Reducing poverty in rural areas: ASF approves Rs 22.2 million grants for agribusiness enterprises
The Agribusiness Support Fund's (ASF) appraisal committee has approved 96 grants worth Rs 22.2 million for different private sector agribusiness enterprises focusing on reducing poverty in rural areas. According to a message received here on Saturday the committee meeting, held in Lahore early this week. Particularly considered NWFP, FANA and Balochistan for these grants for enterprises ranging from farmer groups to SMEs, from all over Pakistan for different business development services (BDS). Grants to farmers enterprises groups (FEGs) were provided for establishment of grass-roots level income-generating activities, with a focus on value-addition. These groups have 1200 farmers all over Pakistan. The major initiative was supporting clusters of FEGs--approximately five FEG in every cluster--in establishment of milk chilling centres to preserve milk and ensuring its supply to ultimate consumer in pure and fresh condition and increasing income by eliminating the role of middlemen, walk-in tunnels for off-season farming of different vegetables, flower growing and marketing and pickles production and sales: ASF also supported enterprises in setting up nurseries and introducing new varieties of fruits and vegetables. Funding support to SMEs included grant support for setting up of mega cold storage facility in Karachi aimed at reducing spoilage. This facility will play an important role in the promotion of exports of horticultural produce from Pakistan to international markets. ASF also supported an association of fruit and vegetables exporters, importers and merchants in the establishment of 'Business Resource Centre'. The purpose of this centre will be to provide business opportunities, marketing services, training and linkages development etc. In addition, another association in the floriculture sector was provided support in creation of a strategy document for their operations. ASF also continued its support to agribusiness enterprises in gaining different certifications aimed at enhancing exports of fruits and vegetables. The Agribusiness Development and Diversification Project (ADDP) of Ministry of Food and Agriculture (Minfal) with the support from Asian Development Bank had created ASF with a grant of Rs 4.1 billion. ASF has been established to develop the agribusiness sector in Pakistan to support economic growth and for employment generation. It has further been tasked to promote private sector agribusiness enterprises by providing matching grants for purchase of BDS and also providing capacity building support to BDS providers. Copyright Business Recorder, 2008