GERMAN DEVELOPMENT COOPERATION
GoG AND DPs - WORKING TOGETHER FOR A BETTER FUTURE
The overall objective of German involvement in the agricultural sector is that agricultural producers and other actors in the agricultural sector (processors, traders and service providers) improve their ability to compete in national, regional and international markets. Expected key outcomes are increased sales, incomes and employment. Interventions of German Development Cooperation target a wide range of state and non state actors at all levels of the economy. Technical Cooperation strives to build capacity in the Ministry of Food and Agriculture (MoFA) as well as in private sector institutions and firms. Financial cooperation supports contract farming and outgrower arrangements to facilitate the involvement of small holders in value chains and to foster access to agricultural credit. Instruments like Public Private Partnerships lend themselves to support the development of the private sector in rural areas. Institutions of official German Development Cooperation in Ghana are Kreditanstallt für Wiederaufbau (KfW) for financial cooperation, the Deutsche Gesellschaft für Technische Zusammenarbeit (GTZ) and the Deutscher Entwicklungsdienst (ded) in the area of technical cooperation. In addition there are activities by the

KEY ISSUES
• Improve productivity along agricultural value chains to increase competitiveness • Increase awareness and compliance with quality demands and standards • Recognise the role of the private sector as main driver of development • Adapt capacities of the civil service to the changing role of government • Increase the contribution of agriculture to poverty alleviation in rural areas
AREAS OF FOCUS
Development of commodity value chains: The value chain approach is at the centre of improving competitiveness of the selected commodities: Pineapple, Mango, Citrus, Chilli pepper, Rubber, Grasscutter, Guinea fowl and Fish from communal water bodies. The approach is based on improving linkages and transactions between input suppliers, producers, traders, processors, consumers and service providers along the chain, including finance. Specific bottlenecks are addressed like quality standards at production through development and dissemination of Good Agricultural Practice, GlobalGAP, organic and fair trade certification. In processing, support goes to hygiene standards (HACCP), the development of appropriate technology, innovative products and marketing. In trading, adequate handling, packaging, hygiene and quality control reduce losses and raise consumer acceptance. Contract farming and outgrower schemes receive specific organisational and financial support. Based on the experience of an industrial crop, rubber, it is now expanded to other commodities. Public Sector Development: Key is capacity building for an efficient and effective delivery of MoFA’s services. This entails: • Mainstreaming of value chain approach in policy and extension delivery • Support to organisational development, e.g. in human resource management and strategic planning • Support to policy formulation and development, in the framework of coordinated donor dialog and support • Enhancing public-private dialog Private Sector Development: In order to face a global economy, private sector organisations are strengthened to voice their interests and to place competitive supply offers. At producer level, associations must be based on strong coherence and clear business orientation. Transparent management of business associations requires special managerial and organisational development skills. Support to agricultural finance Inclusion of small scale farmers into higher value chains needs well targeted mid-term financing facilities that can be accessed through rural and commercial banks and that are supported with embedded business and technical services. Crosscutting issues: Gender relations, HIV/Aids and environmental protection are addressed in all GDC programmes.




CURRENT MEMBERS OF AGRIC SECTOR GROUP
GTZ Market Oriented Agriculture Programme (15 million € for 9 years 2004 – 2013) DED Market Oriented Agriculture Programme (5 technical advisors) KfW Promotion of Perennial Crops (6 million €) Outgrower and value chain fund (11 million €) PTB Support to Ghana Standards Board (900 000 €)