Shanxi Inclusive Agricultural Value Chain Development Project (ADB-48358-001)

Countries
  • China
Geographic location where the impacts of the investment may be experienced.
Specific Location
Shanxi province
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Borrower
Government of People's Republic of China
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Agriculture and Forestry
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 90.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 90.30 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ ADB website

Updated in EWS Jun 26, 2020

Disclosed by Bank Oct 18, 2016

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

The project will strengthen the project design and cater for the SPG’s request, in addition to the PPTA, ADB will provide technical assistance support for inclusive business (IB) approach1
(para. 3) to select the project agribusiness companies (PACs) and cooperatives; and for value chain analysis (para. 4) to design project investment to strengthen the PACs and cooperatives
chains, and their supply chains; and promote mutually beneficial cooperation between the PACs and farmers.

This will be the first ADB project for the PRC to adopt value chain analysis to design a project and the first sovereign project to adopt the IB approach in the PRC. The project will help the Shanxi Poverty Alleviation and Development Office (SPADO) (i) define the IB criteria, which is a composite rating tool to assess potential PACs regarding their financial viability, social impact, and innovative features; and (ii) apply the IB criteria to select and engage the PACs that are financially viable and has the potential to make social impact through job creation, particularly for the poor and low-income population. The social impact assessment tool will include women empowerment criteria; and as part of the PPTA, the IB arrangements (i.e., cooperation mechanisms between the IB-qualifying PACs and their farmer suppliers such as contract farming, share-holding, or other modes of benefitsharing) will be examined and incorporated in relevant subproject investment plans. During project implementation, the performance of the IB-qualifying PACs will be evaluated; and the results will be used to enhance their poverty and social impact.

IMPACT
Inclusive economic opportunities in the rural areas of Shanxi Province increased
Poverty in the rural areas of Shanxi Province reduced

OUTCOME
Income-generating opportunities from selected local specialty agricultural products increased

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Contact Information
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ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main

How it works

How it works