Food Aid Internet System

Sample

Food Aid Proposal Entry

Food for Progress Program

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Proposal Submit Number:
PIN Number:
Proposal Status:

Expense	USDA/CCC Dollar Funding
Direct Costs
Internal Transportation, Storage, and Handling (ITSH) is available under urgent & extraordinary circumstances only
Other Direct Costs (including Admin)
Indirect Costs
Indirect Cost Recovery on ITSH and Other Direct Costs
Total

Program Description (Section 5, 7 C.F.R. 1499.5)

Activity Objectives (bulleted summary) *

Monetization
ABC will monetize 3,000 MT of soybean oil and 5,000 MT of soybeans and use generated proceeds over a one-year period to:
�	Produce a protein supplement through the use of new technology for income generation;
�	Train select local food processors to use new technology to produce more efficiently; and
�	Provide micro-credit loans to women seeking to create, improve, or expand their agribusiness or food production activities. 
 
Barter
ABC will give a four-pound bag of green peas to select workers in exchange for advertising the new protein food product in western Elbonia.

Method of Choosing Beneficiaries *

Monetization
ABC will select five food processing plants located in the Dry Valley region of western Elbonia.  These plants must be operative.  Plant owners must agree to learn to produce a new but related product.  Plants that are family owned, but not more than 10 percent owned by the state or government, will be given priority consideration.  Production plants that meet these criteria will also receive training to learn to increase production and efficiency of their total output. 

ABC will require that beneficiaries of the micro-credit program reside in Dry Valley, the western region of Elbonia.  Each beneficiary must also provide to ABC documentation of land ownership and provide estimates of income and expenses for the past two years.  ABC's final selection of beneficiaries will be based on the financial statements and the ability to generate net income and to repay the loan. ABC will give priority to families with more than three dependents.

Barter
ABC will obtain a list from the Ministry of Welfare of unemployed persons in the region.  From this list, ABC will select up to 200 persons living in the Dry Valley region of Western Elbonia to receive green peas as payment for their work in commodity advertising.  The Dry Valley region is known for its chronic drought conditions and extreme poverty levels.  Persons living in this region generally have limited access to food and employment.  Beneficiaries will be chosen from families that meet the following criteria:

�	head of household and unemployed
�	families with more than three dependents 
�	total family income below poverty level
�	willing to work

Program Administration *
Filling out this table will meet the needs of this section. A text box is provided below if
you prefer a different format or if there is any additional information you wish to provide.
Title	Pct of Time	Main Responsibilities

Activity Budgets *

ABC has arranged for XYZ, a local transport company, to provide free roundtrip bus service for select workers in the production plants to attend a three-day training seminar on assembling the new production equipment.  All other costs for this program not covered by resources provided by USDA will be borne by ABC.

Recipient Agency *

ABC will give a portion of the proceeds to Elboni-credit, a local credit cooperative in western Elbonia, to provide loans to qualified applicants under its Micro-credit program.  Elboni-credit has three years of experience in providing financial services to small agribusinesses in the region and has received good credit reviews from international credit firms.  ABC will enter into an agreement with Elboni-credit prior to signing its agreement with USDA.

Governmental or Nongovernmental Entities *

ABC will work with local government officials in the Ministry of Welfare in western Elbonia to obtain a list of unemployed persons in the region that meet the selection criteria under its Food for Work program.  ABC will meet with these government officials to explain the program and to solicit feedback on the program scope.

Method of Educating Consumers *

ABC will publish notifications in local newspapers that highlight its programs in the country and identify USDA as the donor of the vegetable oil. All contracts signed with workers receiving barter for pay will include language that the food they receive is donated by the people of the United States of America through the United States Department of Agriculture.  ABC will inform beneficiaries of the micro-credit program that the loans are made possible by a donation from the United States.  ABC will also display banners at its main office that identifies USDA as the source of donated commodities.  In addition, ABC will require Elboni-credit to display banners in its offices.

Criteria for Measuring Progress *

Activity	Beneficiaries				Intended Output	Intended Outcome
Activity	Type (Direct)	# Direct	Type (Indirect)	# Indirect	Intended Output	Intended Outcome
Intro of new technology in 5 production plants	50 plant workers in each plant		3 family members of each worker benefiting from increased wage		Efficient, highly productive, value-added food production	more educated food production workforce with an increased efficiency of 5% due to new technology	Clear
Micro-credit loans to women	Women receiving loans		3 family members of each woman receiving a loan		Disbursement of 2,000 loans with an on-time repayment rate of 90%	Greater than 10% increase in income for loan recipients, diversified agricultural sector in target region	Clear
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Methods Used in Monitoring and Evaluating Each Activity and How Progress Will Be Measured *

1) Produce a protein supplement through the use of new technology for income generation:  The quantity and quality of the new protein supplement produced in each of the five plants that will receive new technology will be monitored by ABC and the technical training will tailored appropriately.  Progress will be measured by comparing the initial profit margin to the final profit margin after two continual years of operation.

2) Train select local food processors to use new technology to produce more efficiently:  Based upon the results of the monitoring of Activity 1), technical training will be tailored to each of the individual plant owners and staff, and progress will be measured by the increase in efficiency over time once the new technology is adopted.

3) Provide micro-credit loans to women seeking to create, improve, or expand their agribusiness or food production activities:  Select loan funds will be tracked and the respective uses evaluated to determine the return on investment.  Progress will be measured by not only the success of the agribusiness or food production activities by also by the loan repayment rate.  A target rate of 90% will be used as the benchmark for success.

Impact of Program Activities on Private Sector Development *

The program will promote private sector development in agriculture, by introducing new technology into the food processing industry that will  promote  growth of privately owned, rural and agricultural small and medium enterprises.  ABC expects to install five new state-of-the-art machines for processing soybeans and other ingredients in local production plants within a three-month period.  The program will help production plants to realize at least a 50-percent increase in production in the first three months and a similar increase in sales within the first six months.  Increasing demand for the new products will ensure a steady demand for soybeans in Elbonia. 

The provision of micro-credit loans to women will also enhance private sector development, as the infusion of capital will help to create, improve, and expand agribusinesses and food production activities.

Overall Program Information *

Total Direct Beneficiaries of the program:
Total Indirect Beneficiaries of the program:
Total Beneficiaries (direct and indirect) of the program:
Anticipated Monetization completion date (month and year):
Anticipated Project completion date (month and year):

* Required field

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