1. Component 1: Strengthening Farmer and Producer Groups (US$1.08 million)

The objective of this component is to strengthen farmers’ and producers’ groups to better enable them to implement and sustain project interventions. It is designed to address one of the key constraints to improved agricultural productivity and socio-economic conditions of farmers – weak farmers’ groups that lack necessary and relevant skills, knowledge, practices, quality inputs and appropriate technologies. This component has three following sub-components viz. a)Farmer group strengthening and formation, b) Strengthening producer groups, c) Contributing to improved nutrition

2. Component 2: Enhancing Farmer Productivity (US$5.21 million)

The objective of this component is to improve agricultural productivity vital for improving food security and nutrition. The component will promote climate smart agriculture through productivity enhancement of rice, vegetables and potatoes for improved food security and nutrition. The productivity of key high value crops such as spices (specifically large cardamom and ginger), vegetables, and citrus will also be promoted for both local and export markets. The overall purpose is to expand cultivated areas, increase climate smart cropping intensity, and increase productivity and production for potential commercial surplus. The approach under this component is holistic and area-specific, providing an integrated package of interventions based on the relevant farming systems and specific crops appropriate to the priorities of the farmers, farming systems and overall production potential in the selected area.

Based on this approach, Component 2 will focus through three sub-components viz. a) Water use efficiency, b) Improved farm management and technical capacity building, and c) Improved agri-inputs and technologies – all aimed at improving productivity

3. Enhancing Access to Markets (US$1.0 million)

The component aims to promote value chains for select high value nutrient-rich crops and enhanced linkages to domestic and export markets. The primary focus will be to: (a) reduce postharvest losses, (b) strengthen nutrition sensitive value chains of selected crops; and (c) enhance producers’ knowledge, bargaining power, and access to agri-markets. It will include strengthening local producer-consumer linkages, and establishing productive relationships with public and private market players, school meal programs, and exporters. The overall commodity selection strategy will follow the ‘One Gewog Three Product (OGTP)’ approach of the MoAF that focuses on the top three commodities as per the current production scale. Component 3 include two sub-component viz. a)Post-harvest and market infrastructure support, b)Linkages to domestic and export markets

4. Project Management (US$0.71 million)

This Component will support all aspects of project management including: (a) management and coordination, (b) monitoring and evaluation, (c) technical assistance, and (d) a grievance redress system. The expected outcome of this component is an effective and transparent project management system. The main functions and activities will be to: (a) provide overall governance and direction to the project; (b) provide strategic, management, and operational guidance and support to project staff for achieving the PDO and expected outputs; (c) regularly monitor and analyze the overall and component specific quality and pace of implementation, ESMF compliance, budget and expenditures, and address any issues, bottlenecks, and gaps to ensure that progress in project implementation is on track; (d) conduct a capacity needs assessment of project staff and provide requisite knowledge, management skills, exposure visits, and specific thematic/technical training in a systematic manner; (e) establish a robust monitoring and evaluation (M&E) and reporting system, including baseline surveys, a mid-term assessment, and end of project evaluation; (f) establish a clear and effective mechanism for grievance redress, including a system for receiving, recording, and addressing complaints and using them for course corrections as required; (g) strengthen project communication and knowledge management as well as document, collate, and disseminate project experiences and learning; and (h)support reviews, studies, and policy analysis that would contribute to the country’s agriculture, food security, and nutrition policies and plans.