Georgian Hazelnut Improvement Project (G-HIP) Quarterly Progress Report

The project is implemented by CNFA and focuses on strengthening the Georgian Hazelnut Growers Association (GHGA) and the Hazelnut Exporters and Processors Association (HEPA) to develop sustainable business models and improve the sector's productivity and quality. G-HIP continued to focus on sustainable capacity development for GHGA in the third quarter of Project Year 4, with a strong emphasis on increased membership through an expanded outreach and training program. The project also implemented monthly reporting systems for producer groups and provided hands-on training to the management team. Additionally, G-HIP coordinated and managed activities related to combating the brown marmorated stink bug (BMSB), provided soil-testing and increased access to finance for input purchases to GHGA members. Throughout the quarter, G-HIP worked closely with the Ministry of Environmental Protection and Agriculture (MEPA), the National Food Agency (NFA), and the Agricultural Projects' Management Agency (APMA). The project's activities are designed to contribute significantly to G-HIP's 5-year vision for the hazelnut sector in Georgia, which includes strengthening GHGA and HEPA, improving the sector's productivity and quality, and representing the sector before the Government of Georgia (GoG) and in international markets. G-HIP anticipates that GHGA will reach financial sustainability by 2020 through strategic investments in activities designed to significantly expand membership as well as a tiered, income-generating membership structure. The association will offer members training programs and value-added services that will institute a strong membership base. By the end of the program, G-HIP anticipates that HEPA will have established strong linkages with high-value markets, particularly in the European Union (EU), and will assist in establishing Georgian hazelnuts in the global marketplace. During this quarter, G-HIP contributed significantly to the response to the BMSB, which has negatively impacted the hazelnut sector in Georgia. The project worked closely with AgriGeorgia/Ferrero, the NFA, USAID, and international BMSB specialists to mitigate BMSB in Georgia. G-HIP will continue to support and develop specific activities under the NFA's strategy to combat the BMSB infestation as needed in Project Year 4. G-HIP also supported the strategy for combatting the BMSB infestation, selected a firm to conduct GHGA's audit, and supported GHGA to provide soil-testing services for producers participating in the input financing program and for other members/potential members utilizing fertilizers. The project provided strategic support to GHGA to implement the student-training program and received USAID approval for 4 grantees to receive hazelnut husking, drying, and storage (HDS) equipment. The project management and operations component of G-HIP submitted the second quarterly report for PY4 to USAID and AgriGeorgia/Ferrero on April 15, 2019. G-HIP also posted 51 unique updates and stories related to project activities and events on the G-HIP and USAID/Georgia's Facebook pages.