Regional cocoa rehabilitation and development project

Lucia, Dominica, and Grenada; St. Vincent was dropped from participation. Final evaluation covers the period 1986-6/91. Except for the failure to establish joint ventures, which proved impractical due to incompatibility between large growers and outside investors, planned outputs were achieved satisfactorily. Technology transfer activities have promoted significant positive on-farm technological changes (although several production technology issues remain unresolved). The project design analysis was correct in determining that cocoa has major potential as a diversification alternative to bananas as a source of export revenue for the region. However, design assumptions about price stability, the interest of large farmers in expanding cocoa production, and adequacy of credit were erroneous; in particular, the design goal of increasing production by 30% proved to be highly unrealistic. Moreover, while the design analysis identified a number of production, processing, marketing, and institutional constraints, project interventions were limited to production technology, related training, and a research demonstration. The following lessons were learned. (1) While full-time, in- country advisory linkages are necessary for regional projects to reach maximum effectiveness, country-specific involvement in the design phase is also required. (2) Local people, rather than high cost, senior, long-term TA, should be used whenever possible in administrative, supervisory, and promotional capacities. The use of short- rather than long-term TA should also be optimized. A disproportionate share of the resources in this project were devoted to TA and administrative costs. The major action decision is to design a follow-on activity for incorporation into project 5380164.