PROCEEDINGS REPORT - The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for Enhancing the Role of Agricultural Cooperatives ...
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PROCEEDINGS REPORT The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain 25 September 2019, Jakarta
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TABLE OF CONTENTS 3
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
1. EXECUTIVE SUMMARY..............................................................................................................................3
2. OPENING AND INTRODUCTION................................................................................................................5
2.1. Welcome remark by the Chair of ASWGAC...........................................................................................5
2.2. Welcome remark by the Representative of ACEDAC Secretariat..........................................................5
2.3. Welcome remark by the ASEC representative........................................................................................5
3. PRESENTATION OF THE RESULTS OF ASEAN ROADMAP WORKSHOP.............................................6
4. REGIONAL GROUP DISCUSSIONS: KEY PRIORITIES AND ACTION PLAN OF THE ROADMAP........6
4.1. Pillar 1: Institutional/Capacity Development.........................................................................................7
4.2. Pillar 2 - Competitiveness. ...................................................................................................................7
4.3. Pillar 3 - Access to Finance..................................................................................................................9
4.4. Pillar 4 - Access to Market. .............................................................................................................. 10
4.5. Responses and Feedback for Group Presentations..............................................................................11
5. PLENARY SESSION................................................................................................................................ 13
5.1. Feedbacks on Group 1 Discussions: Pillar 1 (Institutional Capacity Building) & Pillar 3 (Access to Finance).... 14
5.2. Feedbacks on Group 2 Discussions: Pillar 2 (Competitiveness) & Pillar 4 (Access to Market)........... 15
6. WRAP-UP AND WAY FORWARD............................................................................................................ 17
7. ANNEXES................................................................................................................................................. 18
7.1. Concept note...................................................................................................................................... 18
7.2. Agenda of the workshop..................................................................................................................... 18
7.3. PowerPoint Presentation of ACEDAC............................................................................................... 18
7.4. Recommendation Action Plan 2021-2025................................................................................................0
7.5. Selected photos of the workshop..........................................................................................................0
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ABBREVIATIONS 1. Executive Summary 5
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
AC Agri Coops/Agricultural Cooperative
This proceedings report captured the process of the sector attended the second workshop. They were
ACBF ASEAN Cooperatives Business Forum second multi-stakeholder partnership workshop to clustered into two groups based on the Four Pillars,
enhance the role of agricultural cooperatives in the to discuss items that required completion in the action
ACEDAC ASEAN Centre for the Development of Agricultural Cooperatives
agricultural global value chains, as the continuation plan. The two groups has now come up with more
AEC ASEAN Economic Community of the first meeting, which was held in line with the detailed sub-activities, including the responsible
AF ASEAN Foundation
8th ASEAN Cooperative Business Forum (ACBF) in ASEAN bodies, timeline, and Key Performance
Bangkok on 28 February 2019. Indicators (KPI). There were also several new action
AFA Asian Farmers’ Association for Sustainable Rural Development programmes under Pillar Four (Access to Market). In
AFOSP ASEAN Foundation for ASEAN Farmers’ Organisations Support Programme The ASEAN Roadmap for Enhancing the Role detail, the two groups discuss the following topics:
of Agricultural Cooperatives (ACs) in the Global
AMAF ASEAN Ministerial Meeting on Agriculture and Forestry Agricultural Value Chain (ASEAN Roadmap) for • Pillar 1: Institutional/Capacity
AMS ASEAN Member State 2019-2025 was approved by Ad. Referendum on Development) on improving access to
4 June 2018 by the focal points of the ASEAN good advisory services. The participants
ASEC ASEAN Secretariat
Sectoral Working Group on Agriculture Cooperatives viewed that ACs as needing to improve
ALSPEAC ASEAN Learning Series and Policy Engagement on Agricultural Cooperative - (ASWGAC). The document was further endorsed by their knowledge on the value-chain concept
Inclusive Agricultural Value Chain on Coffee the 40th AMAF Meeting in Viet Nam in October 2018. through various trainings, including their
agricultural techniques in terms of yield
ASWGAC ASEAN Sectoral Working Group on Agricultural Cooperatives
The workshop outcomes include common areas of capacity to produce GAP, organic, and good
DGRV Deutsche Genossenschafts- und Raiffeisenverband e.V. is the Co-operative interests that contribute to the roadmap action plan. It quality standard products for market supply.
federation for German Co-operatives also has resulted on the update of country database On the subject of advocacy, the discussion
EU European Union on AC development across ASEAN Member States groups results said ACs have to comply
(AMSs). However, the first action plan drafted at the with the stipulated law or policy, as well as
FAF 2025 Food, Agriculture and Forestry 2016-2025 first workshop needed to reaffirm the recommended understand the legal framework to garner
FAFD Food, Agriculture and Forestry Division actions, identify the lead country and possible partners government support. The KPIs expected from
as well as timelines, and to outline new projects the regional project proposal include number
Fintech Financial Technology
for ASWGAC’s consideration in 2020 for mode of of training manuals developed, number of
ICA International Cooperative Alliance cooperation to implement. Hence, the second regional cooperatives and farmers’ organisations, and
workshop was proposed, and was later initiated by the number of government officials. Training of
IFAD International Fund for Agricultural Development
ASEAN Secretariat (ASEC), ASEAN Centre for the Trainers (TOT) for government officials will be
IFPRI The International Food Policy Research Institute Development of Agricultural Cooperatives (ACEDAC), conducted, with the knowledge transferred to
and organised by the ASEAN Secretariat (ASEC) the cooperatives in their respective countries
GAP Good Agriculture Practices
and the ACEDAC Secretariat. It was supported by later on.
GI Geographical Indication the ASEAN Foundation for its ASEAN Farmers’ • Pillar 2: Competitiveness. Participants
Organisations Support Programme (AFOSP). affirmed the importance of replicating such
GIZ The Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH or German
development agency initiatives as pilot TOT on FAO’s rural
During her opening remarks, the Chair of ASWGAC investment tools has kicked off in Bangladesh,
KPI Key Performance Indicator recalled the last meeting held at the 40th ASEAN Lao PDR, and the Philippines, B2B platforms
MCTP Medium-Term Cooperation Programme Ministerial Meeting on Agriculture and Forestry for AC products; and to create a regional
(AMAF) in Viet Nam had identified ten key priorities. coop business information system. Several
MRL Maximum Residue Limit
However, the contribution of respective AMSs and recommendations covered the need for
MSME Micro and Small Medium Enterprise key stakeholders were not yet clarified. Hence, the feasibility studies on agri-sector’s value chain
discussion on the roadmap and action plan has been on specific commodities; a proposal to have
NGO Non-Governmental Organisation
conducted, particularly identifying action plans to access to market for coop-to-coop exported
NTFP Non-timber forest product involve AC practitioners in the design process. commodities; and study tour to learn about
successful cooperatives. Other activities can
SP Strategic Plan
Forty eight participants from ASWGAC focal points, also contribute to competitiveness, e.g. the
TOT Training of Trainers ACEDAC, ASEC, development partners, and private Compendium of Cooperative Laws, policy
6
dialogues with financial institutions to ease alignment between national standards and 2. Opening and Introduction 7
access to loans for ACs; partnering with ASEAN standards; promote ASEAN products
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
local universities & other local institutions on at the regional level; and create agri-coop
drafting guidelines; develop the proper legal own market by branding their own specialty
framework of small ACs at country level, raise products. Viet Nam will take the lead for this.
awareness of agri-coop development. 2.1. Welcome remark by the Chair 2.2. Welcome remark by the
• Pillar 3: Access to Finance. The main ASEC representatives from the Food, Agriculture and of ASWGAC Representative of ACEDAC
financial sources for cooperatives are mostly Forestry Division (FAFD) appreciated the workshop’s The welcome remak was delivered by Ms. Mya Myo Secretariat
from: private or micro finance institutions, regional deliverables such as production of a handbook Swe, Chair of the ASWGAC. Ms. Mya Myo Swe The welcome remark was delivered by Ms. Ms. Destry
and from the membership. The group on financing mechanisms in ACs development in welcomed the distinguished guests, affiliations and Anna Sari.On behalf of ACEDAC Secretariat, Ms.
proposed to conduct study or research on ASEAN. They also emphasized the need to look at all the delegates to the “Second Regional Workshop Destry Anna Sari expressed her warmest welcome
such government funds, and the findings and the legal frameworks, and relevant policies. The on Developing the Action Plan of ASEAN Roadmap to the chairpersons, focal points of ASWGAC from
information disseminated to other countries representative reiterated the importance of the ASEAN for Enhancing the Role of Agricultural Cooperatives their respective ASEAN member countries, Assistant
to help them learn and advocate with their brand initiative to enhance the competitiveness of AC in the Agricultural Global Value Chain”. She felt Director ASEAN Ministerial Meeting on Agriculture
own government to set up a cooperatives products with high standards. The workshop outputs privileged and honoured to participate in this workshop and Forestry (AMAF), Executive Director of ASEAN
fund. Cambodia is currently in the middle especially the recommendations, roadmap and as a representative of Myanmar, and also welcomed Foundation (AF), government representatives,
of creating a sub-decree on establishing workplan are stepping stones towards ASEAN AC the chance to speak on behalf of the Chair of 21st distinguished participants to the workshop.. In order
government funds to promote cooperatives. development for 2020, and will be used as a review ASWGAC meeting. She recalled the last meeting held to strengthen the participation of ACs in agricultural
Another proposed regional-scale activity is an towards the implementation of Strategic Plan (SP) for from 21 to 24 May 2019 in Nay Pyi Taw, Myanmar, global value chain, ASEAN has been facilitating a
ASEAN Agricultural Cooperatives Investment the FAF sector 2016-2025. that discussed the possibility of a follow-up workshop dialogue on AC development through ASWGAC, and
Forum, combined with the ACBF. The group to implement the Roadmap based on priorities ACEDAC. One major identified need is to create the
also proposed several recommendations: As a conclusion of the workshop, the representative discussed at the first workshop such as cooperatives roadmap, incorporating the Four Pillars. Under each
an activity that links agri-coops to financial from FAFD ASEAN Secretariat conveyed his gratitude insurance and e-commerce, strengthening the role Pillar, important measures have been identified and
providers to access credit/soft loans with to the AF and the AFOSP for their support to the of agricultural cooperatives in the agricultural global should be simultaneously used to strengthen AC
a long-term tenure of 5-10 years; and to ACEDAC and ASWGAC in ALSPEAC programme, value chain under ASEAN’s Four Pillars. The Pillars development over the long run. She also highlighted
enhance agri-insurance and loan insurance especially in several capacity building workshops are: Institutional Capacity Building, Competitiveness, the aim of this workshop to deliberate on the draft
for ACs. In order to help farmers to improve on the roadmap. He wished for a long-lasting strong Access to Finance, and Access to Market. This action plan from the 8th ASEAN Cooperative Business
their products, activities such as provision of cooperation on activities of common interests between second workshop was proposed to develop the Forum (ACBF) workshop on February 2019. The first
special credit for farmers based on costs & the AF and ASWGAC. action plan. The Chair believed collaboration regional workshop had considered strengthening
profit sharing; workshops on financial literacy between ASEAN member states and stakeholders market access and capacity building of agricultural
and training on proposal development; would become the effective way to strengthen the cooperatives as main priorities, with suggested
identifying green investments opportunities, agricultural cooperatives in implementing the ASEAN activities to launch e-commerce and e-payment
and impact investment funds would be plan, and stressed the importance of capacity building system using the existing platform under the ASEAN
beneficial. In terms of identified deliverables, to increase the awareness and knowledge. Committee for Micro and Small Medium Enterprises
feasible KPIs include number of ACs set up; (MSMEs) mechanisms. She expected this second
insurance products being developed; lists workshop to outline the operationalisation of
of service providers for financial access; projects for ACEDAC consideration s for year 2020.
and credit-ready business plan lessons with She expressed her hope that this workshop will
special loan interest rate without collateral strengthen the partnership and cooperation between
guarantee. government, private sector, and internal organisations
• Pillar 4: Access to Market. The group in developing ACs, and to join in active participation
proposed such activities such as mapping of for sharing ideas and best practices.
market opportunities; enhancing marketing
information system; improving the value-
added products of ACs in each country;
increasing the participation of smallholders
farmers in the market; a proposal for ACBF
to create directory on market opportunities in
new emerging markets, namely, China, Middle
East, East Europe, Africa. Regarding the
creation of the ASEAN Brand, the proposed
activities incorporate the assessment of and
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2.3. Welcome remark by the ASEC quality and quantity of products by using relevant 3. Presentation of the results of 9
representative technologies, and a focus on food safety and food
ASEAN roadmap workshop
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
The welcome remark was delivered by Mr. Pham security, and certification. At the same time, the
Quang Minh, ASEC representative from Food, Secretariat has also promoted the private sector s,
Agriculture and Forestry Division (FAFD). On MSMEs including ACs across ASEAN. The 40th AMAF
behalf of FAFD, Mr. Pham Quang Minh welcomed Meeting in Viet Nam has identified ten key priorities.
all delegates to the ASEC’s new building, and the However, the contribution of respective AMSs and key
first workshop event inaugurated there. In ASEAN, stakeholders were not yet clarified. Hence, a regional As an introduction, Ms. Destry Anna Sari (ACEDAC) The ASEAN Roadmap has been launched for
ASEC is responsible for programmes related to food, workshop on the roadmap was held that involved AC underlined the existence of ACEDAC as an enhancing the role of agricultural cooperatives in the
agriculture, and forestry under the Food, Agriculture, practitioners during the conceptual process and has information exchange platform on AC development agricultural global value chain for 2019-2025. The first
and Forestry (FAF) 2016-2025. This has resulted the resulted on an action plan and several key priorities across ASEAN. The activities include: gather, analyse, was held in Bangkok on 28 February 2019, and this
key priorities and focus in different aspects, such as to implement. compile and, disseminate related information through workshop is a follow-up to that. The first workshop
to increase the capacity building and promote the various media; promote, foster, and encourage resulted in using the common areas of interests to
joint activities related to ACs within the framework contribute to roadmap action plan, as well as an
of supporting specific development; various update of the country database AC development
policies and programmes promoting intra-ASEAN across AMSs. She expected this workshop to
trade and enhancing cooperatives and ASEAN complete the identification on each country’s
competitiveness, both regionally and internationally; interests, including the action priorities at national &
as well as to initiate joint efforts in human resource regional levels, and defining milestones with more
development and management, especially in training multi stakeholders’ involvement, to ensure that all
and education. the efforts will strengthen their to operationalize the
action plan and prioritise towards ASEAN Roadmap
2019-2025
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4. Regional Group Discussions: training - Encourage farmers and agri-coop to build
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Key Priorities and Action Plan of the Roadmap 4. Expose and support ACs for exhibiting their their own factory (example, a rice factory
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
products nationally and abroad 100% owned by farmers) to gain much better
5. Training on SOP/Documentation economies of scale. Farmers should invest
6. GI, organic, halal, GAP training and certification. through agri-coop.
7. Stakeholders mapping which can be used for
stakeholder engagement. Strategic Action 2 – Create enabling
The discussions were facilitated by Dr. Le Duy Binh 4.1. Pillar 1: Institutional/Capacity 8. Feasibility studies on agri-sector specifics, for environment for agri-coop
and Ms. Maria Elena Regabay with assistance by Development example coconuts in the Philippines. For this strategic action, the group have identified key
ACEDAC and ASEC. 9. Product innovation and development. activities to be improved or implemented:
Strategic Action 1 - Improve access to 10. A profile on platform for B2B and B2C on agri 1. Conduct FGD/policy dialogues on drafting
Dr. Le Duy Binh reinstated the objective and good advisory services products. guidelines for the consolidation of small agri-coop
methodology during discussion opening with several For this strategic action, the group have identified six 11. TOT for ACs on business management and legal framework.
key priorities on the action plan of the roadmap, and important areas and key activities to be improved or 12. Trade fairs & business forums 2. Promote the allocation of budget for capacity
their tasks to break down the activities being endorsed. implemented: 13. Access to market with high value: building of agricultural cooperative
The participants were organised into two groups; 1. Training for agri coop governance & management - MRL training in the curriculum
each group would discuss two Pillars, The Four 2. Financial management and promotion in relation - Quality product The group also identified key sub-activities as below:
Pillars are: (1) Institutional Capacity Development, to business and entrepreneurship activities, and - Exports 1. Compendium of cooperatives laws in AMSs
(2) Competitiveness, (3), Access to Finance, and (4) cooperative financial management: accounting, 14. Study tour to successful or high-performing 2. Crafting of model by-laws for AC
Access to Market. auditing, etc. cooperatives 3. Policy dialogues with financial institutions on
3. Marketing & business development training 15. Training for climate resilience easy access to financial assistance for agri-coop
Participants were split into two groups: 4. Sustainable production technology: GAP training. 16. Regional coop business information system 4. Collaborate with other working group and ministry
• Group 1 discussed Institutional/Capacity Farm guidance (technical advisory) - Featuring their products to promote and advocate for more appropriate
Development (1st Pillar) and Access to Finance 5. Value-chain training: Value-chain concept - Online markets tax rates and compliance costs.
(3rd Pillar) for investments and working & protocol, product specific value-chain 17. Doing agri-coop scoping to assess the capability 5. Partner with local universities & other local
capital markets. This group comprised development, e-commerce of the agro-coop to do business institutions on drafting guidelines
representatives from ASWGAC Cambodia, 6. Policy lobby & advocacy & TOT 18. Capacity building for the agri-coop to change 6. In-country stakeholders’ platforms (possibly lead
Malaysia, Thailand, and Vietnam, AFA, GIZ their mind set on doing business. by AFA) to consolidate coops→ or linked the
ASEC Office, Grow Asia, NTFP – EP Asia, The group also identified key sub-activities as below: 19. Capacity building for local government officials unallied coop (This dialogue needs to involve
Enterprise and Stakeholder Engagement 1. Training and cooperatives banks & non-banks) → feed into an appropriate
Division, ASEC, EU Mission to ASEAN, 2. Assessment and module development 20. Expand the relationship (or) partnership between regional body
IFPRI, Agriterra, and ACEDAC. Guiding 3. Conduct all training & learning exchanges agri-coops and off-takers. 7. To develop the proper legal framework of small
questions were provided on the key priorities 4. Pool of trainers 21. Mapping: agri-coop in country level
in Institutional/Capacity Development and - Consultation with private sector on what 8. To involve more policy-makers and decision-
Access to Finance for investments and they’re looking for in a “good” agri-coop makers (high-level officials) in policy dialogues
working capital, and the actions which should 4.2. Pillar 2 - Competitiveness - Find existing high-functioning coops 9. Mentoring agri-coop to develop their own specific
be included in the action plan. - Facilitate linkages with private sector for products. This is beyond capacity building, but
• Group 2 discussed Competitiveness (2nd Strategic Action 1 – Create resilient capacity building, specialties, etc. someone to directly guide them.
Pillar) and Access to Market (4th Pillar). cooperatives 22. Private sector’s engagement 10. Regional consultation on comparing policies and
This group comprised representatives from For this strategic action, the group have identified key - H&S quality control standards regulations for supporting agri-coop
ASWGAC Philippines, Myanmar, Indonesia, activities to be improved or implemented: - Direct linkage with private sector to determine 11. Concrete policy support with actual budget
and Lao PDR, IDH Sustainable Trade 1. Expose and support agri-coop to access market this allocations
Initiative, International Cooperative Alliance, for high-value, organic, and GI food products - GAP training 12. Market development
Ministry of Agriculture Republic of Indonesia, 2. Assist agri-coop in making feasibility study/ - Vocational training 13. Dialogue on the importance of:
IFAD, Pisagro, ASEAN EU Business Council, business planning 23. Documentation - Savings
and DGRV. The main issues discussed were 3. Expand relationship with donors and other - Clear lists of what products exist within the - Sustainability practices
the key priorities in Competitiveness and farmers’ organisations specific markets especially for high quality/ - Digitalisation
Access to Finance, and the actions which The group also identified key sub-activities as below: value goods→ traceability. Definition of
should be included in the action plan. 1. Coop-to-coop trading (i.e. coffee, coconut, resilience needs to be aligned.
banana) 24. Industrialisation of agriculture coop
Key discussions of the group are presented as below. 2. TOTs on FAO’s rural investment tools - Low-cost production
3. Assist agri-coop for management and accounting - High quality products
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Strategic Action 3 – Promote and raise 4.3. Pillar 3 - Access to Finance 4.4. Pillar 4 - Access to Market 2. Promote food safety of products coming from
awareness of agri-coop development ASEAN
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
For this strategic action, the group have identified key Strategic Action 1 – Sustainable financial Strategic Action 1 – Development of 3. Promote ASEAN products at regional expos
activities to be improved or implemented as below: support for agri-coop regional product information system 4. Create agri-coop own market by branding their
1. Maximise ACBF as a mechanism for agri-coop For this strategic action, the group have identified key For this strategic action, the group have identified key own specialty products. Internet has now made it
and link with other stakeholders (like private activities to be improved or implemented as below: activities to be improved or implemented as below: easier to do this online and reach a much wider
sector) 1. Mapping of market opportunities audience as well.
2. More systematic/programmatic setting of themes Group 1: 2. Enhancing marketing information system
for ACBF to guide host country 1. Technical assistance to establish policy & 3. Improving value-added products of agri-coop The group also identified key sub-activities as below:
3. Joint preparation of ACBF (together with agri- programme in coop-financing (for member states 4. Increasing the participation of smallholders’ 1. ASEAN GAP
coop, private sector, etc.). without policy and programme) farmers in the market 2. GI, and the ‘Made in ASEAN’ brand
2. Agri-coop financing model: internal, external (e.g. 3. Select the most competitive products
The group also identified key sub-activities as below: banks, fintechs, etc.), government The group also identified key sub-activities as below: 4. Joint branding, joint products, joint quality
1. Involvement of municipal/township level 1. Profiling cooperative products (per country) management of products, inter-country
government is crucial in standardising regulations/ Group 2: 2. System development and operations cooperation for higher competitiveness of ASEAN
guides on how to coordinate and execute the 1. To support credit/soft loans to agri-coop with a management products
functions → with linkages to all relevant ministries long-term tenure (e.g. 5 to 10 years) 3. Mapping of trades in the region that are useful to
2. Communication programme to promote ACBF at 2. Link agri-coops to finance providers farmers’ needs. Strategic Action 4 – Linking offtakers &
the country level 3. Enhance agri-insurance and loan insurance of 4. Understanding the needs of the private sector Producers
3. Development of promotional materials, video ACs (and not just large agri-food companies) e.g.: For this strategic action, the group have identified key
presentations for reproduction and distribution to 4. Regional profile of financial institutions providing smaller organisations, local markets activities to be improved or implemented as below:
the AMSs. funding assistance to cooperatives 5. Market information: consider the ASEAN SMEs 1. Linking traders & off-takers → including
4. Focus on specific commodities/products to 5. Provide information to agri-coop on the Service Centre to promote products from agri international buyers that want to buy products
discuss in the ACBF mechanism to access credit/loans coop where there is no market locally.
5. To exhibit one product or commodity from each 6. Provide special credit for farmers based on costs 6. Promoting the production of high-value & niche
cooperative in the ACBF & profit sharing premium products (e.g. tropical fruits and produce The group also identified key sub-activities as below:
6. Increase the number of partners to be invited into 7. Provide a simple platform to access capital with GI status) 1. Mapping (the use thereof is as explained above)
the forum 8. Open up opportunity for funding from fintechs, 7. ACBF creates a directory on market opportunities 2. ACBF
7. Have the stakeholder platforms identified earlier especially those who support agriculture in new emerging markets like China, Middle East, 3. Promotional campaign
to facilitate linkages with private sector (possibly 9. Voucher, credit or cash assistance to East Europe, Africa
through crop/producer/industry associations) to cooperatives, supported by resources from donor (For more information, please for refer to the “Action
secure commitment & funding organisations, and inputs from private sector Strategic Action 2 – Enhance/Develop Plan of ASEAN Roadmap for Enhancing the Role
8. Conduct policy gap analysis on coop development 10. Impact investment funds quality standard of Agricultural Cooperatives in the Agricultural Global
9. Standardisation and certification for agri-products a. Identify those in the region who would like to For this strategic action, the group have identified key Value Chain” as the result of the Second Regional
10. Partnership of ACBF promotions through various expand their portfolios activities to be improved or implemented as below: Workshop on Developing the Action Plan of ASEAN).
channels /associations b. Donors provide funds to reduce risks by ACs? 1. Develop quality products
11. Promote ACBF to get access into markets 11. International organisation/NGO/donor support for 2. GI products promotion/index
(export) for coffee, tea, oil, palm, spices coops to develop good business plan proposals 3. Produce quality and safe foods
to submit to financiers, and then act as guarantor, 4. Provide infrastructure for agri-coop (cold storage,
if necessary food processing, warehouse system)
12. Areas of funding from revolving funds/impact 5. Build a reliable system to transport products to
investment/government grants the market
13. Supporting financial institutions to make flexible
loan products to be paid back by season instead
of weekly. E.g., KUR in Indonesia.
14. Conduct workshop on financial literacy Strategic Action 3 – Create the ASEAN
15. Conduct training on proposal development Brand to promote ASEAN products
16. Identify green investments opportunities For this strategic action, the group have identified key
17. Crop insurance schemes: activities to be improved or implemented as below:
a. Action to look at effective models 1. Assessments of and alignment between national
b. Link to digital programme standards and ASEAN standards
c. 3rd party conflict resolution & training
14 15
4.5. Responses and Feedback for EU Business Council products to be sold in Europe, America, Japan, and in coffee last year. Eventually this thematic commodity-
Group Presentations Since cooperative deals with how it is managed, addition to increase the consumption within ASEAN. focused learning series can help the regional co-
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
integrity and capacity building are important when creation of the ASEAN Brand.
Agriterra it comes to access to markets. The success of DGRV
Aside of several overlaps, Agriterra believed that a programme also depends of the quality of its ASEAN GAP standards have been initiated and ASWGAC Lao PDR
the orientation should be a clear action plan on personnel. There are many types of commodities adopted ahead of the ASEAN brand initiative. The Currently, many in the culinary world considered GI
marketing strategy development for ACs as there in ASEAN countries, but competitive or high-value ASEAN brand initiative could contribute to compliance products to be the best. The representative from Lao
are ongoing challenges for farmers like starting from commodities or products need to be defined to match on GAP. PDR suggested to the audience to start thinking about
self-examining their marketing strengths to select a it them with their respective market demands. Even it the future of ASEAN products. Using the example of
good product marketing plan and to target the right should be considered what products can be produced AFA Japan, he said they never have any trade mark, but
consumer. There is also an idea about linking with local for local markets and for local buyers. Supported the statement from ASWGAC Lao they have the term ‘made in Japan’ on their packages
big cooperatives (such as big commodity suppliers) PDR. Through the support of ASEAN Foundation which itself was enough to convey quality products.
in the established value chain as a form of business AFA and coffee-producing partners from Indonesia, a Similar concept can be replicated in ‘made in ASEAN’
development between cooperatives. Hence, small- One way to increase competitiveness is by aggregating prototype pilot has been created on ASEAN coffee. where confidence in quality control and the packing
or medium-sized coops can become suppliers of cooperatives at national and regional levels. (keep to In cooperation with ACEDAC we have ALSPEAC on processing will contribute to costumers’ satisfaction.
the established value-chain cooperatives, with this order: ‘national’ followed by ‘regional’) Those who
capacity building programmes, such as coaching and attended the ACBF or the investment forum might
training, to complement this. To create an enabling see the need to further create a platform among
environment, the Philippines has just amended the themselves for greater competitiveness, such as
Cooperative Development Authority (CDA), and the setting up a federation of ACs, or consolidation at
Charter of Cooperative Development Authority that national & regional levels. Some activities or sub-
might feed the success stories for other countries. activities required policy interaction, policy initiatives,
On the legal framework, U.S. cooperatives have or legislation included in almost all Four Pillars.
specific tools called ‘clarity’ scorecards on laws The AFA representative suggested that during the
based on seven cooperative principles. The results consolidation and finalisation process, these should
from different countries can show where cooperative be put under the objective of creating an enabling
laws stand, vis-a-vis common sets of principles. This environment for agri-coops.
is something to consider in ASEAN region.
ASWGAC Philippines
ASWGAC Thailand Creating a structure that resembles a ‘Cooperatives
The delegate expressed her gratitude for having Parliament’ might be a good channel for discussions,
Thailand appointed as the responsible AMS to aside of supporting effective lobbying to the
develop an enabling environment for ACs since they government. In the Philippines, there are Members
have many best practices to share. But she thought of Parliament who are representatives from the
it might be too early to commit as a sole party due to cooperative sector s and they could be an ally to push
limited resources, and would prefer to propose it at the agenda on cooperative laws.
the ACEDAC meeting level.
NPTFP
Grow Asia Delegate from NPTFP inquired further upon the idea
On the point of training government officials and of ASEAN branding, for the lack of feasibility resulting
providing technical assistance, generally the from extensive array of agricultural products in the
government and the private sector have appointed region.
their own digital solutions. Possibility is to link them or
useing what is already out there. ASWGAC Lao PDR
Defending the idea of ASEAN branding on the basis
ASWGAC Philippines that AMSs working like one family and the existing
Initiatives to improve access to good advisory good quality products, like coffee, across many SEA
services, and create impactful capacity-building countries. He stressed the importance of clustering
activities, a pre-assessment should be carried out to the cooperatives to improve their respective internal
accommodate differences between countries. Ideally condition, while at the same time raised the bargaining
speaking, interventions should apply specific training position of SEA export products. He also suggested
appropriately from one country to another. to improve the packaging and branding of ASEAN
16
5. Plenary Session ASEAN-EU Business Council not a common topic in Thailand, since the law and
17
Adding the points on fintech under Pillar 4, Access tax system are different from others. Therefore, she
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
to Finance, particularly the agro-financing model. is reluctant to be appointed as the sole representative
This model has been through a vast development, leading agency.
in the agriculture sector—that might attract young
5.1. Feedbacks on Group 1 Agriterra farmers and millennials to be involved. The delegate ASWGAC Cambodia
Discussions: Pillar 1 (Institutional The delegate from Agriterra addressed several points recommended to get more AMSs involved; currently Recommended to diversify the GAP products, and
Capacity Building) & Pillar 3 of expanding the scope of programme, particularly in it mainly covers Cambodia, Thailand, Malaysia, and to incorporate GI & organic products that are also
(Access to Finance) terms of capacitating not only the cooperatives but Viet Nam. equally competitive for the market.
also the enablers/service providers around them.
GIZ In other words, build an ecosystem on cooperative AFA GIZ
The representative raised the issue of capacity development. A two-level approach that incorporated Addressed several pressing issues on engaging local Recommended halal products for consideration, next
building, particularly the need to identify issues tools, training modules, and available experts can institutions including coop federations, governments, to GI and organic products. Concerning lobby for
at national level before any facilitation of capacity be synergised and complementing each other. First and business providers. In the Philippines, a new lesser tax transaction, sometimes tax transactions
building activities across the countries. To improve step covers sharing the database of experts, and federation of farmers’ cooperatives is currently belong to different ministries and they already have
competitiveness, feasibility studies & stakeholders the training modules. Second step covers ways to being organised. Although relatively new as an their own tax support to agriculture coops other than
mapping perhaps are the most relevant issue before capacitate the cooperatives. In terms of indicators, organisation, its members consist of those with the sectorial working group. Instead of using the term
drafting any proposal. Impactful capacity building must Agriterra has itself been through a definite 8-steps decades of experiences. On financial support, the ‘lobby or promote’, she recommended ‘collaborate
match the capacity level of each country. Possible process to work with the cooperatives, so they delegate recommended one of the sub-activities to with other ministry’, including engaging the sectorial
support from the government to hire consultants to have the experience to share. Start with a profile be regional workshop or forum on enhancing the working group as information provider available to
undertake a mapping exercise on capacity-building of the cooperative; apply a certain set of criteria; access on farmers’ cooperatives or agri-coops to guide agricultural coops about tax supports coming
needs of each sectorial group, and this might be do an assessment on how to measure indicators of finance institutions or impact investments, and can from the government.
referred to as a baseline data for these groups before progress; do an assessment on governance issues, if utilise existing sources such as IFAD’s investment
creating any training modules. necessary; establish KPIs that are developed based prospectus framework which has been used in Africa. ASWGAC PhilippinesASWGA Philippines
on both financial and non-financial aspects. enquired about the KPI under ‘good governance’ and
IFAD the tendency of subjectivity. Further development of
Commented on the issue of improving access to good Training is a good intervention to build capacity and 5.2. Feedbacks on Group tools and standards is necessary for this proposal, in
advisory services. The activities listed might need for cooperatives to have a plan on how to improve. 2 Discussions: Pillar 2 order to reach accurate measurement, including the
extension from standard training for the government That should be the outcome of any training, to (Competitiveness) & Pillar 4 sustainability and stability of cooperatives.
and cooperatives. One thing that is missing was training actually have an action plan to improve weak areas (Access to Market)
for business providers and financial institutions; they Experts can be utilised in training for various topics, IFAD
need to be sensitised to particular needs of different and can provide customised advice. Sometimes a Grow Asia The delegate from IFAD explained several proxies of
cooperatives. On the indicators, he thought that training will not address the weakness of a coop; The delegate wished to clarify the term of stakeholders indicators applicable to measure good governance.
providing the training does not necessarily mean sometimes it requires someone to really examine the mapping should be more of stakeholders’ These are written constitutions; number of general
that it will automatically strengthen the cooperative. problem. For instance, if there was conflict between engagement. Country-specific feasibility studies assemblies organised, of whether they were organised
So, this deliverable should be viewed as an output the management and the board, sometimes it cannot would be required in advance. Related to the point in a timely manner, whether the executive, board, and
rather than an outcome. He suggested the workshop be addressed by a training. They need someone of taxes, he recommended rephrasing the term members attended them ; and general provisions
participants to consider using two levels of indicators with experience in conflict management, and conflict ‘lesser tax transaction’ to ‘appropriate tax transaction’ to ensure that some rules of the constitutions are
that combined outputs and outcomes. resolution. Therefore, specialist advisory missions in regards to total amounts and particular actions applied. He referred the question to Ms. Maria Elena
are also important. applicable. Other correction was on the involvement Ragabay (Lany) since she could share some of her
GrowAsia of ‘higher officials’ as decision-makers. The presence experiences on the MCTP logframe. On creating an
Raised the concern on quantity-oriented indicators as AFA of higher officials might just slow down the efficiency ASEAN brand, he realised this matter contains work
the justification of success, while there are actually In response to the concerns of indicators on training of the process. on a broad scale including investment in time; and
certain behavioural changes which impactful training assessments—the process of mutual development having regional brand won’t necessarily guarantee
aims for, not to mention other types of deliverables can be addressed here, including the thematic training ASWGAC Thailand a successful marketing strategy. In fact, from
including adoption, certification, or behavioural design. Several tools are available to track the growth For the feasibility studies, the delegate recommended experience, a lot of the brands that worked in ASEAN
changes rather than just running the programme. of cooperatives such as ICA, AFA, government tools, to broaden the varieties of farm products to are actually very niche local products. As a French
to see how coops improve across levels during the accommodate particularities in markets of various person, he mentioned how there are incredible
training. This can later serve as the baseline, and to SEA countries. She recommended to put more variety of very specific cheeses coming from very
oversee the progress. than one country on the table. As for the activities specific areas of his country, and they are marketed
concerning lobbying for tax transactions and budget not as being ‘French cheese’ but rather as cheese
allocations, investment for coops, such condition was from specific area. Good example of GI branding
18
Instead of campaigning over a global ASEAN brand IFPRI 6. Wrap-up and way forward 19
(which he thought was not a bad idea knowing a lot of Under the Pillar of Competitiveness with sub-activities
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
thought has been put in it) he would rather see a shift such as expo, she conveyed her expectation that
to strategic actions for promoting existing niche local ASEAN products will be showcased within each
brands or products from ASEAN countries. AMS. Knowing that a learning series on coffees had
taken place, followed up by promoting the ASEAN The session “wrap-up and way forward” was facilitated and workplan are a stepping stone towards ASEAN
Agriterra coffee commodities, it is time to campaign for it during by the ASEAN Secretariat. Starting the session, agri-coop development for 2020, and will be used
Under the strategic action on Pillar 1, he emphasised ASEAN events. She continued by putting this as a senior Officer Mr. Dian Sukmajaya from Food, as a source of review towards the implementation of
more on adaptive market towards changing consumer commodity prototype towards the ASEAN Brand, and Agriculture and Forestry Division, ASEAN Secretariat Strategic Plan for the FAF Sector 2016-2025 for agri-
behaviour. In terms of risks management, it is important create follow-up sub-activities from there. extended his gratitude for the participations and fruitful coop development in ASEAN.
to make sure that the cooperatives are climate risk- discussion. As the follow up of this meeting, a matrix
proof in the future, or able to address other types of GIZ of action plan will be later consolidated by the ASEAN Mr. Dian Sukmajaya also conveyed his gratitude to
risks in business. He addressed the resiliency issue Representative of GIZ informed the workshop Foundation & ASEC, and sent to all the member the AF and the AFOSP, that has been supporting
beyond the indicator under institutional capacity, participants about the ALSPEC, which resulted in states for further inputs. Several activities proposed the ACEDAG and ACEWAC in the ALSPEAC
which might integrate viability of the market, climate the ASEAN coffee promotions. This was an initiative by the members and partners still contained some programme and several capacity-building workshops
viabilities, natural risks in business. Knowing this to stimulate our farmers’ readiness for exporting or overlapping activities, activity gap from one Pillar on the roadmap. He wished for a long-lasting strong
is a supply-based industry, youth participation was trading their coffees beyond borders. The AF brought to another, and the lack of stakeholders’ mapping. cooperation on activities of common interests between
something he stressed at the workshop, including for these coffees during the 7th ACBF in the Philippines. The document will be circulated to ACEDAC and the AF and ASWGAC. He informed the workshop
the older generation of farmers to communicate the However, feedback from farmers at that time was ASWGAC, while noting the need of setting up the participants that after being circulated and consulted
succession or sustainability plan to their children, the that they did not care about ASEAN branding as long timeline and priority agenda for the next five years. for inputs, the draft matrix of action plan will be further
team, and the relationships to cooperatives. as they could create demand. At least farmers have discussed at the upcoming ACEDAC meeting in
already got their networks, and knew how to deal with Nevertheless, this workshop has successfully the Philippines, and then will be considered by the
AFA buyers outside of the country. Another difficulty was identified several regional deliverables, including ASWGAC He expected that he would be able to invite
Representative from AFA recalled the success stories on how to curate the information, because having the production of a handbook on financing mechanisms all partners in this 2nd regional workshop to attend the
they have in terms of access to finance as the result regional brand would mean creating stories to sell the in agri-coop development in ASEAN, including the meeting next year.
of a successful legal framework for farmers, such product and showcase its traceability. It takes a lot need to look at the legal frameworks, and relevant
as Angkasa in Malaysia, or coops federation in the of hard work to do that, and ASEAN producers are policies. Another great initiative is to enhance the The ASEAN Secretariat, Food, Agriculture and
Philippines, including potential schemes on agri- mostly lagging behind on this. Thus, the private sector competitiveness of agri-coop products such by Forestry Division closed this regional workshop by
insurance in various countries Secondly, regarding triggered an idea by acknowledging the cooperative’s establishing the ASEAN brand with certain standards. thanking all the partners, and congratulating all AMSs
the working group on parliamentarians, who assist presence within the products, such as Olam’s coffee The Four Pillars within the Master Plan (access to and partners finally completing the action plan matrix,
the lobbying process on enabling environment for in the Philippines, a branding collaboration between a finance, competitiveness, institutional and capacity and thanking the organising committee members,
the agri coops (including the current International Co- big company and cooperatives building, access to market – these 4 are not in order) including Elaine and Hana and all colleagues from
Operative Alliance/ICAs working groups), perhaps a are intersecting one another, and can contribute the AF, and the ACEDAC Secretariat, for smooth
long-term plan will be critical to establish some kind ASWGAC Malaysia to one another within some areas. The workshop logistical arrangements of the workshop.
of working group to help review, follow through, and Delegate from Malaysia reminded the workshop outputs especially the recommendations, roadmap
push for various demands to the government.. Maybe participants on the missing important component
we can collaborate with the ICA and other AMSs under Competitiveness. The agri-coop feasibility
regarding the policy development for this. studies should be situated as a side activity, instead
of major activity, and several major activities were
She suggested that we should have an internal policy unidentified there such as products and services
to support our farmers. For example, ASEC could use development, improvement, and innovation.
cooperatives’ products like tea and coffee for their
meetings. She recalled a conversation with Senior
Officer Dian, a local farmer who said “such decision
depends on the AMS agency as the local host”. We
should begin by giving preferential patronage to and
using products from our agri-coops for all ASEAN-
related meetings.20
7. Annexes LIST OF INVITEES: o AFMA (Agricultural and Food
21
• 10 ASWGAC Focal Point Marketing Association for Asia and
Enhancing the Role of Agricultural Cooperatives in the Agricultural Global Value Chain
The 2nd Regional Workshop on Developing the Action Plan of ASEAN Roadmap for
PROCEEDINGS REPORT
• ACEDAC Secretariat the Pacific)
• ASEAN Secretariat (FAFD) o Agriterra
• AFOSP Stakeholders o DGRV
7.1. Concept note the priority with suggested activity to launch an o EU Mission o IDH Sustainable Trade Initiative
e-commerce with e-payment system using the o IFAD • Others Potential Partners:
existing platform under ACCMSME. Under financial o ASIAN Farmers Association o Agricord (FFP)
CONCEPT NOTE service, it was recommended to establish a weather o ASEAN Foundation o GIZ (ASEC Office)
The Second Regional Roadmap Workshop index for insurance scheme. The Meeting discussed • Development Partners Who attended the o Non-Timber Forest Product (NTFP)
on Developing the Action Plan of the ASEAN the possibility to conduct another regional roadmap previous workshop NGO
Roadmap for Enhancing the Role of Agricultural workshop to develop a new project/collaboration o FAO o E-commerce/marketplace platform
Cooperatives in the Agricultural Global Value in order to implement the roadmap based on the o Growasia o Private company
Chain priorities discussed at the first regional roadmap o IFPRI
workshop focusing on cooperatives insurance and
25 September 2019 e-commerce with agreed appointment of lead country
ASEAN Secretariat, Jakarta for each thematic project.
The Meeting requested the ACEDAC Secretariat, 7.2. Agenda of the workshop
BACKGROUND the ASEAN Secretariat and the ASEAN Foundation Time Activities PiC
The ASEAN Roadmap for Enhancing the Role of under the project of ASEAN Farmers’ Organisations 08:30 – 09:00 Registration ASEAN Foundation
Agricultural Cooperative in the Global Value Chain Support Programme (AFOSP) to facilitate a second 09:00 – 09:30 Welcome Remarks ASEAN Foundation
(ASEAN Roadmap)2018–2025 was approved by Ad. regional roadmap workshop. - Chair of ASWGAC
Referendum on 4 June 2018 by the focal points of - ACEDAC Secretariat
the ASEAN Sectoral Working Group on Agriculture OBJECTIVE: - ASEAN Secretariat
- Group Photo Session
Cooperatives (ASWGAC). The document was further The second regional workshop is organised with the
09:30 – 09:45 Presentation the result of ASEAN roadmap workshop: multi- ACEDAC
endorsed by the 40th AMAF Meeting in Viet Nam in following objectives:
stakeholder partnership to enhance the role of agricultural
October 2018. - to deliberate on the draft action plan that was cooperatives in the agricultural global value chain.
drafted in the first regional roadmap workshop in 09:45 – 10.45 Focus Group Discussion on key priorities and action plan for the Facilitator: TBA
On 28 February 2019, the first regional roadmap February 2019 by reaffirming the recommended Roadmap
workshop was organised to translate the ASEAN actions, identify the Lead Country and possible
Roadmap into an action plan to highlight priorities in partners as well as timelines Group 1. Institutional/Capacity Development and Access to finance for Assisted by:
order to harmonise actions of the national cooperatives - to outline new projects from the draft action plan investments and working capital markets - ACEDAC
- ASEC
with the four pillars of the ASEAN Roadmap. This for ASWGAC’s consideration in 2020 for mode of
Group 2. Competitiveness and Access to Market
workshop brought together multi-stakeholders to cooperation to implement
enhance the role of agricultural cooperatives in the
agricultural global value chain as it attended by focal OUTPUTS: 10.45 – 11.00 Coffee/tea break
points of ASWGAC, ACEDAC Secretariat, farmers - 20 participants from ASWGAC, ACEDAC,
Organisations and cooperatives, private sector, and ASEAN Secretariat, development partner and 11.00 – 12.00 Presentation by Group 1 and Group 2
Q&A
development agencies. Later, the draft action plan private sector
was submitted to the 21st ASWGAC Meeting in Nay - A recommended action plan 2021-2025 at the 12:00 – 13:30 Lunch break
Pyi Taw. regional level based on the pillars of the roadmap 13.30 – 14.30 Plenary Session: Facilitator: TBA
for submission to the next ASGWAC Meeting in Discussion and review the draft Action Plan and Priorities for the
At the 21st ASWGAC Meeting, the Meeting noted the 2020 Roadmap Assisted by:
- ACEDAC
organisation of the first regional roadmap workshop
- ASEAN Foundation
where a fruitful exchange of views resulted in a EXPECTED OUTCOMES: Coffee/tea Break
recommended action plan and priorities that can Strengthen cooperation among regional 14.30 – 15.00 Wrap up and way forward of the Chair: ACEDAC
be utilised to operationalise the ASEAN Roadmap stakeholder to operationalize Action Plan Action Plan and Priorities
2019-2025 by the ASWGAC and/or stakeholders for and Priorities of ASEAN Roadmap 2019- Assisted by
cooperation. Based on the discussion, strengthening 2025. Closing ASEC
the market access and capacity building on
agricultural cooperatives were considered asYou can also read
