Cooperative Market Development Program

Status: Active  
Duration:  February 2018 - January 2023
 
Geographic coverage: Chitwan, Dhading, Kavrepalanchowk Lalitpur, Makwanpur and Nuwakot  
Focus areas: Poverty alleviation through cooperative centered Fruits and Vegetable marketing   
Implementing agency: Ministry of Land Management, Cooperatives and Poverty Alleviation    
Implementing Partners: National Cooperative Federations (NCF), District Cooperative Unions (DCU) in the six target districts, 18 Local governments     
Funded by: Ministry of Land Management, Cooperatives and Poverty Alleviation (MoLMCPA), Government of Nepal and UNDP    

Summary

The Cooperative Market Development Programme (CMDP) is a joint initiative of Ministry of Land Management, Cooperatives and Poverty Alleviation (MoLMCPA), Government of Nepal and United Nations Development Program.The project aims to increase quality, quantity and consistency of the supply of fruit and vegetable production in selected districts through infrastructure development, training and support on farming techniques, marketing and institutional capacity building.  

The project follows a different modality in comparison to UNDP’s other projects in Nepal. This project is funded by Nepali tax payers’ money, whereas more than 80% of UNDP funds are funded by other large donors. The more Nepal transitions into a middle-income country, projects such as these will be valuable as government will want to invest their money into development of the country which will also ensure sustainability as the GoN has a direct stake. Approximately 14,400 households of 72 fruits and vegetables cooperatives will be linked to this cooperative market chain and will directly benefit from this project. The project contributes directly to SDG1(poverty) and SDG2 (hunger, nutrition).

 

Background

Nepal is a developing country with agriculture as its main economy, having 66 % of its people directly engaged in farming. Agriculture contributes to 36% of the country’s Gross Domestic Product (GDP). Fruits and vegetables are an important sub-sector in Nepal and contributes to roughly 15% of total agriculture produce. In spite of Nepal being an agricultural country, roughly 31% of fruits and vegetables sold by Kalimati Fruits and Vegetables Market, Kathmandu’s major hub for fruits and vegetables are imported from various countries, including India.

Although the demands for fruits and vegetables is increasing in Kathmandu, there is a huge difference between vegetable farm gate price and the retailer price due to the presence of various layers of market players and middlemen in the supply chain. These middlemen earn exorbitant margins at every stage of the distribution chain, leaving very little for the smallholder farmers and the final consumers end up paying hefty prices for the produce.This project aims to establish and operationalize cooperative market chain of vegetables and fruits to increase farmers’ income and other livelihood opportunities, which in turn will contribute to the poverty reduction in Nepal.

 

What have we accomplished so far?

  • CMDP has been able to bring on board 70 primary cooperatives. These primary cooperatives are agriculture or production cooperatives serving their farmer members right at the ground level. These cooperatives will be key to facilitate farmers’ participation in decision-making processes and help small producers’ voice their concerns and interests and increase their negotiating power to influence policy making processes.
  • Memorandum of Agreements have been signed with 18 local governments in the 6 project districts
  • Construction of 18 primary level collection centers have started.
  •  CMDP has formed partnerships at municipalities, districts and policy-making levels. In the municipalities and community level, CMDP works with primary cooperatives and local governments; in the district level it works with District Cooperative Unions (DCUs). In the central level CMDP works with line agencies (MoLMCPA, MoAD, and Department of Cooperatives) and central cooperative federations for various policy discussions, formulations and revisions. The project has partnered with many journalists’ forums on various events to help create an enabling environment to influence policy and decision-making.
  • Till date, CMDP has conducted 29 Cooperative Management Trainings, a total of 815 [436 (53%) females and 375 (47%) male] cooperative members have received training on basic cooperative management.  CMDP has supported National Cooperative Federations (NCF) to organize provincial workshop to gather office bearers and executives of the local governments. The workshops highlighted how cooperatives could be mobilized at local level in creating jobs, expanding growth, contributing in SDGs at local and provincial levels. At a time of this transition, these workshops could play an important role to clarify confusions and misunderstandings.
  •  CMDP has also started work on developing an SDG guideline with NCF to highlight the important roles that cooperatives can play in achieving SDGs. Once the guideline has been developed, a training of trainers will also be conducted by NCF and these trained personnel will then cascade their knowledge locally.

 

Gender Equality and Social Inclusion

CMDP has developed Cooperative Selection Guideline which mentions that priority will be given to cooperatives who take GESI into consideration. Priority has been given to cooperatives with women members, members with disabilities and those representing ethnic minorities. Priority has also been given to cooperatives with women and representatives from ethnic minorities in major positions. Out of the 70 cooperatives selected, 16 are all women’s cooperatives. Till date, CMDP has conducted 29 Cooperative Management Trainings, where female participation was over 53%.

 

Documents

Project Document

Contacts

UNDP focal point:

Mr. Dharma Swarnakar
Programme Analyst
Poverty and Inclusion Unit
UNDP
UN House, Pulchowk
5523200- ext: 1014
Email: dharma.swarnakar@undp.org

 

 

 

Project focal point:

Suman Shekhar Manandhar
National Project Manager
Cooperative Market Development Programme
MOLMCPA, Singhadurbar,Kathmandu
Phone:01-4200055
E-mail: suman.manandhar@cmdp.gov.np

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