Markets Based Programming - Food and Agriculture ... Based Programming ... -Fish market & one...

Markets Based Programming

From emergency to long term food security & livelihoods programmes

Jo Zaremba 15 November 2012

Content

Oxfam Strategy

Turkana Case Study

Pitfalls & risks

Discussion questions

How can market assessments and interventions build foundations

for long-term / resilient programming

Survival threshold Livelihood threshold

Long Term –

Chronically

Vulnerable

♀ & ♂

Productive

♀ & ♂Affected by

shocks

Wealthier –

more stable

♀ & ♂

Safety net / Social Protection

Programmes

Sustainable Livelihoods

GEM Programmes

Govern-ment

Private Sector

Civil Society

OXFAM

Livelihoo

ds

Fra

mewor

k (HECA)

Fair & Equitable Markets

Women’s empowerment

Natural Resource Management, DRR, CCA

Turkana

Turkana Story-line from EFSL SLWhen What

2006 HEA Baseline & Market Assessment Recommended cash

programming & market support

2007 +

ECFF

/OxAus

Food Vouchers & Food supply through traders

Trader capacity building

Substitution of local fish-protein for food-aid proteins

2008 HSNP - Cash distributed through traders (DFID)

2011 Drought / Crisis: (OFDA & others)

-Market Assessment

-CASH through traders

-CfW

-Trader support to ‘stock up’ and to distribute cash

2012 + ASAL Strategy & Markets programmes (EC & OFDA)

-Fish market & one other

-Market / demand analysis, Market system mapping

-Oxfam as facilitator; work with PS; power in markets

-Safety Net programme

Improved availability of food (less queuing, smaller quantities easier to carry, better storage in shops etc.)

Increased money supply

Developed ‘pull’ or market for fish prouction

Built trader skills / capacity

Traders’ businesses grew

More stock available in Turkana

Replication (due to increased money supply & examples) by other traders

More livelihoods & employment options (boat building, nets)

Distribution costs go to local community (more local income)

Unconditional cash grants to

5532 hh through traders

One off grant to all participating

traders to increase their stocks

(+ 2% admin fee for cash

disbursement).

Trader Support Programme

including Business Training,

Exposure Visits, Market

Monitoring

Intervention:

What Worked Well• Working with the Private

sector:• TRADERS• Banks / Telcomms

• Understanding & addressing market needs.

• Being opportunistic & turning ‘crisis’ into ‘opportunity’ for mkt dev;

• Devising innovative NEW approaches in crisis;

• INFLUENCING donor community;

Challenges• Market distortion through

price setting (vouchers)

• Concentration of POWER in a small elite (middle / larger trader ‘cartel’)

• ‘Income generation’ versus business development – too many small shops doing exactly the same!

• Internal (Oxfam) attitudes & approaches & blockages

• Systemic issues (e.g. Transport) have not been addressed

Lessons LearnedMarket assessments and programming that build foundations for

resilient long-term programmes need:

• Market SYSTEM analysis• POWER in Markets• ACT as FACILITATOR• Multi-stakeholder approach• Working PRIVATE SECTOR

• Safety Nets• Governance• Women’s Empowerment• LEVERAGING Change

2012: Long Term Programme (funded ... in

development)

Market / Sector

Selection

Demand Analysis

Market System Analysis

Market Access dev’t

Building POWER in

Mkts

Safety Nets Governance Empower Women

Resilient Sustainable Livelihoods

Develop new market

chains or business

model

Sector ormarket opportunity

identification

Gendered market mapping

Design programme

Situational analysis –

household system

Implementation and monitoring

Develop partnerships and engage

stakeholders

Situational analysis –

prod. system

Develop new market

chains or business

model

A

B

CDE

F

HG

• When IS an area ‘ready’ for M4P / Power in Markets approach?

• How do we PREPARE an area for ‘markets based programming’?

• What are the risks of transitioning towards markets based livelihoods programming?

? Questions for Discussion ?

HEA 2006 Showed that:Rather than the expected livestock, there were three main sources of food available to most pastoral households, which

were of roughly equal importance:

• The main staple was maize, much of which is purchased through barter of goats.

• The second major source of maize was food aid. • The third source of food was from wild foods.

Lakeshore economy of 8 – 10,000 people reliant on FISH

which is traded – consumption like pastoralists.

POVERTY is deeply entrenched & not just manifested by drought; Livestock = important for LH but not the ONLY LH activity

Market Assessment 2006 showed:Markets are poorly integrated, terms of trade low, supplies don’t meet demand, prices are high compared to rest of Kenya. HOWEVER traders reported profitability. CASH programming would need to be accompanied by:

• increase in marketed supply;

• promotion of small-scale traders.

Note – FISH not studied in Market Assessment!

Recommendations:CASH Based Safety Net programme (Cash / CfW / Vouchers)Meet basic food needsIncrease money supply

IMPROVEMENT in Market systemImprove terms of tradeStrengthen tradersImprove Infrastructure

Address political marginalisation

Markets Based Programming - Food and Agriculture ... Based Programming ... -Fish market & one...

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