease and invested in building improvmenta, rum-<br />
isbings an6 equipment. Profitable operation started spin in<br />
September-1975, One proble~ impaired the mutually beneficial
elationship between the omer and the lessee, The omer be-<br />
lieved that each pernanent improvement installed and paid for<br />
by the lessee rendered the lease agreement wad and empowered<br />
him to increase the lease fee. P?T was requested to moderate<br />
these frequent disputes. me PFP advisor explained to the om-<br />
er that it was to his om benefit to encourage investnent in<br />
improvements which would revert to him at the end of the lease.<br />
Unfortunately, the prospect of immediate casn often prevailed<br />
over logic. Since ther were no longer constructive, PFP advi-<br />
sory services were discoatinued in December 1976.There appear-<br />
ed to be general agreeseat that Bumble's Inn had become an as-<br />
set to the co-ity and a source of steady income for both<br />
omer aad lessee.<br />
Ia preparing the lease agreement as a coneultilncf aervice<br />
to the omer, PFP included a clause by which thalesaacagreed<br />
tt train a Liberian iranager to mn the Inn. This could be the<br />
owner's rife or an individual meeting the attual approval of<br />
omer and lessee.Unfortunatel~., the friction in the omer/les-<br />
sao relationship has prevented Chis clause from being imple-<br />
mented so far.
Buff Bakerr, Olma 77 (diner) and Y-Craft continued suc -<br />
cessful operation <strong>with</strong> PFP involvement ranging fmm a -age -<br />
ment contract in the case of the bakery to an advisory role in<br />
the case of the other two. PFP assisted the Yekepa YXCA to ob-<br />
tain funds to undenite Y-Craft's training costs which could<br />
not be covered by income from sales of handcrafts.A second Af-<br />
ro ArtsjSIDA craft trainer arrived in Yekcpa in July '77 for a<br />
tro year tour. She imaediately started trainins selected women<br />
in creative dekiga to supplesent the cloth printing and sewing<br />
training which rill continue.Additiona1 funds specific all^. for<br />
this project were promised by tro donor agencies.<br />
Entrepreneurs coming to PFP and obtaining various tnes<br />
of assistance increased in number rapidly durind PFF"s second<br />
two years of operation.. These included:<br />
- a tailorinq contractor who was helped to get contracts<br />
to sake coveralls for h c o workers and to set up simple ac-<br />
counting and cost eatbating procedures.
- a wrha'r lunch room operator in the Wnewrkers<br />
Union Hall rho ras given a amall loan and advice.<br />
- a second caruenter shoo omed and -ged br a Lf-<br />
krian rfio financed his operation totally from personal aa-<br />
ringa and came to PPP for vlnagrment consultation only.<br />
In approving assistance to the aforelisted entesprisea,<br />
them ras concern that too nay enterprises in one eatagorj.<br />
could cause competitioa to the detriment of all. For<br />
erarple, in Yakapa there rere independent tailoring shops<br />
and bakeries in the houses of taraco anrployaas mbsidixed by<br />
free k o<br />
electric it^, appliances and mrk apace.PFP reas-<br />
oned that such rubidy muld not be available forever and<br />
therefore, creation of a tailoring eontractor capable of<br />
paying for apace and utilities, md r eu~ercial bake-<br />
would have long-tcrr rprriral prospects dficient to off-<br />
set- hsrr to the artifikially supported iudepdents.
A different type of concern was brought to light .hen PFP<br />
elected to assist a recreational enterprise.<br />
A cinema operator built a theater <strong>with</strong> 600 seating capacity,<br />
h e o savings supplemented by a line-of-credit<br />
( $2,400 ) and building design and construction assistance from<br />
P . The cmema was located in Unification Tom two miles from<br />
Yekepa. This over-crowded tom houses approximately 10,000 persons<br />
rho work indirectly for Lamco as casual labor and subcontractors<br />
and are not entitled to Laaeo housing. It was PFP's<br />
judgement that a theater building for recreational cinemas and,<br />
as the omer agreed, a setting hall for other purposes, was a<br />
project worth^ of assistance.<br />
In order to finance a generator.tn, 35 millimeter projec-<br />
tors, furniture and operating capital, the PFP accounting advi-<br />
sor helped the omer applf for a loan fro= the Liberian Bank<br />
for Industrial Development and Investment (LBDI).
An unexpected result of this action r~ the disapproval<br />
of the bverning Council nember representing the Swedish YXA-<br />
DCA baaciation. This member felt that Karate filrs shorn in<br />
this environment muld encourage violence. especially in youth-<br />
ful cincma goers.<br />
Tbe reason for mentioning this ;aore-orless routine and<br />
normal divergence in viers is to illlutrate the number of Ior-<br />
ces rhich influence decision ding in a development program.<br />
Despite assertions to the contrary, the interests of donor a-<br />
gencies have to be kept p-unt in the mind of the agency<br />
magar *ha reasorrs that <strong>with</strong>out funding there rill be no pro-<br />
gram at all.
The record of Lamco and PFP assistance to N. Hilton Su-<br />
nermarket illustrates most of the problems concessionaires and<br />
development agencies face playing too dominant a role in fos-<br />
tering indigenous private enterprise. Intensively surnmarazed,<br />
the highlights of this case history follow.<br />
In 1972, Mr. Milton started operating a mall-ecale su-<br />
permarket in one of Yekepa's market centers catering largely<br />
to Liberian employees and their fantilies. The store had a good<br />
stock of items not carried by the larger USTC-M supermarket<br />
in the coamunity center which catered to the Scandinavian and<br />
foreign community.<br />
Several years previously, Hr. Milton had expected Lamco<br />
to spin off its large superaaritet to him, rather than to the<br />
foreign omed cospany. When this proved impractical because of<br />
the large investment in stock which had to be purchased from<br />
Lamco, .Xr. Hilton set out to prove that he could operate suc-<br />
cessfully in campetition <strong>with</strong> USTC. Us attitude was exactly<br />
what a development project would hope for. He was independent,<br />
hard-working, able and reliable. N.Mlton Supermarket prosper-<br />
ed. In a short time sales volume wa6 averaging US,W per<br />
month. Net prof it was small but steady and, after a full year<br />
of operation, shored an upward trend.<br />
Facouraged by these results and desiring to prove him-<br />
self a tough competitor, &. Milton, <strong>with</strong> Lamco's blessing,<br />
built a second supermarket in Leaco's coarmunity center, almost<br />
next door to USTC. He had to borrow mney at stiff interest<br />
rates to build, equip, and stock this store. Uhile sales vol-<br />
ume appeared promising, .Hz-. Milton's enterprise began to ex-<br />
perience classic symptoms of undercapitalization and overex-<br />
pansion. Bank credit was frozen. This precipitated a move by<br />
all creditors to collect. Needed operating capital was no lon-<br />
ger available. Stoek depleted, sales volume dropped and profit<br />
became loss. The so-called "awr ball" effect set in unmerci-<br />
fully Attesqts on Lamcols part to assist by extending utility<br />
credit made matters rorse allowing Mr. Hiltoa to operate<br />
longer and low -re+<br />
By the time PFP was established and called in to aaaist<br />
by Mr. Milton, at Lamcots suggestion, indebtedness had reached<br />
the point where survival would be possible only if major ~ fi-<br />
nancing could be obtained. - -
Since that time, Mr. Xilton's trade creditors, GDL and the<br />
two lending banks involved have met and decided to underwrite a<br />
refinancing program based on a design recoswnded by PPP. Under<br />
this plan Hr. Milton rill resume operation in his original sup-<br />
ermarket and pay oblietions gadually.Lamco's contribution pot<br />
underray in mid-1977 consisting of refurbishing )Ir.Xilton's or-<br />
iginal retail store and cold storage facility; leasing his sec-<br />
ond store for an amount sufficient to meet the building loan<br />
payments; and writing off a portion of his past utility obliga-<br />
tion.
This case histom illustratso several of the ant prom-<br />
lmt problem6 facad by concssaionaa~s, joint ventluas, host<br />
gevsnuents and aenciea fosterins kfdi~;.aous mter;,riae de-<br />
veloplent. Enterprasas attcrrpting to start <strong>with</strong> ainiul eap-<br />
italization, sawtins leas Uan m i n h l , and inexperiencad<br />
ranspent ars especial17 rulaerable.Almat an7 unfores.cn set-<br />
back such aa unavailabiliF7 of supplies or raw nteriala, de-<br />
1- in obtaining a mecbanieal par+, a rubber)., or simply an uc<br />
bitrar). changs in the policy of local banks, can put the ent-<br />
erprise into a financial crises sitrution. Early apptoms<br />
sucb bring to borrow to net a p-11, having to nits<br />
post-dated checks to obtain atock or having to use rithheld<br />
tuea for operating capitr1,ax-a seldom recognized a6 the gave<br />
aager signals the7 are.
PFP attupts to identify these signals but =st rely on<br />
the complete COZLfidence and rillin@ess-to-revenl of the cli-<br />
hnt enterprise owners and managers. me earliest signal tuunl-<br />
1y appears in operation of the enterprise's bank accuunt and<br />
can be picked up by an alert banker. PFP encourages client en-<br />
trepreneurs to establish consultancy relationships rith their<br />
bankers.<br />
When the classic nrninga appear,it can.be a fatal mistake<br />
to advance -nay or prolong credit, horertr gwd the intent,<br />
rithout ping through the aoafysis to deterrine th.t b-<br />
pact the additioarl w h or credit rill have on the enterprise.<br />
To eoncaasiop.ires dealing rith their om luge-scale opmtioru,<br />
tAe amount. of money or &it d c h a local entrtprenar<br />
requests to " see hir through a temporary crisis * appear<br />
m aall that it muld seem dair and palitically -rise to<br />
rafuse. And yet, such a -11-intended aeeo~dation can be the<br />
kiu of death * to a local enterprise.<br />
)nothe 1.-n learned from the X. Milton Supcrt.rket<br />
ezpcriance is the soundness of allodng -11-scale,indigenoru<br />
enterprises to pr at a nrtaual rather than accelerated paen.<br />
The esperieneed %magerr of concessions oftm nee entrepreneu-<br />
rid gorth opportunities througb ledernired eyes.<br />
'Here ve arr rining iron ore; shouldn't Wonitco set up a<br />
foondq to produes vahiel. pqrta ?"<br />
"Vith a11 the focal fruit md vegetables available hus,<br />
shouldn't PFP be helping Mr. Hilton start a cannery ?"<br />
%en I rar Fn hmpe I found a market for .abom fur-<br />
nitare; shouldn't National loodwrk. net rrp an esport depart-<br />
meat in Wonrovia ?"<br />
While. these y be the opportnaities of the future, the<br />
agmeJ ranrging mcillu7 enterprise development in a eonesssion<br />
uu. must rink the eritici~ thrt prog~ess is too slor<br />
and resist the teqtation to encaursge expansion at a pee too<br />
rapid for the available capital and managerial her-hor.<br />
PFP builds a null-scale induntrial estate<br />
As an experinntd solution to the short.@ of -&shop<br />
space and the high rink inmlmd in -d lending to printc<br />
enterprise, PIP proposed to the ud upltrl. 1o.n fmd<br />
co-ttrr to allout&. up to S7S.a)0 of tiu SI%G000 lnud<br />
to eomtruct -a equip a -1-uale industrial rate. The<br />
rationale N that the building wuld bo adifid rad quipped<br />
to fit the need8 of propaad dl-aule LnQutriu, .nd that<br />
entrrpreneam lruing rpre8 wuld pt into huin~88 by Asins<br />
emu their apenting upitd -ta. The lour fonds<br />
ropld be m~rr *cue PrP muld o- tke bailding md equiprent.
The estate 7- corpletao in December, 1976. The buildiag<br />
and electrical installation coat S49,MX)- A $10,000 mdification<br />
and equipment program to fit the nerds of Atlantic Automotive<br />
Services, a Liberirn/~ustriQn partnership, started in<br />
June, 1977 r~th the whole estate leased for $850 per month<br />
(calculated to repay the $59,000 of loen funds plus 6% p.a.<br />
interest in 10 years).<br />
Atlantic Automotive Serrices propased to repair vehicles,<br />
do contract welding and machine shop wurk for hrco, knitco,<br />
Nisbaco and others and to repair and maintain P5T's vehides,<br />
earth-moving equipment and agricultural machine-. PPP oms<br />
and operates 2 motorcycles, 3 pick-up trucks, 6 mall VV 8e-<br />
danr, a caterpillar track fmnt loader and a variety of dif-<br />
ficult-to-mpair agrictlltural equipment such or rot0 tillers<br />
and pumps made in Japan, rice threshers nade in China and ax-<br />
perirental mechanical tillers lsde in the Philippines.<br />
The decision to lease the antire estate to one enterprise<br />
<strong>with</strong> 7m foreign omemhip invrlved a number of concelar.Cansidering<br />
the viable eo-ity objective, and co~idering the<br />
esperienc* 80 far of the need for technical qertbe and<br />
mnagarial exporienca, it appeared logicrl that an interredirta<br />
step in the development of indigenomly owned and wged<br />
technical entcrurises .auld be the eneoux-8-ent of Liberian/
and mrked full time in the enterprise, his know-how could be<br />
transferred to Liberians employed by the enterprise. Noreover.<br />
if the enterprise performed services far other enterprises essential<br />
to the development of their eventual independence from<br />
Lamco, then PFP judged that assistance to Atlantic Automotive<br />
Services muld be in the interest of achievin~ its long-tern<br />
objective.<br />
A secondary factor in favor of this client was the om-<br />
era' willingness to contract <strong>with</strong> PF'F' at a reasonable rate<br />
for semice and repair of PFP vehicles, nachinery and equip-<br />
ment. To date, vehicle and equipment operating expenses had<br />
averaged 52,500 per month (17% of PFP's cash income).
Onr group in the Gorwning Council felt that a a re intan-<br />
sire and far reaching effort hould be mde to attract foreign<br />
know-hor md investrent to Yskcpo in the lon of joint ventures<br />
rith local Wberian participants, licanws iasasd by foreign<br />
corpuriea to mmufacture or procesa in Liharia or Foreign / Li-<br />
berian partnerahipa. It ran felt this could be m intermediate<br />
developent step providing mom tut to allariate the local<br />
ahortage of capital and plnagerinl md tacirPiul skills.<br />
The Council eoncPrrsd that PtP arperienci ro far indicatd<br />
that M innovatiotul approach .odd be needed to ~ l v local e attitudinal<br />
pmb1.u cawatad by tho prrsencs of a luge, well financad<br />
concasaionaim, Facourr~ent of initiative md self re-<br />
liance rcre gods. while encouragerent of dependence and<br />
reli.nca on the cnrpw appeared to br uaintmtionrl bppmd-<br />
ucta of k o ' a pataxnal -went atyle. Aa the uprmaion<br />
bpes in Liberia, " w hat to do? "
PEQSONHEL
With the Hiniater of A$?-iculturr as Governing Council<br />
Caiman, it Was not surprisinq that PFP was directed to in-<br />
crease aphasia on agricultural and rural development. While<br />
there was very little entrepreneurial tradition in Liberia,<br />
farring tradition was abundant. The pattern, in over-simpli-<br />
fiad fora, had been that Liberians f-d and other national-<br />
ities, each as Lebanese, traded and manufactured.<br />
Liberia's national development plan placad esqhair on<br />
achievement of self-sufficiency in food production. Because<br />
kaca axd PfP rere headquartered in Cpper Ninh buntj, the<br />
GDL tended to allocate scarce resources to other ragions in<br />
order to ereate a nationwide balance in development inputs.<br />
Hence, PFP had gradually assumed tho role of upper Nirba<br />
bunt7 technical aasirtanca agency for rural and agricultu-<br />
ral developreat as re11 as for industrial aad coareial da-<br />
velopment.<br />
A aenior Liberian Aerieultural Advisor ia hired and a oroeraa<br />
designed<br />
In A ~ r i l<br />
1976 James Sirleaf, forplcrlr Liberian Deputy<br />
Minister for Action and Derelop!ent Rogmss (AD&'), and hold-<br />
er of a 89 degree in Agriculture and a XS in Cooperatire &-<br />
tension m*, joined the PFP staff as Senior Agicultural Ad-<br />
riaor. !%a knowledp of the customs and attitudes of Liberian<br />
farnerr and of the eutfrorit7 structura in rural villages md<br />
elms ras essential to the design and direction of a practi-<br />
cal tm year agricultural and -1 dsrelopent ~sistmce<br />
prom which included:
- continuation of the process of turning over the<br />
PIT' irrigated rice, veptable and tree farm to<br />
the workers and aaaisting them to orfsnize into<br />
a cooperative<br />
- continuing encouragement and assistance to veg-<br />
etable farners, tree farmers and Ajavon Poultry<br />
Farm<br />
- assistins in the start-up of a proposed piggery<br />
by providing loan funds, design and construction<br />
assistance and management advice<br />
- establishing a famer supply store for stockins<br />
and selling seeds,. fertilizers, ag-icultural<br />
chemicals, tools and equipment, and turning this<br />
store over to a Liberian entrepreneur willing to<br />
agree to PFP eupervision of pricing and credit<br />
pol icy<br />
- starting-a PFP unaged demonstration and training<br />
farm rith lodging facilities for 10 farmers and<br />
demonstration sites of irrigated rice, upland<br />
rice, cereals vegetables, trees, fish laming and<br />
pia raising<br />
- providing extension services to selected tamers<br />
and schools rithin a 30 mile radius of Yekepa in-<br />
cluding follor-up services to farmer trainees,en-<br />
cnuragenent and assistance to Young Parraer and 4E<br />
Club school groups and cooperative forration and<br />
manaffrment assistance<br />
- establishing a farm machinery and equipment exper-<br />
imental canter. <strong>with</strong> facilities for leasing, test-<br />
ing, servicing and repairing as well as training<br />
operators and mechanics and later, for producing<br />
intermediate technolog devices<br />
- in all of the aforelisted pmcram elements, to use<br />
the know-how and assistance available from GOL and<br />
other agencies and to involve local farners and<br />
traditional rural authorities in decision raking<br />
Funds are obtained for the avicultural and rural develoment<br />
The two year budget for this ubitious agricultural and rural<br />
development pmp;ram escsded originally coaitted PF'P program<br />
funds by 376,000. The budget additions included:<br />
Salaries and rages<br />
(Sr.advisor.2 ext.workers.lO d m far* writers) $33,400<br />
Fier vehicle purchase- and operation<br />
(2.4-rhetl drive vd1icles.2 notorcyeles) 20, S O<br />
Used tradr front loader(purchascr and operation) 14.mO<br />
Uaed fa= tractor (lease and operation) 2,<br />
Tools and supplies (deannstration f a ) 6,000<br />
74<br />
2 yr. total 376,000
Efforts started imediately to raise funds for this extensive<br />
addition to the original budget. A11 three principal donors, hmco,<br />
PACT, and ICFVK-XFUH responded favorable and eqressed apprwval of<br />
the proposed program to reach ;nor@ of Ninha County's rural poor.<br />
Each one added 310,000 to his annual grant. In addition, International<br />
Foundation for Science (ITS) of Stockholm Sweden, awarded PFP's<br />
Senior Agricultural Advisor, James Sirleaf, a grant of S24,OCKJ over<br />
a three year period to research ways to gpt aubsistance farmers using<br />
ilsproved nethods. It was. understood that the bulk of this grant<br />
would be used far developaent of the demonstration and trainins farn<br />
and related &ension prograsl. Yith S60,WO additional furdin$ from<br />
the three original doaors, and S16,OM) available from IPS for the two<br />
year period concerned, it na possible to preparm for implementation<br />
of the full agricultural and rural development program. .<br />
GOL gled-s an anicultural tool. and suualr inout<br />
The need for a program "in-kind" input of GOL approved seeds,<br />
tools, fertilizers, and agricultural supplies and chemicals became<br />
evzdent and ma made known to PIT'S kverping Council Qairman,<br />
Minister of Agriculture Leuis A. Russ. On his recoamendation the<br />
GOL agreed to grant a one tine f2J,000 supplr of these items to<br />
PFP for mle to local farrers, <strong>with</strong> a small percent for issue to<br />
school projects free of charze. P W wuld have to collect papent<br />
for supplies and tools distributed to faraers and repleniair its<br />
stock annually. This praved to be a better arrangement than PfP's<br />
previous method of i-ortlng agricultural itess fmm overseas.
PPP organizes and equips for the arricultural Droesaa<br />
h o h a agricultural graduates of Booker Washington Institute<br />
were recruited and hired as extension workers. An aqricultural<br />
mechanic volunteer was requested and provided by the U.S.Peace<br />
Corps. A Toyota jeep and 4 rheel drive pick-up truck were pur-<br />
chased for the Senior Advisor and the Animal Hushondry Advisor.<br />
Tno sturdy Yasraha mtorcycles were purchased for the extens~on<br />
workers. The Peace Corps mechanic immediately set about teach-<br />
ing the extension workers to ride and maintain their mator -<br />
cycles.<br />
The four rheel drives and !aatorcycles were necessary be-<br />
cause the Lamco scrapped and repaired Volksrapns, which rere<br />
all that PF'P had previously been able to afford, could not ne-<br />
gotiate the bush mads and tracks leading to the farms and<br />
schools in areas selected for extension assistance.<br />
Under overall direction of Senior Advisor, James Sirleaf,<br />
the Animal Husbandry .idvisor was given respansibility for as-<br />
sistance to the poultry farm, the two piggeries and the school<br />
Young Farmers Assoeiations and 4-H Clubs. One extension rork-<br />
er covered the rice project and vegetable Zamrs zn Yekepa<br />
and the Vest Ximba area, while the other me asslgned to the<br />
dcmaastration fam and the East Nimba area. Mr.Sirleaf person-<br />
ally supervised preparation of the demonstration and training<br />
farm.
Imulextentation besins<br />
Instead of treatins agricultural ventms as juat "ather<br />
enterprises to be encouraged and assisted ", PFP nor had an<br />
area agicultural development plan. This changed the appnach<br />
to impleaentation, especially :o the existing projects. me<br />
P?P i~ieted rice project in Yekcpa, rhid had been qun off<br />
to an organization of the foraer PFP rodera called Daila b-<br />
sociation, became an experiment in the viability of coopera -<br />
tive, acai-mechanized, irrigated rice production inatead of an<br />
enterprise *ich must be ade profitable or absndond, haistancr<br />
to mall-scale vegetable frrmera mu systaatized so that<br />
each karr rhat he could obtain from PFP aqd how and rben he<br />
'muld be erpe~tcd. to pay for it. This proved mrs- efficient and<br />
allowed amre faners to be assisted than thi previous s7.tgiving<br />
individual attention to each faner client.<br />
of<br />
Objectives of assistance to the PFP irticated rice mixed veceta-<br />
blc and tme fara are revised ~ ~
PFP began again to provide regular supervision and limited<br />
inputs. The manacer began replacing non productive members<br />
<strong>with</strong> more serious fanners. As part of roto-tiller design and<br />
performance testing, 11 acres were prepared for planting. Again<br />
seed and chemicals were provided on credit and planting resumed.<br />
As of the end of the Yekepa experlment's third year, the associa-<br />
tion appeared to be better organized and to have a chance of be-<br />
coming self-supportinq in the next year or two.<br />
There was some disa-eement among PFP staff and Governing<br />
Council members concerning the lessons to be learned from this<br />
project. Most staff memhers believed that PFP would induce more<br />
rice production by assisting small rural ,farmers than by assist-<br />
ing larger acreage farns, like Da-Ye-La,which requirrd manage-<br />
ment, cooperative effort, some mechanization, and production as<br />
well as financial planning. Therefore, they - recommended that as-<br />
sistance to the asspciation should be discontinued. Other staff<br />
and Council members believed that at least one such project<br />
should be continued, regardless of viability, in order to get<br />
the answer to a questinn which W W A (West African Rice Develop-'<br />
ment Association) claimed had not yet been answered: "Is irriga-<br />
ted rice productjon in Liberia econamically viable or rill it<br />
always require subsidy?"<br />
Pith the rationale that a people for whom rice is a .staple<br />
food must find viable ways to produce it, PFP continued to as-<br />
gist Da-Ye-La Assaciation.
Assistance to Ajavon Poultrr Farm is systematized and becomes<br />
more effective<br />
Scheduling visits by PW'a Animal Husbandw Advisor and<br />
systematizing inputs of transportation assistance had the im-<br />
pact of reducing PFP's overall involvement and -king that<br />
which continued more effective. As Ajavon ?am grew in size<br />
(capacity to house hroilers and layers) and sales volume, a<br />
reliable schedule of medication and inoculation became more<br />
important because of the larger loss risk.<br />
In its second year of operation the lam attracted =re<br />
institutional customers who aped to take a fixed quantity<br />
of broilers each month at 1 kilogram dressed, and a fixed amber<br />
of eggs according to a regular delive% schedule. The resulting<br />
opportunity for production planning made the enterprise<br />
more profitable. PW agreed to accept smaller wnthly<br />
repayments if the Ajavons would invest in a rater -stem and<br />
a hatchery to render themselves less dependent on imported<br />
chicks. During the rainy season, when mads were oft~n impassable,<br />
it was excessively expensive to obtain day-old dicks<br />
fm Honrovia.
A s of the end of PFP's third operational year, Ajavon<br />
Farm sales were averaging 54,000 per month (one quarter eggs,<br />
three quarters broilers and stewing chickens) <strong>with</strong> operating<br />
prefit at approximately 10% of sales. The $9,000 line of cre-<br />
dit from PFP had been paid down to $6,900. A penanent water<br />
system had been installed and feeding equipment was ordered<br />
from overseas and paid for in advance. Re-investment totalled<br />
approximately 51,600.<br />
The lesson learned in servicing this client was that re-<br />
liable advisory services, administered according to schedule<br />
and <strong>with</strong>in clearly defined limits, proved more helpful to the<br />
client and cost PFP less than the nore time consuming, across-<br />
the-board assistance which PFP had tried to provide previous-<br />
ly when requested or as needed.<br />
A Pigpry project is studied, cauitalized and imnlemented in record<br />
time<br />
- In February 1977 Mr. Jenkins hnbar, a Lamco genlogiat, proposed<br />
to build and operate a pigpry near Lnification Town (2 miles from<br />
Yekepa) to supply high grade pork meat to the comnunlty. This was<br />
the first time a client has prepared his own feasibility study and<br />
loan application. The study was detailed and fully documented. All<br />
that was required of PFP was to confin the validity of the land use<br />
documents, the building cost estimate, the operating cost and sales<br />
pro jectiona, and the mnagerial and technical qualification of Mr.<br />
Dunbar's brother, the proposed full-time project manager. All checked<br />
out satisfactorily. The loan committee approved S13,000 line-of-credit<br />
to Hr. Duahar <strong>with</strong> the proviso that the PFP Animal Husbandry Advisor<br />
muld visit the project regularly; that PFP's Accounting Advisar would<br />
participate in setting up record keeping systems; and that PFP would<br />
assist the project to grow and purthase local feeds.
Liberian entrepreneur, James Tabla. is eiven a loan and assist-<br />
ance to start a Farm Suouly Store<br />
Operating an agricultural development program in an area<br />
180 miles from the nearest source of farm supplies ras not prac-<br />
tical. Crops that were marginally profitable, at best, became<br />
unprofitable when excessive transportation costs were added to<br />
acquisition of seeds, fertilizers, agicultural chemicals,tools,<br />
equipment, sacks and bags, and general fama supplies.<br />
With an input of 84,000 from his om savings and a 86,OCO<br />
line of credit from PFP, James Tabla started constructing a<br />
roadside farm supply store just outside Yekepa in the direction<br />
of the majority of PFP assisted farmers. It was estimated that<br />
a starting stock of needed it-s would cost 57,000. PIT requested<br />
the Hinistq of Agrieulturm to approve a credit from<br />
(in the fora of.fam supplies wrth 87,000 at cost) to James<br />
Tabla ram! Suppl~ Store as part of the GOL "in kind'' farm sup-<br />
PI J input pledged to PFP.<br />
At the end of PFP's third operational year, construction<br />
of the store was 95% complete and the request for the stodr on<br />
credit ras being processed through the Ministry of Agriculture.<br />
James Tabla, a Lpmco employee, signed a payroll deduction au-<br />
thorization &errby reaular laanthly installments reduce his ob-<br />
lig<br />
James Tabla<br />
discus8e8 his<br />
store buildin<br />
<strong>with</strong> construe<br />
tion adriaor,<br />
Pete trwa
A demonstration and traininq farm is started<br />
Based on the belief that amall-scale farmers could be motivated<br />
to change farslng methods if they had seen, and,actually experienced,<br />
that improved methods increased y~elds, and the belief that a start<br />
must be aade to pass on to the small-scale farmer what has already<br />
been learned by research, PFP selected a 33 acre site 10 miles from<br />
Yekepa near Grassfields (where PFY staff reside) for a demonstration<br />
and trainlng farm. The site had a year-round water supply <strong>with</strong> .oil<br />
conditioes and topography suitable for upland rice, irrigated rice,<br />
vegetables, cereals, and potatoes. Moreover fish ponds wzth controlled<br />
in and outflow could be installed; there were areas for tree cmps<br />
requiring varying anaunts of shade; and a suitable spot for a piggery<br />
close to a water source existed.<br />
The long range (3 yr.) plan for this farm included development<br />
of vegetable and tree nurseries, demonstration crops, fish and tree<br />
farming, a supply warehouse, lodging for ten famer trainees, and<br />
provision of technical assistance and other inputs to a number of<br />
satellite production farms encouraged to start up on adjacent sites.<br />
One such adjacent site of 300 acres appeared suitable for fodder<br />
grasses to be used by local cattle dealers in need of fattening range.<br />
The track front loader, the leased Massey Ferguson farm tractor<br />
and attachments, and one power tiller were moved to the site to start<br />
clearing, tilling, levelling, and constructing ditches, buns and ponds<br />
according to an agreed upon land use plan. Meanwhile vegetable and<br />
tree nurseries were prepared and planted and fodder grasses recommended<br />
by Liberian A~ricultural Coqorat ion (LAC) were transplanted on test<br />
plots.<br />
A Ministry of Agriculture Research Station advisor requested PFP<br />
to conduct European potato trials on this farm because supplying the<br />
demand for potatoes required substantial importation, and upper Nimba<br />
County ras considered one of the few Iocations in Liberia <strong>with</strong> enough<br />
elevation and evening chill to support potato growing. Under care-<br />
fully controlled conditions, trials of ten varieties were carried out<br />
<strong>with</strong> promising results for four out of the ten.<br />
h o local farmers, encouraged and approved by PET, started<br />
satellite production lams for vegetables, cereals, fruit tree<br />
cmps, and various beans and tubers suitable for animal feeding.<br />
A supply and tool warehouse was constructed and the foundation slab<br />
for the piggery poured. Access roads, water canals and fish ponds were<br />
roughed out.<br />
-<br />
Initial vegetable and cereal trials indicated that wre extensive -<br />
insect control and soil sterilization would be required. United<br />
Nations specialist advisors from the University of Liberia farm took<br />
affected plant and soil sanrples for pathological analysis and sub-<br />
sequent control recommendations.
A stratem evolves for aelectina farmers and rural devel'aument<br />
qrouos to assist 1<br />
PFP learned the hard way that in selecting a farmer to as-<br />
sist, the fact that he had good land wirh irrigation potential<br />
and a good record as a farmer was not enough. Approval of PFP's<br />
selection by the village, clan and paramount chiefs, as well as<br />
by the Ministry of Local Government, was a1 so required, If<br />
these approvals were not obtained, the PFP assisted farmer<br />
would face all aanner of mysterious obstacles and social prob-<br />
lems.<br />
Rsrever tire consuming, there was na wa? to avoid the<br />
lengthy meetings and discussions <strong>with</strong> traditional authorities<br />
prior to selection of an individual farmer, or a farmer group,<br />
to be the recipient of PFP agricultural development assistance.<br />
Frequently tradirional authorities felt that other projects<br />
should have priority over farm iqmvement. PFP was requested<br />
to assist in installation of primary schools, dispensaries,<br />
adult education programs, improvement of vehicle access roads<br />
by culvert and bridge construction, and preparation of village<br />
market sites.<br />
PFP's strategy was to listen to such requests and help to<br />
estimate the costs involved. Village authorities were encour-<br />
aged to fprm "Village Development Committees" and to start<br />
raising money and organimins self-help labor groups. As tradi-<br />
tional authorities began to know PFP better, development com-<br />
mittes brought funds into the PFP office for deposit and con-<br />
ducted meetings in the PFP office to establish priorities and<br />
authorize expenditures.<br />
In the position of trusted advisor to a Village Develop-<br />
ment Committee, PFT cauld get the members to include some ag-<br />
ricultural development pmjects along <strong>with</strong> other desired amen-<br />
ities. On a number of occasions it proved advisable to assist<br />
<strong>with</strong> the committee's om priority projects before sugffesting<br />
income generating agricultural development.<br />
One committee rented a bridge to their village so that<br />
trucks and taris could reach the village on market days. Al-<br />
though the self-help labor and fund raisin^ fell far short of<br />
that promised, PFP completed the bridge as a contribution to<br />
the village. The day after the bridge opening ceremny, a Pfl<br />
vehicle attempting to cross was stoppd by the chief, rho had<br />
rlaced himself under an umbrella on a folding chair in the<br />
middle of the bridge, and asked to pay a 251 toll. This evi-<br />
dently was the village chief's om -ray of converting an in-<br />
frastructure develoPatent into an income generating project in<br />
order to satisfy the PFP advisors.<br />
'<br />
-
On other occasions PFP, the P?3CA, and the Yekepa Rotaq<br />
Club joined forces to assist villas development cormnittees<br />
to construct and furnish schools, open dispensaries, impmve<br />
roads, install latrines, and conduct evening adult literacy<br />
courses. While these activities rere contributive to develop-<br />
ment, they rese looked upon by P P as essential steps in win-<br />
ning the confidence of the rural people rho would later be pr-<br />
suaded to increase their agricultural productivity.
Aericultural extension services are re11 received and effective<br />
bring early experimentation in 1974, groups of local far-<br />
mers were brought in to observe the PFP irrigated rlce project<br />
in Yekepa. Ten such farmers who ranted to try irrigdted rice on<br />
their own plots had adequate rater sources. PFP's advisors car-<br />
ried out survey and land development planning and started these<br />
farmers preparing dams, canals, paddies and buns. The work was<br />
done using local hand labor equipped <strong>with</strong> shovels, wheelbarrows<br />
and other tnols borrowed from PFP. These farmers prepared small<br />
irrigated rice paddies and planned to add approximately one quar-<br />
ter acre of paddy each year.<br />
PIT inputs such as seed, fertilizers and insecticides were<br />
issued OR credit and paid for after harvest in bags of rice.<br />
The constant demand made a bag of milled rice equivalent to<br />
cash. On occasiona, the farmer would be loaned up to SlW to<br />
buy toola, hire day labor and pay for milling and transport.<br />
As PFP grew in its capacity to provide agricultural ex-<br />
tension, the credit system nas formalized. S3,000 of the aecd<br />
capital loan fund was approved for small loans to farmers (max-<br />
imum $300 to any one farmer) to be administered by the PF'P ex-<br />
tension workers.<br />
Progress made by these original ten farmers led to the<br />
~onclusion that more total rice production could be induced<br />
via small farmer extension service than via lar-r and more<br />
difficult to aanage collective type farms.
A farm machinery and e~uioment center is established<br />
PFP's earliest requests for technical information on mall<br />
enterprise technology and agricultural equipment for small far-<br />
mers were to the International Rice Research Institute (IRRI )<br />
in the Philippines, to Intermediate Technology Development Gr-<br />
oup (ITJIG), London, and to Volunteers in Technical Assistance<br />
(VITA), USA. A11 have been responsive and helpful. IPIU aug -<br />
gested that PFP should consider producing low cost motorized<br />
roto-tillers and other farm equipment according to simple IRRI<br />
designs tested and found satisfactory by small-scale rice far-<br />
mers elsewhere. Because Liberian subsistence farmers have no<br />
source, or experience, of animal traction, PFP decided to pur-<br />
sue IRRI's suggestion and obtained prototypes of the proposed<br />
tiller for testing fn upper Nimba. . .<br />
Meanwhile FFP had been accumulating intermediate technol-<br />
ogy farming equipment such as foot treadle rice threshers,par-<br />
boiling drws, water pumps, stump pullers, insecticide spray-<br />
ers and harvesting knives as well as some advanced technology<br />
equipment such as a Yanmar diesel power tiller, a Caterpillar<br />
track front loader and a leased Massey Ferguson 135 tractor<br />
<strong>with</strong> plowing and discing attachments* PFP purchased some of<br />
these items and collected and repaired others from scrap yards.
During PFP'a third year it became evident that a shop and<br />
-bile repair facility for agic~ltural IUaChinery and equipment<br />
rould be needed to:<br />
- service and repair<br />
- modify and test<br />
- design and produce<br />
- train Liberian agricultural mechanics<br />
Since this mrk had been centered at PIT". industrial es-<br />
tate in Yekepa, it ras logical to arrange With Atlmtic Autow-<br />
tive Services (the tenant) to allocate apace in the estate shop,<br />
storeroom and yard for PFT to operate an agricultural machinery<br />
and equipment center. According to this arrangement, PPP<br />
use Atlantic's machinery and equipment for experimental TO& on<br />
agricultural items and for training apprentice mechagica. ~lm,<br />
when production of ag~icultural machines or equipment should become<br />
essential to development, or e~onomically fraaiblr,or both,<br />
then Atlantic Automotive Services muld be given the opportunity<br />
to undertake manufacture and assembly.
PEACE CORPS VOW- S I G ?<br />
TO PFP<br />
P3ZE UXSQN, ADDISON SALiEXS,<br />
Construction Specialist laad Utilization Specialist
SFTOND AND THIRD YEAR O'lXER ACTIVITIES<br />
PFf continued to engage in development activities which would<br />
not be classified specifically as industrial, commercial, or<br />
agricultural. These were:<br />
1. Provision of credit and emerimental investment<br />
In summary, results of operating the seed capztal loan fund,<br />
providing lines-of-credit from program funds, and guaranteeing<br />
bank loans, were approximately as follows:<br />
In its three operational years PFP had extended credit,<br />
loaned, or guaranteed bank loans to 12 entrepreneurs and the<br />
Yekepa W A . These credits totalled 573,000. The largest were<br />
915,000 to National Uoodrorks; 513,000 to Jenkins Dunbar piggery;<br />
99,000 to Ajavon Poultry Farm; and S8,OCO bank loan guarantee on<br />
behalf of Jones Electrical contractor; and a $6,000 line-of-credit<br />
to James Tabla farm supply store. All othem were less than 53000.<br />
Two borrowers had fully repaid. A11 others except one were making<br />
repayments on schedule. Olma '77 diner owed PFP $2,948 and was<br />
listed as delinquent, but not written off. Ajavon Poultry Farm's<br />
monthly repayments had been reduced and rescheduled to effect full<br />
repayment in 5 instead of 3 years.<br />
In program funds to finance experimental projects which turned<br />
out to be poor investaents, or projects which did not become viable,<br />
PFP m t e off a total of S35,CQO ($20,000 spent on the irrigated<br />
rice, nixed vegetable and tree farm, and 513,000 on Humble's Inn).<br />
2. Cuttincton Collew student intern urosram<br />
king the summer break, fmm July 1 through, August 7, six<br />
students came to Yekepa in 1976 and 1977 for employment as student<br />
interns in local enterpriaes such as Nimhaco, Nonitco, Buff Bakery,<br />
National Yoodrorks, and hmco. hmco provided housing. PFP<br />
directed the program, arranged the employment, and organized an<br />
evening discussion and observation seminar program for the students.<br />
Cuttington's Business Administration faculty and local entrepreneurs<br />
who provlded employment all agreed it was worthwhile and should be<br />
continued. PFP learned from this program that entrepreneurs in<br />
Yekepa were receptive to any method of attracting employees who had<br />
the edueatioq and ethical training provided by Cuttington College.<br />
3. Contractor trainlns? and rural indusfrv'develoument<br />
In mid-1977 the US Peace Corps assigned volunteer con-<br />
struction specialist Peter hason to PFP. He started ime-<br />
diately to rork as advisor to several -11 contractors who<br />
had attended Pn's earlier contractor course and shorn gm-<br />
th potential since. One project which could be classified<br />
a8 on-the-job training for a promising rural contractor was<br />
improvement of a prima- school in the rural village of<br />
Giaapa. The materials for this impmvement were provided by<br />
a pant from a special development fund admxnlstered by the<br />
American Ambaasador.
Discussions were started <strong>with</strong> Lamco's General Yana~r<br />
and Chief Civil Engineer concerning the spinning off of non-<br />
Lamco work. fomerly uadertaken bp the company's Civil Engineerinr<br />
~~~~~ ~ - Denartmeat, . to local contractors rho rould be organized.<br />
assisted and advised by PFP.
4. Miscellaneous Volunteer Work<br />
A l l rives of PFP staff members, except those fully er-<br />
ployed,engaged in volunteer development projects.Mrs.Butler,<br />
a silk screen cloth printing specialist, worked full time<br />
<strong>with</strong> Y-Craft; s O e i 1 1 wife of PW's first Agricultural<br />
Advisor, divided her time between Y-Craft and small enter-<br />
prises needing temporary.sales assistance; and Hrs. Taylor,<br />
wife of the Accounting Advisor, conduct& evening adult li-<br />
teracy cnurses in Grassfields and Gbapa.<br />
PFP's General Manager served as President and Board Mm-<br />
her of Nimba Rotary Club, as member of the YXCA and Y-Craft<br />
Boards, and on committees involved nth community social<br />
services and improvement projects. Uherever and whenever PF'P<br />
staff are requested to speak, consult or advise, an effort<br />
is made to respond positively. PFP staff members have serv-<br />
ed on discussion panels at the University of Liberia, as<br />
guest speakers at Peace Corps Training programs and as con-<br />
sultants to other mining companies' comnity viability ef-<br />
forts.<br />
Conclusions Discussed<br />
During the second and third year of operation,the Govern-<br />
ing Council became increasingly active in giving direction to<br />
PFP's programming and budgeting, in monitoring progress, and<br />
in constructive recommendations leading to Liberianization of<br />
the PFP staff and eventually of the overall cornunity viabili-<br />
ty function which appeared to have application to other con-<br />
cession areas as well as to Lamco's.<br />
Some members felt the Yekepa Experiment should be allow-<br />
ed to progress at the pace and on the course already establi-<br />
shed, and others believed that the Liberianiaation and insti-<br />
tutionalization should be accelerated.<br />
All agreed the experiment was making progress and should<br />
be continued. Also, the consensus was that the Yekepa Erperi-<br />
ment's first three years were promising enough to be mitten<br />
up as a model for application to concession areas elsewhere.
OUTtOOK FOR THE NEXT TUO YEXRS<br />
With the hope that agencies funding the Yekepa Experiment<br />
would consider it worth continuing, a full program for the next<br />
tm years was projected. A11 second and third year program ele-<br />
ments and activities rere to be continued or augmented. Efforts<br />
to attract foreign sponsorship and technical cooperation for en-<br />
terprises in Yekepa rere to be intensified. Againat the possi-<br />
bility that funding might be reduced, an alternative budget re-<br />
flecting donor preferences and one third less general program<br />
support also had to be projected.<br />
One donor aeencr may be unable to continue financial auowrt<br />
Unfortunately, KEVX-ILRR( ( Swedish Association of YW and<br />
YMCAs ) #bay be unable to obtain funding from SIDA (Swedish In-<br />
ternational Development Authority ) to continue support of the<br />
Yekcpa Zxperiaent beyond the three years already funded. Reasons<br />
given reflect the prevalent opinion of government technical an-<br />
sistance agencies that, " any program mrth supporting in Afri-<br />
can development should be institutionalized or become self-su-<br />
fficient in no longer than three years ". While the XFWX-KFUW<br />
SIDA funds have been essential to the program, it has been c-<br />
qually important to maintain the high level of participation and<br />
moral support afforded PFP by Scandinavians working for Lamco<br />
who felt confidence knowing that the Smedish Government support-<br />
ed the Yekepa Experiment. The staff conducting the experiment<br />
has had an international flavor which pcluded ideological mo-<br />
tivation. nether or not XRlK-PTUn support continues, nothing<br />
dould detract from the value of the funding and support already<br />
provided.<br />
Reducine the budeet alters W ' e caoabilities<br />
Vith the possibility of general program funds being redu-<br />
ced by oae third, staff cost reduction became ismediately essen-<br />
t1al.m rill not replace the Swedish Economist/Coarrercial advi-<br />
sor, the American Agri-businesa Advisor nw the Dutch Forestry/<br />
loodrorlcing Specialist; all of whom finished their tours in the<br />
last half of 1977. Overseas staff in 1978-1979 rill include a<br />
General Manager, poaslbly an Accounting Advisor, two or three<br />
U, S. Peace Corps volmteers and occasional short-tern consult-<br />
ants. One agricultural mechanic apprentice rill be added to the<br />
exiating Liberlan staff of seven. PFP's capaczty to assist indu-<br />
strial and coraeercial enterprises rill be seriously reduced, rb-<br />
ile capacity to assast agricultural and rural developsent proj- -<br />
ecta rill be augmented. Vith the exception of kco, donor agen-<br />
cies tend to support this change in emphasis. It appears diffi-<br />
cult for personnel in these agencies to comprehend that the Ye-<br />
kepa Erperiment has ob~ectives which do not always coincide wi-<br />
th those of typical Afncan development programs. For example ,<br />
"making Yekepa a viable cityn is not entirely consistent <strong>with</strong><br />
"reaching larger numbers of the rural poor". Andncrsatfng xndua-<br />
trres <strong>with</strong> a multi-mllllon dollar aggregate sales potentialndoes<br />
not colncide exactly wlth " achlevlng tntal Libermnization of<br />
PfP m three years or less ". 101
The propram for 1978-1919 incornorates exoedient chances<br />
PFP's 1978-79 proqam is not ideal for achievement of the<br />
original Yekepa Experiment objective. It is an eqaedient pro-<br />
gram reflecting donor agency priorities, Liberianization eapha-<br />
sis and the possibility of reduced funding. Because funding Zor<br />
aqricultural, handcraft and rural developmeat is more easily ob-<br />
tained, these elenents of the program rill be augmented, rhile<br />
assistace to larger enterprises will be phased back to Janage-<br />
aent consultation. Lirect PFP accounting involveaent rill be<br />
limited to enterprises which are new or in foraation. Technical<br />
assistance to industrial and commercial enteqriaes rill be avai-<br />
lable only if the enterprises can afford to import short-ten<br />
consultants. Aspiring entrepreneurs rill be.encouraed but rill<br />
not be assigned to a qualified business advisor for intensive<br />
start-up assistance as in the past.<br />
Increased renortine burden reduces productive staff time<br />
The aforementioned anticipated changes in program and op-<br />
erating strategy also reflect the increasinq burden on the PFP<br />
staff of reporting requested by the donor agencies and Gavern-<br />
ins Council. At present, progress reports, program projections,<br />
budgets, requests for funding and financial statements take sore<br />
than one quarter of PFP's senior staff and clerical time. With<br />
the projected mix of specific project.3rants from additional sup-<br />
port agencies, the reporting load rill increase because each a-<br />
gency requires a different type of reporting. In anp one quarter,<br />
for example, PFPfiiberia aust prepare and distribute the follow-<br />
ing reports, some to as many as 25 recipients:<br />
Progress report on the over-all pro-<br />
gram <strong>with</strong> details on each enterprise assis-<br />
ted and project or activity undertaken.<br />
Breakdown of staff time and cost by<br />
enterprise assisted and project or activi-<br />
ty engaged in.<br />
Table of objective achievement list-<br />
ing enterprises assisted, jobs created,per-<br />
sonnel trained, new projects started,sales<br />
volume of agricultural and non-agricultural<br />
enterprises assited and amount of invest -<br />
ment attracted. This table must also show<br />
cuaulative results since the Yekepa Zxper-<br />
iment started, revised projections for the<br />
next follow in^ quarter and for the next<br />
three years.
Program projection for the next f'ol-<br />
lowing quarter, i..cludinrr in detail, obje-<br />
ctives of assistance to each enterprise,-<br />
ticipated achievement, objective of each<br />
proposed project and activity, estimated<br />
number of people directly and indirectly<br />
benefitting, proposed use of staff and ra-<br />
tionale for same.<br />
Financial reports including balance<br />
sheet, income and expense statements, loan<br />
fund status, relevant schedules of receiv-<br />
abf es and payables and vouchers support ing<br />
all expenditures in excess of $25.<br />
Budget for the next quarter reflecting<br />
minxmum income, maximum income and expected<br />
income (income is never assured because<br />
minor inicidents such as delayed<br />
mail or verbal obse~vations of an evaluator<br />
can cause changes in grant payment<br />
schedules and funding commitments).<br />
Condensed versions of progress and<br />
financial reports, projections and budgets<br />
for distribution to various boards.<br />
Foreign employee report <strong>with</strong> details<br />
of employment terms, visa and work pennit<br />
dates and numbers.<br />
In-kind input distribution report<br />
liating distribution of agricultural equi-<br />
pent and supplies by recipient including<br />
payment terms and physical inventorg at<br />
beginning and end of quarter.<br />
Technical agricultural reports of<br />
progress on variety trials and equipment<br />
emerimentation for specific donors, re-<br />
levant GDL departments, cooperating agen-<br />
cies and need suppliers.<br />
These are not all of the repnrts PFP must prepare.<br />
TBete are anaual reports, audltors reports,feasibility stu-<br />
dies, meeting agendas and minutes and special rsquest re-<br />
ports which must be compiled, duplicated and distributed . -<br />
As one staff member put it, " Does PFP rant to nake prog- -<br />
ress or report progress ? We haven't time to do both. "
Cnnclusions discussed<br />
For the first three years of the Yekepa Experiment, PFP<br />
staff memhers.after a settling in period, worked <strong>with</strong> unusual<br />
dedication because they understood and believed in the objec-<br />
tive. A11 felt that they were participatins in an experiment<br />
which. if successful, would make a cnntribLtion toward correc-<br />
ting an unjust pattern of human exploitation which had been<br />
tolerated too long.<br />
Some staff members came to PFP prepared to distrust all<br />
multi-national concessionaires, especially mining companies.<br />
Those who had worked before on development projects near oth-<br />
er concessionaires in Africa we= familiar <strong>with</strong> " token devel-<br />
opment activities" and the typical, highly-publicized, sinor<br />
contrihutions concessionaires make for political favor. These<br />
same individuals later praised Lamco for its genuine efforts<br />
to create lasting development. They rated hmco as " head and<br />
shoulders" above any concessionaire they had observed in Af-<br />
rica.<br />
In recent staff meetings to discuss the Yekepa kkperi-<br />
ment's next three Years, there is genuine concern that the<br />
experiment is somehow beins eroded and turned into ''just an-<br />
other mderately effective development prngram". The satis-<br />
faction inherent in seeing companies like Sational Woodvorks<br />
grow from small artisan shops to industries keeps PW male<br />
high. PFP is known as an imolementine agency and compared fa-<br />
vorably <strong>with</strong> agencies which are known as study and recommend<br />
agencies. There is concern that PW's reduced capacity to ad-<br />
vise by actual participating assistance rill adversely affect<br />
its progress toward achievement of the viable coararunity ob-<br />
jective.<br />
The staff recognizes and appreciates the constructive<br />
role of the agencies which have supported the Yekepa Exper-<br />
iment so far and hoper that these agencies rill enable PFP<br />
to capitalize on the promising three year start and continue<br />
this unique and important experiment.
-.<br />
Recommendations to follow are addressed to officials of<br />
Governments hosting concessions and multi-nat ional ventures,<br />
and to officials of companies operatinc, or proposing to<br />
operate, as concessionaires in developing nations.<br />
The first recommendation is to read "The Yekepa Hadel"<br />
because subsequent recommendations are derived from the<br />
experience described therein.<br />
Crestine a viable community should be renarded as a urimarv<br />
paraose, not as a poasible br-product, of the concession venture<br />
Creation of a viable community which can be sustained after<br />
the concessionaire departs should be the jornt responsibility<br />
of the concessionaire and host government. A plan to achieve<br />
comnity viability, and a relevant time schedule and budget<br />
should be presented as part of the investment proposal in<br />
the concession apreeaent. The proposal should be subjected<br />
to the scrutiny of capable and impartial consultation to<br />
assure its practicability. Implementation of the plan should<br />
be given high priority and scheduled to begxn when the<br />
concessionaire starts operation.<br />
An experienced develonment aeencv shotild be invized to manaee<br />
the viable communitp prowam<br />
A number of conce~lionaires endeavor to manage their om<br />
community viabiIity programs. There are several reasons WM<br />
this doesn't work as well as getting a development agency to<br />
manage the program. These are:<br />
a) when the concession coatpany manages the commnity viability<br />
effort, the company becomes more dominant instead of less<br />
dominant, and local citizens tend to "let the cosrpany do<br />
the mrk" instead of developing initiative and self-reliance<br />
h) concessionaires are profit-slaking enterprises, therefore<br />
they are not eligible for assistance from government and<br />
non-prof it sources of development financing<br />
c) a company managed community viability program is suspect<br />
because it appears to be an effort to increase profit by<br />
gottins lor cost goods and services for the company and<br />
employees<br />
d) concessionaires usually assign one executive to community<br />
: development who is regarded as "humanitarian" and therefore<br />
conversely "doesn't work well <strong>with</strong> our no-aonsense management<br />
group". Cnfortunately his removal from line authority often<br />
renders him powerless to get the cooperation the program<br />
needs from the company<br />
e) the community viability program should be designed and managed<br />
by experienced development personnel who spend full-tlme on<br />
the program and cultivate the confidence of the local cltizens<br />
on whom success will eventually depend
Publicize- the procram thorouehlv<br />
There is so much opportunity for misunrlerstandinq a com-<br />
munity viability pm.vam, and as a result, for local authori-<br />
ties and citizens to feel resentment and set up mad blocks,<br />
that it is vorthrkile to publicize the propram thoroughly.<br />
Pub1icit.v should describe the pro.gram, its purpose, how it<br />
will be carried out, and stress that it is the local resi-<br />
denfs own pmqram, not the concessionaires, and that it has<br />
been apvmved by the host guvernment. Publicity should also<br />
define what type of enterprises or agricultural ventures are<br />
eligible for assistance and how, where. and what kinds of as-<br />
sistance may be requested.<br />
In addition to local publicity, the proposed p r o w<br />
should be written up and distributed to agencies which mi&<br />
be willinq to underwrite part of the cost. In preparinq such<br />
requests, it helps to have a few photogenic experimental pro-<br />
jects already underway. These shor~ld be labor intensive,<br />
should involve women and if possible, should include handcraft<br />
development. They should be projects a visitor rould enjoy see-<br />
ins. A noisy sarmill employin_s 160 mrkers rill not ereate as<br />
much good rill as a small artisan enterprise in which three<br />
women are weaving country cloth on a hand loom.<br />
Yake sure that practical advisors are recruited and hjred to wn<br />
the uroeram<br />
Community viability pm.vams require a lot of doinc and cxperi~entation<br />
as opposed to schnlarly study pmducins recommendations<br />
which, thourn sound, never seem to set implemented. An<br />
advisor might be presentinp a proposal to the concession Board<br />
in the morning and up to his raist in mud testing a rota-tiller<br />
the same aftemnoan. Advisors <strong>with</strong> educational qualifications but<br />
little work experience seem unahle to cope <strong>with</strong> the ride range<br />
of activities they must enpage in tn be effective<br />
Advisors should be encouraged to become part of the connunity,<br />
to join businessmen's associations and clubs and to voluateer<br />
for cornunity service projects such as decoratinq for<br />
Christmas, orqnizing children's festivals and supervising .voung<br />
adult recreational prnprams. While propm priorities should be<br />
stressed. a creative individual advisor may come up <strong>with</strong> a "new<br />
approach" or a previously unidentified business opportunit.v<br />
which is not included in the profram projection accept& by<br />
donor agencies. It is better to turn the advisor loose <strong>with</strong> his<br />
om concept or project than to restrain him and eventual!r discouraae<br />
his initiative. Moreover, it is much easier for a program<br />
aanacer to pull the reins evey so often than to have to<br />
huild a fire under the advisor every morning to get biwher<br />
aovinz. Constructive deviations from the projected pro- ram are<br />
usually accepted in pod faith by bverning Council.= or donor<br />
apnci~s. provided thcr are successful.
Development boils down to ~xchanqe of informat ion and ideas<br />
and transfer of enthusiasm from one individual to another. It<br />
takes place more readily if both individuals are enjoylng them-<br />
selves. An advisor who feels frustrated will transfer that feeling<br />
to his client and be less effective.<br />
Orpanize the develovment azencv for the .job to be done<br />
Normally enterprises to be assisted can be categorized as<br />
industrial, commercial or agricultural. Other development<br />
activities are mostly in training, education and disseminatin~<br />
infomation. Advisors will tend to be specialized by functional<br />
activity such as a mechanical maintenance, construction,<br />
financial management, technical management, or market in^;. Some<br />
client enterprises will require the services of several advisors<br />
It would appear from the experience in Yekepa that the develop-<br />
ment agency organizationally should be divided into two sections:<br />
1, Industrial, commercial and other services<br />
2. Agricultural, Agri-business and Rural Development Services<br />
Advisory sesvices to industrial and commercial clients are<br />
more effective when responsibility for each c1i.ent1s welfare is<br />
delegated to one advisor who can provide the services the client<br />
appears to need most. The advisor In charge, can then enlist the<br />
participation of other advisors as needed.<br />
Control the amaunt of innut into the oroaram<br />
It is possible for the concessionaire's good intent to<br />
get the community viability program into difficulty. For example,<br />
the program will probably include some agricultural<br />
development on land cleared for the purpose. The developing<br />
agency managing the program may have worked hard to motivate<br />
a group of fasmers to clear the land by hand labor as a first<br />
step in the process of learning to participate in self-help,<br />
cooperative endeavor. The concessionaire's civil engineer observes<br />
the project and decides to make a contribution to it.<br />
He sends a Caterpillar D-8 tractor, <strong>with</strong> operator, which completes<br />
in one afternoon the work which the fanners had planned<br />
to complete in two weeks. Wile the contribution advances<br />
the project, it creates a problem. A few nmnths later the development<br />
agency is trylng to organize a self-help swamp clearing<br />
project. Some of the same farmers are involved. When they<br />
appear reluctant to start the work, the reason comes out as<br />
fol lows, "The work too hard, bring hul ldozer."<br />
Unfortunate1 y,<br />
sramp clearing cannot be done by machme. This is only one<br />
example of the need to control inputs.
It is possible for the community viability proqam to be too<br />
re11 financed. If mney, advisory services, and equipment are<br />
doled out too lavishly, the community ia apt to become as dependen-t<br />
on the development aqency as on the concessionaire. In any develop-<br />
ment effort aimed at creating sustainable proqress, there is a fine<br />
line hetween too much and too little input. Only experience rill<br />
identify this line in each situation. Advisors usually develop a<br />
sensitivity rhich helps them to recognize the difference betreen<br />
"pushing too bard" for achievement of an agency perceived coal, and<br />
"encouraging and assisting" local citizens to achieve pals of their<br />
om perception.<br />
Another illustration of the need to control inputs is in the<br />
foregoing text. The good intent of the concessionaire in exfending<br />
credit to an ailing enterprise increased the dimension of the problem<br />
and delayed corrective action.<br />
Perhaps it is possible to move precipitously, <strong>with</strong>out adequate<br />
study and planning; but more often projects requiring the participa-<br />
tion of several agencies get bogged down because each agencr delkvs<br />
decision by asking for an "analysis of the political and ideological<br />
implications"; a "more thorough investigation"; "more detailed<br />
feasibility study"; or a "more complete achievement time-table".<br />
Development consultants can identify agreed upon goals; rough out a<br />
propam; describe hasic strategy; and outline an implewnration plan.<br />
They can also make an educated estimate of the annual budget. .Asking<br />
wre from them is forcing them to he irresponsible, at best, and<br />
possibly to be dishonest.<br />
The reason programs involving enterprise development cannot be<br />
projected in detail is that the natuie of the process is to be responsive<br />
and motivational rather than directive. Therefore no one can project<br />
in detail exactly the form in rhich development rill take place,<br />
Before any entrepreneurial endeavor becomes a specific development project<br />
to be assisted, many unpredictable feasibility elcarents must fall into<br />
place. There must be a market, a saleable product, required technical<br />
capability, a production facility and possibly transportation as =ell,<br />
start-up capital, entrepreneurial motivation (rillingness to risk), a<br />
competent advisor, and, above all, aenagerial talent. If, after visiting<br />
a development site for a few days and talking <strong>with</strong> several local<br />
citizens, a consultant professes to he able to forecast den, and hor<br />
may times, and specifically for diet enterpriscs, all these feasibility<br />
elements rill be in place, tben the consultant is probably being<br />
pressured by the belief that program support rill not be -tcd unless<br />
he makes highly imaginative projections. - -
Ideological and political implications are not relevant<br />
to the job to be done. Whether the host government leans toward<br />
cooperative and parastatal enterprise or private enterprise<br />
doesn't mtter. Enterprise rill still have to be managed<br />
efficiently to make a contribution to development. In fact,<br />
cooperative and state sponsored enterprises require more sophisticated<br />
management than private enterprises because decision<br />
making in them is cumbersome.<br />
Political oratory about exploitation, unrealistic dearands<br />
concerning the replacement of expatriates, and over-opti -<br />
mistic promises of achievement may have the impact of temporarily<br />
slowing up development progress, but these are also irrelevant<br />
to the job at hand. There are no short-cuts, nor any<br />
oagical solutions to improving living standards. Living standards<br />
improve along <strong>with</strong> ability to increase productivity and<br />
become self-reliant. Assisting in this process as a " partner<br />
from overseas " is a satisfying and enjoyable kind of work.
- ------ -- -.-------. -- _ - _ -. .________<br />
CIxb P. 8uQr<br />
Galc/o<br />
Luneo I.V. b -YdLagl<br />
E0teSlmavrra.l~<br />
!.i&N<br />
PF'P has prepared a report based on its experience in Yekepa.<br />
The report is entitled, " Realizing the Dcvelopent Opportunity Creat-<br />
ed by an Iron-ore Mining Concession in Liberia ". The purpose of the re-<br />
port- is to help other governments and concessionaires to design community<br />
development pr.ogarns.<br />
PFP would like the repart to be as realistic as possible. Therefore<br />
re are asking for permission to use the example of your enterprise in the<br />
attached text along <strong>with</strong> some relevant photographs. Please sip opposite<br />
the name of your enterprise if you agree that the text is a fair presen-<br />
tation of its progress and its experience <strong>with</strong> PFP, and thereby grant us<br />
peraission to publish and distribute the report.<br />
Thank you in advance,<br />
Ajamn Poultry Farm<br />
Buff Babery<br />
MCA-<br />
Daila dswc.<br />
Cuttington College<br />
Elu. Contractor<br />
Workers lunch mom<br />
Cinema<br />
Nimbaco<br />
Hanitco<br />
National Woodworks<br />
NRCC<br />
Olma '77<br />
Jelco<br />
?i . Xilton Supermarket<br />
Humble's Inn<br />
J. Dunbar Pigpry<br />
Atlantic Hators<br />
Fara Supply Store<br />
Lamco<br />
Person to sizn<br />
F. Ajaron<br />
S. Hamn<br />
0. Alnesjo<br />
D. Kihkpin<br />
.* zuu<br />
E. n01mes<br />
n. C~OPCI.<br />
C. Preenran<br />
J. Uughes<br />
J. Kromah<br />
8. Houston<br />
B. nouston<br />
P. us0<br />
D. Joaes<br />
X. nilton<br />
J. Collins<br />
J. Rwbar<br />
8. Kulaik<br />
J. Tabla<br />
8. Astrand<br />
-
(Is of Dec. 50, 1572)<br />
ktsmzl Prozzress<br />
- staff tr?a ad Liber',ac;izatioa<br />
- stzategy development<br />
- operating efficiency<br />
- capaci- to serve 2nd ex;?=&<br />
- limes <strong>with</strong> other ae2cies<br />
- fund rzising<br />
- event& iasti'=i;tioralization<br />
- tvduztion<br />
- s- of 1978 Resource Allocation<br />
- PFP heged pro2ects<br />
- eatenrises vsisted by E5Z<br />
- cevelopment aciAi,vities<br />
--i-<br />
- entenrises crezeet? zs 2 zesult oZ ~ 2 2<br />
i?vol-re=ant<br />
Gue stiioa : How i ' has ~ the Yekepz Comdq advacet tow&+ I2s<br />
objective (i-e. econcnic vtabEtj L-m-OE<br />
depletior)?<br />
Objective: Creete emplopent for WC.0 cenos and eaee~rises<br />
wit5 qgzagzte mual income from sales of S50,CCO,C00<br />
per yea to rcn tke carzzmitg.
An organization like 2FPLiberia which will not be Geiznanent<br />
in LiSeria 2nd eventudly will pass on its firnctions to 1<br />
local iastitations, mus~ conslder the internal. develo~nent of its<br />
Liberian staff znO its capacity to work -*:thin the hos~ nation's<br />
overall developent ezfort to be as iapor';ant as the achievement<br />
of specific external. pojecz objectives. Develo~ment is a never<br />
ending process. Bfter an iditid stinulus from outside, the area<br />
concerned must acquire the capacity to initiate and sustain progress<br />
from its own enthusiasm and resources.<br />
Staff T-rejninc and Liberianization<br />
In 1974, when PE?? started, the'permaaent staff was 6 expatri-<br />
ates, (a general manager, and 5 ST. advisors) and 2 Liberians (a<br />
jr. addor and a secretary).<br />
Today the permanent staff is 3 expatriates (a gsn. sgr., an<br />
evaluator, and an appropriate technology advisor) and 7 Liberias<br />
(a deputy general manager and sr. advisor, an accounting advisor,<br />
an office manager, 2 extension workers, a vehicle administrator,<br />
and a heavy-due machine operator.<br />
Xon pemanent staff includes three Peace Cons Volunteers (a<br />
constzuction specialist, a surveyor. and a small business advisor)<br />
and a Liberizn-vegetable ~~ecialist'assigned to i%P by the go=.<br />
of Liberia (GOL).<br />
Liberian staff developent progress has been good <strong>with</strong> re-<br />
spect to the deputy gea. =, and sr. agric. advisor, the account-<br />
ing advisor, and the office manager. It has been fair <strong>with</strong> ;- ,: .<br />
respect to one extension worker and the heavy duty machine opera-<br />
tor. It has been unsatisfactory <strong>with</strong> respect to one extension<br />
worker and the vehicle rlaministrator.<br />
Peace Corps Volunteers assigned to FlW have made e e d<br />
personal developnent progress: for one, it has been excellent; for<br />
2, good; and 2 others left PFP before completing their tours, one<br />
for reasons of job dissatisfaction and the other for personal<br />
reasons unconnected <strong>with</strong> the job,<br />
Staff haring completed their tours <strong>with</strong> PFP and left have<br />
gone on to higher positions or Ugher education as the result af<br />
favordole personal development while eth PFP. - -<br />
Since PFP obtained the full-tine serpices of an evaluator,<br />
st& developnent via staff meetings and periodic discussions <strong>with</strong><br />
staff members on their perforsance (i-e. improved, stayed-the-same,<br />
or deteriorated and why?) has become regularized and more effect-<br />
ive.. = is still, however, a misbum of 5 gears from total<br />
Liberianization,
-aixenoting ts rescxe Lmc3 spk-cf l snte-~zises xEch<br />
were dooned beczuse they were too i~z-gt c& ccrqlox<br />
for the maagerial cepzcitJ of the iijer'ics 0%- -<br />
and operatihz tha.<br />
-starting md operat* an a&zicult~-al ,reject, then<br />
spinninp it off to the workers on the assuq*ioo ZLZ~<br />
they could ma2lzge it cooperz3:vely ad ~,-ofifzbly.<br />
-docat-g- too 1-e a percent ol m's total resouzces .<br />
to enterpri-ses which had exceptfom roaise =a capzcitg<br />
to enploy on the assmptioo tit a iotensive<br />
short te-m inout would get the entenrises stebXEzed<br />
and 2ble to progress on tbeir om.<br />
-assisting rzal farlllezs <strong>with</strong>out first - ~ the a2prc- ~ g<br />
val, confidence, and trust oi' tine town, cla z d<br />
county authoriti5es govednq the fh"3?er's hme tom<br />
a d the allocazion of fam. Lzr?Cs to WJiids.<br />
-respon- too i17-17 to requests bgr -mco, z mjor<br />
donor to -FEPts pogza, to do work -.iScL h d n-ation&<br />
develogmeat significace 'cut was outside Y2e scose oi'<br />
the FFP prcg-2 io Tekepa.<br />
-accep- doror preferences for grant 9'd uses az-5 uaderestiznathg<br />
the costs in gereral 2rcpm expexes<br />
hvolved i?r us- special. project g=zcts, dlso beover-optimistic<br />
about ability to a*act ge=erG<br />
proem f-m&,<br />
Today's strategy rev5siom kve corrected all of the above<br />
dstakes except the last. That one w:ll M e to be co,~ected<br />
i?r 1979 by e sajor decrease in procan actifitis to c; zo~tk-<br />
ly operat- costs mre +&in in half.<br />
O~erdl strate-, a directed by tfie Gov. Councii, UOcates<br />
a such larger percent of totd resocces to rzai deveiop<br />
sent, Rural development stratem req-es the hvolvenenz or'<br />
local authorities and people f=a pro,ject 3lr2.3 ti~-o~@ 1s<br />
campletion. PPE recoeaes the potentid multipker ei'ikct<br />
inherent in demaiistzam t.o ,wii pools w k t tineg cul do ir-<br />
They lee= to plan theLr own projects, ad o-*qa=ize '&ezxselves -<br />
to get work done. -<br />
Iitegated ru~d development o~erzzizq<br />
ef5ciency is satis-<br />
factory. &a1 develomert yrojecta teod TO 5e b~lmen:ec? cr<br />
schdde .&thin pre-detemed COSTS. %is refleczs the aciE7<br />
of PCV David Xeyers.
Construction contractor development and training by experience<br />
also is progressing satisfactorily reflecting the industq and<br />
dedication of PCV Pete Lawson.<br />
Agiculturzl developnent (i.e. demonstrar;ion/trai~ng fzn and<br />
agric. extension servlces to sinall farnefs arc ned2.m scaie anaal<br />
husbandry enterprises) progresses at an acceptable rate bur; te~s to<br />
run up costs in excess of budget because of vehicle and machinery<br />
misuse. Control oi' veiicle operazzon, first 1iae mintenance<br />
performed bg the operetor, and mechzinical awareness (i.e. when to<br />
stop a macMe because further operation will cause serious -age),<br />
all need substantial isprovement. In 1979, if operation of agricultusai<br />
machines and vehicles shotild exceed the anount budgeted for -<br />
the month, the vehicles and machines will have to be deadlined until<br />
more funds are available,<br />
Appropriate Technolog development progress has be.= steady<br />
but slow because much of the effort is expended in getting rhe<br />
Approp. Tecn, Center equipped to undertake a wide range of projects.<br />
The rural industrial experiments have mixed results. Ivhile the<br />
charcoal production enterprise appears viable for its owner, brick<br />
production has had to be discontinued until equipment designed to<br />
produce a lower-cost, higher qualie brick (i.e. a mechanicel clay<br />
mi:~er u?c? a better designed kiln) can be financed, conscsucted,<br />
installed, and put into operation. -0utsi;e consultation also nay<br />
be needed.<br />
?JT assistance and advisory services to industrial and commercial<br />
clients is satisfactory and produces acceptable results in<br />
terns of client enterprise improvement. In terns of meeting the<br />
demand, however, PFk's capacity to arovide essential accounting<br />
advi-sory services is spread thin which tends to reduce efficiency.<br />
Other PEP activities such as student intern programs, loan fund<br />
nrlmini'str&ti9n+ business nanagement trzjlling, fzm supply distribu-<br />
tion, and handcraft development need operat- efficiency -improve-<br />
uent. Although results achieved are bpressive, they are often<br />
achieved at too high a cost.<br />
Cauacirn to Serve and Emand<br />
As of this report, substaotial reductions in support grants<br />
projected for 1979 will necessitate consolidation and a decrease<br />
in capacity to serve,<br />
Wanes With Other Agencies<br />
Linkages <strong>with</strong> nan-govemental and GOL agencies reached a -<br />
peak in 1978, EPP now has- "working link2ges1' <strong>with</strong> County Gov-t; -<br />
Gniversities and 'Pechnical. ~~g Institutions; Mbistries of<br />
Agriculture, Planning, and Finance; all GOL parastatal corporations<br />
and development banks; foreign embassies; Peace Corps; Urn agencies;<br />
major concessionaires; and <strong>with</strong> tbe rrewly formed Burd Development<br />
Tak Force.<br />
&om its start in 1974 uneL1 the end of 1977, rX/Liberia was<br />
able to attract che grvlts necessa?.?. to ?id its program. hlthougl?<br />
grants for 1978 were roughly equd to 1977 in total, the funds<br />
grated were largely for specific project -puts. Grants for<br />
general program expenses such as staff salaies and operatiag ,
^. - i<br />
eqenses -were izsufficient tff'cover the generzl ?rog?a cosi.s k-<br />
volved in hplemenzing rhe specid project iqu,u-;s. %is czeaced<br />
a severe Mcdance in SF funag result-dg in a fezeri pzcgru<br />
cost overrm which wili take of 1979 ad szrt of 19EG ro<br />
wcrk cut of.<br />
It is, however, one of EW's iiiajor objectives fo ztzact<br />
sufEcient ~eneral progrvrr sumort to allow B3F ts ccsglete the<br />
ezparLnent of trgiag to create enougi econonic diversification a ~ d<br />
growth in Gpger Nbba County to offset the even- loss cl' ironore<br />
minbg as tke dominant 3hcome generator. 2i3Lication of a<br />
brochure entitled "Eealiziag the Development 2otenti-d Created by<br />
en Lron Ore Concession in Liberia - The Veke9a Xc&elln<br />
has been a ikst step in this mjcr fuudiag cFrive. A seccod step<br />
will be an inte,mational con-ferecce in 1979 to be -or-sored by<br />
the As?e*r Institate for Humzcistic Stdies. This corteronce is to<br />
be based on the Yekega Hodel a d aized at dt;plicat3z - the zeel,<br />
or sinilzr efzorts wherever depletaSle resource concessicas fbreaten<br />
the futjre welf-e of locd. citizens who have bec~re eve cependent<br />
olrthe income there from.<br />
Zvataal Instiitirtionzlizati-on<br />
Eventuzl inst5tution&zation of EF2 ies been 2 scioject<br />
discussed ii~ Governing Council seetings because all zmibe-s aze<br />
aware that non-go~ernmental qencies carnot ccnthue ts attlact<br />
g,-ent. f a f oram. It is too avly for ?E to be locked *to<br />
an institutionaliz.ition plan. There axre severd possiSiEti=e -"-.<br />
T2e Gov't of Liberia mag create an acency to 5~32~232 tie ecandc<br />
diversification of concession areas. xesponsibilr* for the<br />
functions pesently wried out by Z'P nzg be absozbeC 51 vz-icw<br />
Pliriistrhs to which aach function gertaias. Concei=X.j, 232<br />
could work itsel* out of 2 job. I?I tbt cese its PactLars would<br />
have -shed by attrition to z few. These ziqht be c&en<br />
over by loczl government aut;?orities concerned w%tk progress.<br />
Wuation<br />
P E ks been evaluatizg its ow acMev-aents -A 3rog2ess zeports<br />
to donor agencies and i;l Gow-mi= Council appraisds -<br />
contoed izl the minutes o: ezch neeti-. 9 e report* ks aot .<br />
been as objec*ive as will be req&-$0 in the fu-e by Sono=<br />
agencies. '&ersfore retahed the ~e-~ces of :fr. aoger Zee"or,<br />
a graduate of the Scbool for Intez'nationzl .Bstlp,ti,oq OP zn<br />
internshi? basis sgecSicdlpto evabate the t.ZP groet3 Yskepa<br />
and assist it to overcome silc~con'ngs zevealeL as tke evd~atico<br />
pro&resses. d smmary of FLr. Zeller's e ~ ~ t i ;la= o n k?s bee2<br />
prepzed and -m.bmitted to CSAD in Deceder, ig%. A easy Ls<br />
attacbd bezezo.
ihile eventual institutionalization of FFF ind i-provement of<br />
UpperXimba County's capacity to sustain. a major development t3rust<br />
on its om, are W's ?rir?ory objectives, FF. 's proms6 meanwhile<br />
is measured by'ocbie*em-int of external project goals.: 'Phis section<br />
of the report summarizes the Progress of each externa! project fmm<br />
&en Pt liecams a project until the present; ti!? statue of the pm-ject<br />
today; and the objectives to be attained inthe foreseeable future.<br />
: . . . .<br />
Summary of 1978 -4soureei-Allwation<br />
dericulture and *cural<br />
Demdtraining farm vith extension outreach 3 82,W<br />
Appropriate Pechnology Center and extension 44,900<br />
Rural ueveloparent, Industrial, agricvlture, edueation 45,400<br />
hral low-cost c*utrsctor training 22,000<br />
Student Internships, agrinulture and forestry 7.W<br />
total agriculture and rural $2- (71%)<br />
Industrial and Comercia1<br />
Faterprise creation 18,7M3<br />
hterpriaat,assistance 16,300<br />
Investment attraction<br />
total industrial and commercial $41,000 (1%)<br />
itdministratioa and Overfiead<br />
-Visitor hospitality , 5, BCQ<br />
Office oper2tion plus all overhead not<br />
soecificaUp al'ocatabte 33,XX)<br />
total awn. and overhead 39,300 (14%)<br />
total pcogara expenses s2a2,OoO
I. 3emcnstration/rrainine Farm Kith ?ctension Gutreac!~<br />
The project was started in .ran, 1977. The objectives were<br />
a) to create a mixed fam on which local famer trainees could be<br />
exposed to, and given practical experience in the rriaesr<br />
possible variety of crop pmduc:ion feasible in Cp er Simba<br />
County.<br />
b) to provide an imlerentation oriented fol7ov-up extension<br />
outreacs capable of assistine farmers in irrigated land<br />
preperation and aprlication of inproved faming metho.3 and<br />
of assisting local schools to or~anize ap-icultural clubs<br />
<strong>with</strong> their om aemnstration and training ulots an2 an ma1<br />
husbaadry expericents. 'The purpose of the school effort is<br />
to start the process of change at the most receptive a$e.<br />
cf to test tLe feasibility of local production of animal feeds<br />
and other crons such as muean potatoes for which the<br />
&et dellland requires impartation.<br />
The pmject has bern financed over its two year life ty<br />
wecific-purpose grants from US.--13, =S, GrjL (in kind), and WP inputs<br />
of funds from other saurces inclliding hmco, TACZ, and iLT--ZI..r<br />
(Swedish YX and Fa)-. Yur5ng 1978 financing was apnrorimately<br />
as followi:<br />
P&CT & hmco<br />
total<br />
Froject expenditures in 197P break don approx as follors:<br />
Salaries and wages (4 staff, 2 equip operators, 11 rorkers)fl2,50(?<br />
Capital wrtaaes (buildings, irrigaticn equip, aachinery,<br />
vehicles) 28,300<br />
Operting expenses (supemision, admin, sup lies, fuels, rrpsw<br />
eta) 51.W<br />
~ecoverable imuts inti: extension cfirnts<br />
total
Stat% of the project today is that -che damnstration/<br />
training ?arm at Grassfialds has 19.5 acres under cultiva-cion as<br />
follows :<br />
irrigeted rice 2 acres<br />
upland rrce 4 I7<br />
*ree crops & nurser.^ 1 I,<br />
I,<br />
fish ponas<br />
animal feed crops Oe5 1,<br />
7<br />
vegetables, tubers, seed beds 5 "<br />
Totd 19.5 acres<br />
On the site are buildings:<br />
ladging and classroom for 10 farmers<br />
dultry house (2000 broiler t l qer capacity)<br />
Tool and supply shed<br />
covered a2ea for machinerg 6s equipment<br />
Extension workers re@azly visit 19 active rice farmers<br />
farming a total of 36 acres of irrigated rice an& a estinated<br />
100 acres of upland rice. They have forned agricultural clubs<br />
in 13 rurd schools, each b vhg an average of 3/& acres of<br />
mixed crops. These schools have an aggregzte agricdtural clzb<br />
membershi9 of 300 students.<br />
It is asmted that PET'S danonstration/trainirlg fazu plus<br />
follow-up ertansion has been the pri;ne sotiva-cion increasbg<br />
rice produc~ion in Upper Ximba County by 3000 bags of milled rice<br />
pa. for a total value of $75,000 pea. which ends up as income<br />
to rural farmers.<br />
mere is no way to estimate -2 notivated increzsed in grain,<br />
legume, tuber, ad tree crops except to note that 2EP sales to<br />
fanners and distribution to schools of tools, equipment, fertili-<br />
zers, chemicals and seeds has increased since 197L from an average<br />
of 4500 p.a- to &,600 in 1978. Also, farmer denzad for tree<br />
seedlings i21.1978 caused LMC to opec an arboritum h Cugbwe, the<br />
first in Gppsr Nimba Couty.<br />
\&la Laakeh 1'1ulti-Eurpose h'amners Cooperative stzrted up<br />
<strong>with</strong> ST assistance, now has 81 farmers menbers, is registered,<br />
and in NOT '78 obtained the Liberia Produce liarketing aoar3.<br />
agency status required to start business.<br />
PFP assumes credit for projectad produc.cion fron ambar and<br />
Dunbar Piggem, 35,000 lbs of pork seat p.a. for an annudl seles<br />
of ;pLF3,750 and for actual production fro2 A.avon Poultry 3%- -<br />
;i40,700 p-a. in table birds (90%) and eggs ?LC%). Credit is -<br />
assumed by PFP because both farms were started as a result of<br />
EFP encoqeoent and loans.
a) to train and povide extension I'ollow-~i bpleae?li;atim<br />
assistance to jO selected loca Zzzers 9.2.<br />
b) to fors wor-g md l e a a-cultu=al clubs h 4 new<br />
rural schools p.2.<br />
c) to incrsase Ldgated rice 9roduction in ljp~er X a e<br />
Cbunty at the rate of jO acros of - 2-cxpper-;et-,<br />
gravity-flou, irrigrted paddy 9.a.<br />
d) to introauce first-stage rechaiz2tion (i.e. r o t ~ ~ d k g ,<br />
threshiq, and wimouing to all *g=ted rice ftzers<br />
and estanliah an enterprise crovldizg leesec meWz2-<br />
tion serv',ces to fasmrs at pmfls2Dls rztes for bo-A fbs<br />
f-err the enter~rise.<br />
2, Amro~riate Techolon Center (AX)<br />
'Phis project was started in ;a. 1978 aO bas been k 9rcgzess<br />
one yea. It is locat& iz PE/iioerin's W-scale '?c'ustxid<br />
Estate in Yekepa. The pro2ect's objectives uere:<br />
a) to create a. nechaniczl workshop xifb a -xi& enow<br />
varietJ of tools aua equipneat and aetal stock fc<br />
. produce e~e~hental appmpr1ate teckcolow devices<br />
which can be sold or leased -srofitably to f&mers,<br />
contractors and rural industzhlists ad used<br />
profitablj by tha.<br />
3)- to creats 3 workshop in which 2-3 xzc3icel~, equi:?<br />
mat, and vehicles can be chtiinei tnd regL-%I<br />
and f-win which a well-equipped sobile Pield se-ce<br />
and recair unit can perfom tae preverrtative ml"-<br />
temce and regair work reguLr& in tLe field Co<br />
keep P E stckinery and equipment a-nO ep~roprizte<br />
technolow devices in gooc ope=*- con&ition.<br />
d) to provide zr acpixprinte tecknoia~~ eeesicn<br />
outreach cagable of assistkg r~zL.contrzcton,<br />
fzmers ad kdustriaLsts to become z-2~ wG"l ---1<br />
ad use zpyrogrizts teclrroloe~ devices ax% methds.<br />
. .
The PIT A'PC has been financed during ir;s one year life in<br />
pert by a grant from USBID/hiberie; in ?a-t by PFP funds frcm<br />
other donor agencies; and by a portion of the ?3T revolving lo=<br />
fuod dlocathn for building and equipping a industrid estate.<br />
2bacing wrs qprox. as follows in 1978:<br />
to-ial 'WL, 900<br />
1978 eqense breakdown zpl;rox. as follows:<br />
Salaries and wages (Sr. advisor + 2 trainees) 313,700<br />
Capital purchases ( ower tools)<br />
900<br />
Operating e-enses ? power, supplies, mall tools)<br />
parts, stock, expendables, taxes etc) 19 , 300<br />
Unrecoverable inputs - into mral indtastries 11,000<br />
total *,go0<br />
' Fresent stahis of the BTC projects can be sumnarized as<br />
follows :<br />
a) The necaanic-l workshop is 5C% complete. Still needed a-e<br />
arc-welder, drill press? power hxksaw, hydraulic jack,<br />
air conpressor, and vtlrrous ii-fraas, forging trzgs, and<br />
jigs whictL can be nade in the shop, illraady obt&ed are<br />
gzs welding equipnant, hand tools, itthe, ailling nachiaes,<br />
shaper, sheet actal cutter anc various hand power tools.<br />
The shop is wired fcr llOV end 220V current and for<br />
adequzte lieti eaui~ped <strong>with</strong> a latrine; sec~ity gates<br />
and doors are 3'co~;~l;te-<br />
The development of ap~mpri-ate technology devices, tools<br />
and equipment, znd the naintenance of nechines and devices,<br />
for lease to fxmers and rurzl industrizlists has progress-<br />
ed satisfactorily considering it lsas been in progress only<br />
6 months, The a C hzs mde and modified cinvaran block<br />
devices, has nade rakikss, hoes, cultivators and tree plant-<br />
ers; has designed and nade kerosene brooders for chicks<br />
and poultry waterine devices; has tested and found design<br />
faults in the International Rice aes. Inst. roto-tiller<br />
and is in process of designing corrective modifications<br />
therefor; has produced charcoal 'kilns and the net& p&?.s<br />
for a brick kLln which is also in the process of redesigz.<br />
The aTC is studying the problen of clzg honogeniziq for<br />
inproved brick and fired cLag products; and is groducing<br />
a 4-pneunatic-tired-trailer fron Lvco scm2 for hauling -<br />
fbed clsy products an^ f cum supllies.<br />
b) lThe SC's vehicle naintenance shop is approx. 70% complete.<br />
& lean-to, pemanent-roofed area has been added in the<br />
fenced rear gtrd for vehicle naintenance and repair. It<br />
is gradually accunulat-a equiplent such as grease g~s,<br />
fuel pumps, lubriczting oil pumps end dispensers, hand<br />
tools, stocks of filters, -1 p&s etc. for equipment<br />
and vehicle zaintenance. IT has prepared vehicle orevensative<br />
maintenace schedules, but these are not yet<br />
satisfactori?ly adhered to. It hopes to add a complete<br />
tire repair ftcility uher funds becc~e available. A fieldservice,<br />
+wheal-&ive, truck is being equipped <strong>with</strong> fuel<br />
and lubricatini; oil cont~ders and dispansers and a selection<br />
of field service hand tt~ols.
d) dTC's extension outreach Dzs been lhiced by its corcern vita<br />
getting itsell equip~ed, aesieng ?:oCucts, ?roczc2Ci-~ prototypes,<br />
ad maintaining P E t=m~pcrtation. It 'h2s been able<br />
to keep 6 ci;lt7fpsa block nacmes ad-2 Yzzmzz rota-fillers<br />
out on lease ad in good rep&. It has gerZo,~ed a wide<br />
variety of iiald selrvice rqdn of cfuscod kib, brick<br />
ext~uders, brick kiln doors, tne' czterpillb- 955 fxrt latder,<br />
the Hassey Berguson Pan ~,~ctor, ulc? attecbents, amps,<br />
watsr system,-&nd extension worker moto~cycies. A zot~r cycle<br />
znd a used Toyotn Pick-up t=?lck were receritlg pzcksed to<br />
enable A% to work on nore tW oce field se--ice ?-nble?: et a<br />
tiine.<br />
The plznfor the future groWih of TE's di)0rosrizte<br />
+- - Teckolo~<br />
prolife-mtion effort is extensive ad long ranqa. 33 hopes to<br />
obt.-A the Bishop Carroll 'fie School congocud at C-~&sfiel&, to<br />
move its LW thei-, end to conduct f oxxdized cf A99rn3.<br />
Tech. extensior workers (to be hown es a-al &~SGZS). me<br />
eteurs would b r a into the U'C FJZLL industry 9 ~ q-cializ- s<br />
ing in brick adlor. charcod 2ro&u35on, low cost h o e blzcksnit-,<br />
food processing, sheet net21 workhg, z~c*r?i=tl se-&ces,<br />
etc. ula these groups would be given fomzlized t = W g -h t2eLchosen<br />
technologies as wellas usistmce in concentzztilp %heir<br />
skills bto business enterprises. 'Exis plz.ri,cf course, depends on<br />
P-"P's Aility to attrzct fi3ancizl stlpport.<br />
3. Intearated Sur-2 Develoment<br />
FFP discovered, ia the comse of its -1ctiltj_r?L axcension<br />
efZosts, thzt it could get bett3r local response t3 ~zzl -Icultural<br />
project groposals if the asppiraticns of ~111qers 90r<br />
non-incone-generatkg developmmts such u schools, c-cs,<br />
bri&es.. culverts. road imurovement. wells. and szrket sreas<br />
The objective wm to get rurd villzgers org&ze& for seLE- -<br />
help devdosent program; to 1st them g&n e~esiience 5y ?=ti- -<br />
cipating in the ?laming end hplaentaticn of one or t8o IP<br />
assisted projects; ad to have welidispersed, c~~pleted ac<br />
operationil projects visible thx~cgkout Dpper Bhba Coup- to act<br />
as incentive to other nzzl viiers to -anders&e sbiL?e prodecrs.
.?'P1s integrated rural develornent ?roszcl has been fiaaced<br />
by ~ m funds t fron PACT (Privets Agencits Collaborating Together-<br />
XYC), ~ K - (Swedish ~ M Dl-TkCA issoc. - Stockhoh), Lamco, CS<br />
Peace Corps, ES ~ ~ s sXetherlands y , -zbassg, and Xinba .?otzq<br />
Club. Tunds were sgent is fol2ows i~ 1578:<br />
Sdaries tic wages (extinsion worksrs par-c-';be, casual<br />
labor) 5 3,000<br />
Operating expenses (staff sup ort, transp. etc.) 28,900<br />
Larecoverable project hauts P eerthoving, tools,<br />
building naterials, contract labor) 13,500<br />
totdl iW5,400<br />
The presentstatus of this progrsa'is that it is operationzl<br />
and in "high gearn, meening that it has c~eated more rurd development<br />
incentive and requests for assi'stance than FFk can respond to.<br />
First completed was Lugbwe School and ~~sden plot in July ''73<br />
(plumed and built by a cooperative effort including the villagers,<br />
the Yakspa YMCA, the Ninba Rot?- Club, and Em), The second<br />
poject, an extensio; to the Gbapa Scho,;l md a nixed af.riculturil1<br />
student fara was conpletad in i:~. '77 as a joint effort involviag<br />
tha villagars, the students, LiS resce Corps, Bmericvl Ebbassy 2nd<br />
2 . The third project was a market are= and village rice f m<br />
zt ILinu completed in Dec., '7'7.<br />
In 1978, school construction cum v';ll~e and/or student<br />
f 2rm plots, and road an& narket bprova.ents were completed in<br />
Zoqowe and Bonas. Projects are underway in Zolowie, entoween,<br />
Dulay, .ad honlsh. Othrr participants in these projects have<br />
been Xetl~rltnds imbassy,.. hco,. md tht nMoa County Gov't.<br />
EFP hopes to expad its integrated rurd development service<br />
czpacity ta include the tr-asfar of rurdl hCustq and low cost<br />
construction how-how and stimdation- This w-ill tie-in <strong>with</strong><br />
PE's pla for 3n Appropriate Technology Center (ATC) at Gmssfields.<br />
5 e long-tern objective is to create a cadre of Liberian<br />
Xl!CTtrained "~ateurs" who <strong>with</strong> the suppxt of the ATC, can<br />
assist ,mi?& people to org-Aze, plan, ac undertzke z wide vaiew<br />
of incone-generating and self-hprovement projects.<br />
4. Contractor Trsininq<br />
Ia 1973 Lamco endeavorsd to crezte a Liberian owned and<br />
managed construction fin using the spin-off strategy (i.e.<br />
assigaiq to this firs l are portions of the houing cons~~ction<br />
forserlg done by Lanco's civil engiinetr-ing dept.). This did not<br />
work out, lihe firm was too large for the czpacitJ of its managers,<br />
and contract work was tco sporadic to surpozrc z firm <strong>with</strong> a perwent<br />
staff of 35 forenen and lead men. In 1975 Ninba Realm and Construc-<br />
tion, the "spin-off fin, went out of the construction bus~kess<br />
he- suffered severe financial losses.
- t;?zt - tjree<br />
EL& present stat& of this r3.P ?rosza is - of &?e<br />
seven bve gcow =a developed sarb&l;r; 30n dues 2~2 u ::.-A<br />
ZLectricdL Contractor (JJELCO), kazz Kerta, c??"=,entz-y, ?a& Steven<br />
aka, low cost const?zuction general cortzactor. .%o rre experiencing<br />
setisfactory growth; Xwin Venn zcd J o u Jahcscn<br />
zre both low-cost construction general contzzctors. Olle is opext;&<br />
but is generzllr disa~oin?:~; Lame~ce Lincok wtlo stsCeci<br />
as 1 pidoing sxbcontractor and tzred to eqand intc ~;=re--s<br />
cootrac-, ad another, hillim ;Ir-ai, %gh vcltage elect5cd<br />
contractor, has gsne out of busiaess. Lmc3 S~C&S ii requests<br />
for non-lac0 cons~~ction work to lE2 for issipaert to Zbe=13n<br />
contractors.<br />
Gnder contractor training- and development l3F is suae-e~h~<br />
%io zajor construction job's wkich sttrted iz 197e: norkg Wzy<br />
T-Xxe frcm a site threatened by a river 'of silt "run-off" lz-2<br />
the .XSna nine to a new, hi&?= site; 2nd stat* r "Setter<br />
hozesn - ?ro j zct sponsored by the X5ce gomen's isscciati.on, Sew<br />
Dulag Village inclaes 37 hones, 2 store, a l&.=e ?+$ver kuc,<br />
5 l ~ ~ eand s more , w i U be added, Set~er<br />
first 2-e of 24 homes accorclng to 29's scdal L-eadj constructed.<br />
385,500 bes pgid by coost=ucVior custrmeis :;rzw -59 -3sistai<br />
ccatzectors in 1978.<br />
iones -cA 5 clde a -<br />
In tne future, F-e hopes to crcato anow liijerizn gme~z ~d<br />
soeciilized sabcmt~actors to take over dl excqr E@.y tec%c&<br />
contract work from kco's Civil =gkeer-he - 3ept. Grzd~y, each<br />
conCr=ctor 'dl; 3e encourzged to increzss tk2.s ;orecl: of &is -kcc=e<br />
C O f-m~ ~ ~on-ir~!zco custome=s in o*.--r to ctczeesa de>&*-,ce<br />
on the concession.
Indusnial and comercial enzemrises crea~ed as a result of<br />
TF? (i.e. which started because of IFF escouragerent, assistanco,<br />
and fiziurcial io~axs) continued so be advised and assiszed by PFT<br />
in 1978. These included:<br />
The Lanco spin-off forestry an& sawmilling<br />
conpang<br />
Atlantic ciutonotive<br />
Services: . in ?FP industrial estate<br />
N. Milton Supermarket: a second stzrtkp<br />
Catherine Freeman<br />
Cinema: in Unification Town<br />
Ben Kaye Charcoal<br />
Production: nobile kilns<br />
Y-Craf t : silk screen cloth printing and dressnaking<br />
Olma 77 Xestaurant: at railbus station<br />
Nimba Pan= Sumly Store: fomerlgr James Tabla store, Azea T gate<br />
Edwin Venn brick and tenporu2y shut down Eov,, 1978<br />
clay products mfgr:<br />
. . WorBez's tenporailg closed down January 1978<br />
Bestaurant : wkile owner received further education<br />
PE spent $18,700 of its resources in 1978 assisti;?g the above<br />
enterprises. This included a major gortion of .PEP General Manager's<br />
the wbich is not incluaed as a direct cost because he is seconded<br />
to PEP frou Lamco and paid by Lmco, la addition to his tbie,<br />
PFP spent:<br />
Cost of staff tine 5 90<br />
Operating eqenses<br />
rjorecovesahle inputs
In 1978 Xizoeco's sdes ~er2
hother problen is the rapid t-mover of Hr. Milton's account-<br />
in6 gersoond. PFl"s codtilent to the rel'i;?znciag b&s r.;pires<br />
tht PFk staff t->e and resources Ge used t3 keep Xr. Milton's<br />
accouting a d IkacFU staten,-nt production c? to ddte.<br />
--<br />
borrowed &,~GO if&<br />
the Lib;rizn a& for'~eve1opncnt and<br />
Investment (LBDI) and 5599 from PFE. EX? dosigned and supedsed<br />
construction of the Cinema.<br />
The cinema seats 600 persons and ccnplies <strong>with</strong> a3.i comuniQ<br />
szfety, fire and spitation regulations.. Tilns for exhibition<br />
cost between $75 and. $150 per showing. merefore tlrs. r'r9ensn<br />
sust sell a ninimum of 250 tickets (average price $1.00 per ticket)<br />
to nzke ncney since she has to run a gensrator, pzy ticket takers,<br />
pay for trznsportation of filns frcn a d to Monrovia, and o&e<br />
loan repaynents.<br />
PFi's observation is that &ter 5 nonths of break even volme,<br />
SAD32 Cinema started naking a reasonable profit in vctobcr '78.<br />
Averwe attendance esceeds 350.<br />
Xrs. r'reeaan had to be Sressed, 'cut she fi3d1y signed an<br />
weenent to start $100 per nonth repeyments to YEl' in Jan '79.<br />
It is true, as she conpalins, thzt her success has attracted a<br />
competitive cinema axbibitor who operares ia s building which does<br />
not meat public safety rewations and chargss 2% less aWssion.<br />
EEK KAY'S CCliaRCOAL PRODUCTION Sen Kaye started producinf, charcod<br />
<strong>with</strong> a loan frop raY in the fom of two VITA desigz charcoal kilns<br />
in mid 1977. lie locat-a his kilns in bush =eas where Nkbaco bd<br />
left stuaps, large tree lbbs, znd sections of log which were not<br />
suitable for sawmilling. L?FP sigred an assuzvlce requested by the<br />
Forest Development ~uth0riQ<br />
that Ben w e<br />
wculd nake charcod<br />
only out of lunbcr already cut and lying on the ground. Hever-<br />
cheless, F3A officials chrged Ben Kzye stimpege fees which had<br />
already been paycd by Binb&co znd forced hb to nove his kilns into<br />
i+i?zbaco's yzrd where he nust use sa.4ni.ll offcuts to W e charcoal.<br />
after he had been producing charcoal in Ninbnco's yud for tdo<br />
nonths, r'ak officials thrertened to fine Nhbaco for *roper use<br />
or' W o ~ so r Ben Haye wzs forced to shut down charcoal production<br />
altogether.<br />
En is now in process of negotiating wit& ?lU to detzrzie<br />
whether it will be possible for a dl-scale chzrcoal producer<br />
to opersce using forest waste. EFf believes that such use of<br />
forest waste would be in.the natibnal develogent izterest.<br />
Y-CIUFT<br />
Y-Craft mzde good p r m i n 1978 selling over a3O,000 of hand-<br />
craft products retail of whicii 7C% were itens made at the Y-Cr~*t<br />
cloth printbg, sewing, and trhing shop.<br />
-
- -<br />
A grat fz3m "he C->tea States. +enc7 :or izt--z%lcd &svelzp<br />
m s t (~SAD) to -FTP for 3q:'35o1~ of +-v~-- n----- r iz 1776 ~5 -'i./& a-<br />
a51ed Y-CraZt to sttxt an eqanslon grcgz~. %is pxgzz-=: hc1.aies<br />
snlzg-kg the clcth grint-a ror4shog so longer giecss cf cloch<br />
caa be priated, -+creasi=q the imber of cloth ?ri-lcbg d setreinees,<br />
and tr-g LiSeri~ 3anqeriSL 2ersoonel to in the<br />
workshoy a=d tke retail store.<br />
me AID gzat enabled Y-CrzZt to cover t:?ze a d zazqerial<br />
develowe~t eqenses <strong>with</strong>out using the ente-rises ocers-kg cz~itzl.<br />
ms, in turn, enabled Y-Crdt- to carry a nore diverse st;scB zd tc<br />
orp~ze siles in Buch+an, Hazbel, a& Plonrovia, %e res-;lt was<br />
an operetin6 profit which for the first the irr P-CraZt's history<br />
was suff iciezt. to justify a wnd p?y=ent to =Cii to sqpcrt yout&<br />
activities,<br />
~ h c the e p r k z objective of Y-CrSt is- t~ .ge*-jtraCai5~e for<br />
EiCA zctiviLties, this WES sigiif lcanc prowess.<br />
Fks, Bomu Dso eqer;;erced a amber of be&*& a& pers~nzl<br />
problems which prevented her fro= gi~hg eio- tizie to =be<br />
restauraat, She hzs been unable to stzrt repapent of the 5-<br />
lozn.<br />
Tow~d the end of 1978, &s. Thoooas, 20% f u y P-Aed f-~rn<br />
Lamco, beg= to feel well enouc,-;? to gromote soce ~ e - activ'izies<br />
ad aeals at the restaurant.<br />
%e situaticn ha not chzuged. sbce z&i 1977. %hen she is<br />
there ec-dsing the c~cEng an& servi-ce, cliezt&e ae kcme<br />
hcreases- When she is not there and delegztes cce~qt'-on of the<br />
restaurant to others, clirntslle 2nd izcome drog 3efow Sleek even.<br />
PP-9 has not giveo up,??iM$S=. mtience. zn&Lii5=e we conticue to<br />
believe tbt Olma Sesteuzant cur prosper.<br />
3. Tabla aice Plill.<br />
Xbba Pam Swig Store's a2alication for a~ SZ,C€O lo= fra<br />
the &i5cc & Cooy.. Dev, Sd- (ACD13) wzs zr,sroved wi';r the pzoviso<br />
that Jmes Tsblz must move the rice rrill out oZ the store b&i.'-g.<br />
'%is force& Tabla to start consmct5ag a d o r dCi+Ls~ to the<br />
ia tire fon of a rice aiE/'J=ehouse xi&-. %e Zloor<br />
ana wzlls zse 2:; the tnsses and roo+ -re,71i7.<br />
- --<br />
- -.
Tabla has reached the. limit of his $6000 line of credit from<br />
PFP ad therefore must finance the truss and roof construction<br />
from personal incone; hence the 3 months needed to complete the<br />
building.<br />
PFP has been assured bg ACDB that the t~he la-;ise between<br />
ACDB's approval of the loan ad Tzbla's remess to receive it<br />
will not jeopardize the approval. This was a difficult assurance<br />
to obtzin because ACDB had alreedy cancelled the loan approval<br />
issued in July 1978-<br />
Another d a y is Caused by ACDBrs requirenent tbat borrowers<br />
nust have a bank checu account. Ple borrower sust then nvage<br />
to save 81,500 becausz Citibank, the only bank in ITiilba which<br />
offers checking accounts, requires a nininum deposit of 31,500<br />
to open the checking account.<br />
This constraint to developnent led PFf.' to confer <strong>with</strong> officiels<br />
of Lib. Beak for Dev, and Investzent (LBDI) about the possibility<br />
of opending a branch in Nicbe Couuty <strong>with</strong> develo~ment oriented<br />
regulations.<br />
LBDI was receptive to the idea and advised PW that Netherlands<br />
Finance Corporation ;light nake funds available for such a brach<br />
operation. The Netherlands Pinance Corp. =presentative spent a<br />
week sith PFP and jointly a proposal for a developnent bank branch<br />
in Yakepa was prepzred and subdtted to LEDI. Last report b<br />
Dec, '78 was that the proposal had been approved by GOL and LBDI<br />
and awaited only approval of the Xetherlznds Finance Corp. In<br />
the proposal it is stated tbat and ~2.utco w ill assist L3DI to<br />
obtain a location forthe bank brmch and housing for the branch<br />
manager.<br />
EIMDT VENN. BRICK AXTI CLaY PRODUCTS bI?XTACTURE In late Xovember,<br />
8, 1Fr recommended to Zdvrin Venn that he ciose down the brick<br />
and clan ~roduct manufacturina oneration in New Gba~a. basons<br />
for the" sht down were that we hid not found a sati'sfaotory econorzic<br />
solution to the clay nixizg probien and that the fuel cost in r<br />
reaching 1000 degrees centigszde for 36 hours (requirsd for<br />
vitrification) were too high because of shortconings in kiln<br />
design. PFP could not &ford nore experiment& funds for the<br />
project.<br />
Since the shudown, one donor zgency, XYGK-KFLM (bwedish<br />
Yn & Z'dCA), has ?ledgedfuuds in 1979 for development of brick and<br />
clay production. With these funds PFP can obtain a clay -ng -<br />
device wdcb the Genta<br />
-<br />
Xethodist Mission 50 lliles Southwest of<br />
Yekepa offered to let PFP borrow for an indefinite length of tine.<br />
This device is large and will reqyira cooperation from Lac3 to<br />
move to Yekepa, to set up, and to put into operation <strong>with</strong> a diesel<br />
e-e to provide the power- Concmeatly <strong>with</strong> installation of<br />
the mixer, a new Rdown-draftll firing kiln will be erected at the<br />
site made fron already fired bricks and locd clay used as norta.<br />
It is PFP's objactive to get Siwh Venn back in brick and<br />
clay product productiozl by June '79. ileanwbile a low-cost construe-
eon cont=l-ct for tbe Zkba Vcnen's iissocirtion "3etzar 5cresn<br />
poject has Seen obtziaed by<br />
. .<br />
PF? for Xr. Vezn sc taet he ud xs<br />
anployees .fl:ll rot 5e -wit%o~t work.<br />
Fe-A>s the delq in brick pr2cucti-cn ir;-ll tl- cut t3 hve<br />
--<br />
been fcrtunzta Seczuse the ~ar;co Y&t?e, "Cwc Porv Gwn =me"<br />
poject has been Melhitely delqec by the Y;i3eworkez's hion.<br />
%e Unicn failed to endorse tie project. 0ni3n endorseoezt of<br />
tfie project is a requiz-aenc of the National Sevillgs ioaa B d ' s<br />
financing offer. 2here will even-y be Weaent bet-decn *&e<br />
Enion, the conpzny, and the dak; bdt it n~ %&e the Setter pa-t<br />
of the year to reach weenent<br />
MR. TES k'OFEE2'S XSl?i~UT Tkis ente- rise closed 60x1 h Febr '78<br />
because ;cs owner, 1%. fiorris Coooer a L~co en~loyee, w u sent<br />
overseas for further eCucztion. 6247 of the 8500 ori~hdly lome0<br />
to Morris Cooper re- to be re&d:.
A few ente,qrises which were 51 ooeration Sefore "73 CFSX to<br />
Yekepa, ul~? were started %ittioct %7P irmlvezen? L-e assista5 izi<br />
&iff erent ways by SP3. These ~kckde:<br />
Monitco (Xomt Nioa Ilrsaspmt Co.): >ersc~el trac53ort, p95zg,-a<br />
collscticn, n&h&cd. se-=vices, ckI7i;zg sc2.001, mcl tuto<br />
lezsb-.<br />
Xational Woodwor~ Inc: fwLtu=e aanuZaca-e, Lder zSl.work<br />
e . doors; Ooor f=aes, -Andsws, wiz~dow fmes, ?anelling,<br />
phed lunber etc.)<br />
hara Keitz hooairerks : (sane as EkiT ebove) .<br />
Suff 3zkery: bread cad faey b&d gocds<br />
Hmble's Inn: Xesteurult/bazfhctel<br />
Miscellvlecus k4.3.-scale snterprfses in IjnSication Town<br />
(Cznl, $4) and in rural v5llxes<br />
PFP spent $16,300 of its total resources grwL&i=g v~~ici;s<br />
En& of assistznce to the ente-qrlses listed inclidci-y &ove<br />
and to sevezt other 41 enterprises which come to ET for loas,<br />
marketing,. accol~~~ting,..sjaagenentj ad te-cd ssslstarce bct<br />
not on a regulzr enough buls tc be clusi'ied as clients. mese<br />
enternrises are listee below Sow -rr',ttt the m e of assla-ace<br />
grovided to them by PF:<br />
Mcnitco<br />
a foundry in Ceml, #+: desipp & =keting<br />
a sheet metd shop in Cazq $4: desi&n? technicel<br />
marketzg<br />
a notor newt in Cap j+4: accounting<br />
a buLL&in& block &er iE Camp $4: loan, est- Y, - 7<br />
=keting ad techaiczl<br />
a cqeater shop in Camz ,#: nanagenent o~dz~*Ga<br />
a sin - gain* - - shop - in Camp - #4: operating cagitzl<br />
lo&, tec&cd<br />
a provisic~ store iz~ Mz!y Village: operating ca2itd<br />
loan. mement . accowt--<br />
Tfris transport conpny has been k~ busaess shce 1972. IG -<br />
suffered losses in 1972, 1973, and 1974. In 1975 *tezisiTe P-T -<br />
accounting assistance led to a cost dysis capebilitjr which 3<br />
tarn snabled donitco to negotiate a co~=tr;?cz -~:t3 Laco besea on<br />
real costs. 'me comgany used severd EE dv5scrs iE L976 ad<br />
1977 including one technid consultat froiii ZESC. 25mi'- *r3<br />
been on its feet ever shce.<br />
In 1978 P-W's only role wts occasional -s=ent COTL~%S~CC<br />
and assistance ia prep-g for and negotiating -&e m-li? kc3<br />
contract. Monitco's sales exceeded d,jCO,CCO b 1978. %e ccqw<br />
enploys 120.
Rationtl l+lco~+rorks 3c (n1<br />
The largest portion of UrT reso=ces to zsaist eest- e2taqrlses<br />
izs been ailocztaC for -~ssist.z=ce ts ?7at131~l 2coCircrks<br />
fnc. IE .1978 t-do CilZeront Zeace COTS Vclznteers assl~e6 ta<br />
work vith 232 sent 'Ae nzjcr zortion of thsiz tke assistbg FwZ.<br />
The tssistu;ce pov56ed by iFP- ia 1978 ir?clx&e? shc3-car- credit,<br />
bookkeepiag an6 fbulcid staterent proauct%or, z d 7dc;il.e- -3<br />
and equipent seaair.<br />
k 1978 it is estiite6 that salas tctdLed 3j9,CCQ, Gmss<br />
Profit, 322,600; and net profit S9,8QO.. . LX eqloyec zn average<br />
of 18 workars. Of the 59,800 of net prolit, a =ajcr corticn is<br />
in accourts receivable. ~t the endof 1978 ,wzs k a ocerafhg<br />
capital squeeze, but orders and advace Fwaxts were eqscte~ to<br />
dlleviate tZLs by the end of J2.nuaz.z 1979.<br />
In DeCenber '78, XhI eqlsyed e skills? prcducticr "ZGer a c l<br />
the President of -1 notifie& PZF that zs of Zzn 1, 1979, se vculd<br />
persorlelly maage the day-to-day tffairs of zhe enzeq,r'-se a C nc<br />
longer need the part tine 2eace Corps Vokteer accomts cle5.<br />
Wl-t-he nanogerent by 2 najor sharaholder ad 2 mle? 2rdrlctimi<br />
. should have a oositive izpact on the ccqerg's gerfcrace ad<br />
relieve PP? of the nee2 to al1oca:e zs mcb the -& rescu--ces to<br />
Fd as it kis in eke gasz.<br />
'Pbis woodworkSrq shop next to rZEF's ia&a.st=i-d tszase cmtiaues<br />
to operate <strong>with</strong>out P-FF assistace. Xr. Keita reccezes thr t&<br />
aterpr1se will not- reach its flfi jozenial lstil. he re--es f,-a<br />
Larco end mqes the woodworks WelZ.<br />
Ifr. Keita Us been recective to approackes &rrzm.pd by-=<br />
whereby Skadhavia wood product mnuZactaxers bzve Cisc-aseL<br />
proauction in Liberia lor eqort to Skzdinz~La a& SESI)~ .dta<br />
jobt venme and/or gerkershis. agrements Set-aet2 Fz- Keita ac<br />
his zjor smart custGner.<br />
-<br />
Contrzty to P3T rec%aecdetiors che owner decieed lezse -<br />
the bzkery to a Lebanese entrepreaeur who hzs sikce sub-ler ic to<br />
aother. khile the bee= ccntinues to operzte profitably a&<br />
gay the owcer a resonable lease fee, TPP coz=siders its 2uvoiveaezZ<br />
irt the project to &-re fded to achieve the inted@- Li3eS.n en-<br />
tre~rceneurial developent objectLve.
'Cci3.e it is clisappo-hthg ths the Xoeria f-3 c e<br />
3m31e's Inu do not l~arn how to nanage ad oFerate it, tbej have<br />
profited frm *Lei- c-mership ad reinvested the bcone t?lerefrcn<br />
i3 2 relatively large scale f w vent-ure ir Tzppeta. 3. bn<br />
has been well run and bo& pztronized ad enjoyed 37 the Ve4~ge<br />
COrnGlRIity.<br />
In k w t 1978 ?%F assipne6 a &l-enteqmise a6v';sor to<br />
contact the iinreashg nlmber of =dl-scale ycOuckg ets ia<br />
Unification Town; to determine their leeks; 2nd to select sme<br />
for IZP assistance.<br />
Tke nost interesting of his selection me the sis y.kt-h&<br />
enta- rise a d the sd.3 fomdry. The Z'F adesoz r=comen&ed<br />
that a afted phter be @ven a loma in the for= of sl;s3cfis,<br />
brushes and. a wide color selecticn of e-el p-kts. TSe a.i.Lscr<br />
then securd some orders for the rev sterprise ubich -we=$ fUeO<br />
cuickly and -dtL high quelity wormhip. Since taen, the eaeerrise<br />
has grown steadily. The PAT appro?. Tech. Advtsor zsked the<br />
sizzdl foundry to d e<br />
sane eqerkensdl czstinqs for t 20-dw<br />
watering device. Their work ~s good ad nor= orders rere skced<br />
-<strong>with</strong> the foundrg.<br />
Two Cia-= block =chines, 4 wheelbmws, 8 shcvels, EC%<br />
scne -1 tools were sold to 2 Uair'icai5m Z"nm block der b<br />
Zulj '78. He has been proaucing a eve of K)O builw- kLccBs<br />
per 9 and sell* the3 at % per bloc2& laterite P;lr LC%<br />
ceznenr; ever since. Be eriploys 6 persons f U tke ia tdo 5-m<br />
block nakhg te-.<br />
i?.ecentlr talks have started betdeen ?E? 30~5sors 2nd 2 sheet<br />
netal shop, a woodwork5iQ shoo a& a motor xechenic in ik2ice.ti.cn<br />
TOM.<br />
m's low cost construci2cn dv%sor found thas ccntr-ct workers<br />
livin~ at Dulay village to redcce tr=?ugort costs neded a sdl -<br />
provisisn store f~rs~ndries. Afterbug.i2gandse~s~1es -<br />
. at cost for severel ronk&, he pezsuaded a Liberia ;rcnu: to ogen<br />
a prcvision stors in the hllqe. Sae '~u loaned IJ4CCO by F3F<br />
:or building an& initial stock. The store has becoae a zgular<br />
trldi;y station for thee nei&hborirq villqes and shoulc? be able<br />
to st& loan repapents b June '79.
Develo>nenr p l b g<br />
Adzrlt educetron<br />
S w and analysis of comunie problem<br />
GWent intern ad >r=ctic;tl e-eriscce prowas<br />
kvestaect zttmctioo<br />
In coordination <strong>with</strong> the ZT~oaCounty S-e~htendent, tke<br />
Bunl Develognent Tzsk Force, and Lamco, PFF jartici~tes in longrvye<br />
development planning and conducts feasibilie investilgaticns<br />
into proposals for major a&cultu,z^1 and faresky develowe~t<br />
projects us- mco-created irrigation potentid- mere is i2creasing<br />
zwareness of the need for massive enploynent gmeraticn;<br />
not only in antici?ation of ircn-ore depletion, but &so to ccpe<br />
wit;? the no& increase in work age residelts kcl-g ofl's2rk<br />
of Lac0 enslogees.<br />
Adult Zducztion<br />
2E1s contributions to a&dt education result lrsn ?zzicipetim<br />
of ET stzlf in- educazionzl sezinars an6 neetizgs of Teke:Saorid<br />
institxte (ur evening Egh school for eacloyed zchlts) ; A2icaa<br />
Susinesm's dssocia~an (a Yekcga cbptzr of za hte-mztlcoal. assoc.<br />
to promote the development of bus~ess 3anyeezz skills); SMa<br />
Rot- Club; and ElCct. In 2~tion, F3!F staff conduct aeet3gs on<br />
We Liberizn economy, career planning, md othe- subjects when requested<br />
3y insritutions and eexies such as Cuttkgzon College,<br />
Cniv. of Liberia, US Peace Coqs etc,<br />
Stud9 and Analysis 010 C O I X I ~ rroblezs ~<br />
PFP has fc& that c o d t y prob1s.x such as golmization by<br />
nationdity, wUe not str',ctly econonic pmbl-, neveIrtZeless c a<br />
affect developnent adversely. merel'ore, wor!sLag wit& the Lnco<br />
Community Pl2nning Dept.. l)EP sstgf nenbers sddress thenselves<br />
to these pob1ea.s ad endeavor to f* and reconre soluti-ons-
ach gezr since 1975 ?ZP zccepts s+desta 7htez-z~ Zca<br />
Cuttington College k Zuij uld Augxt for sract=ce emerlace<br />
k I..'= usisted eote-)rises; L~iversi3 3: Li3eria<br />
stxients in Dec., Tan., ad leor.. fcr agzic-dt-~-& a5 -+roc6<br />
-aP1llzation internships; and vzcation st&eats k Dee.,<br />
Jan.. and Febr. fron 3ooker :iash.ington Ins.T'-r;Ze, Ca-zoll<br />
Egh School, and high schools -in Sznniquellis a6 Gvta for<br />
12 weeks of practical 'work in theiz chosen vocz5ons (i-e.<br />
office admin., accoupthg, narketing, L C , cmerce,<br />
etc.).<br />
The priinary objective is to attract iz6ijiC- wLth<br />
sound educations and etbLczl trli"in6 to enteqrises i3.<br />
Gpcer Sbba County, There is a chzonic shortags of slqh indi~i;duals<br />
because the concessioos and govement &e tke<br />
mst pnmising school leavers.<br />
The program cost S'PF a?grox. 57,000 iz 1978 h subsistence<br />
wqes, housing, furxAFme, tras~ortatlcn, salEies<br />
of st& program suge,-visors, and s2ecitl eqi2~ezz ;u=-&es<br />
such as sdety shoes and glasses, breatfing fil~srs, ?sbbe=<br />
boots, rhwear, work gloves, etc. requirer', :c obey work zegLat.',ons<br />
izi force in Pekepa.<br />
-u 1978 46 sweats received 3racticzl t = u ad<br />
e~erience of 5 weeks cr Longer duration. ~. 3ese kckdtd 5<br />
fron Cattiqton, 1'7 fmn hiversim of ~ibe252, 4 9mn 3kT,<br />
19 fzon loctl k&gh.schools- Si3: ;revious EE s+x&ezts<br />
intens are now full tiae enployeas i3 Ytkepz ==te-r:ses.<br />
College swents aced 3 eveag sezizars ger reek<br />
while b Yekepe designed and conaucted by -W :s rive then<br />
additionzl careEr Wornation and to emlain -2ie connecr5cn<br />
bet-xeen 'heir studies and their internshi? -#cz4 e-erisnce<br />
whim is scmetines not aware=
Mr, Sven indersson: productim of xe-Sab Louse 2~r-t~<br />
for 3e5is 3s h SveBen at<br />
Natiooal %o~Jrorks.
LOCATION OF<br />
PHASE I PROJECT AREA<br />
AND PROGRAMME AREA<br />
,<br />
i<br />
\<br />
27 i<br />
-<br />
a. ezat~~<br />
n.<br />
n
The average size of ttte suul15012er fams is akoct 3.3 acras<br />
(1.5 ha1 . Tribal tenure pzodcminats. Land s:?or%a~e is zot a<br />
inajor ?r=bles in t?ie ?rocrum;le .L-ea.<br />
The number of fa- families in the Programme X-ea has jess<br />
estimated. to be 28,000. The average 5- :?ousehold :?as 7.7<br />
iaelnbers (1) and a L.E. of 3.7 (2).<br />
The annual labour profile of an average smaUolder fhx is<br />
Appendix E<br />
The mi.? objective of the smallholder fa-~er is to aeot 5lly :is<br />
t-do inin2aum requirments of becomi~g self-sufficic~t ir: his<br />
fmily's staple food crop, rice, and of achieviy a de~rte of<br />
security by diversifying his aqricxltural regime cn -&LC:? he<br />
depeads Eor income in cash ane in !
- Increase 0.f incomes: increased incomes will help the<br />
people to satisfy their individual needs and to meet<br />
the cost of ccmmunity facilities. In the "Outline of the<br />
Report on the Assessment of Liberia's Rural Development<br />
Programme" (1) the per capita income of the target group<br />
of the rural poor was taken to be $ 125 for operational<br />
purposes. The average smallholder family in the Programme<br />
Area, who represent 85 per cent of the population of this<br />
area, has 7.7 mernbers and an annual income of $ 324, i.e.<br />
3 42 per capita. One of the main aims of the Project must<br />
therefore be to increase this income to 125. The most<br />
important means to improve the incomeof the rural population<br />
is undoubtedly agriculture. Rural industries and<br />
handicrafts are also important.<br />
- Higher incomes are Only one means of improving the living<br />
standards of the nral population. The quality of life<br />
and satisfaction <strong>with</strong> rural life are less dependent on<br />
personal income. Thus, the Project further aims to ensure<br />
that all the rural population have reasonable access to<br />
community facilities such as education and health facilities,<br />
roads and water supply.<br />
- Large-scale participation. The Project should not aim to<br />
increase the incomes of only a small number of farmers.<br />
These farmers would almost certainly be the most skilled<br />
farmers who already have a better standard of living
.<br />
The desire to utilize the potentid offered by the operaZion<br />
of a multinational coqoration in a developi.~ area gave -rise so the de-<br />
velopment of the Viable Economic Community Xodel.<br />
The equilateral tetrabedron,displayed on the facing page, is a<br />
three-dimensional representation of the intecelatedness of the four ?rh-<br />
cipd parties in the Yekepa Model - the multinational corporation, the<br />
1 country government, the private voluntary organization and the<br />
local people. Their bterdependence is illustrated in the fisyre by oua<br />
side of each triangle touching one side of each of the other thz-ee tri-<br />
angles. The tetrahedron demands four triangles for its geometric exis-<br />
cence and the model tetrahedron comprises four equilateral t-s",angles<br />
represent'ing equality and conthuiq contact among the parties inwlved.<br />
.Each party 'has a unique blend of contributions and requirsments vhich are<br />
discussed below and condensed on the tetrahedron. The figure is made<br />
so as to be cut out and joined together into a three-dimensional figure.<br />
A. The Four PrLnci~al Elements of the Yekeoa uodel<br />
I. The W C -- A prime pu-~ose of any .WC operation is to<br />
generate a reasonable rate of return on its investment. If the climate<br />
appears favorable for such an operation, the W C is willing to provide<br />
considerable amounts of finapcikt and material capital Csi'iz*<br />
its design and technology capabilities, it can produce and market izs -<br />
j'ruducts, be they from extraction or manufacturing. Long-tern political -<br />
and economic stability are important to the success of the project a d in<br />
the eyes of the .mC to minimize the possibility of nationalization, break-<br />
downs h the perfo-ce of local parties' agreements and palfmctions
ajtillrlg ~thn-r supply flows. Although the larger 2WC operations are capital<br />
incensive, in many cases they still require a considerable manpower pool<br />
to be recruited from among the local communizy. Their labor, combined<br />
wich access to mazerial resources can create widespread direct employment,<br />
increase other incomes in the immediate vicinity, often generate valuable<br />
foreign exchange earnings and thereby, provide the impetus for a quantum<br />
leap in the overall level of economic activity the area.<br />
2. -- The Host Country Govern-<br />
ment'(H~G) has a broad set of national development plans. In pursuit o f<br />
economic and social development fur their count^^, they tly to create the<br />
political and legal framework <strong>with</strong>in which the MNC can function succeas-<br />
fully. The HCG is concerned <strong>with</strong> the overall impact of the MNC which often<br />
represents, as in the case of WCO, a sizeable portion of the GNP. It<br />
is essential for the future of the country as a whole, to encourage the<br />
growth of subsidiary economic activities which build upon the resources<br />
and capacities of the primary project. However, past experience suggests<br />
chat few MHCs have successful models for viable economic community develop-<br />
ment. They have concentrated, instead, on areas such as infrastructure<br />
development which serves their own immediate needs. Consequently, one of<br />
the prime concerns of the HCG is to identify and implement ways of chan-<br />
neling the human and tecfurical beaefits from the MNC operation into sus-<br />
h~nablc paL Lerns of devel~~pment<br />
.<br />
2. The Local Peoole - The local population living in the<br />
immediate vicinity of the project xxll be most affected and bear the brunt<br />
- .<br />
of the project's impact. The people, who are very often sew-subsistence<br />
rural dwellers living as they have for generations, are suddenly up against<br />
something alien to their collective expeslence and may need assistance to<br />
-
survive the radical and rapid chaqcs which inevitably occru. These people<br />
vill furnish the bulk of the labor force, labor being a= =he outset, the<br />
only asset they have to offer the XiC operation. Their other responses are<br />
difficuit co predict. They rill be dete-ed by the cultuz-c conrerz<br />
and social structure of the area. For some it will become an ogpartuxity<br />
while others may have no iuea of how to cope <strong>with</strong> it, let alone profit<br />
- by it. Considerable experimentation and experience by PVOs has rapeatedly<br />
show the local people to have significant poZentidL for self-help dvolve-<br />
ment. To utilize this contribution, the people's own assessmaz of their<br />
needs and their eqd participation in decisions beari;rg upon the develop-<br />
ment of their community must be actively sought.<br />
4. The Intermediate Oroanization -- Gne parcy h zhLs srra-<br />
regy must be in a posicion to recognize and guide the long-tee ho-<br />
listic nature of the develogment process tluoughout the whole life cycle<br />
of the project. The development agencies have the eqerience and credi-<br />
bility to perform this vital function. They bring a wealth of tesred metho-<br />
doligirs and skills in the areas of appropriate technical assis-ace, both<br />
soft.Jare and hardware, training and promot* local entrepreneurship, im-<br />
pro- the self-sufficiency of the agricultural co-ty and consrruct*<br />
liveable and affordable low-cost housing. Confidence ip the PVO comes<br />
from their neutral stance as the represents tive of the aevelopmenr process.<br />
Ln this way, they are b~ a position to successfully act as =he Sroker among<br />
the other vested interests vithout being compromised. This, LI ,?,<br />
. all'>ws Lhc cteveloyrnent a.gency to mediate betueen the p-iea, to seek fi-<br />
nancial arrd other support from multiple privace and publlc so--ces and,'- -<br />
most importantly, to identify and foster the contribution of the local
B. Relationshios Amone the Elements -- At the center of the rela-<br />
taonship between all parties, theremust exist a clear understanding of the<br />
speczal and essential resources that each has to offer to any operation,<br />
combined <strong>with</strong> each party's healthy actitude toward The other's expecca-<br />
tions and apprehensions. Such a realistic assessment would appear to be<br />
one of the key ingredients for the success of any project. From it will<br />
follow a general agreement in principle that carefully considers each party's<br />
position, particularly those least able to' express and defend their in-<br />
terests; that is the affected population li- ia the vicinity of the<br />
operation. Such an approach than points the way to a long-tenn, 'Ul-win,<br />
110-lose" strategy. It recognizes that situations which give rise to agree-<br />
ments change over time. Therefore, change must be seen as a natural phe-<br />
nomenon which demands a continual dialogue and continuum of cont acrs<br />
if it is to remain dynamic and process-oriented. The linkages wuch exist<br />
at all levels - the political, financial, perso~lal and technical - offer<br />
the opportunity for a successful long-term partnership.. The crucial<br />
question is how to imaghatively manage the impact of tfle ANC operation<br />
and best utilize the capital and technical resources of the MNC so that<br />
the .WC has a steady profitable operation, the host government's natural<br />
planning objectives are complemented and the local people have a long-term<br />
viable econormc community. The conceptual strategy PfP has evolved as<br />
a result of its practical experience,<strong>with</strong> its Liberia program points the<br />
way toward the beginning of an anywer.
7<br />
-<br />
i: :': .r Partnership for Productivity -- April 1979<br />
/ Appendix H<br />
Fax PRODUCTION<br />
(X11 after j years of program)<br />
Comprised primarily of rice, boch upland and swamp (paddy). T=adltional<br />
shifting cultivation of rice in upland =eas; new tadmiques atroduced<br />
to make use of natural svamps in valle?s producing paddy rice.<br />
Production Statistics<br />
Paddy Rice: 1 acre produces 30 b&s per *eld per annum<br />
2 yields p-a. due to application of modem mechods<br />
and fertilizer<br />
Therefore, one acre produces 60 ba6sp.a. (X bag=lOOSiS)<br />
'*holesale value of 1 bag is $25.00<br />
Therefor9 1 acre produces 60 bags/ 60001bs, i.e.<br />
3 tons valued aZ $1 jOO.OO<br />
Gpland Rice: 1 acre produces lj bags per anmzm ulth o dy 1 yield<br />
Theref ore, 1"acre produces 15 bags/150016/. 73 of a<br />
tan valued at $373.00<br />
at present Liberia imports approximately 33,000 tons of rice _Jar apmmr.<br />
Nimba Co. alone has an eszimated deficit of 5000 tons per anmmn and'rice<br />
is the principal foodstuff of all classes of people and sectiolu of sod'aty.<br />
The target of rhe project is therefore, zo incksaae produczibn of rice<br />
_oar-c~cularly of higher yielding paddy to a 'total of 2,000 tons per axtizum<br />
by 1983. The IAMCO conmamity provides a ready market for,tLe i=k~ased--<br />
production <strong>with</strong> 3,000 fully employed workers at present wi-A 20 years<br />
estimated norkiPg life remaining in the mine.
Various farm sizes/mixes are envisaged to create a total increase<br />
yield of 2,000 tons, ranging from 2 acres of complete subsistence produc-<br />
tion tbrough 3, 6, 10 acres up to the largest of a 25 e re mixed farm.<br />
The range ia size allows fazlners of differeing activities and viability<br />
to be assisted and at the same time be awarCof possibilities for growth<br />
and advancement.<br />
The example of the mixed 25 acre farm is outlined here psimanly<br />
for illustrat9ve purposes. The target number of 40 such farms indicates<br />
one possible mix of farm size aimed at producing approximately 2000<br />
tons.of rice by 1983. The 25 acre farm will employ 10 workers, 5 from<br />
the farmer's family and five paid workers and is based on an average<br />
f-ly size in Nimba Co. of 7 to 8 persons.<br />
The Mixed Farm<br />
j acres upland rice<br />
7 acres paddy rice<br />
10 acres tree crops (coffee, cashew,<br />
2 acres legumes (also tubers/gains)<br />
1 acre other (fish, poultry, animals -<br />
Total 25. acres<br />
Target of 40 mixed 25-acre fanm*. by 1983 produciag:<br />
200 acres of upland rice -- 150 tons<br />
- -<br />
280 acres of paddy rice -- 840 -- tons .<br />
coco<br />
480 acres 990 tons per annum<br />
The orther 1,010 tons needed to reach the target of 2,000 tans -61-1<br />
be produced among the other smaller farms <strong>with</strong> approximately the same<br />
acreage for upland and paddy rice.<br />
The target of 2,000 tons broken down by year is as follows:<br />
.<br />
s
- Year - Cum.<br />
- Acres<br />
- Tons<br />
1979 50 150<br />
1980 100 300<br />
1981 120 360<br />
1982 135 Q5<br />
- 1983 155 465<br />
- 7<br />
TOTALS 560 1680<br />
- - Toos<br />
Cum.<br />
- Acres<br />
125 93.75<br />
Note:. Total acreage to be in produczion by end of 1979.<br />
Income -- the estimated income from rice production<br />
5 acres upland rice producing. 15 k-2 --<br />
per acre O $25 per bag $ 2075.00 -<br />
7 acres paddy rice producing 60 bags<br />
per acre Q $25 per bag lO5OO.OO<br />
Total of 495 bags selling for<br />
Exoenses<br />
Labor costs: $500 per worker per<br />
annum x 5 workers<br />
Hilling costs: 495 bags x $3.50 per bag<br />
Fertilizer: 3 bags per acre x 12 acres x<br />
531.50 per bag-<br />
Seed rice:. 3,516 per acre x 12 acres x<br />
50e per lb.<br />
Renzal of roto tiller/thre.sher/insect spay<br />
Estimazed income from sale of rice $12,575.00<br />
Estimazed expenses for rice production 7,376.00<br />
?let income $ 5,199.00
Other income from mixed farm (net figures)<br />
Tree crops (pr~ncipally coffee O $100 per acre<br />
x 10 acres) 1,000.00<br />
Legumes (1 acre for subsistence, 1 for sale) 100.00<br />
Other (-5 acre fir subsistence, acre for sale) 500.00<br />
1,600.00<br />
Total income: $6,799.00 per a ~um after j years +<br />
There are costs involved to clear the land ready for planting of rice<br />
which have been estimated at 8300.00 per acre for swamp rice and $50 per<br />
acre. for upland rice.<br />
Cost to PfP for clearing swamp land is $300 x 7 acres $2,100.00<br />
Cost to PfP for clearing upland is $50 x 5 acres 250.00<br />
TOT& $2,350.00<br />
Consideration is be* given to offering a loan to the farmer to cover<br />
this cost which will be paid back to PfP over 2 years at lo$ interest,<br />
<strong>with</strong> repayment schedule as follows:<br />
Year 1 -- Principal<br />
Interest<br />
Year 2 -- Principal<br />
Interest<br />
Total repayment to PfP
Income from E ked 25 Acre Farm<br />
Project~ons for lncome from the creatxon of -&e fbzs to commence<br />
after 1933.<br />
. The t-do main sources of income will be:<br />
r<br />
A. PfP will receive $2702.00 per farm as repayment.for<br />
start-up costs principally land clearing for rice production. It is<br />
estimated thax 20 farms of 25 acres each -dill be brought into production<br />
each year providing a total revenue of $54,000.00 per annum. (20 x<br />
$2702.00 = $54,000.00)<br />
The costs to PfP do not involve capiral expenditures.<br />
The front-end loader used to clear the land was provided to Pf? by W'CO<br />
when it commenced the agricultural arm of the program.<br />
B. Part of the seIsice provided to farmers will be chs<br />
leasing of mechanized fazm implements. They are 2 farm traczors, 4<br />
roto tillers, 6 tiueshers whach are already owned and depreciated by PfP,<br />
and other items produced and maintained by the X.T. Center such as pumps.<br />
Revezlue<br />
1. 2 tractors O $9,000.00 $18,000.00<br />
2. 4 rot0 tillers @ $2,400.00 9 ,600.00<br />
3. 6 threshers O $600.00 3,600.00<br />
4. Xisc. 3,600.00<br />
Total from rental of m a w e m $34,800.00 per axmun<br />
Total from start-up costs 54,000.00 -<br />
Total revesnae from farm development $88,800.00<br />
There will be revenue from at least two other sources for wfrich ic<br />
is difficulr to provide good estimates. They are, however, 50ch +sag&<br />
as integral components of the overall strategy. FL-srlp there is -he
"start-upn income from land clearing of smaller farms, 2/5/10 acres which<br />
will produce approximately 1,000 zons of rice from 200 acres of upland<br />
and 280 acres of paddy. This would procide approximazely the same in-<br />
come as from the larger nuxed fa-. .<br />
Secondly, PfP will begin to charge for its advlsory service ad-<br />
ministered by extra workers to farmers afzer 1983 if the fa.nner proves f<br />
profitable. The serrice will be provided free for the first 4/5 years.<br />
A.T. Center<br />
Experience gained to date indicates that the small businesses set<br />
up as a result of the training and establishment of potential entre-<br />
preneurs will be able to repay a varSring per cent (15-3046) of their gross<br />
sales to PPP over a period of 5 years depend- on the volume of business<br />
and size of available markets.<br />
Income projected for 5 years are for:<br />
4 charcoal businesses each costing $6000.00<br />
4 brick a businesses bP $8,000 each<br />
$24,000.00<br />
32,000.00 -<br />
8 misc. businesses: woodworking, blackslrciths,<br />
formdries, @ 2,500.00 each 20,000.00<br />
Sale of ae;ricultural machinery costing<br />
20,000.00<br />
Total revenue spread over j years $96,000.00<br />
With a five-year payback, this provides income of $19,200.00<br />
per annunz.
Low-Cost Self-Helo Construc3ion. Trainim and Devolo~ment<br />
During 1975, 585,500 was paid -haugh ?f? co Pf?-assiszed Liber5:a.n<br />
low-cpsc conscrucrion contracrors . Expan- this actiy-zy .~ll creare<br />
w<br />
five,contractors by 1983, each produca gross sales of approximaxely<br />
580,000 and paying PfP 15% of bas gross of $400,000 ($80,000 x 5 years)<br />
i.e. $60,000 per annum.<br />
Commercial and Lndcstrial Enternrise Develoument<br />
: Consulting, accounting, audit- fees at end of 5 years -&I1 pro-<br />
duce approximately $j0,000 per a ~um from the more successful enterprises.<br />
Tocal revenue to PfP after 5 years:<br />
a. land development 388,800.00<br />
b. A.T. Center 19,200.00<br />
c. Low-cost construc~ion ~O,OOO.OO<br />
6. commercial and isdustrial dev' c 50,000.00<br />
Grand Total $218,000.00
Y)W COST RURAL ncxuxxi<br />
SPECIFICATIONS EY 1'FP/L.I~U<br />
Law cost construction in rural Liberia has to be very lor cost as<br />
the annual per capital rural income is only 9120.00. The conaistant<br />
rise in building material cost has forced necessary changes in the<br />
structural design. Theae changes are not advisable for any area that-<br />
has a large degree of temperature change and should be adjusted accordbg<br />
to the purpose of the building. For family dwellings, use the following<br />
specifications:<br />
Foundation or Footinq:<br />
The foundation is simply a stone and mortar laid structnre that<br />
is trice the width of the wall to be placed on it (6" block:l2" foundation;<br />
8" block;l6" foundation). The stone or rock is collected locally by<br />
7. yousg boys who are paid by cubic meter. The sand is collected in the<br />
name manner. The aa7ar mix rill be determined by the type of sand used,<br />
but in most cases one bag of cement to 15 cublc feet of sand will give a<br />
2,500 p.8.i. mortar. 15 cubic feet are equal to three larp wheel bartors.<br />
The foundation should be at least one foot deep in well packed soil and<br />
extend 3" above the final grade level. The foundation must be kept at r<br />
constant level so the buildins site should be prepared before construction<br />
beginstoaweon the foundation depth. The top of the foundation should be<br />
left rith a rough finish to insure a good bond between foundation and<br />
block mortar.<br />
- Walls:<br />
The walls arc constructed <strong>with</strong> cinvaram block rhic!! is lade of local<br />
soil and 10% cement. The best possible soil is the dirt obtained from<br />
temite aounds, but other soils may be used as long as the= is not a<br />
large percentage of clay in the soil. The dirt is first acretned to -ve<br />
larp stones qnd vegetation. The screened. dry soil is then mixed <strong>with</strong><br />
cement at the ration of 1 to 10. At this point a small amount of rater<br />
is added to the mix and then formed in a block press rith 30 pounds per<br />
square in&- pressure. The resulting block should measure 6" x 6" x 12"<br />
and sflould be left to dry at leaat five days before being laid.<br />
A11 walls should be raised at the same time to inwe s p od locking<br />
comer between outside and inside walls. 'The block wst be laid rith a<br />
maximala 3/4' joint for pod structural strength.<br />
The joints of the block wall shoyld be full a d then mbbed -0th -<br />
rith the block surfacs to avoid any exposed block edges, as the exposed<br />
edge rill reather quickly. The mortar for the block is the caw aisture<br />
and strengzh aa the roundation.<br />
Yindors and Doors:<br />
The windows and doors are mde in the simplest faahion possible.<br />
'The windovs are really nothing but mooden shutters constructed rith 1 x 6<br />
lumber <strong>with</strong> 1 x 4 backing nailed together as tietly as possible. Lch<br />
window and door require three hinqes.
I<br />
The door and rzndow frames are 2" x 6" lumber, installed in the walls<br />
as they are being laid <strong>with</strong> 4" nails driven into the rood at the bIock<br />
. joints and mortared in to insure a tight fit.<br />
Roof Structure :<br />
The third course of block down from the top of wall rill require<br />
metal straps of 3 feet in length to be folded upward and nailed across<br />
the 2 x 6 wall plate. This is used in the place of anchor bolts to<br />
insure that the aoof structure does not become dislodged from the walls.<br />
The roof trusses are then nailed to this 2 x 6 wall plate. The<br />
trusses are made from 2 x 4 and 1 x 4 lumber or can be constructed from<br />
natural sticks of at least 2" diameter. The roofing material used in<br />
E I ~ s . - ' g a u g e galvanized zinc which is nailed to I" x 4" purlins<br />
that are placed across trusses on 4 foot centers.<br />
- Floor:<br />
For fasily dvellings that do not have heavy furniture a 2" cement<br />
floor bas proven to be of adequate strength. The cement floor is dxed<br />
in the same way and strength as the foundation and mortar. Xbile the<br />
floor is still wet, a fine dusting of pure cwent is trowelled into the<br />
floor for a smooth finish.<br />
- Note:<br />
Remember that all of these specifications rill vary according to<br />
material and quality of tradesmen available. %herever possible a local<br />
material should be used in place of imported material.
LO* CUST 3-RWll HOUSE<br />
-<br />
YAT%RIAL STI?l.;X<br />
Foundation: 26.5 26.5 + . 22.5 r 22.3 * 25 + 15 + 10 x 1 x 1 + 27 = 5.25 yda.<br />
5.25 yds - 30% = 3.75 neters-<br />
1.75 metma rock + 2 meters aand + 15 bags ceent<br />
-<br />
. Floor: 25 x 21 x .166+ 2'1 = 3.25 meters sand = 17 bags cement<br />
.5<br />
Fill: 10 yards compacted dirt<br />
%ails: 26 c 22 + 15.5 + 10.5 + 25 + 10 + 10.5 x 7 x 144 + El.== 1483 blo- x<br />
10% = 1632 blocks cenent = 1632 + IM) = 17 baga cement<br />
Hortar: 119.5 r 7 + 100 x 5.5 + 27 = 1.75 yds = 1.15 yds sand - 9 baga caoent<br />
Daor:.S: 3' x 6' Frame: 5: 2 x 6 x 16' = 80 bd ft<br />
Door: 15: 1 x 6 x 12' = 90 bd ft<br />
Backing: 5:l x 4 xl2' = 20 bd ft<br />
brdrare: 8. pair 3" hinws + 5 towel bolts * 5 hasp& staple<br />
1 box 3/4" scrtrs<br />
Window: 5- 3' r 3': Frpre: 5- 2 x 6 x 14' r 70 bd ft<br />
Shutter: 8- 1 x 6 x 12' = 48 bd it<br />
Backing: 5- 1 x 4 x 16' = 16.66 W it<br />
Hardrare: 7 pairs 3" hinges + 5-tmel bolts<br />
Post : 1- 4 x 4 x 8 = 10.66 bd ft<br />
Roof: Truss =2= 8- 1 x 4 x 14 = 37.33 bd St<br />
4- 2 x 4 x 17 P 45.33 bd it<br />
2- 2 r 2 z 16 = 10.66 bd it<br />
up: 18- 2 x 4 x 12 = 14 bd it<br />
Purlin: 36- 1 x 4 x 12 t 144 bd it<br />
Zinc : 121- 2' x 8' sheet<br />
30- lbs zinc nails<br />
25- lbs 4" nails<br />
25- lbs 3" nails<br />
20- lba 2" nails<br />
Paint: 8- gals. [Brom) Paint (Oil)<br />
Cuest :<br />
Sand :<br />
bck:<br />
Luabcr :<br />
Zinc :<br />
Zinc Hails:<br />
Nails:<br />
Paint :<br />
56 baga or 6,160 lbs-<br />
11.25 yd3 or 8 meters3<br />
2.25 ;1d3 or 1.75 ntcrd<br />
716.64 bd it<br />
12l sheeta<br />
30 Iba.<br />
70 lbs.<br />
8 gals.<br />
Inside Plaster (OFTIONAL): 128' x 7 x .021 + 27 = .75 ,d3+ 440 lbs c-mt .
\<br />
Ail ample eszinatizig i- c2is text a-e based ot a buCCks<br />
(20) CdezCJ feet by (W) forv feet. The walls az-e all (7) seven<br />
feet hi&. There are no intenal rdls ic tss re= sanpie.<br />
Tke foundaticn sho~2.d be (6"), six inches longer -&er the<br />
walls so as to place the wall on c~nter of foundztion.<br />
Foundation: = 20.5C40.5Y20.54.5~1.5 ivide x 2' deep /27=i3.5 S.d.<br />
13.5 yd minus 3% = 10 meters volxme. .?!ke volme<br />
is divided by 2 as the volume is filled 1/2 sad<br />
and 1/2 rock. The sand volume is iidV:plied by<br />
6.5 to give the number of begs of cenent =eq&red.<br />
Exzmpl e : = m.gc20.9~.'+.5 x 1.5x2/3 = 13.5 - WN = 10<br />
meters/2- 5 meters rock 31- 5 peters sand. 5<br />
meters sanG times 6.5 equal 32.5 or 33 ba&s cemenc<br />
Bill : = 20 fcot wicith tbes 40 foe leek t-Jes 1.5 fest<br />
deep = 1200 cubic feetm equal 44.5 cubic yard<br />
sand. Ciibic yds and ninus jC% = 31 meters sanC<br />
balls:<br />
a p l e<br />
= The amount of mate-ids will dezerrd or the m e of<br />
materials used b the walls. 3 4 ~ it s ~ is necesssry<br />
to detcdne the wall area in sq-e iootqe. The<br />
square footage is then adtiplied Sy 1- ta eve the<br />
square inches, zter dete- zke sqiare inches<br />
of wall area it then requires to dete-me tbe square<br />
inches of buildi~g zaterial plus t5e sortoz joint.<br />
The area of the bliildin& materid is dete-ed by<br />
multiplyhq the heigt of saterid plus 1/2 hch<br />
mortor joint, by the width of 5ui1- zaterid<br />
plus 1/2 inch joint. This area is divicied -kt0 +he<br />
.znches of w a U =ea, which is ;lul?:;'-pLied by 1.1B<br />
for. breakage, and tbis number will equal the aztount<br />
of building mterial needed for the -d.<br />
- : 20+40+2OcV0~7~44= 120,960 sqwe h&ss. Cin~e~vn<br />
biock = 6.5 x 12.5 or 81.25 sq. hches. 120,960<br />
hches divided by 81.25. eqd 14-SB.7- block tiaes<br />
1.10% equal 1638 block.<br />
Pfoi5zor: = Length of all. ralls thes tl?e height, dLi,ded ?)y id,tbes<br />
5.5,di-videc by 27, equal the c-bic yai~s of sandbubtract<br />
tht cubic yards of sand by 3046 will give 'Ae<br />
cubic meters of sand required. P-e c-ablc zeters<br />
of sand is multiplied by 6.5 which will equal 'Ae<br />
number of bags of cenerrt needed.
. .<br />
. .<br />
i -- . ---=s iaterior length, tines depth,<br />
aqczl rcL-sl* .;I' . 5722 . nec8ed for floor. me cubic meter .<br />
c r' szc =-~l-+ .-,---- :; - Gp<br />
. .<br />
iy 6.5 equal zmber of bags of<br />
- ' -<br />
1<br />
ce=er< =eecsc.<br />
= l?xj9~,166/27 = 4.j cubic yards. 4.5 pas, - 3& =<br />
5.25 setsi.$ sac. 3-25 meters sad x 6.5 = 22 bags<br />
ceaenz.<br />
-<br />
-. . -.<br />
. .<br />
-ri cda: = ~ ~ JQU $ su9t 2 c?etermine if a concrgte tie bean is<br />
~tcesszrj., as the bean will acid $1.30 per linual foot<br />
ol' w d 1 to cos-z; of constr~ction. As a general rule ~y<br />
juy+bg tb- ., is ag larger than 35 feet long will<br />
." . . ..<br />
reqilzs i 5 inch i.eidarced concrete beam, To determine<br />
?he =azerizl for said bean, adci the length of all wells<br />
-.",-- -... &<<br />
i,-4 ,rlu;piy 37 tSe width and multLply zqain by the<br />
'cel&t. %.is cubic footage is ther: divided by 27 to<br />
bit.e~_ia? :ka cabic ysxdage of sand needed. 'Phe cubic<br />
- ys-bgs is ther subtract d by 3% to give the cubic<br />
- ..A--.. . -.<br />
P<br />
zeters oi ah-a. h e dub c neters of sand is nultiplied<br />
. ,--<br />
DJ o.> to dz2tezziii?e the number of @ss cement.<br />
- u,AL.-. = 20+0+20+4~. jx5/27 - 30% x 6.5<br />
. ,<br />
_~.-&$i . .~ 20-0-204 = 12Q1 x .5 = '60%5-30/27= 1.11. 1.11 x<br />
.30 = -0.35, i.ii - 0.33 - .75 meters san0. .75 x. 6.55<br />
-4.87 or 5 ozgs csnezt-<br />
-<br />
I. e : '= Z O a + S 0 4 = 120/6 = 20+4 comers aqua1 24 anchor or<br />
"J" bclcs.
This t~ss requirss 4-lxcrY12' plus 2-.Sxl4' ghs 1-2~2d4' thus<br />
2-2xrrXl4=28'~2/3 = 18.6 bd. ft.<br />
1-2~2d4=14'~2/3/2= 4.6 bd. ft.<br />
4-1&d2=W1/3 = 16 bd. ft.<br />
?he total umber of trxsses wili degznc on the typ: of roof tc bu<br />
cmstmctad. First ve will datamine lor a gjble roof. ?or 2<br />
~.-ble roof, first divide the length or' &ke buil&ins 21~s 6 fct,t<br />
by 4 ?lus 1. This gives ths olldcer of tyzsses reecea.<br />
.>ein@rs: = The strbgers or purlh =c tha 1x4 tkat cfir zhc is<br />
nailed to, This w i l l requize 2 st=.iwers at tze pe&<br />
of the roof and one strhger at every foU foot cs-tez<br />
down the length of the truss. T+ks dso ~gpiad for<br />
tbs hip ends.<br />
Linc : = For gable roof 'he len~th of b~l-g plus 6 feet is<br />
divilded by 1.5 a d then mltiplied by tins nu3~r of<br />
sheets to covsr the Imgta of ?ZLSS. 'Po cr?+e-t<br />
the dber-of sheets needed to cover t;?e leaggt! of<br />
truss, the length is divided by 7.5 tbes 2 for $52<br />
Cdo sides.<br />
lint cail: = number of sheets t-LESS -25 box squl nuricer 05 boxes<br />
of nails ne.:ded.
Pd-t = Coe gillon of oil pizr covers a?-zodsately 350 sq.<br />
fedt of surfnce. To acterrlz~? the . ~ c w of t ~:.ht<br />
ne-dac fizsz it is r?acesszFj to deternine t3a-sqxxe<br />
surface of lumber used. in all windows and Coors.<br />
mplzr = ?he house iu this t a has ~ 6 rirdows a d 2 doors. The<br />
windows,ne~s~e 3'x3', the uoors natscre 6x3. Therefore,<br />
the fornula is 3 thes 3 tbes 6 plus 6 tines<br />
3 tines 2 or JxJx6= YL squ~ze ft. Plus 6x?x2= 36=90<br />
square ft. This numbvr is rnati~liad by 20 to equal<br />
1800 which is divided by 350 'to equd 5.14 or 5<br />
e;allons paint. (uainder, the mmber 20 which nultiplirs<br />
the squ. footape is a constant,, .this aeas it is always<br />
used.<br />
.<br />
+<br />
boors &<br />
Gindows : = Tho windows and doors used in n low cost bush hone,<br />
are made oo the construction site. The windows are<br />
really nothing but shuzters, of thil sbplast construc-<br />
tion possible. The windows and doors consist of 1x6<br />
'.umber held in plzca <strong>with</strong> 1x4 backing. To demonstrate<br />
;h<br />
;
kgts = &ch window a d door requires three "T" hinge - or 1'h<br />
p.& each. They dso reqube coe towel bolt eaci. o r :!?is<br />
. .* house it -+&11 require 12 pair of hbhes, 8 towel 501=, act 2<br />
hasp, for the doors.<br />
mcD Lccx
. . . ,. ., i.<br />
J . : 2.<br />
.......<br />
-. :.,- * : " .- .- . . &> ~. .:.<br />
: i<br />
atrati-ze Committee on. .Coordirrs$ioa (XC) t.ached' P . bad 6' .:. ;.;<br />
... - . . rrr . - .. n*-A,.; . -- - -<br />
mest xi& . .- &--at on. psrtioipeti& 13 ... 9 . gut . ... -i-' . . ..... ..<br />
....... ...:.... s i.. ... - _ . :. I.- . . * - i . . . . . ...... - . .< -.<br />
.?::...~ >.<br />
?.>= .>< --oh ~kerii, bsd been ont, of air- .8&eotad. eauntrbn;~ L.1f rdii r-.~..s:.:. ..- .-. -.T<br />
. . , !. . .."'k*,e:.. .+a- . > *:, .>- .:. :. -->:.<br />
week tfist, (8) --eat G d .. cuoplle - . . . t .- ~ la--. . , ". - s ~ .. ia?: e -; . . . e: .<br />
-.<br />
..<br />
11. 3e Agenoiea 'ihlch 3s-m >ad =sej~c-~i>Fliq Zo= (-%%atflg<br />
e=d stinilat* ileveloyent * the =%?= &=as '=- been,<br />
olltll recently, quite saoaeesful Lx yozing the ZemL 02 oaa-<br />
oolounneea of the rz?il meidenta tovarda &nmlapen+r lay*<br />
down -ko b-40 md eockl bf=ss~hzzs ia a- ma*,<br />
c. co~
'uttzemed 'by th9 aetahliehment of a "bottcm uy" approaoh to<br />
dnvetopnent of the rn.d k-aan wi13 meke ynsible t h 0-11-<br />
ing of the oreati7e energlee of the r?lral popla fito prod=-<br />
tjvo ~.otivltiea<br />
on a sue iainln(r bwia.<br />
15. The moaeesfnl p-auit of euoh m a.pgroaoh requirse<br />
br-ag bt0 be?= the ahtegiee of decentrdlization, cook<br />
dinstion, sad papule psrtioipstion in a multi-eeotoral eiio*;<br />
.hut thl~ in would =quire very speoiflo actions at the<br />
aahionsl, 1004 and inteam3tioxriil level.<br />
16. At the national. level, a stzsdiICL.Y: of adsting dew-<br />
lopent Aenoies will bss9 to be undertaken <strong>with</strong> the 8in of<br />
etrengthea thelr overdl oapabilitp fo pursue more effoc-<br />
tively thek development efforta aingly md oolleotivelp 836<br />
a oonoomitent removal from witfZi3 their purview those aotivitiee<br />
wuoh rn peri~heral<br />
to their major taak of developmsnt; a re-<br />
orienting of augportfng agsnciss such tfiat theiz aocou~ting<br />
procedures and fl3enolsl oontzols help rather than hinder the<br />
development effort ia the msal ertas; and a molewing of-+& '<br />
oomposi-tion of the national p b ~ ~ bodies % f ~ vitk th. aim of<br />
inolnding greater wprseentatioa of local ~ a ~ a t i o n s .<br />
17. At the loo& level, a et;.engt~eninq of the exis*<br />
loodl naobisexy la neoeeaw to faailitate +%:he snucseaf%Z ha&- .<br />
fez of raegonsibility Bnd s delegation of authezitg to &-<br />
County a&&.istratlone. But in order to ogerstiadiaa and<br />
i.!aati~~iona.lise +.bee looal saohineriee, it is ielt thst t?ae<br />
pr-iglae of tbe aepasation of plsn for?mrlation and plan *la-
B<br />
?LX~/~~~/l - Page 8<br />
mon~ ?np-opri~te yo1.itioal ad occ.io-eounonic arr~unent<br />
t]rou;,h ~~hich our dovclopmm~l poiioics cen be n?mt suaoeaafdlp<br />
roaliaed; and<br />
. \WX11*;A!;, our p3licy of aimul%anoous dovdopmcnt<br />
tkough concez~ed actions by the ~arious governmental bple-<br />
!/ -<br />
montinc agenoieo has inz=oduced -act projects into a nunber<br />
of =.dly ioolnt~tl nnd oconomically deprosaed am-; aad also<br />
policy of widar dispersion of the fruits of aocio-econodc<br />
development has aroused the rpi-al po~ulation and ocoasioned<br />
Government bureaucracy to become more responsive to the needs<br />
of the ma1 poor; md<br />
25. EEEUAS, We L-e now entering a new rural development<br />
phase, characterized by z greater conaciouaness of development<br />
on the part of our ma1 reaidents and conconitznt increase in<br />
the demvlds fo?: mre and better aerpices end oppor.hurltie8; a<br />
bdtor gasp of and sensitivity tow~azh rural development on<br />
tho pnri: of this Ldministration; much greater insight into and<br />
n oorreoponU~q appreciation of tke complexity of rural develop-<br />
ment a d its inter-relationship <strong>with</strong> national development bg<br />
both locd and national agencies; and a greater aympatby for<br />
and complement^ asaistanoe to our approach to ma1 develop<br />
ment on the part of Fntarnztional wades and mnlti-laterd '<br />
a d bi-lateral donors ;<br />
26. XJtl ~ O I, W i l l i~ a m a. Tolbert, , Jr., Rssident of<br />
the ltepublio of Liberia, be- in a bettor position to make a<br />
frolttl .wsadt on the seemiqly *tractable problems of the<br />
aation'a under-development in general a d ma1 at-tion in ,<br />
gartioular, and by the autharity vested in me, do heroby OrdPr:<br />
k. That the long-tezm =a';icnzl Objectives on dewlopmsnt,<br />
adopted by fhc U7tlor.zl P'hzi3.n Cotrncil in Hay 1972,<br />
be herekj r?-?f.i~=ued; nmely, 7 i) itiversification of<br />
productisn; (ii; dis2crsion of sxio-economic activi-<br />
ties thr?u.&out the comtzy; (iii) tctal involvemeat<br />
of tta cnfira ppulatim LI the daveiopmeat efforts;<br />
nnd (iv) equitable dictribn-tion :f tho benefits of<br />
eocnolnlo now-kin, dovelopment and dlveraifioation so<br />
an >.: era^-d zn accdptabie sta&d of living for all<br />
Liberians.
(i) dsvalopaat yanciee sad oaer insfitutions a?<br />
the natioad level ae MU aa at tka locsl level<br />
will be rset=aot.ued, mang others, by s*ngtteninq<br />
and -~tiondlz~-, fo aarncs tie ?-ticn<br />
of sus2&ed cffeoti-nt identiflcazion, F-1<br />
implementation aa& sMustiorr of<br />
pojecte. Fczp=~ses of Lm erareiae, +A<br />
davelcgxzt ag+mseiee sf tira 38tioa Iern1 &a<br />
ohsaified ra-.
(b) *.up>ortiw Ministries a d agecdee such as<br />
Einis.tq of iUmnce, ltinistrj of Pl~nning<br />
md Eoonoaio Aff dm, Civil Sorvioc Agency,<br />
Gonerd :;orviceo Agency, Lkre~u of the<br />
Uudget and the Institute of hibllc Admini-<br />
11 trr~tion.<br />
(ii) The re-orientation cf on-going programme8 and<br />
project3 which have patentiel for rural devalop-<br />
ment tbrough the martmtzation of linkages <strong>with</strong>in<br />
and betveen efforts at rural dsmlopment,<br />
(iii) the programming of nsw progrsmmes/proj~ts and<br />
those in the pipeline in a mamor to ensme<br />
that priority is 6i;iven to those which are most<br />
likely to satisfy the basio needs of the ma3<br />
people.<br />
(iv) due to the many 2nd complex unhovns in<br />
rural development, npproprists meRauzse<br />
as re-organization of institutlona and<br />
coordination of ~ ti~ties, along <strong>with</strong><br />
relatively larger reoources, will be devoted<br />
to statisticd and ressarch activities<br />
relating to nud life; and also for<br />
the aetablishment of overall physical<br />
plans germane to the mral environment.<br />
(v) <strong>with</strong> the increased responsibility, autho-<br />
rf:y and accountability at the locel<br />
level, trstnin,- will be re-inforced to<br />
assure not only the manpower requirements<br />
of local admidstratioas but ale0<br />
the re-orientation of attitudse end oom-<br />
mibent of sunh oadsae, gzrticularly the<br />
~ouths, towards rural peoples and the*<br />
lives.<br />
(vi) mral deoelopmcnt in Liberia must be<br />
viewed as an integral part of zhe nationfa<br />
ovornil dovalopmont and onnnot bu treated<br />
aa a separste function or activity.<br />
(vii)<br />
clear g~ilalii?c!s for dotalo~ment activities<br />
at the varicu political sub-divisional<br />
levels, together <strong>with</strong> a sepazation of pla<br />
formulation and plan implementation at the<br />
country level, is neoe:;a;szy to operationalize<br />
aud iatitutiondize thu atr'tsgies of the<br />
new approach.
( 7 ) th~ as~iz%ti3as of $ha =.lral =traiCea?a c a<br />
cr17 be satisfied 37 (i) a cation& a?pxach<br />
deaic-ed to support and facilitate rat-d<br />
development in the rural areas, -6 (ii) a<br />
"bottc~up" decision W g lrocesa w%ch<br />
w i l l in13~e an attituda of salf-relhaoa<br />
anleaenergies.<br />
and ieaeea- heir cssti-ra<br />
(kc)<br />
the multi-lateral a d bilatersl dcncr<br />
k-encies czn help Liberia's developnent<br />
effort by ze-arient- their policies m<<br />
proascues to complement rafiollzi 2116<br />
local initiztina.<br />
3. Y h t in order to cperztiodize tine above Tactical Yaaauz9s,<br />
the foll~wing Follow-ug Sctiona are to be taken:<br />
. .<br />
(i) all of tinose involved, dkeotly or iahc* uiYa<br />
Liberia's socio-economio development at the local<br />
level ecd at the nationzl level, a=e &-acted to<br />
take bediate steps ?OY~=& tthe rs-ozisntatieb<br />
md ze-modellirg cf &Aelr pocedures ~d acti-rities<br />
the areciion of the above Skztejiss a C .%cfioal<br />
Xeasures. In tke procees, a tsto way occsnltation<br />
vith County Xnhist=aticns mt be eetabllshed to<br />
ens=- that these Stzategfae and Tzotical #esarr,-ea<br />
are rztional intamoven <strong>with</strong> a strengthened Csuae<br />
Iais+ation. h this logad, an 9volwze=+ ia<br />
Liberin'a socio-economio developmect ia =ecoqLzed<br />
at ail stages; i.c. identifica-llon, pro--,<br />
fnplenentation, evolue+icn and/or opera3ion.<br />
(ii) at the rrctionnl level:
tz+.'.-.n in tho yi-rate coskr csxecttid<br />
<strong>with</strong> 'I,: berin's aocio-i~ormic deve'lopment ,<br />
j 1 . 1 oo:~r:oro:o~~n, ifitcu~i<br />
Or;;ilr, t~ntiann, Youtii Or:;'ruti:mbionu, Vol.fr\rs<br />
Or~nnization:~, Ccoperuti-fee , r-rd Uuahoon<br />
Ejtablishmente shall submit not later<br />
th-m 31 Deceaber, 1978, to the Eurd<br />
P.lelopment Task Force to be estabUxhed<br />
by the besiclent, detailed Planof Action<br />
insicat-the present nature of ita , .<br />
developmental functions, adninistrative<br />
err~nqenents and activities a d how, these<br />
fur.-tks., m~nigt~etive arransrernents and<br />
--<br />
acti~ities are to be re-crisnted end restructured<br />
to fulfill the raouirementa of<br />
the adopted Stzategies a d Tactical Measuzaa.<br />
at the intarnational level, each multi-latetal or<br />
bilzteral exkerns1 asaiatance agency is requeated<br />
to provide the Goveroment, though appropriate . ..<br />
channels, an indication of the possibilities to<br />
orient it0 policioo md prooodurea for anniatnnca<br />
to Liberia in 1b.e <strong>with</strong> tho adopted development<br />
Strategies and Tactical Neesures such that its<br />
eosistvlce willfully complemant and ~ o ~ i e<br />
<strong>with</strong> the development efforts of Liberia.<br />
\<br />
the Ninistzy of Pl~mning and Eoonomio LUfai:s 18<br />
hereby directed to submit to the Satlopel Planning<br />
Council by l :'arch 1980 an overall medium-tam<br />
Cstional ~o~!konomi,c Develoment Plan to take<br />
effect in fiscal 1980,'81. This will be<br />
fodated <strong>with</strong>in the fr-dework of the newly<br />
adoptad national develoy!Ient Strazelies a d<br />
- Tactical arieztn..;ifi.<br />
A "3urd Devel6pmont itaak Force" is hereby established<br />
for a two-ye'- l;eriod. Tho Task Poroe ohall aclminist=;rti:ely<br />
be attached to the Offioe of the Vice<br />
Pzeaident of the Republic of Liberia who is hereby<br />
appoicted as the Chdrmm of the T~sk Borce. The '.<br />
Vice Eesiciant in con-~ltation <strong>with</strong> and approval of<br />
the Freside:;t s&*.ll ollco all other appointment8<br />
of a yo,"e3c.f.z;L.l nata-e. Tke Ruzal Developcant<br />
Ta~k 5'0-2s shall c c o r ~ t and e mouitor the iaslementotion<br />
sndfollow-ug of these new dewlopwrit<br />
proctmea. To detedm the ex+mt to which the<br />
new SXaLagias and Tw.tioal 3feaswes e=9 being fuliilleG,<br />
it shall be th:! fuctions of the Task Force:<br />
. :<br />
:<br />
, . .
(b) to evnluato and sonitor the extant of the<br />
trzmf ar of euthoritp :m& =eepocoSoi2i ty to<br />
tne county 1%-1 u d below e3d the delegation<br />
of au".':rie to Lccal =apresentatL?es of the<br />
iapleme~ti3g z d au~gcrti3lq mi-1stzfes ud<br />
zgenciea. <strong>with</strong> the ojjectivea of emu-ix . .,<br />
apeeay delivsm of xescuzces to.sntisfy the<br />
legithate aapizationa of the --A people;<br />
(a) to organiza action-oriented atuLtoa LI all<br />
pertinent ospecfa of ,~rzl developnent vith<br />
spcial reference a d eapkasis to the Strztaeee<br />
and Tectiael Meaeurra adaptad; such staSse :o<br />
contiaudly enioze =a aonitor, the c-*<br />
ormisation, activitiss ~nd pcrfomazcs or' 528<br />
i.wplomuntir~,q !\lid mr!rporting miniclt.rioa rrnci<br />
agenciee and the stmcture at locel,. netiosd<br />
ond fntenztioxizl levels a d the -ooorU=stsd<br />
md timely de1lver.r of hputa et all levela<br />
&&oqh an qapro.oriate w-rnent eystan of<br />
operatfocal planlag and ?msssa controls;<br />
(6) on th basis of such skaea, to make peciodic<br />
recommendations for further sotione <strong>with</strong> a +-ev to<br />
~chieving the jwqoaee ol' the St=ategies cad .:<br />
Tsctical K 3 ~ s ;<br />
(e) to pre2ere gaidelines for =he bplaaectaticns of<br />
tke Strategies emd to recder euck advioe ard . .<br />
*zaiszace to the i=eLev^&t autfioritiea es -4 be<br />
lequfxad;<br />
(f) rn ieter than 31 Y=ch 1973, to pap- for<br />
submission to the Xational 21'lsnnFry C ~ c i l<br />
n aora btdled taaticd plan of action ?or<br />
thr *lamentation or' &&e rzew Stretee-eo, for<br />
the aqiddanca cf the Xkis-tq of e3d<br />
Z~ocomic ?Lefl'-s LI fo+zzdatiq the lee<br />
Satlorel Socio-Zuoncnic ??a.<br />
Ginn under xm bnnd FL& the Seal
2'. ?he ikscutivs Order Fa intended aonq others, to con-<br />
aolidnte 'he trends which B-le bcth explicit and imglicit in pre-<br />
vious proncunoomont of Covomt~nnt; to flooularnto tho Lnglementn- z ,.<br />
tion or' till n.gprcnch to mtlonnl devolopmunt in general end real<br />
~lavolopmont in partioulrlr alrandy discernible its embr~onio<br />
form In i:'ational Planning Couccll docu~nta; and to &-tik%io=-<br />
lize ,?ad ayateaatize the- kinds of activities in the .ereas .<br />
vhich hve been precipitated by tactics such as Ball3' Time md<br />
rotation of hdependence DRY celsbrations among the ~o-aitiaa.<br />
8 . The motivation of the reeidents of the rual sree a d ..<br />
their self-help aotlvitiea coupled <strong>with</strong> the sup&ti~e eotibns<br />
of fioctoral agencies and County BWnistrxtio& have come.ebout<br />
29. Implicit in the Executive Order is the belief that the<br />
exist%- projects and progr-es sre Fn the riaht direotion,<br />
. .<br />
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1zrge17 through the Prasidentts personal interrention. 372%<br />
vhile t.Mn process has indeed heightened the level 'of conaoious-<br />
,=.<br />
. :.. :. .<br />
motlri of m:d roeidenta ~nd Government employee8 and haa made<br />
poofiible the penetration of development into someof the rurd<br />
.-re=, a process which will both diffuaa and aslatab &aveIopment<br />
acti~itiea i.=~ the me1 areas is now called for. The Ekecutlye<br />
. -<br />
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Order is therefore an attempt to tranafom the pesaoml and .- ,<br />
q~bolic act8 of the heeldent into such z process, through the<br />
' . . . .<br />
i<br />
hplenentation of the newly promulgated Strategies znd Tactical . . ... . . 1<br />
:. :+= ...<br />
Eersu-es . . ,<br />
but rrhat i3 now of prime 1;mcrta~ca is the welding together of<br />
these'activitics Into a consrent dnd well cocrdhated ayatam;.<br />
.7 n-pten which by ita very design will rsm-re the impedimenta<br />
wltlo!t !wu c=.Lsi; :uiii tima frtui;l-t..rto tho dlnporolon nnii auculo- . .<br />
. - .<br />
ration of &?elopzent asti uitiaa. ~. . . . , . 7..<br />
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JO. The Executive Order mat therefore, be effec%ated b . - .,-<br />
the fieli? an auickly aa possible il' the moti-iation of the raaidenta .. . ,<br />
. .<br />
..<br />
-- . '4 .;<br />
of'the mrJ areea is not to be dissinatd by frustration. ht . .<br />
. . .<br />
t!lL: (!am ?I*: necoaarxily .vnn n, discard4 of ox!otL~g praJacts<br />
a d procmmes for new ones. . , .<br />
. . .-. ,
jl. a1 attxpts will be mde by tbe Task 7orce -te ewv=9<br />
tkt the rxpid prc,gcass envfsa,pd bp the eeCaElishment oi thia -'<br />
-<br />
proccns in achieved. aowever, it 1s realistic to note +hct 5.2<br />
~i~wi.~; the geriod of tine ncxt .Fr?f~, projects and pra-ea ata<br />
or>aized <strong>with</strong>in the frmework of the elenents of the n-eu a-kgies<br />
onl~ at the level of the Coullty anci not, Selow, oz? o e a<br />
iisited rmber of =ew Wds of pznjecta sre b&oduced, it w ill<br />
be e movement towa-ds susteizec? dewlopment vhioh awza well<br />
for Z?e fuk-e.<br />
32. Tke Zxecuti~e Order accepts the fzct *&f die-s ol<br />
mnt -moblams should be solved.<br />
'.
Urectbg that they provide aassssments of the ;oaPner in which<br />
the* orgulizetio~; can 5e rr,tionalized to confor?n to tfie sfrate-<br />
. me activities of the Exercise ctrc be grouped into three' ,.<br />
caiepries according to the dodm,nt gqoee being semd. The<br />
ihae categories iiiclude promotion and ccordinetion arrangemeate; .<br />
pregarxtioa of place of action to implement the a.&ate@;p; and<br />
progarstion of contribution to the 1980-198~ Medium-tern ~stional '<br />
j;~~~op~o~-~~c~o~~~~~rn~o<br />
ncvel~anon-t-r3-~;, Tho throe typos of activit iaa aro<br />
desimed to be mtudlly reinforcm and, to an extent, will ta4a<br />
place aiiziztaneously. Each, hawever, has. it$ ow? xsquired 'hput.', : .. .i<br />
. . ... . -.<br />
*-. *--. Activities -- c~ncern~~~i,S~~~~~omotion<br />
and coor~tion: ....<br />
+?., . '<br />
jj. The Strategies md Tactiaal ileleaaurea, ih the fo&.of an<br />
'<br />
:kecutive Ode=, has been aromulgated bg the President .&a'-, . -:+. . ..<br />
1978. Since the gropoads for tho adoqtlin of these ~tratigiee .. .<br />
and Tnotical Mea-es for national development have far &&ecbing . . '<br />
~ormo~~uenccu for the Natioa, it is auggestod that the President '-. ' . ' .<br />
ahould 'dso make a mtional >rcadoast to &clw *i;ieayread ittontion .<br />
to both the pcomu1,~tion of the now Strategic0 And Tactical Mee- .:<br />
mrsa fox rarzl development as well a8 tile eedablishment end porn- . .<br />
gosition of a Eurd Developmeiat Task Force. Suoh a b-~oaduast'cen<br />
outlhe tine Ad~.lnist=atist-aticcfs ccntiiius2 seazch for ways aad means<br />
of raiaiag the livqbg stan&-ds of the poor of %%is society from :<br />
mx: to mttresaes by traciq the varverious development oriented<br />
&tiom initiated by hLs nCminiatraticn since 1971. In addition, . .<br />
. .<br />
the I'rceident cim call on locnl experta both vi+&n &id <strong>with</strong>out<br />
Cave-lment ?a offw their expertise on e. ~oluat~y basis in the
36. The Bural Deveiopment Task Force, esta5lLahad by tae<br />
~zscutive Order, oen beooma fucotioaal by duGt I. 1578 viA& *&e . .<br />
t-,ppofn&ent of it@ members before that Zata. Uso, by h p t 3;<br />
s - . -2-<<br />
177n both midelinon for naoeanmcnt of key private and public :. . . . -<br />
wncies, institutions and orgzaizetion end =sqwet for =ei= .<br />
submissions of draft asaeaameota, by Septeaber 50, 1978, &od-d -.<br />
. .<br />
be fozwdad. Isloluded in Sia jackage will be i let& b - .<br />
. .<br />
the CL?i-= of the X ~ a Development l<br />
Task ?o=Ce o,rfi&il? .<br />
'<br />
Lmitiog '&ern to pe-tlcigate 21 the hLIal Devalcpent ?23t<br />
..,- -.<br />
Ezercise.<br />
37, Sepcate briefing aeeaions -will be ~3.1-0 by<br />
Aqut 15, 1978 <strong>with</strong> Henbers of &&e Legislak-e; Kembers of<br />
. .<br />
3. 'I?loao Sriofi* socnionn whioit will bo oc-aponaorud by<br />
the apropziata Miniatrlee Jrr? tbe %ak Zoroe uill 3e in<br />
$he Lzst Cdo veeh of A-t 1978. n e puz7oae of nee%*<br />
is trio-fold. Z'L-st, the Tzsk Porce "tends Co brief tke %+of-<br />
?ate on the action8 taken by C+vel-uoent sbcs +Ae d;rr2 Cunf&=eaoe<br />
I- I -
I l l ~ ! l ~ l:.l:Ly ~ ~ : S ~ R 1.1 n~t. phnnrt. .:nclond, tho l'uk Poixe oxptlu'ti, to<br />
ol,i..-.j.u (:omxnto on the oxorcinc from the rcpresontativos' of<br />
ke:r :qyaxios, institutions at2d orpni5ations in the- pablic end<br />
~rivate oeotors as well am some feedback from them on the kin@<br />
or* eqertise, a3a the possible duration .of such eqertisej. they<br />
~ill re&cee in c.:ming out their rea?cnsibilitiem in the Zxer-<br />
ciae tocether wiLh teems of reference and Job desariptiona for<br />
t!le experts.<br />
. .<br />
39. By Scptembor 1, 1978 initial ae1ectio.n of local private<br />
and pujlio serrice exgezts for volunteer se-ce tc local A-i- . .<br />
strations end Civic and Social s el fake Or&zationa as well da<br />
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their briefin- and orientation be completed. -. .<br />
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.!.0. me national voluateers identified and selected for<br />
uorv.loo %IT the rural nrens inunt be prcfeesionnlo in diaciplinos<br />
tihioh .?re relevant to developmental activities. However, while . .<br />
-- 1<br />
acdenic i~ualfficatione will be helpfull, local eqerience &ad<br />
,."<br />
. .<br />
.,.<br />
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ocrnaj.tsant to ntnl develoynent will be the major oriterta for .-<br />
-- .- - $.<br />
czl be assigned to the lccal add& '.<br />
selection. ~hese~mlunteern<br />
.- ,. - .<br />
atrations on the basis of theiz experfise and chiioe if locatioxl.<br />
S&litiojzll.z, the Superintendents, upon a detesrmlslation of their<br />
. .<br />
. .<br />
om re+rement for ergertise, can initiate the preceaa of - .<br />
identfXping and selecting the loozl erperta they desire and<br />
=om the Task Force of same. i?urther, some attempt will be<br />
m.dn to invlve sembers of youth soupa and other pzivata okgani-<br />
r,::tiom <strong>with</strong> the raquicite oxpartise. The Task Force will also<br />
meet periodicnlly <strong>with</strong> Liborinn profcsaionnl~ to test idea and<br />
elicit 6%-gestiona cn issues pertinent to ita activities.<br />
41. It is envise.ged th?.t by September 15, 1978, the ?lace-<br />
me:? of these eqerts alcq <strong>with</strong> ezangements for their aecond-<br />
ment, trmcl and su'osinfmoe will begin. This pruces.9 is<br />
ea~ler-,tui to be undertaken jolntly hy the Tmk Poroe and the<br />
Liberian htitutc of ?ubllc LW.at2efion.<br />
i
3 . A nation-ride radio a d taleviaion panel diacwslon<br />
~ 9 be 1 jrogramned by August 15, 1978 <strong>with</strong> smbe-rr of-the Tgk<br />
. -.<br />
Yozcs. The panel discussion which 1s -tended to genente - .. -<br />
nationnl Uscusaion should be desimd to both . .<br />
at.-+temeuta aade bq- the IlasfBent as well as hacate aoae of '<br />
the tec?.n'cd. aagects, eqecta$ione ez~d L~ctioul d? t&e Taak<br />
. .<br />
zorce o;ier t b cext se~eral mnthti.<br />
ia>or?at for wnciea, hatikatilts &<br />
looked 5 by obaoleta le@la:ion<br />
a-%-t=afive k~sagemi?a%s Mcb mj be<br />
effecti~e<br />
3erfo-e. Such oonatzzts<br />
Li the ~aaeesaments.
XDT4/mc/1 - Page 20<br />
aa pzivnte inoti~atione, agencies a d or~i!32tio~ is a<br />
necesn-J first step. As such, it is proposed that the Teak<br />
&roe prepsre ad sabmit guidelines 57 Augzst 1, 1978 to all<br />
, zctive a d potanzicla active egencies, *:izutiona, eto.,<br />
involved in ryra?. development or activities supportiva of<br />
rural development for their cornideration prior to participat-<br />
ing in the brief*-$ aessiom noted above. The Mizlistriea which<br />
me 00-eponcoring the briefing sessions will be aaked to for-<br />
was6 to the participating organizations these guidelines and<br />
otiir relevant material along <strong>with</strong> the letter of iwitation not<br />
latar than August 15, 1978. The guidelines aze intended to<br />
provide the pe-ticipating orgaaiaations <strong>with</strong> 2 mlstivelg eaag<br />
refereace point for their &aft assessment task which is ta be<br />
aubnitted not later than September 30, 1978.<br />
47. By .337Tovember 15, 1978 the Task Force o a re- the<br />
draft assessments along <strong>with</strong> its own comments to the various<br />
- O I , ormnizntionn nncl 1:lrrtitutiunn in ho3.h tho public nnd<br />
private sector for finalization. For thoae aspects auch aa<br />
ooorriination of socio-economic and technicel research which do<br />
not fall <strong>with</strong>in tine perview of any siqle agency, organizazion<br />
or institution, the Taak Farce will still make tie neoeasarq<br />
asoeasmonta. The Taak Force should also reoeiw final aasesasents<br />
from all xLmncios rmd inatit~tiope not later thaa Decemt<br />
...her<br />
51, 1978.<br />
4.3. B*.tween January 1, 1979 and -oh 31, 1979, tfie Task<br />
Foroa &sa.ld analyse the final assessments and submit to the<br />
Dationd Pin-3 Coacil b~ lrluah 31, 1979, a detailed Plan<br />
o.f Action for the im~lemcntrrtion of tho rursl development<br />
strategies and tactical measures;<br />
49. A major activi'ig vill be pralininefy identification of<br />
pro-es and projeata n;?ropriato foz rtmd development in<br />
- L-,<br />
- '.:':kg Li-o acccvnt erist3ag condifions and the applica-<br />
- ria,<br />
tion of *he naw strazegiee end tactical meaau3ea. As alrsadg<br />
.<br />
. '1
.:g=e=d by t;?.e ;;CC T-2:; ?ox2 or: 3sz-zl 3cvelc?-esf, ezc5 G.S. age=?<br />
-,ill prou',ce ~7 e==l:r >.
A u-y 2 L s h ~ of a ~ ~otivitiea ~ of the Exeroise is ?resented<br />
below:<br />
1. Il_rkotion of tho Strates<br />
(a) 3riefLng sessions for Legdslators.,<br />
member6 of Cabinet, Superintendents<br />
Heads of Goveruoent Agencies &ad<br />
representatives of Pzinte dgenciae,<br />
Inn titution and Orgsnizations .<br />
A-t 1978<br />
2 weeks<br />
(b) Organization of panel discuaaion awst 1978<br />
2 weeks<br />
(0)<br />
Task Force vfsits to all counties<br />
for kriefing Councils and Committees Segtember - Boexuber<br />
and olarif ying tsska . 1978, 3 months<br />
2. Assess~ent of count? s&idstsative<br />
syatemn end swoaration of Plan of<br />
Action<br />
.-<br />
(a) ReorrLtment of intermtionel Awgrzet - September,<br />
tcdc consdtulta on pldng and administration 1978, 2 moa&<br />
(b) Seleotion briefing and orientation of<br />
local privata and public sector eqerta Auguat - Segtember<br />
for volun%eer service Co looal admini- 1978, 4 weeks<br />
atratioas.<br />
(0) Placement of national volunteer<br />
experts.<br />
(d) Prepzratio3i of ?re- asses+<br />
mcnt rsporta by national eqerta<br />
mine: cotmty/ret$otml npproach.<br />
September, 1978<br />
2 weeks<br />
August - September<br />
1378, 5 vaeka :<br />
(e) Tzsk 3'orce Workshop <strong>with</strong> hatetional<br />
todo conaaltanta, US*<br />
prelimfosq reports (d) &on for<br />
Xovember, 1978<br />
2 web formulation of guidelines for furtkar<br />
aaseesments of counties and follow*<br />
n regionalization approach.<br />
-<br />
(f) Preymtion of a~aonsmonta of Counties xovambsr-Deoembor<br />
by internationnl consultants <strong>with</strong> 1978, 6 ceeka<br />
Suoerintendenta. keeping in mind<br />
re&onal development oritaria
( ) %view ~ynthesls of c3mt7<br />
anscssnezto (f) abovo by Teak<br />
Borce sad interrutional condtanta.<br />
yl?a., 1579<br />
1 monca<br />
(h) Find eduatioc of asaeamtent<br />
reoort by Task aorce end Super*tendents<br />
and preperation of Plan<br />
of Action, for mbmissioc to<br />
Ja. - ?t&-ch<br />
1979, 3 zonYks<br />
Sations1 Pl- Comcil.<br />
(3) iisoistancc in Frspnrxtion of =an., 1979<br />
3ntiord Socio-Zcon~dc Develm- Teb., 1980<br />
sent ?la coxmiatant <strong>with</strong> 2rcc~tive 1 4 Jont;=s<br />
We= 1 for submission to Katiod<br />
Pl- Council by Yg-Oh 1, 1980.<br />
(c) Preperation end evaluation cf<br />
%ogress Report for t2e ACC Wal<br />
development exercise on the first<br />
?ham to Jme 30, 1979 vitk oolljboration<br />
of UH -0ies.<br />
(a) Guidance end coordination of iJ'N<br />
agencies in thek staaea for<br />
reconadesance end >reject idcntificcltion<br />
or' aectcrd cm2 count?. ?rojects<br />
to be fncluded.3 the Xatiorel<br />
Socio-Zconomic Develo~ment Plea acd<br />
UN teohnicnl assistance m v m .<br />
(e)<br />
Fodation of a aecood-we EiDP<br />
aroject for h?e~=~&tioczl asaistznce<br />
I- 3plementatioc of tie Tationd<br />
Socio-Zcononic i!evelomell?; PI=.<br />
(i) Guidance a d coordba=ion of eLstiz2<br />
or new pilot or denonat=ation gr~jecta SeptaIzSez, 1979<br />
at local lnvol 'n line <strong>with</strong> ?l,m ~f<br />
to Z'eb., 19EO<br />
:\ction cu~d yrogarat.ton of gatLord 10 sonA&t<br />
Soaio-Zconornio Develognont l'lm
. - - . -. -<br />
-.- *<br />
I . . l'comzntion . . , of "vl reoort on<br />
a P C<br />
0 0 ------+<br />
(a) Beport prep~ation by ~roject June, 1980<br />
ooordinator. 1 month<br />
50. The financial ilwementa a m in two parts. ?he first<br />
pat, representing Government 1s inpats, tot& $205,961 for fiecd<br />
1378/79 alone. The eeoond part, representing the inpnts of tba<br />
~,-lito
tunoo lo tho lood ICOM YM~O thoi-. ser-ricee will be =?&=ad.<br />
55. Provision for office spece for 10 pezsona ii dso i3elded<br />
in Chverzment'a inputs. W s<br />
mininun eFce requirersnt size apart from its own staff, if will<br />
is envisaged by tb Task 3-e aa fta<br />
. .<br />
host oericdZorilly, over the clur~.tion of the ererciae, met- ad<br />
workchops <strong>with</strong> paticip811ts; provice office support for all ccs-
57. Provision Fs TO be aade in tb 2xcrcise for tie sub-contnct- -<br />
ing of the nfne con~ultants on rural development pla-e and<br />
a&iiaiatration. The Govemzmnt will undertake <strong>with</strong> the assistmce<br />
of the United Hations, the task of identify* and nsgotiatirg<br />
the avidability of these consultants as sp exanple of taohaical<br />
oo-operation anong developing countries (ttdo). It is emoted<br />
that the Country or Countries will make provision for the release<br />
of experienced experts for tbia activity in Liberia upon mimburae-<br />
~ n of t their aderg, travel costs ad subeqstence in Liberia.<br />
It hw been estimated tkt such exports could be obtdned on a<br />
tcdc mrragement at a cost of 38,000 at tka most per consultant -<br />
for the Llree-month assigoment. The County Superintendente in<br />
Liberia would be eqectad to co=oprate in Peking eccnomical<br />
subsistence ar?x%ngeizent for the oonsultsnta in each of the oounty<br />
seats.<br />
-<br />
XnGment :<br />
5a. loxu vehicles, 2 Pe-oet family ~ ~ aad n2 Toyota s tand<br />
Cruisers, are to be pcovided to the Task Forcs to assiat fn the<br />
transpornation of fhe consultznta. l'he family wagons will be<br />
utilizod in traspa-ting project staff between ninistriea, agenoise,<br />
cud other gwvezzment institutions in aad arowd Monrovia. Tb ,<br />
Land Crdsera will be used by the project staff eagsged in snaistbg<br />
+he load Govervnent Administrations for hter-connty trawl.<br />
5*. One Miseognph Fkchbe, One Photo Copy Mshcine, 'PYO Cd&tors<br />
and Your Tpniters are to be prodded to su~ort reprodnotion<br />
operztiona of the office of the ask Force. Administrative aupport<br />
in the fom of supplamenta to the &vemmnt budget for 2 seabtaries,<br />
fuel ad nabtenulce and the sAationery aad su~lies to 8 total of<br />
$5,000 sro to 3e provided. Contingenoiea, specificdly La respect<br />
of pos3ible extensioa of the duration of shcrt tan! conaultancy<br />
semices are to be psovided. At tbe end of +A6 pojeat, dl<br />
provided project equiprent will be tur?lod over to UEBP for naa<br />
LII fukm dizect support projecta requir- these inguts.<br />
*
60. The Central Govorchont hp1ementh.g md wxortiq ancfee<br />
a d Inntitutiona in oonnoction <strong>with</strong> ?re?arstion of ds'alled 21-a
I<br />
~~/'Doc/L - :'age 28<br />
In terzro of promotion md coordinztion, the a-~rcise will<br />
result in a vide diasemilnation of the new stratag?' ax? the mobill- .<br />
zation of governmental and non-govanmental reeowoes in support<br />
of it.<br />
62. The Rer~ise will also reault in a series of Plerzs of Aotion<br />
by CounCf ;Idminlstratlons, Gooernment Agencies arid pivate sector<br />
orgzzations which indicate +& present na*e of *heir developmental<br />
functions, administrative srr-emnts and acti7ities zad<br />
how -2aee functions, abilinlstratiw arrangeunta yrd actiplties<br />
&?e to be rs-orieated and re-etructured to ~XLfill &&e raquiremsnts<br />
of the rurd development strategiee and tactical meRsucea. kee<br />
will form tfle basis for e draft Xational Plvl of Aa3$,01?. on 'seesurea<br />
Q be taken to implemnt the zf?w rurzl developmnt strategies.<br />
6j. FWlly, the Exercise will mnlre poeeibla for indunion in<br />
the new National Sooio-Economic Development Plvr 1900-1964, a<br />
draft seotian on the rural development aagecta of the inoluaiw<br />
;~pcta of external assistance.<br />
"
aazt. has also czeetzd a h-al Deveiopsent .Tr& ?orce-wkAcD- is :a.&d=i-. -<br />
strativelp attach& ta the office- of<br />
.<br />
. . . . .<br />
. .<br />
. -.. . .:,.- -. .: . . . . . .<br />
. ~- 5.. r<br />
.... . . -. . . . . . .<br />
. . .<br />
. - ~. .... . .<br />
....<br />
.<br />
the Tice.2esident.azd c ~ d s a - ~<br />
- the Vice kesldent of LiSeria as Chat=*&, d .fcez.o*A~.ze~Be:s~<br />
. . . . . . . . . . . . ...<br />
-.<br />
. -<br />
on SekE of. th+ Gav-eat hss also ..... -<br />
. -
. ,<br />
. -<br />
. . . .<br />
. . .<br />
. . . . . .,<br />
. .<br />
. . . .<br />
. ;-. .<br />
Fi 3<br />
. . . . . ,,, . . . . . . . . . . *,<br />
,. ........ . ..... . . . .... -<br />
... ''I : -<br />
. ,..+. , . .. : .;. . .<br />
. . .; ~. .<br />
. . .... . , . . . .<br />
. . . . . .::. ........ . .<br />
=efaren,ce of tbe Rural 3evelopnent Task Yoroe vhich, amcg othar things;, ; ,<br />
has the respcnaibility for orchestrating the' Tda-Year Rural Developent ~<br />
Pilot Rsrcise. ...<br />
The entire &al developant exercise viil be pxesusd & thee' , ' . ., .. .<br />
. .<br />
. . ; . . . . . . . . . >'.. '. .:..<br />
disthot but ove&ppiw phases, vith each phase having its 0% 1 . . .. ,..,<br />
. . 1.. . . . . .<br />
. .<br />
richeddes, tasks aad gods. Phse I which began <strong>with</strong> the h-,=l" , ' ; .....<br />
. ... . . . .... . .:..<br />
.. ..I . .<br />
Develcwnt Assessment assion vill tamiziate after tge estabiisbent .', . .<br />
. . . ........... . g..i . . .<br />
... i-*-'. ' ., ' .<br />
. . .<br />
of z X%tiorel ?Ian of Action fDr the impleaeatation of thi Strategies "....<br />
. . . . . -. .- ..:. .... . .<br />
an6 Tectical Meesures. Phase ii &hioh will begin tovazrda therod<br />
. .:- : '. .: . , . % .<br />
. .<br />
...<br />
:', . . .<br />
. . . . .<br />
. ;.! . . . . .<br />
?kaoe 1) possibly in JsaE-try 1979, will have as its .&jar goal 'the<br />
. .<br />
. . .<br />
. .<br />
iderrtificatioq of projects sld grogrannuas to be hplemented &the<br />
...<br />
. . . . .-<br />
&-; . . . :., - . ,.: .. ..' . . i .<br />
. . .<br />
z a l Gees <strong>with</strong>in the term of the Bztiond '~l& -of Aaticn as r&ibli.shed :. ,. ,.<br />
. . .. .. .,+: ... ; .. ,-.-, $ :<br />
-. . ... . .<br />
.....<br />
5y ~ a sI: e ma2 III v~ch is 'viasled aa the e i d phase ii the ...... , ,,. .. ,: . .<br />
. , , ,_ ._ ;.- ' . .:>.<br />
.. . ,'.. . . . -.<br />
'F<br />
Bercise end All overlap <strong>with</strong> the latter part of II, possiblg<br />
. - . . . '?<br />
" . . . . .<br />
..; . . .* i<br />
in July 1979, will involve essentially the detailed progzarming bf . . . ?.<br />
==a1 de~elopment projects and 2rogrsumes identified in the pra~ioaa<br />
. -<br />
. -. . ..- . .<br />
phsse ac6 ircludad in the 1980-44 Fedlorn T~D' ~oci&~corcnic I&. . . .<br />
All actors in the.3~~21 Develoynent~Eierciae<br />
vill be oonstantly<br />
.: .<br />
.......<br />
. . . .<br />
L . ' . ,..<br />
-. -. .<br />
. .<br />
i=foned of the progressbeing de, the tasks for vhich they vill'<br />
. . . . , ..<br />
. .<br />
5e rssjmnslble znd the kind of 3u.ppaz-t vhich viii be avhlable.<br />
. . . . .<br />
Souever, oC bediate ooncem is the proced-aes'to be follcved and<br />
.<br />
Yte activities to be undertaken in Phase I.<br />
. . . .<br />
, .- ,. .-<br />
hse I of the %3rcise is pa&-ily<br />
. . ...... . . > .<br />
concezea vith the establish-<br />
===? of a !:ationel Tlan of Action for the bqlenentatim of the nev1-y<br />
.. , .
ti-re units belm the level of the C O M ~ as veil ta aontaaous &/or<br />
. ...<br />
.~~ .- .--<br />
. .<br />
tzaditional ht1t;ltlona of the =aral people; and pimtd hii++
Task Force felt that the ecriicz &tee, i.e. September 30, 1978 and<br />
Decezlkor 31, 1958 ~io~ided adsquate t3e for aubmiasions of the drdt<br />
a d fhal asaesssents resgectively. -her, theaa eclier dates'<br />
will make it possible to maintain the a&e,dule owisaged . . in the. :<br />
@ecutive Order.<br />
, ... . .. . .<br />
. . .<br />
'P. . ...<br />
The esrlier dates for the aaseaamenta also irean that the process<br />
of identifying and eelectizg local volunteer experts to.assist the ..':.:.<br />
.. . ... . - ..<br />
County Adminiotrations ad Social Welfsre and Civic Organisations<br />
6 .<br />
. . .<br />
mat be acoelerated. The Task POZ-,~ haa suggested two poesible vays?'<br />
. . . .<br />
.* '<br />
of doing this in its papez, "lmpletezlizg the Ezsontfoe Grdern-. .: l?x- . ..<br />
..<br />
., . . ...<br />
. .<br />
. .<br />
some deciaiona mast be t&en quickly Ff this Bzerei.se is to be . :< :<br />
? .<br />
. .<br />
. ,<br />
. .<br />
. .,:. ,:<br />
aescingful. As such, thoas pazticipnts .who., would. li+e to- bays: . ; -ii' . .<br />
. -. , -4,.<br />
vol~uztteers should indicate this to the Task Force as ear1y:aa pooasihle.'<br />
. .. . .<br />
Addltlonallg, the raepccsibility reat uith each,~om&ent Ageacy - -I.. '<br />
a;?d -st= as well as each Local ~ ~ a t r a t i errvislj3e.i o a .as ,. .t:. :., .<br />
. .<br />
reqPiring external tecMc4 aseistancs in the auhmissionof its : .<br />
fi3el assessnecta, to t=2.nsmit to the Task 3orce by September- 30,<br />
1978, terma of reference and job deacriptiona fcr the eqerta. . -<br />
neee shculd include a short bsckgso~ on the Qancg, Xiniatry *r<br />
Local Abbist;atioc, the kizcl of technical assiszance nasded, the - *<br />
dntles cf fha expert, the de-etion for which the expeitiae is rsqrrl-ed,<br />
4 facilities which vill be mde svailable for the expert.<br />
It mat also be poi~ted out that the asaecament task is meat<br />
to he ncre than eiTher e ;orod recital of existizg problems dr a<br />
aera cataloging 03 each qencg's pre3er.t developmeat fuxtions,<br />
e.&mhistrztive ar=qcrr,eata end ectlriti;s. These slementa ssa ideed<br />
. .<br />
. .<br />
, .<br />
. -<br />
...<br />
*
: . .<br />
. ~ . . - <<br />
.. .. . - -. _ . .. -<br />
. . . -- -.. . .<br />
. .<br />
essentid and vill shed light ot the agenoy's jrzssexA ce~bllltics.<br />
. - .-<br />
-zi. . . . . - - . .<br />
Y-<br />
.e.*<br />
.<br />
of the po%entids inherezt b. eeoh agenoy & the 3r+ocnditioc~-~-.. . . -. . . t s..:-<br />
. .. . . . . . .<br />
tsak is an artiniletioa by each wncy of, -sic< ,%. 3t: yg& .tLe t -<br />
-.. . .<br />
-.- 2 :: ...-r .<br />
:-<br />
totd strrtegies cen .be Zuil? ;mlamente& a. ... the sko2ast pd+sibls .- - . . - .<br />
. . -<br />
. ~.<br />
. .c<br />
the. . . . .- .. . .. . .:.<br />
. . .:. /: - -. . .<br />
- .-<br />
of cIt-f+, the T2ak irorre bs. di-rided *Ae &-as 02 activities ht3 .
(5) evelo lop linkages between yam: ar-. sctivitiee . : . .<br />
~ o a<br />
..: . .<br />
amail acae indrstries which can either . ' . .....<br />
.. .<br />
. . .- . .<br />
m;plp you <strong>with</strong> imta (sazvicas 2nd prodnci;a) or . :. . : . '<br />
. . .' .<br />
" .;. -. ... . .<br />
J . '<br />
vhich you say be able to sumly .dth inQuta. . .<br />
.<br />
.: :. - .<br />
.<br />
..... i. . '<br />
. . . . ... . ::..<br />
11. C~?C/SOCUL W3T2hsE OEGXTZhTZmS ...<br />
.....<br />
r,.<br />
ci<br />
, . . '1 .... I.... ..<br />
..*L~~.<br />
.; >-;* .,: s .-6 ,<br />
. .*<br />
. .<br />
' .<br />
.. :>..:,, ......<br />
*
. .<br />
the rural sreas has csatributed to the desertion .of the. k.&as- :,.-'. , .<br />
by the able- bodied f cr the .concoesicn enolavas and ~o&?odd; ?.,%a<br />
.prbcesa has tanriz5. to creata problems ..both in the areas . ~ fk&<br />
. *e midation bwne as- well a8 at the: t e m l<br />
t s .<br />
'. l;<br />
: 4 .... ':. .....<br />
). . :.->. .*. ..<br />
. .. . . ' ,< . . ,--.:. *: . :.<br />
: .. . .<br />
.vh%~h. ........ ,_ :<br />
..: , . < . . . .<br />
poiiita:.g.the .. :., ... ..: ~:. .,;: .. v.. . .<br />
. . ;; :; ..... ..: , .. .1.<br />
. .<br />
.me Task Force theref ore, beliwhg the*; the.-k.&+oprne& ' . .' . . . . .<br />
: . .......... .,: : ?... -._ -.<br />
. . . .<br />
.d,ecelerate,if .... .' -. .... . , ,.:<br />
of ezployment cpportunitiee k?. the,. mxal .areae. .?dl1 . . . . . . . .<br />
-<br />
idras, -&ions, ~ropcsals,'etc., ia" ..<br />
idantifyicg h e necessa?i prrconditicns far dch<br />
nndartaklngs a d in whichthese ?xe-condfticns<br />
cza be =st.<br />
~ .,<br />
. , . . .<br />
. .<br />
' <<br />
Indicate to the Task Force go& nidmm ~~r,~~'eq&ites - .<br />
far.<br />
,. -<br />
the decentralization of activities as \ell as :.<br />
the Uad of eoncomic lkkngee which cerr be genersted.<br />
t.p yaur activities ad lccztioc in key rural aeas.<br />
~.<br />
. .
kz5cg %a 2 1 6<br />
Task: "orce would lee m e<br />
. .<br />
cd kiplaezt- stages. 2018 spc~F'i-,<br />
. . _ i<br />
. ~. :.:<br />
... .7: .<br />
. . _ ... . . . .... .-<br />
.. -<br />
ZeeCcack :-on & t kal&~+~:. ' -<br />
. .i
. . . .. ,. ,.<br />
.... ,:. .<br />
., - ,. '.. *.:,<br />
. . .<br />
. . . :.<br />
. . . .l.'<br />
. . .., .<br />
......... .IT<br />
:..-<br />
, ......... '<br />
'.<br />
- . .<br />
. , . :... ... > .......<br />
. . +.* . : .....<br />
.mTT/2cc/l/m./l - ?a& 10':'. 1;: .:.<br />
(1) 5 e utilization of the pevelopment Budget to , . . . -?. ; r . I<br />
encourage the integration of development projects '<br />
s<br />
'<br />
in. the' pl-ing, gro+pa&ing a d bpleme&i& . ,<br />
atzgee. This cokd gossibly be acham-pllsheh .anoag.<br />
. . ,..<br />
.....<br />
and<br />
. .: .<br />
. . -. . .<br />
aganaiec by the Ustry of P w . . ~&&&c, . '<br />
. . . . . . . . .<br />
.I :I . ..::> . . .:.<br />
;:<br />
affai-c~ ad by "Budget ~o&ttaek" <strong>with</strong>in es& ........ . . . .:. ., . : , ..>: ,. .. .<br />
.... . . . .<br />
amcy, if in assessing the budget- ;:1 . ' ...... . ., '. :<br />
(3) The eotablish8nt of f 0-1 fw.~ctioaal li-s<br />
emong Donor Agenciea partici?ati?=g in Liberia's . .<br />
. .<br />
. .<br />
. . -.<br />
Rurd Developzmrt effort. Ws ahould be' done . . .<br />
.I . , %.<br />
. . .<br />
<strong>with</strong> the aim of minimizing jurisdidtionsl conflicts .. . . . ,<br />
.... ..<br />
. .<br />
among agencies, as well as effectuating coardir?zi'sd ......... . . . ,<br />
. . . . . . -. ,. .<br />
sssimtase to the entire Exercise. . . . ,.. i '<br />
, .. ....<br />
\ ?. , , . : .<br />
:<br />
. . . . . . ~ .<br />
CmCZUSIc~<br />
. . -. . ..<br />
. : ..,. . ' . . - 1 .. < .<br />
. .<br />
. . . . . I-. . . . .<br />
As noted earlier, the above possible avenues of. acti~Fties . . - ....<br />
. . -.<br />
at this ti& rerely eqloratory and a-e. fatanded to offer sme .:<br />
. . .<br />
.: ', . . ...<br />
.. .. .. ><br />
r..; ,. . .. .,~. '. . .<br />
.^ ~ .. . . .<br />
tentative ideas of .the Task Force. The. list is theref or0 neither . i ....<br />
; ... r. . . ....<br />
...<br />
&nstiva!'nor definitive. Emever, the Task Force feels. that. t@.,.. . ,;.<br />
. . . .<br />
..<br />
. . . .<br />
of auch ideaa can begin to genente additional thoughts .... a-. .: :] ':<br />
. . . I . . .<br />
sugge$tiana on the pert or' .participants and set tfie. stage for .f&h,+ - -<br />
: . ..:<br />
. . . . . . . . .. ,<br />
. . ..? ., ..<br />
I'.,.; '.<br />
. F-roject Y!--er:<br />
Appendix K<br />
.. 0. 101<br />
.ormvlA<br />
REPUBLIC OF <strong>LIBERIA</strong><br />
MINlmY OF PLANNING AN0 EtOMOMIC AFFAIRS<br />
- A un he~eby forwarding for your iafo-matioz co;m<br />
of a colicy caper w&ich contaim our .ziews on tl?e<br />
basic ixstitational frazeuork 2ecessarr for a or=-zeC<br />
crow to assist in tine aevelopect a d pronotior of<br />
small-acale enterpzises k Liberia.<br />
and zegaz5s,<br />
?he Project<br />
Partnership for iroductivity<br />
Yekeg, UWCO<br />
Liberia
-ETT3ODUCTiON<br />
One of the basic 0bjecti~~S of the econopic de-loooent<br />
strzteg~ of the Liberia Goverr,nent is the fuller -+icipticr<br />
of the Liberian people in the nation's econonp. me develoyent<br />
of Liberian-ovned smzll-scale ente-isea ia one of the *dap in<br />
L<br />
-&ich this objective of Gove-ent con be accompliaked.<br />
It is recognized, however, :hzt the c~Tent 2evelo~ect pla~<br />
hid cot zdequntelp deal <strong>with</strong> the izatitntions and ylicy aeamzes<br />
necessary to encounqe and promote the developent or' s-all-scale<br />
enteqrises. As a result, many of the -problems vhich plagued<br />
this aector of the economy a=e still present.<br />
Secently, a number of institutions, sucb as tbe iicrld 3azSz,<br />
TJHDP, FXO, PF'F etc., bve shown inte=est in asaist21g aad Sevelop<br />
ing small-scale enterprises in Liberia. UaDP bas established a<br />
project in Lofa Count7 designed to promote ryal kdaafriea<br />
requirinq a very lov level of cagital. P-e World 3adc, 2ogefber<br />
<strong>with</strong> the Sibez- Developent Coqioration (ZX), hs Sew a<br />
nation-vide swey to find out what would be needed to assist<br />
small-ecale enterplaes. The ktch ordaatfon, ZO, is<br />
woru vita the iiberis 3ank for Develoyinent a=d Imesbent to<br />
develop an assistance propoaal to +he B e ~ e Tor r the ~ develop - -<br />
sent of this sector. The Or~zzation, Z-etshia :or P-C&LC-<br />
tivi*/Liberia and its affiliate in the USA h ve been vc- 9<br />
Jppe= Yizba for about four peazs.
!:D<br />
"OR CCOR?IYATi??T<br />
The proliferation of concen and efforts shown by the<br />
abovementioned institutions and the need for systemtic glan-<br />
ninq for the development of small-scale enterprises require<br />
coordination, so thzt Government can be in the qositicn to<br />
effectively assess the impect of the o-?en11 ?ro,-rm. The<br />
Liberia Tevelopmant Corporation (LDC) which was established by<br />
Govement to perfom such a task, anong other things, ia theze-<br />
fore the approgriate agency to coordinate all proglmm dealing<br />
I<br />
<strong>with</strong> teckical assistance jcd the develonment of small-aczle<br />
enterprises in Liberia.<br />
.~SrnUPrnI?TG OF T3C<br />
In view of the added em$-iasis which Govement is placing<br />
on snail-scale enzeqrizes, it is quite evident that the present<br />
or@nization of LDC is not geared towuds providing the kind of<br />
supqortive semices which will be necessary to develop small-<br />
scale entevrises. 'riithin a re-etrctured TJC, a new departnent<br />
should be established, staffed <strong>with</strong> qualified personnel end<br />
equiqged to do the following:<br />
e)<br />
b)<br />
help in the creation of Liberian entrepreneurship<br />
by conducting shark courses in accounting, bookkeeping,<br />
small business namgement, etc.; in<br />
c~llabo~tion <strong>with</strong> the Siberis Opyorhuzities<br />
Industrialization Center.<br />
identif-y tnd develop projects requiring between<br />
$1,000 - $50,C00 investrent capital;
c) assess Xzket ap-,?z?dties for szll<br />
businessnen; =i<br />
d) ?nvide aavisoq ac-=vices<br />
In order to hprove the c?pbility of -dC to effectively<br />
execute these responsibilitie:, U C will' be requizcd to pre>%re<br />
specific term of reference cle*rly defi~ng jobs -dhich sI..o~lz,<br />
be occupied by com~etent individul's. '!he tens or' rer'ererce<br />
shad be *'.rrwn uq by ;.k=ch 1, 1?79. Imiloiduals ~ 5 tcorsidsra- h<br />
ble experience in ?hi: field md jmvided uder aq- tecjr;iczl<br />
,<br />
osslstace =-=genent will foa a part of the ope-=tiq staff<br />
of the small business dewztmnt iz i3C 3rd vili be =Cui=eO to<br />
to c z q on the jab zfter the ten of the foreiq enezta e~irea.<br />
+zr-lic.~lar attention he8 to be Jaid to tine quality of this staff,<br />
Liberian as well es expztritte.<br />
Xhile the= is no lower 1%: vi-th reszect to the s5ze or<br />
carritzlization of a small bushess, s csil~sq of 3:O.CCO a?zerrs<br />
to be reasoc+ble. Dea~ite the 1-t of tEz ceilia-, Gover==ent<br />
would =Is3 encouzzge 3ushess oenazes 31 a somevkt L-gez<br />
cagital outla7 and emplo~ent effect, -8kich itodd atill 'ZT+ to<br />
be conaide=ed as "s~zll scale", but vonld zot specificall7 cone<br />
uzder this >rog=arme. Gaverr?menr will give attention to *&is<br />
asject when fodathg the -msoectiv~ st~-3egies r'm -2e Secozd<br />
i7ationz~l Socic-?sa~smic 3es.elapent ?la (.iulj. 4933 - 19e4).
?IYAXC 13G<br />
The unavailability of capital and the absence of credit<br />
fac~litier .are tvo of the major impediments to the development<br />
of snall-scale enteqirises. The Govenment therefore attaches<br />
hi,+-priority to the setting up of an appropriate frznework<br />
that will ensure that conceasio~ loans reach those enter-<br />
prises whose projects have been properly screened by the agency<br />
designazed to asaist ?nd provide senices to small businessmen.<br />
The ~ationaf Bask of Liberia will be resoonsible for prc-<br />
viding cre&ir to projects approved by the Liberian Cevelopment<br />
Comorrtion through a credit line made ~ailzble by the World<br />
a& an$ other multilateral and bilateral agencies interested<br />
in the pzom. Financial instlzutions such as the Liberrt<br />
Ed& foz Development and Investaent, the Xatimai Xousizg and<br />
Sa-ring %I&, the Agricultural and Co-operative De~elopment<br />
aank and Commercial banks will be encomed to make loans to<br />
Liberian business under the Credit Guanotee Scheme of the<br />
National bank.<br />
With respect to control of businesses ti??* receive loans,<br />
it should be absolutely clear that only fully-ovned Liberian<br />
busineeaes will be beneficiaries in this prow.<br />
The entire prom will be actively reviewed by the 3oard of<br />
the Liberia Develoyment Cor;lontion to ensum the desired r~sult<br />
of giezter participazion of Liberians in tbe ution's economy.
~ ~ ~ 93 ~ ~ m S ~ ~ ~ > ~ J I S ~ ~ I ~ H ~ ~ I ~ ~<br />
Given the shorttge of jersocoel 93d ,-sources, =he star'f<br />
of the smzll Susizess dewrt3ect of XC IJroper ehoul2 foczs it3<br />
attention for the i-rmedirte 3ture on a fsw L-~EI? areas. ?he<br />
JSDP a d PFP which isve already began ror4 in the x-a~d ~ z a 3<br />
vill be peetted to continue under the -3rella of LX.<br />
FOLLOV-F? -<br />
?he development of nwment skills kt Lijeria skculd<br />
not end <strong>with</strong> £0-1 training ?romes. :n order to Eevelop tke<br />
sgyopriate Susi=ess climte a d attitades, effo-es to pcmte<br />
Lijerfza entreprenemhip should be accmmed by a cz-efal<br />
follov-u? of each enteqriae vhich hs ?&icqxted<br />
-_ i- the jrc-<br />
ma, eo that on-the-jab advison se-??Lees oaa 3e --endereE as 2<br />
addition to fc=l -merit co=ses.
13 tne UiJ3P project document, ::c 3rc progosinf 'xo as?ects of<br />
assir,tnr.cc to r'i~'a1 entreprbneux:<br />
(a) i l ; techaical, 02 nccountiq sup~ort, where37<br />
busilcss e::tegsion agent:: tioul6 emlutte the possibilities<br />
of n~ir<br />
assist each potenti31 eatemrise 7k thc a2propriate<br />
nzeas of support, trainLz5, coorclisation and supervision;
I<br />
~f tile ?.i?Tr: ~12s to be creeteii es n brand] of IX, this would be a<br />
5002. zol11.ti.m Lor insuria!: full coordhtion of thoir efforts aci<br />
fac pnx-cnting the establishncct of another ~ktitntion. However,<br />
wljile PY? has made p?at 3raCress in assisting ent2epreneus in<br />
the LW;0 area, LCC's fuctionc me about to be redefined, and their<br />
ca~a5ilit.i.e~ ,:~iLl not 52 a5le to be detexined 3efore e few yeers.<br />
T5erefore if the R!?IC is establishec? mder ?,T sann~enent an&<br />
~er.:c;-: <strong>with</strong> LDC, there is a ?.2?..-2= . that ~ C ' S takeo-rer might<br />
r:cp,--;crzc!.r: pffcct "IT' s aal=eaL:,' .::uccessr'ul onzoinr;. onerntiolls. For<br />
this rer:zon i xculd su.;cest ti;:;:: t-hc 2TiC 5e established initizlly<br />
oa m 2t::;onornous aEenc7 <strong>with</strong> t!ic proq?ect of mer~;Ac <strong>with</strong> LlX ar"ter<br />
o fo?~ JCais or' operation, when it ill be possible to determim the<br />
exnct forn of the relntionsbip. ,<br />
R!EC could Le set. UT, $a the caEez ol' the current a-~agerpest for :<br />
"Soysto~n Imtit;lte", OPE ot;-ics. For Zoystotm, operntions are<br />
overseen 57 a 3Lz~tor who is ~esporrsSole to a seven-msn boa=& of<br />
rep;osectetives r'rom the Ei&copalChui-oh (Cbai-nuan), the Flstries<br />
of Justice, La'aour, e l Zducation, Arniculture, a d the Difectsr . .<br />
himsclf. Ti;e Ins'titute has it= om autonom~ for h i r k personnel, ~<br />
.<br />
sslazits, etc. P-banci33 coues. from three souzces: a $W,CCO<br />
7eazl7 allotaeni;, dishmed c_u;rtcrl~ frsn tbe Y i s t q of Eealth<br />
(mder t>e "subsifies" budget Ue) , donations, and profits from - -.<br />
the onzoirz.; ?oulSq oroject. The Kbistzy of Eenlth is also<br />
_sro:ri:.'y; $250,CCC3 m&er its developnent Suclget for an eztension<br />
- of the ~stitute.<br />
.
-'-- -..- ?kse L Ir?jec= Azea ii I-3C iz.+ll -6 -'-a<br />
i3dcstzies ~ G O<br />
,..- .,. ---- - --<br />
Lez =f =-=-I<br />
L C '9 ~ j-s=ify =ke i~=~.~sio- ;: + =:ily-z3=e~ei<br />
-<br />
-<br />
_ ramorion se-vice in as= I Prajecz. Xever5el=ss, rxe<br />
measures could be intrsducel lei-c -I 5 e ??ase I Ir;jec= ;s<br />
assist specific r~-d ix5usrzies r?6 these zersil=ts c=clS =her.<br />
be developed as the 3raject is extendel. The Ll+ckszLt:1s<br />
workshops would undoubtedly benefit from C?e i-tz~?x=isr: sf<br />
agricultural machinery such as Bower tillers. I~iti=l>z -, =5esa<br />
machines would be providee by the Project Xc5zi~iscxetio;:<br />
. .<br />
2r.l<br />
maintzined in +2'e XOA workshop at Gbedin. sowevex, xt :s Zczeseen<br />
that res?onsibilizy for tbe mrihtenznce of tkse =ec>ir?s<br />
would be quickly 'd+nsferred to arivate con==2==3re. The rice<br />
mills would also repuire nore ar16 better re-,&= a1d aair.t=:ace<br />
services than at present. Assistance to Kle blacks:kt5s azE<br />
workshops to carAy out the re-szir azui rnzi:t%?+nce sf K:=se .;+=:^.ines<br />
should therefore be one 0% the su?pcr= .seasilss ix-z=&ceE<br />
by the Phase I Project. Ot??er ;aeas=es to be i.l=rclxel by tke<br />
5hase I Prpject would ir?clude crainizg o r opez+=czs it z:le<br />
rice dlls in order t~ inczease the teL?nical ef5iciency of<br />
t%ese mills.<br />
During project ?rep&-etion antact vas eszablfshee . '" ,.&e<br />
maagement of Cne Patnership for Praczess (Jt?) ix or&= =o<br />
ascertain whether 'chis or~aiza=ion would be ?re?azel == extend<br />
its activities to Sic ihase I ?rojec= ker. The - - ?I<br />
agreed to this proposal on coneition t?~az its s=r== iiocld 5e<br />
assisted by a menber of a GeAmzn vcl?z?trr- ser?ice kr &eve-<br />
loping countries. In %:is case the ??? vocld ie in + =osition<br />
"-D offer its range of suport measures to soae in5~scries<br />
in the Phase I Area.<br />
On the assumption that such an &zzangenent w i 5 li?? 2-oule be<br />
possible a total of $ 10,000 h+s been izclzdel in tEe Tc=rl<br />
lroject Funds a d is irceneec? to provide zeii!a-=e-~ ceeilto<br />
rural indu~-~ies. This aao~?: would be inckied iz 5 e<br />
Revolving Credit Fund. at tile ACDB a& woul2 cr.9 be reiehsel<br />
on "the agreement of the ?F?.<br />
5.1.4 Social Services
TEE SWEDISH .L!PROACX TO E XiNG<br />
(Available in &-R/DR files)
PROJECT LOCATION:<br />
PROJECT TITLE:<br />
FUNDING :<br />
LIFE OF PROJECT:<br />
IEE PREPARED BY:<br />
INITIAL ENVI?.OW-?ZNTAL EXLYIXATIOS<br />
RECOMMENDED THRESHOLD DECISION:<br />
NXGATIVE DETERYINAT<br />
MISSION DIRECTOR'S CONCURRENCE: ,<br />
Yekepa, Liberia<br />
<strong>LIBERIA</strong> - Nirnba County Rurai<br />
Technology 669-~13<br />
S3,23S,f00<br />
ASSISTANT ADMINISTRATOR/AFR DECISION:<br />
RECOMMENDATION APPROVED:<br />
RECOPMENDATION DISAPPROVED :<br />
5 years (2nd Phase)<br />
Junes W. Dawson<br />
Rural Development Officer<br />
May 15, 1979<br />
! . / , j<br />
&no - R+ Ga~f i, Drrector b'<br />
Auqust 28, 1979<br />
Date
I. -i.ptZ~n Ot the hojec+<br />
A. ZntTducttcl<br />
rt L propcsd tnP.JU .grant of 33,2j8,700 t h AZtnarPhip<br />
fa REdoc+ivity mmdatie (FfP) om a wiod cd fivcgrrrt to carry<br />
outr~k0graahth.rrwafnx.lfrdtetryud~tm.l~<br />
6.m-t. #P L a u.0. hsd pi- and To&* rgsrsy that
.auPuU-cPu2efrrra~th.~fPd*~atprofect<br />
0p.rraam. a8 m t<br />
frrripO m=fAm L -<br />
w rhifttng<br />
dtiv8eicn, -, Ltck at mgrimltur'al fnpRa, la<br />
y&d&.luds rad lal -tabla Surpl-. HL & .ctfvitp is fas<br />
aultivatim of upland ricm aortly for hAm -, M cecwies<br />
*so-Oitbbnd. ~ U ~ o i t b r t a t d f ~
~dbltiuy, tm prohrtion in the project =a suifs-s<br />
aiLtfv1tioo prarucu ud t.ck of w f-cfon. Ua* =a<br />
-<br />
iraath.uer~logFcrl~esa, .i.*. Fc.xpkn**.
111. Discussion of Pro3ect Ixpzcts:<br />
In the completion of the Impact and Evaluation form we have<br />
indicated low to mderate impacts that would be caused by t!is<br />
project, These judgments vere based primarily on the findings<br />
of a lengthy ?Znvhnmental Assessment of the Bong Cowty Rural<br />
Development Project by the firm of Environment Consultants, Inc.<br />
which found that the activities being undertaken by the Bong<br />
Project did not adversely effect the environment. We believe<br />
the findings of tihis assessrent to be applicable to t!e pro-<br />
posed project because (1) t!e agricultural input packages and<br />
technology being introduced is almost identical to t?at of the<br />
Bong Project and (2) the overall environment of Nhba County<br />
. -<br />
is extr-ly similar to that of Bong County, i.e. the counties<br />
are adjacent to each other. A detailed discussion of the major<br />
project interventions is as follows:<br />
1. Upland Rice: Unlike the Bong Project, the project is not<br />
proposing the use of fertilizer on upland rice cultivation.<br />
It vill focu on the use of improved seeds combined <strong>with</strong> improve2<br />
cultivation practices. It will not pramot expanded upland<br />
cultivation, but rather seek to increase production on a given<br />
unit of land. It is recognized Ma+ upland ria farsin9<br />
through shifting cultivation has a long term deleterious effect<br />
on the environment. The strategy king applied to reduceex-<br />
pandad upland cultivation is the promotion of fixed swamp rice<br />
cultivation while at the same timc attempting to increase the<br />
productivity on the m -1 upland farms. There is
empherical evidence from the Lofa Project, which is now enter-<br />
ing into its third year, that farmors will abandon upland<br />
farming for irrigated swamp rice once they are convinced that<br />
swamp rice production is more productive and profitable.<br />
2. Swamp Rice: Swamp rice cultivation involves the clearing<br />
of vegetation from existing svamps and the construction of<br />
rudimentary irrigation works, eensisting of a central drainage<br />
canal, periferal irrigation canals, and earthen bonds between *ze<br />
inOividua1 paddies. This work is generally carried out by<br />
hand labor, except in rare cases wh@n working on a flood plain<br />
that is Ury enough to permit the use of squipmcnt. Unlike<br />
upland rica, chemical fertilizer (ma and ttiple sum phos-)<br />
phate) is used and chemicals am usad to wntml weeds and<br />
aotfxeaks of stem borers. The pruject will use MBA and<br />
Diazim, both of which have been approved for use on (RTamp<br />
rice in the Lofa and Bong County Projects. Only farmers who<br />
h.m received proper traiaing in the use and application of<br />
pesticides will be pcrmftted to purchase project financed pesti-<br />
cides. Likewise, protective clothing and devices will be<br />
employed where applicable.<br />
-<br />
Large ecale clearing of land for wamp rice cnlttvation mld<br />
ba detrhntal to the euisting flora if it involved a rmb-<br />
stantial araa. Hovevar, the typicril swamp w ill not ex& trPo<br />
to thrae hectaras aad the total amapnt of 5wamg available for<br />
-
potential development is only six percent of the total<br />
project area. .Most of the vegetation removed in the<br />
process of swamp clearing is large bush and sac pah<br />
trees, since tropical hardwoods can not florish in these<br />
super-saturated soils.<br />
Schitosomaiasis is endemic to Liberia and the proportion<br />
of swamp rice cultivation containes the risk of increasinc<br />
the rate of infection if not properly monitored and con-<br />
trolled. In the case of the Lofa Project, a schisto-<br />
acmaisis m llience group works in conjunction <strong>with</strong><br />
the agricultural development teams to monitor both the<br />
swamps and the workers. Swamps are cheaked for infect&<br />
mils prior to being approved for development and monitored<br />
on a reqular basis thereafter . Also, workers are checked<br />
for infection prior to being allowed in theswamps anB those<br />
found to be infected are treated. Though the use of these<br />
control methods, evidence to date indicates that increased<br />
svamp rice cultivation has not increased the incidence<br />
or intensity of the disease. A similar unit has begun<br />
wrk in the Bong Project.<br />
In the case of the proposed project, there is a team<br />
frum the Swedish Institute for Tropical .Xedicine per-=<br />
aancntly stationed at Yekepa rorking on schfstoaolraisis<br />
under the Liberian Institute for Biological *searcf...
I<br />
I<br />
I<br />
I<br />
I<br />
- 4 -<br />
This unit will provide surveillance and monitor the<br />
the effect of swamp rice cultivation on schistosomaisis<br />
for this project.<br />
Coffee and Cocoa Production: Coffee and Cocao are<br />
traditionally gram in Liberia as jungle crops, <strong>with</strong><br />
minimum cultivation and management. Under r improved<br />
management these crops are planted on ground that has<br />
been fallow for seven or eight years and the low bush<br />
is cleared away by hand-. However, both crops require<br />
considerable shade for proper canopy. Proper management<br />
also calls for the use of chemical fertilizers<br />
(15-15-15-2 and phosphates) and pesticides. Black Pod,<br />
I<br />
1 a fungus in Cocoa is controlled by spraying <strong>with</strong> cuprous<br />
I<br />
oxide and Lindane ia used to control capsids and myrids<br />
I<br />
on both coffee and cocca. Bcth of the chemicals have<br />
been approved for use in the Iafa and Bong Projects and<br />
wntrol of their use will be subject to the same conditions<br />
noted above for the use'of pesticides on swamp rice.<br />
-
Unlike aqriculture, it is more difficult to exarrine Lie<br />
environmental impacts of the rural industry sector of this<br />
project because it is impossible to accurately forecast what<br />
types of entrepreneurs vill come forward to request assis-<br />
- tance. However, to a large degree one can be guided by the<br />
type of individual projects that have occurred in the past.<br />
For the most part these have hen small operations that employ<br />
approxiamtely six people, e.g. brickmaking, charcoal production,<br />
furniture making, poultry raising and comercia1 pig raisinq.<br />
Of these type of projects t??e one that could potentially create<br />
a negative impact is charcoal production if it is not properly<br />
controlled. There are vast quantities of waste timber from<br />
the existing logging operation in the project area and the<br />
clearing of swamps will create localized aupplies of timber<br />
that lend themselves to charcoal production. Using various<br />
intermediate technologies, charcoal production can become<br />
an Fmportant source of off-farm income generation, but this<br />
can occur entirely through the use of present wastage and<br />
<strong>with</strong>out the falling of trees for this express ourpose. Also,<br />
the Forest Davelopment Authority is we11 established v i a<br />
project area and enforcas logging and timber managaacnt a-0-<br />
tiations .<br />
the
- 6 -<br />
A major thrust of the rural inZustry sector will be the<br />
application of appropriate technology. By their very nature<br />
these activities have a minhal envimnmantal impact: they<br />
are labor intensive, require minimal outside energy sources<br />
and are widely dispersed rather than being concentrated.<br />
See also the Environmental Assessment of Pesticide Use,<br />
Appendlx 0.
- act<br />
1'. 7-=.7:". yj,cy %<br />
1. Cbarqi?r; 2 ~ character 2 of t;?e la~e throuc:?:<br />
..................<br />
a. Incrz~sin~ the pas-~iaticn..<br />
b. Extrxtizn natural resourzns ................<br />
c. Lax: clearin? ...............................<br />
d. Cttzgicr soil chazacter......<br />
2. .Qterirq natilral Zefe.?sas....<br />
...............<br />
...................<br />
5. Poreclosinq .inportat ilses......................<br />
4. Jeopar3izinc r.ar. or his 13n3rk~...................<br />
5. Other factors<br />
r.-\TZ? ?c>z.Iy:<br />
1. Physical state of zater........................<br />
2, ChsC.cal azE bioi~ical stztes.................<br />
3. ScSor~ical bala~ce.<br />
4. Ot4er factors<br />
............................
E. CUL7C?1Fi4<br />
I. Alterin9 physical sl~bols ...............<br />
2. 3ilution of cultxral traditions..........<br />
3. other factcrs<br />
....<br />
P. SOCIO~CO::G~!IC<br />
1 Chzaqes in econonic/ertploynent petters<br />
2. Changes in population .....................<br />
3. Chanqes in caltural patters ...............<br />
4. Ot5er facto=s
-.--.-,n?. . .,----A<br />
-<br />
I. Internetianal impecr;s ........................ Y<br />
H. GL..-<br />
2. Contrcversial ir::pilcts ........................ L<br />
3. Larger pro~rm i?pac=s ....................... %<br />
4. Other factors . .
ENVIRDNMENTAL ASSESSMENT OF PESTICIDE USE<br />
Project title: Eimba. Bural Technolo=<br />
Location: Nirnba County. Liberia<br />
Project Number: 669 - 0154<br />
Environmental Assessment<br />
prepared by: Dale G. Bottrell<br />
University of Califor5a<br />
UC/AID-Pest Hanaqement aid Related<br />
. Enviranmental Protection ?reject<br />
- 2288 Fulton Street. Suite 310<br />
Berkeley. California 94704 (U. S.A. )<br />
Telephone: . $15/642-9950 (Office)<br />
301/535-0740 (Residence)
I. INTRODUCTION<br />
1.1 USAID Environmental Procedures<br />
In accordance <strong>with</strong> the National Environmental Policy Act of 1969<br />
and relevant policies of the Agency for International Development<br />
Environmental ~rocedureslwere developed and published by A.I.D.<br />
in the Federal Register to insure that environmental factors and<br />
values are integrated into the decision making process and to<br />
assign responsibility <strong>with</strong>in the Agency for assessing the environ-<br />
mental effects of A.I.D.'s actions.<br />
It is A.I.D. policy: 2<br />
(1) to ensure that the environmental. consequences of proposed<br />
financed activities are identified and considered by A.I.D.<br />
and the host country prior to a final decision to proceed,<br />
and that appropriate environmental safeguards are adopted;<br />
(2) t~ assist in strengthening the indigenous capabilities<br />
of developing countries to appreciate and evaluate the poten-<br />
tial environmental effects of proposed developsent strategies<br />
and projects, and to select, implement and manage effective<br />
environmental protection measures, akd;<br />
(31 to identify impacts resulting from its actions upon<br />
the environment including those elements of the world<br />
biosphere which are the common natural and cultural heritage<br />
of mankind.<br />
1 Part 2L6-Znvironmental Procedures of Regulation 16 of the Code of<br />
Federal Regulations.<br />
2~aragraph 216.1 (b) of Environmental Procedures.
As a general principle, responsibilities for environmental decisions<br />
will be similar to normal A.I.D. organizational res~~sibilities so<br />
that an environmental awareness will _permeate the entixe organization<br />
and environmental considerations will be weighed <strong>with</strong> others in an<br />
integrated manner at each level of responsibility. Each A.I.D.<br />
official empowered to authorize funds will be responsible to the Administrator<br />
for implementing these procedures and obtaining and managing<br />
the required resources. .<br />
1.2. Pesticide Procedures<br />
. . gncept as ~rrpvided. in paragraph 216.3 (b) (2) of Enuiromnental Procedures,<br />
all proposed projects involving assistance for the procuremefit or use,<br />
or both, of pesticides shall be subject to Pesticide Procedures prescribxi<br />
in paragraph 216.3(b) (l)(i)through (v). Examination for the project<br />
shall include a separate section evaluating the economic, social,<br />
and environmental risks and benefits of the planned pesticide use to<br />
determine whether khe use may result in significaut enviroruneatal impact.<br />
When a '&oject indudes assistance far the procurement or use,<br />
--or both, of any pesticide registered for the same or sisilar uses in<br />
the United States but the proposed us9 is restricted by the U.S.<br />
Environmental Protection Agency (USEPA) on the basis of user hazard,<br />
. procedures, set farth in paragraph 216-3(b) (b) (1) (i) will he followed.<br />
- - In a&Iiticrn, the InitiaI ~mrironmental Examination vill include an evalua-<br />
- - tian of th riser bar& assrriated <strong>with</strong> the proposed USEPA restricted<br />
uses to ensure that the implementatian plan which is contained in the<br />
Project Paper incorporates provisions for making the recipient government<br />
aware of these risks and providing, if necessary, such technical assistant<br />
as may be required to mitigate these risks. If the projecc inclu6es<br />
- - . assistance fnr the procurement nr use, nr both, of any paticize other<br />
-. than one reqistered for general use or for restricted use on the basis of<br />
_ user hazard or any pesticide for which a notice of rebuttable presumption<br />
against registration (WAR), notice of intent to cancel, or notice of<br />
intent to suspend has been issued by USEPA, and Environmental Assessment<br />
or Environmental Impact Statement must be prepared as specified in<br />
Paragraph 216.4 (a) of Environmental Procedures.<br />
: Paragraph 216.3 (b) (1) (iii) .
1.3. Need for ~ n v i : ~ ~ ~ ~ ~ ~ " ~ ~ ~<br />
Table 1 shows the es proposed for use in the Nlmba<br />
Rural Technology Although the current regulatory status .<br />
of the pesticide pf~r use in this project does not requlre<br />
the preparation ofr~Mental Assessment (EA) two of the<br />
pesticides are uncQAR review, service and Gram oxide.<br />
Accordingly, to plthe necessity of preparing an EA at a<br />
later date, if eiP~th pesticides become subject to an<br />
RPAR, an ahas @red -at this time and is provided herein.<br />
2. PROJECT DESC:~ BACKW.Om<br />
2.1. Introduction<br />
1t is proposed togrant of $3,258,700 to the Partnership for<br />
Productivity FOU~~PJ over a five year period to carry out<br />
a program in rurzry and agricultural rural development. PfP<br />
is a US-based pril voluntary agency that has been working in<br />
Liberia f u apprg five years. Tbe agency is based in Yekepa,<br />
Liberia. the sitrLAMC0 irk ore mining concession. 50 percent<br />
of which is ownec Government of Liberia. PfP was requested to<br />
come to Liberia fining concession to carry out a program to<br />
diversify the ecase of the concession area, so that Yekepa<br />
wouldremain a vimmic community when the mines are depleted<br />
toward the end ohtury. In the past five years, P£P has<br />
assisted a wide lenterprises by providing managerial training<br />
and assistance, and technical guidance.<br />
2.2 The Project<br />
Funds provided W project will be used to (1) expand and<br />
extend PfP'S exismices in rural industry and appropriate<br />
technology, and (ate a major program to raise the incomes an<br />
and living standapproximately 5000 subsistance farm families<br />
<strong>with</strong>in the pro jet<br />
The project also k to organize village development conunittees -<br />
that function to t village self-help activities. The project<br />
will be carried o\ two northern-most clan areas of Nimba<br />
County. The projt encompass an area of approximately 1800 square<br />
kilometers. It jthe large urban concentration at Yekepa<br />
<strong>with</strong> a populationi <strong>with</strong>in an area of no more than 15 square<br />
miles. The human on density of the surrounding rural areas<br />
average 40 to 70 Ee mile.
PESTICIDE<br />
Trade name and<br />
Cotmuon Name<br />
. ., KL., ,$?<br />
. , , ., J.. :,,j.:> .,; ,w, ,iqV*<br />
i<br />
!" , ' '. . ,<br />
i<br />
.........<br />
, ,""
X - Propoaed for use on:<br />
T - Tolerance established an8<br />
E - Exem~ted from requirement of tolerance on:<br />
Trade Name and ' APPLICATION PIlOCEOURES<br />
Common Name<br />
. . . .<br />
,.,.<br />
I SOURCE: Pam l3!embb Handbook. 1979. Meister Publ. C& .. - . '<br />
. . . .<br />
!<br />
.a<br />
?q,) :<br />
.<br />
.<br />
.<br />
. . .<br />
>'l<br />
. .<br />
. . . ,<br />
2 On August 1, 1979, USEPA proposed that emuIaifiaqla concentrates 40%. and greater of ethopriop bi. restricted and all<br />
gruular and fertilizer'fo-letiona be evaluated to detonollne .+I. neea for.restficted..c~aaeification.<br />
. .<br />
; ...<br />
t '<br />
.........
The rural population is about equally divided between the Mano<br />
people residing in the western part of the project area and the<br />
Gio people residing in the eastern half of the project area. The<br />
urban areas are much more heterogeneous: the 1974 census showed that<br />
the population of Camp #4 contained a representative mixture of all<br />
the ethnic groups in Liberia. Organizationally, the project is divided<br />
into the following program areas and activities: -<br />
2,L.l. Rural Industries - .-<br />
. .<br />
. . .. . : :-<br />
. .. . . . . -<br />
-<br />
. 1. Small business management training<br />
2. Management consultancy services, including boookkeeping<br />
services and accounting training<br />
3. Economic and feasibility studies<br />
4. Market development services<br />
5. Financial assistance (credit)<br />
1. Research and development<br />
. . . 2.. Pilot projects to determine technical and economic feasibility.<br />
- : -Once- proven, they would then be spun-off to the private sector.<br />
3. Maintenance training<br />
- 4.- Technical back-stopping and support for those operations<br />
spun-off to the private sector<br />
5;r~Improved; low-cost building technology and contractor training<br />
2.1.3. Coowrative and Asribusiness Development<br />
1. Cooperative organization and support<br />
2. Input supply<br />
3. Agribusiness development<br />
4. Credit<br />
5. Marketing<br />
6. Contract services (land preparation, clearing, spraying,<br />
seeding delivery)<br />
- 2.1.4. Farmer Traininq<br />
1.. Operation of an existing danonstration/training farm<br />
where short term residential training will be carried out<br />
2. Rural developent skills training<br />
3. In-service training for extension staff<br />
4. Varietal trials<br />
5. Seed multiplication<br />
6. Student intern progvam
2.1.5. Extension Services and Rural Development<br />
1. On farm extension<br />
2. Organization of village development committee to<br />
- organize and implement self-help activities<br />
3. Support for self-help activities<br />
-<br />
3. THE EEiVIRONMENTAL SETTING<br />
.- .-<br />
4<br />
-. ;- . . - . . ;. -<br />
_<br />
- The prg.j.e& -ar.ea:*mainly -consists. of highly dissected rolling up&d.<br />
-. - .. .. -- .- - .. .. - ~ ,(Mino~~a~.+.>f;-th+~:area are hilly or mountainous. ) The valley bottoms<br />
- . -. of the dense:dendritic drainage pattern are. swamps. The local- diff er-<br />
- .: . ences: in-alt-itude between the valley battoms and upland are small,<br />
. . ~ . _ .- ::noma~lLy.&tweenr10 and 50 m. Ferralsols cover most of the project<br />
. area. The hills- show mainly shallow soils. A main ch'uacteristic<br />
..-- of -the- upland soils. is a gravel layer <strong>with</strong> alternating de?th and thickness<br />
which prevents root development.<br />
Soils in the project area are d poor quality. They are very acidic<br />
.r -:-:=nd low-in fertility. The physical properties are slightly better<br />
. .. (goo8 permeability and drainage), although this is generally only<br />
-. . - -true for the gravel-free topsoil. For these reasons, the agricultural<br />
. - potential of the soils is moderate to low. Swamps in the valleys have<br />
. . -- a high- potential-.for.<br />
rice cultivation but would first require ictensive<br />
. : -reclamation- measures. Swamps occupy about six percent of the project<br />
area.<br />
Surface water represents the main potential source for the irrigation<br />
-of the agricultural land in the project area. It also supplies water<br />
to the major towns. The ground water resources of the project area<br />
are poor. Well yields are normally only about 0.5 liters per second.<br />
Higher yields can be obtained only at those points where fault zones<br />
or highly fissuredrocks are tapped by a well. Ground water can only<br />
provide limited amounts of drinking water for villages. For most of<br />
the-larger towns surface water will be the most exploitable source.<br />
The climate at- the project area is governed by the movement of a belt<br />
of clouds and rain called the Intertropical Convergence Zone (ITCZ).<br />
The ITCZ moves northward over the project area in spring and summer<br />
and southward in the autumn and winter. The rainy season lasts from<br />
- April to October: The driest months are December, January and February.<br />
Average annual rainfall is between 2300 and 2700 nun. Rain does not fall<br />
regularly; droughts occur mostly prior to the beginning of the rainy<br />
season and sometimes at the end. This implies that there is a risk at<br />
planting time. An early planting date is desirable in order to obtain<br />
high yields.
- The average annual temperature is about 26Oc. There is little variation<br />
.- . in-the average monthly temperatures. The daily temperature range is<br />
greatest in winter (15Oc and 37O~). The range is smaller in summer.<br />
The temperature during the rainy season is suitable for agricultural<br />
. . . . production. The average relative humidity is high throughout the year.<br />
: . . . . . .. Annual.- evaporation is estimated between 1400 and 1800 nun. Solar -<br />
- . . - - . . -. ra-diation-.is: low ..owing to clouds during the rainy season and dust dur-<br />
. ... - . . .: : . ~r : .inq ,the dry season;:; photosynthesis thus is reduced, having a negative<br />
. - % . effect-on yields, expecially in dry season. 4. .<br />
- . . ' ;.:?. ~lheniitive-.;vegeEat.ion is tropical rainforest; but native forest Kave<br />
- . .. -~;;.be.en: din+nishecE..byr, +if ting cultivation and' timber logging. Secondary<br />
. .. . bush,&:. various,-ages :and small areas of agricultural land have replaced<br />
the native vegetation.<br />
. . - . , -<br />
.. . . .<br />
. . - . .<br />
. . . ~ -<br />
- . .. - . ...<br />
. ." .<br />
~.<br />
About:.lD- percent of the total land in the project area is under<br />
- . cultivatLon;- about 95 percent of the cultivated land is occupied<br />
by small-scale..farmers who employ a wide variety of production prac-<br />
- :- - tices:.. : The: land is used primarily for shifting cultivation of upland<br />
. . :r- rice <strong>with</strong>- f all-ow periods of seven to ten years; in addition, some<br />
. . '.. i, supplementary: food crops are grown. Parts of the better land on flat-<br />
ter areas are used for coffee and cacao cultivation.<br />
.. . .<br />
. . ~ . -,.--.<br />
.. . A .<br />
' .: The va-lley-bottoms, occuring throughout the project area, are used<br />
. . . . . for: swamp r.ke::cultivation and other food crops under. semi-permanent<br />
farming patterns.<br />
. ... . .. - .. . .~ : , The- average.size.of the small farms on which the project will focus<br />
. . .<br />
.. . -<br />
. ..<br />
is about ~3.5: acres.:(l; 5 ha. ) Tribal tenure predominates. Land shortage<br />
is::not a major problem: in the project area. The number of. farm families<br />
in the project .area has been estimated to be 5000. The average farm<br />
.. .<br />
.. . - _household has.7.7 members and a labor equivalent of 3.7 persons.<br />
. . ~<br />
. ~<br />
. .<br />
.: - The annual.Labor:profile of an average small farm is characterized by<br />
. .. . two slightlymarked labor peaks in May and ~ctober/November. Since<br />
.~ .<br />
. .. .. : the. labor forcer is largely under-utilized at present, hired labor<br />
.. ~ ..<br />
. .<br />
... .<br />
.<br />
woul&the~tkcally not be necessary for farm work. Approximately -<br />
armers, however, occasionally hire labor on a temporbasis,:especially<br />
for bush clearing. Apart from the fact that<br />
' . - - :. :, SCL percent-. 05.2<br />
. . ~ ary<br />
.. . . . . : .x r this work iz very strenuous, social prestige also influences the<br />
decision to hire outside labor.<br />
: : .: . .- The small-scale farmer ' s fanning operation presently is characterized<br />
. by shifting cultivation, subsistence production, minimal agricultural<br />
inputs, low yield levels and low marketable surpluses. The main activ-<br />
ity is the miltivation of upland rice used mostly for home consumption,<br />
. . . and occupies about 50 percent of the land. About 25 percent of the<br />
. . . total farm area is planted to coffee/cacao, and the remaining cultivated<br />
landis utilized for cassava (14 percent) and other supplementary crops<br />
and vegetables (11 percent).<br />
., ,<br />
!<br />
~~ .- .~~ . . . . . .~~ ~. .<br />
~ .,
4. LONG-TERM PROJECT OBJECTIVES<br />
A primary.goa1 of the Government of Liberia is to achieve self-<br />
. . &ficiency.in rich production in-the early 1980's. One of the largest<br />
*<br />
. . . . . . single. akeas of rich consumption in Liberia is the LAMCO concession<br />
. - . . . ........<br />
.<br />
.- - ....<br />
?~ . qea. where..a.liigher. income level permits higher than average national<br />
. :. .. ..... , .. ... consumption._"^ ......... potential for rice developent <strong>with</strong>in the project .<br />
.. .* ..-,. .'::. . ~- _.,:area is:'above.pverag&, but the levels of technol.ogy being applied re-<br />
... . . ...... . ...... - ..<br />
strictsproduction to subsistence levels.<br />
. . --<br />
- . ~~<br />
- ... ....... - ........ . .. LeSS :than - ...... 1. .percent- - of the farmers use fertilizer and less than 2<br />
. .- - .. ..... - - .. . - -. . percenggsq,*prpved seed. The agricultura sector of this project<br />
- ......... . ..... . cordinates <strong>with</strong>. other agriculturally oriented projects and will pro-<br />
< ............. - . . .<br />
. . . .<br />
. ......... . .~ - 1. .... vide,+e.training, inputs and marketing facilities to assist these<br />
- ..<br />
.- . . ..... .fanners- ............. -to max&.ze: the production of crops presently being grown and<br />
- . ~ . will intrbdbce new ^food crops. The introduction of supplementary<br />
. . . . . .<br />
. .~ . . - . = . food cropswill provide improved nutritional balance and incremental<br />
income' -to small farmers.<br />
. ~<br />
....<br />
.<br />
-<br />
._.~AdGtionally,<br />
~ .~ tree crop production in the project area Mfers from<br />
.~ . sake<br />
~ technbl&gi&l,problems,<br />
.... i.e., poor planting stock, poor cultivation<br />
~. . - . .. . practices. and lack of proper fertilization. With modern technology,<br />
.:<br />
.<br />
. . . . +<br />
. . it is-es&mqted&that<br />
. . . . farmers can double the present yields. ...<br />
~ , _ . .tree . ~op.<br />
Rice and<br />
. - .~ .<br />
........... ..<br />
..............<br />
..... . - .-. . - &k national goal of ....... .- ..-..<br />
self-suffiency in producing basic foods.<br />
cultivation are the most practical alternative for most small<br />
, fa~&&s..tb[ brek&-out of the subsistence pattern and contribuge most to<br />
. .- 5.. -- -PROPOSED ACTION RELATIVE TO SECTION 216.5 (c) OF THE ENVIRONMENTAL<br />
PROCEDURES<br />
. . . . . . 5.1.: ~ ~ Present<br />
Pesticide Use Patterns in Project Area<br />
--- ... ~. L .~ .. AS - noted. . . . above,.-about<br />
...... 10 percent of the land in the total project area<br />
~ .<br />
.. . . .is-presep-<br />
. being ...... cultivated. The major crops in the area (cacao,<br />
. . ........ .coffee, rice,_veget+les) now encompass a total of about 1950 -2150<br />
-. . ..... . acres - .~ to Table 2). An objective of the project is to expand<br />
. . . . . - . the -area . . . w~iich<br />
. . . these crops are grown; the five-year target is to<br />
. ... . . - .... . increase, cacaa,,coffee, rice and vegetables from the present acreage<br />
:. . ; about 5000, acres. Pesticides currently are bee used on a small<br />
. . to<br />
. . portion of ,thes; crops. PfP personnel estimate that 10 percent of<br />
1.. . . - - ~- .I& . cacao .~ acreage .. is being treated <strong>with</strong> insecticides, 15 percent <strong>with</strong><br />
. . . . fungicides and 15 percent <strong>with</strong> herbicides: 5 percent of the coffee<br />
acreage is being treated <strong>with</strong> herbicides and 5 percent <strong>with</strong> fungicids;<br />
-<br />
10- percent of the lowland, irrigated rice acreage is being treated<br />
<strong>with</strong>insecticides and 30 percent <strong>with</strong> herbicides; and 20 percent of<br />
the vegetable acreage is being treated <strong>with</strong> insecticides and/ or .<br />
fungicides.<br />
w.
TABLE 2 SCOPE OF CROP PRODUCTION AND PESTICIDE USE IN <strong>NIMBA</strong> RURAL TECHNOLOGY PROJECT AREA,<br />
: .:. i: : :. 8 ' UPPER NIM& "~1,3ERIA 1 'i. 1 .I ' " " ' , , I . , I . 'I<br />
I . . : < , , . .<br />
ESTIMATED NUMBER OF ACRES<br />
Crop Present Five year target<br />
Cacao 150 600<br />
10-insecticides<br />
10-fungicides<br />
15-herbicides<br />
Coffee 600 2000<br />
5-herbicides<br />
5-fungicides<br />
I<br />
Estimated percent of acres now being<br />
treated <strong>with</strong> pesticides<br />
*<br />
1 The list shows only those crops included in the project that will be treated <strong>with</strong> pesticides.<br />
2 Estimates only for lowland irrigated rice; double~cropp?d each year. Upland rice riorinally<br />
I<br />
is not treated <strong>with</strong> pesticides.
5.2. -Anticipated Pesticide Use Patterns in Project Area<br />
nough an objective of the project is to increase the area planted<br />
. ..to these mzjor crops, PfP perso~el donot anticipate a corresponding<br />
. . .:increase in the percent of crop acreage being treated <strong>with</strong> pesticides.<br />
- ::: .:::Economic and low yielding potential will prohibit the use of pesticides<br />
....<br />
., . : r:on.mclxof the. agricultural land. Further, PfP personnel believe that<br />
.- . ..... ... ... = tradi.tion&,~'nonchemical pest control techniques (e-.g. , destruction *<br />
......<br />
. . :. . :- : ,.:- be-:postharv.est residues,.:: crop rotations, hand weeding, planting vegetables<br />
.................. . - 1 . . -..- ... ie: new un;infeste& axeas) are applicable- throughout much of the area,<br />
and these techniques will be encouraged.<br />
RECOMMENDATION:<br />
. . .: ~roject.~. persoknel: should maintain accurate records on the kinds and<br />
... -r -.. amounts of pesticides being used on cacao, coffee, rice, and various<br />
- vegetables-in. the project area. 'A base-line survey shouldbe conducted<br />
. -. .-at<br />
the: inception. : of the project; the survey should be repeated every<br />
=.:.yearrof the project-:to reflect changes in crop acreage and any changes<br />
in pesticide use patterns that may occur.<br />
- . -. . .......<br />
-~ ..... ....... . be-: recdmmended'. 0nl.y:<br />
.. - - ...<br />
, - to the non-chemical control techniques; pesticides that pose minimal<br />
. - :' - risk tm: humans-, -beneficial non- target organisms and the environment<br />
. . .<br />
should- be sought and encouraged. The use of any pesticide should<br />
.~ .<br />
-'always-:be based oneconomic criteria to determine when and where control<br />
is truly justified.<br />
Praject-personnel- should encourage the use of the traditional, nonchemical<br />
control- techniques knownto be effective. Pesticides should<br />
when definitive. data demonstrate their superiority<br />
'* 3. Procedures Prescribed in Paragraph 216.3 (b) (1) (i) Of Environmental<br />
Procedures<br />
. . . . . . .<br />
. ; , . : .- ? ....... - ....<br />
-<br />
...... (a:).:. The *EPA registration status of the requested pesticides.<br />
Pesticides requested by PfP for use in the project are shown in<br />
Table 1. Here, common names of the pesticides will be used. Crops<br />
treated <strong>with</strong> pesticides in the project (Table 1) will be used for<br />
human or animal c~nrsunption only when appropriate tolerances have<br />
been established by USEPA(or recommended by the Food and Agriculture<br />
Organization/fJorld Health Organization and when the rates and frequency<br />
of application, together <strong>with</strong> the prescribed preharvest intervals,<br />
do not result in residues exceeding such tolerances.
Two pesticides, ethoprop, dazomet, are proposed for experimental<br />
pwrposes only; they will be used for research or limited field<br />
evaluation purposes by or under the supervision of project personnel.<br />
. . - .<br />
As- nated .in footnote 2 of Table 1, on August 1, 1979, USEPA proposed<br />
.~<br />
. . -. - ..,<br />
- . -. C. that- emulsifi?+Me- concentrates, 40 percent and greater, of ethoprop -7<br />
. . . . . - .<br />
.~. - . .:be -restrict&b.qaus& of its acute dermal toxicity; and USEPA proposed<br />
- : . .~...<br />
. . :;, ,-t,.-a-lE. gran&Ia?ziandd- fertilizer f ormalations he evaluated to determine .<br />
- . - - ,;-. .. . -:the-nee&fo~Lrestricted<br />
- classification. Tolerances have not been<br />
. - . . - - . . , _ . .-.. estal?15sfreckfdr ~ ~ o m on e t any crops to be grown- on soil treated <strong>with</strong><br />
the pesticide.<br />
- . . . ., - - .- _ .: .; earbawl 5.s progosed for use on vegetables crops shown in Table 1<br />
. . ~- . . : aria: also. rice.-- i Phe insecticide is registered by USEPA for general<br />
. ~ 1: ..-:use on all-. of .these.crops except onion (it will be used experimentally<br />
.~<br />
. . . , : . -only on omon,: applied by or under the supervision of project personnel,<br />
.. .. -<br />
. . . .. . and the:. -tzeated onions will not be used for human or animal consumption).<br />
. .- - .~<br />
.. - -<br />
i. . !RE insecticide curfently is undergoing Pre-RPAR review by USEPA on the<br />
:i :. -7.- : r basis .thatLC may cause teratogenicity (abnormal formation of f etusf<br />
. - 7 .LC::-'.T-and.<br />
. f etotoxicity (toxicity to fetus) in experimental animals.<br />
:.
KPA is proposed for use on irrigated rice. Ther herbicide isnm<br />
. . used on an estimated 30percent of the irrigated rice in Upper Nimba<br />
County. Though not: registered'by USEPA for use on rice, the material<br />
. . was approved for use in a similar USAID project (Lofa and Bong<br />
counties) in Liberia; no know adverse effects to the environment or<br />
humans resulted. .. .<br />
2,<br />
. . .... . . . Cuprousoxide, a fungicide, is proposed for use on and coffee. The<br />
* . - .. . .-<br />
~~ .. pesticide .iS: iiot registered by USEPS for use on either & these" crops,<br />
- . .- . .. ~ . .,. but -is-exempted from requirements of tolerance. The material was<br />
-<br />
- - . 7 .- .- '-:. ... approve& .fbr..us.e
. . - principles and application of IPM and the proper use of pesticides.<br />
. . . . - - : --The-lack of cqp protection specialists properly trained in ecological<br />
. principles of pest management is the chief obstacle slowing progress<br />
. .<br />
. . . - in IPM in Liberia and other countries of West Africa. Being cognizant<br />
of this the West Africa ace Development Association (WARDA), head-<br />
, :, . quartered in- Monrovia, recently organized a Seminar in Bobo Dioulasso,<br />
. . . . . .<br />
.. ~ . 5 upper: volt* to-review the status and prospectsof IPM in rice in<br />
. .. ~. . . - --.- West Africa. - : WARDA currently is determining interest and funding .<br />
,<br />
.~ . . ~. .- .. -;+mechanisms; required to initiate-a program for the developnent and. -<br />
...<br />
.<br />
-.<br />
. implementation of IPM in rice in the region.<br />
- . - .. . - -- . . = - FAO,::USA-II)-and +ather international organizations are sponsoring some<br />
~. . . - r-re.s.&ch:pn .the'developnent of IPM systems for various crops in the<br />
. . -. . ,. . -.<br />
.. . ~. region-. - 7 Hwever, : international efforts inIPM in the region are minimal,<br />
.. .. . ;--and. there are virtually no efforts in IPM in Liberia.<br />
-- r Because-of this lack of expertise in IPM there is a tendency to<br />
.- . - - promote. pesticides,as.a first line of defense against pests, especially<br />
.. . .. . .<br />
- - :. in- highly productive areas being developed for agriculture. ~y contrast,<br />
. ... . . - . . persons trained in intergrated pest management would lean more heavily<br />
- . : on,, the use non-chdcal methods of control, using pesticides only after<br />
. ~ 1. : 1 I : -.:.the: non-chemical and. cheaper methods failed to provide effective control.<br />
- .-<br />
.<br />
- -. RECOMMENDATIONS: - - -<br />
.. ~. .<br />
. . . :--~:ThelUSAl3 mission to Liberia and the Reghnal Economic Development<br />
. , , . I Semi-: Organization/trest Africa, in Abidjan, should support efforts<br />
.. .- - - - :, . :by- F A to: proptote. .increased emphasis in the developnent and implemen-<br />
.. . - . - :.tation or-integrated pest management in rice in Liberia and other<br />
WARDA-Member countries in West Africa.<br />
. .. . . . . . :- USAID should. sponsor- =-training program for PfP employee, Mr. Buxton Coop<br />
. . er, in pesticide. management and ecological principles of pest control.<br />
.. ..<br />
I. -,Mr.- Cooper-is a.native Liberian in charge of developing pest control<br />
. ' . . re~ornmendations~ and pesticide training programs for the Nimba Rural<br />
: . '- ... : : Technology projrct, The training program should not exceed a period<br />
. . ~~ .. - . I .!OF.<br />
three'mon- in the USA under the direction of the UC/D Pest<br />
... . Management-&Related Environmental Protection Project, university<br />
of California, Berkeley.<br />
- The intensive training program should be geared to allow maximum<br />
- exposurcto the principles of IPM(via discussions <strong>with</strong> and lectures<br />
by experts in the field) and proper use of pesticides, including<br />
familiarization <strong>with</strong> USAID regulations on pesticides and the USEPA<br />
certified applicator program. UC/AID Project personnel and Dr. F-<br />
W. Whittemore, Environmental Coordinator, office of Agriculture. XCD<br />
Washington, D.C., should beginimmediately to work out details for<br />
his training program is the USA. The idea of such a training program<br />
has been discussed <strong>with</strong> and is supported by Mr. cooper, PfP personnel
and USAID personnel in Monrovia. --<br />
.. - - .<br />
Uponcompletion of the trainirq program in the USA, Mr. Buxton should<br />
beappointed as project coordinator for pesticides and pest management;<br />
. :, ...<br />
s<br />
........... .':amajor- responsibility would be to coordinate training programs at<br />
...<br />
- , the Farmer-Demonstration Centers and pesticide monitoring (refer (d)<br />
(2) below).<br />
. .- - ., ,.<br />
*<br />
' .<br />
............<br />
,
- --- --<br />
ang progFms;- The store sells all the protective devices recommended<br />
to ensure safety.<br />
*<br />
A responsibility of PfP extension workers operating out of the Farmer<br />
Training Centers is to follow the progress of the trained fanners:<br />
proper- use of safety apparel and devices and disposal of used pesticide<br />
-:. containers and left-over pesticides are stressed.<br />
.. _: . . ~ _ . > .<br />
~ ~~ --- -
:.. . -As noted, USEPA has place carbaryl on the Pre-RPAR list on the<br />
. .<br />
basi-s of -eviaence that it may cause teratogenicity of fetatoxi-city.<br />
. - . Project pers0Mel should keepabreast of any subsequent USEPA<br />
ruling on carbaryl.<br />
~.<br />
. :. . . =-.. .. X& noted aboire- under (d) , the pesticides will entail three levels<br />
~.. .. :.: of-:dperatibn.+: Proce&res to mitigate the hazards from their use '<br />
d&cr&d<br />
below:<br />
in. that section. Additional procedures are recommended<br />
.. ~<br />
.~ . .. . - . :. : -: C-.:-.&re~<br />
. .<br />
r-i>r&jedt:.-personnel involved in the use of pesticides shown in<br />
abie:l;-sho&d be thoroughly informed of the potential hazards.<br />
&-project -managers should enforce, among project personnel and<br />
rmer'cooper~aco&s, the use of essential protective appare1,proper<br />
;storage:-of.pesticides and application equipment and proper disposal<br />
used-.pesticide:-containers and left-over pesticides. Project pernnel<br />
should- &sure that instructions and precautions, including<br />
--:-stat&&&- regarding the time or re-entry into the fields after<br />
-pesf:icide~application an, and the number of days between application<br />
--'arid cropLharvest as specified on the pesticide label, are enforced.<br />
A,' medical' .do~tbr,- Dr. Kell B. Jakobseni M.D., employed by the LAMCO JV<br />
Oper.at%ng: coipany Medical Department in Yekepa, where the project is<br />
to:& headquartered', serves as Public Heaith Officer for this area of<br />
~iberia. Re has experience in the field of clinical diagnosis of<br />
pestjdidepdisoning and treatment. It is recommended that PfP personnel<br />
appraise Dr. Jakobsen of pesticides to be used in the project.<br />
. . . . . - :--At all times during the project he should have access to an updated<br />
.. .~ . - l2st of pesticides being used in the project and also toxicological<br />
.<br />
, . . info'rntation on each pesticide as supplied by the manufacturers.<br />
.. . .<br />
. .<br />
. _<br />
-- - - -'-Project-<br />
'&SI!S~~U& should request his advice concerning human health<br />
hazards w5thpesti'cide use and precautionary steps to mitigate these<br />
hazards.<br />
. . .. . .<br />
-. . . .---;~helierbicide~~a~a~uat<br />
... ..~ ~ . ,<br />
. .<br />
. ~<br />
. - . -. :.,haza38 ~ f"any'-~e~tic~de<br />
~.. . . .<br />
probably presents the greatest toxicological<br />
proposed for use in the project. The material<br />
. . . ...<br />
. . .. ..<br />
should be used.o&v under strict supervision bv trained professional<br />
.~<br />
s.taff, It should not be made available throuqh the farm supplv store -<br />
~.<br />
. .<br />
. . . . . . ... . for purchase bv. farmers. All pararauat use should be formulated <strong>with</strong><br />
.. .<br />
. .. ' - :. wakinq ordorant havinq a meacapton like oder or equivalent.<br />
- -Paraquat will be used to clear vegetation from earthean bunds separating<br />
and surrounding irrigated rice paddies and to remove vegetation from<br />
non-cultivated land being cleated for upland rice production. Project<br />
personnel should ensure that the material is applied selectively to<br />
these target areas and steps are taken to prevent its drift out of the<br />
area. The pesticide does not accumulate in the soil and breaks down<br />
rapidly. But farmers, workers and other humans and livestock should<br />
not be allowed to enter the treated area until after there is reasonable<br />
(14)<br />
--<br />
328<br />
>
assurance,based on information on the pesticides label, that harmful<br />
residues have dis,appeared.<br />
Project personnel should ensure that crops treated <strong>with</strong> pesticides<br />
for which appropriate tolerances have not been established by USEPA<br />
- - - (or-recommended by FAO/WHO) are not used for human or animal con-<br />
sumption.<br />
- :;. . , I:_,- . . . - . L . Fin+Ly;:-2prgject; personnel should make the Liberian government aware<br />
. - . . - - . :. .. - _ -:: . ;-af- the.-potentid hazards associated <strong>with</strong> use of pesticides in the<br />
project.<br />
-<br />
. . - - ... . ~ -..-= =<br />
.. . .. - . ,. : , .. . : .: . - (f)r The effectiveness of the' requested pesticides fox<br />
the proposed use.<br />
.. .~ . , . . . . .- -. : :The pesticides- proposed for the project were selected because of their<br />
? - - -<br />
-<br />
. -known:rffectivenessin various areas of Liberia or in other countries.<br />
. :No .quantitative data exist on the efficiency of the pesticides in the<br />
,<br />
~ ~ . . = .pr@ectarea. PfP recently initiated a study to determine the costs/<br />
. .. -<br />
. . . .. : -. :-benefits of .agricultural inputs, including pesticides, on farms in<br />
. . . - -.<br />
. . .,- .... - -'.the area, but results from the study are incomplete.<br />
-- - ---TheMinistry of Agriculture in Liberiaendores the use of all<br />
-<br />
. pesticides proposed for the project. . -<br />
~<br />
-. . .<br />
~. - - . - -.<br />
. .. -<br />
- - - . : . (:q Compatibility of the proposed pesticides <strong>with</strong> target<br />
non target ecosystems.<br />
~ ~ . ~ . ~<br />
:.: ,. - -:<br />
~.<br />
~ -<br />
~ . . . ~~ . ~ . .~<br />
.. . ~~ ;-ti)-<br />
.<br />
(See discussion of (e) above)<br />
. . .~ - - ~ . - - -. Jh): The- conditions:.undeK which the pesticide is to be used,<br />
-~: - ~- . : : - -: : 5ncluding &ate, flow, fauna, geography, hydrology,<br />
. -<br />
and soils.<br />
(See discussion of 3 above)<br />
~.. %&-.availibility and effectiveness of other pesticides<br />
. . or non-chemical control methods.<br />
- . .. ::Due-:to- lack of quantitative data on pesticide efficacy in Liberia,<br />
. . . . ~~<br />
. . . . .~ : : . : it is not- possible to compare the effectiveness of the pesticides pro-<br />
. - ~.<br />
~ . .. .. -.: - pose&,for .the project <strong>with</strong> alternative pesticides. Unquestionably.<br />
. ~<br />
. . .: : however,-:. the insecticides proposed for the project pose fewer poblems<br />
~ ~<br />
~~ ~ ~. - -to humans -and .the environment than many other (e-g., parthion, methyl<br />
. .~..<br />
. - ~ -<br />
. .<br />
r . parathion, -&ieLdrin. DDT, chlordane, lindane) now commonly used in<br />
the- area;- -There currently is no known cost effective chemical alter-<br />
native to paraquat, probably the pesticide posing thegreatest risks<br />
-- in the project: the non-chemical alternatives(hand weedlag, plowing)<br />
(1s 1<br />
. .
are-cost prohibitive. The other herbicide, MCPA, proposed for the<br />
. . . . . project is. considered safer and cheaper than alternative herbicides<br />
. . . .<br />
-in rice. There. is no known cost effective alternative to cuprous<br />
...<br />
- ~. .oxide. Similarly, there are no known cost effective alternatives<br />
. . . ethroprop and dazomet for the experimental use proposed . . in the .<br />
project .<br />
. .<br />
. ............ ..... . . .The status- ........ of .... non-chemical methods was discussed above under (c) .<br />
-. - - - - - I .,<br />
RECOMMENDATION:<br />
. . ........<br />
....... . .<br />
....... ...........<br />
. . - .<br />
--,. . . . .: Proje~t~personnel<br />
A ........... should cooperate kith th= Ministry of Agriculture<br />
. . 'n odtaihing- efficacy data on the pesticides used in the project,<br />
ncluding :d&ai.bn the costshenefits of the pesticides and known<br />
. . - :. - ... . . chemical? and non-chemical alternatives. There should be a special<br />
.. ~<br />
-<br />
........ .<br />
. . . . . . . effart :to find effective and. safe alternatives to paraquat.<br />
- .- ~ - ~~<br />
........ ...... - -<br />
. .- -- (j).<br />
The requesting country's ability to regulate or control<br />
. . . .<br />
. .~ ............. :the distribution, storage, use, and disposal of the<br />
-.<br />
requested pesticides.<br />
... .<br />
'<br />
...... , ..llh e @il.ity,:o£..&ib+a to regulate pesticides presently is inadequate.<br />
. The ~inistq..of_'~griculture currently determines the pesticides sold<br />
. . - .- . 22y_ci_mrmercal: firms and recommends- the use of pesticides in Liberia,<br />
. . including-.thos~~proposed for the project. But it does not have an<br />
.... - - . . ... . . .: ef,f ec-tive. enforcement mechanism for ensuring the regulation or con-<br />
... . . -<br />
-<br />
. .- ,.gal.: o'f the- distribution, storage, use and disposal of pesticides.<br />
-.-.......... / .<br />
. - . - - -. . . .<br />
. -- ~-- . There ig nw a proposal <strong>with</strong>in the Ministry of Agriculture to create<br />
. a. ~.~ crops: protection agency which would help meet this need.<br />
. .<br />
~. - As. disc~sed:above under(d1, through the farm supply store, PfP<br />
. . .<br />
. - . - p&sq*el are,, ablk to control the distribution of pesticides to<br />
-<br />
~A..<br />
. . - .- f.amers: . in the . prpject area. Further the Farmer Training center pro-<br />
~ - . -<br />
. . . . . . gram provides- :a mqhanism for encouraging safe use of pesticides, as<br />
discussed under (dl (2) above.<br />
. ........... . . .<br />
. .<br />
-. ~ ............<br />
.. ~<br />
(k)- Thqprovision made for training of users and applicators. '<br />
.. .- . . - . -. - -+See- dis.cussion under (d) (2) above, including the recommendation<br />
. . . . . ... ....<br />
..L . . - . . . . concerning $he training program for PfP employee Bkton Cooper)"<br />
..... . . ~ . .<br />
. . . . ......<br />
. . (I) .The-provisions made for monitoring the use and effectiveness<br />
of the pesticides.<br />
Liberia currently does not have the capability toeffectively monitor<br />
the use and effectiveness of the proposed pesticides. Therefore, any<br />
monitoring must be assumed primarily by PfP personnel.<br />
*.
- (See recommendation above, under (b) concerning survey of<br />
pesticide use in the project area, and under (i), concerning<br />
the determination ofefficiencyand costs/benefits of the<br />
pesticides.)<br />
.<br />
5.4 Relationsliip of Proposed Action to Plans for Land and Resource<br />
Use<br />
-.
.: . , . ~<br />
. . ~ . . . : 5.7.~-<br />
..~easonably Foreseeable Adverse Environmental Impacts Which<br />
~. .~. .<br />
Cannot Be Avoided<br />
. - The use of the proposed pesticides will undoubtedly destroy some<br />
. . .- . . .- -benefical: Species <strong>with</strong>in the target area,especially- natural enemies<br />
. . ,.. . . . . . . . anal pollinators that inhabit the fjr6ated crops. Repeated use of .<br />
-<br />
,~<br />
. . LI._<br />
-<br />
.:L - +nsectj+de~-; are: known to unleash.scane non-target pest species from<br />
. ~ .<br />
-<br />
. . L.. . .- .~ .:. naturaz conjt~o:L:sausing them to" increase in abundance. Ecological<br />
z.: - ~..:.:~seri@i0nsSi WiWn the cropr &cosystem are commonly associated <strong>with</strong> .*<br />
.- . % . .- -, -, . . . heavy and $&s.crMnate dosages,%based on actual need and integrated<br />
/. - - ;.<br />
. 1 .... . .. . - ,,i ;wit;h :&her-;techniques<br />
. . . . - ,-. ., .<br />
(e. g., pest:-resistant varieties of crops,<br />
.: . I .. .:-1 -:,..crapiGmtatiun: .various non-chemical:-.traditional methods) is the surest<br />
.. - .<br />
r .. .... way to avoid serious ecological !discriptions.<br />
. ..<br />
.*.<br />
- . . . . -- . . - ;: . ::Human:healtli-hazards, wide-scale destruction of wildlife and buildup<br />
.<br />
. .. - ;. . of. harmful:peskicide residues in the environment can be mitigated<br />
. - through: proper- training and by restricting the use of pesticides of<br />
. .~<br />
.- -. - greatest known hazards to project personnel.<br />
- .. , . .- -. .-<br />
., ~. .. ... .~<br />
.. ~- " 5- S':. .. Relationship Between Short-Term and Long-Term Effects<br />
". . - ~<br />
- -.-_The pragas&.sction involving .pesticides, if properly implemented, ...<br />
- - . . .<br />
: .<br />
. ~<br />
. -. , v-prorniseds-.more effective and safer system of pest control than- ~- . -<br />
:: . :: ..::?.:i: I now exists.. .: However, historically as agriculture has expanded and<br />
- . - . - . .. .--.-. - .. 2- :--Znwified,;<br />
.... irsxproposed in this project, pest problems have worsened.<br />
-. - . . .<br />
: . i. r : ..-Incxeasea .sevdty: <strong>with</strong> old pest problems and eruptions of new pests<br />
.. . ... . - .A -. .<br />
_<br />
.- .. -.,. . ~ are-rormoonlq~<br />
r assrriated <strong>with</strong> expanding agriculture that is based on<br />
.. . - . ., . -<br />
-. . . . . ; . .>mew .higk yielding: crop varieties, fertilizers, pesticides and other<br />
. ,. . .<br />
~<br />
. . . L. : . &ops bf:-the. so-called "Green evolution" clearly have dramatized this<br />
_ -<br />
-<br />
. - -<br />
-.:<br />
-<br />
L . .- Thus, the. proposed action involving pesticides may not offer<br />
. ..<br />
I - -,. . an.. effeciziue-lon&term solution; on the contrary,, pesticides at best<br />
-. . .<br />
. - . . -. -- offer. .tempo~ary:rreprieve to pest problems. The most effective long-<br />
.<br />
..<br />
.<br />
.-: :tern-. soIution. t@ pest problems in the project area and other areas<br />
.<br />
of. Libaria::willl.be- through integrated system of pest management that<br />
, - --sprea&..the.~ burd-en:: of crop protection across the widest array possible<br />
. .<br />
. . . . . :-.--- : of biological, environmental, physical. and chemical factors. a
s<br />
1. -..<br />
.. ~<br />
.<br />
PARTNERSHIP FOR PRODUCTMTY<br />
AUGUST 6, 1979<br />
CREDIT PLAN<br />
.<br />
APPENDIX P<br />
Pwpose of the loan fund: The purpose is twofold; to increase<br />
, . . . : the.mo-y management skills of,small farmers and businesspersons,<br />
- - . .~~ c:-;-;kthexehy<br />
- -.. making:them eligible for loans at existing credit facilities,<br />
. .. and,+ -tw,ai& ini:tbe ,@evelopment or expansion of selected farms and small<br />
. . - .. . .<br />
. . . .. :.businesses in &~d around the Yekepa concession area.<br />
Loan Fund Philosophy:<br />
I . : : . :. : .i -; :-I:..-:. PfP-Client relationship: PfP considers the client/<br />
.. . . . - --- advisorrelationship developed through strong personal contact as the<br />
.. z . :corners$one of- its;+oan Fund philosophy. During a series of meetings<br />
.<br />
ta-discuss the proposed project the PfP advisor attempts to achieve<br />
- --three-~-goals: evaluate the economic feasibility of the pro~osal, gauge<br />
. ~- . - . - -<br />
:..: :=-ths oS the prospective client, and develop an atmosphere<br />
. .<br />
-. . - 'of:<br />
~ 2kxust.<br />
by=convincing- him of PfP' s interest in his project and assuring<br />
:;u: him ofzthe coafiderrtiality of information which he is asked to provide.<br />
.~.. . . . - these^ meetings also serve as an opportunity for the client to<br />
devel begin a systematic analysis of his business. The dangers of borrowing<br />
. . . are pointed out: t o refute the commonly-held belief that more money<br />
-.<br />
-. - .- is- the -solution.Sor.all business problems. The necessity of developing<br />
. azbudget that.wt%cipates revenue and expenses is stressed as a pre-<br />
~ ~<br />
~ ~ .. . . condi-tion fof---the loan, and finally a bookkeeping system that will<br />
. 1 . - -enable- the client to: measure the progress of his business is developed.<br />
. . . . This.: systemis designed to conform to the client's educational level<br />
and prior business experience and takes cultural factors into account.
. .. .<br />
.. ~. ... . . . ~. . 2, Pro.iect Criteria: In evaluating projects for accep-<br />
. . - .. . . tance,. priority is given to profit-making, self-sustaining enterprises<br />
.-. .. that emphasize increased productivity or that add to the supply of<br />
essential goods and services in the region.<br />
- Where possible, enterprises are promoted that complement one<br />
. .-. ~ . -.: . . ,-another.. . ~ ..For . example, buyers ' cooperatives are encouraged among simi-<br />
... .. . - .,.;,+- ila~~.r~$+:-,en.terpsiises, links are promoted' between wholesalers and re- fi<br />
. . - .: . .t&ls& :&-.,bo;th 5 L .~ . ..' .<br />
#ail-<br />
. .<br />
and production-related enterprises are tied<br />
..<br />
-.- .~.<br />
.. . .. : ;,.:. . ~ -<br />
. . .<br />
,toc regiona&.'.:transport systems. Local busi.nesses are encouraged to<br />
.. ... ;.., . . . make use.-of- one another ahd lessen their dependence upon distant,<br />
. ~<br />
-~ ~-<br />
. . .<br />
. ~ -<br />
costly sources of supply.<br />
~ -<br />
..; All enterprises are expected to keep some sort of records in<br />
. .. . . .order .~hat,.per.formance can be measured. The system of accounts, as<br />
. ...~. . . . .,. . .: .. mentioned above ,. varies according to the enterprise and, the ability<br />
-<br />
_. of the<br />
~ ~ ~ client<br />
~- to ~ keep.<br />
. . records. These records are regularly :monitored<br />
-<br />
. . .. . --. b.y. PfP adyi~ors: who, at the same time, encourage the client to keep<br />
. - .<br />
- . .?<br />
?;- '". ?.-z<br />
. ~<br />
-.<br />
. ~. . .<br />
~. ~<br />
1<br />
". up his loan repayments.<br />
-... . . .-. ~ .-. 3.. I.9rocess of .fitemrise Development: PfP tries to ensure<br />
that each business 6 entrepreneur be related to the level of economic<br />
- . :activity of the region in terms of what and how much it produces or<br />
~ ..<br />
. .the quantit.y:;tnd pcale of goods or services it furnishes. Emphasis<br />
.- .. - is,placed: on .beginning small, and to that effect, loan monies are pro-<br />
- - -<br />
.. vided% to,-insurq.only the -minimal. capitalization for adequate business s<br />
.. -<br />
- .. .. . . - performance. - Entlrepreneurs are told that these initial funds can be<br />
. . .. .made,to-.grow if appropriate management techniques are foliowed, and<br />
:the business- advicekhey receive is designed to help them master these<br />
. ..techniques. -Finally, incentives in the form of additional PfP loans<br />
or referral to 'the bank for a guaranteed loan are offered as a re-<br />
. . ward for good business performance and adherence to the loan repay-<br />
ment schedule.<br />
- ~<br />
2<br />
~~~ ~ ~ .<br />
.. .. .-- .. 33)
. ~<br />
. ~<br />
. . .. .<br />
. . . .~ . -~ 4.. .-Interest rates charged on loans will be 10% per m um.<br />
Small Farmers .<br />
- 1. Only small farmers who are members of an Area<br />
. . . cooperative- shall qualify for production loans. These farmers who<br />
, . live in a .town~l (or- in several adjacent towns) in turn organize- them-<br />
. ..<br />
-..sel-vesr.into;.-a-l Town Cooperative Unit (WU) . One XU should have at<br />
. ~ .. - ~ .<br />
: . ~ .<br />
least 10 farmer-members.<br />
- :- ,:- . -2.-.: The outstanding loan per farmer-borrower shall not<br />
: .. . . . -<br />
-be more than.$1,000 at any one time for farm development and/or pro-<br />
- duction of upland rice, swamp: rice, coffee, and/or cocoa. A farmer<br />
--may apply up-to- a maximum of one hectare development loan (either for<br />
.swamp rice, coffee: or cocoa or a combination of any two of these<br />
. -crops) and up to a maximum of one hectare for upland rice. He can,<br />
-<br />
- ..-however,. apply for a loan up to four hectares for upland rice if he<br />
has not signed for any development credit for cocoa, coffee, or<br />
-. swamp rice.<br />
+<br />
. - : ..~ ..<br />
.... .. .. 3. Except for cash payment for labor in developing<br />
~.<br />
-new farms for swamp rice, all loans shall be in kind such as but net<br />
- l.imiteck to. planting materials, tools- equipment, fertilizers, pesticides,<br />
herbecides, etc.<br />
~.<br />
.<br />
..<br />
. .~.<br />
.<br />
; - !&.:..The Area Cooperatives shall be entitled to get 5%<br />
. - r-mark* on the value of all production inputs served, as part of the<br />
. - production loan package, to farmer-borrowers.<br />
, . . ~<br />
.. .<br />
~ .-<br />
. .-<br />
-5. Payment of loans shall be in the form of produce<br />
- . I. - to; be de-fivered by the farmer-borrowers <strong>with</strong> the assistance of their<br />
. ~<br />
Area<br />
' 'ICUto the Area Cooperative. The produce is to be liquidated by the<br />
Coaperative.atthe buying prices prescribed under its Liberian<br />
- - Eroduce.HarketingCorporation (ISMC) Licensed Buying Agency Agreement.
.....<br />
The Area Cooperative pays the farmers whatever amounts are in excess<br />
of their indebtedness (principal and interest) out of the liquidatioll<br />
price of their delivered produce.<br />
6. The Area Cooperative gets three-tenths (3/10) on<br />
. all.interests on loans it collects as its service fee and remits<br />
.......<br />
the. principal. .and. balance of interests of all loans collected to the<br />
Revolving Credit Fund.<br />
. . . --<br />
...... ..,= .,; -. .: ; : ..::.; ,:7..- :. All repayments in the Revolving Credit Fund shall<br />
.........<br />
....... , be.kept ag the- source for funding succeeding farmers' loans.<br />
. . . . .. . . . . .<br />
.<br />
,. , .:? -.;: ., r . -, . :8. :;. NO farmer who has not setteld his matured loan sa-<br />
tisfactorily can be extended another loan.<br />
. . .<br />
. . . .<br />
. . ~ . . . . 9.!.~Overall repayments of not less than 90% of matured<br />
. ~- . loans, extended to: farmers <strong>with</strong>in a Town Cooperative Unit (WU) shall<br />
...<br />
. . - be-required .for the release. ,of new loans to any of the farmers of that<br />
TCU.<br />
- . . . ~.<br />
...<br />
... . . . . . . . .<br />
- -: Small Business~ersons proposing projects must satisfy the<br />
following conditions:<br />
.....<br />
~.<br />
.... .: .:. ... l..,.Only small businesspersons or group of small busi-<br />
. . . .<br />
~ .<br />
nesspersons <strong>with</strong>out access to other credit sources will qualify for<br />
loans.<br />
. . . . . .<br />
. . . 2. ~ -..Whose<br />
sustaining<br />
enterprise is profitable and therefore self-..<br />
. . ........ . .<br />
... . . . . . . . . . . . 3 . ...C ontribute to the general economic and social well-<br />
being of the area<br />
~ . . . . -- . . . . ..-..... ~.<br />
. 4. Emphasize increased productivity, adding value to a<br />
commodities or furnishgng essential goods or services<br />
i
Below is a sunrmarypf the Lofa County Farmer Loan program. This will<br />
serve as the basis for the ~ f~/~iberia loan program.<br />
Kinds of Loans<br />
A qualified farmer can apply for development and/or seasonal<br />
loans for swamp rice, upland rice, coffee and/or cocoa. Development<br />
loans mature- up to. twelve years <strong>with</strong> corresponding grace periods de-<br />
pending on the-crop financed <strong>with</strong> 10% interest each year. Interest<br />
- - - during-the graceperiod would be capitalized. Seasonal loans mature<br />
...<br />
... . - . : :up.on harvest-of the crop but not longer than one year at a flat<br />
. . ~<br />
. . . - ...<br />
~. service :chargesf 10%. The Credit Packages for any season may be<br />
. ~<br />
... :-:changed!<br />
from -time- fo -time to suit particular requirements of the season.<br />
,-The loan for each particular crop are as follows:<br />
1. Swamp Rice:<br />
........ . ~. . -. - . a. Development loan which is disbursed in one season for:<br />
. ~<br />
.<br />
. -~ . ~<br />
. .~ - .....<br />
. . ...... -<br />
.- . - . ~~<br />
. . .l. Cost of hired labor for the construction of head<br />
-. - - . ~~ ~ ..... .~<br />
.- dike, main and periphery canals,. bunds, and/or~<br />
leveling of the paddies.<br />
. ........ ~<br />
. : . . 2. Tocds such as axes, shovels, hoes, cutlasses, sickles.<br />
. ~~ .<br />
. . - . - ~ ~~<br />
- - -.- Re~a.iment -- In 6 equal annual installments after a two-<br />
. . . .<br />
b. Seasonal loan for:<br />
* 1. Fertilizer<br />
* 2. Seeds<br />
year grace period<br />
3. ~esticides/~erbicides<br />
2. U~land Rice (no development loan):<br />
a. Seasonal loan o dy for:<br />
* 1. Fertilizer<br />
* 2. Seeds
3. Cocoa. Xew Plantin~o<br />
a. Develcpment loan (disbursed ovtr three years) for:<br />
+ 1. Fertilizer.<br />
. . * 2 Seedlings, including infills<br />
...<br />
...<br />
: . . . . - . . .. , - -3. Tools such as axes, hoes, cutlasses, pingalins, sprapru<br />
...... . . . .... ---.-<br />
4. Shade trees<br />
i - -. -.: 7 .: :. ,:,;;ELe&yrnent - In 8 equal annual installments after a three year<br />
grade period.<br />
. .. .... .<br />
..... ............ a<br />
............ .<br />
. -<br />
::.:.:,.b.,.: Seasonal 10% (disbursed from the fourth year onwards) for*<br />
* 1. Fertilizer<br />
2. ~esticides/Insecticides/~ur.gicides<br />
4. Cocoa for Rehabilitation<br />
-a. ~evelo~ment loan (disbursed in ons season only) for:<br />
...... * 1. Fertilizer '~~<br />
.......... 7 - ............ . .<br />
2. Pesticide~/Insecticides/Fun~icides<br />
3. Sprayer<br />
4. Infill Seedlings<br />
. . . 5. Tools suah as axes, cutlasses.<br />
. . . _ _<br />
. ~<br />
...... - .. - . ;. :.: .Reva.wlent - In three equal annual installments begidniq on or<br />
......... .... ........ i . . before the end of the first year. No grace period.<br />
b. Seasonal loan (from second year onwards) for:<br />
* 1. Fertilizer<br />
2. ~esticide/~nsecticide/Fun~icide<br />
* obligatory<br />
.<br />
.<br />
1
- . ~<br />
5. Coffee. Ne-f ?lan:ing.<br />
, a. 3eveloprert LO.=-, (lishzsed over tkra I :-~-rsj -- for:<br />
. . . . . - . . ... ~ ..<br />
.._.,Ci :. .Repaynent . . - In four equa'. annual installaen-;, aCer s three year<br />
grace period.<br />
.. ~<br />
-.... ~ . . .<br />
b. Seasonal loan (from fourth year onwards) for:<br />
~ ~ .<br />
LOAN PROCEDURES<br />
* 1. Fertilizer<br />
2. Pesticide/Insecticide<br />
.- . 1. Identification a=d qualifications of farme~borrowers - The<br />
-. -<br />
~ .<br />
~ . -. - . . . Agricultual Extensior. dides-(AEAs) are primzrily responsible for<br />
. =<br />
. .<br />
. . . . . - ... ,<br />
. _ motivating and iden*ify.bg prospective fanner-borrowers <strong>with</strong>in<br />
~. . ~.<br />
. . . . -. _...:.-. . . . .. . . their - - respctive . . areas of assignment, The Cooperative Aides (CAE)<br />
. . . - are primarily re:ponsibZ e for de terrmaing the credit worthiness of<br />
.. .<br />
. - .. ~<br />
. . ~. ;<br />
. . . .<br />
. ..<br />
.-<br />
. .<br />
. ~<br />
which<br />
. .- ~<br />
~. the .identVied prospective borrowers. 13 all cases, a prospectiye<br />
farmer-borrower mat:<br />
a,, -Be actually tilling the farm he owns or will till the fann<br />
.~ .<br />
his Tribal kuthority has allocated to him.<br />
s . . . . .. - b Be a small farmer of the age of majority who together <strong>with</strong> the<br />
,. 7.<br />
. ... . - ~~<br />
....~<br />
. - ~.<br />
... -.* members . . ~ ~<br />
. . .<<br />
of his household do most of the farm work.<br />
. .- c,. Be willing to follow advice from the proper authority on<br />
. .<br />
. , . ~<br />
.. .. .-. - ~~<br />
. ...<br />
-: recommended cultural practices, proper marketing of his<br />
~ .<br />
.. . . , . ~. .<br />
. produce and othez advices intended to improve his maan of<br />
livelihood and quality of hi8 life.<br />
* obligatory
.......... . . . . - .<br />
.<br />
.....<br />
:.. ...... -,.,. .... ..........<br />
. . . . .<br />
.. :<br />
........-..<br />
..>; ::' .' - ~ .. .<br />
. . .- ...... . . ......<br />
........<br />
_ ;.; , .-<br />
.<br />
e . -. .,<br />
. .~ _ . . ....... .... - . ......:.<br />
Be a member of his br3a Cooperative and TCU md fulfill the<br />
obligation an? exercise the privileges of hie membership.<br />
. .ittend and ~erticipate in prescribed farmers extension a1as.e~~<br />
seminars and meetings,<br />
f. Have settled fully his natured obligations, if my, <strong>with</strong> hi8<br />
Cooperative ..<br />
?. - .: g, pave a farm witei I the cr~p/s<br />
ir~r v:~ictl he wants the lo=.<br />
...... ..-. . ........ . ..... h. Be carable of p. y! .?g ?.he ;ma lte is ap23 yh& for.<br />
.. - . ......<br />
2. Steps in Secur'ns t,heT_-pn_<br />
. . . . . - . ....... a. ,--+,iden.:ifins<br />
. . knd checks ihr quc;.ificcr;;ions of the prospective<br />
- , . . . . .<br />
. . . . . .<br />
. ,. . . ...........<br />
. .<br />
~. . .. .,.<br />
. . . . . . . . . . .<br />
. . .... . . . . . . . .<br />
. . .<br />
..<br />
. . . . .<br />
-............<br />
. . ......... .....<br />
...<br />
......... -. .... .....<br />
. .<br />
faqne~yborro :er. The ;i-;. di-.-2rsi.q cf a farming operation<br />
will depend on the work force available to the farmer. Aide8<br />
should investigate this aspect and not encourage farmers to<br />
.. . - extend their operation beyond their management ability or<br />
available work force .<br />
. ...... ..........& ,. ". -'.+ ' . : . -- . . . . - . .<br />
........<br />
. -- . . . . .<br />
"... . .<br />
. .<br />
. .~<br />
b. CA checks his credit worthiness.<br />
.... c.. Land Planning Division staff determines suitability and aka of Larm of the prospective farmer-borrower.<br />
. . . . . . ~ :.~:.- d.. . ,If..the farmer is found worthy of the loan, the BEA concerned<br />
. . .. .themfills<br />
. - ... . . :...<br />
' for him.<br />
. .<br />
......... - . . - . . ... . . . _ . e., This.<br />
........<br />
- . . . . . . . . . . ......<br />
.. ~. . . . ~ . . . . . . . . . . . ...<br />
..... out items 1 tn 8 of the farmers credit application<br />
. , FCA ia then forwarded to the Management Committee of the<br />
. _ .!l!CU..for its recommendations. This Comittee is oompoaed of a<br />
.... chairman (who is elected by the members of the TCO), the AEA<br />
... . -<br />
....... - . . .<br />
..... .,.~. ...<br />
. . . . . . . . . ...<br />
,~<br />
. . . . . ,.. . . . .~ . .<br />
..<br />
. . . . . ,.. . . . -. (who . - acts as secretary), and the CA assigned to the area where<br />
., .<br />
.. . . . -. . .<br />
. . . .<br />
: .the TCU is located, ~.<br />
In cases where the Town Chief is not<br />
. . . .<br />
elected as the Chairman he will be an ex-off icio Piember of the<br />
. , .TCU Nanagement Committee. The TOMS Chiefs of satelite towns<br />
.. -. (in .osaes uhem the 'PCU oomn mom thrn one tovn) am .18e<br />
: . .,% , ,<br />
. . autoacrtia ez-offioio aa~bers<br />
of thr CnmreZttoe. 'Ph. Codttw
. ., :, .-<br />
.. . . .<br />
.<br />
. ~ .<br />
.<br />
. . .. - .; . -..:verifies if all information in the application is coxmot.<br />
. . . . . .<br />
.<br />
.- -. . . . . .. .;The - Secretary than completes the FCA from itus 9-14 if<br />
. . ~. - .. . applicant is considered suitable, except item 12 whioh i8 to be<br />
. - -. -. signed by the Town Chief concerned if the farm rightly belew<br />
to the pr~spective farmer-borrower.<br />
. . - . . - . - f. . ~. - .The. FCA is them forwarded to the Diatrict Credit Committee<br />
final approval. The DCC is composed of represnkr-<br />
. - . . -. . . .. . .- - .. . . ...~ . . -~ . (DCC).-~O~ . ~ ..<br />
!<br />
. .. - ---<br />
,.. . , . . - . . . - ,- . tives . . . ,; of the area Cooperative, the Cooperative Officer (co),<br />
~ . -. .. -... . - .~<br />
. ~. .. -. .<br />
~ .<br />
and the Agricultural Extension Officer (~0).<br />
~. . . -<br />
- .. .... .. .. .- -h. ::The -Carmer-borrciwer slgna gr thunb-_~ri.++,~<br />
- ~ .<br />
. .<br />
=~ - . . - . . .<br />
~~ . ~ ~ . . ~ .<br />
(if illiterate) #a<br />
-:-+w-,&grearnen-t; Then this is couate~signcd ty the authoris&<br />
. -~<br />
. . . . -~ .. representative of the Area Cooperative.<br />
- ~<br />
-<br />
... . . ~.~ . ~ -.+.<br />
~. -- an approved L-a Sehedule (ALS) is then prep.rsd by tha<br />
. .. ... -..<br />
.. . . .-..~ . . .:. .~oope-rstive in . 7 oopies A separate US 28 pW<br />
. . . . - ~. - .. . -<br />
- .. - . ~. .. - - . :aopy.,to CL, fifth copy to the CO, eixth oopy to tho 190, d<br />
-, seventh crgy %o the Cooperative.<br />
. .. . . .. .., . ,: I- -.: 3. - Loan -Releases - D m<br />
~ .<br />
..,<br />
. .<br />
~.<br />
. . .. . . .. . .<br />
~ -<br />
aompletion of all the afo-ntiorub lwt<br />
~ . - .<br />
~<br />
-. . . . . papera, the following steps sue follavod for tb<br />
release of tlre approvet 1.b itemar<br />
(1 ) The AEA prepares in triplioate a Piold .InspotLon<br />
Certificate (FIC, in whioh IM tartifha th.t<br />
tb. X w q M rorf hu F..n eorgl8f.d w tb. f.sr .1<br />
-0-8 L.1- Of apB0f.fi.d 1- -ti#.<br />
i
- ,. ..... . . .~ ~. , . . .: - .,.;<br />
Distribution Of PIC oopiesr<br />
First cbpy - farmer<br />
Second " - BE0<br />
Thirt " - AEA file<br />
. . . . .-(2):. Farmer presents hio FIC copy to the CA at the Cooperafiw<br />
.:Sub-cenzer or at previously designated places when WI.<br />
loan caiiuoditiea are stored.<br />
. . . . ~. . =.. . 3 'CA 3113 ous in quzdruplicste the Commodity Relesse<br />
... -. ........ ! .:. -. .. o;>.>.-,--.c<br />
. - ................. . ~ ~. -. .. - .: A+.+ :Inaoice (CRI, . covering the commodities authori..d<br />
for relercie.<br />
....<br />
f : .........:.... : ......-.<br />
. .<br />
.:1::5. (q) .:After the farser sipm .,r; thumbprints dl oopies of hhe<br />
..........<br />
. .<br />
. . . . . . . . . . . . %XI, the CA iss%e3 to hiu the soumdities and the third<br />
. .<br />
~.<br />
.<br />
......<br />
... ....... .-<br />
. .<br />
'.' -%.- -&o$y of saj.2 %?I, The firs3vo xpies are than forwar&d<br />
to the Cki,<br />
... ' . . . . :-:(5)' -CK kee;:s the firs.: GOX o; -3" FIC ?.:I& fourth copy of the<br />
CRI a? :a??': f hid record,"<br />
ry ........<br />
-<br />
-.<br />
....... . . - -b. .-Gz*h .-Items (labor pa-pents for swamp ~i.i,= farm development):<br />
. -<br />
. . .............<br />
. . . . . . . - .- . =Swam> rioe labor payments will be made in j releases, a<br />
........<br />
. .. ? . .............. .... .. : :: .: a :fir& of 25% of the contract amount, a second release of .a<br />
" ,...<br />
. . . . . . .<br />
. .<br />
. . . . . . . "-- f:. .- : :-.:- ad&tional 2596 of and a third release of 50% after all work<br />
. ~<br />
. . . . : . . . .,<br />
has been completed.<br />
.. ........ : '. 'rf- -'(1-) '-' We Agriculture Division field staff assist the farmer to<br />
-. . . . - .......<br />
...... . . ..~ZZT 'u':;. look foz a contractor to do the development work.<br />
. . . .<br />
- - . . : . : ( 2 A oontrzct in three copies , is<br />
. . . . . . . . . . ..... ......<br />
............. . .<br />
..<br />
. . . . . . . . . . . .<br />
- :,<br />
then drawn up :<br />
-. betweon the farmer an2 coztraotor specifying-<br />
......<br />
. . . . . : . . . .- :. . ." . . . (a) Swamp Number {to be provided by Land Planning<br />
. . . . -<br />
. . ... Di-rision after their survey of the place).<br />
. . .<br />
. .<br />
... . . . .,<br />
(0) L w<br />
(b) Coop membe-ship number of farmer (from the BLS).<br />
......<br />
noabar of f-r (from thr w).<br />
. .<br />
I
- I I;. ..; 145); The BEb initiates pymetnt prooedura by i8.rrfne Labor<br />
......>.... . ..... . -. . . ^ -~. ..,... .<br />
:.. ......... . .<br />
I -. Payment Authorization (LPA, in three copies.<br />
. .<br />
........<br />
A . -. .. - (4) The AEO certifies to the correctness ofthe LPA and<br />
. . . . . . .<br />
~~ ~<br />
-. - forwards 2 copies tn the CO. The first set of LPB. for<br />
-<br />
. . ~. . a particular swamp must be accompanied by the first 2<br />
. ~ . ~. - . .. ......<br />
~<br />
4<br />
-<br />
. .;. .~ ... , . .-<br />
. 2..-.-<br />
. - - - . - -.. 2 ... 7 ... :<br />
. . - --.- _.* .. -. :.-- ,,i-. + 3;-: =. ..-<br />
...... - -<br />
. .<br />
. ..<br />
. . . - ..Is ,- ;zs xnl-:; 2y.i~:<br />
copies ?f .the contract between the farmer (a) and the<br />
contractor (s) .<br />
- I 4 5 ) The CD %hen prepares the Labor Payment Receipt (LW,<br />
. . . . . -- .-.- ~-.,$ in 4 zopies and, together <strong>with</strong> Finance Diviaion<br />
. . .<br />
::-.:(m), pa,:ks the money in 2nd sezls tine money packet for<br />
each individual farmer.<br />
. .<br />
. - - .-<br />
.... .. .<br />
...... -- *(A) The, first %ree copies of the LPR, together <strong>with</strong> the<br />
. . ... ? . . ... - . . . . . .<br />
... -<br />
. . . . . . ....... -- - 7 -<br />
. ~- ~<br />
-<br />
correspo?~dlhg packed md sealed money packets are then<br />
.<br />
...<br />
...<br />
..... - -~. i-. - - I given by FD to my of &he authorized field staff after<br />
. . -. . ................<br />
........ - - .-..<br />
. . he 8i&r these oxt oa +Ae LPB Distribution Iboolrd.<br />
. .<br />
.<br />
- ... ..... .---. =<br />
.... . . .<br />
~ ........ . . .... . ~<br />
....... . ~ . ~. ~ .<br />
. - .. .- . . . . . . .<br />
~<br />
-<br />
. ('I)-- In oasa tt-is person 5s not tb? me rho -8 paymrnt ta<br />
- the iarders, iie x3t secure a ?'i.~:,riify Pecket Eeceipt<br />
- ~ .><br />
. - . ..-(WE, fza~<br />
. . over the L Zs a16 mney 2acl.et;.<br />
. ~<br />
the zuihorized payor to whom he tm<br />
...... . .. . -<br />
.- . . .~-. &al-,Fhe .. ... C i concerned shall release the noney packet unowned<br />
~ . .<br />
. . .<br />
........<br />
. .<br />
.<br />
............... -. - .-<br />
tothe farmer in the presence of the the contractor. Up(0<br />
. . ......<br />
. - . .<<br />
~~<br />
r<br />
.....<br />
. ~<br />
......:<br />
- 'Ws receipt of the packet, tie famer signs/thumbprint8<br />
. . -the first 3 copies of the LPB, then hediately opens the<br />
-..packet, counts and cays the money to the contractor in th.<br />
.... -.<br />
....<br />
.<br />
.................. .<br />
.........<br />
.. - ,:preseuce of the CA. The CA then signs the LFR certifyin#<br />
- thst he has made the payment.<br />
, . ....-. . . . . -~. . . . ;.- 7-i.7 ,. :()).+ The CO forwards the first two copies of the signed LPFI te<br />
. . .<br />
.<br />
-.<br />
.<br />
.. , ~ ~ . , ,<br />
. - - .: 1- the Central Office and retains the third copy. The f m<br />
- ~~.<br />
....... . .........<br />
. -. . . :;.copy. goes to CD and the second copy tn FD. Likewi8e am<br />
........ ~~<br />
.~ .<br />
.~ . . ~-. in No. 7 above, carriers of signed Lmts have to sign TR<br />
......... . . , :<br />
... .. .. . . .<br />
~ ~. ~ . . - u 8cknrvle@aant of thFr recaipt of tlnrr doouaento.
... . .<br />
4. Loan Collections<br />
a. Not later than 30 days before tix lo= repayment far a parti-<br />
...<br />
.... ...... ... -. cGar crop is due, 5he Cooperative prepares in five copies<br />
'Schedule of Reasonal Loans Due (SSLD) for the area covered by<br />
.<br />
each CA showing ;he principal and service charge due<br />
- ..<br />
. ~<br />
.. ~<br />
Distribution of copies:<br />
First Copy - CA<br />
Second " - CM<br />
Third " - CD<br />
Fourth " - CO<br />
Fifth " - Cooperative<br />
..........<br />
. . . . . . .<br />
b,- The. CA advises the TCU Management Committee on loans due from<br />
... .....<br />
their numbers.<br />
..<br />
c. , TheTCU Management Committee advises farmer of the ohligations<br />
...... . . . . . . .<br />
. - .......- .......... -.<br />
. . ,<br />
. .<br />
. . . . - . dueand the date the Ccoperative will come to the Sub-center<br />
. .<br />
. . . . . _ ,.: A.v - _ to<br />
, ........<br />
.collect/purchase the produca to be delivered 3y the fa'mers.<br />
~. .<br />
- . .<br />
.<br />
. - ........ 6. -. Farmer-borrower . -. . -. ..*. delivers his produce to the Sub-center/Coopera-<br />
. . . . . . ....<br />
. . . .<br />
.. ~<br />
tive .<br />
.. ..- . e. - . Cooperative liquidates the delivered produce, and pays the<br />
:, . . '3 .. . - . .<br />
fanner for whatever is in excess over his obligation, giving<br />
... ..<br />
.... ... - .... ..... . . . .<br />
. . . him a liquidaticn slip for their transaction.<br />
. . . . . . . . . . .<br />
:. ,-<br />
...........<br />
. . . . . . . . . .<br />
... . . .<br />
. . .......<br />
. . - .<br />
.,... - ..
. ~. . A qualified fandr may tpply for new l.cana if:<br />
.<br />
- ~<br />
. . . ~ .... ~,.. i .... .... ..~: ~- --<br />
I<br />
.<br />
-. . .-<br />
--..... -. .- . - ..x -____.-i_:<br />
: .......-. 2; .....<br />
a. He has setticd his previous matwed lcan.<br />
b. The overall repayment of matursd loans of all the members of<br />
his TCU is at least 90%.<br />
c..,Hisnew loan including his old loan shall not exceed $1,000.<br />
.. ......<br />
Applications for reloans shall be submitted <strong>with</strong> the foil-g<br />
accomplished forms:<br />
a. Farmers Credit Application.<br />
~. .... ............. b, ,Lo+ Agreement (for new seasonal or neu development loans<br />
..... - :.....:.... .;<br />
...<br />
. .<br />
.......<br />
.~. ........ - . ~. only), No new Loan Agreement is needed for the eomsponding<br />
seasonal loan intended for the same crop which vaa covered by<br />
..... ... ..... . ~. . . . . . - ..<br />
.......<br />
. . . .<br />
the pievious Development Loan Agreement.<br />
6. Comuutation of Reuayments<br />
............ - :~- ...: ........<br />
. -- - a. Seasonal Loans - payable upon harvest of the k p finaacad<br />
........<br />
.......... - . . . . . . . . . .... . .but..not later than one year from-date of the loan at 10% flat<br />
... ......... : ...... -. . .~.<br />
service charge.<br />
.... . ~<br />
---<br />
. . . . .<br />
. - . -. .... .........<br />
-...<br />
1.<br />
.Total amount due ~principal<br />
principal.<br />
~. . . . ~xa&le : Loan - $450.<br />
. . :<br />
/<br />
-. a. Principal - $450.<br />
- . .~ -<br />
- ..<br />
-- . - - . .<br />
+ 10% service charge, on the<br />
. Service Charge (10% x $450) - 45.00<br />
Total payment due = $494.00<br />
...... . -r. .... . - . - . :7-.~ . b. Development Loans .- No installments ara due &wing the lpMe<br />
I 2;<br />
. . . - . . . . - .~ . period of the loan. However, the principal plu the Fnkramt<br />
; . - -- < ~ . -.<br />
.-. -. ~ . ,. . - .. -<br />
~<br />
~<br />
-- . - . . atlw . . a year are totalled (capitalized) by the end of th.<br />
.. ~ .... . . . -- . . ~- . . ...... grace period and divided into as many equal yesrly instrllwnt8<br />
. . .~~ .<br />
- as called for (refer to section E, 7-5) in the terms at fh.<br />
- -<br />
the<br />
psrticulsr Loan. The yearly installment plus the iatoreot of<br />
loan balance are to be repaid by the borrower.
I<br />
. . -. Example of Elev Cocoa Lcsn Rxauent S?hetule<br />
. -. .. .- ....<br />
. .<br />
. .... -- .- The...table below is >roviie?. fxc uot: in expiaining to farmers the<br />
..... . ~ . . ~<br />
. amounts ..... due each . year for repa;--se:lf of a c e h e ? ? new ~ ~ cocoa loan.<br />
. .The amounts might be someirhst rx:?- or le.:s d:;pe~d.'.ng on the price for<br />
. . . . . . . . . .<br />
fertilizer in future pars. ,I L\:, the a- omtu -vould be reduced if the<br />
. . . . .<br />
.farmer does :l;otv..take tk: fuil t~?is packag.? x if he arranges transport j<br />
. :<br />
.~ . .<br />
~<br />
.<br />
~<br />
. . . .<br />
......<br />
. . ..:. . .........<br />
... of.,his . . -.ownse.edlings. . . .<br />
New C~UOE! loa-.S ere fo:.: ?2 yeam <strong>with</strong> 3 years<br />
. . . - . . . . -<br />
...<br />
..&<br />
.,.. ... - - .. ........<br />
....... .- . - ...... - ..-... - . -. . -<br />
r7 :~: .i:.; .apy,,are,,applied ....... .....- to the development lc,a.n accclmt. Therefore, the<br />
.... = y<br />
" . .~.-'. . -
Year 4<br />
,<br />
. . .<br />
7/1 8 - NPK Fertilizer $110.00<br />
...<br />
Semi ce Charge<br />
11.00<br />
- -.<br />
- ,<br />
. . .<br />
./. -.<br />
Dev. Loaz Installment<br />
Dev. Loan Interest<br />
50.82<br />
- . , --- .<br />
*-:- -: -. -<br />
Total Payment Due<br />
-ALiiI<br />
-
. -<br />
Future Use of the Revolving Loan m d:<br />
.. . .. . . . It would seem highly probable that there will still be many<br />
. ;,.<br />
.. . smal1,husiness persons - both farriiers and commercial entrepreneurs<br />
. . . remainingoutside the scope of institutionalized credit sources at<br />
.. . . .~ , . .<br />
. .<br />
. . the -endi of.,the :grant period. The PfP Revolving Loan Fund would be<br />
. .<br />
. - .. ...l..<br />
. the ,po,ss$ source of loans for these people. However, since<br />
programs-proposed for the program area<br />
- + .A<br />
= =<br />
. I:. :thew :&rs,.a,rpumber of credit<br />
.. . .<br />
-- .: -$h.e. nature-and degree of the demandis<br />
-<br />
. 1:. : .. --:<br />
5 be. dertermi;nad by ~D/~iberia ~issio4<br />
-. r year grant: period. If there<br />
. ~<br />
. that will have to<br />
. . something<br />
. .<br />
rind PfP/~iberia after the 5<br />
is a continuing need and demand, by<br />
. -small business persons outside the scope of the other credit sources<br />
..for.,access :to PfP credit facilities then the Revolving Loan Fund<br />
.,<br />
- . will be-granted to PfP/~iberia to continue its loan program.<br />
.. . . .
x<br />
4<br />
APPENDIX Q<br />
Linkages Between PfP/~iberia and Related Agricultural Projects<br />
The Central Agricultural Experiment Station (CAES) locazed at<br />
Suakoko is to become the principal research institute in Liberia at<br />
the pational level. As much of the basic research has been conducted<br />
. ~ . -~ . : --- - elsewhare,-.-:e.g.-by IRRI in the Phillipines and IITA in Nigeria, the<br />
. :.<br />
~ ~ . . .- ... emphggip . at-CK will be on.adapting and applying this research to<br />
1<br />
- -.<br />
~ ~ .<br />
conditions in Liberia.<br />
. . It is~.understood from the Project Paper prepared by the Centre<br />
for Agricultura1,Sciences and Rural Development, LSU, Contract # AXD/afr-<br />
. .c-1532, that one of the principal goals of the Centre is to cooperate<br />
~ ~<br />
and coordinate- closely <strong>with</strong> the Development and Exten- programs, e.g.<br />
Lofa and Bong County Projects and PfP/~iberia. They will conduct local<br />
.-.+-verigication<br />
.. . trials, develop viable production technology packages,<br />
-- -demonstrate and disseminate the packages to farmers ria extension<br />
- services and provide a flow of information and results from the fanners<br />
to the researchers and back to the farmers.<br />
PfPL~iberia has been engaged in such a strategy in a limited<br />
way <strong>with</strong> a demonstration farm conducting applied research,. an agricul-<br />
tural extension services and appropriate technology center. The services<br />
z e to be considerably expanded and strengthened as explained in the<br />
proposal.<strong>with</strong> emphasis upon rice production, tree crops, cocoa and coffee,<br />
L legumes, roots and tubers, animal husbandry practices, and appropriate<br />
agricultural technology tools.<br />
The considerable task of raising subsistence food and cash crops<br />
production, however, will necessitate the promotion of extensive re-<br />
search-extension-development program linkages. PfP will cooperate <strong>with</strong><br />
all parties, expecially <strong>with</strong> CAE& to create such a mutually beneficial<br />
network aimed directly- atiassisting the Liberian peasant farmer.