AGP-AMDe QUARTERLY REPORT JULY 1, 2011 – SEPTEMBER 30, 2011

The project is being implemented by prime contractor ACDI/VOCA and its consortium partners. The effective start date of the task order was May 2, 2011, and this quarterly report covers the period from July 1, 2011 through September 30, 2011. The AGP-AMDe project is part of USAID's commitment to join and leverage the World Bank-led AGP and support an Ethiopian, country-led initiative for agricultural growth emerging from the CAADP process. In Ethiopia, USAID has joined the Government of Ethiopia, the World Bank (as lead donor), and other donors in developing the AGP, aimed at increasing agricultural growth in high-growth potential, high-rainfall areas of Ethiopia. The AGP consists of three components: (1) agricultural production and commercialization; (2) small scale rural infrastructure development and management; and (3) learning and evaluation. The main objective of AGP-AMDe is ending poverty and enhancing growth. The goal of the project is to sustainably reduce poverty and hunger by improving the productivity and competitiveness of value chains that offer job and income opportunities for rural households. The project goal aligns with the overarching FtF goal, "to sustainably reduce poverty and hunger." Working closely with USAID and the GoE-led, multi-donor supported umbrella AGP program, this AGP-AMDe project focuses on four components: (1) improving the competitiveness of selected value chains; (2) improving access to finance; (3) improving the enabling environment of selected value chains; and (4) stimulating upgrades and investment through innovation and demonstration funds. The implementation team is led by ACDI/VOCA, with a consortium of diverse skills and broad experience to deliver results across AGP-AMDe. The team includes International Fertilizer Development Center (IFDC), John Mellor & Associates (JMA), Booz Allen Hamilton, Danya, Kimetrica, Coffee Quality Institute (CQI), and Crown Agents. The team has conducted value chain assessments for five high-potential value chains (coffee, honey, maize, wheat, and sesame) across the AGP geographic focus areas. The value chains were selected based on market potential, productivity and income potential for small farmers, balance between commodities, availability of resources for the commodity, and gender implications. The AGP-AMDe project has completed a value chain training delivered by ACDI/VOCA Senior Value Chain Specialist Olaf Kula the week of September 19-23, 2011. This training session also included presentations by firms within the AMDe value chains, providing an opportunity for staff and field consultants to hear about the actual constraints and opportunities within the value chains. The project team intends to complete a comprehensive and detailed work plan with specific actions, timelines, assigned roles, and responsibilities by October 31, 2011. The team will also continue the final hiring of long-term staff based on the value chains and project interventions selected and begin working intensely on immediate, low-risk, high result interventions in collaboration with implementing partners. The project has made significant progress in its first quarter, with the implementation team working closely with USAID and the GoE-led, multi-donor supported umbrella AGP program to achieve the project's objectives. The project's focus on improving the competitiveness of selected value chains, improving access to finance, improving the enabling environment of selected value chains, and stimulating upgrades and investment through innovation and demonstration funds is expected to have a positive impact on the agricultural sector in Ethiopia.