enterprise mongolia project phase-2...in 2009 project implementation was slow due to delayed...
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ENTERPRISE MONGOLIA PROJECT PHASE-2 (MON/09/203)
FINAL REPORT
01 October 2008 – 31 March 2013
1
CONTENT
ABBREVIATIONS AND MONGOLIAN TERMS .................................................................................. 2
EXECUTIVE SUMMARY ................................................................................................................. 3
1. PROJECT OVERVIEW ................................................................................................................. 6
2. PROJECT OBJECTIVES ................................................................................................................ 7
3. SCOPE OF THE PROJECT ............................................................................................................ 8
4. PROJECT BENEFICIARIES ........................................................................................................... 9
4.1 OVOPI beneficiaries ...................................................................................................................... 9
4.2 LCDI beneficiaries ........................................................................................................................ 10
4.3 Community-based tourism ......................................................................................................... 11
5. KEY ACHIEVEMENTS ............................................................................................................... 12
6. PROGRAMME ACTIVITIES ....................................................................................................... 14
6.1 Output 1 ...................................................................................................................................... 14
6.2 Output 2 ...................................................................................................................................... 21
6.3 Output 3 ...................................................................................................................................... 23
7. PARTNERSHIP WITH EMBASSY OF JAPAN AND JICA ................................................................. 28
8. CONCLUSION AND LESSONS LEARNED..................................................................................... 30
9. ANNEXES ............................................................................................................................... 32
Annex 9.1 Project Board ................................................................................................................... 32
Annex 9.2 Project Fund Disbursement ............................................................................................. 33
Annex 9.3 Project Staffing Table ....................................................................................................... 35
Annex 9.4 National Consultants/Individual Service Contractors ...................................................... 36
Annex 9.5 Project Beneficiaries’ Matrix ............................................................................................ 37
Annex 9.6 Loan Disbursement .......................................................................................................... 42
Annex 9.7 Trainings, workshops, seminars and meetings ................................................................ 48
Annex 9.8 Trade Fairs ........................................................................................................................ 51
Annex 9.9 Publications produced by the project ............................................................................. 54
Annex 9.10 Sub-Contracts: Studies, Reports and Printing Services .................................................. 58
2
ABBREVIATIONS AND MONGOLIAN TERMS
Aimag : Provincial level in Mongolia, also written as Aimak
CBT : Community-based tourism
DAC : Development Assistance Committee
EMCs : Enterprise Mongolia Centers
EMP-2 : Enterprise Mongolia Project Phase-2
GoJ : Government of Japan
GoM : Government of Mongolia
JICA : Japan International Cooperation Agency
LCDI : Local Cluster Development Initiative
LGF : Loan Guarantee Fund
MDG : Millennium Development Goal
MoFALI : Ministry of Food, Agriculture and Light Industry
MNCCI : Mongolian National Chamber of Commerce and Industry
MoL : Ministry of Labour
NGO : Non-Governmental Organization
NPD : National Project Director
NPM : National Project Manager
OECD : Organization for Economic Co-operation and Development
OVOPI : One Village-One Product Initiative
UNDP : United Nations Development Programme
Soum : County-level in Mongolia
SMEA : Small and Medium Enterprise Agency
SMEs : Small and Medium Enterprises
3
EXECUTIVE SUMMARY
In June 2005, UNDP in collaboration with the Ministry of Industry and Trade of Mongolia (former)
launched the Enterprise Mongolia Project (EMP-Phase One) with support of the Government of
Japan. It aimed in aiding business/entrepreneurship development and job creation, thus poverty
reduction particularly in rural Mongolia. The EMP Phase One piloted the One Village-One Product
Initiative (OVOPI), which was officially announced as one of the government’s rural development
strategies. The project has delivered substantial improvements in local businesses and product
development in Mongolia. The results have been highly appreciated by the local people as well as by
the Government of Mongolia.
During EMP-1, four local NGO partners were selected in Khentii, Selenge, Uvurkhangai and Khovd
aimags as hosts of the Enterprise Mongolia Centers (EMCs) in order to channel project support to
the beneficiaries under the Local Cluster Development Initiative (LCDI). By further enhancing
technical and operational capacities of local NGO partners, the project aimed to create a fusion
between LCDI and the OVOPI components, which were implemented rather independently in EMP-
1.
On request from the Government of Mongolia, UNDP extended its support to the second phase of
EMP (EMP-2) since 2008. The EMP-2 has drawn on the experiences and achievements accumulated
during the EMP-1 for the purpose of strengthening newly emerged local initiatives and SMEs in
order to ensure their further sustainability.
EMP-2 is relevant in its contribution to the results articulated in the Country Programme Document
(CDP), UN Development Assistance Framework (UNDAF) and the Comprehensive National
Development Strategy (CNDS). The project design for the EMP-2 addressed not only the
Government’s, but also UN’s priority policies, such as reduction of poverty by supporting the
unemployed, poor and women.
EMP-2 has applied the cluster development approach as a key strategy to extend its assistance to
the beneficiaries. The cluster development approach, one of the major strategies of regional
industry/business development, promoted organization of business clusters (or business groups)
among small and micro enterprises to help them overcome disadvantages caused by the small size
of their business. Business clustering leads cluster members to more access to information,
technologies, the market and available financial services. Networking among cluster members,
knowledge spillover and information exchange are also expected to result in efficient business
development and new business ideas.
In 2009 project implementation was slow due to delayed recruitment of project manager and staff
members. Details are shown in Annex 9.3. 8.3. UNDP and the Government of Mongolia (National
Project Director) had to run the project without the Project Implementation Unit (PIU) in place until
November 2009. For this reason, the most of project activities planned for 2009 were shifted to
2010-11 AWPs and performed well. In order to accomplish the objectives stated in the ProDoc, the
project duration was extended to March 31, 2013 on the basis of agreement made between the
partner agencies.
4
The implementation of EMP-2 drew heavily on past experience and knowledge obtained from the
opportunities and challenges facing the targeted communities. Project activities focused on
increasing project beneficiaries’ income and enhancing their livelihoods by supporting the expansion
of rural businesses and improving their market opportunities.
This final report covers the entire EMP-2 period from June 2009 to March 2013 and describes the
main outcomes and lessons learned through the EMP-2.
TIMELINE: 2009 Establishment of the Project Implementation Unit Status Assessment and Baseline Survey Business Assistance Services launched Development of the EMP-2 website and E-Market system 2010 EMP-2 Loan Guarantee Fund launched with the Khan Bank Four local NGO partners were selected and contracted as the EMP-2 local coordinating
entity Business plans were developed for the 4 EMP-2 local partner NGOs Business Assistance Services launched Informal business clusters started formulation of registered business entities Launched a pilot sales promotion activity Monitoring visits 2011 Sales promotion and marketing of EMP-2 supported products
o Sales promotion campaign o Establishment joint selling point o Participation in trade fairs in neighbor countries
Introduction of Monitoring Database National OVOP conference and Policy Dialog EMP-2 advocacy and communications Continued formulation of registered business entities Monitoring visits
2012 Project evaluation Policy recommendations on SME development Produced a number of knowledge products Local partner agencies have been recognized Monitoring field visits 2013 National Workshop on SME development and livelihood diversification Knowledge products Monitoring field visits Closure of EMP-2
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The EMP-2 strategy was to help the informal economy of the rural areas better integrate into the
formal economy. The strategy was based on developing business skills, providing business training
and information, and increasing access to bank credit. The project produced the following results:
1. Skills and knowledge of micro and SMEs on business development and business
management strengthened;
2. Technical capacity of the project beneficiaries in product development improved;
3. Capacity of the project beneficiaries in marketing and sales promotion developed;
4. Access of the project beneficiaries to locally available microfinance services increased;
5. The selected OVOP beneficiaries grown to become self-sustainable;
6. Capacity of the existing four EMCs further enhanced to provide professional client-oriented
business development services;
7. Operation of the existing four EMCs improved to be more self-sustainable;
The project achieved the following main outcomes:
EMP-2 made possible the creation of 273 jobs in target aimags and enabled rural business operators
to enter 50 new market events, by expanding to new geographical regions, reaching new consumers
and introducing new products. In addition, the assisted enterprises started production and
marketing of 15 new value-added products and increased their sales.
In October-November, 2012 an external evaluation team conducted an evaluation to assess the
relevance and impact of UNDP’s livelihood support projects (ALP and EMP-2) and their contribution
to reducing rural poverty and vulnerability. The evaluation also assessed substantive evidence-based
knowledge evolving from identified best practices and lessons gained by the projects in terms of
streamlining the existing policies on poverty reduction, income generation and economic security in
the rural areas.
According to the findings of the evaluation, the main impacts OVOPI and LCDI design and status
analysis were executed in the proper manner; the exchange program of experience and good
practices of clusters was very important for all cluster members, as well as cluster leaders; the Loan
Guarantee Fund was a good alternative financing tool for SMEs and it created a new favorable
business environment and business trust in rural areas; EMC management was a key factor of the
success of OVOPI and LCDI; capacity building and the management skills of the EMC staff was
improved; cooperation between management of EMP-2 and the government were executed at a
sufficient level, and there is a need to develop dialogue and coordination between donor
organizations and the development projects, because many of them do the same activities and there
could be a lot of synergy. Many of the project beneficiaries emphasized that technical assistance was
the most efficient action. (For more information, please refer to the Evaluation report at
www.undp.mn)
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1. PROJECT OVERVIEW
Country Mongolia
Project Title Enterprise Mongolia Project Phase-2 (EMP-2)
Project number, ID 63219
Date approved June 25, 2009
Project ending date March 31, 2013
Donor(s) Government of Japan, UNDP
Implementing Partner Small and Medium Enterprise Agency and
Ministry of Labour
National Project Director J.Batkhuyag, Vice Minister for Labour
National Project Manager J.Tsetsegsuren,
[email protected], 9907-5499
Office address and contact info
Room 602, Government Building 11, Chingeltei
District, Ulaanbaatar 15141, PO-38, Mongolia
Tel: 316325; Fax: 316325
Brief description
The objective of the project is to improve livelihoods of the poor and marginalized men and women,
particularly in rural areas and to contribute to achieving the MDG 1(poverty reduction) in Mongolia,
through income increase and job creation.
Programme Period: October 2008 – March 2013
Key Result Area (Strategic Plan): Promoting
inclusive growth, gender equality and MDG
achievements
Atlas Award ID: 50955
Start Date: October 2008
End Date: March 2013
LPAC Meeting Date: September 16, 2008
Management Arrangements: NEX
Total resources required USD 1,207,775
Total allocated resources:
UNDP TRAC USD 456,871
Carry-over from EMP 1 USD 109,867
Government of Japan (Japan-UNDP
Partnership Fund)
USD 641,037
Government of Mongolia in-kind contribution:
About 10% of the total resources required
The project supervised by the Project Board which brings together the roles and responsibilities of
the Executive (Project Implementing Partner and UNDP). Please refer to Annex 9.1. Project Board.
Project Implementation Unit encompassed National Project Manager, Monitoring and Evaluation
Officer, Administrative and Finance Officer, Microfinance Officer and Driver. Please refer to Annex
9.3. Staffing table. Project total resources allocated USD 1,207,775 and as of end March 2013, the
project fund disbursement was 100 %. Please refer to annex 9.2. Project fund disbursements.
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2. PROJECT OBJECTIVES
The objective of the project is to improve livelihoods of the poor and marginalized men and women,
particularly in rural areas and to contribute to achieving the MDG 1 (poverty reduction) in Mongolia,
through income increase and job creation.
The project supported the achievement of three outputs;
Access to skills and knowledge, access to financial services, and access to a productive
business environment.
Regional centers (EMCs) were supported by the Project to provide, or facilitate, business
development services for project beneficiaries, leading to increased income for business
owners, increased employment for people in the community, and
Economic growth for other businesses in the same market.
1. Sustainability of small and micro businesses supported by the project: Output 1 planned to
enhance capacity of SMEs and micro and small entrepreneurs in the project target regions to be
engaged in sustainable business activities and to produce high value-added products.
2. Sustainable SME support mechanism through the EMCs on the ground: Output 2 planned to
enhance operational capacity and financial independence of the four EMCs to support an increased
number of the project beneficiaries and to ensure sustainability of quality SME support mechanism
on the ground.
3. Sustainability in the policy framework: Output 3 facilitated full integration of the OVOPI
component under the project into the National OVOP Programme to ensure synergistic collaboration
between the government’s initiatives and the project.
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3. SCOPE OF THE PROJECT
Project implementation has covered the following geographical areas:
Figure 1. Geographical distribution of project beneficiaries
Local Cluster Development Initiative Component: Uvurkhangai, Selenge, Khentii and Khovd (4
aimags)
Table 1. Clusters under the LCDI Component:
Aimags Uvurkhangai Selenge Khovd Khentii
# of
clusters
3 6 8 5
Product
type
Carving, welding
Boot-maker
Wool processing
Vegetable production
Bread pastry
Smoked fish
Herb tea
Dairy products
Felt products
Vegetable production
Felt products
Embroidery
Boot-maker
Wool processing
Carpentry
Vegetable production
Boot-maker
Carpentry
Art Craft
Tailoring
One Village-One Product Initiative Component: Uvurkhangai, Zavkhan, Selenge, Bulgan, Dornogobi
and Uvs (6 aimags)
Table 2. Clusters under the OVOPI Component:
Aimags Uvurkhangai Zavkhan Selenge Bulgan Uvs Dornogobi
# of
clusters
1 1 1 1 2 1
Product
type
Yak-hair
products
Red-skin
garlic
Bee-honey
Millet-grain Rock salt
Sea
buckthorn
Community-
based
tourism
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4. PROJECT BENEFICIARIES
The project continued to provide support to the project beneficiaries from the first phase (business
clusters). Most of the beneficiaries are engaged in production of agro-based products and
handicraft/cottage industry. At the early stage, EMP-2 assessed the current status and performance
of the EMP-1 beneficiaries to determine the appropriateness of continuous support in the 2nd phase
of the project for each beneficiary and/or business cluster. EMP-2 targeted the following two types
of beneficiaries (Details are shown in Annex 9.5 Beneficiaries Matrix):
1. Small businesses/business clusters under the One Village-One Product Initiative (OVOPI)
2. Groups/clusters of small and micro producers and entrepreneurs under the Local Cluster
Development Initiative (LCDI)
4.1 OVOPI beneficiaries
The OVOPI component targeted existing small businesses, which already had the potential to
succeed in the market with support from the project. EMP-2 focused mostly on product
development of OVOPI beneficiaries to increase market competitiveness of the selected products.
Compared to the LCDI beneficiaries, the OVOPI beneficiaries are well-off with years of experience in
their respective businesses in the market. Seven OVOP clusters and their respective brand products
were identified in six aimags.
Table 3. Project Beneficiaries under the OVOPI Component as of October 2008
(at the beginning of EMP-2):
Location # Cluster Name Type of
Cluster
# of
members
# of
female
members
Business Activity
Bulgan 1 Saikhan Kharztai Informal 6 2 Millet grain
Dornogobi 2 Gobi Sunrise LLC 8 4 Community-based tourism
Selenge 3 Ar Gangat Informal 2 1 Bee-honey
Uvurkhangai 4 Khangain Sor Informal 11 11 Yak hair products
Uvs 5 Jamts Davs LLC 10 2 Rock salt
Uvs 6 Chatsargana LLC 75 36 Sea buckthorn
Zavkhan 7 Jargaltai Cooperative 15 11 Red-skin garlic
Total 7 127 67
One Village One-Product (OVOP) Programme is a community centered and demand driven regional economic development approach initiated by Oita prefecture in Japan in the 1970’s. The uniqueness of the approach is that at that time people in Oita intended to achieve their regional economic development through adding value to locally available resources, through processing, quality control, packaging design and marketing promotion. Government Resolution number 138 of 2005 launched OVOP Programme as one of the strategies for rural development in Mongolia.
10
4.2 LCDI beneficiaries
The LCDI component aimed to support small and micro producers and entrepreneurs to make their
products for the local market and improve livelihoods of local communities. A total of 22 business
clusters were identified in four aimags under the LCDI component. From Table 4, it can be seen that
most of clusters under the LCDI component were in the informal sector at the beginning of the
project. EMP-2 focused to integrate micro producers and entrepreneurs into the formal economy
and provide them with more opportunities to take advantage of the market economy.
Table 4. Project Beneficiaries under the LCDI Component as of Oct, 2008 (at the beginning of EMP-2)
Location # Cluster Name Type of Cluster # of
members
# of female
members Business Activity
Khentii 1 Chanar Informal 10 8 Boot maker
Khentii 2 Dulguun Kherlen Informal 48 29 Vegetable production
Khentii 3 Ev-Ur Informal 4 0 Carpentry
Khentii 4 Sodon Informal 13 8 Art craft
Khentii 5 Uran uilchid Informal 23 21 Tailoring
Khovd 6 Bayalag Gazriin shim Informal 13 7 Vegetable production
Khovd 7 Buyant Informal 9 6 Felt products
Khovd 8 Dul Ahmadiin dem Cooperative 17 14 Tailoring
Khovd 9 Khovd uran hatgamal NGO 31 27 Embroidery
Khovd 10 Nariin khiits Informal 5 5 Felt products
Khovd 11 Od Informal 6 3 Carpentry
Khovd 12 Shien tsolmon Informal 4 3 Felt products
Khovd 13 Uran gar Informal 4 4 Felt products
Selenge 14 Arvijikh Informal 8 6 Vegetable production
Selenge 15 Buyankhishig Informal 11 9 Bread pastry
Selenge 16 Gunjiin bulan Informal 9 8 Smoked fish
Selenge 17 Munkh sureg Informal 20 10 Dairy products
Selenge 18 Shilmel esgii Informal 13 7 Felt products
Selenge 19 Ujeed Informal 4 2 Herb tea
Uvurkhangai 20 Ongi Uran goyolol Cooperative 22 18 Wool processing
Uvurkhangai 21 Tsolmon Informal 13 10 Carving, welding
Uvurkhangai 22 Unench hiidel Informal 6 3 Boot maker
Total number 22 293 208
The cluster development approach is one of the major strategies of regional industry/business development which promote organization of business clusters (or business groups) among small and micro enterprises so that they can overcome disadvantages caused by smallness of their business scale and have more power in production and the market. It is anticipated that the development of clusters will greatly contribute to job creation in the local economy. It is said that business clustering leads cluster members to more access to information, technologies, the market and available financial services. Through networking among cluster members, knowledge spillover and information exchange are also expected to result in efficient business development and new business ideas.
11
4.3 Community-based tourism
EMP-1 supported three community-based tourism (CBT) clusters under the OVOPI component. The
terminal evaluation of EMP-1 identified that there has been and would be a limitation in possible
assistance by the project to the CBT beneficiaries because the complexity and nature of necessary
supports were beyond the scope of the project. Based on the recommendations made by the
Terminal Evaluation, tourism resources available in the respective CBT sites, performances in EMP-1
and possible project intervention under the scope of EMP-2, the project decided to continue its
support to the Dornogobi CBT cluster to improve the tourism content that was more attractive to
the market, while adjusting the interventions to the other two CBT clusters.
EMP-2 contracted four local NGOs to be Enterprise Mongolia Centers (EMCs) to extend the reach of
the programme and channel business development services among beneficiaries in the target
aimags. These are:
Bolomj Ireedui NGO in Khovd aimag.
Employers’ Federation in Selenge aimag
Kherlen Business Development Center NGO in Khentii aimag
Technology School of Mongolian University of Sciences and Technology in Uvurkhangai
aimag
The project has provided technical and financial support to the contracted NGOs to build their
capacities to support local businesses in a self-sustainable manner.
12
5. KEY ACHIEVEMENTS
Skills and knowledge of micro and SMEs on business development and business management
strengthened.
Rural micro and small entrepreneurs have a better and deeper understanding of the advantages and
potential value of collaborating with others in capacity building activities. As a result of capacity
building activities for rural business entrepreneurs’ 20 new business entities, including 7
cooperatives, 5 partnerships and 8 LLCs have been newly established by project beneficiaries’
initiatives.
Capacity of the project beneficiaries in marketing and sales promotion developed.
As a result of the capacity building activities and market linkage facilitation support provided by the
project, the beneficiaries have broadened their sales channels and increased income by achieving
better terms for the purchase of inputs and the sale of their products. A total of 50 market linkage
events, such as trade fairs, market days and sales promotion campaign were organized and
beneficiaries earned sales income of USD 170,000, and established contacts with potential buyers of
their products by actively attending those events. Beneficiaries have improved their market
performance by achieving joint sales and purchases and attracting the attention of larger processors
and buyers as a result of participating in these activities.
Local government authorities and relevant agencies, NGOs and project beneficiaries have gained
good understanding of market linkage events, the importance and advantages of organizing them,
and now have enough experience to organize such events themselves without external support.
Access of the project beneficiaries to locally available microfinance services increased.
Business clusters are focused on increasing their joint funds and building productive assets using
loans through the EMP-2 Loan Guarantee Fund and expanding their businesses. Vegetable clusters in
Khentii and Selenge made investments for business infrastructure development, such as building or
repairing greenhouses, warehouses, and purchasing drip irrigation and mini-tractors, while the dairy
cluster in Selenge has built winter shelters for their cows and developed a joint work premise where
they plan to open dairy processing workshop. Building warehouses enabled the clusters to keep
their harvest until the prices go up and consequently secured year-around income earning
opportunities. Opening the dairy processing workshop allowed the beneficiaries to produce value-
added products rather than selling only milk at wholesale price.
Technical capacity of the project beneficiaries in product development improved.
EMP-2 has greatly assisted with improvement in product design as well as expansion of product
type. It has also encouraged a collective work style, involving specialization of labor and planning of
joint enterprise activities.
13
Operation of the existing four EMCs improved to be more self-sustainable.
The outreach and networking capacity of the existing four EMCs has been strengthened to extend
their services beyond the current geographic coverage; capacities of the existing EMCs have been
further enhanced to provide professional client-oriented business development services.
EMP-2 main outcomes in figures:
1. 273 new jobs were created in the target aimags by EMP-2. 2. 20 new business entities were established. 3. 83 micro and small entrepreneurs were facilitated loans worth USD 394,000
through the EMP-2 Loan Guarantee Fund. 4. Approximately 500 project beneficiaries participated in 50 trade fairs and made
sales worth than USD 170,000. 5. 540 micro and small entrepreneurs attended business development and
vocational trainings. 6. 4 local coordinating entities have improved their operational capacity. 7. Enabled rural business operators to enter 50 new markets, by expanding to new
geographical regions, reaching new consumers and introducing new products.
8. Enterprises started production and marketing of 15 new value-added products
and increased their sales.
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6. PROGRAMME ACTIVITIES
6.1 Output 1: Enhanced capacity of SMEs and micro-and small entrepreneurs in the Project target
regions to be engaged in sustainable business activities and to produce high value-
added products
Overview
A number of technical assistance activities were undertaken to help beneficiaries and EMCs gain in-
depth knowledge of value-addition and testing innovative approaches to create income generation
and employment opportunities in rural Mongolia. Product development focused on improving
packaging and labeling, marketing and skill development. Agriculture and food products have been
successful in the domestic markets and some attempts were made to penetrate into foreign markets
- seabuckthorn oil and yak hair products were exported to Japan by local producers.
EMCs worked with each business cluster to identify specific technical assistance needs during the
filed visits and both EMCs and PIU were responsible for finding a suitable local consultant who could
provide the demanded services. The centralized training activities enabled the project to bring
people involved in similar activities and businesses together, providing the opportunity for exchange
of experiences, contacts and useful information on market opportunities and clustering. The project
encouraged study tours between local successful businesses, allowing others learn from their
experience and knowledge.
As well as promoting the use of private consultants, the project fostered and developed links with
other training providers that are active and located within the EMP-2 target aimags and Ulaanbaatar.
Examples of local training providers include the aimag Tax and Social Insurance Offices, Vocational
Training Centers, Technology School in Uvurkhangai, Khovd National University, Development
Solutions NGO, Mongolian Union of Production and Service Cooperatives and MNCCI.
Current business status and needs of the project beneficiaries were identified with comparable
quantitative data and qualitative information.
At the early stage of the project implementation, the current business status of target beneficiaries
and the priority areas of their urgent needs were identified by business status and needs assessment.
The specific needs identified include cluster-specific technical assistance, training and guidance in
product development as well as marketing and sales promotion. Based on the results, the project
prioritized assistance to meet specific needs of the beneficiaries in accordance with the current
status of their businesses.
Beneficiaries boosted up variety of products using the skills obtained from vocational trainings.
During phase two, the project organized and coordinated vocational and skills training based on the
needs assessment of the project beneficiaries in order to improve and upgrade their skills and
ultimately improve the quality and variety of their products. Details are shown in Annex 9.7.2. The
subjects included sewing, shoe-making, designing, felt and sewing products and carpentry.
15
“We’ve got support on packaging and labeling from EMP-2 so that our product has become well-known among public as Khovd embroidery product. Now our product is sold not only in Khovd, it has own customers in other aimags, capital city and even abroad.
(Ch.Odontuya, Embroidery Cluster, Khovd aimag)
As a result, the beneficiaries gained skills and knowledge
on how to produce more value-added and marketable
products to sell not only at the local market, but also at
larger markets. Demand-driven training module was
developed to meet the trainees’ needs, so that the
trainees learned quicker than expected, and as a result
the trainees were awarded the Certificate of Achievement.
Using the skills obtained from the trainings, the
beneficiaries increased the variety of their
products and improved product quality, and
consequently their sales revenue increased.
Business and technical training combined with
providing exposure to markets through
subsidized participation in regional, capital city
and international trade fairs has proven to be
highly effective for participants.
Technical capacity of the project beneficiaries in product development improved.
The project assisted the beneficiaries to develop their own labels for the goods they produced.
Having their own trade mark enabled their products to become familiar at the market as a brand
name, such as Khangain Sor. In order to meet the now expected standard, the entrepreneurs have
been diligent to produce worthy products in order to gain prestige and recognition. A total of 12
clusters have benefited which produce sewn garments, leather and felt boots, embroidered goods,
yak hair and sheep wool products.
In addition to the labels, EMP-2 supported the beneficiaries in improving product packaging. Beneficiaries are aware of the importance of packaging of products as it plays a role as a pricing criterion, in defining the character of new products, in creating of brand identity, and in promotion campaigns.
Felt training participants after graduation ceremony
During the Felting training
16
EMP-2 also developed and published project beneficiaries’ product catalog. The
catalog has three main parts; food, sewn & felt products and the other products and
services. It includes a brief introduction of the project supported 29 clusters and their
products illustrated. The catalogue has become a good marketing tool to promote
their sells and attract customers.
Participation in trade fairs enabled rural micro and small entrepreneurs to penetrate into bigger
market and promote their sales.
Consistent annual sales growth was generated for the project beneficiaries through their
participation in national and international trade fairs and sales promotion events, as well as pilot
activities to gain greater exposure for their products. It has always been a good lesson for the
beneficiaries to learn market environments, to make
their product comparisons with other similar
producers, to search for product demand, and
acquire knowledge of customer behavior.
Subsequently, the participants’ products improved
both in quality and design, therefore, their sales
revenue increased and their product assortments
broadened. Their products are recognized beyond the
local market and have been in demand in neighboring
aimags and in the capital. During phase two, nearly
500 project beneficiaries were enabled to participate
in a total of 50 regional, national and abroad trade
fairs and made sales over USD 170,0001. Detailed information of trade fairs is listed in Annex 9.8.
The beneficiaries by participating in the trade fairs obtained several advantages and opportunities.
For instance,
the Chanar felt craft cluster from Khentii received an order for felt slippers to export to
Belgium,
the Dulguun Kherlen vegetable cluster from Khentii has made an agreement with “ILUU
ILUU” Potato Chips factory to supply potatoes,
the Sodon art craft cluster from Khentii established a relationship with Souvenir house in UB
to sell their products,
Felt and Tailoring clusters from Khovd established relationship with the Urumqi, North-West
China, store which sells imported goods from Mongolia to supply with felt and sewn
traditional Mongolian clothing.
Since 2012, the project has adapted a cost-sharing policy to encourage beneficiaries to invest for
themselves and be more responsible, and independent from donor fund.
1 According to the beneficiaries’ sales record
During the Trade fair in Ulaanbaatar
17
Beneficiaries have access to wider range of public and private services.
A series of entrepreneurship trainings were conducted to provide the project beneficiaries with skills
and knowledge on business start-up practices including cluster development/management strategy.
By forming business entities, small and micro enterprises can take advantage of the economies of
scale, which enables them to have more power in the market, more access to information and
financial resources, and more efficiency in production. In Khentii aimag, for instance, the training
was co-organized by the local Tax, Entity Registration, and Social Insurance Departments, which
allowed the beneficiaries access essential information at one spot.
During phase two, a total of 20 clusters or sub-clusters have formed into various categories of
business entities: limited liability companies, cooperatives, and partnerships. By entering the formal
business sector, access to public and private business development services, particularly financial
programmes have increased. The project focused on providing support to the increased number of
formal business entities in the project for their future sustainability and long term impact, so that
the businesses are self-sufficient.
Table 5. Clusters established formal entities as of March 2013 (at the end of the project)
Location # Compo
nent Cluster Name
Type of
Cluster
Establish
ed Date Business Activity
Khentii 1 LCDI Uran Sarnai Cooperative 2010 Tailoring
Khentii 2 LCDI Khentii Tsetserlegjilt LLC 2011 Vegetable production
Khentii 3 LCDI Yudegiin Hundii Cooperative 2012 Vegetable production
Khentii 4 LCDI Kherlen Nogoo Cooperative 2013 Vegetable production
Khentii 5 LCDI Khaan Khatad LLC 2010 Art Craft
Khentii 6 LCDI Davtagdashgui Design LLC 2012 Art Craft
Khentii 7 LCDI Gol Khoshuu LLC 2010 Art Craft
Khentii 8 LCDI Evt Tumen LLC 2011 Carpentry
Khentii 9 LCDI Olnii Dem Cooperative 2011 Tailoring
Khovd 10 LCDI Tsahir Manalt Partnership 2009 Carpentry
Khovd 11 LCDI Khos Chansaa Partnership 2011 Tailoring
Khovd 12 LCDI Dusal Buyan Partnership 2011 Boot maker
Khovd 13 LCDI Khos Zaan Partnership 2011 Boot maker
Khovd 14 LCDI Tsast-Altain Sor Cooperative 2011 Felt product
Selenge 15 OVOPI Ar Gangat Partnership 2010 Bee honey
Selenge 16 LCDI Shilmel Esgii LLC 2009 Felt product
Selenge 17 LCDI Buteelch Cooperative 2012 Vegetable production
Selenge 18 LCDI Suun Tusgal Cooperative 2011 Dairy
Selenge 19 OVOPI Saikhan Kharztai LLC 2009 Millet grain
Uvurkhangai 20 OVOPI Khangain Sor LLC 2009 Yak hair products
18
Micro and small entrepreneurs in 7 aimags have greatly increased access to microfinance services
Micro business entrepreneurs, small and medium sized businesses are recognized worldwide as
being engines of job creation and notably vital for promoting economic growth. Although there are
various microfinance services and products available in the local market, it is still difficult for most of
micro and small entrepreneurs to apply these locally available loans because of lack of sufficient
collateral and/or lack of good business records with formal institutions. Most common reasons given
for SME‘s inability to access formal credit from financial institutions is that they cannot provide
collateral to pledge. Among variety of factors that collateral is often unavailable for SME borrower to
pledge that are some small businesses may recently set up, or may simply not have enough assets to
pledge.
To increase access to credit, the Grant Agreement between the Mongolia and Khan bank established
a Loan Guarantee Fund to help enable creditworthy SMEs to get easy access to microfinance. The
loan guarantee scheme aimed to bridge the project beneficiaries to the formal microfinance
services. The EMP-2 project assisted the beneficiaries’ with their first loan with a formal financial
institution. The loan facilitation efforts were been undertaken primarily by the local EMCs with
assistance from the project’s microfinance specialist. Assessment and disbursement of the loans
were conducted by Khan Bank according to its normal lending operations and underwent the same
bank review process as non-EMP supported loans. The LGF deposits were used as additional
collateral required by the bank on behalf of the borrowing project beneficiaries.
Figure 3. EMP-2 LGF Implementation Structure
19
There were several benefits for beneficiaries of employing capital in
the established LGF: they could access the formal credit market
through the use of the guarantees, it enabled them to lower costs of
capital and risks significantly, and guarantees facilitated them to
overcome a credit gap. In assistance with the project local
coordinators (EMCs) beneficiaries gained and improved their skills
and knowledge on accounting, business plans and cash flow
management, which could result in them obtaining good financial
records and facilitating future access to credit.
By utilizing the formal banking sector the borrowers lowered their
costs and imbibed more professional practices. The beneficiaries
were able to expand their business activities and consequently
create more job places by increasing working capital, equipment &
tools and building work premises. Out of total borrowers:
53% purchased machinery, equipment & tools
22% purchased greenhouse, irrigation system,
well and built storage
12% purchased milking cows
10% purchased auto vehicles; tractors, truck
and cars for taxi service
6% built work premise
A total of 83 loans valued at USD 394,0002 were disbursed through the EMP-2 LGF. Details are
shown in Annex 9.6. Loan Disbursement. That is 83 project beneficiaries could receive loans thanks
to the LGF, and as such they were credited to grow and expand their businesses and consequently
livelihoods. Most notably, within the period of EMP-2 implementation, 273 jobs were created in
targeted remote regions.
2 MNT 548,450,000 with the UN Operational Exchange Rate for March 2013 of MNT 1,392/USD
Loan Guarantee Fund implementation in figures:
USD 123,777.00 was deposited in the Khan Bank as a seed fund
23 August, 2010 Loan Guarantee Fund was launched
83 borrowers from 7 target aimags received micro loans to expand their business activities
USD 394K was disbursed
An average loan size is USD 4,747 and the average loan term is 24 months
Interest rate range is 1.3-1.2% per month
Average Loan Guarantee Fund used per a loan is 28%
Default loan case 1.2%
Law on Credit Guarantee Fund approved by Parliament in February 2012
The Credit Guarantee Fund established in line with the Law. The fund is a joint institution between the public and private sectors, and will provide collateral up to 60 percent on a loan of 20 million MNT at the most for small business.
The Credit Guarantee Fund allocated MNT 5 billion start-up capital to potential small business owners. The advantage is that it can provide collateral to companies and individuals with assets to could increase capital by as much as 20 times.
20
“We were not able to get a loan from the commercial banks due to the lack of sufficient collateral. With assistance of the EMP-2 Loan Guarantee Fund, I’ve received business loans twice, which I used to purchase new tools and equipment and build a work premise, so that I could expand my business activity.” (T.Bat-Ochir, Gan hiits, welding sub-cluster, Uvurkhangai aimag)
“It was established as a cluster 5 years ago, later in 2011 formed a business entity, Cooperative. The cooperative has 12 members-households with 5-10 milking cows. Cooperative sells milk to Altanbulag soum and aimag center residents. Cooperative members built a work place where they plan to open dairy processing workshop to produce variety of dairy products using excess of milk. In result of which they will produce value-added products to sell at the higher price, hence to increase their sales revenue. Suun Tusgal cooperative was endowed with milk processing equipment from ADRA.
.
Project beneficiaries have improved their skills and knowledge on bookkeeping, business planning
and cash flow management, with the technical assistance of the project. This will result in them
keeping better financial records for banks and non-bank financial institutions. The project
beneficiaries have become more capable and eligible to apply for loans with little or no assistance
from the project, and subsequently expand their business and prove their ability to graduate from
the project.
Beneficiaries have learned the advantage of cooperation.
Beneficiaries now understand the significance of seeking useful information and better
opportunities, and have become more enthusiastic about improving their quality of life. Most of the
people involved in the project have a commitment to group work with shared responsibility, and
understand the advantages that are to be gained through close cooperation. There are a number of
good examples:
Business proposals of the Od, carpentry cluster and Buyant, felt craft cluster from Khovd have won
the tender and were awarded a grant of USD720 to each cluster, by the local Labour and Social
Welfare Service Department.
Uran Gar & Buyant felt craft and tailoring clusters from Khovd, won the Best Cluster competition
from the World Vision, and were provided wool combing, spinning equipment, and sewing machine
on three-year use agreement.
The community where Suun Tusgal Cooperative
operates has lacked electricity for decades. Local
EMP Coordinator addressed this issue to the MNCCI
and a Member of Parliament elected from Selenge
aimag, when they visited the Cooperative and they
promised to consider. Soon after the cooperative
members got the electricity line, which shows the
joint effort with Project, Government, and Private
Sector works well.
21
“From the bookkeeping training provided by the EMP-2 project, I have learned the importance of keeping records of daily income and expenses and managing consumptions wisely, so that I’ve got savings to use for rainy days.” (Z.Lkhamsuren, Uran Shaglaa, Buriad boot making sub-cluster, Khentii aimag)
Dul Ahmadiin Dem cluster from Khovd, won 1st place in the Best Local Clusters competition from
Mercy Corps, and its good practice was filmed on the Mongolian National Broadcasting
documentary. Khovd beneficiaries are involved in opening a joint selling point at the local market to
promote their sales. They are sharing the operational cost among them.
Micro and small producers’ cash flow management skills improved.
Household Income & Expense Booklet was published with the assistance
of the EMP-2 project for micro and small entrepreneurs. This Easy-to-
use booklet allows beneficiaries to keep records daily and thereby to
help control expenses; with this practice they will gradually gain
accounting skills.
6.2 Output 2: Enhanced operational capacity and financial independence of the 4 EMCs (4 local
business support NGOs) to support an increased number of the project
beneficiaries and to ensure sustainability of quality SME support mechanism on
the ground
Capacity for local Coordinators is being built.
In an attempt of ensuring sustainability of the project activities on the ground, the project planned to
localize its support and coordination function, by the end of the second phase, through expanding
responsibilities and enhancing operational and management capacity of the existing four EMCs. The
four EMCs are expected to be both operationally and financially self-sustainable, to provide quality
services to the project beneficiaries, and to become able to reach out more potential beneficiaries in
respective regions. EMP-2 planned to channel most of its support and coordination for both the OVOPI
and LCDI beneficiaries only through EMCs in respective regions.
22
EMP-2 conducted a detailed assessment of the current
technical, operational, managerial (administrative) and
outreach capacities of the NGOs and developed a
comprehensive business development plan for each of
the EMCs, with stage-by-stage plans and schedules tol
ensure relative financial and operational sustainability
of the EMCs after the project completion. With the
support of EMP-2, the four EMCs stabilized the
provision of their business development support
services for the project beneficiaries. The local
Coordinators assessed each beneficiary/cluster to determine the specific business services that would
help strengthen and expand their businesses and benefit from the following services:
Information Services – access market and trade sector information from the internet or library
sources
Financial services – assist beneficiary/cluster to obtain and effectively use bank credit through
the EMP-2 Loan Guarantee Fund and other financial sources such as SME soft loan and Soum
Development Loan or through a bank of the beneficiary/cluster’s choice
Business Training – practical skills and applications development
Business Plan – analysis of markets, demand, capacity, and business strategy
Investment Analysis – feasibility study or purchasing new equipment
Credit Application – applying for bank credit, including business plan, investment analysis, and
market analysis
Business linkage – assist beneficiary/cluster to identify, access and develop new markets,
locally, regionally and nationally, and analysis of management capacity, strengths and
weaknesses, performance strategies
Four EMCs expanded their geographic coverage by providing business development services to the
OVOPI clusters in their respective regions in addition to the LCDI clusters and, each EMC is responsible
for two aimags. EMP-2 provided financial support of USD 5,800 to each EMC per year for operational
and administrative expenses and equiped the EMCs with new computers and equipment and handed
over the equipment used in Phase One. This contribution enabled them run their activity smoothly.
Introduction of fee-based service provision was one of the key approaches towards financial
independence of the EMCs. Support for the existing and potential beneficiaries is expected to continue
through the strengthened four EMCs in their respective regions after the project completion.
A customized training package based on the local
coordinators’ needs was designed and conducted by the
Mongolian National Chamber of Commerce and Industry
(MNCCI), a leading non-governmental institution
mandated to promote and develop the competitive
private sector of Mongolia, and Development Solutions
(DS), a non-profit business development NGO whose
mission is to develop Mongolian business capacity and
support environmentally-sound social and economic growth. The Coordinators gained valuable
23
knowledge and skills on Sustainable NGO Operation and NGO marketing. In particular, the training
module entitled Writing Donor Proposals was the most essential for EMCs to help them expand their
activity, improve their skills and knowledge on developing logical and sound proposals and bidding for
tender.
Some good examples are:
Khentii EMC implemented a six-month “Women for Integrity Together” project funded by
Mercy Corps and won the tender for Business Development Training Provider by the State
Labour and Social Protection Department.
Khovd EMC has obtained an approval of its proposal to conduct evaluation and monitoring
on SME soft loan disbursement in Khovd by the Open Society Forum.
The project local coordinating NGOs were
recognized by the local governments and partner
agencies as the sustainable business development
service providers. The local coordinating entities
(EMCs) successfully built a good relationship with
local authorities to promote good understanding
and support to the EMP-2 project activities in the
field. The Coordinators actively took part in various
policy dialogues and discussions in their local areas
and were invited to the local team of civil society organizations.
6.3 Output 3: Full integration of the OVOPI component into the National OVOP Programme to
ensure synergic collaboration between the government’s initiative and the project
Beneficiaries learned from international experiences and shared their obtained knowledge with the
local people.
7thInternational OVOP Seminar in Hanoi, Vietnam. In December 2010, Mr. U.Otgonbayar, National
Project Director of EMP-2, Deputy Chairman of Small and Medium Enterprises Agency participated in
the 7th International OVOP Seminar in Hanoi, Viet Nam sponsored by the Government of Viet Nam,
namely the Ministry of Agriculture and Rural Development and co-organized by Oita OVOP International
Exchange Promotion Committee. The Seminar’s key goal was to promote a closer and more effective
cooperation among OVOP countries. It focused on three main topics:
1. Share experience on successful OVOP projects
2. Discuss factors that influence on sustainability of OVOP movement
3. Develop Agreement on OVOP cooperation
The Seminar also featured the Exhibition of OVOP products from Viet Nam and OVOP countries and
site visits to traditional handicraft villages in Viet Nam. Te main lessons learned from the Seminar
were the followings:
1. Challenges. There are common challenges in the Asian OVOP countries: definition of OVOP or
brand product (criterion), brand management, geographical distance and infrastructure level.
24
Also, market linkage seemed to be one of the main challenges. These challenges varied from
country to country, but more or less common. The main factor to eliminate these challenges is
effective OVOP management and cooperation with local and central governments.
2. Local government’s role is crucial. Local government plays an important role in successful
development of OVOP. Well-developed local OVOP development plan must be integrated into
the local government’s policy and planning. Then public-private cooperation could smoothly work
together to effectively support local OVOP movement.
By participating in the Seminar, the participants learned invaluable experience and knowledge
thanks to great diversity of participant-countries which offered diversity of experiences and lessons
on OVOP development and movement in Asian countries. Products displayed at the Exhibition, visits
to OVOP villages as well as policy discussions with representatives of government, business and civil
society across Asia were very beneficial.
OVOP Study Tour in Oita prefecture, Japan. In March 2011, Mr. U.Otgonbayar, National Project
Director of EMP-2, Deputy Chairman of Small and Medium Enterprises Agency and Mr. B.Lkhagva,
Project Board Member, and Chairman of the Regionalized Development Committee participated in the
OVOP Study Tour in Oita prefecture of Japan organized by the International Society for OVOP and the
Oita OVOP Foundation. The participants learned about the Oita prefecture industrial development, its
structure, SME support policy, its peculiarities, status of public-private partnership, human resource
development, financial support plan, and local management policy, as well as Oita prefecture brand
products. During the trip, several important points were emerged:
1. Effective and successful implementation of OVOP initiative requires the key elements such as
small, medium and household production policy setting, with clear interrelation in and between
the government and private sector involvement.
2. Business and legal environment should be consistent with the local economic and taxation
circumstances along with creating conducive environment for sustainability of small, medium
and household production.
3. It was observed that the government agencies have unique structure.
OVOP National Conference. The EMP-2 in
collaboration with the Government of Mongolia
organized the National OVOP Conference on
November 9th 2011 to discuss of the progress of the
OVOP Initiative activity and integrating it into the
National OVOP Programme. Having participated in
organizing such event, EMP-2 made the first step of
integrating OVOPI activity into the National
Programme. EMP-2 built a good relationship with the
Regional Development Committee under the Deputy Prime Minister’s Office. National conference
noted the importance of the followings: a). OVOP was originated from a practice not a theory; b).
Finding out different production methods; c). Personnel training and preparation program; d).
Integrating the power of local communities; e). Increasing human security
25
Seven OVOPI brand products/services selected by EMP-2 were recognized by the public and all of
them awarded the best OVOPI brand products/services by the RDC.
Public event for International Day for Poverty Eradication and Employed Mongolian day in collaboration with Ministry of Labor
Ministry of Labor and the project jointly organized a public event for the International day for
Poverty Eradication on October 17th of 2012, to present and promote to the public the
Government’s policy and program on supporting employment and SME development in Mongolia.
Representatives of Ministry of Labor, its affiliated institutions and ‘’Enterprise Mongolia Project’’
phase-2 participated in the event and provided information to citizens. SME experts of the capital
city, districts and 21 provinces and trainers presented on their activities and provided information on
SME registration, soft loan, leasing issue and trainings for SME. Also citizens and enterprises which
obtained loans from the SME development fund and successfully operating in the market have
presented their best products and services during the event and provided sales with free tasting.
Representatives from EMP-2 project participated in the event and made speeches to the public on
outcomes of project support and achievements of their businesses.
As the result of the event, the Ministry of Labor, its affiliated institutions and EMP-2 project
successfully introduced their objectives and activities to the public, obtained the public feedback and
opinion on employment issues and introduced for more than 2000 citizens of Mongolia the
importance of poverty eradication in the world today, hence celebrated the day as ‘’the
International Day for Eradication of Poverty’’.
Seabuckthorn cluster representatives delivered their feedbacks to the Policy Makers.
Seabuckthorn - King Fruit Forum was held on December 7, 2012 organized by the National Association
of Mongolian Sea buckthorn Planters and Producers with the support of the Ministry of Industry and
Agriculture. Government officials, scientists, farmers and producers took part in it and had an open
discussion on current progress of the National Sea Buckthorn Programme implementation, challenges,
problems, and future plan.
EMP-2 supported its 7 beneficiaries from Uvs aimag,
seabuckthorn farmers and producers, to participate in
the Forum. The Forum participants made
recommendations on developing fruit industry at three
levels; (1) Government as Ministries of Industry &
Agriculture, Environment & Green Development,
Education & Science and Labour, (2) Local Authorities
and (3) Planters and Producers and Creating a Brand
product as Mongolian Seabuckthorn.
26
National Workshop for Development of Small and Medium Enterprises and Livelihood Diversification
in Rural Areas
National Workshop was held on March 14, 2013
which was organized in Ulaanbaatar in collaboration
with Alternative Livelihood Project (ALP) of UNDP
and Ministry of Labor. The Workshop closely aligned
with the Government initiative ”Reform and Resolve
222” which deems to promote domestic production
and income and job sources and update relevant
policy environment. Representatives of the
Parliament, Ministry of Labor and its agencies,
Ministry of Industry and Agriculture, local
governments and project beneficiaries of EMP-2 and
ALP target sites, Embassy of Japan, Embassy of
Britain, Mongolian National Chamber of Commerce
and Industry, World Vision Mongolia, ADRA
International NGO actively participated at the
Workshop.
The overall goal of the National Workshop was to promote national debates among all stakeholders
through meaningful exchange of experiences and lessons learned in the stable entrepreneurship by
small and medium enterprises and building capacity for production of competitive products, diversifying
livelihood sources of herder household and provide evidence based recommendations in line with the
country’s relevant policies and programmes. Under the overall goal, the following specific objectives
and outputs were accomplished:
Shared findings of evaluation of the livelihood support projects, EMP-2 and ALP and review of
policies and regulations related to SMEs and OVOP programme;
Shared experiences and information of the UNDP and other development partner projects;
Promoted open discussions among over 150 stakeholders about challenges, risks, spare
capacity and opportunities in rural livelihood diversification and SME development and produce
policy recommendations;
Raised public awareness of rural livelihood and small business development.
Mr. Bat-Amgalan, Head of SME development Department, Ministry of Labor Ms. Sezin Sinanoglu, UN RC Mr. Batkhuyag, NPD, Vice Minister for Labor Mr. Bolorchuluun, Parliament Member, Head of SME Committee of Parliament
27
The national Workshop participants made recommendations in developing SME and livelihood
diversification in rural areas, such as (a) strengthen legal environment to promote SME development,
including improvement of Law on SME, Law on VAT, Law on Income Tax; (b) enforce implementing of
newly approved Law on Credit Guarantee Fund; (c) support SMEs trough implementing “Development
of rural areas by Local Brand product” Government programme; (d) support Sales chain of SME
products; (e) enhance capacity building of SMEs; (f) improve policy and regulatory framework on SME
development; (g) develop and Implement product standards.
Stakeholders actively participated in the Workshop Knowledge products were highly demanded
Project beneficiaries’ products introduced at the Exhibition during Workshop
28
7. PARTNERSHIP WITH EMBASSY OF JAPAN AND JICA
Counselor of the Embassy of Japan served as a Project Board Member
EMP-2 worked closely with the Embassy of Japan as a representative of Government of Japan.
Counselors (Deputy Chief of Mission) of the Embassy of Japan Mr. Sakae Waratani and Mr. Hayashi
Shinichiro (since the end of 2011) have served as EMP-2 Project Board members. The primary tasks
of the Project Board is to provide overall strategic policy and implementation guidance to the
project. The Project Board met quarterly to discuss the project implementation progress and
approve the work plan. The Project Board has ensured that potential risks in the project’s policy and
political environment that may undermine the achievement of project objectives or production of its
outputs are removed or mitigated in a timely and effective manner.
H.E. Ambassador of Japan to Mongolia visited Selenge aimag
On May 19-20, 2010, UNDP and Government of Japan joint team visited Selenge, one of the project
target sites where both LCDI and OVOPI components were implemented. H.E. Takuo Kidokoro,
Ambassador of Japan, Mr. Takahiro Ishizaki, First Secretary, EOJ, Mr. Akbar Usmani, Resident
Representative, UNDP, Ms. Mio Yokota, Private Sector Development Specialist, UNDP, Mr.
U.Otgonbayar, NPD, EMP-2 and Mr. Ts.Batkhuu, NPM, EMP-2 took part in the mission. The aim of
the visit was to provide opportunities for H.E. Ambassador of Japan to Mongolia and UNDP RR a.i. to
observe the EMP-2 field activities in Selenge aimag through dialogue with stakeholders, including
local government. During the visit, H.E. Takuo Kidokoro and Mr. Akbar Usmani met Mr. Erdenebat,
Selenge aimag Governor to discuss the project progress in Selenge and further implementation and
visited several project beneficiaries’ work places. Local EMC organized a mini-trade fair of project
beneficiaries displaying their home-grown and locally-made products, such as hops bread, bee
honey, herb tea and dairy and felt products. Also, Project Cooperation Agreement between the
UNDP and Selenge EMC was signed during the visit.
Mr. Erdenebat, aimag Governor is receiving guests. Guests visiting Ar gangat, Bee Honey Production cluster
29
Guests visiting Shilmel esgii, Felt cluster Guests visiting a Local Trade Fair
Policy Dialogue on SME Sales Management
Ministry of Labor, implementing agency of EMP-2 in cooperation with UNDP organized a policy
dialogue on SME Sales Management on January 24, 2013. The objective of the dialogue is identify
the collaboration areas of public and private partnerships in order to find proper solutions to
particular problems facing SMEs; such as government regulations related to tax, custom and
financing as well as SMEs competitiveness. A total of 73 participants representing central and local
public organizations relevant to the SMEs and employment, international development agencies,
NGOs and professional associations and small and medium enterprises. Mr, J.Ikeda-san,
International Consultant, Japan International Cooperation Agency (JICA) gave presentation on SME
Sales Chain Management, describing the progress steps of business to increase sales.
Meeting with JICA Officials
In November 2012, Ms. Tsetsegsuren J., National Project Manager, EMP-2 had a meeting with Ms.
Taketsuru Eiko, Representative, JICA and Mr. Sobajima Ken, Volunteer Coordinator, JICA. Parties
discussed possible collaboration opportunities of EMP-2 and JICA in the EMP-2 field offices where
JICA Volunteers with Economic background could practice their knowledge and skills to help out the
rural SMEs and micro producers. As a result of the meeting, first step was taken in Uvurkhangai, a
JICA volunteer collaborates with Yak-hair producer cluster to conduct further research on exporting
opportunities of yak-hair products to the international market.
30
8. SUMMARY AND LESSONS LEARNED
In the beginning of the project, EMP-2 fully funded all the activities for the beneficiaries. Since
2012 the project adopted a cost-sharing policy to share some parts of the cost and encourage
beneficiaries to invest for themselves and be more responsible and self-independent. Cost-
sharing policy increased beneficiaries’ participation and motivation.
The financial product developed in the Loan Guarantee Fund with Khan Bank has been
successful in promoting investment in livelihood improvement initiatives for those with
insufficient collateral to obtain access to credit. Most repayments have been made on a regular
basis, only one default loan case was found out of 83 loans. The project organized a joint
workshop to enhance mutual understanding between Khan Bank and the project beneficiaries
and investigate and solve a default loan case. So as not to have such a case in the future, both
parties agreed to work closer, especially in decision making and monitoring. Loan guarantee
created a new favorable business environment and business trust in rural areas. Upon the expiry
of LGF Grant Agreement on 31 December 2012 and the project completion on 31 March 2013,
the fund disbursed to the bank considered to be the property of the bank if terms and conditions
as per the Grant agreement fulfilled after verification of its compliance with all conditions. After
the handover of the assets the bank shall utilize the fund for the similar purposes.
The demand-driven training programme ensured that the trainees obtained the necessary
knowledge & skills in a short time. Many of the beneficiaries emphasized that technical
assistance was most effective action.
The provision of combining business and vocational technical training, with providing exposure
to markets through subsidized participation in regional, national and international trade fairs has
proven to be highly effective for beneficiaries. Beneficiaries’ product quality has improved,
therefore the sales channel has broadened. They have gained invaluable experience and
business knowledge of participating in trade fairs to improve their products.
Beneficiaries learned to look for opportunities and search for information instead of waiting for
someone to approach them and consequently, they are becoming more active in terms of
expanding their businesses, as well as improving their quality of life.
Many of the beneficiaries said that they have a very positive view of life and they understand the
advantages of collaborating with others.
Joint effort with Government, non-government, private sector, and international development
programmes work well.
The exchange program of experience and good practices of clusters is very important for all
cluster members and cluster leaders.
EMC management was a key factor of success of OVOPI and LCDI. Capacity building and
management skills of EMC staff have improved. Coordinators were responsible for two aimags,
31
and this did not work well due to the time constraints, long distances and shortage of financing.
The project local coordinating NGOs have been recognized by the local governments and partner
agencies as the sustainable business development service providers.
Cooperation between EMP-2 management and government were executed at sufficient level.
There is a need to develop dialogue and coordination between donor organization and
development projects, because many donor organizations conduct similar activities, which
would gain the advantage of substantial synergy. One of the lessons learned from the project an
effective coordination is essential between development partners and donor organizations
present in Mongolia.
During the National Workshop held on 14 March 2013 the Ministry of Labor expressed its
commitment and willingness to take over the project initiated interventions by issuing policy
recommendations to the government in collaboration with the workshop participants.
32
9. ANNEXES
Annex 9.1. Project Board
#
Name
Title and Organization Representing
Role in Project Board
1 Mr. U.Otgonbayar National project Director, EMP-2 Deputy Chairman, SME Agency
Chair
2 Mr. Ts.Nyam-Osor National project Director, EMP-2 Chairman, SME Agency
Chair
3 Mr. J.Batkhuyag National project Director, EMP-2 Vice Minister, Ministry of Labour
Chair
4 Mr. Thomas Eriksson
Deputy Resident Representative, UNDP (current)
Member
5 Ms. Shoko Noda Deputy Resident Representative, UNDP (previous)
Member
6 Mr. Hayashi Shinichiro
Councellor (Deputy Chief of Mission), Embassy of Japan in Mongolia (current)
Member
7 Mr. Sakae
Waratani Councellor (Deputy Chief of Mission), Embassy of Japan in Mongolia (previous)
Member
8 Mrs. S.Regzedmaa Deputy Director of Light Industry Policy Regulation Department, Ministry of Industry and Agriculture
Member
9 Mr. I.Amarzaya
Senior Officer, Department of Coordination of Light Industry Policy Implementation, Ministry of Food, Agriculture and Light Industry
Member
10 Mr. B.Lkhagvaa Chairman, Regional Development National Committee
Member
11 Mr.Kh. Ganbaatar
Vice President and Executive Director, Mongolian Employers’ Federation
Member
12
Mrs. J.Oyunchimeg
Head of Business and Investment Support Department, Mongolian National Chamber of Commerce and Industry
Member
33
Annex 9.2: Project fund disbursements (in US dollars)
Description 2009 2010 2011 2012 2013 Total
% of total
Objective 1. Enhanced capacity of SMEs and micro and small entrepreneurs in the project target regions to be engaged in sustainable business activities and to produce high value-added products
14,258.48 219,623.13 105,069.77 61,655.69 15,350.52 415,957.59
42.89%
Objective 2. Enhanced operational capacity and financial independence of the 4 EMCs to support an increased number of the project beneficiaries and to ensure sustainability of quality SME support
1,749.86 42,159.52 34,368.51 31,037.19 9,134.87 118,449.95
12.22%
Objective 3. Full Integration of the OVOPI component under the project into the National OVOP Program to ensure synergic collaboration between the government’s initiative and the project
2,078.76 11,682.97 17,111.07 55,896.29 86,769.09
8.95%
Objective 4. Monitoring and Evaluation 785.43 10,426.03
9,494.23
37,731.40 9,060.71 67,497.8
6.96%
Administrative cost 36,409.15 78,099.61 87,957.06 60,863.49 17,668.87 280,998.18
28.98%
Total
53,202.92 352,387.05 248,572.54 208,398.84 107,111.26 969,672.61
100%
34
Enterprise Mongolia Project – Phase II
(ATLAS PROJECT ID: 00063219; AWARD ID: 00050955 ) Project Period: June 2009 to March 2013 Project Status: Operationally Closed
Summary of Total Project Expenditures as at 24 June 2013 (Japan fund portion) Year USD Amount
2010 $224,190.62
2011 $169,255.15
2012 $133,323.86
2013 $106,493.84
Total $633,263.47
USD Amount
Total Project Budget $641,037.00
Total Project Expenditures $633,263.47
Balance $7,773.53*
* As per preliminary estimation of ISS and GMS charges and loss/gain due to exchange rate fluctuations are in total $7,770.
Attached together with this summary are the following documents:
1. Signed combined delivery reports (CDRs) from 2019 – 2012 and CDR 2013 as of 24 June. Final CDR for 2013 will be able in next year after processing of gain/loss due to exchange rate fluctuations and GMS calculation for the 2013.
2. Fund Resources Overview as of 25June 2013
35
Annex 9.3. Project staffing table
# Post title Component Name of incumbent Full/
Part time Gender (F/M)
Contract # Start Date of the last
contract End Date of the last
contract
1 National Project Manager
PIU MYAGMARTUVSHIN Lkhagvajav
Full time M SC/2009/014; 19 October 2009 20 October 2010
2 National Project Manager
PIU BATKHUU Tserennyambuu Full time M SC/2009/016;
Amendment No 01 2 November 2009 31 December 2010
3 National Project Manager
PIU SUNDER Erdenekhuyag Full time F SC/2011/036;
Amendment No 01 3 August 2011 31 December 2011
4 National Project Manager
PIU TSETSEGSUREN Jigjidsuren Full time F SC/2012/013;
Amendment No 01 27 August 2012 31 March 2013
5 M&E Officer PIU OYUNBILEG Rentsendorj Full time F SC/2009/02, 03,2011-
01 02 October 2009 31 December 2011
6 M&E Officer PIU SARAN Samdantsoodol Full time F SC/2011/04, Amendment
No 01-04 05 August 2011 31 March 2013
7 Microfinance Officer
PIU ANKHTUYA Nyamdorj Full time F SC/2011/03, Amendment
No 01 05 August 2011 30 April 2012
8 Admin & Finance Officer
PIU BATBULGAN Chimedravdan Full time F SC/2009/003
Amendment No 01-05; 9 February 2009 31March 2012
9 Admin & Finance Officer
PIU TSETSEGBAL Dashdorj Full time F SC/2012/001
Amendment No 01 18 January 2012 31 March 2013
10 Project Assistant PIU GANTULGA Nyamaa Full time M SC/2012/01, Amendment
No 01 13 February 2012 13 July 2012
11 Project Assistant PIU MUNGUNSOR Chimeddorj Full time F SC/2012/02, Amendment
No 01 22 November 2012 31 March 2013
12 Driver PIU ORLOMJAV Bazar Full time M
SC/2009/01, 04, Amendment No 01
SC/2011-02 Amendment No 01, 02
18 June 2009 31 March 2013
36
Annex 9.4. National Consultants/Individual Service Contractors
# Name Title / Institution
Purpose Starting date Ending date Contract No.
1 Mr.ERKHEMTUGS Jugdernamjil
National consultant
Micro finance training 13 Sept, 2011 16 Nov, 2011 2011-01
2 Ms. MAITSETSEG Batkhuu
Correspondent
Developing and publication on EMP-2 project activities, fulfillment, outcomes, cluster and its beneficiaries’ achievement and success stories on the daily newspaper in order to introduce publicly.
07 Dec, 2011 03 Feb, 2012 2011-02
3 Ms.BUMKHOROL Tsedendorj
National consultant
Evaluation of Livelihood Support Projects (ALP & EMP-2) of UNDP
19 September, 2012
19 November, 2012
IC/2012/001
4 Ms.SOLONGO Algaa
National consultant
Evaluation of Livelihood Support Projects (ALP & EMP-2) of UNDP
25 September, 2012
25 November, 2012
IC/2012/002
5 Mr.ARVINBAYAR Baatar
National consultant
Review of policies and regulations related to the Small and Medium Enterprises (SMEs) and One Village-One Product (OVOP) Programme and make specific recommendations
10 October, 2012
10 December, 2012
IC/2012/003
6 Ms.ENKHTSETSEG Ayur
Workshop coordinator
Assistance in organization of National Workshop in December 10-11, 2012
20 November, 2012
17 December, 2012
IC/2012/004
7 Ms.ALTANZUL Batjargal
Journalist
Write newspaper articles, project beneficiaries success story book content & 4 local coordinating entities achievement book content
28 January 2013
18 March 2013 IC/2013/001
8 Ms.BATTSETSEG Baatar
Translator Translate written documents from English into Mongolian and vice versa
30 January 2013
6 February 2013
2013-01-02
37
Annex 9.5. Project beneficiaries’ matrix
Name of
cluster
Name of
business
entity
Status of
cluster
Entity
establi
shed
date
Clu
ste
r le
ade
r
gen
de
r
# of
cluster
memb
ers
Business
activity Background information
Technical assistance received
from EMP-2 Improvement/impact
Munkh sureg Suun tusgal Cooperative 2011 f 22 Dairy
products
Individual dairy farmers sold
milk seasonally at local stores
at wholesale price. No
electricity line in their
community for decades.
1. Cooperative formation training
2. 17 members got loans ranging USD
900-7,700
3. Study tour to Cheese factory
4. Dairy processing training
1. Established Cooperative
2. Work premise
3. Electricity line
4. Mini-tractors
5. Milk processing equipment
6. Milking cows
7. Hay making equipment
Shilmel esgii Shilmel esgii LLC 2009 f 8 Felt craft
2 employees, no work
premise, produced only felt
slippers
1. Loan USD 2,300
2. Business planning training
3. Trade fair participation
4. Boot-making training
5. Label for products
1. Established LLC
2. Work premise
3. New equipment
4. New products
Buyankhishig Buyankhishig Informal f 10 Hops bread
Started in 2000 baking 5 loafs
of bread a day at her home
oven.
1. Cluster formation training
2. Loan USD 2,700-2006
3. Trade fair participation
4. Success story on Daily newspaper
Improving package
1. 100 sq.m work premise
2. 5 ovens
3. Mini-truck to deliver bread
4. Car
5. noodle processing equipment
Ujeed Ujeed LLC 2010 m 3 Herb tea
Started a family-oriented
business in 1993 to produce
herb tea using wild-grown
herbs
1. Improvement of tea package
2. Trade fair participation
3. Business development training
1. Increased variety of tea including teabag
and loose leaf tea
2. Expanded sales channels
3. Expanded business activity by opening
cafeteria, growing vegetable
Gunjiin bulan Gunjiin bulan Informal f 6 Smoked
fish
Family-oriented seasonal
business, limited production,
limited sales channel
1. Business management training
2. Support for store equipment;
refridger, freezer, counter valued at USD
1,500
3. Trade fair participation
1. Built brand-product store
2. Increased sales channel
3. Increased sales revenue
38
Buteelch Buteelch Informal f 7 Vegetable
A few households grew
common & uncommon
vegetables and sold at
wholesale price, no
greenhouse, no selling point
1. Loan USD 4,600
2. Business proposal writing
3. Trade fair participation
4. Cooperative formation training
5. Improvement packaging
1. Built storage for vegetable
2. 3 greenhouses
3. 10,000 sea buckthorn seedlings
4. Started sea buckthorn plantation
5. Cooperative establishment in underway
Ar gangat Ar gangat LLC 2010 f 10 Bee honey
Unregistered business, limited
sales channel, small-sized
production
1. Trade fair participation
2. Logo design improvement
1. Established business entity
2. Labeling & packaging improved
3. Sales revenue increased
Saihan
harztai Saihan harztai LLC 2010 f 5 Millet grain
A few households plant millet
and sell locally. Productivity
was low due to the manual
millet separating process.
1. Millet separating equipment
2. Improvement product packaging
3. Trade fair participation
4. Business management trainings
1. Productivity increased
2. Increased sales channel
3. Local Government support
4. Quality of life/built a house, purchased a
car
5. Established LLC
Tsolmon Tsolmon Informal f 13 Wood craft A couple produced a few items
by carving and sold locally
1. Loans USD 1,500-4,600
2. Business management training
3. Entity formation training
4. Trade fair participation
5. Carpentry training
1. Upgraded equipment
2. Skills improved
3. Started to build a work premise
4. Increased variety of products
Ongi Uran
Goyolol
Ongi Uran
Goyolol Cooperative 2007 F 22
Tailoring &
Felt craft
5 handicapped women started
to produce few items from felt
with monthly net profit about
USD 40.
1. Loans USD 2,300-5,400
2. Business management training
3. Accounting consulting
4. Trade fair participation
5. Cooperative formation training
6. Label for products
1. Work premise
2. Started to produce sewn goods
3. Added new equipment
4. 6 new jobs generated
5. Monthly net profit USD 380-460
6. Broadened sales channel
Unench
hiidel Unench hiidel Informal M 6 Boot maker
A couple produced a few pairs
of custom-made boots at
home
1. Business management training
2. Boot-making training
3. Trade fair participation
4. Label for products
5. Cooperative formation training
1. Skills improved
2. Variety of products increased
3. Quality of products improved
4. 2 jobs generated
5. Sales channel broadened
Khangain sor Khangain sor LLC 2009 F 11 Yak hair
products
A couple started producing
bags from yak hair and sheep
wool as a hobby, later on
turned into business
1. Trade fair participation
2. Label for products
3.Improvement packaging
1. Established business entity
2. Regularly participates in tenders for
vocational training
3. Trained over 100 people felt processing
technique
4. Products have been recognized
39
Jargaltai Jargaltai Cooperative 1999 M 15 Redskin
garlic
Depended on the weather due
to the lack of irrigation system,
no storage for keeping seed
and crop
1. Loans USD 7,700-15,400
2. Agriculture training
3. Study tour to Agriculture Research
Institute, China
4. Improvement packaging
1. Drip irrigation system
2. Storage
3. Fencing the field
4. Good quality of seed
Sodon
Khaan khatad LLC 2010 F
13
Art craft
4-5 women run spinning ger
rope, printing little items
1. Loan USD 10,800
2. Business management training
3. Cooperative formation training
4. Trade fair participation
1. Increased variety of products
2. Business entity established
3. Sales revenue increased
Gol khoshuu LLC 2010 M Art craft
Davtagdashgui
design LLC 2012 F Art craft
Chanar Chanar Informal F 10 Boot maker
Family-oriented business, 4-5
variety 200 pairs of boots a
year, sold locally
1. Boot-making training
2. Loans USD 3,800-8,500
3. Trade fair participation
4. Label
5. Business management training
1. Trained 15 workers
2. 350 pairs of boots a year
3. 8 varieties of boots
4. Renewed equipment
5. Broadened sales channels
Ev ur Evt tumen LLC 2011 M 4 Carpentry
Produced wooden furniture
and ironsmith work by
individual order
1. Loan USD 9,200
2. Business management training
3. Cooperative formation training
1. 3-4 permanent jobs generated
2. Ash blocks production
3. Renewed equipment
Dulguun
Kherlen
Khentii
tsetserlegjilt LLC 2011 M
48
Vegetable
Grew common & uncommon
vegetables and sold at
wholesale price, no
greenhouse, no selling point
1. Loans USD 550-15,400
2. Improvement packaging
3. Business management training
4. Cooperative formation training
5. Trade fair participation
6. Business proposal writing
7. Support for joint selling point
1. Sea buckthorn plantation
2. Irrigation system
3. Tractor, Van to transport vegetable
4. Storage
5. Greenhouse
6. Improved the vegetable seed
7. Newly established business entities
Yudegiin khundii Cooperative 2012 F Vegetable
99 khorshoo Cooperative 2007 F Vegetable
Uran uilchid
Uran sarnai Cooperative 2010 f
23 Tailoring
Insufficient working capital,
few variety of sewn garments,
lack of necessary equipment
1. Loans USD 770-4,600
2. Trade fair participation
3. Business management training
1. Renewed equipment
2. Increased working capital
3. Quality of products improved
4. Number of regular customers increased
5. Purchased a car, house
Olnii dem Cooperative 2011 f
40
Gobi sunrise Gobi sunrise LLC 2005 m 8
Community
-based
tourism
Started as tour-camp based on
energy center, later on
expanded the business by
producing ash block, bottled
water and tree planting
1. Loan USD 15,400
2. Vegetable growing training
3. Tree planting training
4. Improvement packaging for souvenir
goods
1. New business activities/vegetable, ash
block production, bottled water
Bayalag
Gazriin shim
Bayalag Gazriin
shim LLC 2009 f 13 Vegetable
1 hectare of land, 28-30 tons
of crops, no storage to keep
crops
1. Business management training
2. Improvement packaging
3. Trade fair participation
4. Agriculture training
1. Increased the field from 1 to 3 hectares
2. Increase of crop to 100 tons
3. Storage to keep 65 tons of vegetable
4. Preserved vegetable 1000-1500 jars a year
5. 20-30 temporary job generated
6. Permanent selling point
Buyant Buyant Informal f 9 Felt craft &
Vegetable
Unemployed women, who
registered at the local
Employment bureau joined to
start business.
1. Felting training
2. Business management training
3. Trade fair participation
4. Business linkage with Aimag museum
5. Loan USD 1,500
6. Label
1. Felt combing equipment
2. Skills improved
3. Variety of products increased
4. Sales income increased
5. Some starts to export goods to
neighboring countries
Od Tsahir manalt Partnership 2009 m 6 Carpentry
Family-oriented carpentry
business with 2 employees,
produced few products at his
home
1. Loans USD 7,700-15,400
2. Business management training
3. Carpentry training
4. Business planning consulting
1. Work premise
2. Equipment
3. Quality of products improved
4. Purchased raw material at wholesale
price, decreased the cost
5. Selling point
6. Built a house
Nariin hiits Nariin hiits Informal f 5 Felt craft
Produced a few varieties of felt
goods, souvenirs and sold
through local stores
1. Felting training
2. Business management training
3. Label
4. Trade fair participation
5. Loan USD 1,500
1. Work premise
2. Skills improved
3. Variety of products increased
4. Sales income increased
5. Equipment
Uran gar Uran gar Informal f 4 Felt craft
Produced a few varieties of felt
goods, souvenirs and sold
through local stores
1. Loan USD 770
2. Felting training
3. Business management training
4. Trade fair participation
1. Added equipment
2. Increased variety of products
3. Started sewing workshop
41
Khovdiin
uran
khatgamal
Uurtuu tuslah
uhaan NGO 2006 f
32
Embroidery
Made a few products in her
spare time as a hobby.
1. Business management training
2. Trade fair participation
3. Improvement packaging
4. Business linkage
5. Sewing/pattern making training
6. Boot making training
1. 3 business entities established
2. Jobs generated
3. Variety of products increased
4. Work premise
5. Produced 13 ethnic minorities' costumes
for Aimag museum
Khos chansaa Partnership 2011 f Boot maker
Dusal buyan Partnership 2011 f Tailoring
Khos zaan Partnership 2011 m Boot maker
Dul-
Ahmadiin
dem
Ochir suld Cooperative 1999 f
17
Tailoring
Started as a small bakery
workshop, later expanded the
business by producing cotton
bags and felt rugs
1. Loans USD 3,100-15,400
2. Trade fair participation
3. Business management training
4. Sewing/pattern making training
1. 2 business entities established
2. New business started/producing cotton
bags, health therapy pillows
3. Equipment
4. Variety of products increased
5. Work premise
Tsast Altain sor LLC 2011 f Felt craft
Uyenchiin gazar
shoroo Cooperative 2006 f Tailoring
Shine
tsolmon Shine tsolmon LLC 2008 f 4 Felt craft
Produced a few varieties of felt
goods, souvenirs and sold
through local stores
1. Business management training
2. Felting training
3. Trade fair participation
4. Business linkage with Aimag museum
5. Loan USD 1,500
1. Equipment
2. Skills improved
3. Sales income increased
4. Variety of products increased
5. Cluster leader became a felting trainer
Chatsargana
Khet tsah Cooperative 1992 m
74 Sea
buckthorn
Limited sales channel, lack of
appropriate packaging, low
capacity of production
1. Loan USD 10,000-14500
2. Business management training
3. Improvement packaging
4. Trade fair participation
5. Printing cost of field history booklet
1. Expanded the field
2. Increased the production capacity
3. Increased sales channel
4. Increased the yield
5. Established business entity
Us-Erdene LLC 1991 f
Emegteichuud Informal f
Da buyan LLC 2011 f
Ulaan
chatsargana Informal m
Jamts davs Jamts davs LLC 2008 m 10 Rock salt Produces packaged rock salt
and salt souvenirs
1. Trade fair participation
2. Improvement packaging
1. Established business entity
2. Labeling & packaging improved
Total number of beneficiaries
418
42
Annex 9.6. Loan Disbursement
Aimag Custer name Borrower name Gende
r
Approved loan
size, MNT
Disbursed
date
Interest
rate
Loan
term,
month
Loan purpose LGF
percent
LGF amount,
MNT
Khentii Uran Uilchid Oyuntsetseg
Dugarjav
f
6,000,000 2011/10/14 1.3 24 Working Capital and
Fixed Assets
30.0% 1,800,000
Khentii Uran Uilchid Oyuntsetseg
Dugarjav
f
10,000,000 2012/10/23 1.3 24 Working Capital and
Fixed Assets
5.0% 500,000
Khentii Uran Uilchid Ganbold Zundui f
3,000,000 2011/11/18 1.3 24 Working Capital and
Fixed Assets
5.0% 150,000
Khentii Uran Uilchid Oyuntungalag
Bat-Ulzii
f
3,000,000 2011/06/17 1.3 24 Working Capital and
Fixed Assets
29.4% 883,000
Khentii Uran Uilchid Baigalmaa
Khuvrag
f
3,000,000 2011/02/23 1.3 24 Working Capital and
Fixed Assets
53.3% 1,597,800
Khentii Uran Uilchid Odgerel Bold f
1,500,000 2011/02/28 1.3 24 Working Capital and
Fixed Assets
21.1% 316,000
Khentii Uran Uilchid Bayasgalan
Chultemsuren
f
1,000,000 2011/05/05 1.3 24 Working Capital and
Fixed Assets
10.0% 100,000
Khentii Chanar Purevjav Batsukh f
11,000,000 2010/10/26 1.3 24 Working Capital and
Fixed Assets
18.2% 2,002,198
Khentii Chanar Purevjav Batsukh f
5,000,000 2012/08/31 1.2 24 Working Capital and
Fixed Assets
30.4% 1,520,000
Khentii Chanar Lkhamsuren
Zundui
f
1,200,000 2010/11/01 1.3 24 Working Capital and
Fixed Assets
50.0% 600,000
Khentii Chanar Lkhamsuren
Zundui
f
1,200,000 2012/11/07 1.3 24 Working Capital and
Fixed Assets
21.7% 260,000
Khentii Chanar Tsetsegmaa
Ukhnaa
f
9,000,000 2012/10/15 1.3 24 Working Capital and
Fixed Assets
5.0% 450,000
Khentii Chanar Tsetsegmaa
Ukhnaa
f
6,000,000 2010/11/25 1.3 24 Working Capital and
Fixed Assets
10.0% 600,000
43
Khentii Chanar Gantsetseg
Gombojav
f
1,500,000 2011/06/30 1.3 7 Working Capital and
Fixed Assets
25.1% 376,000
Khentii Chanar Gantsetseg
Gombojav
f
3,200,000 2012/08/13 1.2 24 Working Capital and
Fixed Assets
18.8% 600,000
Khentii Dulguun Kherlen Nina Tsend f
700,000 2011/04/11 1.3 24 Working Capital and
Fixed Assets
34.3% 240,000
Khentii Dulguun Kherlen Doljinsuren
Banzragch
f
500,000 2011/04/12 1.3 12 Working Capital and
Fixed Assets
5.0% 25,000
Khentii Dulguun Kherlen Doljinsuren
Banzragch
f
700,000 2012/05/18 1.3 12 Working Capital 10.0% 70,000
Khentii Dulguun Kherlen Altantugs
Jambalsuren
f
10,000,000 2012/07/03 1.3 24 Working Capital and
Fixed Assets
10.0% 1,000,000
Khentii Dulguun Kherlen Oyun Jinchin f
950,000 2011/07/07 1.3 24 Working Capital and
Fixed Assets
21.1% 200,000
Khentii Dulguun Kherlen Davaa Banzragch f
10,000,000 2012/06/13 1.3 24 Working Capital and
Fixed Assets
50.0% 5,000,000
Khentii Dulguun Kherlen Davaa Banzragch f
6,000,000 2011/05/04 1.3 24 Working Capital and
Fixed Assets
27.3% 1,640,000
Khentii Dulguun Kherlen Uuganmandakh
Battumur
m 1,000,000 2011/05/04 1.3 24 Working Capital and
Fixed Assets
10.0% 100,000
Khentii Dulguun Kherlen Lkham Tsend f
6,000,000 2011/01/03 1.3 24 Working Capital and
Fixed Assets
44.0% 2,640,000
Khentii Dulguun Kherlen Erdenetsetseg
Choidorj
f
20,000,000 2012/05/29 1.3 24 Working Capital and
Fixed Assets
14.9% 2,982,000
Khentii Dulguun Kherlen Ganchimeg
Boldbaatar
f
1,500,000 2011/04/28 1.3 24 Working Capital and
Fixed Assets
10.0% 150,000
Khentii Dulguun Kherlen Ganchimeg Bat-
Ochir
f
1,000,000 2010/12/13 1.3 24 Working Capital and
Fixed Assets
10.0% 100,000
Khentii Ev-Ur Sumya
Sandagjav
m 12,000,000 2011/04/05 1.3 24 Working Capital and
Fixed Assets
5.0% 600,000
44
Khentii Dulguun Kherlen Dulambat
Baasanjargal
f
5,000,000 2011/04/28 1.3 6 Working Capital and
Fixed Assets
26.7% 1,334,000
Khentii Sodon Shijirbaatar
Baatarjav
m 14,000,000 2012/10/01 1.3 24 Working Capital and
Fixed Assets
50.0% 7,000,000
Khentii Sodon Shijirbaatar
Baatarjav
m 14,000,000 2011/06/25 1.3 24 Working Capital and
Fixed Assets
29.9% 4,190,400
Khentii Chanar Nyamdulam
Ochirpurev
f
5,000,000 2012/08/06 1.3 24 Working Capital and
Fixed Assets
50.0% 2,500,000
Khentii Sodon Puntsag
Ariyandeb
m 4,000,000 2012/10/10 1.3 24 Working Capital and
Fixed Assets
5.0% 200,000
Dornogobi Gobi Sunrise Tsetsegmaa
Tserensonom
f
20,000,000 2011/05/11 1.2 24 Working Capital and
Fixed Assets
5.0% 1,000,000
Khovd Shine Tsolmon Oyunchimeg B f
2,000,000 2010/12/17 1.2 24 Working Capital and
Fixed Assets
50.0% 1,000,000
Khovd Shine Tsolmon Gankhuyag
Enkhtur
m 1,000,000 2010/10/13 1.3 24 Working Capital and
Fixed Assets
10.0% 100,000
Khovd Buyant Tuya B. f
2,000,000 2011/08/26 1.2 18 Working Capital and
Fixed Assets
50.0% 1,000,000
Khovd Uran gar Regzedmaa
Budragchaa
f
1,000,000 2010/10/12 1.3 24 Working Capital and
Fixed Assets
10.0% 100,000
Khovd Od Odsuren Emeel m 15,000,000 2011/12/20 1.3 24 Working Capital and
Fixed Assets
50.0% 7,500,000
Khovd Od Odsuren Emeel m 10,000,000 2010/11/04 1.2 24 Working Capital and
Fixed Assets
45.0% 4,500,000
Khovd Od Batmunkh
Gombo
f
15,000,000 2012/01/12 1.3 24 Working Capital and
Fixed Assets
50.0% 7,500,000
Khovd Od Batmunkh
Gombo
f
10,000,000 2011/02/24 1.3 24 Working Capital and
Fixed Assets
50.0% 5,000,000
Khovd Od Dulmaa
Arvaikheer
m 20,000,000 2012/08/24 1.3 24 Working Capital and
Fixed Assets
40.0% 8,000,000
45
Khovd Dul-Ahmadiin
dem
Byambaa
Purevdorj
f
18,000,000 2012/10/18 1.2 24 Working Capital and
Fixed Assets
40.0% 7,200,000
Khovd Dul-Ahmadiin
dem
Byambaa
Purevdorj
f
6,000,000 2011/01/17 1.2 24 Working Capital and
Fixed Assets
40.0% 2,400,000
Khovd Dul-Ahmadiin
dem
Bolortuya
Battulga
f
10,000,000 2012/07/06 1.3 24 Working Capital and
Fixed Assets
50.0% 5,000,000
Khovd Dul-Ahmadiin
dem
Sonin Gonchig f
4,000,000 2012/05/11 1.3 24 Working Capital and
Fixed Assets
10.0% 400,000
Khovd Khovdiin Uran
khatgamal
Odontuya Ch. f
20,000,000 2012/09/26 1.3 24 Working Capital and
Fixed Assets
50.0% 10,000,000
Khovd Khovdiin Uran
khatgamal
Minjintsetseg
Dunkhuu
f
1,000,000 2010/11/10 1.3 24 Working Capital and
Fixed Assets
50.0% 500,000
Khovd Nariin khiits Ariunaa Ayush f
2,000,000 2011/02/25 1.2 24 Working Capital and
Fixed Assets
10.0% 200,000
Khovd Khovdiin Uran
khatgamal
Tsetsegbal
Baatardorj
f
7,000,000 2010/12/22 1.2 24 Working Capital and
Fixed Assets
50.0% 3,500,000
Khovd Dul-Ahmadiin
dem
Khorloo Mongio f
20,000,000 2012/08/21 1.2 24 Fixed Assets 50.0% 10,000,000
Uvs Chatsargana Kharinuu P.
9945-9688
f
13,000,000 2011/12/01 1.3 24 Working Capital and
Fixed Assets
50.0% 6,500,000
Uvs Chatsargana Bat-Ochir L.
9909-2680
m 20,000,000 2012/10/03 1.3 24 Working Capital and
Fixed Assets
43.5% 8,700,000
Uvs Chatsargana Nyamkhuu
Chimedtseren
m 20,000,000 2012/10/31 1.3 24 Working Capital and
Fixed Assets
50.0% 10,000,000
Selenge Munkh sureg Lkhagva
Nyamtseren
f
2,000,000 2010/10/05 1.3 24 Fixed Assets 10.0% 200,000
Selenge Munkh sureg Lkhagva
Nyamtseren
f
5,000,000 2012/06/07 1.2 24 Fixed Assets 29.8% 1,490,000
Selenge Munkh sureg Purevdorj Ayush m 1,200,000 2010/11/24 1.3 24 Working Capital and
Fixed Assets
22.1% 265,000
46
Selenge Munkh sureg Purevdorj Ayush m 2,000,000 2012/09/21 1.2 24 Working Capital and
Fixed Assets
50.0% 1,000,000
Selenge Munkh sureg Narangarav
Nergui
f
10,000,000 2010/11/03 1.3 24 Working Capital and
Fixed Assets
10.0% 1,000,000
Selenge Munkh sureg Togtorkhan
Dashdeleg
m 4,000,000 2011/04/08 1.3 24 Working Capital and
Fixed Assets
10.0% 400,000
Selenge Munkh sureg Togtorkhan
Dashdeleg
m 6,000,000 2012/05/31 1.3 24 Fixed Assets 27.3% 1,639,800
Selenge Munkh sureg Khandaa
Tserendorj
f
5,000,000 2012/08/24 1.2 24 Fixed Assets 49.0% 2,450,000
Selenge Munkh sureg Khandaa
Tserendorj
f
1,800,000 2010/11/05 1.3 24 Working Capital and
Fixed Assets
10.0% 180,000
Selenge Munkh sureg Gankhuyag
Chultem
m 3,000,000 2010/11/05 1.3 24 Working Capital and
Fixed Assets
5.0% 150,000
Selenge Munkh sureg Gankhuyag
Chultem
m 5,000,000 2012/09/05 1.2 24 Working Capital and
Fixed Assets
12.0% 600,000
Selenge Munkh sureg Enkhbayar
Sharkhuu
f
1,200,000 2011/04/06 1.3 24 Working Capital and
Fixed Assets
30.0% 360,000
Selenge Munkh sureg Norovpurev
Namjilbat
f
1,800,000 2010/11/05 1.3 24 Working Capital and
Fixed Assets
10.0% 180,000
Selenge Munkh sureg Norovpurev
Namjilbat
f
5,000,000 2012/05/18 1.2 24 Fixed Assets 31.5% 1,575,000
Selenge Arvijikh Mongolkhuu
Yanjin
f
6,000,000 2012/04/10 1.3 24 Fixed Assets 50.0% 3,000,000
Selenge Munkh sureg Buyanjargal
Yavuukhuu
f
10,000,000 2010/11/19 1.3 24 Fixed Assets 5.0% 500,000
Selenge Munkh sureg Ganzorig
Gombosuren
m 2,000,000 2010/10/25 1.3 24 Fixed Assets 10.0% 200,000
Selenge Gunjiin bulan Otgonjargal
Davaajav
f
4,000,000 2012/01/27 1.3 24 Working Capital 10.0% 400,000
47
Selenge Munkh sureg Delgermaa
Tsevelmaa
f
3,000,000 2012/05/15 1.3 24 Fixed Assets 12.4% 372,000
Uvurkhangai Ongi Uran
Goyolol
Tseyen-Oidov
Tserendorj
m 7,000,000 2010/10/25 1.3 22 Working Capital and
Fixed Assets
50.0% 3,500,000
Uvurkhangai Ongi Uran
Goyolol
Myagmardorj
Myatav
m 3,000,000 2011/04/06 1.3 24 Working Capital and
Fixed Assets
5.0% 150,000
Uvurkhangai Tsolmon Tsolmonkhuu
Baasankhuu
m 2,000,000 2012/03/01 1.3 24 Working Capital and
Fixed Assets
10.0% 200,000
Uvurkhangai Tsolmon Tsolmonkhuu
Baasankhuu
m 2,500,000 2010/11/10 1.3 20 Working Capital and
Fixed Assets
50.0% 1,250,000
Uvurkhangai Tsolmon Bat-Ochir
Tserenkhuu
m 3,000,000 2010/10/20 1.3 24 Working Capital and
Fixed Assets
50.0% 1,500,000
Uvurkhangai Tsolmon Bat-Ochir
Tserenkhuu
m 6,000,000 2012/01/12 1.3 24 Fixed Assets 36.3% 2,180,000
Zavkhan Jargaltai Omoontsoo R. m 10,000,000 2010/11/01 1.2 24 Working Capital and
Fixed Assets
30.0% 3,000,000
Zavkhan Jargaltai Rashjil R. f
2,000,000 2011/02/10 1.2 24 Working Capital and
Fixed Assets
50.0% 1,000,000
Zavkhan Jargaltai Munkhbayar L. m 20,000,000 2010/11/17 1.2 24 Working Capital and
Fixed Assets
50.0% 10,000,000
Total
548,450,000
180,568,198
48
Annex 9.7: Training, workshops, seminars and meetings
1. Overseas trainings, workshops, study tours and meetings
Training title Duration Training Institution Staff involved in training
Funded by
1 7
th International One Village One
Product Seminar in Hanoi, Vietnam
14-15 December,
2010
Ministry of Agriculture & Rural Development of Vietnam & Oita OVOP International Exchange Promotion
Committee
Mr. U.Otgonbayar, NPD, EMP-2, Deputy Head of SME Agency
EMP-2
2
OVOP Study Tour in Oita, Japan 3-12 March
2011 International Society for OVOP & Oita Foundation
Mr. U.Otgonbayar, NPD, EMP-2, Deputy Head of SME Agency Mr. B. Lkhagva, Project
Board member, Head of Regional Development Committee
EMP-2
3 Atlanta, GA, USA
18- 20March
2013 Strategic Performance and Change Management Summit
Mr. J.Batkhuyag, NPD, EMP-2, Vice Minister for Labour
EMP-2
49
2. Local Training
# Training title Training Institution Duration Participants/benefic
iaries Location
1 Training on Cooperative Foundation Union of Mongolian Production & Service
Cooperatives
Jul 6-Nov 10, 2010, Mar 4- 15, 2011 Apr 13-25, 2011
141 In Selenge
Khentii, Khovd, Uvs, Dornogobi, Uvurkhangai
2 Training on boots making techniques Tuul Training Center Sep 20-Oct 20, 2010, Mar 9-May 13, 2011, Jul 19-Aug 24, 2012
8
In UB
3 Training on wool processing & designing techniques in upgrading level
Bayan Elstii Training center Mar 7-Apr 7, 2011
May 19-Jun 17, 2011, May 19-Jun 17, 2011
19 In UB
4 Training on Sewing techniques in upgraded level Dayar tugs Training Center Sep 20-Oct 20, 2010 Mar 9-Apr 7, 2011
13 In UB
5 Training on Sofa designing techniques Montech Trade LLC March 20-Apr 11, 2011 2 In UB
6 Training on vegetable farming GIZ May 12, 2011 10 In Darkhan
7 Training on red-skin garlic pest identification, pesticide development & methodology development
Plant protection & Research Institute Jun 10, 2011 18 In Zavkhan
8 Training on advanced felt processing/coloring Ongi Uran Goyolol Cooperative Aug 5, 2011 3 In Bayangol soum,
Uvurkhangai
9 Training on Developing Business Plan Green Development & Co-Operative Initiative NGO Oct 1-Nov 4, 2011 65 Selenge, Khentii,
Uvurkhangia, Khovd, Uvs
10 Training on felting in advanced level Wool Craft Supporting Center NGO Mar 6-20, 2012 5 In UB
11 Training on Cluster development ADRA Mar 15, 2012 20 In Selenge
12 Training on entity formation Registry, Tax, Social Insurance Office of Khentii
aimag Apr 5, 2012 20 In Khentii
13 Training on Cooperative formation
Selenge Itgel Employers’ Association Apr 20, 2012 10 In Selenge
14 Training on basic accounting Union of Mongolian Production & Service Union
Apr 26, 2012 20 In Khentii
50
15 Training on Sustainable NGO, Marketing & Management of NGO, writing proposals to donors
Development Solutions NGO
May 10-21, 2011 4 In UB
16 Training on conducting market research, cost calculation, product price setting, packaging and bar code
MNCCI May 10-21, 2011 4 In UB
17 Training on entity formation Technology School of Mongolian Technical
University of Science & Technology
May 12, 2012 18 In Uvurkhangai
18 Training on improving Sales professionals’ skills
Mongolian Association for Sales Professionals NGO May 30, 2012 11 In UB
19 Training on cheese processing & study tour Ligiin Uhaa LLC Jul 2, 2012 10 In Altanbulag soum, Tuv
aimag
20 Training on advanced felt processing/coloring Technology School of Mongolian Technical
University of Science & Technology Oct 18, 2012 10 In Uvurkhangai
21 Training on Labor safety MONEF Oct 9, 2012
Nov 24, 2012 42
In Uvurkhangai Selenge
22 Training on business relations MONEF Nov 25, 2012 16 In Uvurkhangai
23 Training on entity formation Khovd University Nov 29, 2012 28 In Khovd
24 Training on technology of insulating sleeping bag Technology School of Mongolian Technical
University of Science & Technology Dec 19, 2012 15 In Uvurkhangai
25 Training on conducting market research, methods to gather information & market penetration strategies
MNCCI Mar 14-16, 2013 32 In UB
Total number of trainees 540
51
Annex 9.8: Trade fairs
1. Overseas trade fairs
# Trade fair title Duration Institution organized Staff/beneficiaries involved in activities
1 Euro-Asia Expo-2011 in Manchuria, China
July 1-7, 2011
Mongolian Employers’ Association (MONEF)
Mr. J. Banzragch, Officer, SME Agency Mrs. Ch. Batbulgan, Administrative & Finance Officer, EMP-2 Mr. N.Enebish, Local Coordinator, EMP-2 Mrs. T. Doljinsuren, Local Coordinator, EMP-2 Mrs. D.Uranchimeg, Local Coordinator, EMP-2 16 beneficiaries
2 International Trade fair in Shiliin Gol, China
August 2011 Mongolian Trade
Union EMP-2 project’s 2 beneficiaries
3 Euro-Asia Expo-2011 in Urumqi, China
August 2011 MNCCI EMP-2 project’s 2 beneficiaries
4 Euro-Asia Expo-2012 in Urumqi, China
Sep 1-7, 2012
Mongolian National Chamber of
Commerce & Industry (MNCCI)
Mr. N. Galtsog, Head of Project & Investment Department, SME Agency, Mrs. B. Nyamkhuu, Local Coordinator, EMP-2, 6 EMP-2 beneficiaries
52
2. Local trade fairs
# Trade fair title Duration Institution organized
Location
# of beneficiaries
1 Made in Mongolia-2010 February 4-8, 2010 Ministry of Food & Light Industry (MFALI) UB 12
2 Made in Selenge-2010 April 2010 Selenge aimag’s Governor Office Selenge 6
3 SME & Cooperatives-2010
May 7-10, 2010 Small & Medium Enterprise Agency (SMEA) UB 19
4 Naadam Festival July 2010 UNDP UB 3
5 Khovd Partnership-2010 August 24-26, 2010 MNCCI-Khovd Khovd 5
6 Autumn Green Days-2010
September 16-22, 2010
MFALI UB 8
7 Selenge Partnership-2010
November 2010 MNCCI Selenge, SME department Selenge 5
8 You Have an Opportunity
December 12-14, 2010
Bolomj Ireedui NGO, Local EMP-2 coordinating entity Khovd 20
9 Lunar New Year January 2011 Bolomj Ireedui NGO, Local EMP-2 coordinating entity Khovd 15
10 Lunar New Year February 25, 2011 Kherlen Business Development Association, Local EMP-2 coordinating entity
Khentii 27
11 Labor Day March, 2011 Bolomj Ireedui NGO, Local EMP-2 coordinating entity Khovd 5
12 Ethnic Art Festival March, April, July, 2011
Ministry of Education, Culture and Science Khovd, Uvs &
UB 10
13 SME & Cooperatives-Job-2011
May 2011 SMEA UB 23
14 Children’s day Festival May 30, 2011 Bolomj Ireedui NGO, Local EMP-2 coordinating entity & Suun Setgel NGO
Khovd 10
15 Family Day May, 2011 Bolomj Ireedui NGO, Local EMP-2 coordinating entity Khovd 5
16 Ethic museum opening July, 2011 Bolomj Ireedui NGO, Local EMP-2 coordinating entity Khovd 22
17 Selenge aimag’s 80
th
anniversary July 19-20, 2011
Aimag Governor Office, MNCCI-Selenge, SME Department
Selenge 3
18 Yak Festival-2011 July 22-24, 2011 Tourism Department of Uvurkhangai aimag’s Governor Office & Bat-Ulzii soum’s Governor Office
Uvurkhangai 2
19 Uvurkhangai aimag’s 80
th anniversary
July 29-30, 2011 Uvurkhangai aimag’s Governor Office Uvurkhangai 3
20 Khovd Partnership-2011 August, 2011 MNCCI-Khovd Khovd 10
21 Zavkhan Partnership-2011
August, 2011 MNCCI-Zavkhan Zavkhan 2
22 Horse Festival-2011 August 2011 Tourism Department of Uvurkhangai aimag’s Governor Office & Ulziit soum’s Governor Office
Uvurkhangai 4
23 Common Services 80
th
anniversary September 14, 2011
Food, Agriculture & SME Department, Labor & Social Welfare service Department of Khentii aimag’s Governor Office, Vocational Training School & Kherlen
Khentii 14
53
BDA
24 Arkhangai Partnership-2011
September 2011 MNCCI-Arkhangai Arkhangai 1
25 Uvurkhangai Partnership-2011
September 2011 MNCCI-Uvurkhangai Uvurkhangai 2
26 UB-Partnership-2011 September, 2011 MNCCI UB 2
27 SME-2011 September 2011 Mongolian People’s Party-Selenge Selenge 2
28 Autumn Green Days-2011
September, 2011 MFALI UB 24
29 Kherlen soum’s Autumn Green Days
October 20-21, 2011
Kherlen Soum’s Governor Office, Food & Agriculture Association & Kherlen BDA
Khentii 12
30 Made in Mongolia-2012 February, 2012 SMEA UB 12
31 Lunar New Year February, 2012 Food, Agriculture & SME Department of Khentii aimag’s Governor Office & Kherlen BDA
Khentii 6
32 Generous Lunar Year February 9-10,
2012 MNCCI-Khovd Khovd 6
33 Lunar New Year February, 2012 MNCCI Uvurkhangai Uvurkhangai 3
34 Western Region’s Trade Unions’ forum
March 3-4, 2012 Mongolian Trade Union, Ministry of Foreign Affairs & Trade, Food, Agriculture & SME Department of Khovd aimag’s Governor Office
Khovd 4
35 SME-Cooperative-2012 May 18, 2012 Food, Agriculture & SME Department, Labor & Social Welfare Service Department of Khentii aimag’s Governor Office & Kherlen BDA
Khentii 12
36 SME-Cooperative-2012 May 31-June 4,
2012 SMEA UB 19
37 Throat-Singing Festival July, 2012 Khovd aimag’s Governor Office & International Throat-Singers’ Federation
Khovd 6
38 Yak Festival-2012 July 20, 2012 Tourism Department of Uvurkhangai aimag’s Governor Office & Bat-Ulzii soum’s Governor Office
Uvurkhangai 3
39 UB-Partnership-2012 September 17,
2012 MNCCI UB 6
40 Autumn Green Days-2012
September 25-October 1, 2012
MFALI UB 19
41 Uvurkhangai Partnership-2012
September, 2012 MNCCI-Uvurkhangai Uvurkhangai 4
42 Employed Mongolian public event
October 17, 2012 Ministry of Labor & EMP-2 UB 7
43 Common Services-2012 October 12, 2012 Food, Agriculture & SME Department, Labor Department of Khentii aimag’s Governor Office & Kherlen Business Development Association
Khentii 14
44 Made in Selenge-2012 October 30-31,
2012 Selenge aimag’s Governor office Selenge 8
45 Selenge Partnership-2012
November 5-7, 2012
MNCCI Selenge Selenge 8
46 Made in Mongolia-2013 January 2013 MoL & MoIA UB 15
Total number of participants
428
54
Annex 9.9: Publications produced by the project
№ Cover picture of books Year Title and Brief content of publication
1
2011
Uvs Sea buckthorn. Good practice Good practices of Uvs Sea buckthorn cluster members are introduced.
2
2011 Enterprise Mongolia Project Phase-2 Project promotional brochure
3
2011 Enterprise Mongolia Project Phase-2 Project promotional poster
4
2012 Household income & expense record book Simple booklet is for keeping record for household income/expense & micro businesses.
5
2012
Field history book for fruit planters The book is designed for keeping record on detailed work on each planting field for 15 years.
55
6
2012 Project beneficiaries’ product catalog Catalog introduces EMP-2 supported 35 clusters’ products’ pictures and brief descriptions of clusters.
7
2013 Good practice book Twelve beneficiaries’ success stories included in the book.
8
2013 Success stories book Twelve beneficiaries’ success stories included in the book.
9
2013
Local coordinating entity introduction book Technology school in Uvurkhangai is Khangai region’s coordinating entity of EMP-2.
10
2013 Local coordinating entity introduction book Selenge Itgel Employers’ Association in Selenge is Central region’s coordinating entity of EMP-2.
56
11
2013 Local coordinating entity introduction book Kherlen Business Development Association NGO in Khentii is Eastern region’s coordinating entity of EMP-2.
12
2013 Local coordinating entity introduction book Bolomj Ireedui NGO in Khovd is Western region’s coordinating entity of EMP-2.
13
2013 Beneficiaries product catalog Seabuckthorn cluster’s product description, Uvs aimag
14
2013 Beneficiaries product catalog Herb tea cluster’s product description, Selenge aimag
15
2013 Beneficiaries product catalog Seabuckthorn cluster’s product description, Uvs aimag
16
2013 Beneficiaries product catalog Embroidery cluster’s product description, Khovd aimag
17
2013 Beneficiaries product catalog Bee-honey cluster’s product description, Selenge aimag
57
18
2013 Beneficiaries product catalog Millet grain cluster’s product description, Bulgan aimag
19
2013
Legal handbook for micro and SMEs Government policies and regulations and their explanations for micro, small and medium entrepreneurs are introduced in this handbook
Draft as of 30 June 2013
Annex 9.10. Sub-contracts: Studies, Reports and Printing services
No Name of sub-contractor
Topic of studies & Purpose of sub-contract
Starting date
Completion date
Sub-contract outcomes produced during reporting period Contract No.
1 Gerelt Toirog Co.
Ltd Conduct detailed status analysis on the EMCs
2009/08/04 2009/09/29
Gerelt Toirog Co. Ltd conducted detailed status analysis on the EMCs. For this, it conducted status analysis on current technical capacity of EMCs, current administrative managerial capacity of EMCs, identified areas of improvements and most optimal mode of centers operation.
09/03/01
2
Tehnoj Business Incubator Center
NGO
Conduct status analysis of the EMP beneficiaries
2009/09/08 2009/10/22
Tehnoj Business Incubator Center NGO conducted status analysis of the EMP beneficiaries. For this, it conducted status analysis of the beneficiaries businesses by cluster, level of business development of beneficiaries by cluster, identified the needs of beneficiaries by cluster and made analysis on the identified needs.
09/03/02
3 InfoCon Co. Ltd Provision of website and e-market development service
2010/02/05 2010/12/24 InfoCon Co. Ltd provided service in respect of provision of project website and e-market development service.
10/03/01
4 Gerege Partners Co.
Ltd Conduct services on market analysis
2010/03/15 2010/06/04
Gerege Partners Co. Ltd conducted services on market analysis, including findings and analysis on marketability of the project supported products, identifying potential target markets, analysis of the target market and proposal on market strategies.
10/03/02
5 Development Solutions NGO
Developing business plans for each EMC
2010/04/26 2010/06/26
Development Solutions NGO developed business plans for EMCs in relation with this performed analysis on current status of EMCs, identified their risks and challenges and proposed recommendations for each EMC.
10/03/03
6
‘’Selenge Itgel’’ Employer’s
Federation, Selenge aimag
Coordinating and implementing field activities in Selenge and Bulgan of the EMP-2
2010/07/01 2012/02/28 Business development support services are being provided by Selenge Itgel Employer’s Federation in Selenge aimag to the EMP-2 beneficiaries.
10/03/04
1
7 Kherlen Business
Development Association NGO
Coordinating implementing field activities in Khentii and Dornogovi of EMP-2
2010/07/01 2012/02/28 Business development support services are being provided by Kherlen Business Development Association Khentii aimag to the EMP-2 beneficiaries.
10/03/05
8
Mongolian university of Science and Technology,
Technology school in Uvurkhangai
aimag
Coordinating implementing field activities in Uvurkhangai and Zavkhan of EMP-2
2010/07/01 2012/02/28
Business development support services are being provided by Mongolian University of Science and Technology, Technology school in Uvurkhangai aimag to the EMP-2 beneficiaries.
10/03/06
9
Union of Mongolian Production and
Service Cooperatives
Training for EMP-2 beneficiaries
2010/07/06 2010/10/10 Cluster & Cooperative formation & development training was provided by the UMPSC for the EMP-2 beneficiaries.
10/03/07
10
Bolomj-Ireedui Cooperative Training and
Information Center
Coordinating and implementing filed activities in Khovd and Uvs aimags of EMP-2
2010/07/15 2012/02/28 Business development support services are being provided by Bolomj-Ireedui Cooperative Training Center in Khovd aimag to the EMP-2 beneficiaries.
10/03/08
11 Tuul Training Center Training for EMP-2 beneficiaries on boot making techniques
2010/09/20 2010/10/25 3 trainees were involved in the training session and mostly focused on practice skills. Since the center is one of the leading centers in the field the trainees were fully satisfied.
10/03/09
12 Dayar Tugs
Training for EMP-2 beneficiaries on sewing techniques in upgraded level
2010/09/20 2010/10/25
Agency renewed their regular training curricula to meet demand for trainees and in total of 16 trainees involved. Introduction to the market of textile goods, garment shop and sewing machine shop was added as a special session. The session led the trainees to understand new opportunities in front of them.
10/03/10
13 Khiimori Printing
Company
Printing a booklet on Good experiences of planting sea buckthorn
2011/03/07 2011/03/11 Booklet on Good experiences of planting sea buckthorn was published in 2000 pieces.
11/03/11
2
14 Dayar Tugs
Training for EMP-2 beneficiaries on sewing techniques in upgraded level
2011/03/09 2011/04/10
The trainees upgraded the skills to produce garments with particular focus on national dress. Cutting and designing skills were taught by a master of Mongol costumes, leather accessories and decoration taught.
10/03/12
15 Tuul Training Center Training for EMP-2 beneficiaries on boot making techniques
2011/03/09 2011/05/13 The trainees obtained knowledge on boot making techniques and decoration. The trainees were satisfied with the content and methods of the training.
11/03/13
16 Bayan Elstii Training
Center
Training for EMP-2 beneficiaries on wool processing and designing techniques in upgraded level
2011/03/09 2011/04/10
The trainees obtained knowledge to process raw wool. Designing garments such as hat, gloves, bags, scarf, and other accessories. The trainees were satisfied with the content and methods of the training. 13 producers from Khovd,Khentii, Selenge and Uvurkhangai aimags were trained with new skills.
10/03/14
17 Montech Trade LLC
Training for EMP-2 beneficiaries on designing and cutting techniques of sofa
2011/03/20 2011/04/11
The trainees obtained knowledge on designing and cutting sofa. The three basic types of sofa were taught and knowledge on cutting them. Skills to repair and restore old sofas were taught. Trainees produced a sofa with four parts under facilitation of the trainer.
11/03/15
18
Union of Mongolian Production and
Service Cooperatives
Cooperative formation training for EMP-2 beneficiaries
2011/03/04 2011/03/15 The trainees obtained knowledge and information on advantages of formal business entities and how to establish entities such as cooperative.
11/03/16
19
Union of Mongolian Production and
Service Cooperatives
Cooperative formation training for EMP-2 beneficiaries in Khentii aimag
2011/04/13 2011/04/25 The trainees of Khentii aimag obtained knowledge on establishing entities such as cooperative and advantages of formal business entities.
11/03/17
20 New Radiance LLC Website upgrade and software maintenance service
2011/04/29 2011/12/12 New Radiance LLC upgraded the website and software maintenance of EMP-2 project.
11/03/18
3
21 Bayan Elstii Training
Center
Training for EMP-2 beneficiaries on wool processing and designing techniques in upgraded level
2011/05/19 2011/06/17
19 trainees obtained knowledge wool processing in upgraded level and and learned how to design their products. The trainees were satisfied with the content and methods of the training.
10/03/19
22 Plant Protection
and Research Institute
Red garlic pest identification, pesticide, development and training, methodology development
2011/05/20 2011/07/10 Plant Protection and Research Institute provided services in respect of red garlic pest identification, pesticide, development and training, methodology development..
11/03/20
23 Mungun Takhiit
Tsengel LLC Producing TV programs for EMP-2 promotion
2011/06/08 2011/09/23 Mungun Takhiit Tsengel LLC produced full set of 2 TV programs for EMP-2 promotion and broadcast the programs.
11/03/21
24 IRS LLC
Developing database program for keeping record on project beneficiaries and project services in order to generate project various reports
2011/09/12 2011/10/12 IRS LLC developed project beneficiaries database program, offline tool install and program files and provided instruction manual.
11/03/22
25 Baranzat Tug LLC
Producing plastic, eco, aluminium bags for preserved vegetables and sea buckthorns
2011/09/12 2011/09/30 Baranzat Tug LLC produced 27.000 plastic, eco, aluminium bags for preserved vegetables and sea buckthorns for project beneficiaries.
11/03/23
26 Finpack LLC Producing paper bags for vegetables and bread and box for garlic
2011/09/14 2011/09/30 Finpack LLC produced paper bags for vegetables and bread and box for garlic for project beneficiaries.
11/03/24
27 Windsor LLC Printing labels for preserved vegetables
2011/09/14 2011/09/26 Windsor LLC printed 38.000 jar labels for preserved vegetables for project beneficiaries.
11/03/25
4
28 Central Stadium LLC
Rent of storage to keep project beneficiaries product for trade fair ‘’Autumn green days-2011’’.
2011/09/23 2011/09/30 Central Stadium LLC provided storage to keep project beneficiaries product for trade fair ‘’Autumn green days-2011’’ during the trade fair.
11/03/26
29 Sod Press LLC Printing catalog and book for OVOP National Conference
2011/11/07 2011/11/11 Sod Press LLC published the catalog and books for OVOP National Conference.
11/03/27
30 Chinggis Khaan
hotel
Providing lunch and tea break for OVOP National Conference participants
2011/11/07 2011/11/11 Chinggis Khaan hotel provided lunch and tea break for OVOP National Conference participants.
11/03/28
31 Admon LLC Printing of poster for OVOP National Conference
2011/11/07 2011/11/11 Admon LLC printed the poster for OVOP National Conference.
11/03/29
32 Orgil Press LLC Printing EMP-2 brochure 2011/12/16 2011/12/30 Orgil Press LLC published the EMP-2 brochures in Mongolian and English languages.
11/03/30
33 Mungun Ganzai LLC Printing EMP-2 banner and poster
2011/12/16 2011/12/30 Mungun Ganzai LLC printed the EMP-2 banner and poster. 11/03/31
34 Wool craft
Supporting Center NGO
Felt training for EMP-2 beneficiaries in advanced level
2012/03/06 2012/03/30
The trainees obtained knowledge felt processing in advanced level and and learned how to decorate their products. The trainees were satisfied with the content and methods of the training.
12/03/01
35 Gazryn Solongo LLC Printing cotton label for 10 products
2012/03/15 2012/03/21 Gazryn Solongo LLC printed cotton labels for 10 products. 12/03/02
36 Admon LLC Designing and printing LGF brochure
2012/03/30 2012/04/25 Admon LLC designed and published the LGF brochure. 12/03/03
37 MNCCI Providing business trainings for four local EMC Coordinators
2012/05/10 2012/05/21
Four local coordinators of EMP-2 obtained knowledge on business developments and planning. The trainees were satisfied with the content and methods of the two and a half day training session.
12/03/04
5
38 Development Solutions NGO
Providing business training for four local EMC Coordinators
2012/05/10 2012/05/21 Four local coordinators of EMP-2 obtained knowledge on business planning. The trainees were satisfied with the content and methods of the one day training.
12/03/05
39 Mongolian
Association of Sales Professionals NGO
Providing training for implement of sales professionals skills for EMP-2 LCDI and OVOP beneficiaries during ‘’Household production – Cooperatives SME-2012’’ trade fair
2012/05/30 2012/06/15
The trainees obtained knowledge and skills on implementing sales professionals skills during the‘’Household production – Cooperatives SME-2012’’ trade fair. The services provided by Mongolian Association of Sales Professionals were satisfactory.
12/05/06
40 Nom Khur LLC
Designing and printing Sea buckthorn field history book and household income expenses booklet
2012/06/26 2012/07/26
Nom Khur LLC designed and published the1000 pieces of Sea buckthorn field history books and 1000 pieces of Household income expenses booklets with due diligence, efficiency and in accordance with the contract.
12/06/07
41 Tuul training center
Training for EMP-2 beneficiaries on shoe designing skills in advanced level
2012/07/19 2012/08/24 The trainees, \2 beneficiaries\ obtained knowledge on shoe designing skills in advanced level. The trainees were satisfied with the content and methods of the training.
12/07/08
42 Terguun Khas LLC Website upgrade and merge with SME Agency
2012/07/10 2013/03/21 Terguun Khas LLC provided the services to upgrade Website design and structure and merge with SME Agency.
12/07/09
43 Ganaa Maikhan LLC
Renting of tents, tables and chairs during ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
2012/10/16 2012/10/30 Ganaa Maikhan LLC provided tents, tables and chairs during ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty.
12/10/10
44 Lebra Design Solution LLC
Printing, hanging of Street banner and renting of square for the Banner
2012/10/16 2012/10/30 Lebra Design Solution LLC published and hanged the Street banner and renting of square for the Banner ‘’Employed Mongolian’’ day event under UN day for the Eradication of
12/10/11
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‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
Poverty.
45 L e D LLC
Renting of lead screen and musical instruments, decoration of storage during ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
2012/10/16 2012/10/30 L e D LLC provided lead screen and musical instruments, decoration of storage during ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty.
12/10/12
46 Negungun LLC
Printing of manuals and banners for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
2012/10/16 2012/10/30 Negungun LLC published manuals and banners for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty.
12/10/13
47 Inter press LLC
Printing of invitations for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
2012/10/16 2012/10/30 Inter press LLC published the invitations for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty.
12/10/14
48 UBS TV
TV announcement for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
2012/10/16 2012/10/30 UBS TV provided services in respect of TV announcement for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012.
12/10/15
49 Ikh khugsuu Association
Providing art performance including presenting at ‘’Employed Mongolian’’ day event under UN day for the
2012/10/16 2012/10/30 Ikh khugsuu Association provided performance including presenting at ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty.
12/10/16
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Eradication of Poverty on Oct 17 2012
50 Press Freedom NGO
TV news, interview, newspaper interview, web news, broadcasting, TV announcement for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012
2012/10/16 2012/10/30
Press Freedom NGO provided services in respect of TV news, interview, newspaper interview, web news, broadcasting, TV announcement for ‘’Employed Mongolian’’ day event under UN day for the Eradication of Poverty on Oct 17 2012.
12/10/17
51 Munkhdesign LLC
Designing EMP-2 beneficiaries product catalogue and EMP-2 good practice books
2012/11/06 2012/12/31 Munkhdesign LLC designed 160 pages of EMP-2 beneficiaries’ product catalogue and EMP-2 good practice books.
12/11/18
52 Admon LLC Printing 780 pieces of EMP-2 beneficiaries product catalogue
2012/12/06 2012/12/19 Total 780 pieces of EMP-2 project beneficiaries product catalogues were published.
12/12/19
53 Admon LLC Printing EMP-2 beneficiaries good practice book
2012/12/21 2012/12/31 1000 pieces of project beneficiaries’ success story book were printed.
12/12/20
54 Admon LLC Printing OVOP product brochures
2012/12/21 2012/12/31 6 OVOP supported products each 3000 copies of brochures were printed.
12/12/21
55 Windsor LLC Printing of project beneficiaries’ success story book
2013/2/26 2013/3/12 1000 pieces of project beneficiaries’ success story book were printed.
12/12/22
56 NBCM LLC Printing banners for project beneficiaries-clusters
2013/3/7 2013/3/12 38 clusters and sub-clusters received 2 copies for each linoleum banners.
12/12/23
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57 Radio Television
Network SOE
Renting translation equipment, headphones and providing technician’s service
2013/3/13 2013/3/15 During the National workshop used the equipment. 12/12/24
58 Windsor LLC Printing of 4 EMC achievement books
2013/3/7 2013/3/12 400 pieces for each 4 EMCs, a total of 1600 books introducing EMC activities were printed.
12/12/25
59 MNCCI Providing training to EMP-2 & ALP projects’ beneficiaries
2013/3/14 2013/3/16 Training on Market research, methods to gather information and market penetration strategies for 63 beneficiaries were provided.
12/12/26
60 NBCM LLC Printing banners for National Workshop
2013/3/11 2013/3/14 Printing banners and building stand frame for National Workshop was done
12/12/27
61 JTBooks LLC
Producing video materials for EMP-2 for National Workshop on SME development and Livelihood Diversification in Rural Areas
2013/3/11 2013/3/14 Produced 5 video materials and given to the EMCs. 12/12/28
62 Development Solutions NGO
Writing EMP-2 final report & proofreading
2013/3/19 2013/3/31 Writing EMP-2 final report & proofreading 12/12/29
63 Windsor LLC Printing SME law handbook
2013/3/27 2013/3/31 3687 copies of SME law handbook was printed out and disseminated to the SMEs and by the Ministry of Labour
12/12/30
64 VirtualSoft LLC Printing Name card usb 2013/3/27 2013/3/31 200 copies of Flash drive installed SME law handbook in it was printed and given to the Ministry of Labour
12/12/31
65 Sogoonuur LLC Printing Consultant Report
2013/3/28 2013/3/30 Printed 70 copies of the Evaluation report 12/12/32