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P4P in Ethiopia
In Ethiopia, P4P supports more smallholder farmers than in any other pilot country. These farmers are primarily organized in Cooperative Unions (CUs). The initiative combines WFP’s purchasing power with partners’ technical contributions to strengthen the management and marketing capacities of CUs, and to provide them with market opportunities, as an incentive to increase production. For the 2012/2013 harvest season, WFP bought nearly 19,000 mt of food produced by smallholders in Ethiopia, which is the organization’s largest contract with P4P-supported farmers’ organizations (FOs) to date. A key to the successful deliveries has been the use of forward delivery contracts (FDCs), enabled by a successful collaboration between donors, banks, CUs, NGOs and the government. P4P also played a key role in the formation of the Maize Alliance which pilots and expands integrated support to maize farmers in Ethiopia. Under this alliance, and based on lessons learned in 2013, WFP has signed FDCs to purchase 40,000 metric tons (mt) of maize from P4P-supported farmers from 29 cooperative unions in 2014.