Vouchers Help Georgian Farmers Recover from Conflict
FrontLines - July 2009
By Michael O’Brien
Shida Kartli, Georgia—Electronic voucher cards are a new way to help Georgia recover from the ancient problem of war damage and disruption.
Georgia’s region of Shida Kartli bore the brunt of the country’s
2008 conflict with Russia, but with an average household income of less than $1,500 per year, it had few resources to begin the recovery process.
But now farmers are able to use the electronic cards to buy the supplies they need to restore their land and their income.
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A child holds one of USAID’s electronic vouchers.
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USAID’s Georgia Agricultural Risk Reduction Program (GARRP) began as a three-month, $5.5 million emergency
plan to help farmers plant wheat in Shida Kartli, which borders the breakaway province of South Ossetia, now occupied by Russian troops.
The U.S.-funded program has grown to a 15-month, $19.5 million program reaching farmers
in over 100 communities in central Georgia and helping displaced
people in 18 settlements nationwide.
Now GARRP provides assistance to orchard farmers electronically via magnetic stripe voucher cards. Similar to an ATM card, the voucher cards are loaded with points worth up to $1,000. This allows project managers to supervise assistance funds and recover unspent balances
at the end of the program.
The cards allow people to shop at a minimum of five local retailers.
This strengthens relationships between growers and farm supply businesses and gives all local manufacturers an opportunity to participate. No single retailer, importer, distributor, or manufacturer
is favored by the system, which also relieves the program from having to purchase, store, transport, and apply chemicals.
GARRP, which is implemented
by USAID partner, the Citizens Network for Foreign Affairs, provides equipment and training needed to complete the transactions.
Products that can be purchased
include pesticides and orchard-related equipment such as sprayers, pruning shears, gloves, masks, and coveralls.
Because farmers make multiple
purchases, the voucher system can lead to future sales for retailers, including giving a boost to electronic commerce.
More than 15,000 farm families covering over 11,000 hectares of orchards will receive assistance from the program, which is expected to generate more than $17 million in revenues
for farm families.
Daniel Rosenblum, coordinator
for U.S. assistance to Europe and Eurasia for the U.S. State Department, attended a voucher demonstration in Shida Kartli in May.
“In many communities of this area the signs of war are still visible,”
Rosenblum said. “Returning these fields to their intended purpose—
producing food and income for the Georgian people—gives us all a great deal of pride."
★ —B.B.
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