Katalyst Semester Report January - June 2015

Table of Contents

Summary: Strategic review and outlook 1

Chapter 1: Introduction 2

Chapter 2: Outcomes achieved: January to June 2015 3

2.1 Overall achievements against outcomes 3

2.1.1 Maize 5

2.1.2 Vegetable 5

2.1.3 Farmed Fish 5

2.1.4 Information Channels 5

2.1.5 LAN 5

2.1.6 WEE 6

Chapter 3: Outputs and performance according to Business Plan 2015 6

3.1 Overall achievements against Output 1 6

3.1.1 Maize 7

3.1.2 Vegetable 7

3.1.3 Farmed Fish 8

3.1.4 Information Channels 8

3.1.5 LAN 8

3.1.6 WEE 9

3.2 Overall achievements against Output 2 9

3.3 Monitoring and Results Measurement 10

Chapter 4: Management and finances 10

Chapter 5: Lessons learnt 12

ANNEXES

Annex 1: Outcomes achieved for 2015 13

Annex 2: Outputs and performance according to yearly plan of operations 2015 15

Annex 3: Outcome Indicator 3: Number of sectors with evidence of a higher degree of systemic change

26

Annex 4: Initiatives for inclusive market development by national actors 27

Annex 5: Transversal Themes 28

Annex 6: Innovation Fund Management 29

Annex 7: Finances and Management 30

Annex 8: Programme highlights, impact stories, and testimonials 36

List of Abbreviations

ATC-P Agri-Business for Trade Competitiveness Project

ATI Agricultural Training Institute

BAU Bangladesh Agricultural University

BPC Business Promotion Council

BIDS Bangladesh Institute of Development Studies

BFVAPEA Bangladesh Fruits and Vegetable and Allied Products Exporters Association

BMO Business Membership Organisation

BTEB Bangladesh Technical Education Board

CCA Climate change adaptation

DAE Department of Agricultural Extension

DANIDA Danish International Development Agency

DCED Donor Community for Enterprise Development

DFID Department for International Development

DRR Disaster risk reduction

ERD Economic Relations Division

ESIA Early signs of impact assessment

IBB Improved bamboo basket

IA Impact assessment

IC Information Channels

ICT Information and communications technology

IFM Innovation Fund Management

IMED Implementation, Monitoring and Evaluation Department

LAN Local Agribusiness Network

MDF Market Development Forum

MoC Ministry of Commerce

MoU Memorandum of Understanding

MRM Monitoring and Results Measurement

MSME Micro, small and medium enterprises

NGO Non-governmental organisation

PPI Progress out of Poverty Index

PPM Project Preparatory Mandate

PSC Project Steering Committee

RDA Rural Development Academy

SAAO Sub-assistant agricultural officer

SME Small and medium enterprise

SRP Strategic Review Panel

SDC Swiss Agency for Development and Cooperation

WEE Women's Economic Empowerment

1

Summary: Strategic review and outlook Implementing Organisation: Swisscontact

Project name: Agri-business for Trade Competitiveness Project (ATC-P), branded as ‘Katalyst’

Type of report: Bi-annual operational report

Reporting period: 1 January 2015-30 June 2015

Phase duration: 1st March 2014 to 31st March 2017 Receivers of the report: SDC, DFID, DANIDA

Main results achieved and implementation performance of the project/programme:

Estimates and results from early signs of impact assessments (ESIAs) and the few impact

assessments conducted show that the project is well on track to achieving the business

plan targets for benefit outreach set out for the year 2015. However, in terms of income

impact, the project may lag behind the targets set out for 2015. This is due to a time lag

between benefit and income to materialize in agriculture and the delayed start of the project

with partial loss of the major agricultural season Rabi/Winter 2014-2015, which might lead

to lower impact on income. Nevertheless, this will be reassessed and validated by the end

of 2015.

A review of the Innovation Fund Management (IFM) has been completed with the objective

of evaluating the overall IFM mechanism. Recommendations from the review have been

prioritised and are currently being put into operation. A summary of the recommendations

from the Review, management response to the recommendations and status of IFM can be

found in ANNEX 6.

A contract with the Business Promotion Council (BPC), an agency operating under the

Ministry of Commerce, was signed in April 2015. The objective of this contractual

agreement is to engage the BPC with Katalyst in assessing, designing and effectively

intervening in the areas of fisheries, agriculture, ICT, complemented by capacity

development of the organisation.

Activities planned for the Women Economic Empowerment (WEE) cross sector had to be

dropped as they proved to be less promising business models, and new activities were

conceptualised. The impact on the final target will not be negatively affected as the

outreach targets will be met with the revised plan of activities to be reflected in the

upcoming Business Plan.

Benefit outreach and income for the Media sector has been reported for the first time in

Katalyst. The impact assessment was conducted after four months of in-depth analysis of

the research methodology with external experts with a DCED background.

Main steering implications for the next period of intervention

This phase of the project commenced in March 2014, and 2015 was supposed to be the first full

year of operations. However, political instability in the country between January and March

hampered activities in the first major agricultural season (robi/winter 2014-2015) which was vital

in re-evaluating the sector strategies and determining impact achievements. The project will

focus to ensure quality implementation with close monitoring for the rest of the business year.

Outcome and output indicators will be re-evaluated at the end of 2015. Revised projections for

the project along with detailed explanation for any change will be communicated in the

upcoming annual report.

2

Chapter 1: Introduction

Katalyst is a market development project that aims to contribute to increasing the income of

poor men and women in rural areas. It does this by facilitating changes in services, inputs and

product markets, which in turn increases the competitiveness of farmers and small enterprises.

The project started Phase 3 of its operations in March 2014. This semester report covers the

period 1 January to 30 June 2015.

Implementation strategy: A strategic review panel (SRP) meeting was held in May to fine-tune

and finalise sector strategies. The SRP focused on ensuring synergy between sectors and

cross-sectors, rolling out and strengthening the capitalisation component, and formulating the

systemic change visions with key drivers of change. Sector strategies are currently being

reassessed as per the recommendations of the SRP with the support of the sector advisors.. In-

house training on project management, moderation, MRM and IFM have been planned for the

second semester in order to develop the capacity of the team. The first indications of impact for

the business year are encouraging, although outcome indicators still need to be assessed and

strategies need to be further fine-tuned in order to ensure that phase targets are met. The

assessments planned for the next semester will be crucial for the project to verify results and re-

evaluate assumptions for the phase.

Changes in context/stakeholder analysis: In the maize sector for example, after the first year

of implementation in new areas (such as Barisal, Faridpur and Mymensingh), we realised that to

bring about changes, there were considerations beyond the immediate issues of cultivation. For

instance, in the Barisal region farmers find it difficult to include this new crop in their existing

cropping patterns, as they are used to cultivating a longer duration Aman (rice) variety that

reduces the cultivation time available for maize farming. This shorter time span does not provide

optimum results for farmers who want to grow maize. The growth of maize cultivation has thus

been slower in Barisal.

As for Katalyst’s Local Agri-business Network (LAN), enthusiasm among private companies for

using the network for the commercialisation of their products and services has grown. For

example, ACI, Petrochem and Popular Life Insurance Company have signed separate MoUs

with the upazila trader association, agreeing to sponsor public-private initiatives and any other

extension activities related to farmer groups. This is because they have found that the farmer-

trader network provides them with a countrywide opportunity to promote their products and

services to a high number of farmers. In the WEE cross-sector, activities planned for 2015

proved to provide economically non-viable business models for the service providers. For

example, an activity was designed to create access to information targeting women through ICT

helplines. However, the service proved to be costly for the women to use, and at the same time

it was realised that agro-information targeting women would not be effective if it was provided as

a stand-alone service. Instead, the cross sector has adopted an alternative strategy to provide

information as a bundled service, along with inputs such as seed, aqua feed and fertiliser.

There has been significant improvement in taking ownership of the project by the Ministry of

Commerce. Key factors contributing to this improved relationship were the signing of a frame

agreement for collaboration with the Business Promotion Council (BPC), close information-

sharing and collaboration with government at all levels (from a project steering committee to the

sub-upazila-level extension officers) and complete achievement of the government financial and

physical project targets. The outstanding result of Foreign Aided Projects Audit Directorate

3

(FAPAD) of ATC-P for the year 2013-14 and the full integration of the Project Director in the

project activities complemented the efforts to align the project to Ministry of Commerce policies.

Chapter 2: Outcomes Achieved- January to June 2015

2.1 Overall achievements against outcomes

The following table highlights progress of the project against outcome targets defined in the

logframe and broken down in the business plan:

Table 1: Outcome: Sustainable and inclusive systemic changes are taking place in all the sectors

Outcomes Business plan

2015 targets

Achievements

(Jan-Jun 2015)

Logframe targets 2017

Cumulative

achievements

up to June

2015

Outcome 1:

Additional net nominal income for

farms and micro, small and medium

enterprises

BDT9,300m

BDT2,034m

(22%)

BDT20,300m

BDT6,654m

(33%)

Outcome 2:

Number of additional farms and

MSMEs benefiting

670,000 312,159

(47%) 1.43m

845,259 (59%)

Results obtained from early signs of impact assessments and few impact assessments

combined with current projections indicate that the project is on track to achieve the benefit

targets set out for the year 2015 and the 2017 log frame targets. For the reporting period, 47%

of the beneficiary targets measured against the business plan milestones, and 59% of the 2017

log frame targets have been achieved. In terms of the income targets however, these figures

are 22% and 33% respectively. Indications are that with the implementation time remaining,

reaching the income targets for the phase might be challenging. This is due to a time lag

between benefit and income to materialize in agriculture. The political instability of the first

quarter of 2015 has encouraged the project to adopt mitigation measures such as re-scheduling

activities, conducting additional activities with more partners in a shorter time span, which have

lowered impact on activities and their results. ESIA results will be verified next semester when

the project will conduct complete impact assessments for the implemented activities. This will

make certain whether the project will be able to achieve the Phase targets for benefit and

income. Nevertheless, implementation is in full swing, with most of the interventions planned for

the sectors being rolled out. There are also indications of Systemic Change taking place in

sectors through adaption and expansion of proven business models. A brief on the

measurement framework and some evidence of progress towards Systemic Change is provided

in ANNEX 3.

4

The following table presents a breakdown of achievements for each of the sectors in terms of

income impact on Katalyst’s beneficiaries:

Table 1.1: Outcome indicator 1: Additional net nominal income for farms and micro, small and medium enterprises (Income in BDT)

1

Outcomes Achievements (Jan-Jun 2015)

Achievements (Mar-Dec 2014)

2

Cumulative achievement

(Mar 2014- Jun 2015)

Logframe target (Dec 2017)

Percentage of 2017

logframe target

achieved

Maize 279,920,400 101,090,400 381,010,800 2,154,124,953 17.7

Vegetable 512,814,500 2,347,621,600 2,860,436,100 10,081,633,464 28.4

Farmed Fish 998,329,410 568,220,605 1,566,550,015 4,105,312,461 38.2

Information Channels 818,846,700 - 818,846,700 5,324,348,148 15.4

WEE 1,104,600 - 1,104,600 122,343,474 0.9

LAN 29,889,900 56,310,751 86,200,651 2,124,991,602 4.1

Wider economy 307,430,000 1,546,464,266 1,853,894,266 5,522,388,534 33.6

Total income (BDT) 2,948,335,510 4,619,707,622 7,568,043,132 29,435,142,636 25.7

Overlap adjusted Total income in BDT

3

2,034,351,502 4,619,707,622 6,654,059,123 20,300,000,000 32.8

Women beneficiaries4 7,744,059 250,779,464 258,523,523

The following table presents a breakdown of achievements for each of the sectors in terms of beneficiaries reached:

1 Outcome targets were set at an aggregated level; a breakdown of targets for each sector was not set in the 2015

Business Plan. Conversion rate for Income to USD is 83 as per the ProDoc. 2 Phase2-Phase 3 overlap adjustment has not been considered here as most of its numbers represent spillover from

Phase 2. 3 31% overlap adjusted as per ProDoc.

4 There are no targets specifying women beneficiaries in the logframe. However, ten percent of beneficiaries

impacted by the project are required to be women as per the Prodoc. Data on women beneficiaries is explained in ANNEX 5. 5 Phase 2-Phase 3 overlap adjustment is not considered here as most of these figures represent spillover from Phase

2. 6 29% overlap adjustment as per ProDoc.

7 See Footnote 1.

Table 1.2: Outcome indicator 2: Number of additional farms and MSMEs benefitting

Outcomes Achievements (Jan-Jun 2015)

Achievements (Mar-Dec 2014)

5

Cumulative achievement

(Mar 2014-Jun 2015)

Logframe target

Percentage of 2017 logframe

target achieved

Maize 21,900 15,000 36,900 119,000 31.0

Vegetable 62,900 452,800 515,700 643,000 80.2

Farmed Fish 6,300 42,700 49,000 201,000 24.4

Information Channels 314,600 0 314,600 499,000 63.0

WEE 460 0 460 42,000 1.1

LAN 8,700 54,000 62,700 340,000 18.4

Wider economy 24,800 36200 61,000 168,000 36.3

Total benefit outreach 439,660 600,700 1,040,360 2,012,000 51.7

Overlap adjusted Total benefit outreach

6

312,159 533,100 845,259 1,430,000 59.1

Women beneficiaries7 3,203 51,000 54,203

5

2.1.1 Maize

During the reporting period, the maize sector has generated an additional 21,900 beneficiaries

and an additional net nominal income of BDT280 million from two out of 10 interventions under

implementation. The two interventions are 1) the promotion of winter maize in the Mymensingh,

Rajshahi and Faridpur areas, and 2) the balanced application of fertilizer through promotion of

micronutrients, implemented across Bangladesh. In the new maize growing areas of southern

Bangladesh, adoption by farmers of maize is found to be lower than in the north. This is

because farmers in the south find it difficult to place maize in the existing cropping pattern as

the conventional practice there is to have longer T-aman rice cultivation. Encouraging private

partners to introduce shorter T-Aman rice will address this issue in the next cropping cycle.

Discussion with input suppliers have already been initiated.

2.1.2 Vegetable

During the reporting period, the vegetable sector has generated an additional 62,900

beneficiaries and additional net nominal income of BDT512 million. This result has been

achieved from two interventions assessed out of the 10 interventions under implementation in

the sector: 1) the promotion of integrated pest management solutions, and 2) the balanced

application of fertiliser. Early indications are that the sector is well on track to achieve its 2017

logframe targets for beneficiaries. In terms of meeting the income targets, however, it might be

challenging as the per farmer income might be lower than what was earlier projected. This will

be evaluated at the year end.

2.1.3 Farmed Fish

During the reporting period, this sector has generated a validated additional beneficiary number

of 6,300 and additional net nominal income of BDT998 million. For the Farmed Fish sector,

benefit outreach and additional income figures include results from a) the intervention on

capacity building of prawn hatcheries rolled out in the period of Jan-June 2014, and b) the

Phase 2 intervention on koi brood. Both these interventions helped to develop the capacity of

critical input providers to produce better quality product (fish fingerlings). This led farmers to

generate additional annual income worth approximately BDT35,000 each, which was initially

estimated to be BDT11,000 per farmer per year.

2.1.4 Information Channels

In 2014, Katalyst’s annual report did not present outreach numbers for its work in the

Information Channels (IC) sector, as interventions had not yet undergone full impact

assessments. In this semester, IC has reached a beneficiary outreach of additional 314,600

farmers, which cumulatively represents 63% of the 2017 logframe target. This makes the sector

on a par with its 2015 milestone. However, its corresponding income outreach up to June 2015

is BDT 818 million, which is 15.4% of 2017 logframe target. It should be noted that this income

figure came from only one agricultural season in 2015; Ongoing IC initiatives include customer

care solutions from leading agricultural input companies providing information to farmers,

improved agricultural programmes on state television and radio, and also through union-level

agricultural government information centres.

2.1.5 Local Agri-business Network (LAN)

Katalyst’s LAN is made up of farmers, traders and government extension officers, and is

currently established in 143 of the 180 upazilas planned for Phase 3. Delays resulting from

political unrest meant that linkage and capacity building in all 143 upazilas could only be

6

completed by the end of May 2015. By June 2015, farmers were only midway through

harvesting and selling their crop, meaning that the project could only obtain early signs of

impact assessment, and in only two out of four regions. The indication is that 8,700 farmers are

benefiting from a total additional income of BDT29 million; this means that LAN has reached

18.4% and 4.1% of its 2017 logframe beneficiary and income targets respectively.

Implementation of LAN in the fifth and final region (Mymensingh) will begin from September

2015.

2.1.6 Women’s Economic Empowerment (WEE)

Due to a strategic shift that mainstreamed gender into the project’s core sectors, the

implementation of WEE sector activities was initiated at the end of 2014; For the current

semester, benefit and income outreach can only be reported from one intervention, namely, the

promotion and use of the agri helpline Banglalink 7676 by women homestead farmers. The

outcome of the intervention is much lower than the projection, benefiting only 460 women (the

projected access-to-benefit ratio was 50%, in contrast with the actual result of 17%) with an

additional income of BDT1.10 million. This means that by June 2015 WEE reached 1.1% and

0.9% of its 2017 logframe beneficiary and income targets respectively. The sector has currently

implemented 80% of 2015 business plan activities. Major sub-facilitation and co-facilitation

interventions targeting women are ongoing in the Vegetable, Prawn, and Farmed Fish sectors.

The current estimate is that 40% of the 2017 logframe targets (benefit and income outreach) will

be achieved by the 2015 annual report stage. The craft intervention with Aarong, which already

indicates a 95% access-to-usage ratio in the early signs of impact assessment, will significantly

contribute to this 40%.

Chapter 3: Outputs and performance according to the yearly plan of operations 2015

3.1 Overall achievements against Output 1: Value-adding business services, inputs

and/or demand stimulating activities for farms and MSMEs identified and successfully

promoted

Table 2.1: Output indicator 1.1 Number of additional farms and MSMEs using new or improved services and/or agriculture inputs

Output Achievements (Jan-Jun 2015)

Achievements (Mar-Dec 2014)

Cumulative achievement (Mar 2014-Jun 2015)

Maize 101,800 20,000 121,800

Vegetable 74,700 155,649 230,300

Farmed Fish 28,400 25,200 53,600

Information Channels 469,200 - 469,200

WEE 4,900 - 4,900

LAN 18,200 16,300 34,500

Wider economy 36,400 - 36,400

Total usage outreach 733,600 217,100 950,700

Overlap adjusted usage outreach 537,800 158,800 697,000

Logframe 20178 1,870,000

Total usage achieved as a percentage of 2017 target

37%

8 Usage target is only available for 2017 logframe milestones; detailed breakdown for each sector is not available.

There are no business plan targets.

7

Table 2.2 Output Indicator 1.2 Number of additional farms and MSMEs accessing new or improved services

and/or agriculture inputs

Output Business

plan

(Jan- Dec

2015)

targets

Achieve-

ments

(Jan-Jun

2015)

Percentage

of 2015

business

plan

targets

achieved

Logframe

targets

2017

Achieve-

ments

(Mar-Dec

2014)

Cumulative

achieve-

ments

(Mar 2014-

Jun 2015)

Percentage

of 2017

logframe

targets

achieved

Maize 111,100 128,200 115% 263,000 82,200 210,400 80

Vegetable 412,820 212,000 51% 1,533,000 227,300 439,300 29

Farmed Fish 193,300 68,400 35% 268,000 35,700 104,100 39

Information Channels

376,400 971,900 258% 1,781,000 - 971,900 55

WEE 65,000 11,900 18% 103,000 - 11,900 12

LAN 130,000 47,700 37% 484,000 103,800 151,500 31

Wider economy

77,800 77,900 100% 277,000 34,800 112,700 41

Total access outreach

1,366,420 1,518,000 111% 4,709,000 483,800 2,001,800 43

Overlap adjusted Total access

9

751,531 834,900 111% 2,590,000 276,400 1,111,300 43

3.1.1 Maize The sector is on track to achieve the access figures according to the milestones set in the 2015

Business Plan. Up to June 2015, 111,100 additional farmers (115% of the business plan target)

gained access to new inputs and services and 101,800 have used these services. The sector

team has successfully partnered with eight private seed companies to promote summer maize

and winter maize in new geographic regions. Promotional activities for winter maize in

Mymensingh and for summer maize in greater Rangpur are showing inspiring results, where

farmers are showing a greater degree of acceptance and increasing their yields. The sector has

currently discontinued its work with the Rural Development Academy (RDA) promoting

household composting technology using trichoderma because of a sustainability issue, in that

RDA is good at carrying out research and pilot work, but its commercial orientation is somewhat

limited. Promotion of Trhchoderma through partnership grants is planned to be rolled out in the

second semester.

3.1.2. Vegetable

In terms of accessing services, in this sector approximately 50% of the 2015 business plan

target of 412,820 additional farmers accessing new inputs or information has been reached this

semester. From the start of Phase 3 in March 2014, up to June 2015, the vegetable sector has

facilitated 439,300 farmers to gain access to inputs and services at farm level, and 230,300

farmers with their usage. Alongside partnering with private companies (such as Lal Teer Seed

Ltd, Metal Seeds Limited and ACI Formulations) the sector has initiated the development of a

contract farming model for 12 exportable varieties of vegetables with Bangladesh Fruits and

Vegetable and Allied Products Exporters Association (BFVAPEA) and its members via the

Business Promotion Council (BPC). The contract with BPC will ensure greater export readiness

in full alignment with the mandate of MoC.

9 Forty-five percent overlap adjustment is applied to Phase 3 incremental numbers as per the ProDoc.

8

3.1.3 Farmed Fish

The Farmed Fish team is well on track to reaching the business plan targets; 35% of the access

target set for the year has been achieved in three of the semester’s six months. Although strikes

and roadblocks brought the project’s activities to a halt during the first few months of 2015, work

resumed at full swing as soon as the political situation improved. Activities were rescheduled to

achieve the same access and benefit numbers in a shorter time. In some cases, the team

contracted more partners (for example, 60 instead of 50 hatcheries) to ensure that the loss of

time does not translate into lower outreach numbers. Up to June 2015, the sector has created

usage of new or improved services and inputs for 53,000 farmers. In addition, collaboration

started this semester with the Business Promotion Council (BPC) and as a result, activities in

fish processing, contract farming and policy advocacy are ready to be rolled out from next

semester onwards.

3.1.4 Information Channels The sector is on track in terms of its output targets set in the latest business plan. During the

reporting period, Information Channels (IC) accessed 971,900 farmers, exceeding the annual

target of 376,400 and constituting 55% of the 2017 logframe target. A major contribution to this

high access figure comes from the media interventions which are being measured for the first

time and the revalidation of the strategy of accessing a large number of farmers through

information dissemination. Between January and June 2015 over 469,200 farmers used quality

information received through an ICT helpline, four private television channels and nine

community radio stations. Impact assessment indicates that access-to-usage ratio is 85% for

ICT, which is 8% higher than that of Phase 2. This implies that the information provided through

the agricultural helpline has improved and there is further acceptance by the farmers. Similarly,

the access-to-usage ratio for television and radio audiences has gone up to 33%, a 13%

increase compared to the baseline. These improvements are due to activities undertaken to

ensure quality dissemination of agro information as well as large-scale awareness creation in

collaboration with the private sector.

3.1.5 Local Agri-Business Networks (LAN) Prolonged political unrest halted the linking of farmer groups with trader associations and

related training activities, and as a result, this semester only 47,700 new farmers were able to

access new services and inputs provided by LAN activities, which is about 37% of this year’s

target. The activity level picked up substantially towards the end of the semester, which will

mean a 100% achievement of the business plan access targets for 2015. An ‘early signs of

impact’ assessment indicates an access-to-usage ratio of 73%, which is 9% higher than that of

Phase 2. The implication is that with the maturity of the LAN programme, government extension

workers are coordinating more effectively with trader associations and successfully

disseminating demand-led extension services to farmers. The LAN network is currently

established in 143 of 180 upazilas planned for Phase 3; the remaining 37 upazilas will be

covered by the end of 2015. This semester, 329 public-private initiative committees have been

formed (against the business plan target of 200). These committees comprise nominated

representatives from farmer groups, trader associations and local government extension offices.

From January to June 2015, these committees have regularly organised a range of demand-led

training for their farmer groups on agricultural, livestock and fisheries.

9

3.1.6 Women’s Economic Empowerment (WEE) During the reporting period WEE has accessed 11,860 women farmers through various gender

mainstreaming interventions in Katalyst’s core and cross sectors. This access outreach is 25%

of the revised business plan projection of 48,000 (the original 2015 target was 65,000). Activities

planned for the beginning of the year were delayed by political unrest with some degree of

negative impact on usage of the services created by intervention activities. Nevertheless, WEE

has rolled out 80% of its planned activities for 2015 in the first half of 2015. These include

creating an agro input distribution channel for homestead vegetable farmers (mainly women)

and access to knowledge and better quality inputs for women prawn farmers. Additional planned

interventions in maize contract farming which target women, and a concluded partnership grant

with the BRAC seed division, will enable the sector to achieve 100% of its revised 2015

business plan projection.

3.2 Overall achievements against Output 2: Initiatives for inclusive market development

by national actors Output Indicators Business

plan (Jan-Dec 2015) targets

Achievements (Jan-Jun 2015)

Achievements (Mar-Dec 2014)

Cumulative achievements (Mar 2014- Jun 2015)

Logframe targets 2017

Output 2.1: Number of relevant initiatives geared towards improvement of competitiveness in agriculture implemented by companies, public sector actors, BMOs, NGOs, think tanks and others

15

8

14

22

70

Output 2.2: Number of documented experiences used/discussed in Bangladeshi academia, media, think tanks, government agencies and private sector

8

2

3

5

22

Output 2.3: Number of academic and government organisations actively integrating elements of Katalyst's approach and experiences through capitalisation interventions

1 0 0 0 3

Capitalisation

In the first half of 2015, Katalyst has made substantial progress towards achieving its Output 2

targets (‘Initiatives for inclusive market development by national actors’); additional activities

have been planned and rolled out, and the unit is on track to achieve its business plan and

phase targets. During the reporting period, eight relevant initiatives aimed at improving

competitiveness in the agriculture sector have been introduced by a number of private

companies and NGOs. For example, two relevant, documented experiences of Katalyst were

discussed in workshops held by other organisations. In the first event, Promoting Market-led

Inclusive Growth: Scopes and Opportunities, the Bangladesh Institute of Development Studies

(BIDS) discussed how Katalyst’s experience in maize contract farming addressed the

constraints of rural farmers, increased their income and complimented the public sector

mandate to support people from geographically remote areas. Senior public sector officials from

the Planning Commission, the Ministry of Commerce and the Ministry of Agriculture attended

the workshops. In another discussion event, Prospects and Challenges of the Private Sector in

the Sylhet Haor Areas, Katalyst’s experience of reaching remote farmers with innovative product

10

design was used as a show case. Local government extension officials, and representatives of

different agricultural input producers and sellers participated in the event.

Katalyst is working closely with two government training institutes and three agricultural

universities to update their training and course curriculum by integrating elements of market

development, including Katalyst's approach and experience. During the reporting period, the

Rural Development Academy has revised its Rural Development post-graduate diploma course

structure to incorporate salient aspects of Katalyst’s work, and is currently supported by Katalyst

to develop the course contents.

3.3 Monitoring and Results Measurement

Due to the prolonged political turmoil in the country at the beginning of 2015, the MRM unit had

to delay a number of assessments and baseline studies; these will be carried out in the second

semester. During the reporting period, the MRM team carried out ten ESIAs and four impact

assessments, covering nearly 3,000 farmers/enterprises; out of these, seven assessments

(most with sample sizes of over 150 farmers) were outsourced. These field assessments

included poverty profiling, applying the progress out of poverty index (PPI); this carried out

across all of Katalyst’s sectors. The unit also estimated the effect of Katalyst’s interventions on

disadvantaged and marginalised groups.

The MRM manual has been revised and will be ready by end of September 2015. A DCED audit

pre-review is planned for October to make sure the whole MRM process and tools continue to

be aligned to the DCED Standard. A full DCED audit is scheduled for February 2016.

Finally, a high turnover of MRM staff over the last semester posed a challenge in terms of

retaining capacity and knowledge for the unit. Training initiatives for the new recruits are

planned during the next semester.

Chapter 4: Management and finances

This section is not available to public

Chapter 5: Lessons learnt

The first semester of 2015 was characterised by political turmoil throughout the country which

created obstacles to the implementation of activities and to the monitoring of progress in the

field. The lessons learnt for the reporting period are as follows:

Ensuring implementation during political disturbance through strong relations with

facilitators, and private and public sector partners meant that the project was able to

fast-track activities and initiate additional activities to mitigate the possible impact of

prolonged political turmoil. This reinforces the belief that a good relationship with

partners is key to ensuring effective implementation, along with a dynamic team able to

deliver a prompt response to such situations.

Convincing private sector actors that the greater inclusion and ‘empowerment’ of

women can constitute a business case for improved business activity is challenging.

Therefore, initially companies that target rural women as customers can become

potential partners rather than companies that do not see women as part of their existing

clientele.

11

Ensuring government ownership through aligning activities even more closely with the

Ministry of Commerce mandate through the contract signed with the BPC, better

integration of the MoC’s Project Director in the project, together with close donor

collaboration, has contributed to significantly improved government relations. Along with

aligning activities with the mandate of MoC, displaying the tangible outcomes of the

project through field visits to the government officials has been key to increased

ownership by the MoC.

Customising project tools to suit stakeholders’ needs: The Innovation Fund

Mechanism tool must be adapted to the nature of the industry in which we work.

Realising this and with immediate effect, the mode of implementation has been

broadened, ensuring flexibility of the tool, engaging in a participatory approach with the

private sector through frequent interactions and increasing the size of each grant

offered. Marketing and communication of the tool to the right audience is also very

important in attracting the private sector. This has later been adjusted with more

resources invested in order to convey the right message to the targeted audience.

High staff turnover continued in the first half of 2015, making the retention of key staff

an increasing challenge for management as the end of the project approaches,

particularly as staff reduction is part of the mandate during phase-out. Creative solutions,

with a high investment in developing staff capacity and providing increased opportunities

for career growth need to be explored on an ongoing basis.

Prevalence of other development organisations (especially in the southern region of

Bangladesh) and their direct delivery and grant approaches adversely affect Katalyst’s

work. In Barisal for example, livelihood projects provide farmers with free inputs and

machinery, making the market-based provision of inputs and services less compelling in

the short run for farmers and providers. In such circumstances, it is important to ensure

that the farmers realise the long-run returns of the market-based provisions offered by

the private sector.

12

Annex 1: Outcomes achieved for 2015 Katalyst Phase 3 logframe

Impact Indicator 1 Baseline 2005 2010 2015 2019

Originally Planned1 25% 18%

Planned (Adjusted for PPM) 25% 18%

Achieved 50.5% 31.5%

Impact Indicator 2

Originally Planned1 75% 65%

Planned (Adjusted for PPM) 75% 65%

Achieved 87.5% 83%

Outcome Indicator 1 Baseline Dec. 2012 December 2015 December 2017 December 2019

Originally Planned1 BDT 22,300 million +BDT 13,000 million

4 +BDT 24,000 million +BDT 30,350 million

Planned (Adjusted for PPM) BDT 22,300 million +BDT 9,300 million 4

+BDT 20,300 million 4

+BDT 26,650 million 4

Achieved

Outcome Indicator 2

Originally Planned1 2.37 million +870,000

3 +1.63 million +2.03 million

Planned (Adjusted for PPM) 2.37 million farmers and SMEs +670,000 farmers and SMEs4

+1.43 million farmers and SMEs4

+1.83 million farmers and SMEs4

Achieved

Outcome Indicator 3 Baseline March 2013 December 2015 December 2017 December 2019

Originally Planned1

Planned (Adjusted for PPM) 0 +1 +2 +3

Achieved

Additional net nominal income for

farms and micro, small and medium

enterprises (gender disaggregated)3

Source

Program Monitoring and Results Measurement System

Source

Program Monitoring and Results Measurement System

Number of Sectors with evidence of a

higher degree of systemic change5

Source

Program Monitoring and Results Measurement System

Inclusion of the Poor in Rural Markets in Bangladesh

Proportion of rural households below

the USD 2.5 (PPP adjusted)2

Source

World Bank Developing Indicators

Grameen Foundation PPI

Katalyst poverty profiling with PPI

Proportion of rural households below

the USD 1.25 (PPP adjusted)2

Source

Re-thinking Poverty, Report UN 2011

6th Five Year Plan, GoB

Katalyst poverty profiling with PPI

Number of additional farms and

MSMEs benefitting (gender

disaggregated)3

13

Output Indicator 1.1 Baseline Dec. 2012 December 2015 December 2017 December 2019

Originally Planned1 3.62 million +1.09 million +2.13 million +2.68 million

Planned (Adjusted for PPM) 3.62 million + 0.84 million + 1.87 million + 2.42 million

Achieved

Source

Program Monitoring and Results

Measurement SystemOutput Indicator 1.2 Baseline Dec. 2012 December 2015 December 2017 December 2019

Originally Planned1 5.4 million +1.6 million +2.95 million +3.74 million

Planned (Adjusted for PPM) 5.4 million + 1.23 million + 2.59 million + 3.37 million

Achieved

Output Indicator 1.3 Baseline March 2013 December 2015 December 2017 December 2019

Originally Planned1 10 +1 +3 +6

Planned (Adjusted for PPM) 10 +1 +3 +6

Achieved

Output Indicator 2.1 Baseline March 2013 December 2015 December 2017 December 2019

Originally Planned1 +30 +70 +80

Planned (Adjusted for PPM) +30 +70 +80

Achieved

Output Indicator 2.2 Baseline March 2013 December 2015 December 2017 December 2019

Originally Planned1

+8 +22 +25

Planned (Adjusted for PPM)+8 +22 +25

Achieved

Output Indicator 2.3 Baseline March 2013 December 2015 December 2017 December 2019

Originally Planned1 1 +1 +3 +3

Planned (Adjusted for PPM) 1 +1 +3 +3

Achieved

All quantitative targets are incremental against the baseline comprising aggregated results of phases I and II, and will be revised after six months of the new phase

'Originally Planned' indicates: planned in Project Proposal 2012 or ProDoc Mar'13

Katalyst applies the Progress out of Poverty Index (PPI) of Grameen Foundation for households from which the farmers/entrepreneurs origin. Projections are drawn from different sources.

Katalyst measures these indicators and accumulates income increase up to 2 years after an intervention has been terminated for every intervention and aggregates them by eliminating overlaps.

This figure includes also contribution from phase 2 claimed until March 2015

Here, higher indicates: moving from 'Low Medium to High Medium' and/or, 'from High Medium to High' in the 4-point scale in the proposed systemic change measurement framework

Policies in this sense encompasses laws, rules, regulations and other relevant legal instruments.

Number of policies enabled for

promoting inclusive business as

facilitated by Katalyst6Source

Program Monitoring and Results Measurement System

Number of additional farms and

MSMEs using new or improved

services and/or agriculture inputs

Number of additional farms and

MSMEs accessing new or improved

services and/or agriculture inputs

Source

Program Monitoring and Results Measurement System

Number of relevant initiatives towards

improvement of competitiveness in

agriculture implemented by

companies, public sector actors,

BMOs, NGOs, think tanks and others

Source

Program Monitoring and Results Measurement System

Number of academic and Government

organisations actively integrating

elements of Katalyst's approach and

experiences through capitalisation

interventionsSource

Program Monitoring and Results Measurement System

Number of documented experiences

used/discussed in Bangladeshi

academia, media, think tanks,

Government agencies and Private

sector Source

Program Monitoring and Results Measurement System

14

Annex 2: Outputs and performance according to the yearly plan of operations 2015

MAIZE

2015 Activities related to the main planned outputs Planned timeline

Actual timeline

Comments

1. At least 5 seed companies expand their winter maize promotion in new areas, providing improved service bundles

Q1-4

Q1

Activities for the maize sector planned for the reporting period are well on track, with the exception of Activity 4 which has been postponed to the second semester; this is due to the unavailability of a financial consultant.

2. At least 4 private companies identify suitable summer maize varieties and continue promoting summer maize cultivation

Q1-3 Q1-3

3. Agrani Bank Ltd and NCC Bank Ltd expand dedicated credit line (DCL) (at a subsidised rate) to new geographic locations and add at least 3 more branches offering DCL

Q1-4 Q1-2

4. Workshop held to disseminate the results of pilot on DCL for maize contract farmers

Q1-2 Q2-4

5. At least one feedmill develops its procurement system for improving access to forward market for maize farmers

Q4 Q1

(achieved)

6. Action research to formulate guideline for improved kharif maize cultivation techniques undertaken

Q1-4 Q1-4

7. At least 1 company starts promoting alternative use of maize Q3-4 Q3-4

8. One contractor in Chittagong Hill Tracts continues to promote female contract farmer groups.

Q1-2 Q1- 2

9. One private procurement company conducts 20 training sessions for maize farmers on improved procurement practices and modern post-harvest management techniques; the trained maize farmers in turn will have the opportunity to supply to the company's private procurement channel.

Q1 Q1

10. At least 1 private company promotes modern post-harvest technology for maize farmers

Q2-4 Q2-4

15

VEGETABLE

2015 Activities related to the main planned outputs Planned timeline

Actual timeline

Comments

1. At least 100 mobile seed vendors (MSVs) are incorporated into the mainstream distribution channel for multiple private companies

Q1-4 Q1-4 Activities are on track, with the following exceptions: Activity 6: Intervention related to Fertiliser Recommendation Software (FRS) is being carried forward by the Information Channel sector.

Activity 10: The project has

discontinued its work with RDA,

which was not able to

demonstrate the required degree

of commitment to commercial

provision of services and inputs.

Activity 19: Delayed until third and fourth quarters because of political instability. Activity 21: Activities postponed due to political instability. Contracts have currently been signed with 5 micro finance institutes (MFIs) (instead of previously planned two MFIs and one agro input company).

2. One company continues to strengthen its distribution channel for quality seed in the chars

Q1-4 Q1-4

3. One seed company practices appropriate promotion and distribution to reach women homestead farmers

Q1-4 Q1-4

4. To ensure use of quality seed and reduced adulteration, 1 seed company includes unique code in their packaging which farmers can use to check the credentials of the packet

Q1-4 Q1-4

5. One new company conducts information dissemination to farmers on quality seed and modern, crop-specific cultivation practices via use of innovative promotional tools

Q1-4 Q1-4

6. Government institutions such as Soil Resource Development Institute (SRDI) and Department for Agricultural Extension (DAE) promote balanced application of fertiliser in at least 30 upazilas

Q1-4 NA

7. One new private company and 3 existing private companies improve their distribution network and promote balanced application of fertiliser

Q1-4 Q1-4

8. At least 2 compost companies continue to enhance their production and distribution channels to successfully market their products to farmers in new areas

Q1-4

Q1-4

9. One new company improves its compost production technology and expands its production capacity to new areas

Q2-4 Q2-4

10. Rural Development Academy (RDA) expands its distribution network targeting women homestead farmers

Q2-4 NA

11. At least 2 private companies continue to improve their distribution channels and promote trichoderma in new geographic locations

Q1-4 Q1-4

16

12. Twenty farmer training sessions, 30 retailer training sessions and 25 mass awareness programmes on safe and judicious use of pesticide are completed in collaboration with Bangladesh Crop Protection Association (BCPA)

Q1-4 Q1-4

13. Four training sessions are organised with Bangladesh Institute of Management (BIM) to develop capacity of pesticide company staff in terms of improved marketing practices and product knowledge

Q2-4 Q2-4

14. Development of women-centric training modality; 20 training sessions organised by BCPA to create awareness among female farmer counterparts regarding proper vegetable crop protection

Q1-4 Q1-4

15. One company expands its promotion of private ICT-based extension service to provide recommendations to farmers on proper use of pesticide

Q2-4 Q2-4

16. Mass-level awareness campaign along with 20 demonstrations, 15 farmer field days, 8 dealer training sessions and 15 retailer training sessions in at least 4 districts organised through 2 IPM companies to promote to farmers the effectiveness of IPM products and to strengthen distribution channels

Q1-4 Q1-4

17. Identification and further analysis of specific vegetable value chains with high growth potentials (e.g. tomato) and facilitating focused interventions in these value chains

Q1-3 Q1-3

18. A total of 100 linkage workshops with participants made up of key market actors (e.g. farmers, IBB producers/traders and agro traders) from 100 vegetable haats/trading hubs, 12 capacity building workshops for IBB producers and 30 haat day campaigns conducted to promote IBBs

Q1-4 Q4

19. Approximately 5 private packaging entrepreneurs/entities organise a total of 20 linkage workshops bringing together key market actors (e.g. farmers, agro traders, packaging suppliers) from 20 vegetable haats/trading hubs, and conduct 2 haat day campaigns for the introduction and promotion of plastic-based packaging

Q1-2 Q1-4

20. One agro input company conducts 60 training sessions for farmers, seed retailers and agro traders, a component of which is improved post-harvest management practices to reduce losses incurred due to improper post-harvest handling

Q1-2 Q1-2

17

Farmed Fish

21. At least 2 micro finance institutes or agro-input companies promote vegetable cultivation with a focus on optimising farmer profitability through sub-facilitation

Q1-4 Q2-4

2014 Activities Related to the Main Planned Outputs Timeline Planned

Actual Timeline

Comments

1. Advocacy initiatives undertaken for internship in fisheries education curriculum and a working committee formed with the help of BFRF

Q2-4 Q2-4 Activities are well on track with the following exceptions: Activity 12: Postponed due to political instability. A total of 60 farmers training sessions are planned to be conducted by two private aqua input companies (Partex Agro Ltd and Aftab Bahumukhi Farms Ltd) by December 2015. Activity 13: Planned training sessions postponed due to political instability. ACI Cropex, a private procurement company, conducted 2 training sessions.

2. Three input companies and 50 hatcheries conduct at least 120 training

sessions and set up 50 demonstration ponds to promote cultivation of tilapia,

pangas and koi to smallholder farmers

Q1-4 Q1-4

3. Sixty farmer and nursery training sessions conducted on sustainable culture practice of small indigenous species (SIS) targeted towards smallholder farmers

Q1-4 Q1-4

4. Twenty capacity development initiatives designed for Shing Magur Hatcheries Q1-4 Q1-4

5. Fifty training sessions for farmer and nurseries conducted to promote suitable polyculture practice of shing and magur for smallholder farmers appropriate to their investment capacity

Q1-4 Q1-4

6. Three feed companies make improvements in their production system (e.g. to machineries, software, raw materials and/or skills)

Q1-4 Q1–4

7. Corrective measures undertaken to address prawn hatchery failures in collaboration with Business Promotion Council (BPC)

Q1-4 Q1-4

8. Opportunities are explored for processed fish products for both domestic and international markets in collaboration with Business Promotion Council (BPC)

Q1-4 Q4

9. Action research conducted to assess impact of women’s participation in individual farm productivity where the women acquire knowledge of cultivation techniques of tilapia, pangus and koi through 50 smallholder farmer training sessions, in synergy with Katalyst’s WEE team

Q1-4 Q1-4

18

Information Channels

10. KrishiJigyasha 7676, Banglalink’s dedicated helpline for farmers, promoted in synergy with ICT team. Module developed by Farmed Fish team for this purpose incorporated into the helpline

Q1-4 Q1-4

11. Approximately 5 private packaging entrepreneurs/entities organise a total of 60 linkage workshops bringing together key market actors from 60 fish haats/trading hubs (e.g. farmers, traders, packaging suppliers) and 20 haat day campaigns for the introduction and promotion of plastic-based packaging

Q1-4 Q 1-4

12. One aqua input company conducts 20 training sessions for farmers and local procurement agents, a component of which is improved post-harvest management practices to reduce losses incurred due to improper post-harvest handling

Q1-2 Q2-4

13. One private procurement company conducts 4 training sessions for fish farmers on improved procurement practices and modern post-harvest management techniques; trained fish farmers, in turn, have the opportunity to supply to the company’s private procurement channel

Q1 Q2

14. Establishment of multiple retail outlets offering an assortment of fish in Dhaka sourced from farmers/traders supplying to private procurement channels

Q1-4 Q1-4

2015 Activities related to the main planned outputs Planned timeline

Actual timeline

Comments

1. At least 1 telecom operator increases its content basket by providing diversified information such as market price content to farmers.

Q1-4 Dropped Activities are on track with the following exceptions: Activity1: This intervention is postponed due to limited preparedness for investment by partners. Activity 3: Due to technological complexities this intervention is rescheduled for 2016. Activity 4: Due to slow take-up of

2. At least 1 content developer develops video-based agriculture solutions for commercial dissemination through ICT channels

Q1-4 Q1-4

3. One telecom operator, Banglalink, introduces farmer's helpline where farmers can directly connect with SAAO for information needs

Q2-4 2016

4. Two telecom operators adapt precision marketing model by providing customer care solution to 2 input companies

Q1-4 Dropped

5. At least 1 government institution promotes ICT-based agriculture service Q1-4 Q1-4

19

LAN

6. One ICT service provider develops a mechanism to provide ICT-based customer care solutions through a mixture of SMS and voice service for at least 1 input company

Q1-4 Q1-4 the model by input companies, this intervention has been dropped.

7. At least 1 telecom operator promotes availability of weather-based agriculture content as new content in helpline for farmers

Q3-4 Q3-4

8. Relevant training content of at least 2 core sectors incorporated in helplines so that core sector farmers can access training information when required

Q1-4 Q1-4

9. Developing broadcasting skills of at least 20 SAAOs to disseminate relevant agro information through community radio

Q1-4 Q1-4

10. At least 1 agriculture input company provides relevant agro information and promotes quality agro inputs to small and marginal farmers through community radio

Q1-4 Q1-4

11. Promotion of the value of media relations among at least 15 upazila BMOs and local journalists

Q1-4 Q1-4

12. Assist in the development and promotion of the agri and SME guidebook , (second edition)

Q2-4 Q2-4

13. Launch a commercially sustainable roundtable discussion platform with a leading print media house, to act as an advocacy tool for various agriculture sectors

Q2-4 Q2-4

14. Facilitate state-owned television channel to enhance agro programming Q3-4 Q3-4

2015 Activities related to the main planned outputs Timeline Planned

Actual Timeline

Comments

1. One course text developed on public-private collaboration, to be taught in public agricultural training institutes (ATIs)

Q1 Q1-4 Overall, progress is on track with the following exceptions:

20

2. Two workshops held with public ATIs to conceptualise the understanding of public-private collaboration through academia.

Q1-2 Q1-4 Activities 1 and 2: The original

plan was to collaborate with

Bangladesh Technical Education

Board (BTEB). The entry point

has now shifted to private sector

publishers as from 2015, BTEB

has begun to outsource this task

to various private sector

publishers. LAN is currently

negotiating collaborative deals

with interested publishers to

develop the course material.

Activity 2 (the corresponding

workshops planned after the

course text/materials are

available) will be held after the

completion of Activity 1.

Activity 4: Activity delayed due to political instability. Capitalisation team has taken up this activity in the context of their collaboration with the university. Activity 5: Activities delayed due to political instability; completion expected by end of Q3. Activity 11: Development of business model needs more time; completion expected by end of Q4. Activity 13: Market study

indicated envisioned strategy was

not feasible; it was thus revised

3. Support national extension agency to develop 1 operational manual on PPP concept for service delivery

Q3-4 Q3-4

4. One workshop held with Bangladesh Agricultural University (BAU) to identify scope of incorporating the concept of public-private collaboration in their existing curriculum

Q1-2 Q1-4

5. MoU signed with 68 trader associations to form trader association-farmer group networks in 68 new upazilas

Q2 Q2-3

6. Trader associations in 68 upazilas trained in farmer group induction and organisational development skills

Q2-4 Q2-4

7. Trader associations in 68 upazilas trained in advocacy, information management and gender sensitisation concepts

Q2-4 Q2-4

8. At least 200 sector-based PPIs established in new upazilas Q3-4 Q2

(Achieved)

9. Partnership formed with Integrated Farm Management Component (IFMC) (a DAE project), and pilot initiatives on marketing undertaken in 20 upazilas

Q2-4 Q2-4

10. Activities initiated with selected trader association-farmer group networks to introduce new services to clusters of women farmers and entrepreneurs

Q1-4 Q1-4

11. One upazila-level trader directory developed Q2-3 Q3-4

12. Trader associations in 40 upazilas provide diversified services Q2-4 Q2-4

13. MoU signed with district level trader associations in at least five districts to facilitate regional collaboration with upazila trader association-farmer group networks

Q2-3 Q3-4

21

WEE

14. Support provided to central DAE planning wing for the development of one training module on effective project planning

Q3-4 Q3-4 to identify alternative actors

interested in being connected

with upazila-level associations.

Activity 16: Activity delayed (due to delay to the prerequisite Activity 5).

15. Officials of DAE planning wing trained on effective project planning Q3-4 Q3- 4

16. Upazila officials in 68 upazilas trained on Public Private Collaboration concept Q1-2 Q1-4

2014 Activities related to the main planned outputs Planned timeline

Actual Timeline

Comments

1. Pilot conducted with Aarong’s supply chain to facilitate a skill development system for artisans in handicraft production

Q1 Q1 Sector activities are on track with the following exceptions: Activity 2: Impact assessment will be conducted after two Eid sales seasons. This will give the artisans enough time to implement the skills learned in training. Activity 6: Scoping for relevant intervention strategies and selection of target groups required detailed assessment. Most of the women farmers are vegetable producers who produce and sell in bulk during winter season. Timeline for pilot activities has thus shifted. Activity 7: Due to political instability only 5 hatcheries provided training in the second quarter.

2. Impact assessment conducted and shared with Aarong intervention donors Q2 Q3-4

3. Private companies, NGOs and/or relevant actors promote contract farming model for women maize farmers in potential areas of northern Bangladesh and hill tracts regions (based on outcome of the scoping study)

Q1-4 Q1-4

4. Regional-level dialogue conducted with private sector partners/government organisations/relevant actors to enhance women’s participation in income generating activities and market systems

Q2-4 Q2-4

5. Course content development support to BAU on Women in Agriculture Q1-4 Q1-4

6. Pilot conducted with at least 20 UZBMOs to enhance the services they provide to clusters of women farmers and entrepreneurs

Q 1-2 Q3-4

7. 20 hatcheries provide training on improved cultivation technology to women farmers as pilot

Q 1-2 Q2

8. Based on the result of pilot, scale up initiated with 30 hatcheries Q2-4 Q2-4

9. Exposure visit to learn about innovative technologies for small fish farming engaging women farmers

Q1-2 Q3-4

22

Capitalisation

10. Targeted intervention: Initiated to address the access to better input and knowledge channels for women farmers of prawn

Q1-4 Q1-4 Activity 9: No benchmarks identified. Activity 11: Intervention dropped based on the findings from scoping study conducted at beginning of 2015.

11. (A) Based on the assessment on financial instrument for homestead women, initiate targeted intervention in IC: SME services and financial literacy program for homestead women growers (B)Targeted intervention: Providing e-krishok service, information and advisory and farm-book ( scale up with world vision)

Q2-4 Q2-4

12. Facilitate a sales promotion model to increase safe usage of pesticide targeting women homestead growers and unpaid labourers. Based on the pilot design and scale up plan.

Q1-4 Q1-4

13. Promote the use and knowledge of quality agro inputs basket for women homestead vegetable growers through alternative channels

Q1-4 Q1-4

14. In collaboration with potential partner(s), expand distribution channel to increase usage of trichoderma targeting homestead women farmers.

Q2-4 Q2-4

15. Develop gender index to measure improvements to empowerment in sectors and cross sectors

Q1-2 Q1-2

2015 Activities related to the main planned outputs Planned timeline

Actual timeline

Comments

1. One study conducted to identify roles of private and public sector in promoting inclusive market development

Q1-2 Q2-3 Overall progress is on track, with the following exceptions: Activity 1: The study to identify roles of private and public sector in promoting inclusive market development has been initiated; completion is due by third quarter of this year. Activity 11: These could not be conducted due to political

2. Capacity development activities undertaken to inform and influence government agencies (including Ministry of Commerce, Ministry of Agriculture, Planning Commission and IMED) to further strengthen their initiatives on inclusive market development

Q3-4 Q3-4

3. Partnership formed and interventions initiated with Bangladesh Public Administration Training Center to introduce training/course module on the concept of private sector-led inclusive development

Q1-3 Q1-3

4. At least 6 discussion events/workshops conducted to create awareness of Katalyst’s experience and market development practices

Q1-4 Q1-4

23

Communications

2015 activities related to the main planned outputs Planned timeline

Actual timeline

Comments (Option 2)

1. Regular communication materials including e-newsletter, project flyers, sector briefs and achievement highlights produced and disseminated

Q1-4 Q1-2 All planned activities are on track.

2. One media training organised for Katalyst internal staff and its co-facilitators.

Q1-3 Q1

3. At least 2 discussion events organised with media houses on the topics of agriculture and private sector-led inclusive development.

Q1-3 Q2

4. At least 2 of Katalyst’s successes highlighted in print and electronic Q2-3 Q2

5. At least 10 cases, thematic reports, thought pieces and other publications produced and shared to promote Katalyst’s experience of market development

Q1-4 Q1-4 instability and have been rescheduled for the next semester.

6. At least 2 policy papers relevant to Katalyst sectors developed and shared with relevant stakeholders

Q1-3 Q1-3

7. Support provided to Krishibid Institution of Bangladesh to launch agriculture award programme to promote innovation and good practice in agriculture sector

Q1 Q1

8. Capacity developed of faculties and relevant course materials developed incorporating market development elements in at least 3 public academic institutions

Q1-4 Q1-4

9. Partnerships formed and activities initiated with 2 leading private universities to introduce/update courses related to inclusive development and rural marketing in their business and development studies departments

Q1-4 Q1-4

10. Initiatives taken to develop capacity of Rural Development Academy to improve its mechanism of engaging with private sector for conducting action research and disseminating research outcomes

Q1-4 Q1-4

11. One-day event, Inclusive Market Development Day organised in partnership with Ministry of Commerce to inform relevant stakeholders on concept and best practices of market development approach

Q1 Q1-4

12. Support provided to Market Development Forum (MDF) to organise 3 events (including workshops and field visits) to share Katalyst’s experience

Q1-3 Q1-3

13. At least 1 study on agribusiness trade competitiveness conducted with BPC and disseminated among its members

Q2-4 Q2-4

24

media.

5. One video documentary for each Katalyst sector/intervention produced and shared with relevant stakeholders

Q1-3 Q2

External relations

2015 activities related to the main planned outputs Planned timeline

Actual Timeline

Comment

1. At least 2 training sessions on M4P organised for relevant government officials

Q2-3 Q3-4 All planned activities are on track. 2. Two international learning visits to relevant projects organised for

government officials Q1-4 Q2-4

3. At least 2 in-country field visits organised for officials of MoC, BPC, IMED, ERD and Planning Commission

Q3 Q3

4. Three workshops with concerned government agencies conducted to create awareness of Katalyst’s work and private sector-led market development

Q1-4 Q1-4

5. Regular reports on the project prepared and reported to Ministry of Commerce, Economic Relations Division (ERD), Implementation, Monitoring and Evaluation Department (IMED) and other concerned government agencies

Q1-4 Q1-4

25

ANNEX 3 Outcome Indicator 3: Number of sectors with evidence of a higher

degree of systemic change

2.2.1 Measuring Systemic Change:

Katalyst is addressing the complex issue of systemic change in Phase 3 on two levels. On the

output level, the project is applying the approved systemic change measurement framework

and improving it. Two ratios are used (scale index and sustainability index) as indicators for

systemic change on this level. However, since the sector boundaries have not been defined yet

for all sectors, numbers on the output level indicating project’s contribution to the change of

market systems will be available only in the Annual report 2015. Nonetheless, since as per

definition of systemic change it would be more appropriate to talk about early signs of systemic

change on an output level, Katalyst is completing its measurement framework with a

complementary system on the outcome level. A feasibility study of describing systemic change

indications on outcome level has been conducted in May 2015 on the Farmed Fish sector and a

pilot test from September to November on the LAN cross-sector this year will test a new

assessment methodology. The study will apply a new tool (SenseMaker) using three indicators

(scale, transformation and institutionalization) to collect statistically robust data about systemic

change in the LAN sector. This will enable the project to meet the logframe target for systemic

change for at least one sector for 2015. If the method proves successful, it will be replicated in

at least two other sectors in order to meet the 2017 logframe targets of proving higher level of

systemic changes in three sectors.

2.2.2 Evidence of Systemic Change:

In the Maize Sector, CP a partner company for the contract farming intervention in Phase 2, has

adapted the model itself and is currently working with more than 60 contractors and ten

thousand contract farmers. Inspired by the success of the contract farming model, BRAC Seeds

in collaboration with BRAC Feeds have expressed interest to replicate the contract farming

model. In the Farmed Fish sector, to facilitate the procurement of brood stock from international

sources, Katalyst worked with the hatchery association in Mymensingh, which have linked with

the National Hatchery Association and is now actively providing services to hatcheries on their

own. Additional evidence on Systemic Change will be provided in the Annual Report 2015.

26

ANNEX 4 Initiatives for inclusive market development by national

actors Output 2.1: Number of relevant initiatives towards improvement of competitiveness in agriculture

implemented by companies, public sector actors, BMOs, NGOs, think tanks and others

Sl. Sector/cross sector Initiatives

1. Vegetable/Women’s Economic Empowerment (WEE)

Three private agricultural companies (Getco, Krishibid and Rahimafrooz) have launched an alternative channel for seed distribution to women farmers.

2. Fish Six private companies have started providing information on modern cultivation techniques to prawn farmers in the southern part of Bangladesh.

3. Women’s Economic Empowerment (WEE)

Three NGOs including RRF (Rural Reconstruction Foundation), Uddayon and NGF (National Gonokendro Foundation) have now included training provision in their credit support program for women prawn farmers.

4. Fish/WEE Two input companies (Firstcare and Pranti) have launched a contract farming model to encourage women farmers to engage in prawn cultivation.

5. Fish/WEE

At least 17 hatcheries in the northern and southern regions of Bangladesh have started promoting suitable culture technologies and practices (for pangus, koi and tilapia) among homestead women fish farmers.

6. Information Channel (IC) BRAC has initiated a) the provision of agro expert-led information, and b) a new seed distribution channel for farmers in remote areas.

7. Vegetable Six national agricultural companies and local NGOs are promoting vegetable cultivation techniques and profitable cropping patterns in different parts of the country.

8. Vegetable/forward market

ACI Logistics Ltd is scaling up a pilot initiative to procure fresh vegetables directly from farmers. This will ensure improved forward market linkage and thereby a fair price for vegetable farmers.

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ANNEX 5 Transversal Themes

Mainstreaming gender

Gender mainstreaming is a concept through which Katalyst will achieve economic

empowerment for women who are involved in the agri sectors as farmers, paid labourers,

unpaid labourers and entrepreneurs. Beyond targeted interventions/initiatives to empower

women implemented by the WEE cross sector, a number of gender initiatives are integrated into

ongoing interventions by core and cross sectors in order to increase benefit to and outcome of

poor women from activities in the sectors. Katalyst has a target to ensure that 10% (143,000 of

the 2017 log frame target) of its beneficiaries for the phase are women; it is realising this

through a) targeted interventions in the WEE cross sector, and b) mainstreaming the activities of

the core sectors. Disaggregation of the data generated from early signs of impact of the ongoing

interventions shows that 3,203 women farmers have benefited in this semester, and a

cumulative 54,203 women (which is around 39% of 143,000) farmers have benefited between

March 2014 and June 2015.

Mainstreaming climate change and disaster risk reduction

Katalyst has developed a climate change adaptation and disaster risk reduction (CCA/DRR)

framework to assess the risks and opportunities at sector and intervention levels associated

with natural disaster and climate change. During the reporting period we formed a task force to

apply the framework and to report accordingly. This operates by the integration of a DRR/CCA

lens into the MRM tools in order to screen out threats to project interventions from the design

phase onwards. Based on this screening, the project determines whether to modify any activity

so that the risk can be sufficiently mitigated. Last semester, each initiated intervention has been

examined using this lens; no major CCA/DRR threats which might alter the course of the activity

or its outcomes have been identified. Monitoring of the upcoming activities and interventions is

continuous. In the next semester, a ‘risk screening’ study will be commissioned to assess the

overall climate change and disaster risk issues that may be persisting in the sectors and likely to

influence the project’s achievement/impact in the long run.

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ANNEX 6 Innovation Fund Management

By the end of June 2015, nine partnership grants had been contracted; a further 12 are in the

pipeline and four were not successful. In terms of sub-facilitation grants, nine contracts were

awarded, three are in the pipeline and one was unsuccessful. This means that 18 grants have

already been awarded, 15 contracts are in the pipeline and five have not been successful.

By the end of June 2015, spending under IFM was on track. Grants contracted under IFM total

to CHF3.26 million and planned contracts account for CHF1.3 million of its total Phase 3 budget

of CHF 5.15 million. This result into a projected spending of CHF4,57 million with a burn rate of

89% of the total budget allocated to IFM.

Katalyst is revising the IFM operational manual to include a clearer definition of innovation,

detailing the project’s understanding of the term and specifying the kind of innovation the fund

encourages. The project also organised a workshop/training in June 2015 to develop staff

capacity for managing innovation grants with a reputed international consultant from Triple Line

Consulting (UK).

During the first months of 2015, a thorough review of IFM has been accomplished. The

recommendations have been prioritized jointly with the reviewer. Priority recommendations got

immediately addressed and action taken is described below. Other recommendations are being

kept for future considerations.

Prioritized recommendation and achievements so far:

Defining innovation and developing common understanding: Katalyst is revising its

operational manual and included a clearer definition of innovation. This details Katalyst

understanding of innovation and also identifies the kind of innovation the fund will

encourage. In addition, the project has organised a workshop/training with a reputed

international consultant from Triple Line Consulting (UK) to share some of the global best

practices in innovation fund management and to develop a common understanding of the

fund among all staff.

Limiting sub-facilitation grants: Katalyst has stopped to invite further proposals for sub-

facilitation grants. The focus is now fully on encouraging greater uptake of partnership

grants by private companies.

Improve the marketing and positioning of the fund: Katalyst has published a revised

brochure for the fund, developed a promotional video for IFM and participated with an IFM

stall in the 5th international agro-tech fair in May. In addition to the existing IFM focal point,

an external consultant has been hired in July 2015 to sharpen and implement the IFM

communication strategy.

Defining a clear leadership role: The head of MRM has been assigned to lead the IFM.

Since appointment, he has focused on operationalizing review recommendations, boosting

communication and updating the IFM operational manual which will be available at the end

of September 2015.

Recommendations for future considerations:

Setting up two separate grant windows-a) Scale up and b) Innovation fund for partnership

grant, more flexibility of the grants

Greater synergy between capitalisation and IFM

Prioritisation of sectors and more targeted marketing

Developing a performance measurement framework for IFM

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ANNEX 7: Finances and management

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ANNEX 8: Programme highlights, impact stories and testimonials

Integrated pest management – a more effective, cheaper, environment-friendly tool for

vegetable farmer Anisur Rahman

Mohammad Anisur Rahman from

Kaliganj upazilla, Jhenaidah, southestern

Bangladesh, supports a family of four

through his only source of income:

growing vegetables and rice on 55

decimals of land which he co-owns with

his brother. In 2012-2013, his production

costs from growing pointed gourd on this

land were BDT32,550 from which his

profit was BDT53,850. In 2015 he took

part in training, Promoting Integrated

Pest Management (IPM) in Bangladesh,

provided by GME Agro Ltd, one of

Katalyst’s partners. Here he learned about pheromone traps, an environment-friendly and

extremely cost effective pest control mechanism which reduces the farmer’s dependence on

expensive chemical pesticide. This year, after starting to use the traps in his field, Anisur

experienced a drastic reduction to both his costs – IPM is relatively less expensive than

chemical pesticide and loss of crops due to pest. The pheromone traps have resulted in Anisur’s

production costs going down by a third, and last year’s wastage of 10 kgs of vegetables per

maund has been reduced to almost zero this year. He has already sold BDT60,000 worth of

produce, and with are three months of the season left he expects a further BDT60,000 worth of

sales. Anisur Rahman’s income this year from pointed gourd alone is almost double, with profits

expected to be a hefty BDT96,400.

Key topics: Forward Market

Improved bamboo baskets: Mohammed Enamul

gets the price he wants for his produce

Mohammad Enamul is a vegetable farmer living in

the village of Garh Mohastan, Shibganj upazila in

Bogra district. Enamul supports his family of five by

farming vegetables on the 25 decimals of land he

owns. Over the last three years (2012-2014) he

earned his income from cultivating a variety of

vegetables: eggplant, cucumber, radish, wax gourd,

arum and cowpea. A frequent problem was damage

to his produce after harvest – for example, while

being transported to market – which meant that for every 40 kgs he produced, Enamul would

only get the price of 35 kgs. Until a few months ago, he used a traditional bamboo basket,

earning him BDT800 for each 40 kgs of vegetables sold. In December 2014, Enamul took part

in training on improved packaging from Enroute International Ltd, facilitated by Katalyst. The

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training session was designed to demonstrate the benefits of improved bamboo baskets (IBBs).

He then purchased two IBBs from a retailer’s shop in Mohastangarh haat (one of Bangladesh’s

major vegetable markets) and used them to take the first crop (January to April) of this year’s

eggplant to market. Enamul attributes his increased income – up BDT40 per each 40 kg basket

on last year – to the use of IBBs. Now none of his produce is wasted – and he gets the price he

wants for it.

LAN

“I have been growing pumpkins for the last two years

but this season I have earned the highest amount from

selling them,” says Hira Begum, a 29-year old farmer

from Phultola, Khulna. Despite being a member of the

Gilatola IPM club for last five years, Hira’s knowledge of

pumpkin production techniques was very limited. In

October 2014, her samity was invited to join the

upazila-based trader association Phultola Bazar Krishi

Bikreta Samity. After doing so, members asked for

training on pumpkin cultivation. Hira Begum says, “We

were taught the nitty-gritty of pumpkin cultivation,

starting from sowing the seed to the application of water, fertiliser and pesticide. We now know

exactly how to distinguish flawed seed and where we can get quality inputs from.” She added

that with her increased income she has now leased an extra 1137.13 sq. meters of land for

pumpkin production for the next growing period, and has bought 29.73 sq. meters of homestead

land.

WEE

Nila is a leading woman entrepreneur who has worked for 20 years as one of Aarong’s direct

suppliers. She began her journey as a lone supplier to Aarong with only BDT10 and almost no

resources: now she is one of Aarong’s success stories, employing over 400 artisans to produce

home textile products for Aarong retail outlets. Along the way however, as a pioneering

independent producer, Nila faced many challenges, mainly relating to effective design

innovation and the efficient use of resources. This meant that often her products did not meet

the standards demanded by Aarong and rejection rates were high. Alongside this, a lack of

formal education meant that her understanding of business accounting was minimal, and she

often struggled with making proper business plans, keeping accounts, and forecasting her

financial and human resource needs. More importantly, at times she found it difficult to gauge

how much profit she was generating. This is a major

constraint for many SMEs, whose members often lack

the numeracy skills they need or the ability to hire

accounts officers. Aarong recognised this, and set up

need-based training, providing skill development,

design innovation, business and accounting for its

individual producers. Nila and one of her lead artisans

were two of 115 independent producers to participate.

The training helped build their confidence, and their

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capacity to produce demand-oriented designs, follow standard operating procedures, maintain

ledgers and to make easier customised business plans for the IPs. The training has had a

significant impact on Nila’s abilities as a businesswoman. As well as now being able to keep

more efficient records of her accounts, she applies the skills she has learned, sharing her

hands-on knowledge with working artisans (mainly women) in her neighbourhood.