Farm Privatization Support Project

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The Farm Privatization Support Project seeks to assist the government to: a) develop procedures and institutional mechanisms at the state level and selected regions to ensure fair and equitable transfer of land and other farm assets to private individuals or groups; b) implement these procedures in ten selected farms; and c) create sustainable private family farming units and provide them with the enabling conditions to operate independently in a market economy. The project consists of four components: 1) Farm restructuring services will support the development of procedures and institutional mechanisms at the state and selected regions to ensure fair and equitable transfer of land and other farm assets to private individual or groups; and to create sustainable family farms. 2) Irrigation and drainage works will support efforts to repair and replace such facilities in the selected farms so as to create and sustain privatized agriculture at the farm levels; to assist in the establishment of water users' associations; and to establish performance monitoring and evaluation of irrigation water use. 3) Provision of on-time implementation units will support a) a one-time grant to the private family farms by providing a minimal amount of the most critical agricultural inputs to increase crop and or animal productivity; and b) creation of pilot rural savings and credit associations that will meet its members' short and medium term credit needs.