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					Agribusiness Support Fund
A company set up under section 42 of the companies ordinance 1984
       Agribusiness Support Fund
  A company set up under section 42 of the companies ordinance 1984



Corporate Structure

Incorporated under Section 42 of the Companies
Ordinance, as a not-for-profit public Company.

An independent Board of Directors
    - Five from the private sector
   - Three from the public sector

Part of the Agribusiness Development &
Diversification project executed by (MINFAL).
        Agribusiness Support Fund
   A company set up under section 42 of the companies ordinance 1984




ASF Concept

International experience indicates that the viability and
profitability of agribusiness enterprises depends on the
speed at which they are able to build within themselves
the different skills, know-how, expertise, and market
understanding required by a fast-changing economic
environment.

An effective method for building these capacities within
the agribusiness enterprise is to buy in external BDS.
     Agribusiness Support Fund
A company set up under section 42 of the companies ordinance 1984




Mission:
To support economic growth and employment
generation through agribusiness development.
              Agribusiness Support Fund
        A company set up under section 42 of the companies ordinance 1984



Focus

Overall focus of the ASF is to strengthen and support demand-driven
private sector service delivery mechanisms throughout the agribusiness
value chain including supply inputs, production, processing, and market
access for domestic and export markets.
      Agribusiness Support Fund
A company set up under section 42 of the companies ordinance 1984



   Focus
       VALUE ADDITION
         Agribusiness Support Fund
   A company set up under section 42 of the companies ordinance 1984




Focus

The specific focus is on
horticulture and
hortibusiness and
livestock and dairy
business.
        Agribusiness Support Fund
   A company set up under section 42 of the companies ordinance 1984



Specific Objectives

To enable agribusiness enterprises to effectively
utilise business development services (BDS) to
enhance productivity, product and market
diversity and penetration, and profitability.

To enhance BDS providers’ capacity to reach
agribusiness enterprises through the delivery of
varied and effective services.
     Agribusiness Support Fund
A company set up under section 42 of the companies ordinance 1984

Categories of ASF Grants:
Any service that leads to outputs for a new, specifically identified
market or that develops new products or adds value to existing
products are eligible for ASF funding. ASF grant funding is
broadly categorized as follows:
Capacity building and related assistance to agribusiness
enterprises and for start-up enterprises. The grants are provided
to agribusiness enterprises for purchase of BDS.
Support to private sector BDS providers to enhance the
availability and quality of services to agribusiness enterprises.
Support to individual farmers and farmer groups for the formation
of agribusiness enterprises that can then obtain ASF support for
eligible services.
Demand-driven research by private or public institutions leading to
enhanced quality production and improved production processes,
or to meet an identified market demand.
Development of private sector extension services to be provided
to farmers serving or proposing to serve agribusiness enterprises.
          Agribusiness Support Fund
     A company set up under section 42 of the companies ordinance 1984




    GRANT MECHANISM

•     Eligible enterprises are required to
      finance 50% of the cost of services
      employed; the remaining 50% will be
      contributed by the ASF as a grant on a
      reimbursable basis.

•     The ASF finances 100% of the costs
      of farmers’ group enterprise formation.
       Agribusiness Support Fund
  A company set up under section 42 of the companies ordinance 1984



Conditions

Need to demonstrate that the purchase of such
services will lead to clear improvements in
enterprise productivity, market penetration,
product diversity that in turn lead to increased
profitability.

Services that simply increase output of existing
products (except for clearly identified market
outlets) will not be eligible for grants and grants
will not be available for fixed asset or capital
investment.
        Agribusiness Support Fund
  A company set up under section 42 of the companies ordinance 1984




ASF APPROACH:
 Demand-Driven
 Value-Chain Focused
 Technology-Based
 Impact Oriented
 Sustainability
          Agribusiness Support Fund
    A company set up under section 42 of the companies ordinance 1984


Examples of Business Development Service Providers
    Services                           Providers

       Inputs                          Input suppliers
       Technical                       Consultants
       R&D                             Research organizations
       Market info & logistics         Exporters, Brokers
       Testing                         Laboratories
       Regulatory / financial          Lawyers / Accountants
       Transportation                  Truckers / cargo handlers
       Quality assurance               Certifying bodies
         Agribusiness Support Fund
   A company set up under section 42 of the companies ordinance 1984



EXPECTED IMPACT

 Creation of commercially viable agribusiness enterprises
 Meet consumer demand for product uniformity, presentation and
 continuity of supply
 Enhance Pakistan’s reputation for standards compliant agriculture
 produce
 Develop the demand for and supply of private sector BDS and
 Research & Extension
 Empower small farmers by developing numerous farmers’ group
 enterprises
 Increase access to agribusiness finance by enhancing technical,
 managerial, financial and marketing skills
 Generate employment, enhance incomes and alleviate poverty
     Agribusiness Support Fund
A company set up under section 42 of the companies ordinance 1984




               Thank you

				
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posted:2/20/2010
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