The market access programme aims to reduce poverty by helping farmers in four Central American countries sell their produce in a wider range of private sector markets.

This is achieved through schemes such as organic certification, improved cleaning, selection and processing, better branding, labelling and packaging as well as fighting pests through crop rotation, and growing niche crops such as mini-vegetables.

The $1.7 million fund will be open to organizations representing farmers from Guatemala, Honduras, El Salvador and Nicaragua. Eligible umbrella groups include farmers’ associations, co-operatives, NGOs and private companies with experience in agriculture.

Participating farmers and organizations can submit proposals to the fund. Those selected will be provided with support to improve their access to lucrative private sector markets such as supermarket chains and export markets.

Nicaraguan Minister of Agriculture Ariel Bucardo said: “With this programme, farmers and their organizations can add value to the national production and look for international markets.”

Around 10 projects will be selected, including at least one from each country, and each will receive a range of technical and financial assistance – up to $250,000 per project.

Proposals will be assessed according to an evaluation system called the Poverty Score Card, which ranks their potential to combat poverty effectively. The system was designed by the Inter-American Development Bank Multilateral Investment Fund (IADB-MIF) with the technical assistance of the International Food Policy Research Institute (IFPRI).

Projects based in poorer districts will be more likely to get a grant, as will those which generate large numbers of new jobs, particularly for unskilled workers or women.

Selected projects will be closely monitored and will receive a range of administrative and technical support to ensure that each one achieves its goals.

Máximo Torero of IFPRI said: “The four countries compete with each other. Each country can submit at least one project and any country can win up to seven of the ten projects. The proposals have a very transparent evaluation system.”

The fund is supported by IADB-MIF, the Austrian Development Agency and the Spanish Ministry of Foreign Affairs through general financing to the Regional Unit for Technical Assistance (RUTA). The programme will receive technical support from IFPRI.

Public institutions linked to rural development, such as the ministries of agriculture and rural development organizations, attended launch events in the four beneficiary countries.

The programme is being implemented by RUTA and managed by UNOPS.