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 Since late 2001 IFDC has been
participating in a project to improve agribusiness prospects in the
Ferghana Valley of Kyrgyzstan. Edward Beaman serves as Chief of
Party/KAED. The KAED project established an agricultural input dealer
trade association in southern Kyrgyzstan that has become one of the
strongest associations in the country. In 2004, the association lobbied
successfully for the removal of a 20% VAT on fertilizer and CPPs. The
removal of this tax translates into millions of dollars saved for small
and large farmers, fertilizer dealers, and CPP suppliers. The trade
association members increased their legal fertilizer sales by 15 fold
during the past 2 years. Ultimately this saving will result in increased
production of food for the Kyrgyz consumer at lower prices.
Prior to the project extension, there
was not a single farm store where farmers could buy high-quality inputs.
The project has conducted 30 training programs on the development of
retail farm stores. These programs covered issues such as location,
product diversity, store size, necessary legal documents, input
sourcing, business plan development, and inventory management. During
the past 2˝ years KAED assisted with the creation of 16 retail farm
stores. The project has a goal of opening 21 retail farm stores in
southern Kyrgyzstan by 2006.
In December 2004, the project, in
conjunction with the trade association, organized the 3-day Ferghana
Valley International Agro Expo, which attracted approximately 3,000
attendees. Exhibitors at the event represented more than 50 agricultural
companies from 14 countries. Participating countries in the Expo
included Israel, India, Malaysia, Netherlands, United States, Turkey,
Germany, Belarus, Italy, Moldova, Russia, Kazakhstan, Uzbekistan, and
Kyrgyzstan. The Agro-Expo exhibitors made more than 650 new contacts for
business opportunities.
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