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The “Desert Ginseng” – a green miracle for poverty reduction

The “Desert Ginseng” – a green miracle for poverty reduction. Liu Ke Associate Country Program Officer IFAD China. Setting stage: the Hotan Prefecture (1). Setting stage: the Hotan Prefecture (2). Total area: 247,800 square kilometer

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The “Desert Ginseng” – a green miracle for poverty reduction

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  1. The “Desert Ginseng” – a green miracle for poverty reduction Liu Ke Associate Country Program Officer IFAD China

  2. Setting stage: the Hotan Prefecture (1)

  3. Setting stage: the Hotan Prefecture (2) • Total area: 247,800 square kilometer • Boarder the world’s 2nd largest desert, Taklamakan to the north • 63% of desert, 34% of mountains, 3% of oasis • Annual precipitation 35 mm • Annual evaporation 2480 mm • Total population 1.6 million, 96% Uygur • 2013 per capita income in Hotan: USD 300 • 2013 per capita income in Xinjiang Uygur Autonomous Region (XUAR) USD 1000 • Poverty, advance of desert

  4. Red Willow Cistanche- the “desert ginseng” Able to survive in highly arid areas A natural shield from desert expansion reduce wind speed by 60% at 1 meter height; improve moisture by 10% Good market and sales potentials Around USD 3,000 net returns per hectare

  5. Challenges • Infrastructure: lack of canal and leveling facilities • Technical capacity: low skills on seedling, planting, pesticide application, drying and storage • Small scaled production: household based production with planting area of 1/15 hectare • Market inaccessibility

  6. Farmer + Cooperative + Companies

  7. Farmer + Cooperative + Companies • Pooled and up-scaled household based production • Improved technical level, quality and standardization of production process • Expanded marketing opportunities in the after-production phase • Strengthened capacity of self-management and self-organization among local communities • Received participation of 550 members (households), being replicated in government programs

  8. Farmer + Cooperative + Companies

  9. Farmer + Cooperative + Companies • The chairman, secretariat and board members are voted with a three-year tenure • The board meets every month with attendance of 2/3 of board members • The board is required to disclose annual financial status including income and expenditure • Women are encouraged to be board members

  10. Reflections • Sustainability: will and how the cooperative (and its institution) continue when supports from IFAD project completes? • Independence: how the cooperative keep its independence while interacting government and private sector entities ?? • Equity: how to avoid the “elite phenomenon” and ensure poor household receive their justified share of benefits ???

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