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Annual Report 2014–2015

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Annual Report2014–2015

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GAIN Annual Report 2014–201502

Today, almost every society is dealing with some form of malnutrition. Hunger is adaily challenge for 795 million people, and159 million children are stunted. More thantwo billion people – one in three people on the planet – suffer from micronutrientdeficiency, otherwise known as “hiddenhunger.” At the same time, an estimated 1.9 billion people are overweight or obese, and more likely to develop non-communicable diseases. Climate changeand conflicts exacerbate these challenges,for example pushing up food prices,worsening food security, hindering theproduction and movement of food ormaking staple crops less nutritious. Moreover,rising urbanization puts pressure on urbanfood systems, which are failing to keep up with the rapid growth of cities.

In this complex environment, multisectoralpartnerships uniting governments, business,civil society and communities are ever morecrucial to making food systems fit for today’spurpose, and to ending malnutrition andhunger in a generation.

This year at GAIN we took stock of theeffectiveness of our food fortificationprograms from a decade-long investment in preparation for the first Global Summit on Food Fortification, and we published areport on the results – Fortifying our Future.We also developed the FortificationAssessment Coverage Tool (FACT) in order to understand better how large scale foodfortification programs impact public health.The Summit was co-hosted by theGovernment of Tanzania and 30 countrydelegations attended. It challenged the

sector to reach an additional billion people and expanded the evidence baserequired to move the fortification agendaforward. As the longest established exampleof a multistakeholder partnership in nutrition,we are determined to finish a job started 100 years ago and make the benefits of this simple and cost effective tool a pillar of national food and nutrition security plans.This will be a major priority for GAIN in 2016.

In 2015 we also assessed our Maternal Infant and Young Child Nutrition program,a portfolio of 23 projects in 17 countries that explores different delivery channels to improve infant nutrition. We reached over19 million women and children. In March,GAIN convened the 1,000 Days Symposiumto reflect on learning around two criticalissues: appropriate business models; andbehaviour change interventions.

Agriculture and Nutrition is our youngestprogram. The Marketplace for Nutritious

Foods helps local entrepreneurs increaseaccess to nutritious foods in the marketplaceand improve dietary diversity. It currentlysupports 37 companies across Kenya,Mozambique and Tanzania, and hasrecently been extended to Rwanda. Thisprogram too will be the subject of rigorousevaluation once it matures.

Business has a key role to play in fightingmalnutrition. We co-convene the Scaling Up Nutrition Business Network (SBN), with the World Food Programme, and alsosupport national multi-stakeholderpartnerships in the Netherlands and in the Nordic countries. These partnerships link businesses and other nutrition players in north and south to enhance thenutritional value of food in developingcountries. We are excited by the initiativesemerging from our business partnerships and alliances.

GAIN could not have undertaken its work without our partners and the generoussupport from our donors. We thank them all.

Finally, 2015 marks an important change inGAIN’s governance. I welcome with greatpleasure Vinita Bali as the new Chair of theBoard of Directors. Vinita, a global businessleader, brings valuable experience from thecorporate and development sectors.

Letter from Executive Director, Marc Van Ameringen

The world now has a clear vision of what needs to be done to end malnutrition

by 2030

2015 marks the transition from the Millennium Development Goals (MDGs), launched by world leaders in 2000 to fight poverty in its multiple dimensions, to the 2030Sustainable Development Goals (SDGs) with their sharperfocus on food and nutrition security. A total of 72 developingcountries reached the MDG target of halving the number of people suffering from hunger. The SDGs must acceleratethis momentum.

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Vinita takes over as Chair of the GAIN Board from Jay Naidoo, who has led us sinceour early days. I sincerely thank Jay for hisinvaluable contribution and look forward tocontinuing to benefit from his experienceand passion in his role as Chair of thePartnership Council.

The world now has a clear vision of whatneeds to be done to end malnutrition by2030. The new SDGs expand the vision,placing nutrition at the heart of the newfood system we must create for a worldpopulation growing towards 9 billion. Aid is only a small part of the solution,harnessing it to leverage other investmentswill be a key to success. GAIN is experiencedin building these innovative partnerships andwe invite you to work with us to endmalnutrition within our lifetimes.

“ I am honoured to be appointed as the new Chair of the GAIN Board. As abusiness leader with varied and extensiveexperience globally, I believe that theprivate sector has a crucial role to play in eliminating malnutrition. GAIN haspositioned itself well to build bridges thatlink public and private sectors and to driveimpact through innovative models thatharness the potential of the market.” Vinita Bali, Chair of the Board of Directors, GAIN

“ It has been a great privilege to have been associated with GAIN as Chair of its Board for the last 12 years in the fight to end malnutrition. We have reached over 900 million people with the nutritiousfoods they need to help them live healthylives and raise healthy families. We havefocused much effort on vulnerablepopulations, targeting in particular womenand children, because we know thathelping them access sustainable, nutritiousdiets is crucial to ending the cycle ofmalnutrition and poverty. Much moreneeds to be done to build the multi-sectoralliances in the nutrition sector that willend malnutrition in our lifetimes. But it isnow a realistic goal and as Chair of GAIN’sPartnership Council I look forward toworking with our partners, and within the context of the new SDGs, to move the sector rapidly in this direction.” Jay Naidoo, Chair of the PartnershipCouncil, GAIN

ContentsMarc Van AmeringenExecutive Director

02 Letter from Executive Director,Marc Van Ameringen

04 About GAIN

04 Donors and Partners

05 Our Strategy 2014–2017

06 Performance against Targets2014–2015

07 Improving Diets through FoodFortification

09 Nutrition for Mothers andChildren

11 Agriculture and Nutrition

13 Business Partnerships and Alliances

15 Monitoring, Learning and Research

16 Financial Statements 2014–2015

18 Governance

19 Management

20 Contact Us

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GAIN Annual Report 2014–201504

Today nearly 3.5 billion people worldwide are malnourished in someway. Close to 2 billion survive on diets that lack the necessary vitaminsand nutrients to live healthily, while about 1.9 billion struggle with overweight and obesity.

The Global Alliance for Improved Nutrition(GAIN) was launched at the UN in 2002 to tackle the human suffering caused by malnutrition. GAIN is a global, Swiss-based foundation that mobilises public-private partnerships and provides financial and technical support to deliver nutritious foods to those people most at risk of malnutrition. Our programs in Africa and Asia enable better diets vianutritional products, such as fortified staples foods, including cooking oil andflour, and condiments like salt and soy sauce. We also support improvedmaternal and infant health by promoting breastfeeding and specialisedproducts for infants over six months and young children. In addition, we partnerwith local businesses to improve the quality of food along agricultural valuechains. By building alliances that deliver impact at scale, we believemalnutrition can be eliminated within our lifetimes.

About GAIN

GAIN would like to thank the many donors and partners who contribute to the success of our programs.

Principal Donors and Partners:BESTSELLER Foundation; Bill & Melinda GatesFoundation (BMGF); Children’s Investment FundFoundation (CIFF); Department for InternationalDevelopment (DFID); Agence Française duDéveloppement (AFD); GiveWell, Good Ventures;Goldsmith Foundation; Department of Foreign Affairs,Trade and Development, Canada (DFATD); Ministry ofForeign Affairs of the Government of the Netherlands; GSM Association (GSMA); Inter-AmericanDevelopment Bank (IDB): Irish Aid; Karl Pedersen ogHustrus Industrifond; Liverpool School of TropicalMedicine; Micronutrient Initiative (MI); United NationsChildren’s Fund (UNICEF); United States Agency forInternational Development (USAID); United NationsWorld Food Programme (WFP).

Donors and Partners

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GAIN Annual Report 2014–2015 05

In 2014 the GAIN Board set a three year strategy to improve,enhance and support the diets of the poorest and mostvulnerable people in countries where there is a high burden of malnutrition. We have ambitious targets to deliver using our unique approach to multi-stakeholder partnership.

GAIN works closely with partners, including governments, civil society, businesses, UN agencies and academic institutions, to develop programs that deliver large scale and locallyrelevant solutions to malnutrition. GAIN invests in innovativedelivery models that allow us to reach our most important target groups: infants, children, adolescent girls and mothers. We will increase investment in research to fill gaps in evidence

about nutrition and consumer behaviour. We will build evidence of the effectiveness of GAIN’s interventions,demonstrating our impact through rigorous evaluations of our programs.

GAIN has five global programs to improve the health and lives of the people we serve. These are: Food Fortification; MaternalInfant and Young Child Nutrition; Agriculture and Nutrition;Business Partnerships and Alliances and Monitoring, Learningand Research.

Our programs are mainly focused on Africa and Asia, wheremost of GAIN's partners and staff are located.

Our Strategy 2014–2017

iii

Improving Diets through Food Fortification – page 07

Nutrition for Mothers andChildren – page 09

Agriculure and Nutrition – page 11

Business Partnerships andAlliances – page 12

Monitoring, Learning andResearch – page 14

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From July 2014 to June 2015,GAIN reached an estimated

845 millionpeople, including over

330 millionwomen, adolescent girls andchildren 6-59 months

51% of these were in Africa,44% in Asia and 5% in therest of the world

GAIN Annual Report 2014–201506

Performance against Targets 2014–2015

Reach and Coverage

GAIN assessments haveshown a contribution of

35.7 percent to daily consumption of key vitamins and minerals by women ofreproductive age and

15.3 percent by children 6-23 months

In FY 2014-2015, the average GAIN project costper individual reached was

US$ 0.27

In FY 2014-2015 the ratio of investment betweenGAIN funds and the

private sector was 3.3:1

and the public sector1:1

Public Health Impact

Affordability and Sustainability

Leverage Additional Investments in Nutrition

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GAIN Annual Report 2014–2015 07

Fortification of staple foods and condiments is one of the cheapest and most practical tools we have to tacklemicronutrient malnutrition, or the lack of the essentialmicronutrients we need to grow and live healthy lives. Over the past decade, GAIN has worked with governments to fortify everyday staple foods and condiments such as flour,salt and oil with vitamins and minerals, like iron, vitamin A,iodine and folic acid, that help prevent disease andencourage good health. Today, our programs reach almostone billion people in 40 countries, mainly in Africa and Asia.

Improving Diets through Food Fortification

With major funding from the Bill & MelindaGates Foundation and other donors,including USAID and the Netherlands, GAINhas delivered an ambitious food fortificationprogram to improve the nutritional status ofthe most vulnerable populations in theworld. In 2015 we collected data andevidence on the effectiveness of foodfortification from this decade-longinvestment in a report entitled Fortifying ourFuture. Accurate and up-to-date informationand statistics are crucial for programs toaddress bottlenecks and achieve impact.The report was shared at the first ever GlobalSummit on Food Fortification in September2015, which GAIN hosted along with theGovernment of Tanzania, and co-convenersthe African Union, the Bill & Melinda GatesFoundation, the Scaling Up NutritionMovement, UNICEF, USAID, and the WorldFood Programme. The Summit agenda was set by the dozen leading technicalfortification agencies.

The three day event, part of internationalefforts to reinvigorate interest, awarenessand investment in food fortification, wasattended by 30 governments from countriessuffering the highest levels of micronutrientmalnutrition. It offered the opportunity toassess lessons learned and to forge a sharedstrategy to highlight the role of foodfortification in food security and within theSustainable Development Goals. The Summitculminated in the Arusha Statement on Food

Fortification, delivered by the African Union,which calls for an effort to extend thebenefits of fortification to another billionpeople and which highlighted five keypriorities:

1) Produce better evidence and translatethis to programming

2) Strengthen compliance and control3) Ensure that advocacy for fortificationremains a priority

4) Retain stronger commitment andinvestment from governments and donors

5) More transparent accountability andglobal reporting

Thanks to momentum generated at this event,at least seven countries have made positivedecisions to scale up fortification. GAIN is nowleading a process with over 20 fortificationpartners in the Technical Advisory Group toelaborate on the Summit recommendationsby the end of January 2016.

Fortifying our Future, #FutureFortified

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GAIN Annual Report 2014–201508

“While it’s important to secure theinvolvement of the private sector, publicmoney must be spent to solve a publicproblem like malnutrition. And how do we convince those currently on the

margins to play a bigger role? By tellingthem it is one of the ‘best investments in the world.” Bjørn Lomborg, Director of the Copenhagen Consensus Center

The new GAIN Platform for Quality &Safety (GPQS)offers innovative qualityand safety solutions to fortified foodproducers and governments worldwide.These include: 1) provision of credit; 2) procurement support; 3) certificationservices; and 4) business planning andtechnical assistance.

Part of this platform, the GAIN PremixFacility (GPF) in particular simplifies premixprocurement and competitively sourcesmicronutrients from a global base ofsuppliers, which have been prequalifiedthrough GAIN’s stringent selection process.In 2015, the GPF surpassed US$ 50 million inpremix procurement, reaching over

150 million at-risk individuals. An exampleof a sustainable success is the GPF’s workwith the Kyrgyz Association of Salt Producersin Kyrgyzstan. In the past, salt producers inKyrgyzstan had to pay for potassiumiodate (which is needed to ensure peopleget the right amount of iodine in their diet)up-front and cash flow for small businesseswas often an issue. Now, they can buypotassium iodate at a competitive priceand on credit through the GPF.

“We can pass on the lower costs to our customers and people who neediodized salt in Kyrgyzstan.” BaktygulDjangazieva, Kyrgyz Association of SaltProducers (KASP).

Access to quality premix made easier for small scale suppliers

With support from USAID, GAIN isfacilitating efforts to step up thefortification of staples and condiments in the Central Asian region, including inKazakhstan, Tajikistan, Afghanistan andPakistan. This regional initiative is alignedwith USAID’s regional strategies – theAlmaty Consensus and the New Silk Road Initiative – to ensure betterintegration of trade and regulation toimprove the wellbeing of the populationsof Central Asia, in particular Afghanistan.To date, GAIN has completed nationaland regional assessments of trade flowsof edible oils and wheat flour; industryassessments; analysis of relevantregulations and policy; and options

for procurement of micronutrient premix. In October 2014, all findings were presented over two days to 50-plusregional leaders from government,academia and the private sector at the 5th annual Central Asia Trade Forum.Next steps for the USAID-GAIN regionalfortification project include 1) translatingthe evidence base into policy changethrough engagement of high-leveladvocates, celebrities, social media, andconsumer groups in four countries; 2)working closely with industry on premixprocurement and the value addition of fortification; and 3) rolling out afortification assessment coverage survey in Kazakhstan.

Fortification in Central Asia

Iodine deficiency is the most common cause of brain damage inthe world. GAIN – in close partnership with UNICEF, governmentsand the private sector – has been working for seven years in 14 countries to improve iodine nutrition by adding iodine to salt.This is one of the safest and most cost effective ways to tackleiodine deficiency. It leads to improvements in intelligence andeducability, and helps prevent infant mortality, miscarriages andgoitre. 2015 marks the final year of the seven-year GAIN-UNICEFUniversal Salt Iodization (USI) Partnership Project. This project hasprovided targeted advocacy, communications, supply-side

technical assistance and monitoring and evaluation expertise,leading to an additional 470 million people having access to iodized salt in 14 countries. Ethiopia and India in particular sawtheir coverage of adequately iodized salt increase significantlythanks to the project. Largely through USI, there are now only 25 countries identified as having insufficient iodine intakes, downfrom 54 in 2003. We are now in an unprecedented position: on the verge of being able to eliminate iodine deficiency at apopulation level once and for all.

Working in partnership to eliminate iodine deficiency within our lifetimes

GAIN reached new audiences this year, with global press coverage expanding our message about the power of effective food fortification programs, and with live television interviews on BBC World News (78 million viewers per week). GAIN’s work was reported in a range of publications, including Lancet Global Health; The Guardian; Devex; The Huffington Post; The New York Times; National Geographic; Al Jazeera; EurActiv; and This is Africa.

Telling the story of food fortification

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Since 2007, GAIN has supported a portfolioof 23 projects in 17 countries that exploreddifferent models and delivery channels toimprove infant nutrition (see box opposite formore information). The program in 2014-15reached over 580,000 women and children.Its cumulative reach since its inception ismore than 19 million.

Over the past year we have put emphasison sharing the experiences and lessonslearned from our portfolio of projects. GAINsupported an independent global expertMaternal, Infant and Young Child NutritionWorking Group that generates nutritionalguidelines for complementary foods, as wellas guidance on how to use the Code ofMarketing of Breast-milk Substitutes whenmarketing complementary foods.

At the same time, as we incorporate lessonslearned into new projects, additionallearning emerges.

GAIN Annual Report 2014–2015 09

A poorly nourished mother is likely to raise a poorly nourished child. GAIN works to break this intergenerationalcycle of malnutrition and stunting. We focus on the first 1,000days, from conception to 24 months, and support improvedcomplementary feeding practices – within the context ofexclusive breastfeeding for the first six months of life, andcontinued breastfeeding to two years of age and beyond.

Nutrition for Mothers and Children

We worked at multiple levels to increaseavailability and access, improve quality,and enhance adequate utilisation ofnutritious foods and supplements.

We supported projects corresponding to different models:

Public delivery: Benue State, Nigeria,focused on raising awareness anddistribution of micronutrient powdersduring Health Week.

Fully commercial: South African Pharmatargeted early adopters of micronutrientpowders (MNPs), but price was too high for low income groups.

Social business model: In Vietnam, MNPswere developed by the National Institute of Nutrition, but sold by health workers.

We learned that:

• private sector can be incentivised tomanufacture quality complementaryfood products and market themresponsibly;

• hybrid social business models seem to work best in terms of reaching low income consumers;

• achieving uptake and regularconsumption will require more andmore effective investments in demandcreation and behaviour changeinterventions.

Three business models for the delivery of complementaryfeeding products and fortified foods

ENABLING ENVIRONMENT MARKET

PRODUCER

PRODUCT

CONSUMER

BEHAVIOUR

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GAIN Annual Report 2014–201510

The Baduta project aims to contribute to the reduction of anemia and stuntingin children in East-Java, Indonesia, amonglower and middle class urban and peri-urban households. The projectfocuses on the first year of life.

The Behaviour Change componentincludes the ‘Healthy Gossip Movement’which aims to:

• Improve exclusive breastfeeding forthe first six months of a child’s life byreducing the displacement ofbreastfeeding by formula milk;

• Improve dietary diversity ofcomplementary foods fed to childrenunder two years old by promoting a‘colorful plate’;

• Reduce the number of unhealthysnacks given to young children,especially close to meal times;

• Increase the intake of animal proteinby expectant mothers.

Healthy Gossip is built around theunderstanding that better norms of carecan be spread by popular, communitydebate. It is part of a package ofcommunity activities and televisioncommercials that encourage mothersand caregivers to engage, participateand practise key behaviours to helpimprove their children’s growth anddevelopment.

One of the most important findings of the project so far has been that age-old challenges sometimes require‘outside the box’ thinking. Aspirational TVcommercials featuring Lady Gossip will reach more than 30 million viewersnationwide by December 2016, while‘emo demos’ (emotional demonstrations)that visualise complex nutrition conceptsin a fun and playful way, will complementthe interpersonal counselling thathappens at health centres. Communityroll-out to 113 villages in two districts inEast Java – Sidoarjo and Malang – aims to reach more than 40,000 mothers andtheir children under two, and 20,000pregnant women.

East Java: engaging with the community to improvecaregivers’ infant and young child feeding practices

In February 2015, GAIN convened a symposium ofleading experts to reflect on lessons learned in twoareas:

• Effective public and private sector businessmodels for production and delivery ofcomplementary feeding products and fortifiedfoods;

• Driving consumer awareness and behaviourchange to ensure good feeding practices anduptake of complementary feeding products.

1,000 Days Symposium

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GAIN Annual Report 2014–2015 11

Our goal is to strengthen opportunities that make diverse and nutritious diets available and affordable for low incomeconsumers. We use the agriculture value chain to identifyopportunities for nutrition intervention at each stage – fromfood production to storage, processing to distribution, retail,marketing and food preparation. We see the marketplace asa pivotal entry point for improving dietary diversity.

Agriculture and Nutrition

Chicken Choice was established in 2007and incorporated as a limited company. It rears both broilers and indigenouskenyeji chickens. Chicken Choice worksalong the entire poultry value chain to useall parts of the chicken and make chicken,rich in protein, available to consumersfrom all economic backgrounds. This year, the Marketplace provided technicalsupport to develop a marketing strategy,provide customer service training toChicken Choice staff, and strengthen thecompany’s financial systems. In addition,the company used grant funds to openfour new retail outlets and buy arefrigerated truck to support safer andmore efficient distribution of chicken.

The company has employed nine new staff members and invested approximatelyUS$ 15,000 of its own funds in capitalexpenses to support the growth of thebusiness. Chicken Choice has alsoreported that the procurement of arefrigerated truck has cut delivery costs by around 50 percent. In addition, thecompany has started expanding its farmactivities in order to increase productionand reduce reliance on third partyproducers. With investment from theMarketplace for Nutritious Food, over thelast year Chicken Choice has increased

its sales of affordable chicken from 97 metric tons per month to over 156 metric tons, putting over 2.5 millionportions of affordable protein and essentialmicronutrients in the hands of low incomeconsumers in and around the inner city of Nairobi.

Chicken in Kenya

GAIN’s Marketplace for Nutritious Foodsprogram is a ‘ground up’ approach tostrengthening local enterprises that producehealthy, safe and affordable foods for lowincome consumers. Marketplaces arefunctioning in Kenya, Mozambique andTanzania, and one is just getting underway in Rwanda. There are three components tothe Marketplace: Communities of Practiceencourage joint learning and networkingamong local entrepreneurs and investors;the Innovation Accelerator provides business planning and technical assistancein specific areas like product formulationand quality control, as well as generalmanagement; the Finance componentprovides grants and links businesses toprivate investors.

The Marketplace is currently supporting 37 companies. Here are two stories fromKenya and Mozambique.

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GAIN Annual Report 2014–201512

VEGMAN, a company based nearChimoio, streamlines the supply of freshvegetables from farmer to consumer. Bycreating a vertically integrated businessmodel that oversees everything fromseedling production to wholesale andretail, VEGMAN is reducing inefficienciesalong the supply chain and taking addedcosts, from middlemen like transporters,distributors and brokers, out of theequation. The company now offers adiversity of nutritious vegetables toMozambican consumers at low prices.VEGMAN was approved in theMarketplace’s first call for proposals andthe company has received support for

two years. Since then, the company hasestablished a retail outlet along the mainChimoio-Catandica highway that sellsVEGMAN produce as well as otherconsignment products. With theMarketplace’s support, the company has also installed powerlines and electricpumps, constructed a greenhouse,purchased seed trays, a vehicle, a newwarehouse and a retail vegetable facility.The success of this project is credited tothe fact that the business plan is wellthought out and that the entrepreneurswho developed this concept are solidlycommitted to serving their community.

Fresh vegetables in Mozambique

In March 2015 GAIN asked freelancejournalist, Caspar Van Vark, to report onGAIN programs and partnerships in Kenya,Tanzania, Ethiopia and Mozambique. Hemet with GAIN’s partners to see how theywere modifying the agriculture valuechain to provide the most vulnerablepeople with more nutritious foods, andanalysed the successes and challenges of large-scale food fortification programs.You can find his blog posts at:www.gainhealth.org/blog/

“ Visiting a goat farm in rural Mozambiquewith GAIN this year, I met a man in his 20scalled Celestiano. He had come 3km bybicycle to buy a bag of frozen tripe fromthe farm shop. This was convenient, hetold me, because previously the nearestshop had been 40km away.

“ Thanks to GAIN’s Innovation Acceleratorprogram, Celestiano is just one of manypeople who now have easier and morefrequent access to affordable protein. To me, it was a vivid example of how amodest but clever investment in the rightplace can translate immediately intobetter nutrition.” Caspar Van Vark,Freelance Journalist.

Journalist witnesses first-hand how GAIN is tacklingmalnutrition in Africa

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All parts of society need to act to solve the complex problem of malnutrition. GAIN works through stakeholderpartnerships with government and civil society but also with the companies and entrepreneurs who actually process,package, distribute and sell food. We work with business at the global level, but primarily we work with the small and medium sized enterprises emerging all over Africa and Asia that are crucial to local food systems.

Business Partnershipsand Alliances

We provide technical and financialassistance to them to build demand andexpand access to nutritious products. Wealso work with governments to ensure thatbusiness is integrated into national nutritionplans and that regulations encouragebusinesses to provide nutritious foods to local markets.

In addition, we convene innovative platforms to bring business together withother stakeholders – the Scaling Up Nutrition(SUN) Business Network, Amsterdam Initiativeagainst Malnutrition and the GAIN NordicPartnership.

SUN Business Network

In 2010, the SUN Movement was launched to support national leadershipand collective action to scale up nutrition.The SUN Business Network (SBN) – co-convened by GAIN and the UN WorldFood Programme – is one of the four globalnetworks that support SUN countries – alongwith UN, Civil Society and Donor Networks.

The SBN was established to bring businesstogether behind the SUN Movement and its aim to ensure that all people realise their right to good food and nutrition.

In 2015, the SBN surpassed its target of 99companies, with 160 now making public

commitments to improving nutrition, andtracking their progress annually. Thesecommitments range from increasing reach inbroadcasting mobile phone nutritionmessages, all the way to providing 60 millionpeople each year with fortified staple foods. Intotal, commitments from member companiesamount to reaching 125 million consumersevery year by 2020. The SBN is now supportingten SUN countries to develop nationalplatforms and strategies to engage business incountry-led national nutrition strategies.

GAIN Nordic Partnership The GAIN Nordic Partnership is a multi-sectorplatform with an ambition to facilitatescalable and inclusive business models thatenhance the nutritional value of food indeveloping countries. It was established in 2014 by the five founding partners: ArlaFoods Ingredients, Tetra Pak, DanChurchAid,the Confederation of Danish Industry andGAIN. The platform brings together Nordiccompanies, civil society, academia and thepublic sector in a forum for collaboration,action and knowledge sharing. Together we co-create solutions that addressundernutrition but at the same time areaffordable, tasty and attractive for lowincome consumers living on a budget of a few dollars a day. The first focus area of theGAIN Nordic Partnership is the developmentof sustainable initiatives along the dairyvalue chain in Ethiopia and East Africa. The goal is to reach low-income consumerswith an income of US$ 2 to US$ 5 a day.

The SBN was established to bringbusiness together behind the SUNMovement and its aim to ensure that all people realise their right to good food and nutrition

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GAIN Annual Report 2014–201514

The Amsterdam Initiative against Malnutrition (AIM)

The Amsterdam Initiative against Malnutrition was launched in 2009 as a joint project of the Dutch Ministry of ForeignAffairs, the Dutch NGO ICCO (InterChurchOrganization for Cooperation andDevelopment), multinational corporationsUnilever, DSM and AkzoNobel, WageningenUniversity and GAIN. Today, AIM brings 30partners together to explore innovative andsustainable solutions to address malnutrition.

AIM projects are designed to encourageproduct innovation, value chain optimizationand the use of locally produced ingredients.The goal is to create systemic change andaddress barriers to market entry for nutritiousproducts. The initiative is currently focused onKenya, Tanzania, South Africa, Nigeria, India,Malawi, Indonesia and Ethiopia. In TanzaniaAIM supports Vegetables for All.

Vegetables are a vital component of a balanced diet. Unfortunately, they tend to be lacking in the diets of low-income consumers. Vegetables for Allwillimprove access to vegetables in the areasof Arusha, Kilimanjaro, Manyara and Tanga in Tanzania. According to a recent nationalmarket study, people prefer to buyvegetables but cannot always afford to do so. Vegetables for All aims to changethat by facilitating increased consumptionof fresh and dried vegetables by poorconsumers by strengthening sustainablevegetable value chains, linking farmers to local markets and building demand

for nutritious foods through targetedcampaigns and health education.

FAST FACTS• 8,000 farmer beneficiaries• Over 500.000 potentialconsumers to be reached

• Six partners involved• Project running from 2014 to 2018

• Four selected vegetables:amaranths, sukuma wiki,tomato, green pepper

Vegetables for All to improve dietary diversity in Tanzania

AIM projects are designed to encourage product innovation, value chain optimization and the use of locally produced ingredients

BESTSELLER is an international family-owned fashion company founded inDenmark with more than 3,000 storesacross 38 countries. This year BESTSELLERlaunched its Give-a-Day and on 10 April2015 donated its entire global turnover tocharity. The campaign generated over€15 million for various charities includingGAIN. The US$ 2.5 million received byGAIN will provide nutritious fortified foodto over 100,000 children in India, as wellas provide training to femaleentrepreneurs, giving them the skills theyneed to develop and run businesses thatcan provide nutritious foods to theircommunities on an ongoing basis.

In a remote village in rural India, forexample, 10 local women own andoperate a factory that provides 30metric tons of flour per month enrichedwith vitamins and minerals to 10,000women and children. The StateGovernment, through its social welfareprogram, acts as both a buyer anddistributor of the product, which is thenhanded out through community centres.

Shopping can save lives

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GAIN Annual Report 2014–2015 15

The Monitoring Learning and Research (MLR) unit seeks to strengthen the impact of GAIN programs through betterdesign and implementation, based on the review, generation,translation, and use of evidence for decision making. The unitalso identifies and addresses priority evidence gaps relatedto GAIN programming areas, with the ultimate goal ofinforming GAIN’s strategy, supporting advocacy andcontributing to the global evidence base.

Monitoring, Learning and Research

Harnessing the knowledge ofbusiness: The Business Platformfor Nutrition Research (BPNR)The BPNR connects business, academia,donors and civil society to increase theavailability, affordability and safety ofnutritious products and services. Togetherprivate and public sector stakeholdersdefine, fund and disseminate new andinnovative research to improve nutrition inlow and middle income countries. The BPNRis co-funded by the Government of Canadaand hosted by GAIN and aims to harnessthe private research capacity of business,creating collaboration around importantpublic health challenges.

The BPNR works through its business partners(ten in 2015), an extensive independentscientific advisory board, donors,international organizations, collaboratingresearch institutions, other public sectorbodies and country partners. BPNR hasidentified three research streams forimmediate support:

• Bioavailability, biomarkers and healthdiagnostics;

• Behaviour change communication;

• Food safety, with a focus on mycotoxincontamination.

Work is now underway to finalise andexpand commitments from industrypartners. This is a ground-breaking andchallenging program aiming to engage with business beyond corporate socialresponsibility. As such, it has great potentialto generate research results that will betaken up by business and bring betternutrition products and services to middleand low income consumers.

FACT (the Fortification AssessmentCoverage Tool) has been developed as part of GAIN’s commitment tounderstanding better how foodfortification programs impact publichealth. A step change in how we measureperformance of these programs, it movesfrom indirect estimates of per capitaproduction, a reflection of availability offortified foods to the population, to directestimates of coverage and utilization atthe population level and of the quality of the products consumed. GAIN hascompleted 12 surveys in 10 countries in Africa and Asia, looking at theconsumption and quality of fortified oil, maize, wheat flour and salt.

FACT can answer such questions as: what proportion of the populationaccesses fortifiable foods? Whatproportion of women of reproductive ageis consuming adequately fortified oil?What proportion of their needs for vitaminA is met? What proportion of oil or flourmeets national fortification standards?How do all of these vary: by region? agegroup? economic status of households?

These variances are critical to assessingthe potential of food fortification programs

to actually reach those most at risk fromdeficiencies, and who can benefit fromfortified products.

The FACT tool is flexible and can also beused to measure coverage and utilizationin other programs, including targetedfortification programs, for example fortifiedcomplementary foods or micronutrientpowders aimed at children over sixmonths. By including additional modules,FACT can also be used to learn abouttarget population awareness of suchprograms, their willingness to use them,and factors that might impede or favourutilization.

While FACT is still a work in progress, to berefined on the basis of lessons learned, it isalready generating considerable interestamong our partners.

Assessing potential impact and targeting for results – the FACT story

iii

Malnutrition is a complex problem, and we give priority to identifying

what works at the lowest cost, and whatapproaches can be quickly replicated and scaled up

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GAIN Annual Report 2014–201516

Financial Statements2014–2015Summary of Audited Accounts

Consolidated Balance sheet as at 30 June 2015

2015 2014US$ US$

Current Assets 38,751,957 53,507,920

Non-Current Assets 9,296,438 6,286,948

TOTAL ASSETS 48,048,395 59,794,868

Current Liabilities 40,142,811 48,514,553

Restricted Funds 6,801,425 6,800,000

Capital of the Foundation 1,104,159 4,480,315

TOTAL LIABILITIES. FUNDS & CAPITAL 48,048,395 59,794,868

Consolidated Statement of Operations for the year ending 30 June 2015

2015 2014US$ US$

Income 49,412,489 49,927,346

Direct and Administrative Expenses 53,134,922 49,136,642

Intermediate Net Surplus/(Deficit) (3,722,433) 790,704

Net Financial Income 375,687 215,908

Other Income (27,907) 108,754

Net Operating Surplus/(Deficit) (3,374,653) 1,115,367

Net Surplus/(Deficit) for the year prior to allocations (3,374,653) 1,115,367

Allocations to restricted and unrestricted funds 3,374,653 (1,115,367)

Net Surplus for the year after allocation [–] [–]

Balance Sheet Statement of Operations

These financial statements were approved by our Board on 2 December 2015. Capital of the Foundation includes a cumulative unrestricted surplus of US$ 1,069,397 for 2015and US$ 4,444,128 for 2014.

FOOTNOTE:GAIN produces Financial Statements under SWISS GAAP FER21 (Accounting for charitable,social non-profit organizations) as the most appropriate for a growing non profit tocorrespond to the charitable status of the organization. The use of Swiss GAAP FER improvesthe transparency of the allocation of the resources that GAIN spends on behalf of donors.For full Swiss (GAAP) disclosures please see our full audited financial statements atwww.gainhealth.org/organization/financial-statements

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ProgramExpenditure (%)

Large Scale Food Fortification

Maternal Infant and Young Child Nutrition

Monitoring, Learning & Research

Agriculture & Nutrition

Business Partnerships & Alliances

Overhead

GAIN Annual Report 2014–2015 17

ProgramExpenditure by Region (%)

Asia

Africa

Rest of the World

Program Expenditure by Country

(top 10 countries)(%)

India

Bangladesh

Indonesia

Mozambique

Kenya

Ethiopia

Nigeria

Pakistan

VietnamGhana

33%

21%

14%

9%

8%

15%

55%

39%

6%

20%

17%

17%

10%

10%

7%

7%

5%3% 3%

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GAIN Annual Report 2014–201518

Governance

GAIN BOARD OF DIRECTORSJay Naidoo, Chair, GAIN Board*

Vinita Bali, Chair, GAIN Board**

Michael Anderson, Chief Executive Officer,Children’s Investment Fund Foundation,London, UK

Shawn K. Baker, Director, Nutrition, GlobalDevelopment Program, Bill and MelindaGates Foundation, Seattle, USA

Ashok Bharti, Ashoka Fellow. Chairman,National Confederation of DalitOrganisations (NACDOR), New Delhi, India

Michèle Costafrolaz, Founder and ManagingPartner of MCT Audit & Advisory SA, Geneva,Switzerland

Omar Dary, Health Science Specialist, USAID,Washington DC, USA

Pierre Henchoz, Chair of the GAIN Financeand Audit Committee, Private Banker,Lausanne, Switzerland

Richard Hurrell, Chair of the GAIN BoardProgram Committee, Professor Emeritus, SwissFederal Institute of Technology (ETH), Zurich,Switzerland

Kaiser Kabir, CEO and Managing Director ofRenata Ltd., Dhaka, Bangladesh

H. E. Mrs. Tumusiime Rhoda Peace,Commissioner for Rural Economy andAgriculture, African Union, Addis Ababa,Ethiopia

Joachim von Braun, Vice Chair of the GAINBoard, Chair of the GAIN NominationsCommittee, Director of the Center forDevelopment Research (ZEF), Professor forEconomic and Technological Change,University of Bonn, Germany

Stanley Zlotkin, Chief, Global Child Health,Hospital for Sick Children; Professor,Paediatrics, Nutritional Sciences and PublicHealth, University of Toronto

Ex OfficioMarc Van Ameringen, Executive Director,Global Alliance for Improved Nutrition,Geneva, Switzerland

* (End of term: 1 November 2015)** (Start of term: 1 November 2015)

GAIN PARTNERSHIP COUNCILJay Naidoo, Chair of the Partnership Council

Kaosar Afsana, Director Health, Nutrition &Population, BRAC Professor, James P GrantSchool of Public Health, BRAC University,Dhaka, Bangladesh

Keith Bezanson, Independent consultantand former Director of the Institute ofDevelopment Studies, University of Sussex;Ottawa, Canada

Zulfiqar A. Bhutta, Robert Harding InauguralChair in Global Child Health at the Hospitalfor Sick Children, Toronto, Canada and theFounding Director of the Center ofExcellence in Women and Child Health, atthe Aga Khan University, Karachi, Pakistan

Martin Bloem, Senior Nutrition Advisor/WFP'sGlobal Coordinator UNAIDS, United NationsWorld Food Programme, Rome, Italy

Faizel Ismail, Advisor to the Department ofTrade and Industry on Trade and EconomicDevelopment, Cape Town, South Africa

Wolfgang Jamann, Secretary General andCEO, Care International, Geneva,Switzerland

Manoj Kumar, CEO, Naandi Foundation,India

Ibrahim Mayaki, Chief Executive Officer,NEPAD, Midrand, South Africa

David Nabarro, UN Secretary-General'sSpecial Envoy on Ebola and SpecialRepresentative for Food Security andNutrition, Geneva, Switzerland

Werner Schultink, Chief of Nutrition, UNICEF,New York, USA

Lucy Martinez Sullivan, Executive Director,1’000 days, Washington DC, USA

Stephan Tanda, Managing Executive, DSM,The Netherlands

Emorn Udomkesmalee, Senior Advisor,Institute of Nutrition Mahidol University,Nakhon Pathom, Bangkok, Thailand

Frits van der Wal, Senior Policy Advisor –Cluster Food & Nutrition Security; Focal PointLand Governance, Ministry of Foreign Affairs,the Netherlands

Ex-Officio membersJoachim von Braun, Vice Chair of the GAINBoard, Chair of the GAIN NominationsCommittee, Director of the Center forDevelopment Research (ZEF), Professor forEconomic and Technological Change,University of Bonn, Germany

Marc Van Ameringen, Executive Director,Global Alliance for Improved Nutrition,Geneva, Switzerland

Our Board of Directors is the governing body of GAIN and issupported by its advisory arm, GAIN’s Partnership Council

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GAIN Annual Report 2014–2015 19

Management

OPERATIONS COMMITTEEMarc Van AmeringenExecutive Director

Dougal FreemanChief Financial Officer

Steve GodfreyChief Investment Officer

Jana JauffretSenior Director, Program Operations and Management

Lynnette Neufeld Director, Monitoring Learning and Research

Arnold TimmerSpecial Advisor, Global Program Management

EXECUTIVE MANAGEMENTCOMMITTEEThe EMC is made up of OperationsCommittee members and:

Charlotte CadouxSenior Manager, Human Resources and Organizational Development

Greg S. GarrettDirector, Large Scale Food Fortification

Marti van LiereDirector, Maternal, Infant and Young Child Nutrition

Bonnie McClaffertyDirector, Agriculture and Nutrition and Director, US Office

Geraldine MurphyDirector, Business Partnerships and Alliances

Susan Ni Chriodain Director, Program Operations

Alex ReesDirector of Program Development & Fundraising and Director, UK Office

Dominic SchofieldDirector, GAIN Canada and Senior Technical Advisor Policy and Programs

Herbert SmorenburgSenior Manager, Netherlands Office

COUNTRY MANAGERSAlem AbayCountry Manager, Ethiopia

Sajjad ImranCountry Manager, Pakistan

Adan KabeloCountry Manager, Kenya

Rudaba KhondkerCountry Manager, Bangladesh

Mohibullah Wahdati Country Manager, Afghanistan

Ravi MenonCountry Manager, Indonesia

Tarun Vij Country Manager, India, and Senior Advisor, South Asia

Francis AminuInterim Country Manager, Nigeria

Katia Santos DiasCountry Manager, Mozambique

Enock MusinguziCountry Manager, Tanzania

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Contact us [email protected]@GAINalliance www.facebook.com/GAINalliance

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