Purchase for Progress (P4P) Connecting Farmers to Markets

A Tradition of Local Procurement Mission Statement: “provide acceptable food… in a timely and cost efficient manner” P4P builds on WFP’s decades of experience in local procurement

Where did WFP purchase in 2008? North America 221,289 mt US$ 99 million Africa 1,024,255 mt US$ 427 million Latin America 185,812 mt US$ 236 million Europe 557,163 mt US$ 220 million Asia 846,148 mt US$ 424 million 78% of all food purchased was from developing countries Map from Nations Online Project

2003 includes 518,000 mt worth US$ 182 million for Iraq 2004 includes 1,562,000 mt worth US$ 540 million for Iraq Food Procurement Trends million mt US$ million 2007

P4P Context Changing global environment Part of a range of tools to enable hunger solutions Focus on low-income farmers and communities Concept widely supported

Building Blocks Market Interventions Monitoring & Evaluation Supply-side Partnerships ProcurementOngoing M&E Three Fundamental Components

What is P4P?

Objectives Identify and share best practices for agriculture markets stakeholders to increase profitable engagement in markets Improve capacities in order to raise income from agriculture markets Increase farmers’ sales to WFP Transform WFP food purchase programmes P4P focuses on smallholder and low-income farmers

Activities Competitive tendering practicesCompetitive tendering practices Purchasing directlyPurchasing directly Contracting for risk reductionContracting for risk reduction Processing optionsProcessing options Cross-cutting activities: Partnerships & Training; Monitoring and Evaluation; Policy Advice & Advocacy

UN Agencies & World Bank NGOs Regional Organisations Bilateral Partners Donors Research Institutions National Governments Traders & Processors Farmers & Communities

Why WFP? Relatively stable demand Experience Operational capacity

Monitoring and Evaluation Baseline studies Monitoring impact Partnerships with national M+E and market information systems

Challenges and Solutions Inputs and finance Infrastructure Quality Prices Contract defaults Role of private sector

21 Pilot Countries Africa: Burkina Faso, Democratic Republic of Congo, Ethiopia, Ghana, Kenya, Liberia, Malawi, Mali, Mozambique, Rwanda, Sierra Leone, Sudan, Tanzania, Uganda, Zambia Asia: Afghanistan and Laos Latin America: El Salvador, Guatemala, Honduras, Nicaragua