JOINT EVALUATION; AFGHAN FERTILIZER COMPANY AND CHECCHI AND COMPANY ADVISORY TEAM

AFC HAD DEMONSTRATED THAT A GOVERNMENT ENTITY ORGANIZED ALONG CORPORATE LINES COULD OPERATE WITH CONSIDERABLY GREATER EFFICIENCY THAN ANY OTHER GOVERNMENTAL ORGANIZATION. AID EMPHASIZED THE IMPORTANCE OF A STUDY OF THE PROPER APPLICATION RATE OF PHOSPHATIC FERTILIZERS, A STUDY WHICH THE GOVERNMENT HAD AGREED TO CARRY OUT UNDER A COVENANT IN THE FERTILIZER LOAN AGREEMENT. AFC AGREED THAT THE STUDY SHOULD BE INITIATED AS SOON AS POSSIBLE. AFC'S PROJECTIONS AND THEIR IMPLICATIONS WERE DISCUSSED AND IT WAS DECIDED THAT AFC WOULD DEVELOP ANNUAL PROJECTIONS WHICH COULD THEN BE ADJUSTED ON THE BASIS OF EXPERIENCE. AFC ALSO REPORTED THE PROPOSED FORMATION OF A NATIONAL SEED COMPANY FOR THE PURCHASE, MULTIPLICATION, AND CERTIFICATION OF IMPROVED SEED VARIETIES. AID WAS READY TO CONTINUE ITS SUPPORT TO AFC BUT CAUTIONED AFC AGAINST ESTABLISHING UNREALIZABLE OUTPUT GOALS BECAUSE THESE WOULD CAUSE DIFFICULTIES IN ANNUAL OPERATIONAL AND INVESTMENT PLANNING. AFC IS INTERESTED IN CONTINUED ADVISORY SERVICES, CONTINUED PARTICIPANT TRAINING AND THE ESTABLISHMENT OF A SOILS LABORATORY.