Implementing Agency:
Department For International Development (LACAD)

Managing Institute:
Department For International Development (LACAD)

Project Code: 121-500-009	Start Date: 27-May-94	End Date: 01-Sep-95
Commitment: £320,400	Status: Completed	Type of Funding: Bilateral - TC

Project Background:
Paraguay stands at a critical but highly promising crossroads. An authoritarian regime has been deposed and the new Government has taken a number of strong actions to restore stability, including improving public finances, bringing down inflation, unifying and liberalising the exchange rate, freeing many interest rates, and initiating tax reform. The current Government has a unique opportunity to develop a working democracy in an environment of financial stability and strong sustainable economic growth.

The project is given high priority by the Vice-Ministry of Livestock (Sub-Secretaria de Ganaderia - SSG) of the Ministry of Agriculture. The agrarian sector is important to the Paraguayan economy as:

* The agricultural, livestock and forestry sectors constitute the main source of foreign exchange, together representing 95% of the value of exports.

* Approximately 50% of the active economic population are engaged in the agricultural sector, with the traditional rural farmer representing the highest proportion.

* Preliminary figures of the agricultural census 1991 indicate a total of 305,997 farms in the country occupying 57% of the land, of which 75% are engaged in livestock activities.

Project Objectives:
The project seeks the effective adjustment of Paraguay's livestock sector to meet opportunities and challenges of the common market, through 3 objectives:

* To ensure implementation of the livestock sector review strategy through institutional strengthening within the livestock sector.

* To strengthen policy analysis capability within the Vice-Ministry of Livestock.

* To improve the collection, analysis and distribution of relevant livestock data.

Intended Outputs:
Capablity of the Vice-Ministry of Livestock to implement LSR strategy efficiently and effectively.

Planning and Policy Unit (PPU) established and having central influence on Vice-Ministry's livestock policy formulation and implementation.

An effective livestock information database for competent planning and management of livestock development.

Delegated programme and project management structure.