Effort to revive Iraqi agriculture

Farmers need seeds for autumn planting

The US has invited bids for a contract to redevelop agriculture in Iraq.

The project is intended to "expand agriculture productivity, rehabilitate key agroecosystems and restore the capacity of rural agroenterprise to produce, process and market agricultural goods and services," said USAid, the client for the work.

The contract - expected to be worth about $40m (£24m) - is the ninth Iraq reconstruction deal USAid has offered so far.

Much the largest was awarded to US engineer Bechtel for rebuilding transport and utility systems.

High risk, high cost

USAid, the US' international development agency, said Iraqi agriculture was in crisis after decades of neglect and poor planning.

It said production had declined sharply in recent years because of war, drought and repression while marketing activities had been hit by "high levels of risk, exorbitant transaction costs and UN sanctions".

IRAQI LAND UNDER CULTIVATION

Cereals 2.76m hectares

Vegetables 0.5m hectares

Fruits 1.5m hectares

Source: USAid

The amount of land under irrigation has fallen 30% since the 1970s while more than 60% of Iraqis are now totally dependent on food aid, it said.

The first three months of work under the contract will involve identifying emergency needs and supplying seeds, fertiliser and irrigation equipment for the autumn 2003 planting season.

CONTRACT AIMS AFTER ONE YEAR

20% rise in agricultural production

$50m increase in sales in local and export markets

100% gain in average productivity for 30,000 farming families

Source: USAid

In the following months, the contractor is expected to provide technical assistance and training to Iraqi farmers and reinvigorate local markets.

USAid said that any contractor for the project which is not a small business itself would be required to subcontract 14% of the work to "small businesses, small disadvantaged businesses and women-owned small businesses".

The deadline for bids is 27 June.