Livestock and Market Development Project (LMDP)

The Livestock and Market Development Project 1 and 2 (LDP1, LDP2) aims to contribute to poverty reduction and economic growth of local communities in Naryn, Issyk-Kul, Osh, Batken and Jalal-Abad oblasts of the Kyrgyz Republic.

The objective of the WFDP development is to increase livestock productivity and climate change resilience of local communities in Naryn, Issyk-Kul, Osh, Batken and Jalal-Abad oblasts, expressed in increased and commensurate income of livestock breeders, which ultimately should lead to poverty reduction and increased economic growth in rural communities.

The objectives of the Project are: 

  • Introduction of effective and sustainable participatory pasture management in rural communities;
  • Improvement of pastures and their infrastructure;
  • Increasing productivity in the livestock sector;
  • reduction of animal diseases that threaten human health;
  • improving and expanding access for farmers and the rural population in general to various types of agricultural support services.
  • The total cost of the projects is US$65.3 million, of which:
ARIS: 37.6 million USD 
Of which:
International Fund for Agricultural Development (IFAD): 28.4 million USD (of which USD 16.7 million was a loan and USD 11.7 million was a grant)
Agricultural Smallholder Landowner Adaptation Program (ASLAP) Trust Fund: 9.2 million USD  
Contribution of the Cabinet of Ministers of the Kyrgyz Republic: 0.7 million USD  to cover taxes
Beneficiary Contributions: 10,0 million USD  

The main target groups of the Project are: 

  • Vulnerable households, primarily among small-scale livestock producers;
  • Female-headed households and women;
  • other livestock producer households;
  • private veterinarians (PVs). 

Project implementation period: 2013-2021.

The WFWP consists of 4 components:

Component 1. “Community-based pasture management and vulnerability reduction”

The main objective of the component is to increase access to more productive and climate resilient pastures for smallholder producers. This objective will be achieved through sustainable and community-led management of natural resources, which should increase access to additional forage. The component consists of two sub-components:

Sub-component 1.1. “Community-based pasture management with risk mitigation and investment”.

This sub-component will improve productivity, utilization and access to pastures located in areas selected by Pasture User Associations (PUAs) through funding provided to support the following activities: 1) legal and regulatory reform; 2) rangeland inventory and pasture boundary demarcation; 3) improved Community Pasture Management and Use Plans (CPMPs); 4) policy dialogue on climate change adaptation; and 5) community seed fund (CSF) program for forage crops.

Sub-component 1.2. “Institutional Strengthening of Pastures.”

Under this sub-component, the capacity of national level organizations will be strengthened and built to develop a cadre of technically qualified professionals in pasture management and improvement. Therefore, assistance will be provided to: 1) Department of Pastures; 2) Kyrgyz Agrarian University; 3) Research Institute of Livestock and Pastures for research, training and other related activities; 4) Support to the Republican Association “Kyrgyz Jaiyty” (AKJ); 5) Support to the District Agrarian Development Departments (RUAR) of the MAKM KR; and 6) Establishment and implementation of Early Warning System (EWS).

Component 2. “Animal health and productivity services”

The main objective of this component is to improve smallholder producers' access to livestock and veterinary services, which will result in reduced mortality and increased productivity of sheep/goat flocks and cattle herds, achieved by reducing the incidence and prevalence of diseases. This component consists of three sub-components:

Sub-component 2.1. “Strengthening veterinary and community animal health services”.

This sub-component mainly aims to create conditions for the development of competent and financially sustainable private veterinary services, along with continued support and training of the Animal Health Sub-Committee (AHS). The ASWP will help the RPF committees to develop and implement animal health plans in the target communities as a mandatory part of the PSUIP.

Sub-component 2.1. includes 3 activities: 1) Research on community animal health services; 2) Establishment and training of animal health subcommittees/groups; 3) Capacity building of private veterinarians. 

Sub-component 2.2. “National Disease Control Program”

This sub-component mainly includes the following three key activities: 1) Legal framework - regulatory reform of veterinary legislation; 2) Control of drugs and veterinary medicines; and 3) National disease control strategies.

Sub-component 2.3. “Animal Health Training and Capacity Building”

This sub-component focuses on the technical, financial support needed to graduate young veterinarians motivated to work in the target communities. This sub-component includes the following investment activities: 1) Needs Assessment and Program Improvement for Veterinary Education; 2) Veterinary Education and Training; 3) Student Incentive Programs; 4) Professional Development and Training; and 5) Support for priority research activities of the VRC. 

Component 3. “Diversification and development of the milk value chain”

The objective of this component is to assist livestock producers in the target communities to expand milk production to meet market demand and thereby increase income from their dairy animals, and to introduce a range of additional viable income generating activities that will improve the livelihoods of poor vulnerable groups, mainly women.

Sub-component 3.1. “Program Design and Implementation”

This sub-component will support the implementation of Component 3 by providing financing for 1) the recruitment and engagement of an international business and marketing specialist who will, among other things, work on the development of terms of reference, tender documents and draft contract to be concluded with a specialized business service provider who will assume responsibility for the implementation of the activities of this component; 2) the conclusion of a contract with the specialized business service provider mentioned above, which will have the capacity to implement the activities of the component; and 3) the conclusion of a contract with the specialized business service provider mentioned above, which will be responsible for the implementation of the activities of the component. 

Sub-component 3.2. “Investments in the milk value chain”

The second sub-component will focus exclusively on the milk value chain to increase the value of milk produced by supporting two initiatives: 1) establishing milk collection and chilling centers through a partnership agreement with milk processing plants, and 2) supporting women's groups in establishing small-scale milk processing facilities focused mainly on the production of high quality traditional products.

Sub-component 3.3. “Diversifying income sources to reduce vulnerability”

Activities under this sub-component will support diversification of income sources as a means of adaptation and assist livestock communities with innovative income generating activities in collaboration with private and/or public partner enterprises, mainly with a focus on women, that will integrate income from livestock activities. Within this sub-component, the main sites for investment are as follows: 1) solar greenhouses for the production of vegetables and horticultural products that will meet demand not only within the communities themselves but also from the rapidly growing national and international tourism sector; 2) multi-functional solar dryers or electric dryers for drying fruits, herbs and aromatic plants.

Component 4. “Project Management”

The objective of this component is to ensure effective management of the AWPP. The overall responsibility for the Project implementation is assigned to the Agricultural Project Implementation Unit (APIU) under the Ministry of Agriculture, Processing Industry and Land Reclamation of the Kyrgyz Republic (MAILR). The PIU is responsible for implementation, coordination, supervision and reporting to IFAD and the Cabinet of Ministers of the Kyrgyz Republic, including maintaining close liaison with ARIS.

ARIS is responsible for implementation of all aspects of the Project that involve communities and for grant administration at the level of RPF, WSP, PM etc.