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Public-Private Partnerships in Fragile States: Reflection on the practice, challenges and opportunities in Somaliland










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    Book (stand-alone)
    Operationalization of fish auction market feasibility study 2011
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    With an EEZ of 1.9 km2, the Government of Mauritius envisions the land based oceanic industries as a strategy for extracting more value from the ocean to spearhead sustainable economic growth. Development of the seafood hub, the marine fisheries and aquaculture are the landmarks of the aforesaid strategy. In 2007 the Ministry of Fisheries and Rodrigues (MOFR) has precipitated the development of an electronic fish auction market at Fort William without any feasibility study and/or a business mode l. Actually construction works are completed and installation of electro-mechanical and refrigeration equipment is underway at a total cost of Rs 35 million. An additional capital investment of about Rs 15 million would be required for the acquisition of an electronic fish auction system and associated equipment to enable the operationalization of the facility. The parent Ministry reckons that it is not within its prerogative to be directly involved in the operationalization of the fish auction market on account the commercial / business orientation of the latter. It intends to procure a private operator-cum-investor to operationalize the facility through a Public-Private Partnership model. The present study has been commissioned by the MOFR to perform a techno-economic appraisal of the project in view to chart out appropriate operationalization strategies for the project. The fish auction at Fort William is designed to deal in fresh / chilled fish harvested by the domestic fisheries b ut an in- depth supply analysis has concluded that this is not feasible for various reasons. All the same, the facility is not adequately located and equipped to auction frozen by-catch of foreign tuna long line vessels which is available in sufficiently large quantities at the fishing port. Therefore the project is techno-economically unsustainable unless it is overhauled. According to the By-catch regulation 2004, all licensed foreign tuna long line vessels have an obligation to land their by- catch at the Agricultural Marketing Board (AMB) Cold Storage Facility at the fish docks while non-licensed visiting vessels have no obligation whatsoever unless the market conditions are attractive. The total annual supply of frozen by-catch in Mauritius estimated between 4000 and 9000 metric tonnes. To take advantage the market opportunities, the business model of fish auction facility to be adjusted to frozen by-catch trade and in this process the 300 tonne AMB cold storage facility at the fis h docks of Fanfaron will have to be amalgamated with the FAM. The refrigeration system installed at the FAM will be operated as an Ice-flakes Production Unit on a commercial basis. It will cater for effective demand of ice-flakes arising from the artisanal and semi-industrial (chilled) fisheries as well as fish marketing structures in its surrounding. However the administrative centre including the electronic backbone of the auction system will stay at Fort William. S.W.O.T analysis of the proje ct has concluded on two critical points which are: -The frozen by-catch is a secured business under the By-catch Regulations and the Licensing Policies of foreign tuna long line vessels. Government commitment to this project is a key determinant for the success of the project. -The major weakness of the project is the lack of local expertise and familiarity in electronic fish auction that can be obviously compensated by a proven foreign operator –cum-investor through a suitable PPP model or a st rategic alliance by means of a Joint Venture. investment The feasibility study of the FAM is prepared in a conservative approach. The total Public Investment is re- adjusted at Rs 25 million to reflect its actual market value. Additional Private Investment is estimated at Rs 15 million. The opportunity cost of long term public borrowings is taken at 6%, which is slightly higher than current financial market rates and that of the private project loans, at 10%. A weighted mean discounting factor o f 7.75 % is used to examine the Net Present Value (NPV), Internal Rate of Return (IRR) and Break-Even (B/E) points of the project. The life cycle of the project is assumed at 15 years. Supply of by-catch supply for the first year of operation is projected at 1500 metric tonnes with and increment of 10% per year for the consecutive years. The mean market price of by-catch fish species is taken at prevailing international ex-vessel price including a price inflation rate of 5% per annum. Auction fe e is projected at 10 % of the primary sale price. The Ice-flakes Production Unit (IPU) will operate at 50% of its installed capacity which is minimal.
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    Document
    Report of a Technical Consultation to Promote Public-Private Partnerships for Pre-Breeding 2013
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    Mutually beneficial public-private partnerships, as an integral part of crop improvement, are critically important for pre-breeding. Such partner ships enhance the adaptive capacities of cropping systems to climate change, and respond to the need for increasing productivity, in order to feeding an increasing global population. A technical consultation on promoting public- private partnerships for pre-breeding was according ly convened in Rome, Italy in May 2013. Participants presented on a wide range of approache s to crop improvement involving public- private partnerships. They agreed on the importance of conducting a thorough needs assessment, to identify the objectives of, and arti culate the most effective arrangements for a global initiative to promote Public-Private Partner ships for Pre-breeding, under the aegis of the International Treaty on Plant Genetic Resources for Food and Agriculture. They stressed the importance of securing the support of stakeholders through wide consul tation, and of clarifying the remit of the proposed global initiative, in 201 4. Overall, there was a strong support for exploring the possibility for the establishment of a global initiative to promote Public-Private Partner ship For Pre-breeding that specifically addresses the imperative of broadening the genetic base of breeding materials, and of ensuring the access of plant breeders throughout the world t o the widest possible range of high quality pre-commercial, pre-bred materials that are in suit able forms to be used in plant breeding. Towards this end, it was agreed, amongst immediate next steps, that a thorough needs assessment be carried out and the models currently in practice in Brazil, Germany and the Nordic countries be reviewed. Outcomes of this consultation will be presented in the form of a Declaration of Intent at the Third High-level Roundtable on the International Treaty (Bandung Indonesia, 02-04 July 2013), and to the Fifth Session of the International Treaty’s Go verning Body (Muscat, Oman, 24-28 September 2013)
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    Project
    Agribusiness public-private partnerships. Country case studies - Africa
    Annexes
    2013
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    In response to the increasing interest in public-private partnerships (PPPs) as an instrument for enhancing investment, risk-sharing and addressing other constraints in pursuit of sustainable and inclusive agribusiness and rural development, in 2010 FAO undertook a global appraisal of agribusiness PPPs implemented in 15 countries in Africa, Asia and Latin America. This web page provides readers with direct access to the summary tables of 70 cases from 15 countries across Africa, Asia and Latin America that demonstrate the application of public private partnerships in the areas of value chain development, innovation in science and technology, market infrastructure and business development services. The profile and details of these cases act as a complementary set of resource materials to supplement the 15 national reports and an overall synthesis document which analyses lessons learnt on factors influencing the success and failure of agribusiness PPPs as well as the drivers, governa nce and enabling environments for increasing investment in inclusive agri-food sector development.

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