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Innovations in financing mechanisms for demand-driven agricultural advisory services

The Case of Nariño Dairy Products Cooperative (COLACTEOS) in Colombia











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    Innovations in financing mechanisms for demand-driven agricultural advisory services
    The Chile case, 1978–2014
    2018
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    The Research and Extension Unit (AGDR) of FAO has commissioned a series of case studies on the reform of extension systems in the past decade and the shift towards innovative financing systems for extension. The studies have focused on the relations between the empowerment of farmers and their organizations, their new roles in the advisory systems and the innovative financial mechanisms in extension required to achieve effective pluralistic and demand-led extension and advisory systems, with quality services being relevant for male and female smallholder producers. Four case studies of different modalities of innovative financing mechanisms were undertaken: Danish Agricultural Advisory Services, evolution of the Danish model. The study describes the historic development of the Danish Agricultural Advisory Services (DAAS). This is the case of a national advisory system owned and managed by the farmer organizations and financed with public subsidies combined with farmer/user payments, gradually developed to full user payment. Agricultural Services and Producer Organizations Support programme (PSAOP) from Senegal is the case of reforms towards decentralized demand-led services with structures, procedures and finances for farmers’ demand, negotiation and contracting of advisory services. The farmer organizations were the main drivers of this reform process. Both the supply and demand side are supported with public funding. Financing advisory services for family farmers in Chile. The study describes the programmes of the Institute for Agricultural Development (INDAP) from Chile (1978-2014). The case shows the development of a pluralistic system for extension and advisory services. The system uses competitive grants provided by Government combined with users’ financial contribution to cover the costs of the services. Nariño Dairy Products Cooperative (COLACTEOS) in Colombia is a case of producers’ cooperative-based advisory services as embedded services fully financed through their own processing and marketing activities. A team of advisors is hired by the cooperative for regular services; while other services are contracted on a short term basis. Furthermore, a synthesis was established with a conceptual framework for analysis used to develop a synthesis of the experiences from the four case studies. The synthesis also supplements the cases with a literature review on other cases of similar financing mechanisms and drawsconclusions and recommendations.
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    Innovations in financing mechanisms for demand driven agricultural advisory services. Evolution of the Danish model 2015
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    The study describes the historic development of the Danish Agricultural Advisory Services (DAAS). This is the case of a national advisory system owned and managed by the farmer organizations and financed with public subsidies combined with farmer/user payments, gradually developed to full user payment. The links and relations between the empowerment of farmers and their organizations, their evolving roles in advisory systems, and the innovative financial mechanisms in extension, especially pull- mechanisms, are analyzed. The study also looks at the effectiveness and impact of the advisory system, advice and accountability of advisory services to small-scale male and female producers. It draws out lessons learned from this that can relate to other countries engaged in reforming their advisory services.
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    Introducing Demand-Driven Extension Approach in a Traditional Region: a Case Study from Pakistan 2011
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    At the request of the Government of Pakistan, the Food and Agriculture Organization of the United Nations (FAO) provided technical assistance in natural resources management in the Azad Jammu & Kashmir (AJK) region through a project TCP/PAK/2905 - “Strengthening the extension capacities for community demand-driven planning for natural resources management in the Azad Jammu & Kashmir Regionâ€Â from 2003 to 2005. Under the project, a demand-driven extension approach was introduced for th e fi rst time in this traditional and poverty-stricken region, a grassroots community based planning mechanism was established, eight training modules were prepared, necessary institutional arrangements were made at crucial district level, and a guide on establishing grassroots planning mechanism was produced based on the project experiences. In 2009, FAO commissioned this case study to capture the interventions, accomplishments, and lessons learned through this particular project fo r the benefi t of other developing countries. This document was prepared at the end of the assignment. A set of eight CDs containing eight training modules, produced under the project, should be considered as a part of this document. The case study report contains a number of recommendations for the AJK Government to strengthen the demand-driven approach for demanding agricultural extension and other services through the multi-disciplinary Village Development Plans prepared by rura l Community Organizations. As the recommendations are aimed at improving a specifi c situation, they are not generic and therefore not being included in the Executive Summary. The conclusions and lessons learned from the case study, however, are being presented here for other developing countries in case they want to adopt the demand-driven extension modality.

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