Input distributions
PROVISION OF AGRICULTURE AND VETERINARY INPUTS
using an approach that co-empowers beneficiaries (Cost Recovery approach)
Syrian rural households, mainly engaged in agriculture and livestock activities, suffer from low production and food insecurity. This context is determined by lack of income and economic resources, in addition to constant increase of production costs. So, Syrian farmers have reduced purchasing capacities and accessibility to agricultural and veterinary services which are already unaffordable and scarce. To support farmers dealing with this deteriorating economic situation, CIHEAM Bari adopted a sustainable approach, a trustful alternative that can be a real driver for resilience, triggering new mechanisms: ACCESS TO QUALITY AND AFFORDABLE INPUTS > INCREASED PRODUCTION > BETTER INCOME > FOOD SECURITY.
For these reasons, CIHEAM Bari programmes in Syria support farmers and livestock holders with inputs, such as fodder, fertilizers, phytosanitary products, animal medicines and vaccines to increase agricultural and livestock productions and to decrease their production costs. Inputs are distributed to breeders and farmers who co-participate in input costs, paying 70% of the products costs, while the remaining 30% is granted by the project. The collected money is re-used to purchase other inputs, thus enabling to reach more beneficiaries who need this kind of items for their animals and agricultural productions. This method, called Cost Recovery, allows to move towards agriculture development in Syria and to boost the local economy since most inputs are purchased inside Syria, stimulating the local markets and trade, also helping to moderate the prices of products on the local market, with the aim of creating benefits not only for the project beneficiaries but for the entire rural community.
INSIGHT ON COST RECOVERY
The Cost Recovery Method has been introduced by the implementing agency CIHEAM Bari for the first time in its international interventions in the North West of Syria in 2014, in the framework of the project “Sector III – agriculture and food security” financed by the Italian Cooperation. This method has been further developed and enlarged in all the other interventions implemented by CIHEAM Bari.
Cost recovery refers to the method used to distribute inputs and services to beneficiaries against payment of a part of the costs incurred in purchasing those inputs or services. Inputs (such as fodder, fertilizers, phytosanitary products, animal medicines and vaccines) are distributed to breeders and farmers who co-participate in input costs, paying 70% of the products costs, while the remaining 30% is granted by the project. The collected money is re-used to purchase other inputs, thus enabling to reach more beneficiaries who need this kind of items for their animals and agricultural productions. This method, called Cost Recovery, allows to move towards agriculture development in Syria and to boost the local economy since most inputs are purchased inside Syria, stimulating the local markets and trade, also helping to moderate the prices of products on the local market, with the aim of creating benefits not only for the project beneficiaries but for the entire rural community.
OECD has appreciated this model and stated that “The adoption of a cost recovery in a war-torn country proved to be effective and sustainable”. CIHEAM Bari programme has been awarded in 2017 as one of the better 50 projects in the world as “Better Programming to Deliver Comprehensive Solutions to Refugee Crises”, where particularly the Cost recovery approach has been awarded as the first 6 in the category “Better Financing”.
KEY NUMBERS
The available budget for purchasing livestock inputs has increased on average by additional + 225 %
36,700
Total amount spend to procure agriculture and livestock inputs in Syria 14,5 M €
23,600
36,700 Phytosanitary products distributed
14,5 M €
44,150 tons of agriculture and livestock inputs distributed to 23,600 farmers and breeders
Data are updated till October 2024. The data include all Early Recovery interventions of CIHEAM Bari in Siria since 2015.
9,1 M €
Overall 9,1 M € of Cost Recovery funds collected from farmers and breeders and reinvested
36,500
36,500 Veterinary medicines provided
225 %
Added Value of Cost Recovery
This approach ensures that resources are allocated efficiently where they are most needed. It promotes a sense of fairness, as those who directly benefit from the inputs and services are the ones contributing to their cost.
This targeted approach can lead to more sustainable and effective agricultural and veterinary development outcomes.
The applied methodology proves itself as appropriate to ensure the correct and transparent implementation of the activities inside Syria.
The co-participation of beneficiaries in the costs of agriculture and livestock inputs, ensures the financial sustainability of the project and increase ownership and commitment of beneficiaries who become less dependent on external aid and more self-reliant, playing an active role in this sustainable development model.
CR enhances Local Markets since inputs are purchased inside Syria making products more available in local markets.
“The Revolving Fund promoted an entrepreneurial behaviour of the farmers, making them less dependent on external assistance and Aid Donors”
“The adoption of a revolving fund in a war-torn country proved to be effective and sustainable, challenging the more common approach of distributing free inputs typical of humanitarian relief.”