Incentives Driving Economic Alternatives for the North, East and West (IDEA-NEW) Monthly Report—February 2014

Launched in March 2009, IDEA-NEW's mission is to improve market access, increase processing capacity and catalyze investments into Afghanistan's agricultural sector. The program's activities support agribusinesses at different points of each value chain, with a focus on intensive value chain development that promotes income generation and job creation in poppy-prone areas. IDEA-NEW's geographic focus has been narrowed to the Eastern region, comprising Nangarhar, Kunar, Laghman, Kabul, Kapisa, Panjshir and Parwan provinces. The program's activities have been reduced to supporting input suppliers and food processors that operate in the grape, orchard crop and vegetable value chains. In anticipation of its no-cost extension, IDEA-NEW staff released an Expression of Interest (EOI) to gauge local agriculture input suppliers and wholesalers' interest in receiving in-kind grants and technical assistance. The EOI was distributed to 292 agriculture input dealers, retailers and nursery growers on February 17, with completed forms due back to IDEA-NEW's Kabul and/or Jalalabad offices by May 15. IDEA-NEW staff also drafted several scopes of work for services that will be required during the extension period, including technical trainings and the design and production of marketing materials for input suppliers and agribusinesses. Agribusiness personnel worked with Sailab Sohail Agriculture Machinery Company to develop a concept note for a $300,000 loan from the Agricultural Development Fund (ADF) to purchase raw materials for producing agricultural machinery. IDEA-NEW staff also met with telecommunication companies, MTN and Etisalat, to discuss the technical requirements for setting up a system that would allow retailers and wholesalers to disseminate agriculture-related information, marketing and payment options to consumers via text messages. In addition to distributing EOIs to food processors, Kabul-based staff conducted a preliminary assessment of Nawyan Nawed Ltd, a raisin processing facility, to gauge its potential for qualifying for technical assistance under IDEA-NEW's in-kind grants program. IDEA-NEW staff also assisted the owner of Dastagir Shamshad Noodles and Vermicelli Production Factory in finalizing his concept note for a grant to the USAID-funded Assistance in Building Afghanistan by Developing Enterprises (ABADE) program. IDEA-NEW's activities have been focused on supporting input suppliers and food processors, with a strong emphasis on developing the capacity of agriculture input suppliers. The program's efforts have been concentrated in the Eastern region, with a focus on intensive value chain development that promotes income generation and job creation in poppy-prone areas.