Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) Sri Lanka Agriculture Sector Modernization Project (P156019) SOUTH ASIA | Sri Lanka | Agriculture Global Practice | IBRD/IDA | Investment Project Financing | FY 2016 | Seq No: 5 | ARCHIVED on 09-Jul-2018 | ISR33390 | Implementing Agencies: Ministry of Agriculture, Ministry of Finance, Ministry Primary Industries, Provincial Councils of Northern, Eastern, North- Central, Central and Uva Provinces Key Dates Key Project Dates Bank Approval Date:28-Jun-2016 Effectiveness Date:17-Mar-2017 Planned Mid Term Review Date:14-Oct-2019 Actual Mid-Term Review Date:-- Original Closing Date:31-Dec-2021 Revised Closing Date:31-Dec-2021 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objectives (PDO) are to support increasing agriculture productivity, improving market access, and enhancing value addition of smallholder farmers and agribusinesses in the project areas. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Agriculture Value Chain Development:(Cost $102.73 M) Productivity Enhancement and Diversification Demonstrations:(Cost $58.63 M) Project Management, Monitoring and Evaluation:(Cost $8.48 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Satisfactory  Satisfactory Overall Implementation Progress (IP)  Moderately Satisfactory  Moderately Satisfactory Overall Risk Rating  Substantial  Substantial 7/9/2018 Page 1 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) Implementation Status and Key Decisions Overall, the project remains on track to achieve the PDO. There has been significant progress in the award of matching grants under the Ministry of Primary Industries (MoPI), with 59 signed. A further award of up to 40 additional grants is expected in mid July, 2018. The Ministry of Agriculture (MoA) has faced delays but now moving forward with pilot schemes including an outgrower agreement which has been signed with Hayley's company. The 5th Implementation Support Mission conducted in March-April 2018 agreed with the two implementing ministries on the following implementation priorities until the next support mission scheduled for August 2018: For the Ministry of Primary Industries: (a) accelerate the review and approval process for matching grants; (b) strengthen coordination with the Central Bank’s Regional Development Department and participating financial institutions to accelerate the review and approval of commercial loans to investors and operationalize the Partial Credit Guarantee; (c) put the Technical Service Providers in place to support matching grant applicants, in particular communities, in preparing quality proposals and to assist grant recipients in field; and (d) guide field implementation of matching grants investments and start recording impacts of in terms of productivity increases, value addition, job creation, and export performance. For the Ministry of Agriculture and the Provinces: (a) manage the procurement process for the selection of an international service provider to support the full roll-out of ATDP implementation during the second half of 2018; (b) formalize the agreed agribusiness partnerships and begin cluster development implementation in the districts; and (c) implement the agreed pilot activities and rural infrastructure investments. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  Moderate  Moderate  Moderate Macroeconomic  Substantial  Substantial  Substantial Sector Strategies and Policies  Substantial  Substantial  Substantial Technical Design of Project or Program  Moderate  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  High  High  High Fiduciary  Substantial  Substantial  Substantial Environment and Social  Moderate  Moderate  Moderate Stakeholders  Moderate  Moderate  Moderate Other  Moderate  --  -- Overall  Substantial  Substantial  Substantial Results Project Development Objective Indicators PHINDPDOTBL  Direct project beneficiaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target 7/9/2018 Page 2 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) Value 0.00 0.00 0.00 110,000.00 Date 15-Oct-2016 29-Dec-2017 29-Jun-2018 31-Oct-2021 PHINDPDOTBL  Female beneficiaries (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 40,000.00 PHINDPDOTBL  Farmers adopting improved agricultural technology (Number, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 80,000.00 Date 15-Oct-2016 29-Dec-2017 29-Jun-2018 31-Oct-2021 PHINDPDOTBL  Clients who adopted an improved agr. technology promoted by project – female (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 24,000.00 Date 15-Oct-2016 29-Dec-2017 29-Jun-2018 31-Oct-2021 PHINDPDOTBL  Increase in average value of sales of agriculture products due to project interventions (Market Access Indicator) (Percentage, Custom) 7/9/2018 Page 3 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 25.00 Date 15-Oct-2016 29-Dec-2017 29-Dec-2017 31-Oct-2021 PHINDPDOTBL  New Jobs generated through investments in agriculture SMEs under the project. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 12,500.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 Overall Comments Note; all PDO level indicators remain at zero. Since the last ISR, 59 matching grant agreements have been signed and many are now under implementation. MoA has signed 8 agreements with Hayleys and farmer organizations to begin on pilot outgrower scheme and a further 18 pilots have been launched with 1250 beneficiaries. All these schemes are expected to be operational in the coming 6 months and will result in tangible progress on PDO level indicators. Intermediate Results Indicators PHINDIRITBL  Training in project management taken by project staff at all levels (Hours, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 50.00 300.00 Date 15-Oct-2016 31-Mar-2017 29-Jun-2018 31-Oct-2021 7/9/2018 Page 4 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) PHINDIRITBL  Policy Notes prepared and published (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 17.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 PHINDIRITBL  Research Papers completed and approved by the CPCU (Number (Thousand), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 10.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 PHINDIRITBL  Number of Technology Parks completed and handed over (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 7.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 PHINDIRITBL  Number of new farmer producer organizations registered (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 250.00 Date 15-Oct-2016 -- 29-Dec-2017 31-Oct-2021 7/9/2018 Page 5 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) PHINDIRITBL  Number of Matching Grants approved (Small Window) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 55.00 350.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 PHINDIRITBL  Number of Matching Grants approved (Large Window) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 4.00 50.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 PHINDIRITBL  Share of project-supported farmer producer organizations and agribusiness partnerships making profit (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 70.00 Date 15-Oct-2016 -- 29-Jun-2018 31-Oct-2021 PHINDIRITBL  Share of project-supported women-led famer producer organizations and agribusiness partnerships making profit (Percent) (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 70.00 Date 15-Oct-2016 29-Dec-2017 29-Jun-2018 31-Oct-2021 7/9/2018 Page 6 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) PHINDIRITBL  Share of Matching Grant recipients operating based on updated business plans (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 70.00 Date 15-Oct-2016 29-Dec-2017 29-Jun-2018 31-Oct-2021 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P156019 IDA-58730 Effective USD 125.00 125.00 0.00 17.60 107.99 14% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P156019 IDA-58730 Effective 28-Jun-2016 17-Jan-2017 17-Mar-2017 31-Dec-2021 31-Dec-2021 Cumulative Disbursements 7/9/2018 Page 7 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sri Lanka Agriculture Sector Modernization Project (P156019) Restructuring History There has been no restructuring to date. Related Project(s) P166793-Agriculture Sector Modernization Project - Additional Financing 7/9/2018 Page 8 of 8 Public Disclosure Copy