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Excellence in I nnovation Project Agribusiness e-BIZ Center Presentation November 10, 2009. The Excellence in Innovation Project, BiH Is Supported By. Norwegian Ministry of Foreign Affairs US Agency for International Development 3 year project began in December 2007.
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Excellence in Innovation Project Agribusiness e-BIZ Center Presentation November 10, 2009
The Excellence in Innovation Project, BiH Is Supported By • Norwegian Ministry of Foreign Affairs • US Agency for International Development • 3 year project began in December 2007
The Excellence in Innovation Project Objectives • Improve the competitiveness of small and medium enterprises (SMEs) in target industries • Generate more successful SMEs, more and better jobs, higher revenues and incomes Exports, jobs, incomes, SMEs
The EI Project BiH Activities • Create e-BIZ Centres that offer fee-based ICT services that quickly, significantly improve SME competitiveness in 4 target sectors: • Agribusiness sector • Machine tools sector • Wood products sector • Tourism sector • Partner with local entrepreneurs who co-investto create e-BIZ Centres • Provide technical assistanceto build Centres’ management and entrepreneurial skills • Help SMEs use Centres’ services effectively • Help bring Centres to self-sustainabilityfor lasting impacts
BiH Agribusinesses Face Opportunities…and Challenges • Fresh fruit market value could grow by 50% • From €210 million today to €350 million • There has been greater investment in production • BiH can offer competitive products • High quality produce • Products available in “off-season” • Yet only 2-3% of production is exported • only ~ 0.27% of total fruit and vegetable production exported to EU • Only 8 companies are GlobalGap certified • Companies lack access to key production information, market knowledge, new production techniques, etc.
Agribusiness e-BIZ Centre: • Mission: Provide ICT-facilitated services that significantly improve the competitiveness of BiH agribusinesses • Provides demand-driven services • Responsive to customer needs • Agile in the marketplace • Owner: El Pak doo • Co-investment commitment: ~50% of total cost • Grand Opening: Spring 2009 • Marketing has already begun!
Revenue Model • Memberships • 3 Tier fee structure with different services • Information • Referral services • Small ads and marketplace • Online marketing • Detailed target market intelligence • “A la carte” fee-based services • Online agent services • Online advertising • Event/training organizing and promotion • Technical expertise
Target Market • Producers and suppliers across the value chain • Farmers • Cooperatives • Associations • Processors • Exporters • Wholesalers • Input and equipment suppliers • Service providers • Supermarkets • Financial Services Institutions, e.g., banks and MCOs • Government institutions
Services • Agro Link offers what no other BiH organization provides: • Fast, easy access to accurate information • E.g., market prices, weather, credit sources, subsidies, detailed target market info • Comparison information about input suppliers • Special “member” discounts • “Referrals advertising” for suppliers and service providers • E.g., equipment/input vendors, professional services, transportation, etc. • Effective market promotion in BiH and international markets • Online services to international buyers for specific produce • Timely, high quality expert response to questions and problems • Easy-to-use guidelines, e.g., packaging requirements, certification requirements, regulatory and legislation information
More competitive SMEs SMEs compete in higher value-added markets SME customers report Agrolink services improved their businesses Agro Link is self-sustainable and provides services beyond the end of the project Links with universities contribute to workforce development Results