Derestricted
FTAA.sme/inf/112
August 12, 2003
Original: Spanish
Translation: FTAA Secretariat
FTAA – CONSULTATIVE GROUP ON SMALLER ECONOMIES
PARAGUAY
BASIC FORMAT FOR THE PRESENTATION
OF SPECIFIC PROJECT PROFILES UNDER THE
HEMISPHERIC COOPERATION PROGRAM – RELATED TO AGRICULTURE
- PROJECT TITLE
STRENGTHENING PARAGUAY’S NEGOTIATING CAPACITY: SUPPORT FOR THE HARMONIZATION OF
AGRICULTURAL AND TRADE POLICIES
- EXECUTING AGENCY
Government of Paraguay, through the Ministry of Agriculture and Livestock
(MAG) – General Directorate of Planning. (Pte. Franco 475, Tel.
595-21-493-927)
- BACKGROUND
The Government of the Republic of Paraguay, based on its 1999/2003 program to
raise the standard of living and improve the quality of life of the Paraguayan
people, designed and implemented the STRATEGIC ECONOMIC AND SOCIAL PLAN
(P.E.E.S.). The goal of the plan is to lay the foundation for a new development
model supported by private initiatives, by eliminating structural inefficiencies
and obstacles from the country’s production and institutional systems in order
to achieve a sustained increase in real GDP per capita and reduce poverty and
inequality. The program framework requires that the country’s domestic policies
be tailored and harmonized to the global economic situation, and particularly to
international trade, as a means of achieving competitiveness in an era of
globalization, and with a view to making a strong, genuine effort to consolidate
socioeconomic development in the country.
- RATIONALE
Significant changes at the national and global level constitute huge
challenges and demands for the agricultural sector: modernization, improved
competitiveness, diversified and specialized production, increased international
insertion, environmental sustainability, and improved rural living conditions
are all goals—not always compatible—that must be urgently addressed by
government programs, particularly in countries with smaller economies, such as
Paraguay, that are highly dependent on agriculture and foreign trade.
Sectoral strategy, therefore, must be brought in line with general economic
strategy by harmonizing policies and instruments. Limited government resources,
increasingly dependent on macroeconomic goals, require the optimization of
procedures for prioritizing these goals, as well as innovations and improvements
in public administration.
The implementation of this project will help set in motion efficient mechanisms
for involving all economic agents in the policy formulation process, as a way to
establish a system to spur modernization and competitiveness in agricultural
production in two ways: first, by establishing an economic information system
that will be a key factor in establishing links between market agents and in
identifying and making decisions with regard to investment projects.
Second, by strengthening the administrative capacity of MAG negotiators to
consistently fulfill their duties, in response to the increasing investment in
international trade that characterizes the Paraguayan economy, and to the new
and greater challenges for the agricultural sector that accompany this increase.
- PROJECT OBJECTIVES
General Objective
Modernize and strengthen the capacity of the General Directorate of Planning
(DGP) and the Special Commission on International Trade and Integration (CECII)
of the Ministry of Agriculture and Livestock (MAG), in order to optimize their
contribution to the formulation of policies that promote the socially and
environmentally sustainable development of the agricultural sector and that are
harmonized with current rules of the economy and international trade.
Specific Objectives
- Strengthen and develop capacities to formulate and evaluate sectoral
policies in production, foreign trade, rural development, and environmental
sustainability.
- Develop institutional and technical capacities to ensure an effective and
timely dialogue with the various entities of importance for sectoral
development.
- Achieve the technical capacities required to operate as a technical support
secretariat for consultative bodies at the upper levels of the MAG.
- Create the necessary technical capacities to optimize the allocation of
institutional resources as a function of development objectives, organize
international cooperation initiatives, and modernize institutional management.
- Set up a comprehensive economic information system that would support public
and private sectoral agents.
- Train DGP and CECII technicians in the basic skills required to understand
the comprehensive trade relations between industrialized nations and smaller
economies, such as Paraguay.
- INPUTS
The resources required for the project are as follows:
COMPONENTS |
RESOURCES REQUIRED |
EXPERTS
to formulate and design MAG agricultural and trade policy
|
- 1 agricultural policy expert for a period of 10 months
- 1 international economics expert for a period of 8 months
- 1 international trade expert for a period of 8 months
|
Training of DGP and CECII technicians |
- Master's degree level
- 2 in public policy
- 2 in international trade
- Specialization courses abroad
- 4 courses of 2-6 months’ duration
- Specialization courses at the local level
- 4 courses of 1-3 months’ duration
- International seminars
- 6 international seminars per year
- National seminars
- 6 national seminars per year
|
Support for participation in agricultural
negotiations meetings |
- Cost of airfare and accommodations for an average of 5 technicians
attending 5 international meetings per year
|
Support for participation in internships in
plant health services |
- Travel and accommodation expenses for on
average 5 technicians to participate in 5 international meetings per year
|
Office equipment and supplies |
- Computers w/ printers
- 5 Units
- Internet services
- 3 contracts
- Fax machines
- 2 units
- Cameras
- 2 units
- Photocopiers
- 2 units
- Scanners
- 5 units
- Printer cartridges
- Photocopying paper
- Hiring of international consultants to conduct studies
- Seminars and forums on agricultural and trade policies
- Seminars and forums on international trade
|
Support for the formulation of agricultural
and trade policies |
- Hiring of international consultants to conduct studies
- Seminars and forums on agricultural and trade policies
- Seminars and forums on international trade
|
- EXPECTED RESULTS
- The DGP and the CECII have qualified personnel, as well as the appropriate
infrastructure and equipment required to fulfill their respective duties, and
who are able to respond in a timely and efficient manner to the requirements of
senior levels of government.
- The DGP and the CECII are the main contact point for governmental entities
associated with the development of the agricultural sector.
- The DGP and the CECII strengthen and increase their capacity to administer
development and international trade policies and adapt such policies to the
current global rules.
- The DGP and the CECII create information systems that serve as essential
inputs in the decision-making process of public and private economic agents.
- DGP and CECII technicians are trained to effectively manage public policy
and international trade.
- Duration of the Technical Cooperation: 2 years
|