PROJECTS >> AGRIBUSINESS DEVELOPMENT ACTIVITY (ADA)  The Agribusiness Development Activity (ADA) aims at transformation from ineffective subsistence farming to commercial, profitable agribusiness through the disbursement of matching grants and the provision of technical and market information assistance.
The Project will promote agribusiness development and the creation of new jobs in the regions of Georgia. The independent Grant Award Committee approves grants which are later awarded on within the framework of the project activity on a competition and co-financing basis. The committee is staffed by highly skilled experts in agriculture, the environment and agribusiness management. The project budget is $20 million. The duration is 4.5 years.
There are two components ADA funds - Enterprise Initiative (Primary Production, Farm Service Centers, Value-Adding Production) and Value Chain Initiative.
Primary Production - the maximum amount of the grant is $50,000; the minimum rate of co-financing is 1:0.5 (for each USD 1, farmers shall provide USD 0.5 co-financing) Typical examples of primapry production project are nurseries, cattle breeding farms, bee-keeping farms and similar.
Establishment of Farm Service Centers, where farmers can purchase all necessary products and services (planting materials, fertilizers, chemicals); the maximum amount of the grant is USD 50,000; the minimum rate of co-financing is 1:0.75 of the requested amount (for each USD 1, farmers shall provide USD 0.75 co-financing).
Value-adding enterprises - the maximum amount of the grant is USD 50,000; the minimum rate of co-financing is 1:1 of the requested amount (for each USD 1, farmers shall provide USD 1 co-financing). Typical example for value-adding enterprises are dairy processing enterprise, small cannery and similar.
Value Chain - the complete production cycle including growing, storing, processing and rendering marketable state and quality assurance of the products. The maximum amount of the grant is USD 150,000; the minimum rate of co-financing is 1:1 of the requested amount (for each USD 1, farmers shall provide USD 0.5 co-financing). Typical examples of value chain projects are small dairy production factory, cannery production from its own collecting centers where raw materials from small farmers are consolidated, processed, packed amd sold.
By 2011, it is planned to finance up to 300 projects under the Agribusiness Development Activity, which will create approximately 2,934 new jobs and will provide an indirect benefit to more than 70,000 local farmers.
Further Information can be obtained at: MCG Office: 4 Sanapiro Street, Floor VIII. Phone: +995 (32) 507770; Fax: +995 (32) 939144; Email: info@mcg.ge
CNFA-Georgia, Agribusiness Development Project Implementating Entity: 47 Kostava Street, Floor IV. Phone: +995 (32) 984413/14/18; Fax: +995 (32) 982232; Email: ada@mcg.ge;
For additional information, please, contact:
Elene Aladashvili, Public Outreach Officer (EnterpriseProjects) at e.aladashvili@mcg.ge and/or
Nino Beradze, Public Outreach Coordinator at n.beradze@mcg.ge
Office Phone: +995 (32)50 77 70 | | FAQ >> |
