1. Perspectives on P4P: Bill & Melinda Gates Foundation Alesha Black, Program Officer Bill & Melinda Gates Foundation January, 2013

2. © 2009 Bill & Melinda Gates Foundation | 2

3. History & Engagement o Started with a home grown school feeding grant, then planning grant for P4P in 2007 o Deep engagement on design of P4P, review of country plans, and the M&E strategy in early years o P4P is among the largest grants weve made in Agricultural Development and is a flagship grant in staple grain markets o P4Ps experience has been central to explaining the challenges facing smallholder farmers externally 3

4. © 2009 Bill & Melinda Gates Foundation | Strategy Fit Our strategy goal has transitioned over the 5 years of collaboration with P4P, but FIT has remained clear P4P has served as an organizing effort that has aligned many other investments, ours and that of many others P4P is part of a portfolio of investments in Structured Demand and part of a longer transition strategy toward effective public procurement as a lever for agricultural development 4

5. © 2009 Bill & Melinda Gates Foundation | 5 Photo: Firstname Lastname Successes & Challenges

6. © 2009 Bill & Melinda Gates Foundation | Successes in the 'How' Taking the Learning & Sharing pillar seriously Data Housing & Analysis: Building Capacity and Engagement in Africa WFP has embarked on an operational change process that has required commitment & patience Promoting vibrant discussion on the role of procurement in markets and agricultural development 6

7. © 2009 Bill & Melinda Gates Foundation | Successes in the 'What' Purchasing + Capacity Building: A Unique Offering Demonstrating smallholder capacity to improve Quality Awareness around food safety issues: aflatoxin Partnering across sectors and to contribute to market structures and open up new opportunity in staple grains Farmer returns exceed $100M with an even bigger procurement year planned for 2013 Governments have begun to leverage their own purchasing power 7

8. © 2009 Bill & Melinda Gates Foundation | Challenges Lack of supply-side partners Policy changes have hindered planning/purchases Dips in WFP country funding prevented larger volumes from being purchased in some countries Banks have remained highly risk averse, creating problems across the value chain Market structures are taking longer to evolve Early reticence to use forward contracts means we havent learned the full utility of this modality MLE has been complex and results may not be as conclusive as hoped 8

9. © 2009 Bill & Melinda Gates Foundation | Looking Forward 9

10. © 2009 Bill & Melinda Gates Foundation | Possible Features of a Post- Pilot P4P Enhanced Rome-based Agency collaboration Continued use of Market Player/Capacity Building combination Capitalizing on the P4P organizing effect Focus on deepening successful supply-side and financing support solutions & partnerships up front Thinking of three main categories of P4P contribution from a conceptual standpoint: Food Supply: Being and attracting market pull Food Safety: Incentive & Check on the system Food Price: Risk, Opportunity or Both? 10

11. Thank You