Vinnytsya Associations Bolster Farmer Incomes

To bolster the growth of food processing enterprises in Ukraine, ACDI/VOCA launched the Alliance Program in 1996. The Alliance Program is a partnership between ACDI/VOCA, International Executive Service Corps, Citizens’ Democracy Corps and the MBA Enterprise Corps. Through Alliance, promising Ukrainian businesses receive assistance through technical assistance assignments, training seminars, networking events and association development projects.

In 1999, ACDI/VOCA helped establish the Vinnytsya Intensive Fruit Growers’ Association by providing technical assistance to a group of local farmers engaged in fruit production. ACDI/VOCA first identified potential members and then organized seminars on association development and business planning. ACDI/VOCA also arranged two study tours in Poland for the managers of the newly formed organization so they could learn about new technologies and practices.

To counter the lack of required technical assistance from Ukrainian institutions, the Vinnytsya Intensive Fruit Growers’ Association has established numerous business linkages with local commercial companies and educational institutions, encouraging them to share their expertise with association members. These relationships, coupled with continuing technical assistance from ACDI/VOCA, have helped make the association successful.

In 2000, the association partnered with the Podilya Research Station to organize 3 fruit production seminars, which have attracted at least 15 new members to the association. Overall, membership has jumped from 15 to 74 member companies. According to association managers, these informational seminars attract as many as eight new businesses at a time. One such seminar, hosted by ACDI/VOCA, was devoted to new fruit processing technologies and equipment and attracted seven new entrepreneurs, four of whom applied for membership in the association. The group has also negotiated with local suppliers to provide goods at reduced prices to association members. For instance, one company is supplying its goods at discounts up to 30 percent, amounting to savings of $1800 for individual farmers, freeing up cash for greater investment in technical improvements and equipment.

The Vinnytsya Vegetable and Potato Association has also experienced great success in 2000, due in large part to the assistance of ACDI/VOCA. In order to encourage these two similar groups to join forces to increase their influence in lobbying and advocacy, ACDI/VOCA helped plan a joint fruit and vegetable seminar during the summer of 2001. By cooperating, the two associations not only increase their overall impact, but also their networking opportunities and business linkages.