Posted by Helen Bradbury: Team Leader, Alliances Lesser Caucasus Programme
Rural farmers can only grow their income when they have access to the drugs and veterinary services to keep their animals healthy and growing too. Alliances has partnered with a national veterinary inputs supply company to improve access to drugs, information and vet services for poor farmers in rural Georgia. There are strong signs competitors are seeking to replicate the model, which is also scaling up nationally and in neighbouring countries.
The challenge
Over 2 million people in rural Georgia rely on subsistence farming, typically owning less than one hectare of land. SDC has been funding a series of programmes in Southern Georgia since 2008 to improve the livelihoods of livestock farmers.
During initial surveys, Alliances learned that less than 10 per cent of farmers were accessing veterinary drugs or services in their community, in rural vet pharmacies mainly self-stocked from trips to Tbilisi. Others bought drugs when travelling to the capital. In the rural vet pharmacies a limited range of often improperly stored drugs were sold at high prices due to the resultant transaction costs. Local advice was minimal, unavailable or out of date. This had led to a lack of farmer trust in local veterinary products and services and unwillingness to invest.
Suppliers had failed to grasp the market potential of developing rural distribution, lacking both the information and capital to do so. The uncertainty about whether farmers would buy their products meant the perceived risk held suppliers back from making the first move.
Delivering drugs and services to rural farmers
Alliances’ vision was for farmers to have access to a broad range of quality medicines at a competitive price with advice to go with it. The means to achieve this was for drug manufacturers to invest in improved distribution systems to pharmacies in towns and villages. This included setting up new village-based pharmacies and providing additional training for pharmacists so they could deal with common livestock illnesses and diseases, local veterinarians and farmers to develop the market. This improvement in access and service quality would improve productivity for farmers, increase sales for drug companies, and enable them to self-finance further growth and expansion.
Intervention development and learning
Alliances decided to partner with Roki Ltd. because it was working with more pharmacies than other manufacturers, Roki was also investing in local production of generic medicines of its own, producing 40 per cent of their medicines within Georgia, and provided some limited trainings for vets, pharmacists and farmers. Roki’s vision was aligned with Alliances: it felt that its future development depended on improved management of its distribution systems, customer relations and pharmacist capacity.
Most importantly, however, they were the right people. The chemistry was right, ideas flowed, and they had a strong social ethos towards farmers which aligned with the programme.
Alliances were able to use its market research to demonstrate a large market for drugs amongst farmers in rural regions. The Alliances co-investment equipped the vet pharmacies whilst the company invested in drug distribution. Specifically Roki supported high potential pharmacies with wholesale rates for drugs, advertising for vet products an expanded set of trainings and a hotline service for vets and pharmacists.
Women’s economic empowerment was core to programme strategy, with gender disaggregated research data and training and advertising designed to reach women, however early results showed that the majority of the customers reached by these pharmacies were male. To respond, Alliances worked with Roki to create a new model of satellite veterinary pharmacies. These were closer to villages and accessible by women who rarely travel to town centres.
Drugs and services for 70,000 farmers
With support from Alliances, Roki has facilitated the opening of 44 new pharmacies, leading to increased access to veterinary drugs and services for over 70,000 farmers. Roki has expanded the model to include 284 further veterinary pharmacies in other parts of Georgia, and 11 other vet pharmacies have copied the model, resulting in over 250,000 Georgian farmers having access to veterinary services.
In Georgia, a key competitor in the supply of vet drugs is starting to replicate the business model, by importing identical medicines, creating an identical distribution chain and offering training to its pharmacies. In Azerbaijan Roki has partnered with Real Vet a company with outreach to 350 vet pharmacies. Drugs are being exported to Armenia and Turkmenistan. Roki now produces 70 per cent of its own medicines at its now HACCP and ISO compliant factory in Tbilisi and has become a founder member and advocate in industry related fora in an increasingly burgeoning sector.
The Georgian documentary Jara was named as the Best Feature Film at the Wolves Independent International Film Festival 2018. Nature, heritage, environment, history, culture, ethnography, adventure, wildlife, indigenous cultures and social issues are the main themes of the festival which takes place in Lithuania.
It is the second award for Jara following Golden Green Award 2018 at the Deauville Green Awards International Film Festival, for the best production in the category of Sustainable Agriculture
Jara was premiered by EcoFilms in Tbilisi in 2017. The main backer of Jara was the Swiss Agency for Development and Cooperation (SDC) through the Mercy Corps Georgia implemented Alliances Caucasus Programme (ALCP) within a consortium of public bodies and conservation organizations including World Wildlife Fund and Caucasus Nature Fund.
The annual Honey Festival was opened for the fourth time on August 11th on Batumi Boulevard and closed on August 12th in Batumi Botanical Garden. Up to 45 beekeepers from across Georgia once again presented their honey and by products for the festival visitors. Honey themed activities were held for children’s entertainment; visitors could see the ancient beehive at the special corner for jara beekeepers from Ajara and could taste different kind of honey from different parts of Georgia. Batumi Botanical Garden promoted Goderdzi Alpine Garden; live music kept the celebration spirit all day.
“Beekeeping is our family business. We started participating in the festival from the very beginning and it became a tradition. Each year we promote our products and each year we find new clients. This annual festival helps us to make our products more visible and popular” - Shorena Kezheradze, Khelvachauri municipality, Ajara.
The Georgian documentary Jara has just won the Golden Green Award 2018 at the Deauville Green Awards International Film Festival, for the best production in the category of Sustainable Agriculture, the International jury selected the finalists in fourteen categories from four hundred and fifteen films produced worldwide. Jara was screened during the festival in Deauville in the presence of the professionals and the press.
The Deauville Green Awards is one of the most prestigious festivals in Green Film Production worldwide launched in 2012. For the last seven years, the festival’s mission has been to enhance information films, spots and documentaries on sustainability, eco-innovations and social responsibility. Furthering public understanding and education. Each year the festival draws five hundred films from five continents, with four hundred professionals of film in attendance.
On Saturday, June 9 representatives of the ALCP team (www.alcp.ge) and a wool processor Tamar Tsikarishvili from Akhaltsikhe, Georgia attended the Sheep
Shearing Festival after being invited by SDC sister project SDA Armenia which took place in Syunik Animal Market, Syunik region. The festival aimed to promote sheep, local produce, traditions and culture of Syunik and Vayots Dzor regions (Please see the Link).
The festival included guest sheep shearer Danny Wilson from Great Britain who conducted master classes for festival participants and visitors.
Knowledge is a power and the ALCP is committed to facilitating high quality agri information transfer to rural farmers strengthening the field of journalism in Georgia and Armenia.
On 25th-29th of April an international agricultural journalist was commissioned to deliver trainings to 11 Armenian TV and press journalists and 2 heads of the Department of Journalism of Armenian universities in the Caucasus International University in Tbilisi.
Follow the link of Imedi TV news on the event.
On April 16th-20th, 2018 the Alliances Caucasus Programme (www.alcp.ge) funded by the Swiss Agency for Development and Cooperation SDC and implemented by Mercy Corps in Georgia, hosted a study tour from the Arab Women’s Enterprise Fund (AWEF). The tour included Jordan Municipality Mayors, WEE coordinators and representatives from the Ministry of Agriculture of Jordan to share ALCP’s experience on Women Economic Empowerment integration through M4P approach and best practices used.
