GOVERNMENT OF PAKISTAN

PLANNING COMMISSION
PC-1 FORM

1 Name of the Project Livestock and Access to Markets Project (LAMP)

The project focuses on the Rain irrigated area of western part of the Punjab
province, which is associated with the highest poverty incidence in the Punjab.
Specifically the project will be implemented in the following four districts
 Mianwali,
Location  Khushab,
2  Bhakkar and
 Layyah.
The project will be implemented in about 750 villages. Priority will be
given to those villages that
(i) Have potential for increasing production, and
(ii) Have surplus production but have limited access to markets.
Project location map and profile: Annexure-I
Authorities Responsible
i. Sponsoring International Fund for Agricultural Development (IFAD) and Govt. of the
Punjab.
ii. Execution
Livestock & Dairy Development Department, Punjab, Lahore with coordination
of Local Government and Community Development Department through PCU
of the Project.
3
iii. Operation
Director General (Extension), through its relevant directorates
and  Provincial Coordination Unit
Maintenance  Director Livestock and Dairy Development Barani Areas, Rawalpindi.
 All DLOs of the Project Area
 District and Sub District Coordination Units
iv. Federal Ministry of National Food Security and Research, Govt. of Pakistan, Islamabad
Ministry
The proposed project is in line with the Government of Punjab's Medium Term
Development Framework, in which the development of the livestock sector is
indicated as a key priority. The Government of Punjab places high priority on
Plan Provision developing the Livestock sector in the province. This project would support
4
the Government of Punjab in enhancing livestock productivity/production by
addressing the constraints that prevent the fulfillment of the livestock sector
potential. Particularly the project would support production increase and
access of livestock products to the market, and facilitate the linkages between
 smallholder producers and a wide range of private entrepreneurs along the
dairy and livestock value chains.

Total Cost of the project is 37,644 million USDor in PKR3.852863 billion based
on USD exchange rate of PKR 102.35 / USD1. The Punjab government share in
this total cost is approximately PKR319.7414million, while IFAD share is
approximately PKR3.3134789billion as per share %age is detailed below.
Agency Share in % US$ PKR

IFAD 86.0% 32,374,000 3,313,478,000

Total Cost and Budget GoPb 8.3% 3,124,000 319,741,400

5
allocation Beneficiaries 4.6% 1732000 177271100

TMA 1.1% 414,000 42,372,900

Total 100% 37,644,000 3,852,863,400

Detail cost estimates and budget provision are placed at Annexure-II.

6 Project Period 06 years (2013-14 to 2018-19)

The overall goal of the project is to contribute in rural growth rate and poverty
reduction in rural Punjab by;-
 112,500 households with increased livelihoods.
Project objectives and  50% increase in the net income of targeted households.
its relationship with  17% increase in livestock productivity
7
Sect-oral objectives  50% and 33% decrease in mortality rates of large ruminants
(cows/buffalos) and small ruminants respectively by the end
of the project.
The development objective is to augment the livelihoods of 112,500
poor households (equivalent to approximately 765,000 individuals) in the districts
of Mianwali, Khushab, Bhakkar and Layyah of rain fed areas of Punjab.
Although, with 19% of the population living below poverty line, Punjab is
the province having lowest poverty incidence in the country and still has the
Description,
largest number of poor in compare to other provinces. Punjab has the sturdiest
justification and
agriculture performance in the country. However, its dominance in the sector
8 technical
has not translated into solid rural poverty reduction. There are high poverty
parameters
enclaves in the southern and western districts of Punjab. The livestock sector
represents the largest agricultural commodity in Pakistan and accounts/
contributes 55.40% of agricultural GDP and 11.90 % of total GDP of the
Country. Livestock is a key element in the mixed farming system of
smallholders and has a high potential for growth and poverty alleviation in
Pakistan, particularly in Punjab. In Punjab about 30-40% of income in rural
areas is derived from livestock-related activities. The sector has the highest
potential to improve livelihood of landless men and women through income
generation activities i.e. assets creation and provision of technical trainings at
their door steps. Despite an enormous potential, the livestock sector has not
accomplished up to the mark and not developed/ grownup to its actual
strength due to a number of factors mentioned below:-
 Low productivity
 High mortality/disease prevalence
 Limited access to markets
 Weak policy, regulatory and institutional framework
 Weak private sector
With supported by the following crescendos:-
 Weak or inexistent livestock extension services
 Lack of control over breeding and lack of selection of breeding animals
by farmers prevents improvement in production and productivity and
the realization of the genetic potential of the traditional breeds;
 Due to time constraints, transportation facilities and the fear of lower
prices in the main market, farmers prefer to sell their animals and farm
produce in the villagesto village beoparies and butchers at a low price.
Therefore, small ruminant production is highly skewed in favor of the
middlemen and against the smallholder who often gets around 1/3rd
to half the final retail price
 Lack of trading attitude among small-scale producers. Most small
holders are still at subsistence level and do not have a vision for trade
in livestock. Also, many of those that have herds large enough to
permit off take for sale do not sell for socio-cultural reasons
 The difficulty in obtaining inputs such as concentrated feed, veterinary
medicines and good quality breeding stock limits trade in livestock
 Prevalence of contagious livestock diseases, especially
 Enterotoxaemia, PPR and CCP (for the last two vaccines are not
available in the project area)
 Lack of access to credit and other financial services for producers and
traders wishing to enter the livestock trade or for retailers and
wholesalers wishing to upgrade their installations
 Poor state of marketing infrastructure lacking basic services such as
toilets, access to water, sheds, business boots, etc. and facilities such
as holding, weighing and loading facilities
Low awareness level about livestock management and disease control
in livestock farmers
 No trend for value addition in meat and milk commodities
 Traditional farming system at village level etc.
The Government of Punjab has highest priority in its policy/program to
develop livestock sector in the province. This project would support the
Government of Punjab in enhancing livestock productivity by addressing the
constraints faced by this very important sector to get maximum outcome and
to enhance income of the poor. Particularly the project would support
production increase and access of livestock products to the market, and
facilitate the linkages between smallholder producers and a wide range of
private entrepreneurs along the dairy and livestock value chains. This would be
achieved by acting on two dimensions:
(i) Targeted area-specific interventions aiming to increase livestock
production/marketing in a specific targeted area by strengthening the
capacity of smallholders , local private service providers and
government institutions to deliver, livestock services; and
(ii) Broader policy and institutional support aiming to strengthen the
overall policy, regulatory, and institutional framework.
The project would be implemented in the districts of Mianwali,
Bhakkar, Layyah and Khushab for increasing income of small farmers through
enhanced productivity of livestock in relevance to local conditions. The districts
have been selected in view of:
(i) High incidence of poverty
9 Project Area (ii) Lack of donors interest in these districts
(iii) Large number of small holder women and men farmers
(iv) Potential to increase in livestock production and strengthening of
markets/market linkages
(v) Range of agro ecological zones from irrigated, to sandy and hilly
rain-fed areas which enables the project to test a range of small-
 holder centered farming interventions.
Inter-district allocation of resources would be fixed according to
population and poverty incidence. As Bhakkar and Layyah have a larger human
and livestock population with higher incidence of poverty as compared to
Mianwali and Khushab. The project would allocate sixty per (60%) cent of the
total targets equally for Layyah and Bhakkar and remaining forty per cent
(40%) would be allocated equally to Mianwali and Khushab Districts.
The project will be implemented in about 750 villages (out of the total 1,690
villages in four project districts, i.e. 44%). The project will effectively benefits to
112,500 (equivalent to approximately 765,000 individuals) small-holder
households directly which is roughly 20% of the total households in four
districts.
The targeted households, Villages and Union Councils will be selected
by following criteria which will be developed/finalized through a baseline
survey conducted by social mobilization partner/NGO which will be
selected/contracted through competitive process. In view of the higher
density of poor households in rain-fed areas, roughly two-thirds of the
targeted households will be identified in the rain-fed areas. The criteria for
selection of the priority union councils would be:
(i) Two thirds of the target households in the rain-fed, sandy and hilly
10 Target Groups areas along with incidence of poverty;
(ii) Physical contiguity to other target UCs.
(iii) Potential for production increases and marketing linkages.
The selection of union councils would be made by a committee with
representatives from the Provincial Coordination Unit, the District
Coordination Units and the organization selected for social mobilization
according to the specified criteria. The criteria for selection of villages within
the UC would be
(i) Incidence of poverty and percentage of small holder farmers
(ii) Willingness of women and men in the community to participate in
the project
(iii) Potential for increase in production and strengthening of market
linkages
(iv) Physical contiguity with participating villages.
 The project would work for cluster formation of villages in targeted UCs to
optimize the benefits of the project interventions. The social mobilization and
the Local Support Organizations will serve as the leading institutions in the
identification of the target villages / union councils with the selection
committees.
The project is designed around following three main components:
(1) Component 1 - Production Support.
This component aims to increase livestock production and productivity in
target areas by,
(i) Strengthening the capacity of targeted communities - including
vulnerable women - private sector players, and of the Livestock and
Dairy Development Department, and
(ii) Supporting the construction of small-scale, community-managed
infrastructure schemes aimed at enhancing livestock productivity.
The component would facilitate the engagement of the private sector for the
provision of technical assistance and capacity building activities, and the
provision of a number of other services. This component includes following
four sub-components:
(1.1) Community Capacity Building (Community Organizations)
(1.2) Community Infrastructure
(1.3) Capacity Building of Private Sector
(1.4) Capacity Building of L&DD (Livestock and Dairy Development
Project Components
11 Department)
S/Component Main Intervention Target Year of
implementa
tion
 Community 750 1-2 year
Organization
(CO)formation
 Livestock Farmers 600 1-5 years
Community Field School
(LFFS)
Capacity Building
 Assets Building for
12500 2-5 Years
Women ( Small
ruminants and
poultry packages)
 Field days 350 1-6 Years
 Exposure visits 3000 1-6 Years
 Water Solutions for 600 1-6 Years
Community
Livestock
Infrastructure
 Energy Solutions 525 1-6 Years
 for Livestock
 Housing Solutions 80 1-6 Years
for Livestock
 Training private 900 1-5 Years
service providers
certification
 Upgrading 75 1-5 Years
Capacity Building professional
of Private Sector qualification
 CLEWS selection
850 1-3 Years
and trainings
 Induction of DVM
fresh graduates 08 2-5 Years
 Technical LS 1-6 Years
Assistance to
review and refine
Capacity Building regulatory
of L&DD framework.
(Livestock and  Strengthening of LS 1-6Years
Revamping
Dairy
Performance
Development
Management
Department) System of L&DDD
 Refresher Trainings 30 2-6 year
 Hiring Veterinary 20 1-6 years
Staff
(2) Component2 - Marketing Support.
This component aims to enhance access to markets for livestock farmers for
sale of their produce (live animals and milk etc.). The component would
facilitate the farmers in establishment of linkages with the private sector for
the provision of inputs, capacity building activities and other services. This
component includes three sub-components:
(2.1) Strengthening Farmer Organizations
(2.2) Market Infrastructure and
(2.3) Market Information and Linkages.
Strengthening  Establishing Dairy 500 1-6 Years
Farmer Marketing Groups
(Community)  Establishing Goat 750 1-6 Years
Organizations Marketing Group
 Community Small
Ruminants Breeding 4 1-6 Years
Schemes
 Entrepreneurship 450 2-5 Years
trainings
 Market  Purchase of Chillers 100 1-5 Years
infrastructure  Up gradation of
Development Livestock markets 12 1-6 Years
 Equipment for
200 1-5 Years
Small Ruminants
Market  Provision of Market LS 1-6 Years
Information and Information
Linkages.  Pilot testing of eco LS 1-3 Years
financial system
LS 1-6 Years
 Facilitation of
linkages with
Private Sector.
(3) Component 3: Project Management.
Under this Component a Project Coordination Unit (PCU) will be established
and housed at Lahore. This component aims at supporting the project
coordination and technical responsibilities of the Project Coordination Unit. In
addition, a Special Financing Facility to support any activity that requires
additional support and/or expanding any promising/well performing activity
will be established under this component.
Provincial District Posting through
Manageme Management
Position
nt Unit Units (DMUs)
(PMU)
Project Coordinator 01 - Open competition
Deputy Project Coordinator 01 - Open competition

Directors 07 - Open competition

DLO - 4 (1x4) From existing staff

District Finance Managers - 4 (1x4) Open competition
DDLO - 12 (3x4) From existing staff
DVM (Women) - 08(2x4) Open competition

VAs - 12 (3x4) Open competition

This project will focus on smallholder rural livestock farmers landless or

having up to 5 acre irrigated or 12 acre rain-fed land and owning 1 to 5 large
Implementation
animals (cow & buffalo) or 1 to 15 small ruminants (sheep & goats). A two
12 Strategy
pronged geographical approach will be used to enhance livestock productivity
of smallholders and create market linkages for higher returns. In the arid zone
particular emphasis will be on increasing the livestock productivity enabling
the small farmers to improve household food security and sell the surplus for
income generation. Goats are key assets of small holders in arid areas and will
be particularly focused. In the irrigated areas the livestock owners are
relatively better off and could be ranked as productive smallholders. They will
be helped to improve productivity and linked to market for ensuring higher
returns of their farm produce and supported for further increase in livestock
productivity.
 The project will focus on both large and small ruminant
livestock and poultry using participatory approach with strong
inclusion of women as key player in livestock and poultry
management.
 Empowerment of beneficiaries, gender mainstreaming in all
activities, priority target of women and poor and enhancing
awareness of farmers will be cross cutting themes in project
approach and interventions.
 The delivery of support services to smallholders will be
designed based on Public-private partnership engaging L&DD,
NGOs, private para-vets and private sector engaged in dairy
and meat enterprise.
 Supply of input services to communities will seek effective
collaboration with Livestock and Dairy Development
department and other relevant public and private sectors
organizations.
 Formation of community organizations (CO) of smallholders
will play a meaningful role in uplifting the socio-economic
conditions of their members and their local communities and
will foster development through collective approach to solving
livestock problems
 Strategic investments in market information systems and
improving milk and meat markets infrastructure and linkages
will be a key in ensuring fair returns for the small holder
producers. In this, direct farmer linkages with the private
sector buyers and suppliers will be actively pursued.
Gender Mainstreaming
Gender will be mainstreamed into entire project approach and implementation
right from recruitment of staff for the PCU to the selection of beneficiaries for
the project interventions. In PCU recruitments, 30% quota will be fixed for
women staff in addition to any other women that qualify for recruitment on
open merit. A Director gender in PCU will be responsible for ensuring that all
project interventions are gender sensitive. In certain aspects, project activities
like Asset transfer will be solely targeted at women. Where social conditions
 do not permit, separate women based COs will be established. In CLEWs, 50%
of the seats will be reserved for women.
Component 1, Production Support:
Component Objectives and Indicators: The Production Support Component‘s
objective is to increase the production and productivity of the livestock in the
project area for improved incomes of the target population. Main
development indicators would be:
 Livestock extension workers from community and private
sector trained and operating for increasing awareness of male
and female farmers on improved farm practices
 Smallholder household have regular doorstep access to animal
health, AI and advisory services
 Vulnerable women have improved access to livestock asset
building
 Improved Livestock Department capacity for target animal
identification with production record database for providing
better livestock extension, health, and AI breeding services.
Implementing
 Improved regulatory framework to streamline farm to fork
Methodology
livestock product traceability
Component 1
Component Activities and Outputs: This component would have four sub-
Production Support
components which would include; (i) community capacity building; (ii)
Implementation
13 community infrastructure and (iii) capacity building of the Livestock
arrangements and
Department (iv) Capacity building of private sector.
Mechanisms are reflected
Sub-Component
in Project
Implementation Manual
1-1 Community Capacity Building:
A Social Mobilization Partner (SMP)and implementing partner for
(PIM) of the LAMP
FFS will be engaged on competitive basis to implement this sub-component
and its related community based activities under other sub-components. This
sub-component will include community organization/mobilization, awareness
sessions for the community on basic animal husbandry practices, organize
Livestock Farmer Field Schools (LFFS) in dairy, small ruminant and poultry
production, organize farmer field days, exchange visits and fairs and
competitions. The broad based Village Organizations which generally comprise
of a large number of households at the village level will be used as a forum to
introduce the project, ensure village willingness to participate, identify
participants in the farmer field schools, men and women for training as
Community Livestock Extension Workers (CLEWs),identification of women
recipients for the asset transfer, marketing groups for dairy and small
ruminants, identify community infrastructure needs and contribution, ensure
village participation in sessions organized to raise awareness about basic
animal husbandry practices, vaccination campaigns, disseminate information
about farmer fields days, livestock fairs and assist in facilitating the CLEWS and
private sector and provide support for the project. The concept of socio
economic uplift in the specific conditions of the target area will be
implemented through social mobilization entities in the perspective of socio
culture fabric. The social mobilization organizations will be selected on the
basis of their experience and expertise of working in the area similar to the
proposed target area of the project.
Asset Building: This sub-component will provide asset building support to
vulnerable women who are primarily responsible for the care of small
ruminants and rural poultry. The project will distribute goat and poultry
packages to vulnerable women to help enhancing their food security, provide
them a source of income and enable them to enhance their decision-making
power. The selected women will be given 2 goats and a buck (6250) for a
designated number or poultry packages for 6250 families, supported with
proper training. Fifteen thousand women will be assisted under this sub-
component. The activity will be linked with the initiatives of the L&DD
Department in the asset building and service delivery in vogue.
1-2 Community Infrastructure:
The community infrastructure sub-component will include schemes which
have a direct impact on enhancing livestock productivity, can be implemented
and managed by the community, have well defined operations and
maintenance arrangements which are within community capacity. The
schemes will be selected on a participatory demand driven basis by the
community groups. The community will be expected to contribute 20% of the
share for schemes of collective community use and 50% for those type of
schemes which benefits individual households. The social setup of the area for
community based interventions on cooperative basis in the heterogeneous
society will be addressed through active participation of the community
organizations and Local Support Organizations.The types of infrastructure
schemes that are envisaged could include
(a) Water solutions for livestock (water supply, water ponds) The project will
construct about 600 schemes (i.e. 150 water supply schemes, 200 water
conveyance efficiency schemes, 215 water ponds, and 35 water troughs at
household levels) will be financed with the objective of improving water
quality and availability for livestock, and increasing water availability for fodder
production.
(b) Energy solutions for livestock (bio-gas digesters, solar pumps) The Project
will implement about 525 innovative schemes under energy solutions for
livestock. These will include 300 traditional biogas digesters which are
relatively cheaper and 25 imported flexi biogas digesters as a pilot for
demonstrating efficient and increased output (biogas) against lesser input (cow
dung and labor) . In addition, about 200 solar powered water pumps will be
installed for demonstration and pilot testing particularly in off grid areas.
(c) Housing solutions for livestock (80 water troughs and sheds etc.)and(d)
Any other infrastructure identified by the beneficiaries that can potentially
contribute to livestock development and marketing. The final selection will be
made on the basis of a set of criteria ratified by Steering Committee. The
community will be expected to contribute 20% of the share in schemes which
are designed for collective community use and management and 50% for those
types of schemes which benefit individual households.
The project will implement 30 low-cost/indigenous materials based
livestock sheds and other low cost solutions which could easily be replicated by
other farmers.
1-3 Capacity Building of Private Sector:
The project will build the capacity of the private sector to provide artificial
Insemination, animal health care, vaccination and other livestock services. The
services of a Technical Service Provider like the University of Veterinary and
Animal Sciences (UVAS), Faisalabad Agriculture University, Bahaud-din Zakaria
University, etc. will be contracted by the project for assessment of service
provider’s capacity, certification, refresher training and any additional
technical training required. Those who qualify and have the level of knowledge
and skill required will be registered with the DLO and the community will also
be advised to use only those who have the requisite expertise. Through
support from the project, those who meet the basic educational requirements
will also be provided the opportunity to complete certificate and Livestock
Assistant Diploma level courses. The project will also provide an opportunity to
final year DVM students or new graduates to be placed in the project districts
as interns. The project will also organize field days, livestock fairs and
competition shows and exchange visits where smallholders and private sector
buyers and sellers could interact and establish direct links and learn from each
other.
In view of the limited capacity of rural women to access veterinary and
extension services, the project will train 850Community Livestock Extension
Workers (CLEWs) of which 70% will be women (the target is one female
extension worker per village) to ensure social inclusion in accessing good
quality service provision in the project area. Some CLEWs (30%) will be male in
order to enhance access to AI services, facilitate access to markets and
contacts with suppliers in urban centres. A Technical Service Provider will be
contracted by the Project to design and implement a training program for
CLEWs. They will be provided a starter kit with basic tools and medicines for
de-worming, vaccination and medicines which they will replenish from sales.
The CLEWs will be required to conduct house to house visits, facilitate the
access to services to DVMs and VAs services, maintain vaccination records,
conduct follow up visits and provide animal health and production extension
advice to both women and men farmers. The CLEWs will be linked with private
sector service providers and quality suppliers as well as the DLO office for
referral and back-up support and further supplies. The CLEWs will be paid a
small stipend during the project period for their support in coordinating and
monitoring project activities. They will be expected to recover the cost of
medicines and vaccines and charge a small fee for the services they supply to
the households from the outset thereby generating an income for them.
The project will also include funds to enable the technical training institution to
undertake practical field trials on farmer fields and demonstrations of animal
forage resilient to climate change and silage/hay making with consultation and
by involving Punjab Agriculture Department. The Technical institution will also
assess the potential for improving animal feeding through use of locally
available feed resources. The Project will also finance the development and
production of vaccines for Peste des Petits Ruminants (PPR) and Contagious
Caprine Pleuroneumonia (CCP) for small ruminants and making these vaccines
available for use in the project area. The selection of the private sector
institutions for capacity building will be linked with the work in the area similar
to target area and on the basis of socially acceptable approach based on need
assessment.
1-3 Capacity Building of L&DD (Livestock Department):
Policy and Regulatory Framework: This component will focus on two policy
areas (i) regulation of livestock markets and (ii) certification and regulation of
private animal health service providers. The Government has made a good
start in developing a Livestock Strategy. However, there is a need to put in
place a more strategic vision about the sector, the future role of Government
extension services and the role of the private sector. The project will provide
the opportunity to provide international expertise and venues to discuss some
of these fundamental issues and translate them into operational guidelines for
the department to test in the project districts. The impact of these two policy
areas and their scaling-up potential could be significant.
This sub-component is also aimed at addressing some of the critical constraints
faced by the livestock department such as strategic planning, limited mobility,
operational funds, equipment and limited travel allowance. While it is beyond
the scope of the project to address all the systemic issues that the Government
functionary faces, the project will try and address the more immediate needs
which will also serve to demonstrate how adoption of a strategic approach and
enabling the field staff helps to enhance their level of motivation and
performance. In support of this component, the Government has already
committed to providing a more rational deployment of its human resources at
the district level and to fill all existing vacancies of Veterinary Officers (VOs),
Veterinary Assistants (VAs) and Artificial Inseminator Technicians (AITs) in the
project districts. The field staff will also be provided any additional refresher
training with support for mobility which is identified as critical.
To facilitate this process, the PCU will hire 08 women Doctors of Veterinary
Medicine (DVMs) and 12 female Veterinary Assistants to provide a system of
regular training, serve as facilitator for LFFS, provide technical support to the
CLEWS as well as undertake some of the mainstream tasks assigned by the
department. The women DVMs and VAs will be attached to the NGO for the
project duration which will provide them transport and accommodation
facilities and facilitate their interaction in the field. The project will also provide
support to the female VAs. These women staff members will be facilitated, and
preferred to join the department on regular basis against future departmental
vacancies.
The District Livestock Officers (DLO) will have the primary responsibility for
preparing a strategic plan for the development of livestock in each district. The
DLO will be provided technical assistance to lead the process in implementing
the action plan. Such plan will be developed in full collaboration with the NGO,
Technical service provider and private sector partners. The DLO will utilize
LAMP‘s resources to develop an effective strategy and plan for animal
identification, disease surveillance and prevention including vaccination and
de-worming, breed improvement through AI services and small ruminant
community breeding schemes,
Procurement of key inputs, etc. With the combined resources of the LAMP,
L&DDD, the targets will be determined for DVMs, VOs/VAs, CLEWs and private
para-vets to ensure the reduction of animal morbidity and mortality, increased
production and breed improvement of registered / identified animals in target
areas, etc. Annual plans will be made which will be translated into quarterly
and monthly plans fixing benchmarks against which the project will be
monitored and evaluated. The project will provide key equipment to the
veterinary labs, hospitals and centers in the project area which will include
solar refrigerators, thermoses and boxes and liquid-nitrogen containers to
ensure that the cold chain link is maintained for vaccines and semen. The VAs
will also be provided with basic tools such as syringes, drenching guns, etc. The
project will provide a share of funds for lease- purchase of motorbikes, on the
same terms and principles adopted for provision of motorbikes as it was in
case of another foreign funded project of L&DD Department (SLSP). Such a
system has worked well in the past and appreciably enhanced the mobility of
Government staff.
The lack of adequate and good quality vaccines and de-worming medicines is
one of the most critical constraints in ensuring protection of animals against
disease. While the Government has a policy to supply these at subsidized rates,
in practice it does not have the resources to procure the quality and quantity
required. To ensure timely procurement and effective protection, IFAD and
District Governments will contribute to a fund which will ensure a sustainable
mechanism for supplying vaccines for the project districts. The regular supply
of vaccines will be under the direct responsibility of the District Livestock
Officer (DLO). The principle of cost recovery plus a small legitimate service
charge which will be used to replenish the supplies as well as pay a service fee
for vaccinating the animals or providing the de-worming services. This
incentive will be paid to the CLEWs, private para-vets or Government livestock
staff who participate in the vaccination campaigns. The fund established for
the supplies will be subject to annual audits as is the normal practice for funds
instituted by the Government for similar purposes. Similar revolving funds for
various activities have been in operation in Punjab and Khyber Pakhtunkhwa
and have proved to be a very effective mechanism for timely procurement in a
sustainable manner. In case, there is limited demand for the purchase of
vaccine at cost, the strategy will be reviewed by the Project Steering
Committee.
The project will provide funding for strengthening the monitoring and
evaluation system of L&DD Department in the project districts and at the
provincial level by providing IT equipment with animal registration /
identification database. The project will strengthen the capacity of the L&DD
Department. Semen Production Unit located in the project district of Bhakkar
by providing technical assistance, part of the capital costs for equipment to
enhance production of quality semen doses of Sahiwal and other local cattle
and buffalo breeds.
Component Institutional Responsibilities and Staffing: DCU will be overall
responsible for the planning and coordination of project activities in each
district. Social Mobilization partner will be responsible for the identification of
target UCs and villages, community organization, and community need
identification and plans as per project mandate. L&DD Department staff at
district and UC level will be responsible for all health coverage corresponding
to each field unit of social mobilization agency who will be responsible for
coordination and implementation of village level activities in target UCs in
collaboration with the social mobilization agency staff. At the UC level, all
targets UCs will have a VO, a Stock Assistant, and an AI technician. They will be
provided motorbikes on ―lease-own basis and necessary service delivery
equipment including cold-chain equipment. They will be given necessary
training to enable them to effectively deliver all production support and animal
health services at the village level. In addition to usual salaries, they will be
entitled to charge 10% of the sale proceeds of medicines, AI inputs and
vaccines provided from the District Revolving Fund.
Process: The starting point for this component is engagement of a Social
Mobilization partner (SMP) through a competitive process. This has to be an
upfront activity and need to be completed right before or at the start of the
project. SMP will do a baseline survey in all four districts to identify the priority
Union Council for project interventions as per project selection criteria. Within
these priority Union Councils the SMP will initiate dialogue with the priority
 target villages for establishment of COs. Once established, the SMP will assist
the COs in identifying the livestock related constraints in production and
productivity and in collaboration with livestock department staff develops a
plan of interventions as per project mandate and interventions. Revolving
funds will be established in parallel to provide finances for the purchase of
motorbikes for the livestock department staff and funding for the procurement
of vaccines and medicines. Equipment for the extension staff will be identified
and procured in bulk by PCU with collaboration of DCUs. The capacity building
of the L&DD Department will not be limited to the staff relevant to the
activities to be under taken in the target union councils while the training in
field of applied research institutions, vaccine production, artificial
insemination, policy formulation and project monitoring will also be the
integral part of the proposed work plans of the project.
Implementing Component 2, Marketing Support:
Methodology Component Objectives and Indicators: Main objective of the component is to
Component 2, improve the policy and regulatory framework and marketing infrastructure for
Marketing Support milk and meat products with a view to ensure higher incomes and returns for
(The amount allocated for the livestock farmers.
sub component (2) of Component Activities and Outputs: The Marketing Support Component will
Market support will be include three sub-components namely; (i) Strengthening farmer market
used when the LG&CD organizations (ii) market infrastructure and (iii) market information and
Department come up with linkages.
policy / implementation Sub-Component
strategy regarding cattle 2-1 Strengthening farmer (market) organizations:
markets in Punjab) The NGO recruited to strengthen community organizations will also be charged
Implementation with the task of identifying those village organizations in which the members
arrangements and are interested in organizing into dairy marketing groups or small ruminant
14 Mechanisms are reflected marketing groups. It is envisaged that 500 dairy marketing groups and 750
small ruminant village groups clustered in 40 marketing groups will be formed
in Project
during the project period. The NGO will be provided operating costs for
Implementation Manual organizing, mobilizing, training and monitoring these groups.
(PIM) of the LAMP About 250 men and 250 women members of the dairy and small ruminant
groups interested in entrepreneurial trainings will be identified by social
mobilization organization and trained and supported to undertake
entrepreneurship in veterinary supplies, feed and nutritional inputs and sale of
milk and milk products, etc.
The members of DMGs/Associations, Small Ruminant Marketing Groups
will be offered opportunities to participate in technical sessions on improved
animal husbandry practices including management practices, breeding and
feeding practices and marketing techniques.
The exchange visits of 3000 beneficiaries with 70% women to Farmer's
Milk Cooperatives under Plan Milk Value Chain Project Vehari, Livestock Farms,
livestock related activities, Field days with 40,000 expected participation
including 50% women, livestock fairs and competition shows with 10,000
 expected participation including 50% women for giving prizes to best animals
and progressive farmers will be arranged periodically to promote learning and
experience sharing for motivation of farmers.

Sub-Component
2-2 Market Infrastructure:
Parallel to development of a proper Cattle Markets Regulatory
Framework, project will assist the Tehsil Municipal Administration (TMA or its
successor) with technical and financial resources to upgrade the facilities of 12
local livestock markets on the basis of a blue-print agreed between L&DDD and
Local Government Department. Before funding can be provided, the PCU will
ensure that the TMA (a) owns the land on which the market is to be
*TMA means TMA or its established (b) Offers the land as its share of investment plus 50% share of civil
works cost (c) operate and maintain the markets as per agreed SOP and (d)
successor engage a Third Party to assess the performance of the market with respect to
smallholder farmer‘s access and animal welfare. The eligible infrastructure will
include cattle/small ruminant sheds, watering facilities, loading/unloading
ramps, washrooms, small office for management and veterinarian, weigh
bridge/scales etc. It is expected that such improvements will result in the
extension of the timing of market transaction from few hours in the morning
to the full day; in better conditions for market users; improved welfare of
livestock; increased opportunities for smallholder producers to access the
market, etc.
With a view to encourage smallholders to undertake collective marketing
of small ruminants for better bargaining power and enhanced incomes a
production package will be provided to the groups which could include
vaccinations, mineral supplements, weights and weighing scales, ramps, etc.

The Market infrastructure will also include 100 village based milk collection
centres which will include 75 chillers of 500 liters and 25 of 1000 liters capacity
and locally adapted technology such as the Qingqi milk chiller/cooling tanks
which can transport milk in a cost effective manner, milk testing equipment
and solar energy options for the cooling equipment. The provision of the
chillers has been shown to have an immediate impact in terms of reduction in
the spoilage of milk, increase in the price and improvement in the quality. The
small ruminant marketing groups will be provided some basic equipment
which could include weighing scales, small equipment, etc. The exact nature of
the support to be provided will be discussed with the participating households.
The size of the milk chiller will be as per the requirement of the beneficiaries
based on the financial business model, keeping in view the number of animal
in milk and the quantity of marketable milk available with individual household
and the cluster.
Sub-component:
2-3 Market information and Linkages:
The project will assist the smallholders establish link with private sector
entrepreneurs for sale of produce. Market information will be provided
through innovative delivery channels for the small holder farmer and some of
the pilot initiatives of the Livestock Department such as their experiment with
mobile technology for provision of extension messages and information on
markets will be scaled-up. Telenor/Tameer is in the process of developing an
eco-system through which they can share both information services and
financial services with their clients. The Financial Service Provider will be
procured through a competitive process or procured through the single source
modality if it emerges that no other service provider can offer these services.
These services will be offered to farmers wishing to subscribe to the services
using mobile technology.
The project will not provide a line of credit but will facilitate the engagement
of agencies to provide a range of financial services to the target group such as
savings, transfer payments and remittance services through the rapidly
growing network of branchless banking outlets of Easy paisa, UBL Omni, etc.
which can provide an opportunity for offering a range of savings and loan
products to the smallholder especially women‘s groups. Telenor/Tameer also
intends to expand the range of its services to include an agriculture produce
and input transaction service, agriculture insurance and microfinance loans
using the Easy paisa Agriculture Commodity Trading portal. The project will
pilot and facilitate the linkages of these innovative initiatives in the project
area and procure the services of private sector agencies for this purpose on a
competitive basis. The system will be linked with the integrated software of
the L&DD Department as per the compatibility. A budget for defraying the
initial establishment costs of the participating agency and a preliminary TORS
have been included in the design document.
Process: The villages with surplus milk production and potential for raising and
marketing of small ruminants will be helped by SMP to organize marketing
groups. 550 such groups will be organized in dairy marketing groups and
provide with milk chillers and training support for management. 840 marketing
groups will be organized for small ruminants. Both types of groups will be
helped by the project to link up with private sector marketing entities. The
livestock markets infrastructure would be planned and implemented in
collaboration with Tehsil Municipal Administration (TMA) of the respective
districts. The infrastructure interventions would be based on the already
agreed blue-print between L&DD and Local Government Departments,
updated where necessary. The selected TMA would be required to meet some
basic requirements prior to construction which would include; LG&CD‘s
willingness to reform current laws and regulations covering these markets,
land ownership of TMA for proposed livestock market and willingness to
contribute 50% of the total funds. A consultant will be engaged by PCU, in
 collaboration with LG&CD to prepare the detailed design, cost estimates/BOQs
and provide construction supervision services. The projects would be executed
either through a joint account mechanism whereby both partners would pool
their funds and all contracting and subsequent supervision would be
undertaken through a committee constituted for this purpose by L&DD and
Local Government Department or through a supplicate billing mechanism
whereby the consultant verified bills with be submitted in duplicate to PCU and
TMA, each being responsible for payment of its 50% share. The detailed
estimates would be prepared on the basis of latest ―Composite Schedule of
Rates released and updated quarterly by provincial government. The sub-
project proposal containing all the requisite information would be submitted
to the PCU for their review and approval.
Institutional Responsibilities and Staffing: Director Marketing at PCU will be
the overall focal point for all activities under this component. Infrastructure
development related activities will be overseen by the Director Engineering.
The four DDOs (Marketing) in DCUs will be responsible for the follow up and
oversight of marketing related activities at the district level. All markets related
policy and regulatory reform activities will be undertaken in close collaboration
with LG&CD at provincial level with requisite support from Law Department
and Finance Department. PSC shall ensure this collaboration. TMA‘s will be the
implementation partners as well as equal investors for cattle markets
upgrading and subsequent operations.
Component 3, Project Coordination and Management.
Component Objectives and Indicators: The component objective is to establish
a comprehensive project management structures to take care of project‘s
planning, coordination, implementation, M&E and financial management
requirements in an effective and efficient manner. Key performance indicators
are: establishment of all specified institutions in timely manner;
recruitment/deployment of qualified/competent staff at provincial, district and
Implementing subsidiary level in a timely manner; preparation and approval of annual and
Methodology quarterly plans as per specified timelines; establishment of a smooth financial
15 Component 3, management system including special project accounts in designated banks,
Project Coordination and timely drawl of IFAD and counterpart funds, effective accounting and reporting
Management system; engagement of a competent internal auditor; completion of annual
audits in specified timelines; and quarterly and annual reporting on
comprehensive formats within stipulated times.
Component Activities and Output: Main component activities and outputs
are: establishment of specified institutions at provincial, district and subsidiary
levels. These institutions and their responsibilities are:
Federal Level:
Economic Affairs Division (EAD) is the designated executing agency at Federal
level for all foreign development assistance. IFAD loan would be negotiated by
EAD together with the Ministry of Finance and Government of the Punjab
representative and the loan would be signed by EAD. Joint Secretary WB/IFAD
would be the designated focal person for all project related loan signing and
approval processes, coordination and periodic progress reviews at the federal
level.
Provincial Level:
Livestock and Dairy Development Department (L&DDD) will be the main
implementing agency for LAMP. Project implementation will follow a hybrid
model where by different project activities will be implemented through a mix
of public and private sector agencies coordinated by a Programme
Coordination Unit. The overall oversight for the programme and coordination
between various agencies will be provided by a Project Steering Committee
(PSC) duly notified by the provincial government. PSC would be headed by
Chairman P&D Board with Project Coordinator, LAMP as its Secretary. Chief
Agriculture, P&D would be provide the secretariat for the PSC and provide
support during meetings and follow-up action. PSC membership and TOR
would be indicated in the PIM.
PSC Membership: PSC will be headed by Chairman P&D Board, Punjab and
Programme Coordinator; LAMP will act as the secretary of PSC. As Secretary to
the board he will be responsible for drawing up agenda and working papers for
the PSC meetings, conduct of meetings and implementation of decisions taken
in the PSC meetings. Rest of PSC members will be:
- Secretary Finance
- Secretary L&DDD
- Secretary LG&CD
- Vice Chancellor, UVAS
- CEO, Social Mobilization Service Provider
- DCOs of the Four Districts
- District Officer LS&DD of Four Districts
Private Sector Members representing livestock farmer organizations and milk-
meat industry (the number of representatives of the private sector may be
increased as per need)

PSC TOR: PSC will be responsible for the following functions:

- Act as main decision making forum for all aspects of LAMP
project implementation including annual planning, budgeting,
financial management, procurement, recruitment (including
terms and conditions), progress reviews and accountability for
performance;
- Meeting at least twice a year, and more often if need be, for
 approval of Annual Work Plans and Budgets, comprehensive
mid-year progress review and an end of the year progress
review.
- Ensuring synergy between the project and other
externally/internally financed projects/programmes in the
programme area;
- Ensuring efficient use of project funded financial and
manpower resources;
- Providing supporting policy framework and guidelines to PCU
for efficient project implementation;
- Approving terms and conditions of the programme staff and
ensuring timely recruitment/appointment of specified
programme staff in line with specified criteria and phasing;
- Approving terms and conditions for any public-private
partnership proposals and agreements thereof;
- Approving terms and conditions for the engagement of social
mobilization service provider and any other NGO/private
sector service providers that may be needed in the course of
project implementation;
- Approving TOR and terms and conditions for the engagement
of technical assistance for policy and regulatory reform and
supporting L&DDD in implementation of identified reform
measures;
- Ensuring effective cooperation and coordination between the
PMU, the implementing agencies, district governments and
other development agencies and instilling a system of
accountability for performance and proper use of resources at
all levels; Approving any rewards or honoraria proposed by the
PCU for outstanding performance by any of the staff engaged
for project implementation;
- Ensuring timely provision of counterpart funds, in line with
project needs, appraisal projections and annual work plans.
A Project Executive Committee, headed by Secretary L&DDD, with Project
Coordinator and one representative each from P&D Board (not below the rank
of a Section Chief), Finance Department and Local Government Department
will be notified. The Committee will consider and decide on any emergent
Implementation
16 issue needing immediate decision that cannot wait the convening of PSC. All
Methodology (Contd)
matters decided by the PEC will be placed before the next immediate meeting
of PSC for endorsement/approval. The committee will also ensure synergy and
complementarily between LAMP activities and those of L&DDD‘s other adjunct
companies and projects like PLDDB and PAMCO.
- A Project Coordination Unit (PCU) would be established at the
provincial level within the L&DDD. PCU will be fully
autonomous in its functioning and once its annual work plan
and budget is approved by the PSC, the Project Coordinator
would have full financial and administrative authority to take
all necessary actions to give effect to the plan with due regard
to principles of economy, transparency and efficiency. Main
responsibilities of the PCU will be:
- - Operation and maintenance of loan and counterpart fund
accounts for management of project finances;
- -Preparing the consolidated annual work plans/budgets, based
on the PDR indicative phasing, and actual program progress
and annual plans submitted by the districts/implementing
agencies.
- - Submission of draft AWP&B to PSC in a timely manner for
approval and inclusion in the annual development plans and
budgets and allocation of counterpart funding.
- - Ensuring effective coordination of the project activities at all
levels through appropriate guidance, training and support to
all related agencies at district and sub-district levels.
- - Procurement of all loan funded standardized items (vehicles,
office, equipment, furniture to achieve economies of scale and
transparency), and authorization for procurement of
specialized equipment and services by the implementing
agencies, in line with the IFAD‘s revised in accordance with
Procurement Guidelines of PEPRA rules. Providing guidance
and approval for invitation of tenders and awarding of
contracts for procurements carried out by implementing
agencies/partners. Preparation of the quarterly work plans
inclusive of the Time Line activity scheduling and the budget
estimates.
- - Preparing TOR for the studies and consultancy/advisory
services including training, studies and research, procurement
of such services and supervision of the delivery of such
services.
- - Ensuring adequate liquidity in the special account and
subsidiary accounts at district level through timely submission
of withdrawal applications and timely release of funds to all
implementation levels on the basis of approved annual and
quarterly plans.
- - Establishing an effective results monitoring framework in
 accordance with IFAD guidelines.
- Ensuring that the project‘s financial management,
administration and M&E activities are carried out in the spirit
of the loan agreement and with due regard to the guidelines
given in the project documents.
- Maintaining project accounts in accordance with the
requirements of Government and IFAD and ensuring timely
annual audits and submission of reports to government and
IFAD.
- Preparation and submission of quarterly and annual progress
reports within indicated deadlines and establishing an internal
project reporting schedule and formats whereby progress
reports from implementing agencies are submitted on uniform
formats, with acceptable standard of content and within given
timeframes.
- Conducting annual lessons learning/sharing workshops with
the involvement of line departments, social mobilization
partner, community organizations and other government and
non-government agencies active in the target districts.

PCU Recruitments:
Project Coordinator position will be open to all civil service officers (PAS,PCS
and L&DD) in BS-19 and Deputy Project Coordinator will be from L&DD
Department/Livestock Sector having vast experience to work in foreign funded
Projects preferably IFAD funded, would be filled through a competitive process
by a Committee constituted by PSC. Final selection will be subject to
concurrence of IFAD. All livestock related technical positions will be filled by
the same committee through a competitive process from among the serving or
retired officers of the Livestock Department having 5 years working in line
Implementation
experience. The non-livestock specific positions like Director Infrastructure,
Methodology (Contd)
17 Director M&E, Director Gender and Director Finance and their direct
Provincial Coordination
subordinates will be open to both Public and Private sector candidates. Upon
Unit
selection, the public sector candidates will be entitled to a allowance specified
in project budgets whereas salary of private sector candidates will be
determined by Provincial Committee for the Review and Rationalization of
Salary Packages. The support staff will be recruited from the market on
contract. Once selected, all key staff will put in at least three years in the
project.
The PCU will consist of:
Designation Nos
Project Coordinator (BS-19) 1
 Deputy Project Coordinator(BS-18+) 1
Director Marketing & Private Sector (BS-18) 1
Director Extension & Production (BS-18) 1
Director Animal Health (BS-18) 1
Director Infrastructure (BS-18) 1
Director Monitoring & Evaluation (BS-18) 1
Director Gender and Poverty (BS-18) 1
Director Finance & Accounts (BS-18) 1
Admin Officer (BS-17) 1
Assistant Director M&E (BS-17) 2
Assistant Director Finance & Accounts (BS-17) 1
Assistant (BS-11) 5
Driver (BS-4) 6
Peon (BS-1) 2
Security Guard (BS-1) 2
Total 28

District Level
District Coordination Committee (DCC): PSC/provincial government will
notify a District Coordination Committee, headed by the District Coordination
Officer, in each of the four target districts. The DCC will be primarily a district
level coordination and trouble-shooting forum and will have no executive
authority as far as project management, finances and activities are concerned.
DCC meetings will be convened on need-basis as and when required by the
District Project Coordinator/DLO. Other members of the DCC will be EDO
Agriculture, EDO Local Government, DLO (as Secretary), concerned TMO in
case of issues related to livestock markets, District Treasury Officer, Assistant
Commissioners of the target Tehsils and district head of the social mobilization
service provider.
Implementation
District Coordination Units (DCUs): A District Coordination Unit (DCU) will
18 Methodology (Contd)
be established within each target district in the office of District Livestock
District and Field level
Officer (DLO) and the DLO will also be ex-officio District Coordinator for
implementation of project activities. In view of multifarious other
engagements of DLO, a full time District Finance Manager along with 02 DVMs,
03 VAs and a driver will be recruited in each Project District, to assist the DLO
in project activities. DCU will be the main implementation arm for all project
funded activities at the village level in close collaboration with the social
mobilization organization. All DCU positions will be manned by the regular staff
of DOL. However, prior to start of the project, a screening of incumbent staff
will be done and suitable staff for each position will be selected by a
committee headed by Secretary L&DDD, notified by PSC, on competitive basis.
All project designated staff in DCU will be eligible for a project allowance as
specified in the project budgets. The DCU composition and TOR are reflected in
 PIM.
Sub-District Level
The existing and program specified incremental staff, on the analogy of
Livestock Support Services Project (LSSP), in identified target 29 Union Councils
and Veterinary Hospitals/Dispensaries would be responsible for the
implementation of all L&DDD related activities in close coordination with social
mobilization agency through community organizations. District Livestock
Officer/District Project Coordinator would be responsible for their deployment
and performance. The Veterinary Officer in the target Union Council would be
overall responsible for coordination of all planned activities in the target
villages within the Union Council and for effective interface with the social
mobilization agency in need identification, village planning, para-vet selection
and delivery of project inputs. APVO in each cluster of UCs within a Tehsil will
be designated by DMU as Coordinator for all program inputs in the Tehsil.
Proposed Districtwise UCs
Districts Households Estimated UCs

Bhakkar 37,500 7-10

Layyah 37,500 7-10

Khushab 18,750 5-7

Mianwali 18,750 5-7

Total 112,500 24 -34

Social Mobilization and other Service Providers:

A social mobilization and other service providers will be contracted on
competitive basis to assist in the project‘s social mobilization needs and
implementation of community organization level activities. TOR and criteria for
the selection of service providers are given in PIM The service provider will
notify a district office in each of the four districts headed by a District Program
Manager (DPM) who will be the focal person for interface with the DMU. The
DPM will also be a member of the District Coordination Committee. The CEO of
the service provider will be member of the PSC. Funding for the social
Other Implementing
mobilization activities will be released by PCU in terms of the agreement
19 Partners and Agencies
signed with the service provider and annual targets. The service provider will
be required to establish accounting and reporting systems as specified in the
service provision agreement. Funding for the annual approved planned
activities will be provided in quarterly installments and next quarter
installment will be released on submission of previous quarter financial and
physical progress reports to the PCU.
Veterinary Universities and Faculties:
Veterinary Universities and Faculties in Punjab will be the key partners for all
fodder, feed and management related pilots and research as well for the
training and capacity building activities financed by the project. The
 Universities will be engaged on competitive basis against clearly defined
tasks/TOR and output indicators. Local Government & Community
Development Department (LG&CD): LG&CD will be the partner department for
reform of cattle market regulations and upgrading of 12 cattle markets in the
project area. Secretary LG&CD will be a member of the project steering
committee. LG&CD will designate as a focal person to work with the PCU,
L&DD and consultants on reform of market operations and regulations.
Implementation framework for the contracting and construction work for the
cattle markets will also be agreed between LG&CD and LS&DD/PCU.
Tehsil Municipal Administrations (TMAs):
For cattle market related interventions, the TMAs will be the implementation
partner of PCU. TMAs will be responsible for making available the required
land for the market, provision of 50% share of the construction/upgrading
budget and development a joint execution mechanism (facilitated by LG&CD)
for the identified works and will also be responsible for the management and
maintenance of upgraded markets as per new reformed regulations.
Community Organizations (COs): All village/farmer level project
interventions will be implemented through active involvement of community
organizations established in each target village. CO formation, mobilization and
organizational structure/process will follow the already well-established
process developed by RSPs/NGOs. These COs will primarily be women-
centered. A CO level need assessment for livestock development will inform
the plan of interventions in each CO, articulating the mutual responsibilities
between the CO and project. COs will be required to contribute in cash or kind
20% of all community based infrastructure and 50% of all household based
investments. All decisions about project interventions in any village will be
made in CO meetings, preferably with consensus and, if need be, majority
vote.
The M&E system will be a key management tool for the project and will serve
the primary purpose of providing data and feedback to improve the
effectiveness, efficiency, sustainability, relevance and impact of project
activities. The overall responsibility for the M&E activities will lie with
PCU/DCUs who will be responsible for collecting and analyzing the data
Monitoring & Evaluation gathered from all units and implementing partners/service providers on the
20 Mechanism. basis of agreed reporting format and timing. All indicators will be
disaggregated according to gender and socio-economic status to the extent
possible so as to enable a proper assessment as to whether the project is
reaching its intended target beneficiaries, poor households, smallholders,
women and vulnerable groups. The salient elements of the M&E system are
reported below:
The M&E system is expected to provide data on the following basis:
 (i) Output Monitoring; focusing on physical and financial inputs, activities
and outputs; (ii) outcome monitoring; assessing the use of outputs and
measuring benefits; and (iii) impact assessment; assessing impact for target
groups in comparison with objectives. The system will be participatory,
decentralized, and RIMS-compliant97; and all data, analysis and reporting will
be segregated by gender.
(ii) Progress Monitoring: Progress monitoring will focus on the financial
and physical performance of the project. Performance indicators will be
developed in close consultation with the stakeholders during the start-up of
the project using the performance indicators and their means of verification
proposed in the project log frame. The information gathered in progress
monitoring will feed into the annual and semi-annual progress reports.
(iii)Impact Monitoring: Impact monitoring will focus on the outcome and
impact level indicators specified in the project log-frame. Surveys will be
undertaken at critical times during the project to measure changes in these
indicators. Various methods of impact monitoring will be used including
participatory impact assessment as an annual exercise to review activities and
plans by beneficiaries and record any change achieved, whether positive or
negative, in the lives of the beneficiaries due to project interventions.
(iv)Baseline Survey: A baseline survey will be conducted in the areas
where the project will be expected to operate before project start-up in order
to assess the physical and socio-economic status of the area and its inhabitants
in order to define their baseline status before the implementation of project
activities. This will enable the impact of the project to be measured at a later
stage by comparison to the baseline. Comparison with a control group will also
be undertaken to identify and isolate project specific impact.
The project total baseline cost as USD 37.644 million (Rs3.8528634
Project Cost and
21 Billion)
Financing
Detail is shown in Annexure-II

Annual operating and

maintenance cost after
22 Detail is mentioned in Annexurre-II
completion of the
Project
 For the said purpose, a PIM shall be developed and adopted to ensure
compliance of IFAD disbursement, procurement and other requirements, as
well as for capturing international best practices as far as practicable. PIM will
Financial Management require compliance of all GoPb as well as IFAD regulations relating to financial
and mode of management, accounting and reporting, disbursements and internal and
24 external audits. In cases of contradiction between GoPb and IFAD regulations,
disbursement
IFAD regulations shall take precedence to the extent of such conflict/
contradiction.
Detail of financial management and disbursement arrangements are
attached at Annexure-V
 The Project has 3 components; (i) Production Support, (ii) Marketing Support,
and (iii) Project Management. The third component is for successful
implementation of other 2 components for which the Financial/ Economic
analyses is carried out. Under each of the project components, there are
significant opportunities to either lead or capitalize upon possible benefits. The
analysis results indicate that a beneficiary household given a direct asset
creation grant or Productivity/ Marketing Support can increase their annual
income. The Financial Rate of Return (FRR) for the project is calculated as
26.8% and the Economic rate of Return is calculated as 25.1%.
Approximately 112,500 poor households (equivalent to approximately 765,000
individuals) are estimated to be benefited from the project (cost/beneficiary
ratio: US$ 363/household or US$ 53/person). The number of beneficiaries per
Project benefits and component is summarized in the table below. The number of beneficiaries
analysis pertains direct beneficiaries, net of possible double counting, without
25
considering any diffusion effect.
An economic and financial analysis has been carried out to assess the
economic and financial viability of the project, examine the impact of project
interventions on income, and assess whether there are sufficient financial
incentives for the targeted beneficiaries to participate in the project activities.
The results of the economic and financial analysis show that the overall project
Financial Rate of Return (FIRR) is 25.8% while the Economic Rate of Return
(EIRR) is 23.8%. The benefit-cost ratio for the project is 2.26 based on the
financial analysis and 2.1 based on the economic analysis. The Net Present
Value at a discount rate of 10% is US$ 45.1 million for financial while the Net
Present Value using the economic values is US$ 38.8 million. Given that a
major share of the project resources will be used for the production support
component, the NPV for this component is much higher than the market
support component.
Detail of activity wise beneficiaries along with gender %age is given below
Component/Su
b-component Activity No. of No. of No. of % women
beneficiaries beneficiaries beneficiaries beneficiary
(HHs) /Participants (women)
(individuals)
__
Smallholders trained in improved 56,250 28,125
50%
livestock practices
1.1 Community Participants in FFSs __
Capacity 15000 10,500 70%
Building __
Goat packages for vulnerable women 7500 7,500 100%
Poultry packages for vulnerable __
7500 7,500 100%
women
Water solutions 46,090 313,412 N/A __
1.2 Community 1600 __
Energy solutions 10880 N/A
Infrastructure
150 __
Housing solutions 1020 N/A
__ 10%
Para vets 900 90

1.3 Capacity __
CLEWs 1000 700
70%
Building of
Exchange visits __ 3000 2100 70%
Private Sector
__
Farmer Field Days 40000 20000 50%

Livestock fairs and competitions __ 10000 5000 50%

1.4 Capacity
Building of Vaccinations & deworming coverage 112,500 765,000 N/A __
L&DD
Breed improvement services 112,500 765,000 N/A __
Mineral supplements 56250 382500 N/A __

2.1 Dairy Marketing Groups 12,500 27200 42,500 50%

Strengthening
Farmer Small Ruminants Groups 4000 612,000 13,600 50%
Organizations

2.2 Market Livestock markets 90,000 51200 N/A __

Infrastructure Chillers 22,000 149600 N/A __

2.3 Market Access to information 20,000 136,000 68,000 50%

information &
linkages Access to financial services 5000 34000 17,000 50%

This project would support the Government of Punjab in enhancing livestock

productivity/production by supporting production and marketing access, and
facilitating the linkages with a wide range of private entrepreneurs along the
dairy and livestock value chains.. This would be achieved by acting on two
dimensions:
Social benefits with
26 (i) targeted area-specific interventions aiming at increasing livestock
indicators
production/marketing in a specific targeted area by strengthening the capacity
of smallholders to access, and the capacity of local private providers and
government institutions to deliver, livestock services;
(ii) Broader policy and institutional support aiming at strengthening the
overall policy, regulatory, and institutional framework.
 Economic and financial
27 Detail is attached as Annexurre-VI
analysis
The project is aligned with both IFAD Climate Change Strategy and
28 Environmental impact Environment and Natural Resource Management Policy. The project is
considered Category B as far as its environmental classification is concerned.
Punjab province having an enormous potential, the project delay will overlap
the livestock sector in managing poverty in target areas of Punjab due to a
number of factors which affect production, which include (i) low productivity;
(ii) high mortality/disease prevalence; (iii) limited access to markets; (iv) weak
policy, regulatory and institutional framework; and (v) weak private sector. The
Impact of delays on
cost of production having linkages with power generation and consumption will
29 project cost and
certainly increase the project cost if not implemented in time as indicated in project
viability description and reports by IFAD experts. The Government of Punjab places high
priority on developing the livestock sector in the province. This project would
support the Government of Punjab in enhancing livestock
productivity/production by addressing the constraints that prevent the
fulfillment of the livestock sector potential.
Implementation
30 schedule / Phases of Detail is attached as Annexurre-VII
activities
Physical, management
and market
infrastructure during
31 Detail is attached a s Annexurre-VIII
execution and
operational phases

Additional
projects/decisions /
policy and regulatory
framework required to
32 maximize socio- Detail is attached as Annexurre-IX
economic
benefits from the
proposed project

33 Logical Framework Annexure-X

Inclusion of Previous This project has been designed benefiting from numerous experiences
34 Lessons learned and lessons learnt from implementing a number of models, approaches, and
activities, both in Pakistan and internationally. These have been captured and
described in detail in the various Working Papers. Appendix-2 of Project
Completion Design Report provides a synthesis of the main lessons learnt from
the implementation of the IFAD country program in Pakistan. Below some of
the key lessons which have been incorporated in the design of this project:
(i) Greater attention to the livestock sector: the 2007 Country Program
Evaluation (CPE) of IFAD program in Pakistan observed that, despite its high
potential impact on rural poverty reduction and high investment returns,
livestock development had not received sufficient attention in the IFAD
program, and recommended greater focus should be given to this sector.
Consequently, a livestock project was included in the pipeline of projects to be
supported during the 2010-2014 COSOP period. Other recommendations of
the CPE that have been incorporated in the design of this project included: (i)
enhancing the marketability of rural products is critical to increase rural
income, and (ii) a better balance between on-farm and non-farm investments
in the rural sector should be pursued to ensure sustainable rural development.
(ii) Shift towards an increased role of the private sector in the
provision of livestock services: experience from several IFAD implemented
projects shows that the division of responsibilities between the public and
private sectors in the delivery of livestock services is shifting towards an
increased role for the private sector in direct service delivery. It has been
demonstrated that the private sector can play an important role in providing
animal health services, and that private service systems also have the potential
to serve poor livestock keepers. However, because conventional veterinary
services are not economically viable in marginal areas, it is necessary to
strengthen low cost systems. Community animal-health worker systems
represent an example of such systems. Preventive medicine and vaccine
systems can also be used in a community setting for the benefit of poor
livestock keepers.
(iii) Involvement of women is critical for the Development of the
Livestock sector: experience from several livestock development projects
shows that, considering the key role that women play in livestock keeping,
rearing, and management, it is essential to involve them. Efforts should be
made to secure women‘s access to and control of livestock assets. This would
in turn result in improved women income, influence and social empowerment.
The experience also shows that distribution of poultry and small ruminants to
vulnerable women has an immediate impact on household nutrition and helps
to build a sustainable asset base which provides a regular source of income.
 UMBRELLA
PC-I
LIVESTOCK AND ACCESS TO MARKETS
PROJECT (LAMP)
Cost in PKR 3.8528634 Billion
(US $ 37.644 Million)
6 Years (2013-14 to 2018-19)
Livestock and Dairy Development Department, Punjab, Lahore