Apurimac Mining Agriculture (IFC-600369)

Countries
  • Peru
Where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
U
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Jun 2, 2015
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
U
The holder of the loan, grant, or other investment.
Sectors
  • Agriculture and Forestry
  • Mining
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Grant
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 3.26 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 3.26 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Aug 16, 2017

Disclosed by Bank Jul 20, 2016


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Project Description
The project will focus on two components: promoting a collective action; improving livelihoods of rural families. This component will seek to enlist mining companies operating in the region in a joint public private effort under the concept of "mining acting as a strategic ally of agriculture". The idea is to help mining become associated with promoting improved productivity and diversification of key crops which will lead to improved food consumption and the raise of farmers income in the region. It will also seek to establish a network of trained agricultural technicians, who can be available for future engagements. Work will focus on nurturing the idea of Collective Action to support small farmers needs in a structured way, positioned and permanently nurtured. This will require a coordinated effort between small farmers, mining companies and government agencies (national, regional and local). Work will focus on: 1.1 Put in practice and position a Collective Initiative ; 1.2 Establish a coordination Mechanism ; 1.3 Establish a network of Yachachiq. The second component aims to improve the farm productivity, food availability and the families income in areas impacted by mining operations, so as to generate a better overall environment under which mining companies and agriculture families coexist. This will be done by incorporating culturally suitable farm production technologies, introducing high value and market oriented crops, livestock and poultry; developing peer-to-peer technical assistance activities by using the Yachachiq network, introducing best practices on nutritious food consumption and conducting some market advisory actions and links to potential buyers. Based on an improved productivity of farms, rural families are expected to improve food consumption and increase their income, which will reduce the pressure for mining related job opportunities. This components strategy will articulate a successful experience from the Ministry of Social Inclusion, through its program Haku Winay, and implement it under a collective initiative of the mining sector. The impact of this approach will be enhanced and communicated internally and more broadly to key stakeholders in the region. The coordinated participation of mining companies, local, regional and national government organizations will be articulated and coordinated under the Steering Committee. Using Haku Wiay, a model tested by the government, has several advantages. First, the project has incorporated a gender strategy which recognizes the role of women in their families, with relation to the adoption of new practices in both, their farms and households for improving food consumption practices of their families. Second, the agricultural practices introduced by the program have been culturally adapted to the area and are environmentally friendly (i.e. no use of pesticides or introduction of foreign crops, promote organic production). Finally, in addition to having the endorsement of the government, mining companies feel positive about using a tested approach and having the central government as a key ally on this initiative. Work will focus on: 2.1 Improve farmers productivity and diversification; 2.2 Improve food consumption practices; 2.3 Promote Market linkages.
Investment Description
  • International Finance Corporation (IFC)
Contact Information
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