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Albania

Albania Fast Facts

› 850 farmers have received assistance through UMCOR Albania in 2005 and 2006

› Albanian sunflower seed oil processor can buy locally produced sunflower seeds, rather than importing seeds from abroad because of UMCOR’s programs

› UMCOR made history by improving how local sunflower processors do business

Background

Albania emerged from decades of communist rule in the early 1990s and a multiparty democracy was established. However, the process of transition has proven difficult. Though in June 2006 Albania marked the important milestone of signing a Stabilization and Association Agreement (SAA) with the European Union, the political situation is still far from stable, and Albania has the dubious reputation of being one of the poorest nations in Europe.

UMCOR opened an office in Tirana, the capital, in spring 2004. UMCOR Albania is currently implementing an agricultural development initiative, funded by the U.S. Department of Agriculture (USDA) through its Fiscal Year 2004 Food for Progress program.

AGRICULTURE

UMCOR Albania monetizes agricultural commodities that are donated by the USDA. Monetization introduces food stuffs onto a market where food deficits may exist. It also stimulates the local economy and generates new jobs. Rural communities are largely self-sufficient in Albania, although production is often on a subsistence level. However, the urban population is much more dependent on imported food supplies, and for this reason the sale of imported commodities does not adversely affect domestic prices or the economy. The commodities, in the form of 4,190 Metric Tons (MT) of crude sunflower seed oil, are sold by UMCOR and the proceeds used to implement development activities.

The Sunflower Production Support program was designed as part of UMCOR's overall program assistance for the post transition recovery and economic reconstruction of the Balkan region.

Before the beginning of Albania's post-communist transition in 1991, sunflower seed production was robust and growing in the country, with average annual production of 30,000 MT in the 1980s. Since 1991 this has declined to less than 3,000 MT a year, despite growing world demand. UMCOR's Sunflower Production Support program is an effort to help farmers and processors reestablish essential linkages with each other, and strengthen the ability of both to operate profitably in Albania's new market economy.

In 2005 UMCOR assisted 350 sunflower farmers in production support activities and another 500 farmers received assistance in 2006. UMCOR's technical assistance in the form of grants, loans, training sessions, provision of equipment and agricultural research enabled participating farmers to increase the amount of land they cultivated with sunflowers from 30 hectares in 2004 to 650 hectares in 2006.

A newly established sunflower farmers' association supported by the program made history by delivering raw material to a local processor under a sales contract for the first time in Albania. The transaction increased the processor's production capacity by 100% and its profitability increased by almost 10% by producing consumable sunflower oil from locally grown seeds instead of refining imported crude sunflower oil.

UMCOR continues to support the sunflower farmers association to ensure its self-sustainability as an institution that will serve the needs of local Albanian farmers and producers. By helping farmers plan and operate more efficiently, and supporting their efforts to bring their products to market more profitably, UMCOR is making an important contribution to the long-term development of Albania's rich agricultural potential.

PARTNERS IN OUR WORK

UMCOR Albania works with a variety of partners to make our work possible. In addition to the private funds we receive through The United Methodist Church we also receive support from the following:

US Department of Agriculture