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Integrated Safeguards Data Sheet (ISDS) 
Section I 
–
Basic Information 
Date ISDS Updated:  November 30, 2004 
Report No.:AC1067
A. Basic Project Data  
A.1. Project Statistics 
Country: Mali 
Project ID: P081704 
Project: Agricultural Competitiveness and 
Diversification Project 
TTL: Patrick Labaste 
Total project cost (by component): US$40.00 million 
Appraisal Date: December 1
st
,
2004 
Loan/Credit amount($m):  
IDA: 35 
Board Date: February 15, 2005 
  
Other financing amounts by source: 
 
($m.) 
Managing Unit: AFTS4 
Sector: Agricultural marketing and trade 
(50%);Crops (20%);General agriculture, 
fishing and forestry sector (20%);Roads 
and highways (10%)
 
Lending Instruments: Specific Investment 
Loan 
 
Is this project processed under OP 8.50 (Emergency 
recovery)? 
Yes?
[
]
No?
[x ] 
Environmental Category:   B 
 
A.2. Project Objectives 
 
The project aims at increasing and diversifying rural incomes and economic opportunities through 
improvements of performance of the supply chains for a range of agricultural and livestock products, for 
which Mali has strong comparative advantage. It will support the development of commercial agriculture as 
a
means to move away from subsistence agriculture, which is often synonymous to poverty for a majority 
of rural households. The project will aim at reinforcing the competitiveness of both traditional (cotton, rice) 
and non-traditional (fruit, horticulture products, oil seeds, arabic gum, cashews, etc.) agricultural crops by 
targeted investment to remove critical bottlenecks, improve productivity and efficiency and build 
organizational and institutional capacities, both private and public, along the supply chains. 
 
A.3. Project Description 
 
The project consists of the following five components: 
Component 1: Innovation and dissemination of irrigation and value adding 
technologies
.
The project will support the testing and dissemination by private sector 
providers of low-cost, simple and adapted techniques and technologies to improve the 
production, productivity, processing and marketing of selected high value agricultural 
products.   
It will include three sub-components : (a) demonstration and promotion of technological 
innovations, particularly through a matching grant mechanism; (b) dissemination of 
techniques and technologies; and (c) development of private sector capacities to provide 
equipment, inputs and advisory services through the establishment and strengthening of 
private supply chains. 
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Promotion of innovative technologies will be supported in the three following areas:
 
(i) 
use of small-scale irrigation technologies and low-cost adapted irrigation equipment; (ii)
 
intensification of cropping systems and in-the-field productivity improvements for high 
value products; and (iii) dissemination of storage, post-harvest and agro-processing 
technologies and equipment, in order to improve the quality of products, their value-
added and increase revenues for producers. 
Component 2: Improvement of agricultural supply chains
.
The component aims at reinforcing 
private sector capacities to respond to market opportunities and improve the competitiveness of 
agricultural products, both traditional and high value products, for which Mali has comparative 
advantage. This would enable the country to diversify its export base and provide farmers with 
more diverse sources of income, thus reducing their exposure to risks. Although some high 
margin products are currently produced, exports are very low compared to that of other SSA 
countries such as Ghana or Senegal. The low level of productivity can be explained by a number 
of constraints including the high transport costs, low-quality of products, insufficient 
professionalism, use of rudimentary production techniques, lack of rural infrastructure such as 
storage, processing plants, and the lack of market information. 
This component will support (i) training and institutional capacity-building (supply chain 
organization, inter-professional dialogue, etc.); (ii) provision of adapted business 
development services (market research, market information systems, private extension 
and advisory services, etc.); (iii) quality and food safety management and standards 
compliance; and (iv) market research and studies (business plan preparation, commercial 
and logistic tests, prospective surveys, etc.).   
Component 3: Access to financing
.
This component aims at
 
facilitating access to capital 
and financial services for the various private actors and operators of the agricultural 
supply chains. It also intends to induce local financial intermediaries (Banks, MFIs and 
existing guarantee funds) to increase their outreach and respond to the needs of the 
various actors in the marketing chain (producers, traders, processors, transporters etc), 
while strengthening the current agriculture credit market in Mali. The project will deliver 
resources to : (i) provide technical assistance and build the know-how and capacities in 
the financial institutions in order to improve the offer of financial services at competitive 
prices.; (ii) set up a partial guarantee fund to enable financial institutions to increase their 
operations in the sector; and (iii) address weaknesses in the range of financing 
instruments available to respond to the needs of agro-food supply chains (leasing, 
warehouse receipts, etc.).  
The component will include three sub-components: 
1. 
Technical assistance for financial institutions and reinforcement of capacities to appraise and supervise 
sub-projects and operations in the sector. The objective is to enable financial institutions to extend their 
offer of equity capital, agriculture related loans and other services, while improving their turn-over in 
this particular sector in a sustainable manner.  
2. 
Initial endowment and support to the operation of a partial guarantee fund to help financial institutions 
engage more actively in the sector by providing partial guarantee coverage. This fund will in priority 
guarantee medium terms loan for capital goods destined to farmers, agro businesses and exporters. 
3. 
Support to the creation and development of a range of financing instruments adapted to serve small 
farmers, rural entrepreneurs, agro-enterprises and agribusinesses, particularly for innovative projects in 
the chosen commodity marketing chains. 
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Component 4: Market-oriented infrastructure
.
This component will provide resources 
to carry out an investment program in basic commercial and communication 
infrastructure, in order to improve linkages to markets and reduce transaction costs. It 
will (i) facilitate the creation of collection centers, storage and processing facilities to 
support the development of agricultural supply chains and improve their competitiveness, 
and (ii) carry out an emergency feeder road rehabilitation program which is critical for 
post-harvest and marketing operations. 
This component will include two sub-components for public/collective infrastructure: 
1. 
construction of commercial infrastructure such as export facilities, cold chain, storage facilities, pack 
houses, wholesale markets, etc.; 
2. 
rehabilitation/improvement of rural roads, particularly in cotton-growing areas and to secure access to 
post-harvest, processing and commercial infrastructure built with the assistance of the project. 
Rehabilitation of feeder roads is key to improve the collection of cotton and other agricultural commodities 
and provide access to marketing infrastructure and to areas with high increase potential of agricultural 
production. Construction and maintenance of rural roads were part of the public service missions, which 
were transferred from the cotton company (CMDT) to the relevant ministries in the framework of the 
cotton sector restructuring program supported by the recent Bank’s Structural Adjustment Credit (SAC III). 
However, during this transition period, maintenance of many roads has been neglected due to lack of 
resources and adequate funding mechanisms. Rehabilitation will entail essentially the treatment of hot 
spots. 
Component 5: Project management and M&E
.
This component
 
will provide the 
resources necessary to ensure adequate project management, particularly overall 
coordination, financial management and procurement of goods and services, as well as 
Monitoring and Evaluation (M&E) of results. 
 
Component 
Indicative 
Costs 
(US$M) 
 
%
of  
Total 
Bank- 
financing 
(US$M) 
 
1. Innovation and dissemination of 
irrigation 
 
and value-adding technologies 
10.00 25.0 
TBD 
 
2. Improvement of agricultural supply 
chains  
5.00 12.5 
TBD 
 
3. Access to financing  
5.00 
12.5 
TBD 
 
4. Market-oriented infrastructure 
15.00 
37.5 
TBD 
 
5. Project management and M&E 
5.00 
12.5 
TBD 
 
Total Project Costs
40.00  
35.00 
 
Total Financing Required
40.00 100 
35.00 
 
A.4. Project Location and salient physical characteristics relevant to the safeguard 
analysis: 
 
Project activities will be undertaken in four regions (Koulikoro, Mopti, Segou and
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Sikasso), where cotton and high-value diversification crops are cultivated. The project 
will ensure that the protected areas are not affected by the new activities.  
 
Although there are culturally sensitive areas in Mali such as ancient burial sites and sacred groves, the 
proposed activities of the project will have no impact on cultural property.  Where there is a possibility that 
project activities will encroach on these areas, project activities will be diverted to ensure that these 
culturally and socially sensitive areas are avoided.
 
B. Check Environmental Category 
A
[
], B [X], C [ ], FI [ ] 
 
Comments:  
C. Safeguard Policies Triggered 
 
Yes No 
 
Environmental Assessment
(
OP
/
BP
/
GP
4.01) [X] 
[ 
]  
Natural Habitats
(
OP
/
BP
4.04) [ 
] 
[X] 
 
Pest Management
(OP 4.09) 
[X] 
[  ] 
 
Cultural Property
(draft OP 4.11 - 
OPN 
11.03
-) 
[
]
[X]  
Involuntary Resettlement
(
OP
/
BP
4.12) 
[X] 
[  ] 
 
Indigenous Peoples
(
OD 4.20
)
[
]
[X]  
Forests
(
OP
/
BP
4.36) 
[  ] 
[ X] 
 
Safety of Dams
(
OP
/
BP
4.37) [ 
] 
[X] 
 
Projects in Disputed Areas
(
OP
/
BP
/
GP
7.60)
*
[
]
[X]  
Projects on International Waterways
(
OP
/
BP
/GP 7.50) 
[
]
[X]  
*
By supporting the proposed project, the Bank does not intend to prejudice the final determination of the parties' 
claims on the disputed areas
 
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Section II 
–
Key Safeguard Issues and Their Management  
D. Summary of Key Safeguard Issues
 
D.1. Describe any safeguard issues and impacts associated with the proposed project. 
Identify and describe any potential large scale, significant and/or irreversible impacts. 
 
The project has been rated B since there are some adverse environmental impacts from 
construction/rehabilitation and other project-related activities, such as pesticides use for 
high value crops, waste water/residues disposal and treatment for processing units, 
particularly slaughterhouses. Collaboration with the EU-funded Pesticide Initiative 
Program will be enhanced.  All these impacts have been thoroughly analyzed in the ESIA 
and addressed through the ESMP.  
D.2 Describe any potential indirect and/or long term impacts due to anticipated future activities in the 
project area. 
 
No such long term impacts are anticipated.   
D.3. Describe the treatment of alternatives (if relevant) 
 
N.A. 
D.4. Describe measures taken by the borrower to address safeguard issues. Provide an 
assessment of borrower capacity to plan and implement the measures described. 
 
(1) A comprehensive Environmental and Social Impact Assessment (ESIA) has been carried out to analyze 
potential environmental and social impacts of project activities, particularly vis-
ŕ-vis safeguards that have 
been identified as triggered.  
 
(2) Mitigation measures will be implemented by the client in order to limit those impacts.  
 
(3) As far as Pest Management is concerned, the ESIA has analyzed potential risks in 
increased use of agro-chemicals in the intensified production systems and has 
recommended to manage these impacts in the framework of the EMP implemented 
through the ongoing Ag. Services Project (PASAOP), including an IPM initiative. In 
addition, it is worth pointing out that due to importing markets requirements for fresh 
agricultural produce like horticulture products, a collaboration has been established with 
the EU-funded Pesticide Initiative Program, which aims at ensuring compliance with the 
Maximum Residue Limit (MRL) legislation.  
 
(4) A Resettlement Policy Framework that covers the areas affected by the 
construction/rehabilitation of rural roads and small warehouses has been prepared in the 
framework of a Mali Transport project and will also apply to this project. It has been 
published in the paper “L’independant”’ on December 10, 2004. 
 
(5) An Environmental and Social Management Framework (ESMF) is also being 
prepared and it will describe the process for screening, selection, clearance, 
implementation, monitoring and maintenance of sub-projects that could have 
environmental consequences but whose descriptions were not completed at the time of 
the ESIA such as the infrastructure and equipmen
t
for storage, conservation, processing 
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and commercialization.  The ESMF will be sent for clearance by the Africa Safeguards 
Enhancement team upon its completion. 
D.5. Identify the key stakeholders and describe the mechanisms for consultation and 
disclosure on safeguard policies, with an emphasis on potentially affected people. 
Stakeholders include farmers, traders, small agro processors, service providers, input 
suppliers and exporters involved at the various levels of the selected agricultural supply 
chains.  
As far as the rural infrastructure component is concerned, support will be provided to 
local communities in the implementation of environmental and social mitigation plans, 
and the integration of the rural roads rehabilitation programs in the local/regional 
development plans 
 
The ESIA\RPF have been disclosed at the WB Info Shop and in the country.  The ESMF 
will be disclosed in the country and at the WB Info Shop after clearance from the Africa 
Safeguards Enhancement Team (ASPEN).  Radio broadcasts and newspapers 
announcements have informed the population of the availability of the Report at the 
following ministries: Economy and Finances; Agriculture; Livestock and Fisheries; 
Environment; Commerce and Industry; Promotion of Investments and Small Businesses 
and at the National Archives. 
 
F. Disclosure Requirements                                 Date
 
Environmental Assessment/Audit/Management Plan/Other:  
Date of receipt by the Bank 
11/01/2004     
Date of “in-country” disclosure 
11/30/2004      
Date of submission to InfoShop 
11/19/2004    
For category A projects, date of distributing the  
Executive Summary of the EA to the Executive Directors: Not Applicable 
Resettlement Action Plan/Framework/Policy Process: 
Date of receipt by the Bank 
 12/09/2004  
Date of “in-country” disclosure 
 12/10/2004      
Date of submission to InfoShop 
 12/13/2004   
Indigenous Peoples Development Plan/Framework:  
Date of receipt by the Bank 
Not Applicable 
Date of “in-country” disclosure 
Not Applicable 
Date of submission to InfoShop 
Not Applicable 
Pest Management Plan: (integrated in the Env. And Social Impact Assessment) 
 
Date of receipt by the Bank 
11/01/2004 
Date of “in-country” disclosure 
11/16/2004 
Date of submission to InfoShop 
11/19/2004 
Dam Safety Management Plan:  
  
Date of receipt by the Bank 
Not Applicable 
Date of “in-country” disclosure 
Not Applicable 
Date of submission to InfoShop 
Not Applicable 
If in
-
country disclosure of any of the above documents is not expected, please explain 
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why. 
 
Section III 
–
Compliance Monitoring Indicators at the Corporate Level 
(To be filled in when the ISDS is finalized by the project decision meeting) 
OP/BP 4.01 - Environment Assessment:
 
Yes
No
Does the project require a stand-alone EA (including EMP) report? 
X 
 
If yes, then did the Regional Environment Unit review and approve 
the EA report? 
X
Are the cost and the accountabilities for the EMP incorporated in the 
credit/loan? 
X
OP/BP 4.04 - Natural Habitats: 
Yes
No
Would the project result in any significant conversion  or degradation 
of critical natural habitats? 
 X 
If the project would result in significant conversion or degradation of 
other (non-critical) natural habitats, does the project include 
mitigation measures acceptable to the Bank? 
 
OP 4.09 - Pest Management: 
Yes
No
Does the EA adequately address the pest management issues? 
X 
 
Is a separate PMP required? 
 
X 
If yes,  are PMP requirements included in project design? 
 
 
Draft OP 4.11 (OPN 11.03) - Cultural Property: 
Yes
No
Does the EA include adequate measures? 
 
N/A 
Does the credit/loan incorporate mechanisms to mitigate the potential 
adverse impacts on physical cultural resources? 
 
OD 4.20 - Indigenous Peoples: 
Yes
No
Has a separate indigenous people development plan been prepared in 
consultation with the Indigenous People? 
 N/A 
If yes, then did the Regional Social Development Unit review and 
approve the plan? 
 
If the whole project is designed to benefit IP, has the design been 
reviewed and approved by the Regional Social Development Unit? 
 
OP/BP 4.12 - Involuntary Resettlement: 
Yes
No
Has a resettlement action plan, policy framework or policy process 
been prepared? 
X
If yes, then did the Regional Social Development Unit review and 
approve the plan / policy framework / policy process? 
12/10/04
OP/BP 4.36 
–
Forests: 
Yes
No
Has the sector-wide analysis of policy and institutional issues and 
constraints been carried out? 
N/A  
Does the project design include satisfactory measures to overcome 
these constraints? 
 
Does the project finance commercial harvesting, and if so, does it 
include provisions for certification system? 
 
OP/BP 4.37 - Safety of Dams: 
Yes
No
Have dam safety plans been prepared? 
 
N/A 
Have the TORs as well as composition for the independent Panel of 
 
 
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Experts (POE) been reviewed and approved by the Bank? 
Has an Emergency Preparedness Plan (EPP) been prepared and 
arrangements been made for public awareness and training? 
 
OP 7.50 - Projects on International Waterways: 
Yes
No
Have the other riparians been notified of the project? 
 
N/A 
If the project falls under one of the exceptions to the notification 
requirement, then has this been cleared with the Legal Department, 
and the memo to the RVP prepared and sent? 
 
What are the reasons for the exception? 
 
 
Please explain: 
 
 
Has the RVP approved such an exception? 
 
 
OP 7.60 - Projects in Disputed Areas
:
Yes
No
Has the memo conveying all pertinent information on the 
international aspects of the project, including the procedures to be 
followed, and the recommendations for dealing with the issue, been 
prepared, cleared with the Legal Department and sent to the RVP? 
 N/A 
Does the PAD/MOP include the standard disclaimer referred to in the 
OP? 
 
BP 17.50 - Public Disclosure: 
Yes
No
Have relevant safeguard policies documents been sent to the World 
Bank's Infoshop? 
X
Have relevant documents been disclosed in-country in a public place 
in a form and language that are understandable and accessible to 
project-affected groups and local NGOs? 
X
All Safeguard Policies: 
Yes
No
Have satisfactory calendar, budget and clear institutional 
responsibilities been prepared for the implementation of the safeguard 
measures? 
X
Have safeguard measures costs been included in project cost? 
X 
 
Will the safeguard measures costs be funded as part of project 
implementation? 
X
Does the Monitoring and Evaluation system of the project include the 
monitoring of safeguard impacts and measures? 
X
Have satisfactory implementation arrangements been agreed with the 
borrower and the same been adequately reflected in the project legal 
documents? 
X
Signed and submitted by:
 Name
Date
Task Team Leader: 
Patrick Labaste 
12/10/2004 
Project Safeguards 
Specialist 1: 
Amadou Konare 
12/10/2004 
Project Safeguards 
Specialist 2: 
Yvette Djachechi 
12/10/2004 
Project Safeguards 
Specialist 3: 
 
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Approved by:
 Name
Date
Regional Safeguards 
Coordinator: 
Thomas Walton 
12/10/2004 
Comments: 
Sector Manager: 
Mary Barton-Dock 
12/10/2004 
Comments: