Project Summary

Project General Description

The Project to Develop and Promote Agricultural Sub-sectors in Zaghouan Governorate (PDPFA-GZ) is consistent with Tunisia’s Strategic Development Plan (PSD) 2016-2020. The Project will be implemented in the Zaghouan Governorate, which covers a surface area of 282 000 hectares and has a population of 186 210 (INS, 2018). This region has an average poverty rate of 20% (15.2% nationwide), an illiteracy rate of 26.4% (18.8% nationwide) and a rural poverty rate of 34.2%. The unemployment rate is 16.9% compared with 14.8% nationwide. Women are more vulnerable as they lack access to resources and formal employment. PDPFA-GZ was prepared under a UA 412 000 Middle-Income Countries Technical Assistance Fund (MIC-TAF) grant awarded by the Bank in 2014. The grant resources were used to design the related technical studies and evaluate the Integrated Agricultural Development Project (PDAI) in Tunisia. It complements the first phase of the Integrated Agricultural Development Programme in Zaghouan Governorate financed by the International Fund for Agricultural Development (IFAD) to the tune of USD 16.05 million. PDPFA-GZ, whose total estimated cost is EUR 43.86 million, aims to develop priority agricultural subsectors (olive oil, tomato, dairy and other local organic products) selected in conjunction with regional authorities based on their economic, social and environmental impact. Besides improving their competitiveness, the subsectors selected will have an overall impact on economic recovery and the reduction of unemployment, poverty and inequalities. The project comprising three components will be implemented over five years. The components are: (i) Rural Infrastructure Support; (ii) Sustainable Agricultural Development and Promotion of Agricultural Value Chains; and (iii) Project Coordination and Management.

Project Objectives

The overall objective of PDPFA-GZ is to contribute to reducing poverty, unemployment and inequalities (gender, socio-economic and rural/urban) in Zaghouan Governorate. The project’s specific objective is to create more value added by promoting priority agricultural sub-sectors such as “olive oil”, “tomato”, “dairy” and “other local organic products”, which are niches with a high potential in terms of employment, revenue generation and foreign exchange earnings for the country.

Beneficiaries

PDPFA-GZ will benefit more than 90 650 people (12 500 directly), 50.2% of them women. The people will be supported to improve production and productivity through successful land consolidation and conversion to organic farming. Special attention will be paid to women (particularly women heads of households) and youths who constitute the bulk of vulnerable groups. They will benefit from about 40% to 45% of newly developed PIPs and 75% of actions related to product processing and marketing, particularly organic products.

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