STRATEGIES FOR DEVELOPMENT OF RURAL ECONOMY

STRATEGIES FOR DEVELOPMENT OF RURAL ECONOMY: GLOBAL EXPERIENCES National Institute for Micro, Small and Medium Enterprises An organization of the Ministry of MSME, Govt. of India & an ISO 9001-2015 Certified Yousufguda, Hyderabad – 500 045 www.nimsme.org

Contents Articles Empowering Women to Identify Protection Strategies in Sierra Leone Industrializing District: Lessons from India Ms Tiangay Kaikai 01 Role of Micro, Small and Medium Enterprises in Zimbabwe Rural Economy Mr Tapison Chimombe 19 Kava Agriculture Village Rural Entrepreneurs – Kava Farming in Fiji Mr Ratu Sela Donumaitoga 27 Improving Access to Social Services for Vulnerable Families and Children through Promoting Social Protection Systems and Expanding Community-Based Social Assistance Mr Yonas Araya Hagos 51 The Effect of Women Entrepreneurs of Micro, Small and Medium Sized Business - Northern Province, SriLanka Ms V.Thevakumari 57 An Empirical Assessment of How the Government Policies and Regulations Influence the Performance of the MSMEs in Malawi Mr Orbort James Ngwira 75 Microfinance Institution for Young Entrepreneurs in Niger Mr Abdoulaye Saidou Abdoul Karim 82 The Study of the Impact of Microfinance on Small and Medium Scale Enterprises (SMEs) in Sierra Leone: A Case Study of ECOBANK Microfinance Sierra Leone Ms Jestina Kellie 95 Impacts of Microfinance Institutions on the Development of Small and Medium Enterprises in Sierra Leone - A Case Study of Lapo Microfinance Institution Makeni Branch Mr Mohamed Wurie Kamara 110 Promotion Of Crafts In Niger Ms Chaibou Mahamane Maria 132 Development Strategies Implemented by the Nigerien Government for the Emergence of the Rural Economy Mr Ibrahim Halou Sahabi 136 Micro, Small and Medium Enterprises in Tajikistan: Drivers and Barriers to Growth in Rural Area Mr Saipov Sohibjon 141 Expanding Production and Processing of Cotton in Ghana: The Volta Case Ms Belinda Emefa Degboe 149 The Crucial Role of Branding and Marketing for SMEs: Challenges and Opportunities in Tajikistan Mr Farhod Sharipov 153 Development of Solar Energy for Energy Self-Sufficiency in the Tillabéri Region, Niger Mr Karim Aoudou Aboubacar 157 Entrepreneurship Quality and Rural Entrepreneur Development in Republic of Tajikistan Mr Latipov Bakhtovar 163 Zimbabwe, a Country Making Strides towards National Development Mr Jean Mfiri Patience 168

Empowering Women to Identify Protection Strategies in Sierra Leone Industrializing District: Lessons from India Ms Tiangay Kaikai, Assistant Secretary, Ministry of Transport and Aviation, Sierra Leone E.mail :[email protected], Phone: +23276273379 Background The Constitution of Sierra Leone is currently under review and a new version of the Constitution is expected to be adopted by referendum after a nationwide awareness-raising and consultation process, plus peer review and drafting by experts, in 2019. According to the Ministry for Social Welfare, Gender and Children’s Affairs, the Maputo Protocol to the African Charter is due to be adopted, likely with reservations in relation to the banning of female genital mutilation. The Gender Equality and Women’s Empowerment Policy is currently being drafted. This will precede the adoption of the Gender Equality Bill. At present, despite legislative changes that have increased women’s legal protection, women continue to experience discriminatory practices. Their rights and position are largely contingent on customary law and the ethnic group to which they belong. In addition, secret societies as (bondo or sande) which many girls and women belong, serve to uphold and reinforce harmful practices such as female genital mutilation (FGM) and early marriage. 1

The current Constitution of Sierra Leone (1991, amended 2001) provides equal rights for men and women in Article 27, but the principle of non-discrimination is not widely applied. Sierra Leone ratified the Convention on the Elimination of All forms of Discrimination against Women in 1988, but has not yet ratified the Optional Protocol on violence against women. In 2007 Sierra Leone passed a set of “gender laws”: the Domestic Violence Act, the Registration of Customary Marriage and Divorce Act, and the Devolution of Estates Act. A Child Rights Act was also enacted in 2007. These laws were followed in 2012 by the enactment of the Sexual Offence Act. The project is designed to address the issues of violence against women, land rights, leadership, entrepreneurship and general empowerment of women. Of the 10.1million population of Sierra Leone, more than 70% of those living below the poverty line are female. Women also do more than 65% of available work and earn a very negligible share of the national income because most of their labour is unpaid. In real terms, the women produce more than half the food produced in Sierra Leone and very few of them own the land. In addition, many more of the people who can neither read nor write (65%) are women. These women are potentially capable, but remain an untapped resource. Search for Common Ground (Search) is a non-governmental organization working to transform the way societies deal with conflicts. Search has acquired over 30 years of experience in peace building and is based in 59 local offices worldwide. Their vision: While conflict is inevitable, violence is not! Therefore they work to achieve social change through transforming the way people deal with conflicts – away from violent and adversarial approaches, towards collaborative problem solving. Search for Common Ground Sierra Leone: Search has worked in Sierra Leone since 2000 supporting peace and development efforts. The primary approaches employed are the use of media and outreach as channels to foster dialogue and engagement to help find solutions to on-going and emerging conflicts. Search’s project engagement has included supporting ex-combatants’ reintegration, reinstating state and local authorities, rule of law, reducing electoral violence, promoting women and youth rights, land and natural resource rights and access, and anti-corruption campaigns. Their conflict transformation work aims to encouraging constructive and inclusive dialogue processes to increase knowledge and 2

transform attitudes and behaviors through: interactive Town Hall Meetings, Participatory Theatre, Short Video and Mobile Cinema Screenings, Media Programming, Youth to Youth Engagements, Building Coalition and Networks. In September 2015, Search for Common Ground (Search) and the Center for Coordination of Youth Activities (CCYA) signed an agreement with the U.S. Department of State’s Bureau of Women, Peace and Security (WPS) to implement a 24 month project titled: “Expanding the Table: Empowering Women to identify Protection Strategies in Sierra Leone’s Industrializing Rural Districts”. The project’s goal was to empower women through increased economic opportunities by increasing the financial and leadership standing of women in three targeted districts: Bombali, Port Loko and Pujehun that have been heavily impacted by large-scale industry including agribusiness and extractives. This was supported by one specific objective: to enhance the leadership standing of women in Sierra Leone’s rural communities. Several activities were implemented under this project including the establishment of women owned empowerment centers, training, exchange visits, and communications events. The expected results for this project were for: women to have the leadership and financial skills to lead micro projects for communities to have a greater understanding of women’s contribution to community development. WOECs were designed to create a safe space where women can learn about and explore challenges and opportunities linked to women’s empowerment in their communities, to enhance their skills in leadership and business and to increase women’s voices in their communities. Activities implemented in this project include: 1. Establishment of Women Owned Empowerment Centers 2. Training's in Women’s Leadership, Advocacy and Community Organizing; 3. Life skills training for women & girls to undertake micro projects; 4. Support to Women-Driven Micro-Projects; 5. Community Town Hall Meetings where members of the Women Owned Empowerment Centers (WOEC) narrated the progress they have made and the challenges they encountered in the implementation of the project; 6. Exchange visits were organized for cross fertilization of ideas among groups; Case studies on lessons learned and successes were also conducted 3

Production and Broadcast “Atunda Ayenda” - A radio program produced and broadcast by 27 Search radio partners stations across the country for wider dissemination of information on the activities undertaken by the WOECs so that women in other communities could hear about what the groups are doing to be economically empowered. Women-Owned Empowerment Centers (WOEC) Each WOEC across the 6 communities was provided with a lump sum for a group project, whose income generating activities could then also provide micro-grants for small businesses owned by members of the WOEC. Each group included a secretary who was given a monthly stipend by the project and may or may not be a grantee member of the group. Based on the secretary’s performance, the group can decide to incorporate her when she no longer receives monthly stipend from the project. Evaluation Objectives The project is being evaluated at this particular point because the project funding is ending and there is need to ascertain relative impact and sustainability. The final evaluation aimed to assess the project’s achievements towards its goal which is to empower women through economic opportunities. It also assesses achievements made towards the project objectives, as well as the extent to which the project will be sustainable after funding stops. The evaluation will also measure indicators linked to the log-frame and will identify lessons learned and best practices that will be applied to improve on the design and implementation of similar projects in the future. The goal of this evaluation was to assess the project achievement towards its goal as well as the extent to which the project will be sustainable after it is phased out. The study focused on effectiveness, impact, sustainability and achievement of indicators. It also explored underlying trends. The objectives of this evaluation were to 1. Assess if the expected results were achieved adequately 2. Assess the project’s achievements towards its goal which is to empower women through economic opportunities. 3. Investigate which internal and external factors facilitate or hinder the achievement of expected results 4. Explore the sustainability of the project 5. Review attainment of the indicators as per the M&E plan 4

6. Understand underlying trends on the partnership model, community engagement, and success of the partnership model, participation and effects of conflict management in the community. 7. Identify lessons learned and best practices that will be applied to improve on the design and implementation of similar projects in the future. Primary Audience and Evaluation User The intended primary audience is Search for Common Ground, CCYA and the US Department of State. The evaluation report will be published on Search’s website and DME for Peace. This report will also be shared with other parties, including donors, beneficiaries, and partners. However, the research is also useful for wider academic research. The results of this evaluation will be shared more widely in order to contribute to projects with a similar focus and continuing the collective dialogue about WPS design, implementation and evaluation. Key Partners Working with Search, the key partner in this intervention was the Centre for Coordination of Youth Activities (CCYA). CCYA is a non-political, non-profit making organization. Established in September 1998, CCYA had the over-arching goals of serving as an agency working towards the empowerment of youths through effective and efficient coordination of youth activities within Sierra Leone. The Centre also strives to enhance the capacity of youth groups and organizations throughout the country to promote the rights of all young people. CCYA works on women programs which focus on leadership and community development training, counseling and trauma therapy, youth and adolescent sexual and reproductive health, human rights, good governance and democracy and gender research programmes. 5

Methodology Evaluation Objectives and Questions: The evaluation was carried out in the six project communities of Romeni, Foredugu, Kolisokoh, Worreh Yeama, Sinjo and Taninahun. Evaluation data was gathered over eight days in September 2017. The evaluation carries out an in-depth diagnosis of three different criteria, these include: effectiveness, sustainability and impact. Effectiveness:This measured the extent to which the project’s objectives were achieved and highlighted the major factors influencing the achievement or non-achievement of the objectives. Sustainability: The sustainability assessment was concerned with measuring whether the benefits of the activities are likely to continue following the close of the project. Impact: The impact assessment explored the long term effects produced by the intervention, including those that were intended or unintended. Since there is such a short time lag, we concentrated on how the project has changed community dynamics, and we explored if a real difference has been made to the beneficiaries. We also looked at how people outside of the community have been affected. Given the objectives of this evaluation, the following questions determined the scope of the study: 6

Extent to which the objectives and expected results were achieved ⮚ How many women report increased selfefficacy as a result of the project? ⮚ Do women have increased financial and leadership standing in their community? ⮚ Do women have the leadership skills to lead micro-projects? ⮚ Do communities have a greater understanding of women’s contribution to community development? Which internal and external factors facilitated or hindered the achievements of expected results / specific objectives? ⮚ To what extent were community members, especially men and community leaders, supportive of this project? ⮚ What factors have strengthened the results/outcomes of the project? ⮚ Did beneficiaries overcome barriers specific to their communities (i.e. access to land, political representation, etc.) within the context of this project? If yes, how? What are expected to be the lasting effects of the project? ⮚ What sustainability mechanisms have communities adapted to ensure they continue benefiting from the project activities? ⮚ To what extent has the WOEC engaged external stakeholders? ⮚ How are beneficiaries using their knowledge to build a sustainable income for the WOEC? ⮚ Is there a plan (by communities) to maintain the sustainability of the WOEC? ⮚ What plans are in place to include other women as members of the WOEC? 7

How beneficiaries are better positioned within their communities? ⮚ Do women in the group feel that they now have access to further opportunities? ⮚ Do beneficiaries report taking positions of leadership within their communities? ⮚ What effect has this project had on community members, especially women, outside of the WOEC? How did this project achieve the goal of empowering women through economic opportunities? ⮚ Do women report feeling able to make decisions based on an economic level? ⮚ Is there increased participation of women at the household and community level? ⮚ How many women report feeling more respected at the household and community level? ⮚ How many new businesses led by women have been created as a result of the project’s activities? And what type of businesses? ⮚ To what extent do community members, including men and community leaders, see the role of women changing in their communities? The Methodology This evaluation adopted a mixed-methods approach comprising of both qualitative and quantitative methods. In addition to a comprehensive document review, in each district the evaluation team carried out two focus group discussions (FGD), two key informant interviews (KII), and an Ikcic(c) mobile survey built on google forms . Data from each community was analyzed to consider overarching and distinct findings. The methodology captured in-depth opinions, views and experiences of beneficiaries and stakeholders of the project. 8

Qualitative Data Document Review The document review consisted of an analysis of the available project documents listed below. The documents provided a good background on the project context, as well as data collected during monitoring visits. This information provided a basis for designing the evaluation tools and they included: ● Outcome monitoring by DM&E ● Pre- and post-tests ● Project Tracker ● Radio Program Production ● Quarterly Reports ● Success Stories ● Work Plans ● WPS Project Impact ● Attendance lists of different meetings and events ● The Project Proposal A: Key Informant Interviews KIIs targeted stakeholders directly and indirectly affected by the project. Direct beneficiaries include the WOEC chairwoman and indirect beneficiaries included community leaders, youth leaders, representatives from the Ministry of Social Welfare, Gender and Children’s Affairs (MSWGCA), the Ministry of Agriculture, Forestry and Food Security (MAFFS), community members and government agencies. A total of 18 key informant interviews were held. Focus Group Discussions The team conducted semi-structured discussions to generate input from beneficiaries and stakeholders. Using local languages, we introduced the groups to the themes being explored 9

and ensured participation and the exploration of ideas by the respondents using a participatory and inclusive approach. Between 7 and 10 persons attended the focus group sessions. A total of 12 focus groups were conducted, 2 per community, with one targeting a variety of stakeholders including non-beneficiaries, community leaders, business owners, farmers and family members in each community The other FGD was held with beneficiaries to triangulate and strengthen the findings from the survey. The discussions were recorded for analysis after due confirmation from the beneficiaries. FGDs for stakeholders were mixed gender sessions in which open ended questions were utilized in sessions lasting between 90- 120 minutes. Quantitative Data A. Survey The majority of participants in the WOEC were targeted by the survey. In most cases, 2 or 3 members were missing in each location; however the team was able to include 26 - 29 members in each location. The surveys focused on collecting data in order to analyze the key indicators that refer to the economic empowerment of women and its contribution to the local communities. The survey was conducted electronically for purposes of speed, efficiency and accuracy. Our electronic survey method took less time to analyze, was more selective, prescreened and flexible. 10

Key Findings: This section explores the evaluation questions using evidence and data collected through our quantitative and qualitative methods. It highlights the key findings of the evaluation study using the evidence data we collected from the field and from project documents. Overall, the data suggests that the project was effectively implemented, has the potential to be sustainable and made a huge impact on the economic and social lives of the members of the community. Effectiveness and Sustainability Recommendations Some of the recommendations below intend to address the challenges of data collection as well as issues identified by data collectors during the evaluation. The evaluation results suggest that the program has great growth potential and the recommendations listed below aim to ensure that this potential is maximized. 1. The use of community facilitators both in project implementation and in the data collection for the evaluation provides a valuable linkage to the communities and should be continued and enhanced. The results of this evaluation should be shared with the beneficiaries to emphasize the importance of project managers and community stakeholders working closely together. This stresses the responsibility of stakeholders for applying evaluation 11

findings and implementing recommendations The following stakeholders should be more involved in program design if such a program is to be redesigned: Government and other national duty-bearers including Ministries of Finance, MSWGCA (Gender) district councils, civil society (including Women’s Movements and networks), donor agencies, bilateral and multilateral agencies and UN agencies. 1. A general recommendation is that the WOECs build on the strength of the project by: A. Continuing using the community-led approach B. Preserving the adaptable and flexible approach to the emerging nature of the WOEC. This means that the ability of the WOEC to adapt their working style to suit their particular circumstances should be encouraged. Ie while some WOEC build their center, others adopted an existing center for their own use. The nature of each WOEC is dependent on the members and leadership, so there isn’t a cast in stone design for running them. This helps flexibility and future planning, even though it can also mean that some WOECs appear to have made much more progress than others Maintaining CCYA’s role in mentoring individuals and organizations. This is a useful model that can be replicated with other partners as well, although CCYA has been successful in maintaining this community linkage over time. The impression we got is that CCYA is the local mentor and Search does more of providing the program management structure and funding. CCYAs local offices for instance are much more in touch with the communities. A. Search should gather WOEC baseline information as the project wraps up. This would be useful for tracking the progress of the WOEC as independent entities in the future. Such data can also be important in evaluating the WOECs as independent entities after their funding has ended. Formalizing the collaborative relationships between Search, CCYA, the WOECs and the external stakeholders, to manage the risk of over-reliance on personal relationships and of their potentially transitory nature. A good example is the situation in which the WOECs have relied on one person to assist in delivering the registration papers with the district council. This did not progress for a long time and WOEC activities were stalled because of it. The community should be able to escalate and/or deescalate such issues as appropriate. Just after the data collection the chairlady of the WOEC in question called the Country Director of Search to tell him that their money for the registration has been refunded as the individual was asked to do so. 12

Designing a growth module after the donors exit to create a revolving fund. In exploring this model, a shadow system of rotating of funds can help ensure that cash assistance circulates and is monitored in the community by beneficiaries and safeguarded by the community leadership. The community facilitator in Bombali described a pilot of 90 persons in 3 groups, where a set of 5 persons receives refundable cash assistance for six months and hands over the repayment to the shadow 5, who have been monitoring and waiting in the wings, while an additional set of 5 are appointed to shadow the new set. This way the fund revolves and grows with the community and is managed by them with period checks by an external auditor. The Fund would normally be a source of money from which loans are made for multiple beneficiaries in a microcredit scheme, repayable over an agreed period, after which the principal paid is advanced to another member of the group who had been saddled with the responsibility of monitoring the first recipient. The fund gets its name from the revolving aspect of loan repayment, and the fact that a close community member serves as a shadow. As individual women pay back their loans, they create the opportunity to issue other loans to new women. Investigating the opportunities for youth specific engagement strategies and activities (example, training of young activists as role models and support persons specifically for young women, local art clubs, backyard gardens, and creating employment opportunities) Investigating the feasibility of each one train one to multiply the impact of the WOEC. Similar to the revolving fund, WOEC beneficiaries can be mandated to provide training for at least an equal number of beneficiaries within a given time span. For example, within 6 weeks of being trained, each beneficiary should train an addition person who can be independently verified. This will multiply the impact of the WOEC. WOECs should investigate options regarding support for market opportunities for women’s crafts such as sewing, bead work, knitting, baking as well as for garden produce. Search can choose to help the WOECs implement this. Investigate the options for further mentoring WOEC leadership and members in order to acquire additional skills that are necessary for sustainable operation. Examine the option of extending the engagement of male community members, focusing on areas where they are unsupportive or questioning. This would mainly be among male 13

community members whose family members are not beneficiaries. For male community members whose spouses and/or family members are not direct beneficiaries, there are often questions around the exclusivity of the WOEC membership. So some male community members say they would have supported the project if more of their own people were also beneficiaries. WOECs can, with community and district council participation, explore a branding strategy to ensure that program activities and achievements are associated with Search and CCYA Project design and implementation should more accurately identify the needs of rural women. WOEC members can benefit from greater access of rural women to managerial skills and greater participation. There should be greater promotion of risk taking and group expansion. There should be an attempt to reduce migration of rural households Since all the groups are involved in agriculture in some form or other, the tangible effects of climate change needs to be incorporated into their rural development planning. Otherwise the real risk of exacerbating water insecurity and suffering harvest losses from unexpected floods can affect the project negatively. So can the late of arrival of tools, implements and seedling for farming. Team building and Team working WOEC members and leaders had to adjust their team working style. Many WOEC chairpersons point out that managing people is not easy and they themselves have had to change their approach to team management. They now emphasize a situation where the WOEC leaders help guide members rather than act as overlords to be obeyed. This helped them build personal relationships with WOEC team members to improve morale and productivity, while reflecting on their own contributions as a team. Adaptability WOEC members understand that the program needs to be flexible and adaptable in order to keep pressing forward and getting results. For instance, when they got their planting inputs late, they still went ahead and planted, even though the rains had started and some of the seeds were lost, they recognized the importance of still pressing on and using this knowledge to plan for the next planting seasons. 14

Appreciating each other as women WOEC members cite the importance of appreciating fellow women. They note that fear can make women work against each other rather than with each other. This is why it is important for women to mentor each other and to create positive relationships in the WOEC and with members outside of the center. Effectiveness There were marked changes in the decision-making of women, expenditure pattern of the family and awareness of rights, responsibilities and advocacy effort of the individual women and their groups. Women are considerably more involved in decisions about household purchases, household healthcare, and mobility outside the community. Women have increased their influence in household decision-making and even more so in community decision making. The surveys indicate that there were changes in the expenditure pattern of women, where women have notably made more prudent decisions based on the financial training they have received and the encouragement to save money and recognize their profits. Sustainability This evaluation shows that women have taken action for social change by engaging in problem solving negotiations to resolve social problems. They are now using group pressure to encourage hygiene and cleanliness, arrest domestic violence, provision and repair of drinking water sources and plantation and afforestation. However, other actions that required technical skills and resources (such as increasing the number of women in the groups through technical training) were less popular. Project design and implementation should more accurately identify the needs of rural women. WOEC members can benefit from greater access of rural women to managerial skills and greater participation. There should be greater promotion of risk taking and group expansion. There should be an attempt to reduce migration of rural households Impact: Women were also acting independently by themselves regarding social activity and advocacy with the industrialized peri-urban players like SOCFIN and ADDAX. Many non-beneficiary stakeholders asked for literacy classes before and then economic enterprise. Respondents were very happy with the WOEC, which they saw as an innovation in development effort. Rural women for the first time had an ‘office’ where they went to discuss about social and community changes, personal business or to discuss about physical construction and 15

environment. Cash based interventions for women groups are extremely helpful on a short term emergency stimulus basis. The non-monetary benefits were also significant, and included improved morale, greater confidence and greater participation in local governance. There was a lot to be said about the sustainability of this approach, seeing that it was an emergency injection of funds to aid communities whose primary means of income generation were negatively affected by industrialization and large scale agribusiness. Community stakeholders identified lack of formal education and inadequate skills, the inability to create more group members without recourse to Search, CCYA and financial uncertainty brought about by the short term nature of the project. Climate change risk means that WOEC members must learn more about conservation of natural resources and the environment. The changing knowledge, attitude and values (strengths of empowerment) can be harnessed into a strategy to better identify further needs of the WOECs, increase their participation in public and private life. Dynamism and creativity of WOEC members will result in empowerment and create a kind of new stimulus for rural development. In conclusion, Search and CCYA staff and contractors, volunteers, WOEC members and community members are strongly motivated to continue to support the program. Members expressed confidence in its effectiveness, but raised doubts about its sustainability Strengths and Weakness of the Intervention The main strengths of the intervention lay in the increasing knowledge, attitudes and values in the beneficiaries, as well as their increasing power, confidence and self-esteem. There was a positive view to the work of rural women and increasing creativity in the communities and a sense of progress. Social justice was promoted by the project as well as a sense of belonging to a group. The project improved the welfare of rural families, reduced poverty and increased facilities and opportunities. The strength of the project lay in its direct participatory approach and in the depth to which it went to involve other non-direct beneficiaries and stakeholders. Working with CCYA afforded the project more direct access to the participants and vice versa. The beneficiaries experienced significant up skilling, especially with financial planning, banking and income recognition. Strength of the project was in community cohesiveness. The evaluation team noted that since this was a coalition of the wiling, held together by an obligation to Search and CCYA, this could have been attributed to being part of a beneficial group. It could also be an organic characteristic of the groups. 16

The main weaknesses lay in the relative lack of flexibility in rural women, combined sometimes with poor decision-making power, shyness, inadequacy of education and lack of ability in independent group creation. A key shortcoming of the project lay in the difficulty of managing beneficiary and stakeholder expectations, such that a resounding appeal is constantly made in all of the beneficiary communities for Search and CCYA to continue the funding. In addition, the activities in which beneficiaries are involved are mostly limited to farming and petty trading. Other low hanging fruit income generating ideas include training in fabric processing, hair dressing and baking/bread-making. The business skills training needs to advance beyond the elementary stage to help groups properly value their inputs, especially labour, in helping they recognize their profits. All of the WOECs want to include other women in the project, but they all want to receive additional grants from Search and CCYA in order to do so Conclusions The project has afforded some very valuable lessons in project design and implementation of women economic empowerment projects. 17

Abbreviations CCYA Centre for Coordination of Youth Activities CEDAW Convention on the Elimination of all forms of Violence against Women CSO Civil Society Organizations DM&E Design Monitoring and Evaluation EC Evaluation Coordinator EED Evaluation Enumeration Review Team EMT Evaluation Management Team ERG Reference Group FGD Focus Group Discussion IV Interview KII Key Informant Interview MSWGCA Ministry of Social Welfare, Gender and Children Affairs Search Search for Common Ground SOF Standard Observation Form TOR Terms of Reference WOEC Women Owned Empowerment Centre WPS Women Peace and Security 18

Role of Micro, Small and Medium Enterprises in Zimbabwe Rural Economy Mr. Tapison Chimombe, Human Resources Officers, Ministry of Youth Sports & Recreation, Zimbabwe Email: [email protected], Phone: +263242792088 Introduction Zimbabwe is a country found in the southern part of Africa continent. She regained her independence in 1980 after a protracted armed liberation war. The war was as a result of perceived deprivation of the black majority in socio-political and economic areas. The new government which came to power in 1980 was faced with a crisis of expectation from the general population as they sought an urgent address in the injustices suffered during the colonial era. It is against this background that empowerment programmes were rolled out with a view to correcting the economic imbalances which prevailed in the country. 1. Agriculture Cooperatives Since Independence, the Government of Zimbabwe has promoted cooperative development in several ways: (i) By preparing new cooperative legislation. (ii) By providing a long-term basis for cooperative development through preparation of a Cooperative Policy Paper in 1983. (iii) By gradually increasing the governmental staff to support and supervise cooperatives. (iv) By establishing a separate ministry for cooperatives in 1986 (which, however, was combined with another ministry at the end of 1987). The Ministry staff did its best to help their charges to perform up to the expectation of the cooperatives by members and the Government, but only about 60 percent of the registered cooperatives survived or became operational during the first years of Independencen Although cooperative organizations are relatively easy to establish, they are complex to manage and run profitably. In recognition of these difficulties and the demands that the cooperatives face in all aspects of their operations, the Government of Zimbabwe asked for 19

the World Bank's assistance. The Bank responded by fielding a mission in FebruaryMarch 1988 to review the agricultural sector cooperatives. The dialogue between the Government and the Bank on major policy issues concerning agricultural pricing, marketing, and input supplies had not been successful in the past, and it was believed that a thorough review of the cooperative sector would provide opportunities for formulating options and improving the efficiency in these respects. The tasks of the mission were as follows: (i) to identify the development issues in the cooperative sector and formulate sound policy advice for the Government's consideration; (ii) to review the need for specialized advice required to accelerate the cooperative development and prepare specialist assistance/contract packages for the Government's use in seeking assistance from bilateral and other -2- agencies; and (iii) to estimate the cooperatives' long-term financing needs and prepare draft investment packages that the Government could offer to financing agencies for consideration Support to cooperatives. The Government has long supported cooperatives with manpower and finance and its continued support is justified. The performance of large-scale farmers is used as the standard against which the performance of other agriculturalists is measured. However, those farmers achieved their success only through substantial assistance and concessions from the state over the past 30 years. The following questions may be justified. How can smallholders and their economic organization, cooperatives, are expected to reach the same level of advancement, performance, and competition without the same kind of support? Don't smallholders need as good a chance (and assistance) to establish them and their cooperatives as the large-scale farmers received in the past, so they can benefit from the economies of scale now enjoyed by large-scale producers? Farmer groups Although large-scale cooperatives may not have a basis in the traditional social structure of Zimbabwe, small-scale cooperation seems to suit the rural population well. The 8,000 savings and farm-input purchase groups active in Zimbabwe seasonally are a case in point. They have apparently found the "common bond" needed for pre cooperative activities, in this case, the interest to benefit from bulk purchases with people whom they can trust. The units thus formed are too small to become permanent, multiservice development institutions, but their continued cooperation should be encouraged. In the short run, these groups may take some business from cooperatives, but they are based on an actual need among the farmers and are 20

sustainable. In the longer run, some of them may be linked to ASCs, thus bringing the business back, or they may become cooperatives in their own right. Ideally, the concept of agricultural cooperatives was meant to economically empower the people of Zimbabwe, particularly those who lived in the communal lands. However, viability of this initiative was hampered by lack of sound markets for the produce and overpopulation of people in the agricultural sector. 2. Youth Empowerment Projects. Youths in Zimbabwe are defined as persons between 15 and 35 years of age. This age range is stipulated in the Constitution of Zimbabwe and is also congruent with the continental definition of youth as defined in the African Youth Charter (15 to 35). Zimbabwe is a youthful country, with approximately 36% (4,702, 046) of the estimated youth in 2012 as cited in the Youth Empowerment and Transformation Trust (YETT) commissioned research report, “Decades of Struggle and Hope: A Zimbabwean Youth Compendium”, launched in 2019. Despite having various pro-youth empowerment policies, young people in Zimbabwe continue to face socio- economic and political exclusion in national development issues. This has resulted in millions of youth being trapped in poverty leading to poor health, high rate of crimes, political violence, brain drain among others societal ills. This has further been worsened by the absence of youth voices in key decision platforms at both national, local government structure. In this regard, ,it is sad to note that there is no youth representation within cabinet and out of 210 MPs, less than 5 are aged 35 and below. Regarding the economic status of youth, the YETT research report notes that, of the 67.7% of the youth population, an approximation of 7% are employed and 9% of the youth reported being entrepreneurs. In terms of constitutional literacy and policy awareness, 17.5% of the youth in Zimbabwe know about the 2013 constitution. The report further stipulates that 46% of the youth in the country are food insecure and 32% have limited access to clean water and 27% have limited access to education. These problems are emanating in the context of various pieces of youth policy frameworks and a National Youth Council Act. Some of the various institutional and policy frameworks that seek to address youth development include the National Skills Development Policy, National Youth Policy, Vocational Training programme to focus on Training for Enterprise, and the Indigenization and Economic Empowerment programme (IEEP). Additional policy measures and 21

programmes developed by government to promote job creation, especially for the youth, include the development of the Zimbabwe Youth Employment Network (ZIYEN), the formulation of the Zimbabwe National Employment Policy Framework (ZNEPF), the establishment of the Youth Development Fund, the establishment of Youth Economic Zones, the IEEP, and the formulation of the Zimbabwe Agenda for Sustainable Socio-Economic Transformation (ZIM-ASSET). In-spite of all these policy frameworks, the implementation of the objectives of these policies remains a nightmare as there is no legal instrument for holding to account various solution holders tasked with implementing these measures. The attainment of results-based youth empowerment can be achieved through the enactment of the National Youth Act. Should this happen, Zimbabwe will join several African countries who have done the same. In order to prioritize youth empowerment and engagement issues, the Government of South Africa enacted the National Youth Commission Act in 2008. The Government of Namibia also enacted its Youth Act known as the Namibia National Youth Service Act. The major objectives of these legislations are to drive the youth empowerment agenda through providing a binding legal framework for holding to account any duty bearers. The government of Kenya also came up with the National Youth Service Act in 2018 whose main objectives is to drive the Kenyan economy by empowering youths. These Youth Acts are laying a strong foundation for the implementation of various international youth treaties, national youth policies and programmes. In realizing that youths represent a critical constituency in the demographic structures of the Zimbabwe population, Section 20 of the Zimbabwe Constitution sets the youths agenda by stating that “the State and all institutions and agencies of government at every level must take reasonable measures, including affirmative action programmes, to ensure that youths have access to appropriate education and training; have opportunities to associate and to be represented and participate in political, social, economic and other spheres of life, are afforded opportunities for employment and other avenues to economic empowerment, have opportunities for recreational activities and access to recreational facilities and (are protected from harmful cultural practices, exploitation and all forms of abuse”. However, the missing link is on how this section 20 of the national constitution will be implemented without necessary legal instruments to back the constitution. 22

The Youth Act will contain a set of standards, principles, and procedures that must be followed in the implementation of various pieces of youth policies. The Act together with its instruments will ensure that the legally binding principles are followed, implemented and adhered to. The Youth Act will ensure that the objectives of the youth policies are implemented. It will also uphold the values, principles and standards set out in the Zimbabwe National Constitution section 20. The Youth Act will empower the ministry of youth to set out different youth boards that are responsible in spearheading youths' concerns and issues, and also ensure that youth concerns are addressed. Youth policies are not legally binding as policies are outlines of what a government/ organization is going to do and what it can achieve for the society as a whole. The policies are subject for changes for instance when the budget could not meet the planned objectives, they can be abandoned. The changes in the structure of the organization, has a negative impact on the implementation and continuity of the national youth policies. Policy also means what a government does not intend to do. It also evolves the principles that are needed for achieving the goal. Policies are only documents and not law. Laws are for the people, and policies are made in the name of the people. Policies can be called a set of rules that guide any government or any organization. Laws are administered through the courts. Laws are enforceable in which the policies comply. A law is more formal as it is a system of rules and guidelines that are derived for the welfare and equity in society. A policy is just informal as it is just a statement or a document of what is intended to be done in the future. The Youth Act is necessary as it will define the issues raised in the Constitution of Zimbabwe Section 20 such as the extent to which the Government and all institutions and agencies of government take reasonable measures to enforce the same. The legal instrument will also define terms like reasonable measures in scientific and legal parameters. Politically, the instrument will define the number of youth seats reserved for youths across different political entities and the number of seats reserved for youth at the local governance level. The Act will define the required age limit for the Minister heading the Ministry of 23

Youth, his / her deputy Minister as well as key appointments such as the Permanent Secretary, Directors among other key positions. The Youth Act is necessary to clarify the allocation of critical resources such as the land to youths, the number of hectares to be reserved for youths, issues to do with mining and fishing rights among other necessary economic activities. The Act will also reserve other key economic sectors such as brick molding and restaurants for youths. This will go a long way in alleviating poverty among the youth and increasing the country’s GDP. A close analysis of the Zimbabwe Youth Council which was established by the Act of Parliament, Chapter 23;19 in 1983 reveals that it cannot bring the much-needed youth engagement drive for economic development as its main mandate is to provide for the registration and regulation of clubs and national associations. The Zimbabwe Youth Council has a limited socio-economic mandate which has been overtaken by events and time hence the need for a comprehensive piece of legislation known as the Zimbabwe Youth Act which can act as a driver for sustainable socio-economic growth. The time for enacting the Youth Act is now. The Act may set the Vision 2030 agenda rolling for Zimbabwe to achieve its set objectives. Youth are a Centre for innovation and spear head sustainable development. Below are pictures of income generating projects undertaken by youth in Zimbabwe 24

The Ministry of Youth Development and Empowerment receives youth empowerment grants from the Ministry of Finance for onward distribution to deserving youth. Youth are made to submit a business plan through banks such as Empower bank, CBZ and IDBZ. Those who meet the required conditions are granted loans ranging from $2000 USD to $5000 USD. However, there have been problems in the loan repayments as most youth would regard the loans from the government as free funds that should not be returned. 3. Women Empowerment The Government of Zimbabwe has a Ministry which deals with Women affairs including women empowerment. The Ministry has a bank which was established by the government to manage funds that are meant for women empowerment. 25

Although Zimbabwe is making some strides in improving the livelihoods of its citizens through the concepts of micro, small to medium enterprises, more needs to be done to make these enterprises graduate from one level to another. There is need for the adoption of modern machinery in carpentry projects and also the use of e governance in administering the empowerment loans. Zimbabwe can borrow from other economies such as India which are doing well in empowerment programmes. 26

Kava Agriculture Village Rural Entrepreneurs – Kava Farming In Fiji Mr. Ratu Sela Donumaitoga,Assistant Rokotui Tailevu Itaukei Affairs Board, Tailevu Provincial Council, Republic of The Fiji Island. E.mail: [email protected] , Phone: +6799083205 27

Background Briefly about Fiji Island: Location Fiji lies in the heart of the Pacific Ocean midway between the equator and the South Pole and between longitudes 174°east and 178°West of Greenwich and latitudes 12° S and 22° south. Fiji’s exclusive economic Zone contains approximately 330 islands of which about a - third are inhabited. It covers about 1.3 million square kilometers of the South Pacific Ocean. Fiji’s total land area is 18 333 square kilometers. There are two major islands - Viti Levu that is 10 429 square kilometers and Vanua Levu 5 556 square kilometers. Other main islands are Taveuni (470 sq km), Kadavu (411 sq km), Gau (140 sq km) and Koro (104 sq km). 87.9% of land is owned by indigenous Fijians while 2.2% is State land. Freehold land comprises 5.5% and Rotuman land is 0.3%. The capital is Suva and it is one of the two cities in Fiji. The other city is Lautoka and both are located on the island of Viti Levu. Population Fiji is a multiracial country. The nation’s population as at the 2017 census was about 837,271. Fiji is mostly made up of native Fijians, who are Melanesians (56.8%), although many also have Polynesian ancestry; and Indo-Fijians (37.5%), descendants of Indian contract labourers brought to the islands by the British colonial powers in the 19th century. The percentage of the population of Indo-Fijian descent has declined significantly over the last two decades through migration for various reasons. Indo-Fijians suffered reprisals for a period after the coup of 2000. Relationships between ethnic Fijians and Indo-Fijians in the political arena have often been strained, and the tension between the two communities has dominated politics in the islands for the past generation. The level of political tension varies among different regions of the country. About 1.2% of the population is Rotuman – natives of Rotuma Island, whose culture has more in common with countries such as Tonga or Samoa than with the rest of Fiji. There are also small but economically significant groups of Europeans, Chinese, and other Pacific island minorities. The membership of other ethnic groups is about 4.5%. 2953 people or 0.4% of the people living in Fiji are from Australia [European]. The official language is English with Fijian and Hindi being used widely. Fijian dialects differ between regions. 28

Total Chine se Europ ean iTauk ei India n Part Europea n Rotu man Other Pacifi c Island ers All Ot he rs Total 837,271 4,704 2,953 475,739 313,79 10,771 10,335 15,311 3,660 Male 427,176 2,435 1,609 242,476 159,873 5,659 5,260 7,960 1,904 Female 410,095 2,269 1,344 233,263 153,925 5,112 5,075 7,351 1,756 Source: 2007 Census of Population, Fiji Islands Bureau of Statistics Climate Fiji enjoys a tropical South Sea maritime climate without great extremes of heat or cold. The islands lie in an area which is occasionally traversed by tropical cyclones, and mostly confined between the months of November to ‘April every year. Temperatures average 22o C for the cooler months [May to October] while November to April temperatures are higher with heavy down pours. Economy Fiji’s economy, endowed with forest, mineral, and fish resources, is one of the most developed of the Pacific island economies, though still with a large subsistence sector. Sugar exports, remittances from Fijians working abroad, and a growing tourist industry - with 400 000 to 500 000 tourists annually - are the major sources of foreign exchange. Fiji’s sugar has special access to European Union markets, but will be harmed by the EU’s decision to cut sugar subsidies. Sugar processing makes up one-third of industrial activity but is not efficient. Fiji’s tourism industry was damaged by the December 2006 coup and is facing an uncertain recovery time. Fiji is no longer an agriculture-based economy. The distribution of economic power in the country comparing the size of the major sectors shows that the primary resource based sector-which encompasses agriculture, forestry, fishing and mining - has declined in its share of GDP since 1986 from 25 to 18 percent. It has been surpassed by the wholesale retail trade, restaurants & hotels sector, which now accounts for 19 per cent of GDP and is growing. This retail sector incorporates the flow on effects of tourism. 29

Agriculture Agriculture remains a major sector of the economy, accounting for 43 per cent of Fiji’s foreign exchange earnings. It provides 50 per cent of the country’s total employment and contributes 19 per cent to Fiji’s Gross Domestic Product (GDP). Fiji has a total land area of 1.8 million hectares. Only 16 per cent is suitable for farming and are found mainly along coastal plains, river deltas and valleys of the two main islands of Viti Levu and Vanua Levu. The rest can be found in the smaller outlying islands of the group. Of the arable land, 24 per cent are under sugar cane, 23 per cent coconut and the remaining 53 per cent under other crops. The indigenous people own about 92 per cent of the land in Fiji. And through the Landlord and Tenants Act (ALTA), the Indian farmers have had the privilege to farm on arable Fijian land through long-term leases. Introduction I quote, “Prime Minister of Fiji Mr Sitiveni Rabuka while delivering address at the 2023 UN General Assembly in New York, Rabuka says there is an imbalance of power held by global financial institutions and has called for urgent reform of the global financial architecture to make climate finance accessible to small island developing states. He adds that there is also a lack of representation of developing countries, including the Pacific, in the global discourse on international standards and norms. The Prime Minister says that the existing global financial architecture perpetuates global economic inequality, leading to unequal access to resources and opportunities. “In addition, small Island developing states are struggling to respond to global supply shocks, with soaring debt levels impacting progress in the implementation of the sustainable development goals. Rabuka highlighted the disproportionate burden placed on small administrations by global public finance management and anti-money laundering standards.” Fiji has limited entrepreneurial opportunities. However, Fiji have some unique high value niche products that have attracted global attention. Among the limited niche products in Fiji, kava (Piper methysticum) known as ‘yaqona’ or ‘grog’, is a popular agricultural and industrial product. Kava is not only a traditional, ceremonial and social drink in Fiji, but also a product that contributes to social and economic development through export and foreign exchange earnings and provides employment, and livelihoods, and alleviates poverty. As a beverage and pharmaceutical product, Fiji kava is increasing its importance nationally and internationally. 30

This paper analyzes kava in Fiji as an entrepreneurial and business product, its trends in production, trade, ‘niche market’, growth potential, its role, and also explores the issues and challenges associated with kava and kava farmers in Fiji especially the Naitutu Village Youth. The developing countries like Fiji and the Pacific Island are facing a lot on financial challenges especially those that are living in rural villages and communities. Furthermore, agriculture is their main source of livelihood and income to cater for the need in everyday life. Therefore, a strategy for development like the “Rural Millionaire Project” was introduced in Fiji to mainly empower them to become independent and financially stable in the long run through farming of kava. 31

KAVA INDUSTRY Kava Plantation/ Farming Historically, kava has been domesticated for around 3000 years (IKEC, 2010; Rowe, n.d.). In Fiji, yaqona was grown in the second half of the nineteenth century by Europeans on plantations on the island of Vanua Balavu and was sold to meet merchants in Levuka on the island of Ovalau. Most kava is grown along hillsides in steep sloping land under bush-fallow rotation in plots that are remotely located. Traditionally, kava is inter-cropped with other subsistence crops such as taro, yam and coconut trees. These crops help as windbreakers and provide shade which prevents moisture loss. Kava has a five-year cropping cycle. There are more than 200 kava plant varieties. In Fiji, 10 varieties of kava are planted compared to 82 varieties of kava in Vanuatu. There are different names for the kava varieties in the various places where they are planted. Some of the Fiji kava varieties include: i. Matakaro, ii. Damu Gona vula, iii. Dokobana vula, iv. Qila balavu, v. Dokobana loa, vi. Vula kasabalavu, vii. Loa kasa leka, viii. Kabra, ix. Loa, x. Vula kasa leka Fiji kava varieties are considered as “noble” varieties that are preferred for human consumption. Fiji is the second largest producer and consumer of kava next to Vanuatu. The advantage of farming kava is that it is a high value cash crop, a non-perishable agricultural commodity and also it is not a seasonal crop that can be harvested at any time of the year. Kava was produced mainly by small farmers in small land holdings in Fiji and in the late 1980s about 94 per cent of the area of yaqona was under mataqali[clan]. There were 10, 471 32

kava farmers in 2016. The “great majority of Fiji’s kava farmers are i-Taukei (indigenous) un-mechanised small holders, farming less than one hectare of mataqali land.” Most kava is grown using a combination of family and hired labour. Kava Production During this period, kava production in Fiji had reached its highest level in 2001 with a production level of 4,575 tonnes which then declined to the lowest level of 1,700 tonnes in 2006 (Fiji Bureau of Statistics, 2012). The production maintained 4,000 tonnes level in 2002 and thereafter, declined until 2006 and again in 2007, the production level jumped up to 3,350 tonnes and thereafter the production grew unprecedentedly. Between 4,000-4,500 tonnes of dry weight kava is estimated to be produced annually in Fiji. The annual average production of kava in Fiji was nearly 3,900 tonnes between 2007 and 2016 (Fiji Bureau of Statistics, 2017) for a sub-clan, the exogamous social unit in Fiji which is recognized as the primary land-owning unit. Kava production varies depending on seasonal weather conditions. Occurrence of extreme climate change events such as drought and cyclone affect the kava production in Fiji significantly. Traditionally, the Northern division is the largest yaqona producing area, accounting for over 60 per cent of area and production in Fiji, followed by the Central and Eastern divisions. The yield of kava varied between two to three tonnes per hectare in various divisions in Fiji, the Northern division with the highest yield per hectare. Kava is grown in remote rural areas, mostly in outer islands. Moala kava from Moala Island in the Lau archipelago is a popular type in the urban market in Fiji. Other yaqona producing islands are Koro, Ovalau, Gau in the Eastern division and Taveuni in Northern division. Cakoudrove province was the leading area in kava production in Fiji in 2016 followed by Kadavu, Lomaiviti, Bua, Naitasiri, and Macuata. Of the total of 10,471 kava farmers in 2016 in Fiji, nearly 72 per cent of the farmers were located in these six provinces. There were 218 female kava growers in 2016, accounting for about 2 percent of the total kava growers in Fiji. The proportions of female growers were slightly higher in Namosi, Serua, Ra and Macuata, varying between 3.5 -4 per cent. In 33

Kadavu, over 80 per cent of all households grew kava compared to Cakaudrove, Lomaiviti and Bua where the proportion of households growing kava varied between 35 to 42 per cent. Kava Processing The raw kava roots are washed, converted into chips, dried in the sun and grinded into powder form. There are two kava processing factories in Fiji, located at Ovalau and Veisari near Suva. Pounding and grinding machines are used for processing kava for beverage and pharmaceutical uses. Kava is processed and marketed in different forms such as chips, powder, tablets and capsules. Fiji kava root powder is available in zip-lock foil pack as well. Kava Trade Fiji kava has an expanding market at different levels: rural, urban, regional and global. A large proportion of kava produced is, however, domestically consumed and traded in domestic markets in Fiji. Of the estimated 4,000-4,500 tonnes dry weight kava produced in Fiji annually, between 3,300- 3,700 tonnes dry weight kava, that is, over 82 per cent is consumed in the domestic sector. The shrinkage, wastage and losses of kava are between 600-650 tonnes dry weight which is nearly 15 percent of total kava production. Only about 3 to 4 per cent of kava produced in Fiji was exported to global markets in 2016 and 2017. Most of the kava is sold to domestic consumers through vendors in the municipal and Bua where the proportion of households growing kava varied between 35 to 42 per cent. A large volume of kava supplies come to towns and cities in Fiji mainly from the islands in the Northern and Eastern provinces. Much of the demand for traded kava in Fiji is in the urban areas such as Suva, Nausori, Lautoka, Nadi, Sigatoka in Viti Levu and Labasa in Vanua Levu. Most of the kava sold in the local markets are dried kava. It was found in a study that kava was a common household consumption product in Fiji and it ranked the third highest expenditure in urban households next to food and transport. Kava roots are sold in various forms. Small lateral roots, termed waka, are the most common part of the plant that are used and sold in urban markets. 34

The dried rootstock is known as lewena. Each part and product of the yaqona crop has a different price. Dried kava roots (waka) can cost at a local urban market in Fiji for F$100-150.per kg; dried rhizome (lewena) costs between F$80-120 per kg. Kava is also sold in the form of tea, capsule, powder or liquid. The pounded powder of waka costs F$80-100 per kg whereas the pounded powder of lewena costs between F$ 70-80 per kg. Fiji diaspora communities living abroad play a crucial role in promoting kava exports. Prior to pharmaceutical companies’ demands, kava was mainly exported for consumption by some 1.25 million Pacific Islanders settled abroad mainly in the USA, Australia, New Zealand and Canada. According to the 2016 Census, nearly 61,473 Fiji-born people were living in Australia. Similarly, 52,755 Fiji-born people were living in New Zealand in 2013. Fijian diaspora population accounted for 5.3 per cent of the total overseas-born population living in New Zealand (Government of New Zealand, 2013). Fiji’s emigrant population has created a market for kava export, especially in Australia and New Zealand. Fijian yaqona is more readily available in New Zealand than other types of kava. Kava Export Kava is one of the chief export commodities in Fiji next to sugar, garments, gold, fish and mineral water. Fiji did not become a net exporter of kava until the 1980s and exports did not take off substantially until the 1990s. By 1998, a large increase in demand for kava for pharmaceutical use had led to a dramatic rise in its price. Because of the sudden surge in demand in the pharmaceutical industry, the farmers uprooted as much kava as they could, compromising the sustainability of the industry Fiji’s kava business created three market fields: pharmaceutical (drug), nutraceutical (nutritional supplement) and beverage. In 2011, about 12 per cent of kava produced in Fiji was exported which declined to nearly 3 per cent in 2017. The annual average volume of kava export from Fiji was 226 tonnes during 2007- 2017. The Fiji Government’s export-led and import substitution policy had a significant impact on the kava trade. 35 kava exporters registered with Ministry of Agriculture (MOA) are exporting kava to various destinations. Fiji’s export volume had increased steadily from 137 tonnes in 2013 to nearly 311 tonnes in 2017. That was a 126 per cent growth in export 35

volume, while the export value increased by 98 per cent during this period. Fiji witnessed the second “kava boom” in the last five years mainly due to increasing kava prices and growing demands for Fiji kava in the Pacific region and globally. The niche market demand for Fiji’s kava is mainly in the form of processed roots and for beverages and pharmaceutical uses. In contrast, the kava import volume declined by 62 per cent during this period. The export value 11 large increase in demand for kava for pharmaceutical use had led to a dramatic rise in its price. Because of the sudden surge in demand in the pharmaceutical industry, the farmers uprooted as much kava as they could, compromising the sustainability of the industry. The kava export volume had reached its peak in 2011 with 295 tonnes, an increase of about 21 per cent from the previous year. The Fiji Government’s export-led and import substitution policy had a significant impact on the kava trade. Among the Pacific Island countries, Marshall Islands, Nauru and Tonga were the leading importers of Fiji Kava in 2017 (Fiji Bureau of Statistics, 2018). Outside the Pacific region, Fiji kava has a ‘niche’ market in six areas including New Zealand, USA, Hawaii, Australia, the United Kingdom and UAE (Fiji Bureau of Statistics, 2018). These countries together accounted for nearly 82 per cent of total export volume and 78 percent kava export value of Fiji kava in 2017 (Fiji Bureau of Statistics, 2018). Despite increasing yaqona production, Fiji remained a net importer of kava. The kava export earning has been increasing since 2012 and it had reached nearly F$ 20 million in 2017. The annual average export value was about F$8 million during 2007-2017 (Fiji Bureau of Statistics, 2018). Based on data from Fiji Bureau of Statistics, 2012 and 2018. New Zealand and the United States are the leading export markets of Fiji kava. New Zealand accounted for about 42 per cent of kava export volume followed by the USA in 2017 (37 per cent) (Fiji Bureau of Statistics, 2018). However, in terms of kava export value, USA was the leading country, contributing nearly 58 per cent of Fiji’s total export value in 2017 (Fiji Bureau of Statistics, 2018). The average 36

export price was F$55 /kg during 2007-2016 with the USA export price value reaching an average of F$97/kg. Kava Import Due to fluctuations in kava production, Fiji has been a net importer of kava since 2002 with Vanuatu being the key market (The Fiji Times, 4 May 2012). Fiji imported about 328 tonnes of yaqona in 2013 with a negative net traded value of – F$ 0.06 million. There was about a 30 per cent growth in imported kava in 2016 compared to the previous year, with an annual average volume of kava import of 192 tonnes during 2007-2017.The annual average import value of kava was F$5 million between 2007 and 2017. Fiji imported nearly 124 tonnes of yaqona in 2017. Vanuatu accounted for about 82 per cent of the total volume of Fiji’s imported kava and 91 per cent of total imported value in 2017. Papua New Guinea remained the second leading importer of Fiji kava during the period. The other countries from where Fiji imported minor quantities of its yaqona are USA, Singapore and Chile. Some of the imported kava was re-exported. New Zealand and the United States are the leading export markets of Fiji kava. Role of Kava in Fiji Kava has a distinct social, cultural, economic, developmental, environmental and political role in Fiji. The following section provides a brief description of the role of kava in Fiji. Social and Cultural Role Kava is a widely accepted ceremonial and/or social drink in Fiji. Kava promotes social networking and bonding, and provides a social safety net and thus has a critical role in promoting ‘social capital’. It promotes friendship, and sharing and caring for one another and has a social protection role. It thus facilitates an informal social protection system in Fiji. Kava has, therefore, distinct human and social values in Fiji. Traditionally, kava was used in religious rites and rituals and was consumed by chiefs. Yaqona rituals are the same in every part of Fiji. Kava used to be consumed by indigenous Fijians only but over the years, it has acquired a status of national drink consumed by all races throughout Fiji. Additionally, informal kava sessions often happen at social occasions in Fiji. Kava thus forms an integral part of cultural, economic and social life in Fiji. As a cultural beverage, kava 37

consumption is regulated by village elders and chiefs. It is used in “events such as electing a new chief, marriage and death ceremonies, and important meetings of traditional institutions.” Kava is used in almost all social activities such as funerals, weddings, festivals, family and village functions. It enhances sociability. It is observed that kava is used as “Fijian ceremonial rituals, an item of exchange as a means of strengthening social ties, a beverage to affirm social ranks, and a communal activity to facilitate communication and camaraderie”. Another cultural implication that has emerged over the years is the consumption of kava by both genders. Prior to the commoditization of kava, it was largely consumed by men in a male-dominated environment -such as in the bures- in the presence of one noted that “formerly, though women had a role in the preparation and formal presentation of kava, it was consumed mainly by Fijian men; however, that is changing”. Kava is believed to promote to a great extent the cultural integration in Fiji. It bridges cultural differences between individuals and groups and brings them together. Talanoa session is an important cultural element in Fijian society where people sit together and discuss their problems and resolve conflicts. Kava is an important element of talanoa sessions and it helps in breaking down social barriers and resolving interpersonal or intergroup conflicts. In an island setting with limited recreational opportunities, kava drinking has various social and cultural implications. There are numerous social ills associated with kava consumption. Kava drinking sessions preoccupy individuals and groups for long period during night. As a result, this preoccupation affects inter-personal relations and at times, it leads to breaking of family ties. Kava drinking is also directly or indirectly associated with domestic violence and social crimes in Fiji. Furthermore, kava consumption has an adverse impact on educational development as well. A study shows that in Fiji “one third of rural teachers consume yaqona for an average of six hours on nights prior to teaching in the classroom, and this negatively affects education delivery and student academic achievement.” 38

Economic and Developmental Role Kava is an important cash crop in Fiji and involves agri-business. Kava gives greater economic returns than other crops such as cassava and taro. It is an important business product and is also one of the export products that generate substantial foreign exchange in Fiji. The total gross income from kava sales is about F$320 million, of which 92 per cent comes from domestic sales and 8 per cent from exports. The Fiji kava industry is valued at around FJ$66 million per year benefiting over 21,000 kava farms (Fiji Sun, 8 March 2017). Kava industry enhances entrepreneurship, provides employment and creates a “niche” market. Kava business involves almost all major economic sectors in Fiji: agriculture, industry and service sectors for its growth and promotion. Economic sectors such as agriculture, tourism, and transport are heavily involved in the kava business. Kava business includes retailing and trading, thus is a tertiary economic sector activity as well. Thus, kava is a primary, secondary and tertiary sector activity in Fiji. The kava value chain includes farmers, traders, vendors and exporters. Kava provides livelihoods to small rural farmers and retail traders. Nearly 44 per cent of Fiji’s population now lives in rural areas. One in 8 rural households is a kava grower in Fiji and in some provinces such as Kadavu [where I came from], over 80 per cent of all households grow kava. Kava farming helps rural households through income-generation and clearly has a role in poverty alleviation in Fiji. The business generates household income and supports children’s education, and transport. Kava business brings the village youth more money and creates the employment prospects better. Kava industry has a large employment potential and the industry provides employment to a large number of people in the informal sector. Kava remains a major source of income and livelihood to the rural farmers in Fiji. Rural communities are connected to global markets through this niche product. Fiji kava promotes the tourism sector as well. Tourists are attracted to kava sessions and enjoy kava drinking with the local populace. They participate in traditional Fiji kava ceremonies as well. Kava tourism is a significant revenue generator in Vanuatu. 39

Medicinal Role/ Health Implications The health implications of kava have been heavily researched. Most of the research to date has focused on kava’s potential to reduce anxiety. Kava is an intoxicating product. Many argue that kava has several health benefits. Kava is an anxiolytic herbal medicine used in the treatment of sleep and anxiety disorders. Kava’s biological effects is due to the presence of kava lactones which are reported to include sedative, anxiolytic, anti-stress, analgesic, local anaesthetic, anticonvulsant and neuroprotective properties. Kava consumption induces relaxation and sleepiness. Traditionally, kava has been used to treat gout, rheumatism, diarrhoea, asthma, venereal diseases and convulsive disorders. Folk medicine suggests that kava also may “treat sleeplessness and tension/anxiety, headaches, colds, rheumatism, menopausal symptoms, venereal diseases, menstrual and genitourinary tract problems.” Kava has considerable potential as a source of pharmaceutical compounds. Western medical industries have identified kava’s effects as narcotic, hypnotic, diuretic and muscle -relaxant. Kava roots contain kava lactones which are used for treatment for people with anxiety and stress disorder. Kava’s “lactones act as anaesthetics and muscle-relaxants.” Pharmaceutical capsules containing kava root extracts treat nervous tension and sleeplessness and promote muscular relaxation. Kava is also used as an effective antibiotic to control minor skin infections. However, overconsumption of kava is hazardous to health. Kava is considered as a drug, so abuse and excessive consumption of kava has many detrimental health effects such as elevated cholesterol and decreased albumin level. With other pharmaceuticals, kava may raise the risk of toxic hepatitis. Kava has been seen to decrease glutathione in the liver and liver toxicity is greatly enhanced under this condition. Interaction between kava and alcohol has important clinical consequences, such as increased central nervous system depression. Whether this combination leads to liver damage are conflicting views. 40

Environmental Role Kava has various environmental implications. Kava crops promote conservation of soil and environment as the roots bind the soil and prevent soil erosion and land degradation. It is found that kava cultivation does little damage to the environment. Kava has very limited nutrient requirements; its main requirements are a lot of water and space and it grows in the wild, bushes, forests, on hill slopes and even on infertile soils. When kava is inter-cropped, it helps to minimise environmental impacts. Kava is “highly environmentally sustainable because of its relatively low demand on soil ecosystems and the great possibilities for rotational production. However, prevention of soil erosion along hill sloping land, soil fertility and sustainable land management are important issues. Pesticides and herbicides are used minimally in kava production; therefore, kava is largely an organic and environment-friendly product. Niche production potential of kava increases especially if it is certified as an organic product. Political Role Kava is a product that is used in private and public spheres in Fiji. The kava ceremony in formal functions is a political affair, with individuals being served with kava according to their ranks. Kava in talanoa sessions acts as a platform for decision-making and helps in resolving social, cultural and political differences. Kava trading becomes an element in international and regional politics. Kava trading involves bilateral external relations between Fiji and Pacific island states and other countries. The Pacific kava ban by European countries led to intense competition at the regional scale during 2004-2005. Vanuatu kava, for example, created competition for Fiji kava. Trade liberalization between Vanuatu and Fiji led them to protect their value-laden niche products. When the international demand for Fiji kava dropped, farmers had enough supply in the local market to meet the demand. The competition coupled with the belief that Vanuatu kava had various health implications led Fiji to ban Vanuatu kava. As a consequence, Vanuatu banned the importation of Fiji’s biscuits. The kava-biscuit politics between Fiji and Vanuatu had strained the bilateral relations between the two countries. In the past, the ‘kava ban’ imposed by some European Union countries such as Germany on health 41

grounds had affected the export of Fiji kava. The German health agency known as Farm imposed a ban for fears over kava’s toxicity. However, the ban on kava exports to Germany was lifted in 2015, thus opening the German and other European Union markets for export of Fiji kava. The International Kava Executive Council (IKEC) focused on re-establishing the kava trade between the kava producing South Pacific Island States and the countries of the European Union. Young Kava Entrepreneurs Nawaikama Youth Group of Farmers This is a succession story. A milestone of achievement after three years of sacrifice, hardwork and teamwork. There are 95 registered farmers who form a cluster and have achieved something. They are involved in groups which have gone into an establishment of Farmers Cooperative and directly sells into local government and export. Upon achievement, planning are also on purchasing of vehicles, new housing and investments. Naitutu Youth Farmers Figure 1Naitutu Youth Farmers - Minister Inia Seruiratu Visit The Youths 42

The Youths of Naitutu started on this project in 2021 and are still on the process of waiting till 2024. Upon waiting they diverted or introduced innovative ideas by planting other root crops that can sell in the market to cater for everyday living. Root crops like taro, vegetables farming and others. Other trainings have been conducted from Ministry of Agriculture, other government stakeholders and NGOs. Business plans training was conducted from Fijian Holding Limited [an investment company in Fiji] for future endeavors of these young farmers. Government has intervened on providing farming material, kava plants worth $30,000.00 and Farm Road Access. Government of Fiji Intervention Farming Support Assistance The Farming Assistance Scheme (FAS) is an ongoing Government initiative to help ALTA farmers whose lease have expired or incoming farmers. The scheme is administered by the Land Resource Planning and Development Division of the Department of Agriculture. The Farming Assistance Scheme was introduced to financially assist the incoming landowner farmers who wish to take new farms from ex-ALTA tenants. In addition to that outgoing ex-ALTA tenants, who may wish to be resettled, purchase new farms or gain residential leases are also assisted. Both the incoming new tenants and outgoing tenants are to be treated fairly with the provision of an equal grant of $15,000 per farmer, to meet the development cost of the farm in the first year. The $15,000 is to assist farmers to pay their lease offered from the Native Land Trust Board (NLTB) and materials for the establishment of their new farming ventures. Quality Standard Farmers Training Training conducted to the Northern Division especially Bua Kava Farmers for quality standard Issues and Challenges Kava Consumption Kava consumption however, has both merits and demerits. Kava consumption raises several social-cultural issues and challenges. It has many educational, health and other socio-cultural ramifications. 43

Kava production The incidence of dieback disease is the single most challenge to kava growing in Fiji. Although kava is not susceptible to pests and diseases, kava dieback and root nematodes pose problems to kava farming. However, these diseases can be controlled through crop hygiene practices. Climate Change and Cyclones Climate change variability and natural disaster events such as increased temperature, water stress, droughts, cyclones and strong winds pose serious threats to kava farming. Tropical cyclone Winston in 2016 for instance, caused widespread damage to kava plantations, which lowered the supplies and increased kava prices. However, appropriate soil and water management and agricultural practices can minimise water stress and drought conditions, and other local climatic effects. Government Collateral Agreement Fiji adopts more export-led and import substitution growth strategies today and kava remains to be one of the niche products in the export-led growth strategies. Augmenting the kava production to meet the growing demand and improving kava quality to compete in the global market are, however, the major challenges. The Fiji Kava Council (FKC) worked closely with the Secretariat of the Pacific Community (SPC) to improve the quality of kava being planted in the country. Kava Processing Processing of quality kava in meeting the growing international demand is a major challenge. Another pertinent issue is that Fiji lacks a regulatory mechanism for kava business. The government controls of small and micro enterprises in Fiji through its taxation policies affect the kava business as well. Government Act There is thus a greater need for state legislation that would protect kava producers, middlemen, retailers, wholesalers, exporters and importers. The Kava Bill needs to be enacted as a Kava Act. The bill aims at establishing a Fiji Kava Council for the purpose of the regulation and the management of the kava industry and its related matters, to protect the interests of kava growers, processors, exporters and importers and to safeguard the export of Fiji brand kava. The Standing Committee on Natural Resources in its report on Kava Bill, 44

2016 stated that: The Kava Industry in Fiji is a major contributor to the national economy and the demand for kava has increased in both the local and overseas markets. Legal Framework Since kava is generating millions of dollars in the Fiji economy, there is a need for a proper legal framework to establish an authority that will manage, administer and assist the growth of the kava Industry in Fiji. Kava Export Market Kava quality and standard are of utmost importance to Pacific Island countries to fetch good prices and to capture the competitive world market. Various steps are being taken by a number of governments, industry groups and technical partners such as DFAT’s Pacific Horticultural and Agricultural Market Access Program (PHAMA) and SPC (Intra- ACP Agriculture Policy Program) to put in place quality standards, manuals, legislation and training to ensure that the kava industry has a strong base to produce consistent quality (SPC, 2018). The Pacific Horticultural and Agricultural Market Access (PHAMA) Program, an Australian and New Zealand-funded aid-for-trade Program launched in 2011, has partnered with governments in Fiji, Samoa and Vanuatu to develop national kava quality standards. PHAMA’s support for Fiji and Vanuatu’s kava industries has resulted in the protection of approximately F$26.5m of annual kava exports and 39,000 farm livelihoods. Fiji Kava Branding and Marketing The Fiji Government launched two key documents; the “Fiji Kava Standard” and “Fiji Kava Quality Manual” in March 2017 (SPC, 2018). The “Fiji Kava Standard” (2017) provides information along with other requirements to ensure that kava meets minimum safety standards that include moisture content (less than 12 per cent), age (at least 3 years), aroma (non-foul smell), ash (less than 6 per cent) and others (SPC, 2018). In addition, kava must comply with international CODEX standards. The “Fiji Kava Quality Manual” (2017) identifies the range of Fiji kava varieties, how they are distinguished and suggested agronomic methods for cultivation (SPC, 2018). 45

Transportation One of the major challenges is the transportation of kava from remote, outer islands and inaccessible hilly areas in the rural areas where it is washed and dried before being transported to the urban markets. Theft Kava theft, especially in Taveuni and other parts in Fiji is another concern. Other issues include economic problems such as low investment and inflation that influence the kava business in Fiji. Land Tenure Moreover, the land tenure complexities adversely affect the kava crop production and the supply of kava for trading in the domestic and global markets in a sustained way. Poor Soil Management Any Successful farmer will testify to the fact good soil guarantees a healthy beginning from planting to harvest. Therefore it is important farmers understand that farming in poor Soil is a recipe for failure & an invite to a number of complications. Many vegetables especially Cabbage, Capsicum, Lettuce, tomatoes, cucumbers, and the exotic types are heavy feeders and will require plenty of manure in order to grow as expected. As such, it is very important to conduct soil tests before planting anything. Poor Water Management Just as you need water to survive, Plants also need water in order to grow healthy. If you are inconsistent or are improperly watering your crop in a manner that may lead to crops not receiving enough water, your crop health will decrease or die. Therefore Irrigation is very important for vegetable farming, especially during the dry season. Vegetables are more healthy, and fresher during dry season if well irrigated. That is why dry-season vegetable farming is the best in terms of commercial purposes. Farmers that engage in farming this Season make 5 times the profit compared to the rainy season. It should be noted that vegetable farms are to be irrigated during the rainy season if there is a shortage in rainfall or drought. Keep in mind that vegetables need just the right amount of watering, over watering 46

may lead to fruits cracking or leaves dying. Make sure you make a pathway for water to flow out after heavy rain or irrigation. Planting too much is not correct Some farmers in a bid to manage space cluster crops in the farm where there should be enough space for plants to breathe and receive sunlight. Planting too many seeds/seedlings is a mistake in vegetable farming. Avoid it at all costs. Inadequate Spacing Give your plants enough space to breathe while you also use most of the space you have available. Non maintenance Culture Weeds and alien plants compete with crops for space, water, and soil nutrients. Failure to tackle such issues in the early days will lead to the weeds overgrowing and eventually covering your crops. It's understandable that most new vegetable farmers don’t know the actual time to weed the farm. Another bad mistake in vegetable farming is poor pest or insect management. Ignoring challenges Let's assume the leaves are becoming yellowish, you should be worried because it may be as a result of many things, such as; lack of a particular nutrient or too much water intake. Not harvesting on time Vegetable crops should be harvested on time, vegetables are harvested at different times depending on the crop. Harvesting cucumber starts from week 6, watermelon 75 days if delayed, the fruits will rot. Kava farmers after 4 years the branch will start to die out. 47