Overview of Market Development Division

Technical assistance is an essential and integral component of IFDC’s program to assist developing countries in increasing crop production through the expanded and more efficient production, procurement, marketing and use of agricultural inputs, particularly fertilizers. This technical assistance is IFDC’s principal means of transferring fertilizer supply and use technologies, developed at IFDC or by others, which are needed to raise the level of performance of national fertilizer sector operations.

The Market Development Division is IFDC’s primary provider of technical assistance. It covers two main programs:  Institutional Development and Economic and Policy Development.  The Institutional Development Program handles the projects that relate to the business side of fertilizers and other agricultural inputs, particularly, marketing.  The Institutional Development Program operates several major overseas projects and prepares fertilizer sector analyses.

Institutional Development Program — The main functions of the Institutional Development Program are to (1) identify problems and opportunities as related to agricultural input and output market development in developing and emerging market economy countries; (2) in collaboration with our partners, design programs to address the development assistance needs; (3) implement development projects that tend to develop agricultural markets; and (4) increase agricultural production through the creation, development, and nurturing of a private sector that will undertake the various functions necessary to enhance agricultural productivity. 

Economic and Policy Development Program — An enabling policy environment has been recognized worldwide as an essential prerequisite for developing agricultural markets. Macroeconomic stability, nondistorted pricing environment, and enforceable and enforced regulatory frameworks are pillars to hold well-functioning and efficient markets. 

The Economic and policy development program ensures through market assessment work, project development and advisory services, and policy analysis and dialogue that developing and transitional economies provide an enabling environment for agricultural markets. Additionally, this program is also involved in analyzing feasibility of investment programs, socioeconomic suitability of new technologies, implications of multilateral trade agreements for agriculture and agribusiness, and economic and policy measures needed to protect the environment. This program’s scientists have completed several policy and market assessment studies including An Action Plan for Developing Sustainable Input Supply Systems in Malawi, An Action Plan for Developing Sustainable Input Supply Systems in Ghana, Agricultural Input Markets in Nigeria: An Assessment and A Strategy for Development, and Implications of the Uruguay Round Agreements for Agriculture and Agribusiness in Bangladesh.

The primary recipients of IFDC’s technical assistance include government ministries, parastatal and private-sector fertilizer producers and marketing organizations, international and regional development organizations, and national regional fertilizer associations. In general, IFDC provides technical assistance on a cost-reimbursable basis, ranging from short studies costing several thousand dollars to multi-year sector developmental projects that cost several million dollars.

IFDC relies principally on its staff of professionals experienced in most aspects of fertilizer sector operation. As needed, additional expertise is obtained from outside sources. The methodology employed in implementing technical assistance projects depends on the nature of the particular work undertaken.  Projects involving sector development studies require a team of experts in the necessary disciplines, including project planning, data gathering, data analysis, and report preparation. Projects related to the actual development of an agricultural input sector require assigning several staff members for an extended period of time to remain in-country, along with identified local experts and short-term consultants to carry out the needed transformations in the sector. Training is usually an integral part of many of the overseas projects as it becomes necessary to transfer specific technological aspects.
 

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