updated: 12.05.08
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Rural Communities Development Project in the Poorest Areas of the State of Bahia

This project is the second phase of the Community Development Project for the Rio Gaviao Region. The target area includes the poorest rural municipalities in the semi-arid area of Bahia state. Agricultural productivity is very limited in the area, and incomes from agriculture are low. Most smallholder farmers struggle to cultivate the land at a subsistence level and are forced to migrate to urban areas during the dry season.

The project’s overall objective is to improve living conditions and raise incomes for rural poor people through an environmentally sustainable development strategy. The project will empower poor people and their organizations to develop the local economy and improve income-generating capabilities, in order to transform subsistence farms into profitable rural businesses, and support other rural enterprises. A preliminary survey identified good potential for developing apiculture and producing castor bean plant and cashew nuts. Specific objectives include:

  • empowering the rural poor and their grass-roots organizations
  • providing training and skills learning
  • improving the storage and management of water resources
  • intensifying productivity by other interventions such as construction of earth dams and reforestation of slopes
  • ensuring that women have equal access to resources

Castor bean oil pilot project

IFAD grant: US$0.5 million

Approval date: April 2006

 

Castor bean oil already has a growing international market, and its derivatives are used in the manufacture of over 700 products from medicines and cosmetics to plastics and lubricants. Its by-product can also be used both as a fertilizer and as animal feed. But the major market for castor oil is beginning to open in the energy field with the growth of bio-diesel. Castor oil has proved an excellent substance for producing bio-diesel, an alternative source of fuel that reduces air pollution and emissions of greenhouse gases. There is huge potential for the development of castor bean production in arid and impoverished areas such as northeast Brazil . However there are aspects of castor bean harvesting and processing that still need to be perfected.

 

This grant finances a pilot programme to test innovative technologies and management schemes for the integrated production and transformation of castor beans into crude oil. It will be run by small rural producer organizations to supply the country’s bio-diesel market. The possibility of exporting to external markets will also be explored.

Source: IFAD

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Contact information

Mr Iván Cossio

Country programme manager
IFAD
Via Paolo di Dono, 44
00142 Rome, Italy
Tel: +39 0654592343

Fax: +39 0654593343

i.cossio@ifad.org

Facts and figures

Total cost: US$60.5 million

IFAD loan: US$30.0 million

IFAD grant: US$500,000

Duration: 6 years

Geographical area: the north-eastern and south-western sub-regions of Bahia state

Directly benefiting: 10,100 households

Status: not effective

Partners

State of Bahia : Secretariat of Planning

Bahia Regional Development and Action Company

United Nations Office for Project Services