Agrarian Studies and Projects' Association

The Strategy and Future Expansion

The ASPA's strategy is based upon the immediate necessity of promptly reply to the new demand raising from rural entrepreneurs since Albania entered in a market oriented economy.  Actually ASPA comprises a multidisciplinary team consisting in 6 experts trained in/outside Albania in different fields such as economics, financial and business management, marketing development and research, agronomy engineering and livestock husbandry... etc.
ASPA is based in Tirana and actually develop contacts in close located agricultural districts the proximity of which with local entrepreneurs enables the ASPA to respond to the existing demand. Its activity is going to be increased and is actually present in two main districts of Albania (Tirana and Durres) and is investigating the possibilities for extending its activity in other districts such as Shkodra, Lushnja, Kavaja, Elbasan, Korca, Fieri, Lezha... etc.

ASPA's Clients and Customers

Main clients of ASPA are different agro-businessmen, private Institutions, NGO-s whose interests pertain to the agricultural and agribusiness development. Following is given a brief description of the main ASPA's clients.

1. Individual farmers, producers:
Physical persons, involved in advanced forms of agricultural entrepreneourships: i) owning specific assets: greenhouses, cattle, irrigation or mechanization tools... etc and ii) specializing their production toward a specific crop requiring specific inputs and know-how, linked with marketing opportunities such as agro-industries and/or exporters.

2. Private Farmers Associations (PFA)

Juridical persons constituted according the existing Law on Associations. PFAs are able to farm larger areas of land due to the voluntary contribution in assets of each member, i.e. usually land.

3. Agricultural in/output marketing agents (input dealers, wholesalers, agro-industries)

Physical or juridical persons that are providing agricultural inputs and/or marketing opportunities to farmers, especially in collaboration with the Agro-Industry Business Advisory Unit of the project.

4. Foreign sources of investment for agriculture development
These include: (Non-)Governmental organizations involved in agriculture development in Albania (Swiss cooperation in Durres, Italian NGO in Elbasan), private investors and agricultural input dealers (Durres, Shkoder, Kavaje, Lushnja).

Fields of Advise, Guidance and Technical Assistance provided by ASPA

1. Technical Assistance and Advise
Legal issues related with the organization among farmers/producers (statutes) as well as linkages of producers with traders and agro-industries (contracts).

Best financial terms of a contract for export of semi-processed vegetables (Durres); 
Statutes of a French-Albanian Limited Company (Korçe), and of "Adriatik" Association - "Potato and Vegetables Growers Association" (Divjaka region).

2. Small-scale agricultural project identification and marketing research.

Agricultural crop budgeting (under different farming systems), as well as budgeting of pigs meat, eggs and other agricultural products.
Financial analysis of investments (milk plant in Gramsh and Elbasan, egg plant in Tirana).

3. Links Between Producers and Wholesalers / Agro-processing Plants

1. Technical assistance

Preparation of business-plans to be submitted to the national financial institution (Rural Commercial Bank) funded by World Bank, EU-PHARE, GTZ, Italian Cooperation.

2. Choice and appraise appropriate production technologies

· Greenhouse rehabilitation /construction : guide to investors and banking institutions;
· Utilization of by-products of the dairy industry for animal food.

3. Implementation of private extension services

· Greek tobacco joint-venture (Elbasan);
· Tomato producers (Durres, Kavaja);
· Vegetables under low tunnels "Adriatik" (Potato and Vegetable Growers Association).

4. Consolidation of debt arrears

· Case of a Private Farmers Association "Progresi" funded by Swiss Cooperation (Durres);
· Case of Vegetable and Potato Growers Association "ADRIATIKU".

5. Training of trainer and managers

· Training of national advisors in agri-business: selected staff of MAF, NGO staff;
· Training of rural extensionists in business-plan preparation;
· Training of the managers and of the accountants of a PFA (Durres);
· Design of ad-hoc stock management sheets for a wholesaler of fresh agricultural products.

6. Marketing of agricultural products

· Promotion of wholesale and rural assembling points.
· Pre-selection of high potential commodities possibly to be traded in foreign markets.
· Overview on agricultural wholesale and retail markets

Activities and Studies Undertaken by ASPA so far

Follows is given a brief description of studies/activities undertaken by advisors of ASPA:
1. Business-Plan Formulation  for"Small Scale Greenhouses' pilot program"

In the framework of the pilot program named above, ASPA was requested by the Ministry of Agriculture and Food and by the Rural Commercial Bank to provide assistance to farmers in the formulation of more than twenty business plans, on the basis of which most promising initiatives have been selected and financed through credits.

· "Business Plans Preparation for private entrepreneurs"

More than 70 business plans in the area of poultry and pigs' breeding and protected vegetables cultivation (greenhouses and low tunnels) have been prepared for private entrepreneurs and submitted to local Credit Institutions (Rural Commercial Bank, National Commercial Bank, American-Albanian Enterprises' Fund), etc.

2. Agrarian Systems' Diagnosis in selected areas" Districts of Shkoder, Durres, Korca and Lushnja

The Agrarian Systems' Diagnosis is based on a global approach aiming at discerning and comparing farm's performances in terms of incomes and of productivity. These districts are selected as representatives of main agro-ecological regions of Albania being convinced that such a selection covers the diversity of farming practices.
The Agrarian Systems' Diagnosis is focused at commune level and always the analysis unit is the household family. Since the final results of such The Agrarian Systems' Diagnosis are based on the data gathered at farm level, this global approach allows the generality of the agricultural context of the region generated by analysis of individual cases (farms).
Such Agrarian Systems' Diagnosis provides detailed information concerning following questions:
_ Which is the typology of farms and the farm models relevant to the area?;
_ Which is household family composition, farm size and layout?;
_ Which are the current performances achieved by farms in terms of capability in employing working forces, generating incomes, intensifying use of land?;
_ Which are the costs and the incomes generated by activity (cash crops, food and fodder crops, cattle, poultry ..etc)?.
These studies are being undertaken by the advisors of ASPA as a component of a broader reflexion and are presented separately for each of above districts aimed in a near future undertaking a comparative analysis of agrarian systems' diagnosis in different agro-ecological regions of Albania and constructing the agrarian systems in Albania.

3. Marketing and Trade

A)  "Market Research on Fresh and Processed Tomatoes"

This study has been carried out with the aim of giving a comprehensive picture on marketing possibilities for fresh and processed tomatoes. Main actors along the market chains and relevant pricing mechanisms were identified.
The report has been redacted in the framework of an intensive training course carried out by Mr. I. Crawford, senior lecturer at the Cranfield University (UK).

B) "Albanian Agriculture products' marketing and trade"

This short note provides an outlook on the current situation of marketing and trade of domestic agricultural products in Albania.

C)  "Processed milk filière" (Case study in the Districts of: Kavaje, Durres and Tirana) 
D) "Processed meat filière" (Case study in the Districts of: Korçe, Tirana and Durres)
E) "Processed vegetables filière" (Case study in the Districts of Kavaje, Durres and Tirana)

These three studies have been carried out from April to July 1996 with the aim of supporting the Agro-Industry Department within the Ministry of Agriculture and Food.Main characteristics of production, collection, processing, distribution and marketing steps were assessed together with the relevant costs of such operations carried out by different actors along the filière.
Each study provides a comprehensive view on the present situation of commodities, at district level, evidencing main bottlenecks presently limiting the performance of main actors.

"Pre-selection of high potential commodities"

The objectives of this study stands on elaboration of the necessary conditions aimed on production improvements, pre-selection of high potential commodities, acquiring the basic elements for a preferential access to the European market and creating the possibility for making the agricultural production oriented towards the favorable/possible foreign market.
Once such objectives are achieved, are surveyed the possibilities for import substitution and is provide advise and guidance to a Draft for Agricultural Trade Policy aimed to the high potential commodities.

"Overview on Agricultural Markets"

In general this study seeks to provide an overview on physical situation of the agricultural retail and wholesale markets -in main districts- of fruits and vegetables, meat and milk products.
This study has dealt with the description of existing infrastructure and facilities (location, area, capacity etc), ownership, fiscal system and quality and sanitary control practices applied to these products.

"Price Analysis of Selected Commodities"

This document analyses the retail and wholesale prices' trend of selected agricultural products for a period of five months from January to May. It is illustrated with prices' charts that show the retailers' margin too. The changes of Albanian market situation is very well reflected. The prices have been collected by ASPA's consultants in Tirana, Shkodra, Fieri, Elbasan and Korca.

4. Agricultural Production

"Guide to Agriculture Business" ( Plastic and Glasshouse's Crop Cultivation

The Business Guide is one of the specialized services provided by the advisors of ASPA to local entre-preneurs and to financial or development institutions with the intent to contribute to the modernization of agriculture and agro-industries in Albania.
The Guide takes advantage from the information gathered directly at the source (farmers, traders, banks, Ministries, projects, international suppliers of equipment) compiled into databases on: cropping systems, inputs and outputs prices. Such guide is based on a spreadsheet model (see the illustration) and includes easy-to-understand set of indi-cators of finan-cial perform-ance.
The ASPA developed and extended this kind of services to other products (vegetables, egg, meat, milk production etc.) for private sector and Development institutions.

· "The possibilities for replacing maize with sourgum in not-irrigated areas of Elbasan"

Elbasani district has a lot of areas without irrigation or with a very limited irrigating possibilities especially those of Dumrea (Belsh), Bradashesh, Shushice, Labinoti etc. These areas are considered as dried, hill and relatively poor of nutritive matter. For this reason it is experimented the replacing of maize with sorghum in Bales of Bradasheshi commune. It is well known that sorghum is more resistant than maize to dryness and high temperatures, give higher yields, its nutritive matters are almost the same with those of maize and can be used without problems for breeding. It is noted that this replacement was successful so it should be practiced in other areas with similar conditions.

· "Short note on artificial warming of protected areas"

This lecture has been prepared to train the extensionists of Elbasani district. It is shown the importance of temperatures that should be used in greenhouses, the methods to realize these temperatures, the methods of calculating the temperature in different phases of plant growing, the warming means used for each type of greenhouse in the agro-climatic conditions in Elbasani district. These data can be used in other districts that have similar conditions.

"Analytical crop sheets for greenhouse crops"

These crop sheets had been developed for all crops grown under protected areas. In these sheets was made able the division the separately description of each cost item and the analysis of their weight in total cost value. The costs of greenhouses' building, plants grown, the rate of their exploitation, the costs of production and their prospective have been analyzed.

"Protected crops' cultivation under plastic tunnels"

This paper, under redaction, discusses the performance of early vegetables -namely melons- cultivation under tunnels, based on the practical record on a farmer in the District of Durres.
The paper provides description of the technology applied and compares the efficiency of such under Albanian financial and marketing conditions as surveyed on the field.

"Greenhouse Statistics" (National Study for FAO - TCP/ALB/4551 Project).

The main purpose of the study "Greenhouse Statistics" consisted on giving an exhaustive statistical picture of the present situation of the greenhouse sector, getting out the conclusions and providing recommendations for its further improvement.
Such purpose was achieved through collecting and analyzing the statistical information on: i) the geographical location and greenhouse distribution among farmers, ii) the size, types and characteristics of farms, iii) the cropping patterns and the calendar of transplanting and harvesting sequences for the main greenhouse crops, iv) drawing up of a typology for existing greenhouses (at national level) and characterization, through technical and financial files for the types of greenhouses identified upon the typology criteria.

"Marketing and Post-Harvest Handling of Greenhouse Vegetables" (National Study for FAO - TCP/ALB/4551 Project).

The main purpose of the study stand on: i) characterization of the existing marketing infrastructure and facilities at different levels, ii) presentation of information on harvest and post-harvest handling practices (including yield, on-farm transport, grading, packaging, quality standards and control), iii) evaluation of data (quantities and prices) available on fresh vegetables marketing on the different national and regional marketing facilities scale, iv) summarizing existing Government incentives and policies for promotion of marketing fresh vegetables, especially from greenhouse production.

Furthermore with the study has been possible to identify different actors on the market chain and analyzing and describing the functions performed by each actor, analyze pricing policy and price formation mechanisms... etc.

"Greenhouse Production Economics and Farmer's Access to Credit" (National Study for FAO - TCP/ALB/4551 Project).

The main aims of the study stands on: i) Data collection on farm economics through making use the specific questionnaire and analyzing them in table format of the Mediterranean Working Group, ii) evaluation of existing credit lines and sources of financing for greenhouse production purposes, and characterizing farmers' access conditions and their overall disbursement and recovery performances, iii) introduction of the Government strategy and presentation of specific existing policies (price and non-price) in the greenhouse sector in general (including specific supports for small scale farmers).
Furthermore with the study was made possible to describe for the main greenhouse production type (defined upon total exploitation surface and greenhouse surface) the gross and net margin of the exploitation and of the family, and the contribution of greenhouse production to the gross and netto margin of the family, and the influence on labor and capital. Moreover special attention was given to the presentation of family and gender-issues in relation with roles and responsibilities, division of labor, labor constraints and use of the net margin.

5. Livestock Production

"Small Scale Pigs' Breeding under present technical and market conditions"

This report summarizes the results of a Case Study carried out in the District of Elbasan during a three month period (March - June 1996).
The study compares the actual performance of three small-scale pigs' breeding farms in terms of growth performance and of production costs, and include a discussion on the effects of partial substitution of maize by sorghum, still largely unknown in Albania.

6. Training Manuals and Seminars

The ASPA has developed a training package for the use of public extensionists operating in rural areas all over Albania. Such a training package consists in the following modules, each being supported by a manual written both in English and Albanian.

"Leading Issues for Agrarian Systems' Diagnosis"

This manual is used by advisors of ASPA in conducing different appraisals at farm level. The manual provides the required knowledge for those people interested to appraise the agricultural situation in rural community.

The manual offers the possibility of discerning and comparing farms' performance in terms of income and productivity. Too, the manual allows the generality of the agricultural context of the region generated by analysis of individual cases (farms).

"Leading Issues in Formulation and Analysis of Agricultural Development Projects",

The purpose of the manual was to show that formulation and analysis of the projects, even though involves complex decisions and acts, is essentially a logical, systematic and coherent process.
Furthermore, the formulation process as a sequence of steps that starts with identification of existing problems and opportunities and finishes with a project designed to meet specific development objectives. An important feature of this report is that it is presented by an ordered series of stages logically connected.

"Business Plans Formulation"

This manual explain how can be formulate a business plan, what kind of data are required to do it, what types of pre-conditions are usually used, which is the format used, what tables are required to present and how can be drawn them?. These are questions done by a people not capable to formulate a business-plan when such a formulation becomes its necessity and immediate objective.
Apart the theoretical part, the manual contents too, the financial tables attached where is explained -through making use formula- how to drawn them and what is necessary to present within them.

"Marketing Research and Development"

The main purpose of the manual is to show the phylosophy of marketing research and the ways how to prepare it beginning from the data collection to final report preparing. It is specific for agricultural products and is illustrated with different examples of this field.

"Farm Management and Production Costs' Analysis"

This manual provides basic principles of farm management theory. Special attention is given to the opportunities' analysis of insufficient production sources destined to be used in alternative utilization possibilities and evaluating possible practical application within the farm context.
This manual can be used in order to understand the concepts of new market economy, in the conditions of actual Albanian farms. In this manual are given different ideas on farm management for little farms, the analyses of production costs and the possibilities of integration of little farms into big ones which can be more static in front of market economy's risks.
Moreover, the manual contents different frames of crop budgets where is made possible to individualize each production cost's component and to evaluate the specific weight of them.

"Characteriztion of Farm Mechanization Services in Geographical Area of Tirana, Durres, Kabaja, Elbasan and Lushnja"

The present Report is commissioned by the Food and Agriculture Organization of the United Nations for the Government of Albania under the FAO - GCP/ALB/005/ITA Project titled "Agricultural Production Support in Albania". It summarises the outcomes of a Consultancy mission on Farm Mechanization Services in the geographical area of Tirana and Durres done during December-February by a team of Consultants of ASPA - "Agrarian Studies and Projects' Association".
In general, the objectives of this report stand on characterisation of farm mechanisation services through evaluating the performance of identified parties involved in the farm mechanisation services' delivery system and analysing it in its whole parts as a "filiere". The objectives were: i) to identify the situation offer-demand ratio, concerning agro-mechanical services; ii) to identify and analyse the profitability at different levels of demand (dealers, contractors and farmers); iii) to provide practical technical and economical recommendations in view of reinforcing the project's marketing strategy aimed at improving farmer's performance; iv) to set-up an operational methodology in order to assess the functioning and the impact of farm mechanisation services' delivery system.
The overall objective is to promote the improvement and upgrading of the level of farm mechanisation services at a possible lower cost and to identify/establish alternative supply channels of agricultural machinery and implements.

Training Seminars

Having these training manuals and owning a precious experience in formulating business-plans, ASPA was requested by MoAF/Extension Service and Extension Service of Directorate of Agriculture of Elbasani districts to provide to their extensionists a training course of Business Plan Formulation.

Contact:
Agron HETOJA
Agro-Economist, Executive Director
Rr. Sami Frasheri, Tirane e Re;
Tel: 00 355 4 250224
Tel/Fax: 00 355 4 374332;
Mob. 0382024570
e-mail: ahetoja@icc-al.org
e-mail: ahetoja@albmail.com

The bank account is: A.S.P.A. No. 702779 at Banka Italo-Shqiptare, Rruga e Barrikadave,Tirane,
Tel: ++ 355 42 33966, Fax: ++ 355 42 35701 and TELEX: 2157 IABANK AB.