1.2 Contact details of resource persons and institutions involved in the assessment and documentation of the Approach

Name of the institution(s) which facilitated the documentation/ evaluation of the Approach (if relevant)

Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH (GIZ) - Germany

Name of the institution(s) which facilitated the documentation/ evaluation of the Approach (if relevant)

L'Association Malienne pour la Sécurité et la Souveraineté Alimentaires - Afrique Verte Mali (AMASSA - Afrique Verte Mali) - Mali

1.3 Conditions regarding the use of data documented through WOCAT

When were the data compiled (in the field)?

01/07/2012

The compiler and key resource person(s) accept the conditions regarding the use of data documented through WOCAT:

Ja

2.1 Short description of the Approach

Link up production areas with the areas where grain is consumed in order to encourage the flow of cereals from one area to the other

2.2 Detailed description of the Approach

Detailed description of the Approach:

The objective of grain exchanges is to link up production areas with the areas where grain is consumed in order to encourage the flow of cereals from one area to the other. In this way, the
exchanges contribute to stabilising market prices and informing cereal producers about how these markets function.
The support structure (AMASSA – Afrique Verte Mali, a body devolved from the French NGO
Afrique Verte) invites producers and buyers to participate in a two to three-day grain exchange. This process of connecting up parties allows producers to assess grain production levels for the current season and buyers to get an idea of the grain stocks available. The two parties then negotiate grain quantities and prices. A good number of contracts are agreed during the exchange, and the agreement of further contracts after the exchange is likely. The exchange also serves to foster exchange among other actors involved in the sale and production of grain.
Organising exchanges involves several stages: First, supplies are identified in areas with high levels of dry cereal production (millet, sorghum and maize in the Sikasso, Koutiala, Ségou, Senon de Koro/Bankass plains) and rice production (in the Niono rice growing region in the Office du Niger). At the same time, the needs of consumption areas (supply cooperatives in Kayes Region and grain banks in the areas of Gao, Timbuktu and Kidal) and major consumption centres with processing plants, merchants and consumer cooperatives (such as Bamako) are identified. The supply cooperatives from rice-deficit areas (the Kayes area, for example) are identified and their needs recorded (bulk purchasing requests). Producers’ associations in the Niono region in the Office du Niger area are identified and their rice surpluses ascertained. Supplies for sale are then quantified and stockholders are encouraged to put together a bulk sales offer. Finally, a meet-and-greet workshop is held to foster exchange and discussion on grain supply and demand.
Role of stakeholders: AMASSA – Afrique Verte Mali catalogues and groups offers (purchase or sale) and cereal requirements during the pre-exchanges, and promotes the exchange among relevant cereal operators (advertising). AMASSA also provides financial and technical support in organising the exchange (venue hire, refreshments). Supply cooperatives and private operators support the process of identifying cereal requirements prior to the exchange and then participate in the exchange itself. Their role is to buy stock. Producers’ associations communicate how much of their stock is available and trade this in bulk at the exchange. The legal advisor helps draw up the sales contracts and explains the content of sales contracts to operators. Others, such as technical partners in the sector (Planning and Statistical Unit of the Ministry of Agriculture, DNSI, OMA, OPAM, Customs Service, EWS, WFP, National Agency for Food Safety and Security, etc.), provide additional specific information.
The transactions carried out in the exchanges are fairly advantageous both for the sellers (producers and their organisations) and the buyers (merchants, supply cooperatives, consumer cooperatives, processing outfits). These advantages can be measured in terms of price and quality. The grain exchanges are prized by many actors and an increasingly large number of structures have built them into their support mechanisms. The farming profession is interested in this approach. For this reason, the exchanges are increasingly being jointly delivered by APCAM and often by the Association of Professional Farming Organisations (AOPP) and projects and/or NGOs. The fact that the farming profession is appropriating the exchange concept bodes well for its sustainability.

2.3 Photos of the Approach

2.5 Country/ region/ locations where the Approach has been applied

2.6 Dates of initiation and termination of the Approach

2.7 Type of Approach

• project/ programme based

2.8 Main aims/ objectives of the Approach

The objective of grain exchanges is to link up production areas with the areas where grain is consumed in order to encourage the flow of cereals from one area to the other. In this way, the exchanges contribute to stabilising market prices and informing cereal producers about how these markets function.
The SLM Approach addressed the following problems: weak link of production areas with the areas where grain is consumed, unstable market prices

2.9 Conditions enabling or hindering implementation of the Technology/ Technologies applied under the Approach

3.1 Stakeholders involved in the Approach and their roles

3.2 Involvement of local land users/ local communities in the different phases of the Approach

	Involvement of local land users/ local communities	Specify who was involved and describe activities
initiation/ motivation	passive
planning	interactive
implementation	interactive
monitoring/ evaluation	interactive
Research	passive

3.4 Decision-making on the selection of SLM Technology/ Technologies

Specify who decided on the selection of the Technology/ Technologies to be implemented:

• mainly land users, supported by SLM specialists

Explain:

Decisions on the method of implementing the SLM Technology were made by mainly by SLM specialists with consultation of land users

4.1 Capacity building/ training

Was training provided to land users/ other stakeholders?

Ja

Specify who was trained:

• land users

Form of training:

• on-the-job
• farmer-to-farmer
• public meetings

Subjects covered:

Before each workshop, facilitators from AMASSA – Afrique Verte Mali ascertain the grain needs of consumer regions in order to bulk together orders to the different supply cooperatives and grain banks. Likewise, producers’ available grain stocks are ascertained and bulked to build a substantial supply. To ascertain the needs of the parties involved, AMASSA – Afrique Verte Mali organises forums in the main production areas called ‘pre-exchanges’. These pre-exchanges are, in effect, regional preparatory meetings where around 80 to 100 people come together to assess the offers available and the approaches for bulking supply and demand.
In addition, facilitators use the pre-exchanges to train organisations in market negotiation techniques, price setting and drawing up sales contracts. An area of particular focus is the content of contracts (delivery deadlines, quality and standards to be delivered, quantities, packaging requirements, etc.) and the consequences of failing to meet the terms of the contract. A series of pre-exchanges are rolled out in different locations.
In practice, the exchanges serve as platforms for information exchange that give operators the opportunity to get up to speed with certain key aspects of the trade. They provide information on the status of cereal production, areas facing food scarcity or economic difficulties, cereal price trends, legislative and regulatory procedures relating to cross-border trade, invitation to tender opportunities for replenishing the National Security Stock (SNS) and sales of intervention stocks. This range of information is essential and enables operators to better position themselves in the grain market.

4.2 Advisory service

Do land users have access to an advisory service?

Ja

Describe/ comments:

Advisory service is quite adequate to ensure the continuation of land conservation activities

4.3 Institution strengthening (organizational development)

Have institutions been established or strengthened through the Approach?

• yes, moderately

Specify the level(s) at which institutions have been strengthened or established:

• local

Specify type of support:

• financial
• capacity building/ training

4.4 Monitoring and evaluation

Is monitoring and evaluation part of the Approach?

Ja

Comments:

economic / production aspects were regular monitored by project staff, land users through measurements
management of Approach aspects were regular monitored by project staff, land users through observations
There were no changes in the Approach as a result of monitoring and evaluation
There were no changes in the Technology as a result of monitoring and evaluation

4.5 Research

Was research part of the Approach?

Ja

Specify topics:

• economics / marketing

5.1 Annual budget for the SLM component of the Approach

Comments (e.g. main sources of funding/ major donors):

Approach costs were met by the following donors: national non-government: 100.0%

5.2 Financial/ material support provided to land users

Did land users receive financial/ material support for implementing the Technology/ Technologies?

Nee

5.3 Subsidies for specific inputs (including labour)

If labour by land users was a substantial input, was it:

• voluntary

5.4 Credit

Was credit provided under the Approach for SLM activities?

Nee

6.1 Impacts of the Approach

6.2 Main motivation of land users to implement SLM

6.3 Sustainability of Approach activities

Can the land users sustain what has been implemented through the Approach (without external support)?

• yes

6.4 Strengths/ advantages of the Approach

Strengths/ advantages/ opportunities in the compiler’s or other key resource person’s view
The exchanges help producers and consumers agree preferential prices without the need for intermediaries with the aim of reducing the cost of cereals in consumer areas and increasing it in production areas. Product quality improves and becomes more standardised, regular interaction increases client loyalty, and there is greater structuring of producers and consumers. For example, the apex organisations in Niono (20 rice grower organisations collectively called ‘Jèka Feeré’) and in Yalimenané (28 supply cooperatives collectively called ‘Supunu Kafô’) have been set up as a result of the exchange system. (How to sustain/ enhance this strength: Successful exchanges require: 1) the organisation of producers and buyers to increase supply and demand; 2) bulk purchasing approaches to secure lower prices; 3) the formalisation of purchase contracts and cereal logistics; 4) the origins of merchandise to be traceable; 5) contractual agreements to be respected in terms of quality, payment methods and deadlines, delivery deadlines and methods, etc.)
The exchanges enable people working in the sector get to know the main challenges in trading cereals. They therefore constitute a suitable framework for advocacy activities (advocacy platform) where actors involved in the sector have the opportunity to communicate directly with leading figures in the sector and to defend their interests in terms of the production and sale of cereals.
grain exchanges have attracted the interest of many actors in the cereals sector. Interest is so high that a host of organisations have expressed the desire to hold their own grain exchanges (e.g. chambers of agriculture, cereals sector support projects and programmes, decentralised authorities). Currently, exchanges – in particular, the national grain exchange – are jointly delivered by AMASSA – Afrique Verte Mali and the Permanent Assembly of the Mali Chambers of Agriculture (APCAM). (How to sustain/ enhance this strength: The critical factor in making these exchanges genuinely successful is ensuring their sustainability, i.e. ensuring that their main beneficiaries (producer organisations, processing outfits, cooperatives, grain banks, merchants and animal food manufacturers) take financial and political ownership of the exchanges. Beneficiaries across the board recognise that the tool is useful and necessary. But how, with what means and when will these parties take over the organisation of exchanges and cover all the costs involved (organisation, facilitation, technical support)? It remains to be seen how these actors will be able to take on this responsibility in the short or medium term given the frequently low incomes among producer organisations, and particularly among those in rice-deficit areas. On the other hand, it is certainly possible over the medium term to maintain partial ownership and to foster a gradual shift towards ownership by producer organisations and operators through the progressive increase of their contributions. Setting up partnerships involving support for organisations and programmes operating in the sector is also a viable option. The sustainability of this approach depends on it being fully appropriated by the beneficiaries themselves, so that AMASSA – Afrique Verte Mali becomes merely a provider of technical know-how.)

6.5 Weaknesses/ disadvantages of the Approach and ways of overcoming them

Weaknesses/ disadvantages/ risks in the compiler’s or other key resource person’s view	How can they be overcome?
a certain level of expertise is required to organise and run the exchanges in a way which ensures they deliver all their desired outcomes

7.1 Methods/ sources of information

7.2 References to available publications

Title, author, year, ISBN:

Manual of Good Practices in Small Scale Irrigation in the Sahel. Experiences from Mali. Published by GIZ in 2014.

Available from where? Costs?

http://star-www.giz.de/starweb/giz/pub/servlet.starweb

Title, author, year, ISBN:

Afrique Verte activity reports

Title, author, year, ISBN:

Find out more at: www.afriqueverte.org